10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

Mark One:

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

For the Quarterly Period Ended June 30, 2021

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: 1-1657 

CRANE CO.

(Exact name of registrant as specified in its charter)

Delaware	13-1952290
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

100 First Stamford Place	Stamford	CT	06902
(Address of principal executive offices)			(Zip Code)

Registrant’s telephone number, including area code: 203-363-7300

(Not Applicable)

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Common Stock, par value $1.00	CR	New York Stock Exchange

 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  ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ☒    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 or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

(check one):
Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

The number of shares outstanding of the issuer’s classes of common stock, as of July 31, 2021

Common stock, $1.00 Par Value – 58,631,950 shares

Crane Co.

Table of Contents

Form 10-Q

		Page
Part I - Financial Information
Item 1.	Financial Statements
	Condensed Consolidated Statements of Operations	Page 3
	Condensed Consolidated Statements of Comprehensive Income	Page 4
	Condensed Consolidated Balance Sheets	Page 5
	Condensed Consolidated Statements of Cash Flows	Page 7
	Notes to Condensed Consolidated Financial Statements	Page 9
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	Page 35
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	Page 49
Item 4.	Controls and Procedures	Page 49
	Part II - Other Information
Item 1.	Legal Proceedings	Page 50
Item 1A.	Risk Factors	Page 50
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	Page 50
Item 3.	Defaults Upon Senior Securities	Page 50
Item 4.	Mine Safety Disclosures	Page 50
Item 5.	Other Information	Page 50
Item 6.	Exhibits	Page 51
	Signatures	Page 52

PART I: FINANCIAL INFORMATION

ITEM 1: FINANCIAL STATEMENTS

CRANE CO. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(UNAUDITED)

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions, except per share data)	2021		2020		2021		2020
Net sales	$	796.4	$	644.3	$	1,575.9	$	1,391.1
Operating costs and expenses:
Cost of sales	476.8		424.8		947.3		896.6
Selling, general and administrative	182.9		165.3		365.0		354.6
Acquisition-related and integration charges	—		2.3		—		7.5
Restructuring (gains) charges, net	(0.2)		23.2		(13.3)		22.0
Operating profit	136.9		28.7		276.9		110.4
Other income (expense):
Interest income	0.4		0.3		0.9		0.7
Interest expense	(11.4)		(14.4)		(25.0)		(26.9)
Miscellaneous income, net	9.7		2.4		13.6		6.2
Total other expense	(1.3)		(11.7)		(10.5)		(20.0)
Income from continuing operations before income taxes	135.6		17.0		266.4		90.4
Provision for income taxes	24.9		3.6		52.3		19.3
Net income from continuing operations attributable to common shareholders	110.7		13.4		214.1		71.1
Income from discontinued operations, net of tax (Note 3)	27.6		1.4		32.6		6.5
Net income attributable to common shareholders	$	138.3	$	14.8	$	246.7	$	77.6
Earnings per basic share:
Earnings per basic share from continuing operations	$	1.89	$	0.23	$	3.67	$	1.22
Earnings per basic share from discontinued operations	0.47		0.03		0.55		0.11
Earnings per basic share	$	2.36	$	0.26	$	4.22	$	1.33
Earnings per diluted share:
Earnings per diluted share from continuing operations	$	1.87	$	0.23	$	3.62	$	1.20
Earnings per diluted share from discontinued operations	0.46		0.02		0.55		0.11
Earnings per diluted share	$	2.33	$	0.25	$	4.17	$	1.31
Average shares outstanding:
Basic	58.5		58.0		58.4		58.5
Diluted	59.3		58.5		59.1		59.1
Dividends per share	$	0.43	$	0.43	$	0.86	$	0.86

See Notes to Condensed Consolidated Financial Statements.

CRANE CO. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(UNAUDITED)

 

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net income before allocation to noncontrolling interests	$	138.3	$	14.8	$	246.7	$	77.6
Components of other comprehensive income (loss), net of tax
Currency translation adjustment	7.6		17.2		(27.3)		(28.0)
Changes in pension and postretirement plan assets and benefit obligation, net of tax	5.2		3.6		10.1		7.1
Other comprehensive income (loss), net of tax	12.8		20.8		(17.2)		(20.9)
Comprehensive income before allocation to noncontrolling interests	151.1		35.6		229.5		56.7
Less: Noncontrolling interests in comprehensive income	(0.1)		0.2		0.7		(0.1)
Comprehensive income attributable to common shareholders	$	151.2	$	35.4	$	228.8	$	56.8

See Notes to Condensed Consolidated Financial Statements.

CRANE CO. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED) 

(in millions)	June 30, 2021		December 31, 2020
Assets
Current assets:
Cash and cash equivalents	$	386.7	$	551.0
Accounts receivable, net	458.6		423.9
Current insurance receivable - asbestos	14.4		14.4
Inventories, net:
Finished goods	154.5		125.4
Finished parts and subassemblies	57.1		54.5
Work in process	43.4		45.1
Raw materials	201.9		204.7
Inventories, net	456.9		429.7
Other current assets	129.8		137.3
Current assets held for sale	225.9		17.4
Total current assets	1,672.3		1,573.7
Property, plant and equipment:
Cost	1,173.4		1,191.9
Less: accumulated depreciation	635.2		618.2
Property, plant and equipment, net	538.2		573.7
Long-term insurance receivable - asbestos	65.8		72.5
Long-term deferred tax assets	33.1		41.0
Other assets	196.5		197.4
Intangible assets, net	491.3		519.1
Goodwill	1,426.0		1,437.7
Long-term assets held for sale	—		199.9
Total assets	$	4,423.2	$	4,615.0

See Notes to Condensed Consolidated Financial Statements.

CRANE CO. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

(in millions, except per share and per share data)	June 30, 2021		December 31, 2020
Liabilities and equity
Current liabilities:
Short-term borrowings	$	15.0	$	375.7
Accounts payable	242.2		198.9
Current asbestos liability	66.5		66.5
Accrued liabilities	388.4		388.0
U.S. and foreign taxes on income	8.8		0.1
Current liabilities held for sale	37.9		27.4
Total current liabilities	758.8		1,056.6
Long-term debt	843.4		842.9
Accrued pension and postretirement benefits	297.4		329.7
Long-term deferred tax liability	54.1		53.6
Long-term asbestos liability	576.7		603.6
Other liabilities	164.7		171.3
Long-term liabilities held for sale	—		26.2
Total liabilities	2,695.1		3,083.9
Commitments and contingencies (Note 12)
Equity:
Preferred shares, par value $0.01; 5,000,000 shares authorized	—		—
Common shares, par value $1.00; 200,000,000 shares authorized, 72,426,139 shares issued	72.4		72.4
Capital surplus	348.4		330.7
Retained earnings	2,389.3		2,192.8
Accumulated other comprehensive loss	(484.3)		(466.4)
Treasury stock	(600.6)		(600.6)
Total shareholders’ equity	1,725.2		1,528.9
Noncontrolling interests	2.9		2.2
Total equity	1,728.1		1,531.1
Total liabilities and equity	$	4,423.2	$	4,615.0
Share data:
Common shares issued	72,426,139		72,426,139
Less: Common shares held in treasury	13,801,550		14,298,191
Common shares outstanding	58,624,589		58,127,948

See Notes to Condensed Consolidated Financial Statements.

CRANE CO. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

	Six Months Ended
	June 30,
(in millions)	2021		2020
Operating activities from continuing operations:
Net income from continuing operations attributable to common shareholders	$	214.1	$	71.1
Gain on sale of property	(18.5)		—
Depreciation and amortization	60.8		61.1
Stock-based compensation expense	12.4		10.2
Defined benefit plans and postretirement credit	(4.2)		(2.7)
Deferred income taxes	0.1		7.5
Cash used for operating working capital	(25.7)		(46.5)
Defined benefit plans and postretirement contributions	(17.2)		(2.3)
Environmental payments, net of reimbursements	(3.6)		(3.7)
Asbestos related payments, net of insurance recoveries	(20.2)		(19.2)
Other	(0.5)		0.1
Total provided by operating activities from continuing operations	197.5		75.6
Investing activities from continuing operations:
Payment for acquisition - net of cash acquired	—		(172.3)
Proceeds from disposition of capital assets	23.4		2.7
Capital expenditures	(13.9)		(13.3)
Purchase of marketable securities	(10.0)		—
Proceeds from sale of marketable securities	40.0		—
Total provided by (used for) investing activities from continuing operations	39.5		(182.9)
Financing activities from continuing operations:
Dividends paid	(50.2)		(50.4)
Reacquisition of shares on open market	—		(70.0)
Stock options exercised, net of shares reacquired	5.2		0.6
Debt issuance costs	—		(1.2)
Proceeds from issuance of commercial paper with maturities greater than 90 days	—		251.3
Repayments of commercial paper with maturities greater than 90 days	(27.1)		(96.5)
Net proceeds (repayments) from issuance of commercial paper with maturities of 90 days or less	15.0		(62.8)
Proceeds from revolving credit facility	—		77.2
Repayments of revolving credit facility	—		(77.2)
Proceeds from term loan	—		343.9
Repayment of term loan	(348.1)		—
Total (used for) provided by financing activities from continuing operations	(405.2)		314.9
Discontinued operations:
Total provided by operating activities	9.2		1.0
Total used for investing activities	(0.8)		(0.2)
Increase in cash and cash equivalents from discontinued operations	8.4		0.8
Effect of exchange rates on cash and cash equivalents	(4.5)		(10.2)
(Decrease) increase in cash and cash equivalents	(164.3)		198.2
Cash and cash equivalents at beginning of period	551.0		393.9
Cash and cash equivalents at end of period	$	386.7	$	592.1

CRANE CO. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

	Six Months Ended
	June 30,
(in millions)	2021		2020
Detail of cash used for operating working capital from continuing operations:
Accounts receivable	$	(36.7)	$	120.0
Inventories	(29.0)		(22.1)
Other current assets	(22.2)		(23.2)
Accounts payable	44.2		(79.6)
Accrued liabilities	2.9		(37.1)
U.S. and foreign taxes on income	15.1		(4.5)
Total	$	(25.7)	$	(46.5)
Supplemental disclosure of cash flow information:
Interest paid	$	23.8	$	23.8
Income taxes paid	$	37.0	$	46.4

See Notes to Condensed Consolidated Financial Statements.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 1 - Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial reporting and the instructions to Form 10-Q and, therefore, reflect all adjustments which are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. All such adjustments are of a normal recurring nature. These interim condensed consolidated financial statements should be read in conjunction with the Consolidated Financial Statements and Notes to Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended December 31, 2020.

Due to rounding, numbers presented throughout this report may not add up precisely to totals we provide, and percentages may not precisely reflect the absolute figures. Certain amounts in the prior periods’ condensed consolidated financial statements have been reclassified to conform to the current period presentation.

Discontinued Operations. On May 16, 2021, we entered into an agreement to sell the Engineered Materials segment to Grupo Verzatec S.A. de C.V. for $360 million on a cash-free and debt-free basis. The sale is subject to customary closing conditions and regulatory approvals. The historical results of Engineered Materials are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for all periods presented. Throughout this Quarterly Report on Form 10-Q, unless otherwise indicated, amounts and activity are presented on a continuing operations basis. Please see Note 3 for additional details.

Process Flow Technologies. We changed the name of our 'Fluid Handling' segment to 'Process Flow Technologies'. This new name better conveys the key strengths and core competencies of the segment; providing proprietary and highly engineered process flow technology solutions to its customers.

Recent Accounting Pronouncements - Adopted

Simplifying the Accounting for Income Taxes

In December 2019, the Financial Accounting Standards Board (“FASB”) issued amended guidance to simplify the accounting for income taxes. The guidance is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Certain amendments are to be applied prospectively, while other amendments are to be applied retrospectively to all periods presented. We have adopted this standard effective January 1, 2021. The adoption of this new standard did not impact our consolidated financial statements.

Disclosure Requirements for Defined Benefit Plans

In August 2018, the FASB issued amended guidance to add, remove, and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The amended guidance removes the requirements to disclose: amounts in accumulated other comprehensive income (loss) expected to be recognized as components of net periodic benefit cost over the next fiscal year; the amount and timing of plan assets expected to be returned to the entity; and the effects of a one-percentage point change in assumed health care cost trend rates. The amended guidance requires disclosure of an explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period. This guidance is effective for fiscal years ending after December 15, 2020. Effective December 31, 2020, we adopted the amended guidance and applied the disclosure requirements on a retrospective basis to all periods presented. This amended guidance did not have a material effect on our disclosures.

Measurement of Credit Losses on Financial Instruments

In June 2016, the FASB issued amended guidance that changes the impairment model for most financial assets and certain other instruments. For trade receivables, contract assets and other receivables, held-to-maturity debt securities, loans and other instruments, entities are required to use a current expected credit loss (“CECL”) model that will immediately recognize an estimate of credit losses that are expected to occur over the life of the financial instruments that are in the scope of this update, including trade receivables. For available-for-sale debt securities with unrealized losses, entities will measure credit losses in a manner similar to current practice, except that the losses will be recognized as an allowance. The CECL model is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable forecasts that affect collectability.

On January 1, 2020, we adopted the new CECL standard and developed an expected impairment model based on our historical loss experience. We believe that our previous methodology to calculate credit losses is generally consistent with the new expected credit loss model and did not result in a material adjustment upon adoption. The allowance for doubtful accounts was $8.3 million and $10.9 million as of June 30, 2021 and December 31, 2020, respectively.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 2 - Acquisitions

Acquisitions are accounted for in accordance with ASC Topic 805, “Business Combinations” (“ASC 805”). Accordingly, we make an initial allocation of the purchase price at the date of acquisition based upon our understanding of the fair value of the acquired assets and assumed liabilities. We obtain this information during due diligence and through other sources. In the months after closing, as we obtain additional information about these assets and liabilities, including through tangible and intangible asset appraisals, we are able to refine estimates of fair value and more accurately allocate the purchase price. Only items identified as of the acquisition date are considered for subsequent adjustment to the purchase price allocation. We will make appropriate adjustments to the purchase price allocation prior to completion of the measurement period, as required.

In order to allocate the consideration transferred for our acquisitions, the fair values of all identifiable assets and liabilities must be established. For accounting and financial reporting purposes, fair value is defined under ASC Topic 820, “Fair Value Measurement and Disclosure” as the price that would be received upon sale of an asset or the amount paid to transfer a liability in an orderly transaction between market participants at the measurement date. Market participants are assumed to be buyers and sellers in the principal (most advantageous) market for the asset or liability. Additionally, fair value measurements for an asset assume the highest and best use of that asset by market participants. Use of different estimates and judgments could yield different results.

Instrumentation & Sampling Business Acquisition

On January 31, 2020, we completed the acquisition of CIRCOR International, Inc.’s Instrumentation & Sampling Business (“I&S”) for $172.3 million on a cash-free and debt-free basis, subject to a later adjustment reflecting I&S' net working capital, cash, the assumption of certain debt-like items, and I&S' transaction expenses. We funded the acquisition through short-term borrowings consisting of $100 million of commercial paper and $67 million from our revolving credit facility, and cash on hand. In August 2020, we received $3.1 million related to the final working capital adjustment which resulted in net cash paid of $169.2 million.

I&S designs, engineers and manufactures a broad range of critical fluid control instrumentation and sampling solutions used in severe service environments which complements our existing portfolio of chemical, refining, petrochemical and upstream oil and gas applications. I&S has been integrated into the Process Flow Technologies segment. The amount allocated to goodwill reflects the expected synergies, manufacturing efficiencies and procurement savings. Goodwill from this acquisition is not deductible for tax purposes.

Allocation of Consideration Transferred to Net Assets Acquired

The following amounts represent the determination of the fair value of identifiable assets acquired and liabilities assumed from our acquisition of I&S. The fair value of certain assets and liabilities has been completed as required by ASC 805.

Net assets acquired (in millions)
Total current assets	$	21.0
Property, plant and equipment	11.0
Other assets	6.0
Intangible assets	52.5
Goodwill	106.0
Total assets acquired	$	196.5
Total current liabilities	$	8.1
Other liabilities	19.2
Total assumed liabilities	$	27.3
Net assets acquired	$	169.2

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The amounts allocated to acquired intangible assets, and their associated weighted-average useful lives which were determined based on the period in which the assets are expected to contribute directly or indirectly to our future cash flows, consist of the following:

Intangible Assets (dollars in millions)	Intangible Fair Value		Weighted Average Life
Trademarks/trade names	$	2.6	13
Customer relationships	49.0		14
Backlog	0.9		1
Total acquired intangible assets	$	52.5

The fair values of the trademark and trade name intangible assets were determined by using an income approach, specifically the relief-from-royalty approach, which is a commonly accepted valuation approach. This approach is based on the assumption that in lieu of ownership, a firm would be willing to pay a royalty in order to exploit the related benefits of this asset. Therefore, a portion of I&S’ earnings, equal to the after-tax royalty that would have been paid for the use of the asset, can be attributed to our ownership. The trade names are being amortized on a straight-line basis (which approximates the economic pattern of benefits) over the estimated economic life of 13 years.

The fair values of the customer relationships and backlog intangible assets were determined by using an income approach which is a commonly accepted valuation approach. Under this approach, the net earnings attributable to the asset or liability being measured are isolated using the discounted projected net cash flows. These projected cash flows are isolated from the projected cash flows of the combined asset group over the remaining economic life of the intangible asset or liability being measured. Both the amount and the duration of the cash flows are considered from a market participant perspective. Our estimates of market participant net cash flows considered historical and projected pricing, operational performance including market participant synergies, aftermarket retention, product life cycles, material and labor pricing, and other relevant customer, contractual and market factors. Where appropriate, the net cash flows were adjusted to reflect the potential attrition of existing customers in the future, as existing customers are expected to decline over time. The attrition-adjusted future cash flows are then discounted to present value using an appropriate discount rate. The customer relationship asset is being amortized on a straight-line basis (which approximates the economic pattern of benefits) over the estimated economic life of 14 years.

Supplemental Pro Forma Data

I&S’ results of operations have been included in our financial statements for the period subsequent to the completion of the acquisition on January 31, 2020. Consolidated pro forma revenue and net income attributable to common shareholders has not been presented since the impact was not material to our financial results.

Acquisition-Related Costs

Acquisition-related costs are expensed as incurred. For the three and six months ended June 30, 2020, we recorded $2.3 million and $7.5 million, respectively, of integration and transaction costs in our Condensed Consolidated Statements of Operations.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 3 - Discontinued Operations

A business is classified as held for sale when management having the authority to approve the action commits to a plan to sell the business, the sale is probable to occur during the next 12 months at a price that is reasonable in relation to its current fair value and certain other criteria are met. A business classified as held for sale is recorded at the lower of its carrying amount or estimated fair value less cost to sell. When the carrying amount of the business exceeds its estimated fair value less cost to sell, a loss is recognized and updated each reporting period as appropriate.

Executing on our strategy to focus our growth investments on our three remaining segments, on May 16, 2021, we entered into an agreement to sell our Engineered Materials segment to Grupo Verzatec S.A. de C.V. for $360 million on a cash-free and debt-free basis. The sale is subject to customary closing conditions and regulatory approvals. In the second quarter of 2021, the assets and liabilities of the segment were classified as held for sale, and the segment’s results are presented as discontinued operations. This change was applied on a retrospective basis. We reasonably expect to close on this transaction within one year from the date of our entry into the agreement, and therefore have presented the assets and liabilities as current as of June 30, 2021.

Financial results from discontinued operations:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net sales	$	59.1	$	33.6	$	113.0	$	84.6
Cost of sales	46.7		26.9		89.7		65.9
Selling, general and administrative	4.7		4.2		9.2		9.4
Restructuring charges	—		0.6		—		0.6
Income from discontinued operations	7.7		1.9		14.1		8.7
Income tax (benefit) provision1	(19.9)		0.5		(18.5)		2.2
Income from discontinued operations, net of tax	$	27.6	$	1.4	$	32.6	$	6.5
1 Includes $21.5 million of deferred tax benefit in 2021 associated with the pending disposition of the Engineered Materials segment.

Major classes of assets and liabilities to be transferred in the transaction:

(in millions)	June 30, 2021		December 31, 2020
Assets:
Accounts receivable, net	$	17.1	$	8.8
Inventories, net	9.4		8.5
Other current assets	0.5		0.1
Property, plant and equipment, net	26.1		26.8
Other assets	0.3		0.6
Intangible assets, net	1.2		1.2
Goodwill	171.3		171.3
Assets held for sale	$	225.9	$	217.3
Liabilities:
Accounts payable	$	25.1	$	19.5
Accrued liabilities	8.1		7.9
Long-term deferred tax liability	4.7		26.1
Other liabilities	—		0.1
Liabilities held for sale	$	37.9	$	53.6

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 4 - Segment Results

Our segments are reported on the same basis used internally for evaluating performance and for allocating resources. We have four reportable segments: Aerospace & Electronics, Process Flow Technologies, Payment & Merchandising Technologies and Engineered Materials. Assets of the reportable segments exclude general corporate assets, which principally consist of cash, deferred tax assets, insurance receivables, certain property, plant and equipment, and certain other assets. Corporate consists of corporate office expenses including compensation and benefits for corporate employees, occupancy, depreciation, and other administrative costs.

A brief description of each of our segments are as follows:

Aerospace & Electronics

The Aerospace & Electronics segment supplies critical components and systems, including original equipment and aftermarket parts, primarily for the commercial aerospace and military aerospace and defense markets.  Products include a wide range of custom designed, highly engineered products used in landing systems, sensing and utility systems, fluid management, seat actuation, power and microelectronic applications, and microwave systems.

Process Flow Technologies

The Process Flow Technologies segment is a provider of highly engineered fluid handling equipment for critical performance applications that require high reliability. The segment is comprised of Process Valves and Related Products, Commercial Valves, and Pumps and Systems. Process Valves and Related Products include on/off valves and related products for critical and demanding applications in the chemical, oil & gas, power, and general industrial end markets globally. Commercial Valves includes the manufacturing and distribution of valves and related products for the non-residential construction, general industrial, and to a lesser extent, municipal markets. Pumps and Systems include pumps and related products primarily for water and wastewater applications in the industrial, municipal, commercial and military markets.

Payment & Merchandising Technologies

The Payment & Merchandising Technologies segment consists of Crane Payment Innovations (“CPI”) and Crane Currency.  CPI provides high technology payment acceptance and dispensing products to original equipment manufacturers, and for certain vertical markets, it also provides currency handling and processing systems, complete cash and cashless payment and merchandising solutions, equipment service solutions, and fully connected managed service solutions. Crane Currency is a supplier of banknotes and highly engineered banknote security features.

Engineered Materials

The Engineered Materials segment manufactures fiberglass-reinforced plastic panels and coils, primarily for use in the manufacturing of recreational vehicles, truck bodies and trailers (Transportation), with additional applications in commercial and industrial buildings (Building Products). In the second quarter of 2021, the assets and liabilities of the Engineered Materials segment were reclassified as held for sale and results are presented as discontinued operations and, therefore, not included in the tables below. This change was applied on a retrospective basis. Please see Note 3 for additional details.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net sales:
Aerospace & Electronics	$	157.5	$	157.4	$	311.5	$	350.3
Process Flow Technologies	310.7		239.3		598.8		495.9
Payment & Merchandising Technologies	328.2		247.6		665.6		544.9
Total	$	796.4	$	644.3	$	1,575.9	$	1,391.1
Operating profit:
Aerospace & Electronics	$	30.8	$	19.5	$	56.8	$	63.3
Process Flow Technologies	46.5		20.2		96.6		48.2
Payment & Merchandising Technologies	77.9		2.0		163.7		28.4
Corporate	(18.3)		(13.0)		(40.2)		(29.5)
Total	$	136.9	$	28.7	$	276.9	$	110.4
Interest income	0.4		0.3		0.9		0.7
Interest expense	(11.4)		(14.4)		(25.0)		(26.9)
Miscellaneous income, net	9.7		2.4		13.6		6.2
Income from continuing operations before income taxes	$	135.6	$	17.0	$	266.4	$	90.4

For the three and six month periods ended June 30, 2021, operating profit includes net restructuring gains of $0.2 million and $13.3 million, respectively. For the three and six month periods ended June 30, 2020, operating profit includes acquisition-related and integration charges of $2.3 million and $7.5 million, respectively, and net restructuring charges of $23.2 million and $22.0 million, respectively. See Note 2, “Acquisitions” and Note 15, “Restructuring” for further discussion.

(in millions)	June 30, 2021		December 31, 2020
Assets:
Aerospace & Electronics	$	609.9	$	593.9
Process Flow Technologies	1,165.8		1,106.1
Payment & Merchandising Technologies	2,149.0		2,215.3
Corporate	272.6		482.4
Assets held for sale	225.9		217.3
Total	$	4,423.2	$	4,615.0

(in millions)	June 30, 2021		December 31, 2020
Goodwill:
Aerospace & Electronics	$	202.5	$	202.5
Process Flow Technologies	356.0		360.0
Payment & Merchandising Technologies	867.5		875.2
Total	$	1,426.0	$	1,437.7

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 5 - Revenue

Disaggregation of Revenues

The following table presents net sales disaggregated by product line for each segment:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Aerospace & Electronics
Commercial Original Equipment	$	53.7	$	51.9	$	108.3	$	132.5
Military and Other Original Equipment	62.8		65.5		125.6		125.9
Commercial Aftermarket Products	25.3		20.3		44.8		54.2
Military Aftermarket Products	15.7		19.7		32.8		37.7
Total Aerospace & Electronics	$	157.5	$	157.4	$	311.5	$	350.3
Process Flow Technologies
Process Valves and Related Products	$	184.3	$	160.8	$	358.6	$	317.9
Commercial Valves	98.2		58.3		187.7		134.1
Pumps and Systems	28.2		20.2		52.5		43.9
Total Process Flow Technologies	$	310.7	$	239.3	$	598.8	$	495.9
Payment & Merchandising Technologies
Payment Acceptance and Dispensing Products 1	$	197.3	$	140.9	$	382.3	$	344.1
Banknotes and Security Products	130.9		106.7		283.3		200.8
Total Payment & Merchandising Technologies	$	328.2	$	247.6	$	665.6	$	544.9
Net sales	$	796.4	$	644.3	$	1,575.9	$	1,391.1

1 As a result of the third quarter 2020 internal merger of the Crane Merchandising Systems (“CMS”) business into the vending vertical of the CPI business, Payment Acceptance and Dispensing Products now includes Merchandising Equipment. The prior period has been reclassified to conform to the current period presentation.

Remaining Performance Obligations

The transaction price allocated to remaining performance obligations represents the transaction price of firm orders which have not yet been fulfilled, which we also refer to as total backlog. As of June 30, 2021, total backlog was $1,191.7 million. We expect to recognize approximately 77% of our remaining performance obligations as revenue in 2021, an additional 21% in 2022 and the balance thereafter.

Contract Assets and Contract Liabilities

Contract assets represent unbilled amounts that typically arise from contracts for customized products or contracts for products sold directly to the U.S. government or indirectly to the U.S. government through subcontracts, where revenue recognized using the cost-to-cost method exceeds the amount billed to the customer. Contract assets are assessed for impairment and recorded at their net realizable value. Contract liabilities represent advance payments from customers. Revenue related to contract liabilities is recognized when control is transferred to the customer. We report contract assets, which are included within “Other current assets” in our Condensed Consolidated Balance Sheets, and contract liabilities, which are included within “Accrued liabilities” on our Condensed Consolidated Balance Sheets, on a contract-by-contract net basis at the end of each reporting period. Net contract assets and contract liabilities consisted of the following:

(in millions)	June 30, 2021		December 31, 2020
Contract assets	$	81.6	$	66.7
Contract liabilities	$	90.3	$	103.0

We recognized revenue of $13.5 million and $46.9 million during the three- and six-month periods ended June 30, 2021 related to contract liabilities as of December 31, 2020.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 6 - Earnings Per Share

Our basic earnings per share calculations are based on the weighted average number of common shares outstanding during the period. Potentially dilutive securities include outstanding stock options, restricted share units, deferred stock units and performance-based restricted share units. The effect of potentially dilutive securities is reflected in diluted earnings per common share by application of the treasury method. Diluted earnings per share gives effect to all potentially dilutive common shares outstanding during the period.

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions, except per share data)	2021		2020		2021		2020
Net income from continuing operations attributable to common shareholders	$	110.7	$	13.4	$	214.1	$	71.1
Income from discontinued operations, net of tax (Note 3)	27.6		1.4		32.6		6.5
Net income attributable to common shareholders	$	138.3	$	14.8	$	246.7	$	77.6
Average basic shares outstanding	58.5		58.0		58.4		58.5
Effect of dilutive share-based awards	0.8		0.5		0.7		0.6
Average diluted shares outstanding	59.3		58.5		59.1		59.1
Earnings per basic share:
Earnings per basic share from continuing operations	$	1.89	$	0.23	$	3.67	$	1.22
Earnings per basic share from discontinued operations	0.47		0.03		0.55		0.11
Earnings per basic share	$	2.36	$	0.26	$	4.22	$	1.33
Earnings per diluted share:
Earnings per diluted share from continuing operations	$	1.87	$	0.23	$	3.62	$	1.20
Earnings per diluted share from discontinued operations	0.46		0.02		0.55		0.11
Earnings per diluted share	$	2.33	$	0.25	$	4.17	$	1.31

The computation of diluted earnings per share excludes the effect of the potentially anti-dilutive securities which was 1.3 million and 2.2 million for the three months ended June 30, 2021 and 2020, respectively, and 1.5 million and 1.8 million for the six months ending June 30, 2021 and 2020, respectively.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 7 - Changes in Equity and Accumulated Other Comprehensive Loss

A summary of changes in equity for the year-to-date interim periods ended June 30, 2021 and 2020 is provided below:

(in millions, except share data)	Common Shares Issued at Par Value	Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock		Total Share- holders’ Equity		Non-controlling Interest		Total Equity
BALANCE DECEMBER 31, 2020	72.4	$	330.7	$	2,192.8	$	(466.4)	$	(600.6)	$	1,528.9	$	2.2	$	1,531.1
Net income	—	—		108.4		—		—		108.4		—		108.4
Cash dividends ($0.43 per share)	—	—		(25.0)		—		—		(25.0)		—		(25.0)
Impact from settlement of share-based awards, net of shares acquired	—	(2.3)		—		—		9.5		7.2		—		7.2
Stock-based compensation expense	—	6.3		—		—		—		6.3		—		6.3
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		4.9		—		4.9		—		4.9
Currency translation adjustment	—	—		—		(35.7)		—		(35.7)		0.8		(34.9)
BALANCE MARCH 31, 2021	72.4	$	334.7	$	2,276.2	$	(497.2)	$	(591.1)	$	1,595.0	$	3.0	$	1,598.0
Net income	—	—		138.3		—		—		138.3		—		138.3
Cash dividends (0.43 per share)	—	—		(25.2)		—		—		(25.2)		—		(25.2)
Impact from settlement of share-based awards, net of shares acquired	—	7.6		—		—		(9.5)		(1.9)		—		(1.9)
Stock-based compensation expense	—	6.1		—		—		—		6.1		—		6.1
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		5.2		—		5.2		—		5.2
Currency translation adjustment	—	—		—		7.7		—		7.7		(0.1)		7.6
BALANCE JUNE 30, 2021	72.4	$	348.4	$	2,389.3	$	(484.3)	$	(600.6)	$	1,725.2	$	2.9	$	1,728.1

(in millions, except share data)	Common Shares Issued at Par Value	Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock		Total Share- holders’ Equity		Non-controlling Interest		Total Equity
BALANCE DECEMBER 31, 2019	72.4	$	315.6	$	2,112.2	$	(483.7)	$	(542.8)	$	1,473.7	$	2.6	$	1,476.3
Net income	—	—		62.8		—		—		62.8		—		62.8
Cash dividends ($0.43 per share)	—	—		(25.5)		—		—		(25.5)		—		(25.5)
Reacquisition on open market of 1,221,233 shares	—	—		—		—		(70.0)		(70.0)		—		(70.0)
Impact from settlement of share-based awards, net of shares acquired	—	(6.0)		—		—		6.0		—		—		—
Stock-based compensation expense	—	5.8		—		—		—		5.8		—		5.8
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		3.6		—		3.6		—		3.6
Currency translation adjustment	—	—		—		(45.2)		—		(45.2)		(0.3)		(45.5)
BALANCE MARCH 31, 2020	72.4	$	315.4	$	2,149.5	$	(525.3)	$	(606.8)	$	1,405.2	$	2.3	$	1,407.5
Net income	—	—		14.8		—		—		14.8		—		$	14.8
Cash dividends ($0.43 per share)	—	—		(24.9)		—		—		(24.9)		—		(24.9)
Impact from settlement of share-based awards, net of shares acquired	—	(1.4)		—		—		1.9		0.5		—		0.5
Stock-based compensation expense	—	4.7		—		—		—		4.7		—		4.7
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		3.6		—		3.6		—		3.6
Currency translation adjustment	—	—		—		17.2		—		17.2		0.2		17.4
BALANCE JUNE 30, 2020	72.4	$	318.7	$	2,139.4	$	(504.5)	$	(604.9)	$	1,421.1	$	2.5	$	1,423.6

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The table below provides the accumulated balances for each classification of accumulated other comprehensive income (loss), as reflected on our Condensed Consolidated Balance Sheets.

(in millions)		Defined Benefit Pension and Postretirement Items		Currency Translation Adjustment		Total a
Balance as of December 31, 2020		$	(397.9)	$	(68.5)	$	(466.4)
	Other comprehensive income (loss) before reclassifications	—		(28.0)		(28.0)
	Amounts reclassified from accumulated other comprehensive loss	10.1		—		10.1
Net period other comprehensive income (loss)		10.1		(28.0)		(17.9)
Balance as of June 30, 2021		$	(387.8)	$	(96.5)	$	(484.3)

a  Net of tax benefit of $150.6 million and $148.2 million as of June 30, 2021 and December 31, 2020, respectively.

The table below illustrates the amounts reclassified out of each component of accumulated other comprehensive loss for the three and six month periods ended June 30, 2021 and 2020. Amortization of pension and postretirement components has been recorded within “Miscellaneous income, net” on our Condensed Consolidated Statements of Operations.

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Amortization of pension items:
Prior-service costs	$	(0.1)	$	(0.1)	$	(0.1)	$	(0.1)
Net loss	6.5		4.9		13.1		9.7
Amortization of postretirement items:
Prior-service costs	(0.3)		(0.3)		(0.5)		(0.5)
Total before tax	$	6.1	$	4.5	$	12.5	$	9.1
Tax impact	1.1		0.9		2.4		2.0
Total reclassifications for the period	$	5.0	$	3.6	$	10.1	$	7.1

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 8 - Defined Benefit and Postretirement Benefits

For all plans, the components of net periodic benefit for the three months ended June 30, 2021 and 2020 are as follows:

	Pension				Postretirement
(in millions)	2021		2020		2021		2020
Service cost	$	1.7	$	1.6	$	0.1	$	0.1
Interest cost	5.2		6.6		0.2		0.2
Expected return on plan assets	(15.7)		(14.0)		—		—
Amortization of prior service cost	(0.1)		(0.1)		(0.3)		(0.3)
Amortization of net loss	6.5		4.9		—		—
Net periodic benefit	$	(2.4)	$	(1.0)	$	—	$	—

For all plans, the components of net periodic benefit for the six months ended June 30, 2021 and 2020 are as follows:

	Pension				Postretirement
(in millions)	2021		2020		2021		2020
Service cost	$	3.2	$	3.2	$	0.2	$	0.1
Interest cost	10.4		13.2		0.3		0.4
Expected return on plan assets	(29.8)		(28.7)		—		—
Recognized curtailment gain	(0.7)		—		—		—
Amortization of prior service cost	(0.1)		(0.1)		(0.5)		(0.5)
Amortization of net loss	13.1		9.7		—		—
Net periodic benefit	$	(3.9)	$	(2.7)	$	—	$	—

The components of net periodic benefit, other than the service cost component, are included in “Miscellaneous income, net” in our Condensed Consolidated Statements of Operations. Service cost is recorded within “Cost of sales” and “Selling, general and administrative” in our Condensed Consolidated Statements of Operations.

We expect to contribute the following to our pension and postretirement plans:

(in millions)	Pension		Postretirement
Expected contributions in 2021	$	20.7	$	2.6
Amounts contributed during the six months ended June 30, 2021	$	16.9	$	0.3

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 9 - Income Taxes

Effective Tax Rates

Our quarterly provision for income taxes is measured using an annual effective tax rate, adjusted for discrete items within the period presented.

Our effective tax rates are as follows:

	Three Months Ended June 30,		Six Months Ended June 30,
	2021	2020	2021	2020
Effective Tax Rate	18.4%	20.9%	19.6%	21.6%

Our effective tax rates attributable to continuing operations for the three and six months ended June 30, 2021 are lower than the prior year’s comparable periods primarily due to higher tax credit utilization, partially offset by the reversal of tax accruals in the prior year related to an audit settlement.

Our effective tax rates attributable to continuing operations for the three and six months ended June 30, 2021 are lower than the statutory U.S. federal tax rate of 21% primarily due to excess share-based compensation benefits, partially offset by state taxes.

Unrecognized Tax Benefits

During the three and six months ended June 30, 2021, our gross unrecognized tax benefits, excluding interest and penalties, increased by $0.5 million and $0.4 million, respectively, primarily due to increases in tax positions taken in the current and prior periods, partially offset by reductions from expiration of statutes of limitations. During the three and six months ended June 30, 2021, the total amount of unrecognized tax benefits that, if recognized, would affect our effective tax rate increased by $0.6 million and $0.6 million, respectively. The difference between these amounts relates to (1) offsetting tax effects from other tax jurisdictions, and (2) interest expense, net of deferred taxes.

During the three and six months ended June 30, 2021, we recognized $0.2 million of interest and penalty expense related to unrecognized tax benefits in our Condensed Consolidated Statement of Operations. As of June 30, 2021 and December 31, 2020, the total amount of accrued interest and penalty expense related to unrecognized tax benefits recorded in our Condensed Consolidated Balance Sheets was $7.8 million and $7.5 million, respectively.

During the next twelve months, it is reasonably possible that our unrecognized tax benefits may decrease by $10.1 million due to expiration of statutes of limitations and settlements with tax authorities. However, if the ultimate resolution of income tax examinations results in amounts that differ from this estimate, we will record additional income tax expense or benefit in the period in which such matters are effectively settled.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 10 - Goodwill and Intangible Assets

Our business acquisitions have typically resulted in the recognition of goodwill and other intangible assets. We follow the provisions under ASC Topic 350, “Intangibles – Goodwill and Other” as it relates to the accounting for goodwill in our condensed consolidated financial statements. These provisions require that we, on at least an annual basis, evaluate the fair value of the reporting units to which goodwill is assigned and attributed and compare that fair value to the carrying value of the reporting unit to determine if an impairment has occurred. We perform our annual impairment testing during the fourth quarter. Impairment testing takes place more often than annually if events or circumstances indicate a change in status that would indicate a potential impairment. We believe that there have been no events or circumstances which would more likely than not reduce the fair value for our reporting units below its carrying value. A reporting unit is an operating segment unless discrete financial information is prepared and reviewed by segment management for businesses one level below that operating segment (a “component”), in which case the component would be the reporting unit. As of June 30, 2021, we had seven reporting units. In the second quarter of 2021, the assets and liabilities of our Engineered Materials segment (which was a separate reportable segment and reporting unit) were classified as held for sale. Please see Note 3 for additional details.

Intangibles with indefinite useful lives, consisting of trade names are tested annually for impairment, or when events or changes in circumstances indicate the potential for impairment. If the carrying amount of an indefinite lived intangible asset exceeds its fair value, the intangible asset is written down to its fair value. Fair value is calculated using relief from royalty method. We amortize the cost of definite-lived intangibles over their estimated useful lives. We also review all of our definite-lived intangible assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable.

Changes to goodwill are as follows:

(in millions)	Aerospace & Electronics		Process Flow Technologies		Payment & Merchandising Technologies		Total
Balance as of December 31, 2020	$	202.5	$	360.0	$	875.2	$	1,437.7
Adjustments to purchase price allocations	—		(0.1)		—		(0.1)
Currency translation	—		(3.9)		(7.7)		(11.6)
Balance at June 30, 2021	$	202.5	$	356.0	$	867.5	$	1,426.0

For the six months ended June 30, 2021, adjustments of $0.1 million represent the finalization of the purchase price allocation for the acquisition of I&S. See a discussion in Note 2, “Acquisitions” for further details.

As of June 30, 2021, we had $491.3 million of net intangible assets, of which $71.2 million were intangibles with indefinite useful lives. As of December 31, 2020, we had $519.1 million of net intangible assets, of which $70.9 million were intangibles with indefinite useful lives.

Changes to intangible assets are as follows:

(in millions)	Six Months Ended June 30, 2021		Year Ended December 31, 2020
Balance at beginning of period, net of accumulated amortization	$	519.1	$	503.7
Additions	—		52.5
Amortization expense	(22.6)		(48.3)
Currency translation	(5.2)		11.2
Balance at end of period, net of accumulated amortization	$	491.3	$	519.1

For the year ended December 31, 2020, additions to intangible assets represent the purchase price allocation related to the January 2020 acquisition of I&S. See discussion in Note 2, “Acquisitions” for further details.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

A summary of intangible assets follows:

		June 30, 2021						December 31, 2020
(in millions)	Weighted Average Amortization Period of Finite Lived Assets (in years)	Gross Asset		Accumulated Amortization		Net		Gross Asset		Accumulated Amortization		Net
Intellectual property rights	15.2	$	133.0	$	54.0	$	79.0	$	133.2	$	53.4	$	79.8
Customer relationships and backlog	18.3	617.1		257.5		359.6		623.7		241.9		381.8
Drawings	40	11.1		10.6		0.5		11.1		10.5		0.6
Other	11.7	139.0		86.8		52.2		140.2		83.3		56.9
Total	17.8	$	900.2	$	408.9	$	491.3	$	908.2	$	389.1	$	519.1

Future amortization expense associated with intangible assets is expected to be:

(in millions)
Remainder of 2021	$	22.2
2022	42.8
2023	42.8
2024	41.8
2025 and after	270.5

Note 11 - Accrued Liabilities

Accrued liabilities consist of: 

(in millions)	June 30, 2021		December 31, 2020
Employee related expenses	$	127.9	$	120.5
Warranty	10.5		8.1
Current lease liabilities	22.8		23.0
Contract liabilities	90.3		103.0
Other	136.9		133.4
Total	$	388.4	$	388.0

We accrue warranty liabilities when it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated. Warranty provision is included within “Cost of sales” in our Condensed Consolidated Statements of Operations.

The following table summarizes warranty activity recorded during the three and six months ended June 30, 2021 and 2020.

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Balance at beginning of period	$	10.2	$	9.6	$	8.1	$	9.8
Expense	2.8		2.6		6.0		5.1
Changes due to acquisitions	—		0.3		—		0.3
Payments / deductions	(2.4)		(3.7)		(3.4)		(6.4)
Currency translation	(0.1)		—		(0.2)		—
Balance at end of period	$	10.5	$	8.8	$	10.5	$	8.8

 

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 12 - Commitments and Contingencies

Asbestos Liability

Information Regarding Claims and Costs in the Tort System

As of June 30, 2021, we were a defendant in cases filed in numerous state and federal courts alleging injury or death as a result of exposure to asbestos. Activity related to asbestos claims during the periods indicated was as follows:

	Three Months Ended		Six Months Ended		Year Ended
	June 30,		June 30,		December 31,
	2021	2020	2021	2020	2020
Beginning claims	29,407	29,162	29,138	29,056	29,056
New claims	772	577	1,505	1,258	2,620
Settlements	(176)	(264)	(336)	(429)	(885)
Dismissals	(215)	(548)	(519)	(958)	(1,653)
Ending claims	29,788	28,927	29,788	28,927	29,138

Of the 29,788 pending claims as of June 30, 2021, approximately 18,000 claims were pending in New York of which approximately 16,000 are non-malignancy claims that were filed over 15 years ago and have been inactive under New York court orders.

We have tried several cases resulting in defense verdicts by the jury or directed verdicts for the defense by the court. We further have pursued appeals of certain adverse jury verdicts that have resulted in reversals in favor of the defense. We have also tried several other cases resulting in plaintiff verdicts which we paid or settled after unsuccessful appeals.

The gross settlement and defense costs incurred (before insurance recoveries and tax effects) by us for the six months ended June 30, 2021 and 2020 totaled $21.3 million and $23.9 million, respectively. In contrast to the recognition of settlement and defense costs, which reflect the current level of activity in the tort system, cash payments and receipts generally lag the tort system activity by several months or more, and may show some fluctuation from period to period. Cash payments of settlement amounts are not made until all releases and other required documentation are received by us, and reimbursements of both settlement amounts and defense costs by insurers may be uneven due to insurer payment practices, transitions from one insurance layer to the next excess layer and the payment terms of certain reimbursement agreements. Our total pre-tax payments for settlement and defense costs, net of funds received from insurers, for the six months ended June 30, 2021 and, 2020 totaled $20.2 million and $19.2 million, respectively. Detailed below are the comparable amounts for the periods indicated.

	Three Months Ended				Six Months Ended				Year Ended
(in millions)	June 30,				June 30,				December 31,
	2021		2020		2021		2020		2020
Settlement / indemnity costs incurred (1)	$	8.4	$	7.6	$	13.9	$	15.8	$	35.3
Defense costs incurred (1)	3.8		3.6		7.4		8.1		15.6
Total costs incurred	$	12.2	$	11.2	$	21.3	$	23.9	$	50.9
Settlement / indemnity payments	$	9.4	$	5.9	$	19.5	$	16.9	$	24.7
Defense payments	4.2		4.2		7.4		8.5		16.7
Insurance receipts	(4.2)		(2.7)		(6.7)		(6.2)		(10.3)
Pre-tax cash payments, net	$	9.4	$	7.4	$	20.2	$	19.2	$	31.1

(1) Before insurance recoveries and tax effects.

The amounts shown for settlement and defense costs incurred, and cash payments, are not necessarily indicative of future period amounts, which may be higher or lower than those reported.

Cumulatively through June 30, 2021, we have resolved (by settlement or dismissal) approximately 142,000 claims. The related settlement costs incurred by us and our insurance carriers is approximately $692 million, for an average settlement cost per resolved claim of approximately $4,900. The average settlement cost per claim resolved during the years ended December 31, 2020, 2019 and 2018 was $13,900, $15,800, and $11,300, respectively. Because claims are sometimes dismissed in large

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

groups, the average cost per resolved claim, as well as the number of open claims, can fluctuate significantly from period to period. In addition to large group dismissals, the nature of the disease and corresponding settlement amounts for each claim resolved will also drive changes from period to period in the average settlement cost per claim. Accordingly, the average cost per resolved claim is not considered in our periodic review of our estimated asbestos liability. For a discussion regarding the four most significant factors affecting the liability estimate, see “Effects on the Condensed Consolidated Financial Statements.”

Effects on the Condensed Consolidated Financial Statements

We have retained an independent actuarial firm to assist management in estimating our asbestos liability in the tort system. The actuarial consultants review information provided by us concerning claims filed, settled and dismissed, amounts paid in settlements and relevant claim information such as the nature of the asbestos-related disease asserted by the claimant, the jurisdiction where filed and the time lag from filing to disposition of the claim. The methodology used by the actuarial consultants to project future asbestos costs is based on our recent historical experience for claims filed, settled and dismissed during a base reference period. Our experience is then compared to estimates of the number of individuals likely to develop asbestos-related diseases determined based on widely used previously conducted epidemiological studies augmented with current data inputs. Those studies were undertaken in connection with national analyses of the population of workers believed to have been exposed to asbestos. Using that information, the actuarial consultants estimate the number of future claims that would be filed against us and estimates the aggregate settlement or indemnity costs that would be incurred to resolve both pending and future claims based upon the average settlement costs by disease during the reference period. This methodology has been accepted by numerous courts. After discussions with us, the actuarial consultants augment our liability estimate for the costs of defending asbestos claims in the tort system using a forecast from us which is based upon discussions with our defense counsel. Based on this information, the actuarial consultants compile an estimate of our asbestos liability for pending and future claims using a range of reference periods based on claim experience and claims expected to be filed through the indicated forecast period. The most significant factors affecting the liability estimate are (1) the number of new mesothelioma claims filed against us, (2) the average settlement costs for mesothelioma claims, (3) the percentage of mesothelioma claims dismissed against us and (4) the aggregate defense costs incurred by us. These factors are interdependent, and no one factor predominates in determining the liability estimate.

In our view, the forecast period used to provide the best estimate for asbestos claims and related liabilities and costs is a judgment based upon a number of trend factors, including the number and type of claims being filed each year; the jurisdictions where such claims are filed, and the effect of any legislation or judicial orders in such jurisdictions restricting the types of claims that can proceed to trial on the merits; and the likelihood of any comprehensive asbestos legislation at the federal level. In addition, the dynamics of asbestos litigation in the tort system have been significantly affected by the substantial number of companies that have filed for bankruptcy protection, thereby staying any asbestos claims against them until the conclusion of such proceedings, and the establishment of a number of post-bankruptcy trusts for asbestos claimants, which have been estimated to provide $36 billion for payments to current and future claimants. These trend factors have both positive and negative effects on the dynamics of asbestos litigation in the tort system and the related best estimate of our asbestos liability, and these effects do not move in a linear fashion but rather change over multi-year periods. Accordingly, management continues to monitor these trend factors over time and periodically assesses whether an alternative forecast period is appropriate.

Each quarter, the actuarial consultants compile an update based upon our experience in claims filed, settled and dismissed as well as average settlement costs by disease category (mesothelioma, lung cancer, other cancer, and non-malignant conditions including asbestosis). In addition to this claims experience, we also consider additional quantitative and qualitative factors such as the nature of the aging of pending claims, significant appellate rulings and legislative developments, and their respective effects on expected future settlement values. As part of this process, we also consider trends in the tort system such as those enumerated above. Management considers all these factors in conjunction with the liability estimate of the actuarial consultants and determines whether a change in the estimate is warranted.

Liability Estimate. In June 2016, the New York State Court of Appeals issued its opinion in Dummitt v. Crane Co., affirming a 2012 verdict for $4.9 million against us. In that opinion, the court ruled that in certain circumstances we are legally responsible for asbestos-containing materials made and sold by third parties that others attached post-sale to our equipment. This decision provided clarity regarding the nature of claims that may proceed to trial in New York and greater predictability regarding future claim activity. We also reflected the impact of the Dummitt decision on our expected settlement values. Accordingly, on December 31, 2016, we updated and extended our asbestos liability estimate through 2059, the generally accepted end point.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Following our experience in the tort system post the Dummitt decision, we entered into several, increasingly similar, group settlements with various plaintiff firms and we expect this new trend of these types of group settlements to continue. Accordingly, effective as of December 31, 2019, we updated our estimate of the asbestos liability, including revised costs of settlement or indemnity payments and defense costs relating to currently pending claims and future claims projected to be filed against us through the same expected end point of 2059. Our estimate of the asbestos liability for pending and future claims through 2059 is based on the projected future asbestos costs resulting from our experience using a range of reference periods for claims filed, settled and dismissed. Based on this estimate, we recorded an additional liability of $255 million as of December 31, 2019.

An aggregate liability of $712 million is recorded as of December 31, 2019 to cover the estimated cost of asbestos claims now pending or subsequently asserted through 2059, of which approximately 85% is attributable to settlement and defense costs for future claims projected to be filed through 2059. The liability is reduced when cash payments are made in respect of settled claims and defense costs. The liability was $643 million and $670 million as of June 30, 2021 and December 31, 2020, respectively. It is not possible to forecast when cash payments related to the asbestos liability will be fully expended; however, it is expected such cash payments will continue for a number of years past 2059, due to the significant proportion of future claims included in the estimated asbestos liability and the lag time between the date a claim is filed and when it is resolved. None of these estimated costs have been discounted to present value due to the inability to reliably forecast the timing of payments. The current portion of the total estimated liability at June 30, 2021 and December 31, 2020 is $66.5 million and represents our best estimate of total asbestos costs expected to be paid during the twelve-month period. Such amount is based upon the actuarial model together with our prior year payment experience for both settlement and defense costs.

We have made our best estimate of the costs through 2059. Through June 30, 2021, our actual experience during the updated reference period for mesothelioma claims filed and dismissed generally approximated the assumptions in our liability estimate. In addition to this claims experience, we considered additional quantitative and qualitative factors such as the nature of the aging of pending claims, significant appellate rulings and legislative developments, and their respective effects on expected future settlement values. Based on this evaluation, we determined that no change in the estimate was warranted for the period ended June 30, 2021.

Insurance Coverage and Receivables. Prior to 2005, a significant portion of our settlement and defense costs were paid by our primary insurers. With the exhaustion of that primary coverage, we began negotiations with our excess insurers to reimburse us for a portion of our settlement and/or defense costs as incurred. To date, we have entered into agreements providing for such reimbursements, known as “coverage-in-place,” with eleven of our excess insurer groups. Under such coverage-in-place agreements, an insurer’s policies remain in force and the insurer undertakes to provide coverage for our present and future asbestos claims on specified terms and conditions that address, among other things, the share of asbestos claims costs to be paid by the insurer, payment terms, claims handling procedures and the expiration of the insurer’s obligations. Similarly, under a variant of coverage-in-place, we have entered into an agreement with a group of insurers confirming the aggregate amount of available coverage under the subject policies and setting forth a schedule for future reimbursement payments to us based on aggregate indemnity and defense payments made. In addition, with ten of our excess insurer groups, we entered into agreements settling all asbestos and other coverage obligations for an agreed sum and received a total of $82.5 million in aggregate as a result of those settlements. Reimbursements from insurers for past and ongoing settlement and defense costs allocable to their policies have been made in accordance with these coverage-in-place and other agreements. All these agreements include provisions for mutual releases, indemnification of the insurer and, for coverage-in-place, claims handling procedures. With the agreements referenced above, we have concluded settlements with all but two of our solvent excess insurers with policies expected to respond to the aggregate costs included in the liability estimate. The first such insurer, which issued a single applicable policy, has been paying for many years the shares of defense and indemnity costs we have allocated to it, subject to a reservation of rights. The second insurer issued a single applicable policy in a layer of coverage that we do not anticipate reaching until many years from now, and, prior to the policy being reached, we anticipate opening a dialogue with that insurer about the execution of a suitable agreement. There are no pending legal proceedings between us and any insurer contesting our asbestos claims under our insurance policies.

In conjunction with developing the aggregate updated liability estimate referenced above, we also developed an updated estimate of probable insurance recoveries for our asbestos liabilities. In developing this estimate, we considered our coverage-in-place and other settlement agreements described above, as well as several additional factors. These additional factors include the financial viability of the insurance companies, the method by which losses will be allocated to the various insurance policies and the years covered by those policies, how settlement and defense costs will be covered by the insurance policies and interpretation of the effect on coverage of various policy terms and limits. In addition, the timing and amount of reimbursements will vary because our insurance coverage for asbestos claims involves multiple insurers, with different policy terms and certain gaps in coverage. In addition to consulting with legal counsel on these insurance matters, we retained insurance consultants to assist management in the estimation of probable insurance recoveries based upon the aggregate

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

liability estimate described above and assuming the continued viability of all solvent insurance carriers. Based upon the analysis of policy terms and other factors noted above by our legal counsel, and incorporating risk mitigation judgments by us where policy terms or other factors were not certain, our insurance consultants compiled a model indicating how our historical insurance policies would respond to varying levels of asbestos settlement and defense costs and the allocation of such costs between such insurers and us. Using the estimated liability as of December 31, 2019 (for claims filed or expected to be filed through 2059), the insurance consultant’s model forecasted that approximately 14% of the liability would be reimbursed by our insurers. While there are overall limits on the aggregate amount of insurance available to us with respect to asbestos claims, certain limits were not reached by the total estimated liability currently recorded by us, and such overall limits did not influence our determination of the asset amount to record. We allocate to ourselves the amount of the asbestos liability (for claims filed or expected to be filed through 2059) that is in excess of available insurance coverage allocated to such years. An asset of $98 million was recorded as of December 31, 2019 representing the probable insurance reimbursement for claims expected through 2059. The asset is reduced as reimbursements and other payments from insurers are received. The asset was $80 million and $87 million as of June 30, 2021 and December 31, 2020, respectively.

We review the estimated reimbursement rate with our insurance consultants on a periodic basis in order to confirm overall consistency with our established reserves. The reviews encompass consideration of the performance of the insurers under coverage-in-place agreements and the effect of any additional lump-sum payments under other insurer agreements. Actual insurance reimbursements vary from period to period, and will decline over time, for the reasons cited above.

Uncertainties. Estimation of our ultimate exposure for asbestos-related claims is subject to significant uncertainties, as there are multiple variables that can affect the timing, severity and quantity of claims and the manner of their resolution. We caution that our estimated liability is based on assumptions with respect to future claims, settlement and defense costs based on past experience that may not prove reliable as predictors; the assumptions are interdependent and no single factor predominates in determining the liability estimate. A significant upward or downward trend in the number of claims filed, depending on the nature of the alleged injury, the jurisdiction where filed and the quality of the product identification, or a significant upward or downward trend in the costs of defending claims, could change the estimated liability, as would substantial adverse verdicts at trial that withstand appeal. A legislative solution, structured settlement transaction, or significant change in relevant case law could also change the estimated liability.

The same factors that affect developing estimates of probable settlement and defense costs for asbestos-related liabilities also affect estimates of the probable insurance reimbursements, as do a number of additional factors. These additional factors include the financial viability of the insurance companies, the method by which losses will be allocated to the various insurance policies and the years covered by those policies, how settlement and defense costs will be covered by the insurance policies and interpretation of the effect on coverage of various policy terms and limits and their interrelationships. In addition, due to the uncertainties inherent in litigation matters, no assurances can be given regarding the outcome of any litigation, if necessary, to enforce our rights under our insurance policies or settlement agreements.

Many uncertainties exist surrounding asbestos litigation, and we will continue to evaluate our estimated asbestos-related liability and corresponding estimated insurance reimbursement as well as the underlying assumptions and process used to derive these amounts. These uncertainties may result in our incurring future charges or increases to income to adjust the carrying value of recorded liabilities and assets, particularly if the number of claims and settlement and defense costs change significantly, or if there are significant developments in the trend of case law or court procedures, or if legislation or another alternative solution is implemented. Although the resolution of these claims will likely take many years, the effect on the results of operations, financial position and cash flow in any given period from a revision to these estimates could be material.

Other Contingencies

Environmental Matters

For environmental matters, we record a liability for estimated remediation costs when it is probable that we will be responsible for such costs and they can be reasonably estimated. Generally, third party specialists assist in the estimation of remediation costs. The environmental remediation liability as of June 30, 2021 is substantially related to the former manufacturing site in Goodyear, Arizona (the “Goodyear Site”) discussed below. On June 21, 2021, we completed the sale of substantially all of the property associated with what we have historically called the Goodyear Site for $8.7 million, retaining only a small parcel on which our remediation and treatment systems are located. We will continue to be responsible for all remediation costs associated with the Goodyear Site.

Goodyear Site

The Goodyear Site was operated by Unidynamics/Phoenix, Inc. (“UPI”), which became an indirect subsidiary in 1985 when we acquired UPI’s parent company, UniDynamics Corporation. UPI manufactured explosive and pyrotechnic compounds,

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

including components for critical military programs, for the U.S. government at the Goodyear Site from 1962 to 1993, under contracts with the Department of Defense and other government agencies and certain of their prime contractors. In 1990, the U.S. Environmental Protection Agency (“EPA”) issued administrative orders requiring UPI to design and carry out certain remedial actions, which UPI has done. Groundwater extraction and treatment systems have been in operation at the Goodyear Site since 1994. On July 26, 2006, we entered into a consent decree with the EPA with respect to the Goodyear Site providing for, among other things, a work plan for further investigation and remediation activities (inclusive of a supplemental remediation investigation and feasibility study). During the third quarter of 2014, the EPA issued a Record of Decision (“ROD”) amendment permitting, among other things, additional source area remediation resulting in us recording a charge of $49.0 million, extending the accrued costs through 2022. Following the 2014 ROD amendment, we continued our remediation activities and explored an alternative strategy to accelerate remediation of the site. During the fourth quarter of 2019, we received conceptual agreement from the EPA on our alternative remediation strategy which is expected to further reduce the contaminant plume. Accordingly, in 2019, we recorded a pre-tax charge of $18.9 million, net of reimbursements, to extend our forecast period through 2027 and reflect our revised workplan.  The total estimated gross liability was $35.5 million and $39.8 million as of June 30, 2021 and December 31, 2020, respectively and as described below, a portion is reimbursable by the U.S. Government. The current portion of the total estimated liability was $10.9 million as of June 30, 2021 and December 31, 2020 and represents our best estimate, in consultation with our technical advisors, of total remediation costs expected to be paid during the twelve-month period. It is not possible at this point to reasonably estimate the amount of any obligation in excess of our current accruals through the 2027 forecast period because of the aforementioned uncertainties, in particular, the continued significant changes in the Goodyear Site conditions and additional expectations of remediation activities experienced in recent years.

On July 31, 2006, we entered into a consent decree with the U.S. Department of Justice on behalf of the Department of Defense and the Department of Energy pursuant to which, among other things, the U.S. Government reimburses us for 21% of qualifying costs of investigation and remediation activities at the Goodyear Site. As of June 30, 2021 and December 31, 2020, we recorded a receivable of $7.3 million and $7.8 million, respectively, for the expected reimbursements from the U.S. Government in respect of the aggregate liability as at that date. The receivable is reduced as reimbursements and other payments from the U.S. Government are received.

Other Environmental Matters

Marion, IL Site

We have been identified as a potentially responsible party (“PRP”) with respect to environmental contamination at the Crab Orchard National Wildlife Refuge Superfund Site (the “Crab Orchard Site”). The Crab Orchard Site is located near Marion, Illinois, and consists of approximately 55,000 acres. Beginning in 1941, the United States used the Crab Orchard Site for the production of ordnance and other related products for use in World War II. In 1947, about half of the Crab Orchard Site was leased to a variety of industrial tenants whose activities (which continue to this day) included manufacturing ordnance and explosives. A predecessor of us formerly leased portions of the Crab Orchard Site and conducted manufacturing operations at the Crab Orchard Site from 1952 until 1964. General Dynamics Ordnance and Tactical Systems, Inc. (“GD-OTS”) is in the process of conducting a remedial investigation and feasibility study for a portion of the Crab Orchard Site (the “AUS-OU”), which includes an area where we maintained operations, pursuant to an Administrative Order on Consent. A remedial investigation report was approved in February 2015, and work on the feasibility study is underway. It is unclear when the final feasibility study will be completed, or when a final Record of Decision may be issued.

GD-OTS has asked us to participate in a voluntary, multi-party mediation exercise with respect to response costs it has incurred or will incur with respect to the AUS-OU. We and other PRPs executed a non-binding mediation agreement on March 16, 2015, and the U.S. government executed the mediation agreement on August 6, 2015. The first phase of the mediation, involving certain former munitions or ordnance storage areas, began in November 2017, but did not result in a multi-party settlement agreement. Subsequently, we entered into discussions directly with GD-OTS and reached an agreement-in-principle with GD-OTS to contribute toward GD-OTS’s past RI-FS costs associated with the first-phase areas for a non-material amount. We have also agreed to pay a modest percentage of future RI-FS costs and the United States’ claimed past response costs relative to the first-phase areas, a sum that we expect in the aggregate to be immaterial. We understand that GD-OTS has also reached agreements-in-principle with the U.S. Government and the other participating PRPs related to the first-phase areas of concern. Negotiations between GD-OTS and the U.S. Government are underway with respect to resolution of the remaining areas of the site, including those portions of the Crab Orchard Site where our predecessor conducted manufacturing and research activities. We at present cannot predict whether these further negotiations will result in an agreement, or when any determination of the ultimate allocable shares of the various PRPs, including the U.S. Government, is likely to be completed. It is not possible at this time to reasonably estimate the total amount of any obligation for remediation of the Crab Orchard Site as a whole because the allocation among PRPs, selection of remediation alternatives,

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

and concurrence of regulatory authorities have not yet advanced to the stage where a reasonable estimate can be made. We notified our insurers of this potential liability and have obtained defense and indemnity coverage, subject to reservations of rights, under certain of our insurance policies.

Roseland, NJ Site

The Roseland Site was operated by Resistoflex Corporation (“Resistoflex”), which became an indirect subsidiary of ours in 1985 when we acquired Resistoflex’s parent company, UniDynamics Corporation. Resistoflex manufactured specialty lined pipe and fittings at the site from the 1950s until it was closed in the mid-1980s. We undertook an extensive soil remediation effort at the Roseland Site following our closure and had been monitoring the Site’s condition in the years that followed. In response to changes in remediation standards, in 2014 we began to conduct further site characterization and delineation studies at the Site. We are in the late stages of our remediation activities at the Site, which include a comprehensive delineation of contaminants of concern in soil, groundwater, surface water, sediment, and indoor air testing, all in accordance with the New Jersey Department of Environmental Protection guidelines and directives.

Other Proceedings

We regularly review the status of lawsuits, claims and proceedings that have been or may be asserted against us relating to the conduct of our business, including those pertaining to product liability, patent infringement, commercial, employment, employee benefits, environmental and stockholder matters. We record a provision for a liability for such matters when it is considered probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These provisions, if any, are reviewed quarterly and adjusted as additional information becomes available. If either or both of the criteria are not met, we assess whether there is at least a reasonable possibility that a loss, or additional losses, may have been incurred. If there is a reasonable possibility that a loss or additional loss may have been incurred for such matters, we disclose the estimate of the amount of loss or range of loss, disclose that the amount is immaterial, or disclose that an estimate of loss cannot be made, as applicable. We believe that as of June 30, 2021, there was no reasonable possibility that a material loss, or any additional material losses, may have been incurred for such matters, and that adequate provision has been made in our financial statements for the potential impact of all such matters.

Note 13 - Financing

Our debt consisted of the following:

(in millions)	June 30, 2021		December 31, 2020
Commercial paper	$	15.0	$	27.2
364-Day Credit Agreement	—		348.5
Total short-term borrowings	$	15.0	$	375.7
4.45% notes due December 2023	$	299.2	$	299.1
6.55% notes due November 2036	198.5		198.4
4.20% notes due March 2048	346.3		346.2
Other deferred financing costs associated with credit facilities	(0.6)		(0.8)
Total long-term debt	$	843.4	$	842.9
Debt discounts and debt issuance costs totaled $6.0 million and $6.6 million million as of each of June 30, 2021 and December 31, 2020, respectively, and have been netted against the aggregate principal amounts of the related debt in the components of the debt table above.

As of June 30, 2021 and December 31, 2021, there was $15.0 million and $27.2 million of outstanding borrowings under the commercial paper program (the “CP Program”), respectively. We issued commercial paper of $100 million in January 2020 and $150 million in December 2019 to fund the acquisitions of I&S and Cummins-Allison Corp. (“Cummins-Allison”), respectively. See discussion in Note 2, “Acquisitions” for further details. Amounts available under the commercial paper program may be borrowed, repaid and re-borrowed from time to time, with the aggregate principal amount of the notes outstanding under the commercial paper program at any time not to exceed $550 million as of June 30, 2020. See discussion in Note 16, “Subsequent Events” for further details regarding the CP Program.

We also have a revolving credit agreement permitting borrowings of up to $550 million which expires in December 2022. The undrawn portion of this revolving credit agreement is also available to serve as a backstop facility for the issuance of

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

commercial paper. In the first half of 2020, we repaid the outstanding amounts related to borrowings of $67 million used to fund the I&S acquisition in January 2020. See discussion in Note 2, “Acquisitions” for further details. As of June 30, 2021 and December 31, 2020, there were no outstanding borrowings. See discussion in Note 16, “Subsequent Events” for further details regarding our new revolving credit agreement.

In April 2020, to enhance financial flexibility and maintain maximum liquidity in response to the uncertainty in the global markets resulting from the COVID-19 pandemic, we entered into a senior unsecured 364-day credit facility (the “364-Day Credit Agreement”). On April 15, 2021, we repaid the amount outstanding under the 364-Day Credit Agreement with cash on hand and the issuance of commercial paper. As of December 31, 2020, there was $348.5 million outstanding under the 364-Day Credit Agreement.

Note 14 - Fair Value Measurements

Accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements are to be considered from the perspective of a market participant that holds the asset or owes the liability. The standards also establish a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

The standards describe three levels of inputs that may be used to measure fair value:

Level 1: Quoted prices in active markets for identical or similar assets and liabilities.

Level 2: Quoted prices for identical or similar assets and liabilities in markets that are not active or observable inputs other than quoted prices in active markets for identical or similar assets and liabilities. Level 2 assets and liabilities include over-the-counter derivatives, principally forward foreign exchange contracts, whose value is determined using pricing models with inputs that are generally based on published foreign exchange rates and exchange traded prices, adjusted for other specific inputs that are primarily observable in the market or can be derived principally from or corroborated by observable market data.

Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Valuation Technique

The carrying value of our financial assets and liabilities, including cash and cash equivalents, accounts receivable and accounts payable approximate fair value, without being discounted, due to the short periods during which these amounts are outstanding.

We are exposed to certain risks related to our ongoing business operations, including market risks related to fluctuation in currency exchange. We use foreign exchange contracts to manage the risk of certain cross-currency business relationships to minimize the impact of currency exchange fluctuations on our earnings and cash flows. We do not hold or issue derivative financial instruments for trading or speculative purposes. Foreign exchange contracts are not designated as hedging instruments and had a notional value of $33.0 million and $34.2 million as of June 30, 2021 and December 31, 2020, respectively. Our derivative assets and liabilities include foreign exchange contract derivatives that are measured at fair value using internal models based on observable market inputs such as forward rates and interest rates. Based on these inputs, the derivatives are classified within Level 2 of the valuation hierarchy. Such derivative receivable amounts are recorded within “Other current assets” on our Condensed Consolidated Balance Sheets and were $0.2 million and less than $0.1 million as of June 30, 2021 and December 31, 2020, respectively. Such derivative liability amounts are recorded within “Accrued liabilities” on our Condensed Consolidated Balance Sheets and were $0.0 million and $0.1 million as of June 30, 2021 and December 31, 2020, respectively.

Available-for-sale securities consist of marketable debt securities and rabbi trust investments. Marketable debt securities consist of commercial paper which are measured at fair value using prices for comparable securities in active markets, and are therefore classified within Level 2 of the valuation hierarchy. The fair value of the commercial paper was $0.0 million and $30.0 million as of June 30, 2021 and December 31, 2020, respectively. These investments are included in “Other current assets” on our Condensed Consolidated Balance Sheets. We also have two rabbi trusts that hold marketable securities for the benefit of participants in our Supplemental Executive Retirement Plan. These investments are measured at fair value using quoted market prices in an active market, and are therefore classified within Level 1 of the valuation hierarchy. The fair value of available-for-sale securities was $1.5 million as of June 30, 2021 and December 31, 2020. These investments are included in “Other assets” on our Condensed Consolidated Balance Sheets.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Long-term debt rates currently available to us for debt with similar terms and remaining maturities are used to estimate the fair value for debt issues that are not quoted on an exchange. The estimated fair value of total debt, measured using Level 2 inputs, was $986.6 million and $954.8 million as of June 30, 2021 and December 31, 2020, respectively.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 15 - Restructuring

Overview

2020 Repositioning - In the second quarter of 2020, we initiated actions in response to the adverse economic impact of COVID-19 and integration actions related to the Cummins-Allison acquisition. These actions include workforce reductions of approximately 1,200 employees, or about 11% of our global workforce, and the exiting of two leased office facilities and one leased warehouse facility.

2019 Repositioning - In the fourth quarter of 2019, we initiated actions to consolidate two manufacturing operations in Europe within our Process Flow Technologies segment. In 2020, we recorded additional severance costs related to the final negotiation with the works council/union at both locations. These actions, taken together, included workforce reductions of approximately 180 employees, or less than 1% of our global workforce.

2017 Repositioning - In the fourth quarter of 2017, we initiated broad-based repositioning actions designed to improve profitability. These actions included headcount reductions of approximately 300 employees, or about 3% of our global workforce, and select facility consolidations in North America and Europe. In 2020, we adjusted the estimate downward to reflect the impact of employees that chose to voluntarily terminate prior to receiving severance at the conclusion of the actions in North America. In 2021, we recorded a gain on sale of real estate related to these actions.

Other Restructuring - In the second quarter of 2020, we recorded other restructuring costs within our Payment & Merchandising Technologies segment. We do not expect to incur additional restructuring charges.

Restructuring (gains) charges, net

We recorded restructuring (gains) charges, net which are reflected in the Condensed Consolidated Statements of Operations, as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Aerospace & Electronics	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies 1	—		4.7		(12.6)		4.7
Payment & Merchandising Technologies 2	(0.2)		13.8		(0.7)		12.6
Total restructuring (gains) charges, net 3	$	(0.2)	$	23.2	$	(13.3)	$	22.0

1 We also recorded related costs of $2.4 million and $0.5 million for the three months ended June 30, 2021 and 2020, respectively, and $3.8 million and $1.9 million for the six months ended June 30, 2021 and 2020, respectively. These costs are recorded within Cost of sales and Selling, general and administrative.

2 We also recorded related costs of $0.8 million for the three months ended June 30, 2020 and $0.7 million for the six months ended June 30, 2020. These costs are recorded within Cost of sales and Selling, general and administrative.

3 We also recorded related costs of $2.4 million and $1.3 million for the three months ended June 30, 2021 and 2020, respectively, and $3.8 million and $2.6 million for the six months ended June 30, 2021 and 2020, respectively. These costs are recorded within Cost of sales and Selling, general and administrative.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The following table summarizes our restructuring (gains) charges, net by program, cost type and segment for the three months ended June 30, 2021 and 2020:

	Three months ended June 30, 2021						Three months ended June 30, 2020
(in millions)	Severance		Other		Total		Severance		Other		Total
Aerospace & Electronics	$	—	$	—	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies	—		—		—		4.7		—		4.7
Payment & Merchandising Technologies	—		—		—		13.8		1.0		14.8
2020 Repositioning	$	—	$	—	$	—	$	23.2	$	1.0	$	24.2
Payment & Merchandising Technologies	(0.2)		—		(0.2)		(1.0)		—		(1.0)
2017 Repositioning	$	(0.2)	$	—	$	(0.2)	$	(1.0)	$	—	$	(1.0)
Total	$	(0.2)	$	—	$	(0.2)	$	22.2	$	1.0	$	23.2

The following table summarizes our restructuring (gains) charges, net by program, cost type and segment for the six months ended June 30, 2021 and 2020:

	Six months ended June 30, 2021						Six months ended June 30, 2020
(in millions)	Severance		Other		Total		Severance		Other		Total
Aerospace & Electronics	$	—	$	—	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies	—		—		—		4.7		—		4.7
Payment & Merchandising Technologies	(0.5)		—		(0.5)		13.8		1.0		14.8
2020 Repositioning	$	(0.5)	$	—	$	(0.5)	$	23.2	$	1.0	$	24.2
Process Flow Technologies	$	0.1			$	0.1	$	—	$	—	$	—
2019 Repositioning	$	0.1	$	—	$	0.1	$	—	$	—	$	—
Process Flow Technologies 1	$	—	$	(12.7)	$	(12.7)	$	—	$	—	$	—
Payment & Merchandising Technologies 2	(0.2)		—		(0.2)		(1.0)		(1.5)		(2.5)
2017 Repositioning	$	(0.2)	$	(12.7)	$	(12.9)	$	(1.0)	$	(1.5)	$	(2.5)
Payment & Merchandising Technologies	$	—	$	—	$	—	$	0.3	$	—	$	0.3
Other Restructuring	$	—	$	—	$	—	$	0.3	$	—	$	0.3
Total	$	(0.6)	$	(12.7)	$	(13.3)	$	22.5	$	(0.5)	$	22.0

1 Reflects a pre-tax gain related to the sale of real estate in 2021

2 Reflects a pre-tax gain related to the sale of real estate in 2020

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

The following table summarizes the cumulative restructuring costs, net incurred through June 30, 2021. We do not expect to incur additional facility consolidation costs to complete these actions as of June 30, 2021.

	Cumulative Restructuring Costs, Net
(in millions)	Severance		Other		Total
Process Flow Technologies	$	3.8	$	—	$	3.8
Payment & Merchandising Technologies	16.1		4.6		20.7
Aerospace & Electronics	6.5		—		6.5
2020 Repositioning	$	26.4	$	4.6	$	31.0
Process Flow Technologies	$	16.1	$	—	$	16.1
2019 Repositioning	$	16.1	$	—	$	16.1
Process Flow Technologies	$	13.5	$	(12.7)	$	0.8
Payment & Merchandising Technologies	11.5		0.7		12.2
Aerospace & Electronics	1.3		(1.4)		(0.1)
2017 Repositioning	$	26.3	$	(13.4)	$	12.9

Restructuring Liability

The following table summarizes the accrual balances related to these restructuring (gains) charges by program:

(in millions)	2020 Repositioning		2019 Repositioning		2017 Repositioning		Total
Severance:
Balance at December 31, 2020 (b)	$	4.2	$	16.0	$	4.7	$	24.9
Expense (a)	—		0.1		—		0.1
Adjustments (a)	(0.5)		—		(0.2)		(0.7)
Utilization	(3.1)		(2.7)		(0.3)		(6.1)
Balance at June 30, 2021 (b)	$	0.6	$	13.4	$	4.2	$	18.2

(a)	Included within Restructuring (gains) charges, net in the Condensed Consolidated Statements of Operations and reflects changes in estimates for increases and decreases in costs related to our restructuring programs
(b)	Included within Accrued Liabilities in the Condensed Consolidated Balance Sheets

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 16- Subsequent Event

On July 28, 2021, we entered into a $650 million, 5-year Revolving Credit Agreement (the “2021 Facility”), which replaced the existing $550 million revolving credit facility. The 2021 Facility allows us to borrow, repay, or to the extent permitted by the agreement, prepay and re-borrow funds at any time prior to the stated maturity date. Interest on loans made under the 2021 Facility accrues, at our option, at a rate per annum equal to (1) a base rate, plus a margin ranging from 0.00% to 0.50% depending upon the ratings by S&P and Moody’s of our senior unsecured long-term debt (the "Index Debt Rating"), or (2) an adjusted LIBO rate or the applicable replacement rate (determined based on “hardwired” LIBOR transition provisions consistent with those published by the Alternative References Rates Committee) for an interest period to be selected by us, plus a margin ranging from 0.805% to 1.50% depending upon the Index Debt Rating. The 2021 Facility contains customary affirmative and negative covenants for credit facilities of this type, including limitations on us and our subsidiaries with respect to indebtedness, liens, mergers, consolidations, liquidations and dissolutions, sales of all or substantially all assets, transactions with affiliates and hedging arrangements. We must also maintain a debt to capitalization ratio not to exceed 0.65 to 1.00 at all times. The 2021 Facility also provides for customary events of default, including failure to pay principal, interest or fees when due, failure to comply with covenants, any representation or warranty made by us or any of our material subsidiaries being false in any material respect, default under certain other material indebtedness, certain insolvency or receivership events affecting us and our material subsidiaries, certain ERISA events, material judgments and a change in control of us.

On July 28, 2021, we increased the size of the CP Program to permit the issuance of short-term, unsecured commercial paper notes in an aggregate principal amount not to exceed $650 million at any time outstanding. Prior to this increase, the CP Program permitted us to issue commercial paper notes in an aggregate principal amount not to exceed $550 million at any time outstanding. The other terms and conditions of the CP program remain the same. Amounts available under the CP Program may be borrowed, repaid and re-borrowed from time to time. The notes will have maturities of up to 397 days from date of issue.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

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

This Quarterly Report on Form 10-Q contains information about Crane Co., some of which includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements other than historical information or statements about our current condition. You can identify forward-looking statements by the use of terms such as “believes,” “contemplates,” “expects,” “may,” “could,” “should,” “would,” or “anticipates,” other similar phrases, or the negatives of these terms.

Reference herein to “Crane,” “the Company,” “we,” “us” and “our” refer to Crane Co. and its subsidiaries unless the context specifically states or implies otherwise. References to “core business” or “core sales” in this report include sales from acquired businesses starting from and after the first anniversary of the acquisition, but exclude currency effects. Amounts in the following discussion are presented in millions, except employee, share and per share data, or unless otherwise stated.

We have based the forward-looking statements relating to our operations on our current expectations, estimates and projections about us and the markets we serve. We caution you that these statements are not guarantees of future performance and involve risks and uncertainties. In addition, we have based many of these forward-looking statements on assumptions about future events that may prove to be inaccurate. There are a number of other factors, including risks and uncertainties related to the ongoing COVID-19 pandemic, that could cause actual results or outcomes to differ materially from those expressed or implied in the forward-looking statements. Such factors also include, among others: uncertainties regarding the extent and duration of the impact of the COVID-19 pandemic on many aspects of our business, operations and financial performance, as detailed in Part II, Item 1A of this Quarterly Report on Form 10-Q; changes in economic, financial and end-market conditions in the markets in which we operate; fluctuations in raw material prices; the financial condition of our customers and suppliers; economic, social and political instability, currency fluctuation and other risks of doing business outside of the United States; competitive pressures, including the need for technology improvement, successful new product development and introduction and any inability to pass increased costs of raw materials to customers; our ability to value and successfully integrate acquisitions and to realize synergies and opportunities for growth and innovation, and to attract and retain highly qualified personnel and key management; the risks that any regulatory approval that may be required for the Engineered Materials divestiture is delayed or is not obtained, that the Engineered Materials divestiture does not close or that the related transaction agreement is terminated, or that the benefits expected from the Engineered Materials divestiture will not be realized or will not be realized within the expected time period; a reduction in congressional appropriations that affect defense spending and our ability to predict the timing and award of substantial contracts in our banknote business; adverse effects on our business and results of operations, as a whole, as a result of increases in asbestos claims or the cost of defending and settling such claims; adverse effects as a result of environmental remediation activities, costs, liabilities and related claims; investment performance of our pension plan assets and fluctuations in interest rates, which may affect the amount and timing of future pension plan contributions; and other risks noted in reports that we file with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2020, and subsequent reports filed with the Securities and Exchange Commission. We do not undertake any obligation to update or revise any forward-looking statements.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

OUTLOOK - CONTINUING OPERATIONS

Our sales depend heavily on industries that are cyclical in nature or are subject to market conditions which may cause customer demand for our products to be volatile and unpredictable. Demand in these industries is affected by fluctuations in domestic and international economic conditions, as well as currency fluctuations, commodity costs, and a variety of other factors.

For 2021, we expect a total year-over-year sales increase of approximately 12%, driven by high-single digit core growth following the substantial core sales decline in 2020 attributable to the COVID-19 pandemic, an approximate 3.5% benefit from favorable foreign exchange, and a slight acquisition benefit. We expect an improvement in operating profit of approximately two times greater than 2020, driven by a combination of operating leverage on higher volumes, restructuring and acquisition related charges recorded last year that will not repeat in 2021 and carry-over savings associated with COVID-19 related repositioning actions.

Aerospace & Electronics

In 2021, we expect Aerospace & Electronics core sales to decline in the low- to mid-single digit range compared to 2020 as the COVID-19 pandemic had a major impact on business and leisure air travel beginning in the early part of the second quarter of last year which has only recently began to recover. Accordingly, we expect a decline in our commercial OEM business driven by lower aircraft build rates, and we expect a decline in our commercial aftermarket business given lower airline flight hours. We expect a decline in our defense OEM and aftermarket businesses given very challenging comparisons to 2020 where these markets exhibited very strong growth. We expect the segment’s operating profit to increase slightly compared to 2020 driven primarily by the carry-over savings associated with COVID-19 related repositioning actions and the absence of restructuring related costs, partially offset by the impact of the lower sales volume.

Process Flow Technologies

In 2021, we expect Process Flow Technologies sales to increase in the mid-teens range compared to 2020, driven by core sales growth in the high-single digit range following the substantial core sales decline in 2020 attributable to the COVID-19 pandemic; favorable foreign exchange of approximately 5%; and a small benefit from the I&S acquisition.

We expect Process Valves and Related Products sales to increase in the low-teens digit range compared to 2020, driven by high-single digit core sales growth, an approximate 3% benefit from favorable foreign exchange, and a small benefit from the I&S acquisition. We expect Commercial Valves sales to increase more than 20% compared to 2020 driven by favorable foreign exchange and core sales growth, both in the low double digit range. We expect Pumps and Systems sales to increase in the low-teens range compared to 2020, driven by growth in the U.S. municipal, non-residential construction and military end markets.

We expect an improvement in the segment’s operating profit and operating margin compared to 2020, driven by the impact of the higher sales, lower restructuring and acquisition related charges, and carry-over savings primarily associated with COVID-19 related repositioning actions.

Payment & Merchandising Technologies

In 2021, we expect Payment & Merchandising Technologies sales to increase in the mid- to high-teens range compared to 2020, driven primarily by mid-teens core sales growth, and an approximate 4% benefit from favorable foreign exchange.

At Crane Payment Innovations, we expect core sales growth in the low double digit range, driven by broad-based strength across most vertical end markets following the substantial core sales decline in 2020 attributable to the COVID-19 pandemic. At Crane Currency, we expect core sales to increase more than 20% compared to 2020 primarily driven by higher sales to the U.S. Government, and to a lesser extent, by higher sales to international customers.

We expect the segment’s operating profit and operating margin to increase substantially compared to 2020, driven by the impact from the higher sales volume, favorable product mix, productivity, carry-over savings primarily associated with COVID-19 related repositioning actions, and the absence of restructuring and acquisition-related costs.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Results from Continuing Operations – Three Month Periods Ended June 30

The following information should be read in conjunction with our condensed consolidated financial statements and related notes. All comparisons below refer to the second quarter 2021 versus the second quarter 2020, unless otherwise specified.

	Second Quarter						Change
(dollars in millions)	2021			2020			$		%
Net sales	$	796.4		$	644.3		$	152.1	23.6	%
Operating profit	136.9			28.7			108.2		377.0	%
Acquisition-related and integration charges 1	—			2.3			(2.3)		NM
Restructuring and related charges, net 1	2.2			24.5			(22.3)		(91.0)	%
Operating margin	17.2		%	4.5		%
Other income (expense):
Interest income	0.4			0.3			0.1		33.3	%
Interest expense	(11.4)			(14.4)			3.0		20.8	%
Miscellaneous income, net	9.7			2.4			7.3		304.2	%
Total other expense	(1.3)			(11.7)			10.4		88.9	%
Income from continuing operations before income taxes	135.6			17.0			118.6		697.6	%
Provision for income taxes	24.9			3.6			21.3		591.7	%
Net income from continuing operations attributable to common shareholders	$	110.7		$	13.4		$	97.3	726.1	%
1Acquisition-related and integration charges and restructuring and related (gains) charges, net are included in operating profit and operating margin.

Sales increased by $152.1 million, or 23.6%, to $796.4 million in 2021. Net sales related to operations outside the United States were 38.8% and 36.8% of total net sales for the quarters ended June 30, 2021 and 2020, respectively. The year-over-year change in sales included:

•an increase in core sales of $120.4 million, or 18.7%; and

•favorable foreign currency translation of $31.7 million, or 4.9%.

Operating profit increased by $108.2 million, or 377.0%, to $136.9 million in 2021. The increase in operating profit reflected higher operating profit in our Payment & Merchandising Technologies, Process Flow Technologies and Aerospace & Electronics segments, partially offset by higher corporate costs. Operating profit in the second quarter of 2021 included restructuring and related charges of $2.2 million and disposition costs of $0.8 million. Operating profit in the second quarter of 2020 included restructuring and related charges of $24.5 million, primarily relating to workforce reductions initiated in response to COVID-19 and integration actions related to the Cummins-Allison acquisition. We also recorded acquisition-related and integration charges of $2.3 million related to the Cummins-Allison and I&S acquisitions in the second quarter of 2020.

Other expense decreased $10.4 million, or 88.9%, primarily reflecting a gain on sale of property and lower interest expense resulting from the absence of interest paid for the 364-day credit facility that was paid in April 2021.

Our effective tax rate is affected by a number of items, both recurring and discrete, including the amount of income we earn in different jurisdictions and their respective statutory tax rates, acquisitions and dispositions, changes in the valuation of our deferred tax assets and liabilities, changes in tax laws, regulations and accounting principles, the continued availability of statutory tax credits and deductions, the continued reinvestment of our overseas earnings, and examinations initiated by tax authorities around the world.

Our effective tax rate attributable to continuing operations for the three months ended June 30, 2021 is lower than the prior year’s comparable period primarily due to higher tax credit utilization, partially offset by the reversal of tax accruals in the prior year related to an audit settlement.

Our effective tax rates attributable to continuing operations for the three months ended June 30, 2021 is lower than the statutory U.S. federal tax rate of 21% primarily due to excess share-based compensation benefits, partially offset by state taxes.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Comprehensive Income

	Three Months Ended
	June 30,
(in millions)	2021		2020
Net income before allocation to noncontrolling interests	$	138.3	$	14.8
Components of other comprehensive income, net of tax
Currency translation adjustment	7.6		17.2
Changes in pension and postretirement plan assets and benefit obligation, net of tax	5.2		3.6
Other comprehensive income, net of tax	12.8		20.8
Comprehensive income before allocation to noncontrolling interests	151.1		35.6
Less: Noncontrolling interests in comprehensive income	(0.1)		0.2
Comprehensive income attributable to common shareholders	$	151.2	$	35.4

For the three months ended June 30, 2021, comprehensive income before allocations to noncontrolling interests was $151.1 million compared to $35.6 million in the same period of 2020. The $115.5 million increase was driven by higher net income before allocation to noncontrolling interests of $123.5 million, partially offset by a $9.6 million year over year unfavorable impact of foreign currency translation adjustments, primarily related to the euro and Japanese yen.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Segment Results of Operations - Three Month Periods Ended June 30

Aerospace & Electronics

	Second Quarter						Change
(dollars in millions)	2021			2020			$		%
Net sales by product line:
Commercial Original Equipment	$	53.7		$	51.9		$	1.8	3.5	%
Military Original Equipment	62.8			65.5			(2.7)		(4.1)	%
Commercial Aftermarket Products	25.3			20.3			5.0		24.6	%
Military Aftermarket Products	15.7			19.7			(4.0)		(20.3)	%
Total net sales	$	157.5		$	157.4		$	0.1	0.1	%
Operating profit	$	30.8		$	19.5		$	11.3	57.9	%
Restructuring and related charges1	$	—		$	4.7		$	(4.7)	NM
Backlog	$	472.9		$	505.7		$	(32.8)	(6.5)	%
Operating margin	19.6		%	12.4		%
1 Restructuring and related charges are included in operating profit and operating margin.

Aerospace & Electronics sales increased $0.1 million, or 0.1%, to $157.5 million in 2021.

•Sales of Commercial Original Equipment increased $1.8 million, or 3.5%, to $53.7 million in 2021, reflecting higher shipments as the industry begins to recover from the COVID-19 related slowdown.

•Sales of Military Original Equipment decreased $2.7 million, or 4.1%, to $62.8 million in 2021, primarily reflecting challenging comparisons to particularly strong sales in the same period last year.

•Sales of Commercial Aftermarket Products increased $5.0 million, or 24.6%, to $25.3 million in 2021, reflecting demand from improving air traffic as the airline industry begins to recover from the COVID-19 related slowdown.

•Sales of Military Aftermarket Products decreased $4.0 million, or 20.3%, to $15.7 million in 2021, primarily reflecting challenging comparisons to particularly strong sales in the same period last year.

Aerospace & Electronics operating profit increased by $11.3 million, or 57.9%, to $30.8 million in 2021, primarily as a result of restructuring savings from 2020 repositioning actions and the non-recurrence of repositioning charges.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Process Flow Technologies

	Second Quarter						Change
(dollars in millions)	2021			2020			$		%
Net sales by product line:
Process Valves and Related Products	$	184.3		$	160.8		$	23.5	14.6	%
Commercial Valves	98.2			58.3			39.9		68.4	%
Pumps and Systems	28.2			20.2			8.0		39.6	%
Total net sales	$	310.7		$	239.3		$	71.4	29.8	%
Operating profit	$	46.5		$	20.2		$	26.3	130.2	%
Acquisition-related and integration charges 1	$	—		$	1.3		$	(1.3)	NM
Restructuring and related charges, net 1	$	2.4		$	5.2		$	(2.8)	(53.8)	%
Backlog	$	344.1		$	298.6		$	45.5	15.2	%
Operating margin	15.0		%	8.4		%
1 Acquisition-related and integration charges and restructuring and related charges, net are included in operating profit and operating margin.

Process Flow Technologies sales increased by $71.4 million, or 29.8%, to $310.7 million in 2021, driven by higher core sales of $52.7 million, or 22.0%, and favorable foreign currency translation of $18.7 million, or 7.8%.

•Sales of Process Valves and Related Products increased by $23.5 million, or 14.6%, to $184.3 million in 2021. The increase reflected higher core sales of $16.4 million, or 10.2%, and favorable foreign currency translation of $7.1 million, or 4.4%, primarily due to the euro strengthening against the U.S. dollar. The higher core sales primarily reflected the timing of services provided to support nuclear outages compared to the prior year, and improving demand across Chemical and General Industrial end markets.

•Sales of Commercial Valves increased by $39.9 million, or 68.4%, to $98.2 million in 2021, primarily driven by a core sales increase of $28.6 million, or 49.0%, and favorable foreign currency translation of $11.3 million, or 19.4%, as the Canadian dollar and British pound strengthened against the U.S. dollar. The higher core sales reflected broad-based improvement in demand across Canadian, U.K. and Middle East non-residential construction markets.

•Sales of Pumps & Systems increased by $8.0 million, or 39.6%, to $28.2 million in 2021, reflecting broad-based improvement in demand across municipal, non-residential construction, and military end markets.

Process Flow Technologies operating profit increased by $26.3 million, or 130.2%, to $46.5 million in 2021. The increase primarily reflected the impact of higher sales volumes.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Payment & Merchandising Technologies

	Second Quarter						Change
(dollars in millions)	2021			2020			$		%
Net sales by product line:
Payment Acceptance and Dispensing Products 1	$	197.3		$	140.9		$	56.4	40.0	%
Banknotes and Security Products	130.9			106.7			24.2		22.7	%
Total net sales	$	328.2		$	247.6		$	80.6	32.6	%
Operating profit	$	77.9		$	2.0		$	75.9	NM
Acquisition-related and integration charges 2	$	—		$	1.0		$	(1.0)	NM
Restructuring and related (gains) charges, net 2	$	(0.2)		$	14.6		$	(14.8)	NM
Backlog	$	374.7		$	285.5		$	89.2	31.2	%
Operating margin	23.7		%	0.8		%
1 As a result of the third quarter 2020 internal merger of the CMS business into the vending vertical of the CPI business, Payment Acceptance and Dispensing Products now includes Merchandising Equipment. The prior period has been reclassified to conform to the current period presentation.
2 Acquisition-related and integration charges and restructuring and related (gains) charges, net are included in operating profit and operating margin.

Payment & Merchandising Technologies sales increased $80.6 million, or 32.6%, to $328.2 million in 2021, driven by higher core sales of $67.9 million, or 27.5%, and favorable foreign currency translation of $12.7 million, or 5.1%.

•Sales of Payment Acceptance and Dispensing Products increased $56.4 million, or 40.0%, to $197.3 million in 2021. The increase reflected higher core sales of $50.9 million, or 36.1%, and favorable foreign currency translation of $5.5 million, or 3.9%, primarily due to the British pound strengthening against the U.S. dollar. The core sales increase primarily reflected higher sales to Gaming, Retail and Vending customers.

•Sales of Banknotes and Security Products increased $24.2 million, or 22.7%, to $130.9 million in 2021. The increase reflected higher core sales of $17.0 million, or 16.0%, and favorable foreign currency translation of $7.2 million, or 6.7%, as the euro strengthened against the U.S. dollar. The core sales increase primarily reflected higher sales to the U.S. Government, and to a lesser extent, higher sales to international customers.

Payment & Merchandising Technologies operating profit increased by $75.9 million to $77.9 million in 2021. The increase primarily reflected the impact of higher sales volumes, and to a lesser extent, favorable mix, the non-recurrence of repositioning charges and restructuring savings from 2020 repositioning actions.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Results from Continuing Operations – Six Month Periods Ended June 30

The following information should be read in conjunction with our condensed consolidated financial statements and related notes. All comparisons below refer to the first six months of 2021 versus the first six months of 2020, unless otherwise specified.

	Year-to-Date						Change
(dollars in millions)	2021			2020			$		%
Net sales	$	1,575.9		$	1,391.1		$	184.8	13.3	%
Operating profit	276.9			110.4			166.5		150.8	%
Acquisition-related and integration charges 1	—			7.5			(7.5)		NM
Restructuring and related (gains) charges, net 1	(9.5)			24.6			(34.1)		(138.6)	%
Operating margin	17.6		%	7.9		%
Other income (expense):
Interest income	0.9			0.7			0.2		28.6	%
Interest expense	(25.0)			(26.9)			1.9		7.1	%
Miscellaneous income, net	13.6			6.2			7.4		119.4	%
Total other expense	(10.5)			(20.0)			9.5		47.5	%
Income from continuing operations before income taxes	266.4			90.4			176.0		194.7	%
Provision for income taxes	52.3			19.3			33.0		171.0	%
Net income from continuing operations attributable to common shareholders	$	214.1		$	71.1		$	143.0	201.1	%
1Acquisition-related and integration charges and restructuring and related (gains) charges, net are included in operating profit and operating margin.

Sales increased by $184.8 million, or 13.3%, to $1,575.9 million in 2021. Net sales related to operations outside the United States were 39.4% and 36.3% of total net sales for the six months ended June 30, 2021 and 2020, respectively. The year-over-year change in sales included:

•an increase in core sales of $123.0 million, or 8.8%;

•favorable foreign currency translation of $56.8 million, or 4.1%; and

•an increase in sales related to a benefit from the January 2020 I&S acquisition of $5.0 million, or 0.4%.

Operating profit increased by $166.5 million, or 150.8%, to $276.9 million in 2021. The increase in operating profit reflected higher operating profit in our Payment & Merchandising Technologies and Process Flow Technologies segments, partially offset by Aerospace & Electronics segment and higher corporate costs. Operating profit in the first six months of 2021 included net restructuring and related gains of $9.5 million and disposition costs of $0.8 million. Operating profit in the first six months of 2020 included restructuring and related charges of $24.6 million and acquisition-related and integration charges of $7.5 million.

Other expense decreased $9.5 million, or 47.5%, primarily reflecting a gain on sale of a property, a curtailment gain related to our pension plan and lower interest expense resulting from the absence of interest paid for the 364-day credit facility that was paid in April 2021.

Our effective tax rate is affected by a number of items, both recurring and discrete, including the amount of income we earn in different jurisdictions and their respective statutory tax rates, acquisitions and dispositions, changes in the valuation of our deferred tax assets and liabilities, changes in tax laws, regulations and accounting principles, the continued availability of statutory tax credits and deductions, the continued reinvestment of our overseas earnings, and examinations initiated by tax authorities around the world.

Our effective tax rate attributable to continuing operations for the six months ended June 30, 2021 is lower than the prior year’s comparable period primarily due to higher tax credit utilization, partially offset by the reversal of tax accruals in the prior year related to an audit settlement.

Our effective tax rate attributable to continuing operations for the six months ended June 30, 2021 is lower than the statutory U.S. federal tax rate of 21% primarily due to excess share-based compensation benefits, partially offset by state taxes.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Comprehensive Income

	Six Months Ended
	June 30,
(in millions)	2021		2020
Net income before allocation to noncontrolling interests	$	246.7	$	77.6
Components of other comprehensive income (loss), net of tax
Currency translation adjustment	(27.3)		(28.0)
Changes in pension and postretirement plan assets and benefit obligation, net of tax	10.1		7.1
Other comprehensive loss, net of tax	(17.2)		(20.9)
Comprehensive income before allocation to noncontrolling interests	229.5		56.7
Less: Noncontrolling interests in comprehensive income	0.7		(0.1)
Comprehensive income attributable to common shareholders	$	228.8	$	56.8

For the six months ended June 30, 2021, comprehensive income before allocations to noncontrolling interests was $229.5 million compared to $56.7 million in the same period of 2020. The $172.8 million increase was primarily driven by higher net income before allocation to noncontrolling interests of $169.1 million.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Segment Results of Operations - Six Month Periods Ended June 30

Aerospace & Electronics

	Year-to-Date						Change
(dollars in millions)	2021			2020			$		%
Net sales by product line:
Commercial Original Equipment	$	108.3		$	132.5		$	(24.2)	(18.3)	%
Military Original Equipment	125.6			125.9			(0.3)		(0.2)	%
Commercial Aftermarket Products	44.8			54.2			(9.4)		(17.3)	%
Military Aftermarket Products	32.8			37.7			(4.9)		(13.0)	%
Total net sales	$	311.5		$	350.3		$	(38.8)	(11.1)	%
Operating profit	$	56.8		$	63.3		$	(6.5)	(10.3)	%
Restructuring and related charges1	$	—		$	4.7		$	(4.7)	NM
Operating margin	18.2		%	18.1		%
1 Restructuring and related charges are included in operating profit and operating margin.

Aerospace & Electronics sales decreased $38.8 million, or 11.1%, to $311.5 million in 2021.

•Sales of Commercial Original Equipment decreased $24.2 million, or 18.3%, to $108.3 million in 2021, reflecting lower aircraft build rates as a result of COVID-19.

•Sales of Military Original Equipment decreased $0.3 million, or 0.2%, to $125.6 million in 2021.

•Sales of Commercial Aftermarket Products decreased $9.4 million, or 17.3%, to $44.8 million in 2021, reflecting lower sales of commercial spares as airlines reduced flight schedules in response to COVID-19.

•Sales of Military Aftermarket Products decreased $4.9 million, or 13.0%, to $32.8 million in 2021, primarily reflecting challenging comparisons to particularly strong sales in the same period last year.

Aerospace & Electronics operating profit decreased by $6.5 million, or 10.3%, to $56.8 million in 2021, primarily as a result of lower sales volumes, partially offset by savings from 2020 repositioning actions.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Process Flow Technologies

	Year-to-Date						Change
(dollars in millions)	2021			2020			$		%
Net sales by product line:
Process Valves and Related Products	$	358.6		$	317.9		$	40.7	12.8	%
Commercial Valves	187.7			134.1			53.6		40.0	%
Pumps and Systems	52.5			43.9			8.6		19.6	%
Total net sales	$	598.8		$	495.9		$	102.9	20.8	%
Operating profit	$	96.6		$	48.2		$	48.4	100.4	%
Acquisition-related and integration charges 1	$	—		$	3.2		$	(3.2)	NM
Restructuring and related (gains) charges 1	$	(8.8)		$	6.6		$	(15.4)	NM
Operating margin	16.1		%	9.7		%
1 Acquisition-related and integration charges and restructuring and related (gains) charges are included in operating profit and operating margin.

Process Flow Technologies sales increased by $102.9 million, or 20.8%, to $598.8 million in 2021, driven by higher core sales of $67.4 million, or 13.6%, favorable foreign currency translation of $30.5 million, or 6.2%, and a benefit from the January 2020 acquisition of I&S of $5.0 million, or 1.0%.

•Sales of Process Valves and Related Products increased by $40.7 million, or 12.8%, to $358.6 million in 2021. The increase reflected higher core sales of $22.3 million, or 7.0%, favorable foreign currency translation of $13.4 million, or 4.2%, primarily due to the euro strengthening against the U.S. dollar, and a benefit from the acquisition of I&S of $5.0 million, or 1.6%. The higher core sales primarily reflected the timing of services provided to support nuclear outages compared to the prior year.

•Sales of Commercial Valves increased by $53.6 million, or 40.0%, to $187.7 million in 2021, primarily driven by a core sales increase of $36.9 million, or 27.5%, and favorable foreign currency translation of $16.7 million, or 12.5%, as the Canadian dollar and British pound strengthened against the U.S. dollar. The higher core sales primarily reflected higher demand in Canadian, and, to a lesser extent, U.K., non-residential construction markets.

•Sales of Pumps & Systems increased by $8.6 million, or 19.6%, to $52.5 million in 2021, primarily reflecting higher demand from municipal and non-residential construction end markets.

Process Flow Technologies operating profit increased by $48.4 million, or 100.4%, to $96.6 million in 2021. The increase primarily reflected the impact of higher sales volumes, a gain on the sale of real estate related to prior repositioning actions, productivity benefits, and savings from 2020 repositioning actions.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Payment & Merchandising Technologies

	Year-to-Date						Change
(dollars in millions)	2021			2020			$		%
Net sales by product line:
Payment Acceptance and Dispensing Products 1	$	382.3		$	344.1		$	38.2	11.1	%
Banknotes and Security Products	283.3			200.8			82.5		41.1	%
Total net sales	$	665.6		$	544.9		$	120.7	22.2	%
Operating profit	$	163.7		$	28.4		$	135.3	NM
Acquisition-related and integration charges 2	$	—		$	4.1		$	(4.1)	NM
Restructuring and related (gains) charges, net 2	$	(0.7)		$	13.3		$	(14.0)	NM
Operating margin	24.6		%	5.2		%
1 As a result of the third quarter 2020 internal merger of the CMS business into the vending vertical of the CPI business, Payment Acceptance and Dispensing Products now includes Merchandising Equipment. The prior period has been reclassified to conform to the current period presentation.
2 Acquisition-related and integration charges and restructuring and related (gains) charges, net are included in operating profit and operating margin.

Payment & Merchandising Technologies sales increased $120.7 million, or 22.2%, to $665.6 million in 2021, driven by higher core sales of $94.7 million, or 17.4%, and favorable foreign currency translation of $26.0 million, or 4.8%.

•Sales of Payment Acceptance and Dispensing Products increased $38.2 million, or 11.1%, to $382.3 million in 2021. The increase reflected higher core sales of $28.8 million, or 8.4%, and favorable foreign currency translation of $9.4 million, or 2.7%, primarily reflecting the strengthening of the British pound against the U.S. dollar. The core sales increase primarily reflected higher sales to gaming and retail customers.

•Sales of Banknotes and Security Products increased $82.5 million, or 41.1%, to $283.3 million in 2021. The increase reflected higher core sales of $65.9 million, or 32.8%, and favorable foreign currency translation of $16.6 million, or 8.3%, as the euro strengthened against the U.S. dollar. The core sales increase reflected substantially higher sales to the U.S. Government, and to a lesser extent, to international customers.

Payment & Merchandising Technologies operating profit increased by $135.3 million to $163.7 million in 2021. The increase primarily reflected the impact of higher sales volumes, favorable mix and restructuring savings from 2020 repositioning actions.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Liquidity and Capital Resources

	Six Months Ended
	June 30,
(in millions)	2021		2020
Net cash (used for) provided by:
Operating activities from continuing operations	$	197.5	$	75.6
Investing activities from continuing operations	39.5		(182.9)
Financing activities from continuing operations	(405.2)		314.9
Discontinued operations	8.4		0.8
Effect of foreign currency exchange rate changes on cash and cash equivalents	(4.5)		(10.2)
(Decrease) increase in cash and cash equivalents	$	(164.3)	$	198.2

Our operating philosophy is to deploy cash provided from operating activities, when appropriate, to provide value to shareholders by reinvesting in existing businesses, by making acquisitions that will strengthen and complement our portfolio, by divesting businesses that are no longer strategic or aligned with our portfolio and where such divestitures can generate capacity for strategic investments and initiatives that further optimize our portfolio, and by paying dividends and/or repurchasing shares. At any given time, and from time to time, we may be evaluating one or more of these opportunities, although we cannot assure you if or when we will consummate any such transaction.

Our current cash balance, together with cash we expect to generate from future operations along with our commercial paper program or borrowings available under our revolving credit facility is expected to be sufficient to finance our short- and long-term capital requirements, as well as to fund payments associated with our asbestos and environmental liabilities and expected pension contributions. In addition, we believe our investment grade credit ratings afford us adequate access to public and private debt markets.

In July 2021, we entered into a $650 million, 5-year Revolving Credit Agreement, which replaced the existing $550 million revolving credit facility. We also increased the size of our Commercial Paper Program (“CP Program”) to permit the issuance of short-term, unsecured commercial paper notes in an aggregate principal amount outstanding not to exceed $650 million at any time (up from $550 million, previously). Please see Note 16 for additional details.

In April 2020, to enhance financial flexibility and maintain maximum liquidity in response to the uncertainty in the global markets resulting from the COVID-19 pandemic, we entered into a senior unsecured 364-day credit facility (the “364-Day Credit Agreement”). On April 15, 2021, we repaid the amount outstanding under the 364-Day Credit Agreement with cash on hand and the issuance of commercial paper.

Operating Activities

Cash provided by operating activities from continuing operations was $197.5 million in the first six months of 2021, compared to $75.6 million during the same period last year.  The increase in cash provided by operating activities from continuing operations was primarily driven by higher net income and lower working capital levels, partially offset by higher pension contributions. Net asbestos-related payments in the first six months of 2021 and 2020 were $20.2 million and $19.2 million, respectively. In 2021, we expect to make payments related to asbestos settlement and defense costs, net of related insurance recoveries, of approximately $45 million.

Investing Activities

Cash flows relating to investing activities from continuing operations consist primarily of cash used for acquisitions, capital expenditures and cash provided by divestitures of businesses or assets. Cash provided by investing activities from continuing operations was $39.5 million in the first six months of 2021, compared to cash used for investing activities from continuing operations of $182.9 million in the comparable period of 2020. The increase in cash provided by investing activities from continuing operations was driven by the absence of cash paid for the acquisition of I&S of $172.3 million, net cash proceeds from the sale of marketable securities of $30.0 million and proceeds from the sale of real estate. Capital expenditures are made primarily for increasing capacity, replacing equipment, supporting new product development and improving information systems. We expect capital expenditures of approximately $70.0 million in 2021.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Financing Activities

Financing cash flows consist primarily of dividend payments to shareholders, share repurchases, repayments of indebtedness, proceeds from the issuance of long-term debt and commercial paper and proceeds from the issuance of common stock. Cash used for financing activities from continuing operations was $405.2 million during the first six months of 2021, compared to cash provided by financing activities from continuing operations of $314.9 million in the comparable period of 2020. The increase in cash used for financing activities from continuing operations was driven by the $348.1 million repayment of the 364-Day Credit Agreement in the first six months of 2021 compared to the proceeds from the 364-Day Credit Agreement of $343.9 million in the first six months of 2020. In addition there was $12.1 million of net repayments of commercial paper in the first six months of 2021 compared to $92.0 million of net proceeds received from the issuance of commercial paper in the first six months of 2020. This was partially offset by the absence of $70.0 million of cash used for the repurchase of shares in the first six months of 2020.

Recent Accounting Pronouncements

Information regarding new accounting pronouncements is included in Note 1 to our Condensed Consolidated Financial Statements.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

There have been no material changes in the information called for by this item since the disclosure in our Annual Report on Form 10-K for the year ended December 31, 2020.

Item 4. Controls and Procedures

Disclosure Controls and Procedures. The Company’s Chief Executive Officer and Chief Financial Officer have evaluated the effectiveness of the design and operation of the Company’s disclosure controls and procedures as of the end of the period covered by this quarterly report. The Company’s disclosure controls and procedures are designed to ensure that information required to be disclosed by the Company in the reports that are filed or submitted under the Securities Exchange Act of 1934 is recorded, processed, summarized, and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms and that the information is accumulated and communicated to the Company’s Chief Executive Officer and Chief Financial Officer to allow timely decisions regarding required disclosure. Based on this evaluation, the Company’s Chief Executive Officer and Chief Financial Officer have concluded that these controls are effective as of the end of the period covered by this quarterly report.

Changes in Internal Control over Financial Reporting. During the fiscal quarter ended June 30, 2021, there have been no changes in the Company’s internal control over financial reporting, identified in connection with our evaluation thereof, that have materially affected, or are reasonably likely to materially affect, its internal control over financial reporting.

Part II: Other Information

Item 1. Legal Proceedings

Discussion of legal matters is incorporated by reference from Part 1, Item 1, Note 11, “Commitments and Contingencies”, of this Quarterly Report on Form 10-Q, and should be considered an integral part of Part II, Item 1, “Legal Proceedings.”

Item 1A. Risk Factors

Information regarding risk factors appears in Part I, Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2020.

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

(a) Not applicable

(b) Not applicable

(c) Share Repurchases

We did not make any open-market share repurchases of our common stock during the quarter ended June 30, 2021. We routinely receive shares of our common stock as payment for stock option exercises and the withholding taxes due on stock option exercises and the vesting of restricted share units from stock-based compensation program participants.

Item 3. Defaults Upon Senior Securities

Not applicable.

Item 4. Mine Safety Disclosures

Not applicable

Item 5. Other Information

Not applicable

Item 6. Exhibits

Exhibit 10.1	Crane Co. Amended & Restated 2018 Stock Incentive Plan (incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed April 26, 2021).
Exhibit 10.2	$650 million 5-Year Revolving Credit Agreement, dated as of July 28, 2021 (incorporated by reference to the Registrant’s Current Report on Form 8-K filed July 28, 2021).
Exhibit 31.1*	Certification of Chief Executive Officer pursuant to Rule 13a-14(a) or 15d-14(a)
Exhibit 31.2*	Certification of Chief Financial Officer pursuant to Rule 13a-14(a) or 15d-14(a)
Exhibit 32.1**	Certification of Chief Executive Officer pursuant to Rule 13a-14(b) or 15d-14(b)
Exhibit 32.2**	Certification of Chief Financial Officer pursuant to Rule 13a-14(b) or 15d-14(b)
101.INS	XBRL Instance Document - the instance document does not appear in the interactive data file because its XBRL tags are embedded within the Inline XBRL document.
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104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

* Filed with this report

** Furnished with this report

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.

		CRANE CO.
		REGISTRANT
Date
August 4, 2021	By	/s/ Max H. Mitchell
		Max H. Mitchell
		President and Chief Executive Officer
Date	By	/s/ Richard A. Maue
August 4, 2021		Richard A. Maue
		Senior Vice President and Chief Financial Officer

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Max H. Mitchell, certify that:

(1)I have reviewed this Quarterly Report on Form 10-Q of Crane Co.;

(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(s) 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-15(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 change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter 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(s) 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 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 control over financial reporting.

By /s/ Max H. Mitchell

President and Chief Executive Officer

August 4, 2021

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Richard A. Maue, certify that:

(1) I have reviewed this Quarterly Report on Form 10-Q of Crane Co.;

(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(s) 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-15(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 change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter 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(s) 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 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 control over financial reporting.

By /s/ Richard A. Maue

Principal Financial Officer

August 4, 2021

EX-32.1

Exhibit 32.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

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 of Crane Co. (the “Registrant”) on Form 10-Q for the quarter ended June 30, 2021 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Max H. Mitchell, President and Chief Executive Officer of the Registrant, pursuant to 18 U.S.C. section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002, hereby certify to the best of my knowledge that:

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

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

This Certification accompanies this Quarterly Report on Form 10-Q and shall not be treated as having been filed as part of this Quarterly Report on Form 10-Q.

By /s/ Max H. Mitchell

Max H. Mitchell

President and Chief Executive Officer

August 4, 2021

EX-32.2

Exhibit 32.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

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 of Crane Co. (the “Registrant”) on Form 10-Q for the quarter ended June 30, 2021 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Richard A. Maue, Principal Financial Officer of the Registrant, pursuant to 18 U.S.C. section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002, hereby certify to the best of my knowledge that:

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

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

This Certification accompanies this Quarterly Report on Form 10-Q and shall not be treated as having been filed as part of this Quarterly Report on Form 10-Q.

By Richard A. Maue

Richard A. Maue

Principal Financial Officer

August 4, 2021

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	Jun. 30, 2021	Jul. 31, 2021
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Entity File Number	1-1657
Entity Registrant Name	CRANE CO.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	13-1952290
Entity Address, Address Line One	100 First Stamford Place
Entity Address, City or Town	Stamford
Entity Address, State or Province	CT
Entity Address, Postal Zip Code	06902
City Area Code	203
Local Phone Number	363-7300
Title of 12(b) Security	Common Stock, par value $1.00
Trading Symbol	CR
Security Exchange Name	NYSE
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Basis of Presentation

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial reporting and the instructions to Form 10-Q and, therefore, reflect all adjustments which are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. All such adjustments are of a normal recurring nature. These interim condensed consolidated financial statements should be read in conjunction with the Consolidated Financial Statements and Notes to Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended December 31, 2020.

Due to rounding, numbers presented throughout this report may not add up precisely to totals we provide, and percentages may not precisely reflect the absolute figures. Certain amounts in the prior periods’ condensed consolidated financial statements have been reclassified to conform to the current period presentation.

Discontinued Operations. On May 16, 2021, we entered into an agreement to sell the Engineered Materials segment to Grupo Verzatec S.A. de C.V. for $360 million on a cash-free and debt-free basis. The sale is subject to customary closing conditions and regulatory approvals. The historical results of Engineered Materials are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for all periods presented. Throughout this Quarterly Report on Form 10-Q, unless otherwise indicated, amounts and activity are presented on a continuing operations basis. Please see Note 3 for additional details.

Process Flow Technologies. We changed the name of our 'Fluid Handling' segment to 'Process Flow Technologies'. This new name better conveys the key strengths and core competencies of the segment; providing proprietary and highly engineered process flow technology solutions to its customers.

Recent Accounting Pronouncements - Adopted

Simplifying the Accounting for Income Taxes

In December 2019, the Financial Accounting Standards Board (“FASB”) issued amended guidance to simplify the accounting for income taxes. The guidance is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Certain amendments are to be applied prospectively, while other amendments are to be applied retrospectively to all periods presented. We have adopted this standard effective January 1, 2021. The adoption of this new standard did not impact our consolidated financial statements.

Disclosure Requirements for Defined Benefit Plans

In August 2018, the FASB issued amended guidance to add, remove, and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The amended guidance removes the requirements to disclose: amounts in accumulated other comprehensive income (loss) expected to be recognized as components of net periodic benefit cost over the next fiscal year; the amount and timing of plan assets expected to be returned to the entity; and the effects of a one-percentage point change in assumed health care cost trend rates. The amended guidance requires disclosure of an explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period. This guidance is effective for fiscal years ending after December 15, 2020. Effective December 31, 2020, we adopted the amended guidance and applied the disclosure requirements on a retrospective basis to all periods presented. This amended guidance did not have a material effect on our disclosures.

Measurement of Credit Losses on Financial Instruments

In June 2016, the FASB issued amended guidance that changes the impairment model for most financial assets and certain other instruments. For trade receivables, contract assets and other receivables, held-to-maturity debt securities, loans and other instruments, entities are required to use a current expected credit loss (“CECL”) model that will immediately recognize an estimate of credit losses that are expected to occur over the life of the financial instruments that are in the scope of this update, including trade receivables. For available-for-sale debt securities with unrealized losses, entities will measure credit losses in a manner similar to current practice, except that the losses will be recognized as an allowance. The CECL model is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable forecasts that affect collectability.

On January 1, 2020, we adopted the new CECL standard and developed an expected impairment model based on our historical loss experience. We believe that our previous methodology to calculate credit losses is generally consistent with the new expected credit loss model and did not result in a material adjustment upon adoption. The allowance for doubtful accounts was $8.3 million and $10.9 million as of June 30, 2021 and December 31, 2020, respectively.

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Income Statement [Abstract]
Net sales	$ 796.4	$ 644.3	$ 1,575.9	$ 1,391.1
Net sales
Cost of sales	476.8	424.8	947.3	896.6
Selling, general and administrative	182.9	165.3	365.0	354.6
Acquisition-related and integration charges	0.0	2.3	0.0	7.5
Restructuring (gains) charges, net	(0.2)	23.2	(13.3)	22.0
Operating profit	136.9	28.7	276.9	110.4
Other income (expense):
Interest income	0.4	0.3	0.9	0.7
Interest expense	(11.4)	(14.4)	(25.0)	(26.9)
Miscellaneous income, net	9.7	2.4	13.6	6.2
Total other expense	(1.3)	(11.7)	(10.5)	(20.0)
Income from continuing operations before income taxes	135.6	17.0	266.4	90.4
Provision for income taxes	24.9	3.6	52.3	19.3
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest	110.7	13.4	214.1	71.1
Net income from continuing operations attributable to common shareholders	27.6	1.4	32.6	6.5
Net income attributable to common shareholders	$ 138.3	$ 14.8	$ 246.7	$ 77.6
Earnings per basic share:
Earnings per basic share from continuing operations (in dollars per share)	$ 1.89	$ 0.23	$ 3.67	$ 1.22
Earnings per basic share from discontinued operations (in dollars per share)	0.47	0.03	0.55	0.11
Earnings per basic share (in dollars per share)	2.36	0.26	4.22	1.33
Earnings per diluted share:
Earnings per diluted share from continuing operations (in dollars per share)	1.87	0.23	3.62	1.20
Earnings per diluted share from discontinued operations (in dollars per share)	0.46	0.02	0.55	0.11
Earnings per diluted share (in dollars per share)	$ 2.33	$ 0.25	$ 4.17	$ 1.31
Average shares outstanding:
Average basic shares outstanding (in shares)	58.5	58.0	58.4	58.5
Average diluted shares outstanding (in shares)	59.3	58.5	59.1	59.1
Dividends per share (in dollars per share)	$ 0.43	$ 0.43	$ 0.86	$ 0.86

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Statement of Comprehensive Income [Abstract]
Net income from continuing operations attributable to common shareholders	$ 138.3	$ 14.8	$ 246.7	$ 77.6
Components of other comprehensive income (loss), net of tax
Currency translation adjustment	7.6	17.2	(27.3)	(28.0)
Changes in pension and postretirement plan assets and benefit obligation, net of tax	5.2	3.6	10.1	7.1
Other comprehensive income (loss), net of tax	12.8	20.8	(17.2)	(20.9)
Comprehensive income before allocation to noncontrolling interests	151.1	35.6	229.5	56.7
Less: Noncontrolling interests in comprehensive income	(0.1)	0.2	0.7	(0.1)
Comprehensive income attributable to common shareholders	$ 151.2	$ 35.4	$ 228.8	$ 56.8

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CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 386.7	$ 551.0
Accounts receivable, net	458.6	423.9
Current insurance receivable - asbestos	14.4	14.4
Inventories, net:
Finished goods	154.5	125.4
Finished parts and subassemblies	57.1	54.5
Work in process	43.4	45.1
Raw materials	201.9	204.7
Inventories, net	456.9	429.7
Other current assets	129.8	137.3
Current assets held for sale	225.9	17.4
Total current assets	1,672.3	1,573.7
Property, plant and equipment:
Cost	1,173.4	1,191.9
Less: accumulated depreciation	635.2	618.2
Property, plant and equipment, net	538.2	573.7
Long-term insurance receivable - asbestos	65.8	72.5
Long-term deferred tax assets	33.1	41.0
Other assets	196.5	197.4
Intangible assets, net	491.3	519.1
Goodwill	1,426.0	1,437.7
Long-term assets held for sale	0.0	199.9
Total assets	4,423.2	4,615.0
Current liabilities:
Short-term borrowings	15.0	375.7
Accounts payable	242.2	198.9
Current asbestos liability	66.5	66.5
Accrued liabilities	388.4	388.0
U.S. and foreign taxes on income	8.8	0.1
Current liabilities held for sale	37.9	27.4
Total current liabilities	758.8	1,056.6
Long-term debt	843.4	842.9
Accrued pension and postretirement benefits	297.4	329.7
Long-term deferred tax liability	54.1	53.6
Long-term asbestos liability	576.7	603.6
Other liabilities	164.7	171.3
Long-term liabilities held for sale	0.0	26.2
Total liabilities	2,695.1	3,083.9
Commitments and contingencies
Equity:
Preferred shares, par value $0.01; 5,000,000 shares authorized	0.0	0.0
Common shares, par value $1.00; 200,000,000 shares authorized, 72,426,139 shares issued	72.4	72.4
Capital surplus	348.4	330.7
Retained earnings	2,389.3	2,192.8
Accumulated other comprehensive loss	(484.3)	(466.4)
Treasury stock	(600.6)	(600.6)
Total shareholders’ equity	1,725.2	1,528.9
Noncontrolling interests	2.9	2.2
Total equity	1,728.1	1,531.1
Total liabilities and equity	$ 4,423.2	$ 4,615.0
Share data:
Common shares issued (in shares)	72,426,139	72,426,139
Less: Common shares held in treasury (in shares)	13,801,550	14,298,191
Common shares outstanding (in shares)	58,624,589	58,127,948

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2021	Dec. 31, 2020
Equity:
Preferred shares, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred shares, shares authorized (in shares)	5,000,000	5,000,000
Common stock, par value (in dollars per share)	$ 1.00	$ 1.00
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	72,426,139	72,426,139

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Operating activities from continuing operations:
Net income from continuing operations attributable to common shareholders	$ 110.7	$ 13.4	$ 214.1	$ 71.1
Gain on sale of property			(18.5)	0.0
Depreciation and amortization			60.8	61.1
Stock-based compensation expense			12.4	10.2
Defined benefit plans and postretirement credit			(4.2)	(2.7)
Deferred income taxes			0.1	7.5
Cash used for operating working capital			(25.7)	(46.5)
Defined benefit plans and postretirement contributions			(17.2)	(2.3)
Environmental payments, net of reimbursements			(3.6)	(3.7)
Asbestos related payments, net of insurance recoveries			(20.2)	(19.2)
Other			(0.5)	0.1
Total provided by operating activities from continuing operations			197.5	75.6
Investing activities from continuing operations:
Payment for acquisition - net of cash acquired			0.0	(172.3)
Proceeds from disposition of capital assets			23.4	2.7
Capital expenditures			(13.9)	(13.3)
Purchase of marketable securities			(10.0)	0.0
Proceeds from sale of marketable securities			40.0	0.0
Total provided by (used for) investing activities from continuing operations			39.5	(182.9)
Financing activities from continuing operations:
Dividends paid			(50.2)	(50.4)
Reacquisition of shares on open market			0.0	(70.0)
Stock options exercised, net of shares reacquired			5.2	0.6
Debt issuance costs			0.0	(1.2)
Proceeds from issuance of commercial paper with maturities greater than 90 days			0.0	251.3
Repayments of commercial paper with maturities greater than 90 days			(27.1)	(96.5)
Net proceeds (repayments) from issuance of commercial paper with maturities of 90 days or less			15.0	(62.8)
Proceeds from revolving credit facility			0.0	77.2
Repayments of revolving credit facility			0.0	(77.2)
Proceeds from term loan			0.0	343.9
Repayment of term loan			(348.1)	0.0
Total (used for) provided by financing activities from continuing operations			(405.2)	314.9
Discontinued operations:
Total provided by operating activities			9.2	1.0
Total used for investing activities			(0.8)	(0.2)
Increase in cash and cash equivalents from discontinued operations			8.4	0.8
Effect of exchange rates on cash and cash equivalents			(4.5)	(10.2)
(Decrease) increase in cash and cash equivalents			(164.3)	198.2
Cash and cash equivalents at beginning of period			551.0	393.9	$ 393.9
Cash and cash equivalents at end of period	$ 386.7	$ 592.1	386.7	592.1	$ 551.0
Detail of cash used for operating working capital from continuing operations:
Accounts receivable			(36.7)	120.0
Inventories			(29.0)	(22.1)
Other current assets			(22.2)	(23.2)
Accounts payable			44.2	(79.6)
Accrued liabilities			2.9	(37.1)
U.S. and foreign taxes on income			15.1	(4.5)
Cash used for operating working capital			(25.7)	(46.5)
Supplemental disclosure of cash flow information:
Interest paid			23.8	23.8
Income taxes paid			$ 37.0	$ 46.4

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Acquisitions

6 Months Ended

Jun. 30, 2021

Business Combinations [Abstract]

Acquisitions

Acquisitions

Acquisitions are accounted for in accordance with ASC Topic 805, “Business Combinations” (“ASC 805”). Accordingly, we make an initial allocation of the purchase price at the date of acquisition based upon our understanding of the fair value of the acquired assets and assumed liabilities. We obtain this information during due diligence and through other sources. In the months after closing, as we obtain additional information about these assets and liabilities, including through tangible and intangible asset appraisals, we are able to refine estimates of fair value and more accurately allocate the purchase price. Only items identified as of the acquisition date are considered for subsequent adjustment to the purchase price allocation. We will make appropriate adjustments to the purchase price allocation prior to completion of the measurement period, as required.

In order to allocate the consideration transferred for our acquisitions, the fair values of all identifiable assets and liabilities must be established. For accounting and financial reporting purposes, fair value is defined under ASC Topic 820, “Fair Value Measurement and Disclosure” as the price that would be received upon sale of an asset or the amount paid to transfer a liability in an orderly transaction between market participants at the measurement date. Market participants are assumed to be buyers and sellers in the principal (most advantageous) market for the asset or liability. Additionally, fair value measurements for an asset assume the highest and best use of that asset by market participants. Use of different estimates and judgments could yield different results.

Instrumentation & Sampling Business Acquisition

On January 31, 2020, we completed the acquisition of CIRCOR International, Inc.’s Instrumentation & Sampling Business (“I&S”) for $172.3 million on a cash-free and debt-free basis, subject to a later adjustment reflecting I&S' net working capital, cash, the assumption of certain debt-like items, and I&S' transaction expenses. We funded the acquisition through short-term borrowings consisting of $100 million of commercial paper and $67 million from our revolving credit facility, and cash on hand. In August 2020, we received $3.1 million related to the final working capital adjustment which resulted in net cash paid of $169.2 million.

I&S designs, engineers and manufactures a broad range of critical fluid control instrumentation and sampling solutions used in severe service environments which complements our existing portfolio of chemical, refining, petrochemical and upstream oil and gas applications. I&S has been integrated into the Process Flow Technologies segment. The amount allocated to goodwill reflects the expected synergies, manufacturing efficiencies and procurement savings. Goodwill from this acquisition is not deductible for tax purposes.

Allocation of Consideration Transferred to Net Assets Acquired

The following amounts represent the determination of the fair value of identifiable assets acquired and liabilities assumed from our acquisition of I&S. The fair value of certain assets and liabilities has been completed as required by ASC 805.

Net assets acquired (in millions)
Total current assets	$	21.0
Property, plant and equipment	11.0
Other assets	6.0
Intangible assets	52.5
Goodwill	106.0
Total assets acquired	$	196.5
Total current liabilities	$	8.1
Other liabilities	19.2
Total assumed liabilities	$	27.3
Net assets acquired	$	169.2

The amounts allocated to acquired intangible assets, and their associated weighted-average useful lives which were determined based on the period in which the assets are expected to contribute directly or indirectly to our future cash flows, consist of the following:

Intangible Assets (dollars in millions)	Intangible Fair Value		Weighted Average Life
Trademarks/trade names	$	2.6	13
Customer relationships	49.0		14
Backlog	0.9		1
Total acquired intangible assets	$	52.5

The fair values of the trademark and trade name intangible assets were determined by using an income approach, specifically the relief-from-royalty approach, which is a commonly accepted valuation approach. This approach is based on the assumption that in lieu of ownership, a firm would be willing to pay a royalty in order to exploit the related benefits of this asset. Therefore, a portion of I&S’ earnings, equal to the after-tax royalty that would have been paid for the use of the asset, can be attributed to our ownership. The trade names are being amortized on a straight-line basis (which approximates the economic pattern of benefits) over the estimated economic life of 13 years.

The fair values of the customer relationships and backlog intangible assets were determined by using an income approach which is a commonly accepted valuation approach. Under this approach, the net earnings attributable to the asset or liability being measured are isolated using the discounted projected net cash flows. These projected cash flows are isolated from the projected cash flows of the combined asset group over the remaining economic life of the intangible asset or liability being measured. Both the amount and the duration of the cash flows are considered from a market participant perspective. Our estimates of market participant net cash flows considered historical and projected pricing, operational performance including market participant synergies, aftermarket retention, product life cycles, material and labor pricing, and other relevant customer, contractual and market factors. Where appropriate, the net cash flows were adjusted to reflect the potential attrition of existing customers in the future, as existing customers are expected to decline over time. The attrition-adjusted future cash flows are then discounted to present value using an appropriate discount rate. The customer relationship asset is being amortized on a straight-line basis (which approximates the economic pattern of benefits) over the estimated economic life of 14 years.

Supplemental Pro Forma Data

I&S’ results of operations have been included in our financial statements for the period subsequent to the completion of the acquisition on January 31, 2020. Consolidated pro forma revenue and net income attributable to common shareholders has not been presented since the impact was not material to our financial results.

Acquisition-Related Costs

Acquisition-related costs are expensed as incurred. For the three and six months ended June 30, 2020, we recorded $2.3 million and $7.5 million, respectively, of integration and transaction costs in our Condensed Consolidated Statements of Operations.

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Discontinued Operations

6 Months Ended

Jun. 30, 2021

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

Discontinued Operations

A business is classified as held for sale when management having the authority to approve the action commits to a plan to sell the business, the sale is probable to occur during the next 12 months at a price that is reasonable in relation to its current fair value and certain other criteria are met. A business classified as held for sale is recorded at the lower of its carrying amount or estimated fair value less cost to sell. When the carrying amount of the business exceeds its estimated fair value less cost to sell, a loss is recognized and updated each reporting period as appropriate.

Executing on our strategy to focus our growth investments on our three remaining segments, on May 16, 2021, we entered into an agreement to sell our Engineered Materials segment to Grupo Verzatec S.A. de C.V. for $360 million on a cash-free and debt-free basis. The sale is subject to customary closing conditions and regulatory approvals. In the second quarter of 2021, the assets and liabilities of the segment were classified as held for sale, and the segment’s results are presented as discontinued operations. This change was applied on a retrospective basis. We reasonably expect to close on this transaction within one year from the date of our entry into the agreement, and therefore have presented the assets and liabilities as current as of June 30, 2021.

Financial results from discontinued operations:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net sales	$	59.1	$	33.6	$	113.0	$	84.6
Cost of sales	46.7		26.9		89.7		65.9
Selling, general and administrative	4.7		4.2		9.2		9.4
Restructuring charges	—		0.6		—		0.6
Income from discontinued operations	7.7		1.9		14.1		8.7
Income tax (benefit) provision1	(19.9)		0.5		(18.5)		2.2
Income from discontinued operations, net of tax	$	27.6	$	1.4	$	32.6	$	6.5
1 Includes $21.5 million of deferred tax benefit in 2021 associated with the pending disposition of the Engineered Materials segment.

Major classes of assets and liabilities to be transferred in the transaction:

(in millions)	June 30, 2021		December 31, 2020
Assets:
Accounts receivable, net	$	17.1	$	8.8
Inventories, net	9.4		8.5
Other current assets	0.5		0.1
Property, plant and equipment, net	26.1		26.8
Other assets	0.3		0.6
Intangible assets, net	1.2		1.2
Goodwill	171.3		171.3
Assets held for sale	$	225.9	$	217.3
Liabilities:
Accounts payable	$	25.1	$	19.5
Accrued liabilities	8.1		7.9
Long-term deferred tax liability	4.7		26.1
Other liabilities	—		0.1
Liabilities held for sale	$	37.9	$	53.6

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Segment Results

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

Segment Results

Segment Results

Our segments are reported on the same basis used internally for evaluating performance and for allocating resources. We have four reportable segments: Aerospace & Electronics, Process Flow Technologies, Payment & Merchandising Technologies and Engineered Materials. Assets of the reportable segments exclude general corporate assets, which principally consist of cash, deferred tax assets, insurance receivables, certain property, plant and equipment, and certain other assets. Corporate consists of corporate office expenses including compensation and benefits for corporate employees, occupancy, depreciation, and other administrative costs.

A brief description of each of our segments are as follows:

Aerospace & Electronics

The Aerospace & Electronics segment supplies critical components and systems, including original equipment and aftermarket parts, primarily for the commercial aerospace and military aerospace and defense markets.  Products include a wide range of custom designed, highly engineered products used in landing systems, sensing and utility systems, fluid management, seat actuation, power and microelectronic applications, and microwave systems.

Process Flow Technologies

The Process Flow Technologies segment is a provider of highly engineered fluid handling equipment for critical performance applications that require high reliability. The segment is comprised of Process Valves and Related Products, Commercial Valves, and Pumps and Systems. Process Valves and Related Products include on/off valves and related products for critical and demanding applications in the chemical, oil & gas, power, and general industrial end markets globally. Commercial Valves includes the manufacturing and distribution of valves and related products for the non-residential construction, general industrial, and to a lesser extent, municipal markets. Pumps and Systems include pumps and related products primarily for water and wastewater applications in the industrial, municipal, commercial and military markets.

Payment & Merchandising Technologies

The Payment & Merchandising Technologies segment consists of Crane Payment Innovations (“CPI”) and Crane Currency.  CPI provides high technology payment acceptance and dispensing products to original equipment manufacturers, and for certain vertical markets, it also provides currency handling and processing systems, complete cash and cashless payment and merchandising solutions, equipment service solutions, and fully connected managed service solutions. Crane Currency is a supplier of banknotes and highly engineered banknote security features.

Engineered Materials

The Engineered Materials segment manufactures fiberglass-reinforced plastic panels and coils, primarily for use in the manufacturing of recreational vehicles, truck bodies and trailers (Transportation), with additional applications in commercial and industrial buildings (Building Products). In the second quarter of 2021, the assets and liabilities of the Engineered Materials segment were reclassified as held for sale and results are presented as discontinued operations and, therefore, not included in the tables below. This change was applied on a retrospective basis. Please see Note 3 for additional details.

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net sales:
Aerospace & Electronics	$	157.5	$	157.4	$	311.5	$	350.3
Process Flow Technologies	310.7		239.3		598.8		495.9
Payment & Merchandising Technologies	328.2		247.6		665.6		544.9
Total	$	796.4	$	644.3	$	1,575.9	$	1,391.1
Operating profit:
Aerospace & Electronics	$	30.8	$	19.5	$	56.8	$	63.3
Process Flow Technologies	46.5		20.2		96.6		48.2
Payment & Merchandising Technologies	77.9		2.0		163.7		28.4
Corporate	(18.3)		(13.0)		(40.2)		(29.5)
Total	$	136.9	$	28.7	$	276.9	$	110.4
Interest income	0.4		0.3		0.9		0.7
Interest expense	(11.4)		(14.4)		(25.0)		(26.9)
Miscellaneous income, net	9.7		2.4		13.6		6.2
Income from continuing operations before income taxes	$	135.6	$	17.0	$	266.4	$	90.4

For the three and six month periods ended June 30, 2021, operating profit includes net restructuring gains of $0.2 million and $13.3 million, respectively. For the three and six month periods ended June 30, 2020, operating profit includes acquisition-related and integration charges of $2.3 million and $7.5 million, respectively, and net restructuring charges of $23.2 million and $22.0 million, respectively. See Note 2, “Acquisitions” and Note 15, “Restructuring” for further discussion.

(in millions)	June 30, 2021		December 31, 2020
Assets:
Aerospace & Electronics	$	609.9	$	593.9
Process Flow Technologies	1,165.8		1,106.1
Payment & Merchandising Technologies	2,149.0		2,215.3
Corporate	272.6		482.4
Assets held for sale	225.9		217.3
Total	$	4,423.2	$	4,615.0

(in millions)	June 30, 2021		December 31, 2020
Goodwill:
Aerospace & Electronics	$	202.5	$	202.5
Process Flow Technologies	356.0		360.0
Payment & Merchandising Technologies	867.5		875.2
Total	$	1,426.0	$	1,437.7

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Revenue

6 Months Ended

Jun. 30, 2021

Revenue from Contract with Customer [Abstract]

Revenue

Revenue

Disaggregation of Revenues

The following table presents net sales disaggregated by product line for each segment:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Aerospace & Electronics
Commercial Original Equipment	$	53.7	$	51.9	$	108.3	$	132.5
Military and Other Original Equipment	62.8		65.5		125.6		125.9
Commercial Aftermarket Products	25.3		20.3		44.8		54.2
Military Aftermarket Products	15.7		19.7		32.8		37.7
Total Aerospace & Electronics	$	157.5	$	157.4	$	311.5	$	350.3
Process Flow Technologies
Process Valves and Related Products	$	184.3	$	160.8	$	358.6	$	317.9
Commercial Valves	98.2		58.3		187.7		134.1
Pumps and Systems	28.2		20.2		52.5		43.9
Total Process Flow Technologies	$	310.7	$	239.3	$	598.8	$	495.9
Payment & Merchandising Technologies
Payment Acceptance and Dispensing Products 1	$	197.3	$	140.9	$	382.3	$	344.1
Banknotes and Security Products	130.9		106.7		283.3		200.8
Total Payment & Merchandising Technologies	$	328.2	$	247.6	$	665.6	$	544.9
Net sales	$	796.4	$	644.3	$	1,575.9	$	1,391.1

1 As a result of the third quarter 2020 internal merger of the Crane Merchandising Systems (“CMS”) business into the vending vertical of the CPI business, Payment Acceptance and Dispensing Products now includes Merchandising Equipment. The prior period has been reclassified to conform to the current period presentation.

Remaining Performance Obligations

The transaction price allocated to remaining performance obligations represents the transaction price of firm orders which have not yet been fulfilled, which we also refer to as total backlog. As of June 30, 2021, total backlog was $1,191.7 million. We expect to recognize approximately 77% of our remaining performance obligations as revenue in 2021, an additional 21% in 2022 and the balance thereafter.

Contract Assets and Contract Liabilities

Contract assets represent unbilled amounts that typically arise from contracts for customized products or contracts for products sold directly to the U.S. government or indirectly to the U.S. government through subcontracts, where revenue recognized using the cost-to-cost method exceeds the amount billed to the customer. Contract assets are assessed for impairment and recorded at their net realizable value. Contract liabilities represent advance payments from customers. Revenue related to contract liabilities is recognized when control is transferred to the customer. We report contract assets, which are included within “Other current assets” in our Condensed Consolidated Balance Sheets, and contract liabilities, which are included within “Accrued liabilities” on our Condensed Consolidated Balance Sheets, on a contract-by-contract net basis at the end of each reporting period. Net contract assets and contract liabilities consisted of the following:

(in millions)	June 30, 2021		December 31, 2020
Contract assets	$	81.6	$	66.7
Contract liabilities	$	90.3	$	103.0

We recognized revenue of $13.5 million and $46.9 million during the three- and six-month periods ended June 30, 2021 related to contract liabilities as of December 31, 2020.

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Earnings Per Share

6 Months Ended

Jun. 30, 2021

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

Our basic earnings per share calculations are based on the weighted average number of common shares outstanding during the period. Potentially dilutive securities include outstanding stock options, restricted share units, deferred stock units and performance-based restricted share units. The effect of potentially dilutive securities is reflected in diluted earnings per common share by application of the treasury method. Diluted earnings per share gives effect to all potentially dilutive common shares outstanding during the period.

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions, except per share data)	2021		2020		2021		2020
Net income from continuing operations attributable to common shareholders	$	110.7	$	13.4	$	214.1	$	71.1
Income from discontinued operations, net of tax (Note 3)	27.6		1.4		32.6		6.5
Net income attributable to common shareholders	$	138.3	$	14.8	$	246.7	$	77.6
Average basic shares outstanding	58.5		58.0		58.4		58.5
Effect of dilutive share-based awards	0.8		0.5		0.7		0.6
Average diluted shares outstanding	59.3		58.5		59.1		59.1
Earnings per basic share:
Earnings per basic share from continuing operations	$	1.89	$	0.23	$	3.67	$	1.22
Earnings per basic share from discontinued operations	0.47		0.03		0.55		0.11
Earnings per basic share	$	2.36	$	0.26	$	4.22	$	1.33
Earnings per diluted share:
Earnings per diluted share from continuing operations	$	1.87	$	0.23	$	3.62	$	1.20
Earnings per diluted share from discontinued operations	0.46		0.02		0.55		0.11
Earnings per diluted share	$	2.33	$	0.25	$	4.17	$	1.31

The computation of diluted earnings per share excludes the effect of the potentially anti-dilutive securities which was 1.3 million and 2.2 million for the three months ended June 30, 2021 and 2020, respectively, and 1.5 million and 1.8 million for the six months ending June 30, 2021 and 2020, respectively.

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Changes in Equity and Accumulated Other Comprehensive Loss

6 Months Ended

Jun. 30, 2021

Equity [Abstract]

Changes in Equity and Accumulated Other Comprehensive Loss

Changes in Equity and Accumulated Other Comprehensive Loss

A summary of changes in equity for the year-to-date interim periods ended June 30, 2021 and 2020 is provided below:

(in millions, except share data)	Common Shares Issued at Par Value	Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock		Total Share- holders’ Equity		Non-controlling Interest		Total Equity
BALANCE DECEMBER 31, 2020	72.4	$	330.7	$	2,192.8	$	(466.4)	$	(600.6)	$	1,528.9	$	2.2	$	1,531.1
Net income	—	—		108.4		—		—		108.4		—		108.4
Cash dividends ($0.43 per share)	—	—		(25.0)		—		—		(25.0)		—		(25.0)
Impact from settlement of share-based awards, net of shares acquired	—	(2.3)		—		—		9.5		7.2		—		7.2
Stock-based compensation expense	—	6.3		—		—		—		6.3		—		6.3
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		4.9		—		4.9		—		4.9
Currency translation adjustment	—	—		—		(35.7)		—		(35.7)		0.8		(34.9)
BALANCE MARCH 31, 2021	72.4	$	334.7	$	2,276.2	$	(497.2)	$	(591.1)	$	1,595.0	$	3.0	$	1,598.0
Net income	—	—		138.3		—		—		138.3		—		138.3
Cash dividends (0.43 per share)	—	—		(25.2)		—		—		(25.2)		—		(25.2)
Impact from settlement of share-based awards, net of shares acquired	—	7.6		—		—		(9.5)		(1.9)		—		(1.9)
Stock-based compensation expense	—	6.1		—		—		—		6.1		—		6.1
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		5.2		—		5.2		—		5.2
Currency translation adjustment	—	—		—		7.7		—		7.7		(0.1)		7.6
BALANCE JUNE 30, 2021	72.4	$	348.4	$	2,389.3	$	(484.3)	$	(600.6)	$	1,725.2	$	2.9	$	1,728.1

(in millions, except share data)	Common Shares Issued at Par Value	Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock		Total Share- holders’ Equity		Non-controlling Interest		Total Equity
BALANCE DECEMBER 31, 2019	72.4	$	315.6	$	2,112.2	$	(483.7)	$	(542.8)	$	1,473.7	$	2.6	$	1,476.3
Net income	—	—		62.8		—		—		62.8		—		62.8
Cash dividends ($0.43 per share)	—	—		(25.5)		—		—		(25.5)		—		(25.5)
Reacquisition on open market of 1,221,233 shares	—	—		—		—		(70.0)		(70.0)		—		(70.0)
Impact from settlement of share-based awards, net of shares acquired	—	(6.0)		—		—		6.0		—		—		—
Stock-based compensation expense	—	5.8		—		—		—		5.8		—		5.8
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		3.6		—		3.6		—		3.6
Currency translation adjustment	—	—		—		(45.2)		—		(45.2)		(0.3)		(45.5)
BALANCE MARCH 31, 2020	72.4	$	315.4	$	2,149.5	$	(525.3)	$	(606.8)	$	1,405.2	$	2.3	$	1,407.5
Net income	—	—		14.8		—		—		14.8		—		$	14.8
Cash dividends ($0.43 per share)	—	—		(24.9)		—		—		(24.9)		—		(24.9)
Impact from settlement of share-based awards, net of shares acquired	—	(1.4)		—		—		1.9		0.5		—		0.5
Stock-based compensation expense	—	4.7		—		—		—		4.7		—		4.7
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		3.6		—		3.6		—		3.6
Currency translation adjustment	—	—		—		17.2		—		17.2		0.2		17.4
BALANCE JUNE 30, 2020	72.4	$	318.7	$	2,139.4	$	(504.5)	$	(604.9)	$	1,421.1	$	2.5	$	1,423.6

The table below provides the accumulated balances for each classification of accumulated other comprehensive income (loss), as reflected on our Condensed Consolidated Balance Sheets.

(in millions)		Defined Benefit Pension and Postretirement Items		Currency Translation Adjustment		Total a
Balance as of December 31, 2020		$	(397.9)	$	(68.5)	$	(466.4)
	Other comprehensive income (loss) before reclassifications	—		(28.0)		(28.0)
	Amounts reclassified from accumulated other comprehensive loss	10.1		—		10.1
Net period other comprehensive income (loss)		10.1		(28.0)		(17.9)
Balance as of June 30, 2021		$	(387.8)	$	(96.5)	$	(484.3)

a  Net of tax benefit of $150.6 million and $148.2 million as of June 30, 2021 and December 31, 2020, respectively.

The table below illustrates the amounts reclassified out of each component of accumulated other comprehensive loss for the three and six month periods ended June 30, 2021 and 2020. Amortization of pension and postretirement components has been recorded within “Miscellaneous income, net” on our Condensed Consolidated Statements of Operations.

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Amortization of pension items:
Prior-service costs	$	(0.1)	$	(0.1)	$	(0.1)	$	(0.1)
Net loss	6.5		4.9		13.1		9.7
Amortization of postretirement items:
Prior-service costs	(0.3)		(0.3)		(0.5)		(0.5)
Total before tax	$	6.1	$	4.5	$	12.5	$	9.1
Tax impact	1.1		0.9		2.4		2.0
Total reclassifications for the period	$	5.0	$	3.6	$	10.1	$	7.1

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Defined Benefit and Postretirement Benefits

6 Months Ended

Jun. 30, 2021

Retirement Benefits [Abstract]

Defined Benefit and Postretirement Benefits

Defined Benefit and Postretirement Benefits

For all plans, the components of net periodic benefit for the three months ended June 30, 2021 and 2020 are as follows:

	Pension				Postretirement
(in millions)	2021		2020		2021		2020
Service cost	$	1.7	$	1.6	$	0.1	$	0.1
Interest cost	5.2		6.6		0.2		0.2
Expected return on plan assets	(15.7)		(14.0)		—		—
Amortization of prior service cost	(0.1)		(0.1)		(0.3)		(0.3)
Amortization of net loss	6.5		4.9		—		—
Net periodic benefit	$	(2.4)	$	(1.0)	$	—	$	—

For all plans, the components of net periodic benefit for the six months ended June 30, 2021 and 2020 are as follows:

	Pension				Postretirement
(in millions)	2021		2020		2021		2020
Service cost	$	3.2	$	3.2	$	0.2	$	0.1
Interest cost	10.4		13.2		0.3		0.4
Expected return on plan assets	(29.8)		(28.7)		—		—
Recognized curtailment gain	(0.7)		—		—		—
Amortization of prior service cost	(0.1)		(0.1)		(0.5)		(0.5)
Amortization of net loss	13.1		9.7		—		—
Net periodic benefit	$	(3.9)	$	(2.7)	$	—	$	—

The components of net periodic benefit, other than the service cost component, are included in “Miscellaneous income, net” in our Condensed Consolidated Statements of Operations. Service cost is recorded within “Cost of sales” and “Selling, general and administrative” in our Condensed Consolidated Statements of Operations.

We expect to contribute the following to our pension and postretirement plans:

(in millions)	Pension		Postretirement
Expected contributions in 2021	$	20.7	$	2.6
Amounts contributed during the six months ended June 30, 2021	$	16.9	$	0.3

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Income Taxes

6 Months Ended

Jun. 30, 2021

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

Effective Tax Rates

Our quarterly provision for income taxes is measured using an annual effective tax rate, adjusted for discrete items within the period presented.

Our effective tax rates are as follows:

	Three Months Ended June 30,		Six Months Ended June 30,
	2021	2020	2021	2020
Effective Tax Rate	18.4%	20.9%	19.6%	21.6%

Our effective tax rates attributable to continuing operations for the three and six months ended June 30, 2021 are lower than the prior year’s comparable periods primarily due to higher tax credit utilization, partially offset by the reversal of tax accruals in the prior year related to an audit settlement.

Our effective tax rates attributable to continuing operations for the three and six months ended June 30, 2021 are lower than the statutory U.S. federal tax rate of 21% primarily due to excess share-based compensation benefits, partially offset by state taxes.

Unrecognized Tax Benefits

During the three and six months ended June 30, 2021, our gross unrecognized tax benefits, excluding interest and penalties, increased by $0.5 million and $0.4 million, respectively, primarily due to increases in tax positions taken in the current and prior periods, partially offset by reductions from expiration of statutes of limitations. During the three and six months ended June 30, 2021, the total amount of unrecognized tax benefits that, if recognized, would affect our effective tax rate increased by $0.6 million and $0.6 million, respectively. The difference between these amounts relates to (1) offsetting tax effects from other tax jurisdictions, and (2) interest expense, net of deferred taxes.

During the three and six months ended June 30, 2021, we recognized $0.2 million of interest and penalty expense related to unrecognized tax benefits in our Condensed Consolidated Statement of Operations. As of June 30, 2021 and December 31, 2020, the total amount of accrued interest and penalty expense related to unrecognized tax benefits recorded in our Condensed Consolidated Balance Sheets was $7.8 million and $7.5 million, respectively.

During the next twelve months, it is reasonably possible that our unrecognized tax benefits may decrease by $10.1 million due to expiration of statutes of limitations and settlements with tax authorities. However, if the ultimate resolution of income tax examinations results in amounts that differ from this estimate, we will record additional income tax expense or benefit in the period in which such matters are effectively settled.

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Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Our business acquisitions have typically resulted in the recognition of goodwill and other intangible assets. We follow the provisions under ASC Topic 350, “Intangibles – Goodwill and Other” as it relates to the accounting for goodwill in our condensed consolidated financial statements. These provisions require that we, on at least an annual basis, evaluate the fair value of the reporting units to which goodwill is assigned and attributed and compare that fair value to the carrying value of the reporting unit to determine if an impairment has occurred. We perform our annual impairment testing during the fourth quarter. Impairment testing takes place more often than annually if events or circumstances indicate a change in status that would indicate a potential impairment. We believe that there have been no events or circumstances which would more likely than not reduce the fair value for our reporting units below its carrying value. A reporting unit is an operating segment unless discrete financial information is prepared and reviewed by segment management for businesses one level below that operating segment (a “component”), in which case the component would be the reporting unit. As of June 30, 2021, we had seven reporting units. In the second quarter of 2021, the assets and liabilities of our Engineered Materials segment (which was a separate reportable segment and reporting unit) were classified as held for sale. Please see Note 3 for additional details.

Intangibles with indefinite useful lives, consisting of trade names are tested annually for impairment, or when events or changes in circumstances indicate the potential for impairment. If the carrying amount of an indefinite lived intangible asset exceeds its fair value, the intangible asset is written down to its fair value. Fair value is calculated using relief from royalty method. We amortize the cost of definite-lived intangibles over their estimated useful lives. We also review all of our definite-lived intangible assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable.

Changes to goodwill are as follows:

(in millions)	Aerospace & Electronics		Process Flow Technologies		Payment & Merchandising Technologies		Total
Balance as of December 31, 2020	$	202.5	$	360.0	$	875.2	$	1,437.7
Adjustments to purchase price allocations	—		(0.1)		—		(0.1)
Currency translation	—		(3.9)		(7.7)		(11.6)
Balance at June 30, 2021	$	202.5	$	356.0	$	867.5	$	1,426.0

For the six months ended June 30, 2021, adjustments of $0.1 million represent the finalization of the purchase price allocation for the acquisition of I&S. See a discussion in Note 2, “Acquisitions” for further details.

As of June 30, 2021, we had $491.3 million of net intangible assets, of which $71.2 million were intangibles with indefinite useful lives. As of December 31, 2020, we had $519.1 million of net intangible assets, of which $70.9 million were intangibles with indefinite useful lives.

Changes to intangible assets are as follows:

(in millions)	Six Months Ended June 30, 2021		Year Ended December 31, 2020
Balance at beginning of period, net of accumulated amortization	$	519.1	$	503.7
Additions	—		52.5
Amortization expense	(22.6)		(48.3)
Currency translation	(5.2)		11.2
Balance at end of period, net of accumulated amortization	$	491.3	$	519.1

For the year ended December 31, 2020, additions to intangible assets represent the purchase price allocation related to the January 2020 acquisition of I&S. See discussion in Note 2, “Acquisitions” for further details.

A summary of intangible assets follows:

		June 30, 2021						December 31, 2020
(in millions)	Weighted Average Amortization Period of Finite Lived Assets (in years)	Gross Asset		Accumulated Amortization		Net		Gross Asset		Accumulated Amortization		Net
Intellectual property rights	15.2	$	133.0	$	54.0	$	79.0	$	133.2	$	53.4	$	79.8
Customer relationships and backlog	18.3	617.1		257.5		359.6		623.7		241.9		381.8
Drawings	40	11.1		10.6		0.5		11.1		10.5		0.6
Other	11.7	139.0		86.8		52.2		140.2		83.3		56.9
Total	17.8	$	900.2	$	408.9	$	491.3	$	908.2	$	389.1	$	519.1

Future amortization expense associated with intangible assets is expected to be:

(in millions)
Remainder of 2021	$	22.2
2022	42.8
2023	42.8
2024	41.8
2025 and after	270.5

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Accrued Liabilities

6 Months Ended

Jun. 30, 2021

Text Block [Abstract]

Accrued Liabilities

Accrued Liabilities

Accrued liabilities consist of: 

(in millions)	June 30, 2021		December 31, 2020
Employee related expenses	$	127.9	$	120.5
Warranty	10.5		8.1
Current lease liabilities	22.8		23.0
Contract liabilities	90.3		103.0
Other	136.9		133.4
Total	$	388.4	$	388.0

We accrue warranty liabilities when it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated. Warranty provision is included within “Cost of sales” in our Condensed Consolidated Statements of Operations.

The following table summarizes warranty activity recorded during the three and six months ended June 30, 2021 and 2020.

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Balance at beginning of period	$	10.2	$	9.6	$	8.1	$	9.8
Expense	2.8		2.6		6.0		5.1
Changes due to acquisitions	—		0.3		—		0.3
Payments / deductions	(2.4)		(3.7)		(3.4)		(6.4)
Currency translation	(0.1)		—		(0.2)		—
Balance at end of period	$	10.5	$	8.8	$	10.5	$	8.8

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2021

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Asbestos Liability

Information Regarding Claims and Costs in the Tort System

As of June 30, 2021, we were a defendant in cases filed in numerous state and federal courts alleging injury or death as a result of exposure to asbestos. Activity related to asbestos claims during the periods indicated was as follows:

	Three Months Ended		Six Months Ended		Year Ended
	June 30,		June 30,		December 31,
	2021	2020	2021	2020	2020
Beginning claims	29,407	29,162	29,138	29,056	29,056
New claims	772	577	1,505	1,258	2,620
Settlements	(176)	(264)	(336)	(429)	(885)
Dismissals	(215)	(548)	(519)	(958)	(1,653)
Ending claims	29,788	28,927	29,788	28,927	29,138

Of the 29,788 pending claims as of June 30, 2021, approximately 18,000 claims were pending in New York of which approximately 16,000 are non-malignancy claims that were filed over 15 years ago and have been inactive under New York court orders.

We have tried several cases resulting in defense verdicts by the jury or directed verdicts for the defense by the court. We further have pursued appeals of certain adverse jury verdicts that have resulted in reversals in favor of the defense. We have also tried several other cases resulting in plaintiff verdicts which we paid or settled after unsuccessful appeals.

The gross settlement and defense costs incurred (before insurance recoveries and tax effects) by us for the six months ended June 30, 2021 and 2020 totaled $21.3 million and $23.9 million, respectively. In contrast to the recognition of settlement and defense costs, which reflect the current level of activity in the tort system, cash payments and receipts generally lag the tort system activity by several months or more, and may show some fluctuation from period to period. Cash payments of settlement amounts are not made until all releases and other required documentation are received by us, and reimbursements of both settlement amounts and defense costs by insurers may be uneven due to insurer payment practices, transitions from one insurance layer to the next excess layer and the payment terms of certain reimbursement agreements. Our total pre-tax payments for settlement and defense costs, net of funds received from insurers, for the six months ended June 30, 2021 and, 2020 totaled $20.2 million and $19.2 million, respectively. Detailed below are the comparable amounts for the periods indicated.

	Three Months Ended				Six Months Ended				Year Ended
(in millions)	June 30,				June 30,				December 31,
	2021		2020		2021		2020		2020
Settlement / indemnity costs incurred (1)	$	8.4	$	7.6	$	13.9	$	15.8	$	35.3
Defense costs incurred (1)	3.8		3.6		7.4		8.1		15.6
Total costs incurred	$	12.2	$	11.2	$	21.3	$	23.9	$	50.9
Settlement / indemnity payments	$	9.4	$	5.9	$	19.5	$	16.9	$	24.7
Defense payments	4.2		4.2		7.4		8.5		16.7
Insurance receipts	(4.2)		(2.7)		(6.7)		(6.2)		(10.3)
Pre-tax cash payments, net	$	9.4	$	7.4	$	20.2	$	19.2	$	31.1

(1) Before insurance recoveries and tax effects.

The amounts shown for settlement and defense costs incurred, and cash payments, are not necessarily indicative of future period amounts, which may be higher or lower than those reported.

Cumulatively through June 30, 2021, we have resolved (by settlement or dismissal) approximately 142,000 claims. The related settlement costs incurred by us and our insurance carriers is approximately $692 million, for an average settlement cost per resolved claim of approximately $4,900. The average settlement cost per claim resolved during the years ended December 31, 2020, 2019 and 2018 was $13,900, $15,800, and $11,300, respectively. Because claims are sometimes dismissed in large

groups, the average cost per resolved claim, as well as the number of open claims, can fluctuate significantly from period to period. In addition to large group dismissals, the nature of the disease and corresponding settlement amounts for each claim resolved will also drive changes from period to period in the average settlement cost per claim. Accordingly, the average cost per resolved claim is not considered in our periodic review of our estimated asbestos liability. For a discussion regarding the four most significant factors affecting the liability estimate, see “Effects on the Condensed Consolidated Financial Statements.”

Effects on the Condensed Consolidated Financial Statements

We have retained an independent actuarial firm to assist management in estimating our asbestos liability in the tort system. The actuarial consultants review information provided by us concerning claims filed, settled and dismissed, amounts paid in settlements and relevant claim information such as the nature of the asbestos-related disease asserted by the claimant, the jurisdiction where filed and the time lag from filing to disposition of the claim. The methodology used by the actuarial consultants to project future asbestos costs is based on our recent historical experience for claims filed, settled and dismissed during a base reference period. Our experience is then compared to estimates of the number of individuals likely to develop asbestos-related diseases determined based on widely used previously conducted epidemiological studies augmented with current data inputs. Those studies were undertaken in connection with national analyses of the population of workers believed to have been exposed to asbestos. Using that information, the actuarial consultants estimate the number of future claims that would be filed against us and estimates the aggregate settlement or indemnity costs that would be incurred to resolve both pending and future claims based upon the average settlement costs by disease during the reference period. This methodology has been accepted by numerous courts. After discussions with us, the actuarial consultants augment our liability estimate for the costs of defending asbestos claims in the tort system using a forecast from us which is based upon discussions with our defense counsel. Based on this information, the actuarial consultants compile an estimate of our asbestos liability for pending and future claims using a range of reference periods based on claim experience and claims expected to be filed through the indicated forecast period. The most significant factors affecting the liability estimate are (1) the number of new mesothelioma claims filed against us, (2) the average settlement costs for mesothelioma claims, (3) the percentage of mesothelioma claims dismissed against us and (4) the aggregate defense costs incurred by us. These factors are interdependent, and no one factor predominates in determining the liability estimate.

In our view, the forecast period used to provide the best estimate for asbestos claims and related liabilities and costs is a judgment based upon a number of trend factors, including the number and type of claims being filed each year; the jurisdictions where such claims are filed, and the effect of any legislation or judicial orders in such jurisdictions restricting the types of claims that can proceed to trial on the merits; and the likelihood of any comprehensive asbestos legislation at the federal level. In addition, the dynamics of asbestos litigation in the tort system have been significantly affected by the substantial number of companies that have filed for bankruptcy protection, thereby staying any asbestos claims against them until the conclusion of such proceedings, and the establishment of a number of post-bankruptcy trusts for asbestos claimants, which have been estimated to provide $36 billion for payments to current and future claimants. These trend factors have both positive and negative effects on the dynamics of asbestos litigation in the tort system and the related best estimate of our asbestos liability, and these effects do not move in a linear fashion but rather change over multi-year periods. Accordingly, management continues to monitor these trend factors over time and periodically assesses whether an alternative forecast period is appropriate.

Each quarter, the actuarial consultants compile an update based upon our experience in claims filed, settled and dismissed as well as average settlement costs by disease category (mesothelioma, lung cancer, other cancer, and non-malignant conditions including asbestosis). In addition to this claims experience, we also consider additional quantitative and qualitative factors such as the nature of the aging of pending claims, significant appellate rulings and legislative developments, and their respective effects on expected future settlement values. As part of this process, we also consider trends in the tort system such as those enumerated above. Management considers all these factors in conjunction with the liability estimate of the actuarial consultants and determines whether a change in the estimate is warranted.

Liability Estimate. In June 2016, the New York State Court of Appeals issued its opinion in Dummitt v. Crane Co., affirming a 2012 verdict for $4.9 million against us. In that opinion, the court ruled that in certain circumstances we are legally responsible for asbestos-containing materials made and sold by third parties that others attached post-sale to our equipment. This decision provided clarity regarding the nature of claims that may proceed to trial in New York and greater predictability regarding future claim activity. We also reflected the impact of the Dummitt decision on our expected settlement values. Accordingly, on December 31, 2016, we updated and extended our asbestos liability estimate through 2059, the generally accepted end point.

Following our experience in the tort system post the Dummitt decision, we entered into several, increasingly similar, group settlements with various plaintiff firms and we expect this new trend of these types of group settlements to continue. Accordingly, effective as of December 31, 2019, we updated our estimate of the asbestos liability, including revised costs of settlement or indemnity payments and defense costs relating to currently pending claims and future claims projected to be filed against us through the same expected end point of 2059. Our estimate of the asbestos liability for pending and future claims through 2059 is based on the projected future asbestos costs resulting from our experience using a range of reference periods for claims filed, settled and dismissed. Based on this estimate, we recorded an additional liability of $255 million as of December 31, 2019.

An aggregate liability of $712 million is recorded as of December 31, 2019 to cover the estimated cost of asbestos claims now pending or subsequently asserted through 2059, of which approximately 85% is attributable to settlement and defense costs for future claims projected to be filed through 2059. The liability is reduced when cash payments are made in respect of settled claims and defense costs. The liability was $643 million and $670 million as of June 30, 2021 and December 31, 2020, respectively. It is not possible to forecast when cash payments related to the asbestos liability will be fully expended; however, it is expected such cash payments will continue for a number of years past 2059, due to the significant proportion of future claims included in the estimated asbestos liability and the lag time between the date a claim is filed and when it is resolved. None of these estimated costs have been discounted to present value due to the inability to reliably forecast the timing of payments. The current portion of the total estimated liability at June 30, 2021 and December 31, 2020 is $66.5 million and represents our best estimate of total asbestos costs expected to be paid during the twelve-month period. Such amount is based upon the actuarial model together with our prior year payment experience for both settlement and defense costs.

We have made our best estimate of the costs through 2059. Through June 30, 2021, our actual experience during the updated reference period for mesothelioma claims filed and dismissed generally approximated the assumptions in our liability estimate. In addition to this claims experience, we considered additional quantitative and qualitative factors such as the nature of the aging of pending claims, significant appellate rulings and legislative developments, and their respective effects on expected future settlement values. Based on this evaluation, we determined that no change in the estimate was warranted for the period ended June 30, 2021.

Insurance Coverage and Receivables. Prior to 2005, a significant portion of our settlement and defense costs were paid by our primary insurers. With the exhaustion of that primary coverage, we began negotiations with our excess insurers to reimburse us for a portion of our settlement and/or defense costs as incurred. To date, we have entered into agreements providing for such reimbursements, known as “coverage-in-place,” with eleven of our excess insurer groups. Under such coverage-in-place agreements, an insurer’s policies remain in force and the insurer undertakes to provide coverage for our present and future asbestos claims on specified terms and conditions that address, among other things, the share of asbestos claims costs to be paid by the insurer, payment terms, claims handling procedures and the expiration of the insurer’s obligations. Similarly, under a variant of coverage-in-place, we have entered into an agreement with a group of insurers confirming the aggregate amount of available coverage under the subject policies and setting forth a schedule for future reimbursement payments to us based on aggregate indemnity and defense payments made. In addition, with ten of our excess insurer groups, we entered into agreements settling all asbestos and other coverage obligations for an agreed sum and received a total of $82.5 million in aggregate as a result of those settlements. Reimbursements from insurers for past and ongoing settlement and defense costs allocable to their policies have been made in accordance with these coverage-in-place and other agreements. All these agreements include provisions for mutual releases, indemnification of the insurer and, for coverage-in-place, claims handling procedures. With the agreements referenced above, we have concluded settlements with all but two of our solvent excess insurers with policies expected to respond to the aggregate costs included in the liability estimate. The first such insurer, which issued a single applicable policy, has been paying for many years the shares of defense and indemnity costs we have allocated to it, subject to a reservation of rights. The second insurer issued a single applicable policy in a layer of coverage that we do not anticipate reaching until many years from now, and, prior to the policy being reached, we anticipate opening a dialogue with that insurer about the execution of a suitable agreement. There are no pending legal proceedings between us and any insurer contesting our asbestos claims under our insurance policies.

In conjunction with developing the aggregate updated liability estimate referenced above, we also developed an updated estimate of probable insurance recoveries for our asbestos liabilities. In developing this estimate, we considered our coverage-in-place and other settlement agreements described above, as well as several additional factors. These additional factors include the financial viability of the insurance companies, the method by which losses will be allocated to the various insurance policies and the years covered by those policies, how settlement and defense costs will be covered by the insurance policies and interpretation of the effect on coverage of various policy terms and limits. In addition, the timing and amount of reimbursements will vary because our insurance coverage for asbestos claims involves multiple insurers, with different policy terms and certain gaps in coverage. In addition to consulting with legal counsel on these insurance matters, we retained insurance consultants to assist management in the estimation of probable insurance recoveries based upon the aggregate

liability estimate described above and assuming the continued viability of all solvent insurance carriers. Based upon the analysis of policy terms and other factors noted above by our legal counsel, and incorporating risk mitigation judgments by us where policy terms or other factors were not certain, our insurance consultants compiled a model indicating how our historical insurance policies would respond to varying levels of asbestos settlement and defense costs and the allocation of such costs between such insurers and us. Using the estimated liability as of December 31, 2019 (for claims filed or expected to be filed through 2059), the insurance consultant’s model forecasted that approximately 14% of the liability would be reimbursed by our insurers. While there are overall limits on the aggregate amount of insurance available to us with respect to asbestos claims, certain limits were not reached by the total estimated liability currently recorded by us, and such overall limits did not influence our determination of the asset amount to record. We allocate to ourselves the amount of the asbestos liability (for claims filed or expected to be filed through 2059) that is in excess of available insurance coverage allocated to such years. An asset of $98 million was recorded as of December 31, 2019 representing the probable insurance reimbursement for claims expected through 2059. The asset is reduced as reimbursements and other payments from insurers are received. The asset was $80 million and $87 million as of June 30, 2021 and December 31, 2020, respectively.

We review the estimated reimbursement rate with our insurance consultants on a periodic basis in order to confirm overall consistency with our established reserves. The reviews encompass consideration of the performance of the insurers under coverage-in-place agreements and the effect of any additional lump-sum payments under other insurer agreements. Actual insurance reimbursements vary from period to period, and will decline over time, for the reasons cited above.

Uncertainties. Estimation of our ultimate exposure for asbestos-related claims is subject to significant uncertainties, as there are multiple variables that can affect the timing, severity and quantity of claims and the manner of their resolution. We caution that our estimated liability is based on assumptions with respect to future claims, settlement and defense costs based on past experience that may not prove reliable as predictors; the assumptions are interdependent and no single factor predominates in determining the liability estimate. A significant upward or downward trend in the number of claims filed, depending on the nature of the alleged injury, the jurisdiction where filed and the quality of the product identification, or a significant upward or downward trend in the costs of defending claims, could change the estimated liability, as would substantial adverse verdicts at trial that withstand appeal. A legislative solution, structured settlement transaction, or significant change in relevant case law could also change the estimated liability.

The same factors that affect developing estimates of probable settlement and defense costs for asbestos-related liabilities also affect estimates of the probable insurance reimbursements, as do a number of additional factors. These additional factors include the financial viability of the insurance companies, the method by which losses will be allocated to the various insurance policies and the years covered by those policies, how settlement and defense costs will be covered by the insurance policies and interpretation of the effect on coverage of various policy terms and limits and their interrelationships. In addition, due to the uncertainties inherent in litigation matters, no assurances can be given regarding the outcome of any litigation, if necessary, to enforce our rights under our insurance policies or settlement agreements.

Many uncertainties exist surrounding asbestos litigation, and we will continue to evaluate our estimated asbestos-related liability and corresponding estimated insurance reimbursement as well as the underlying assumptions and process used to derive these amounts. These uncertainties may result in our incurring future charges or increases to income to adjust the carrying value of recorded liabilities and assets, particularly if the number of claims and settlement and defense costs change significantly, or if there are significant developments in the trend of case law or court procedures, or if legislation or another alternative solution is implemented. Although the resolution of these claims will likely take many years, the effect on the results of operations, financial position and cash flow in any given period from a revision to these estimates could be material.

Other Contingencies

Environmental Matters

For environmental matters, we record a liability for estimated remediation costs when it is probable that we will be responsible for such costs and they can be reasonably estimated. Generally, third party specialists assist in the estimation of remediation costs. The environmental remediation liability as of June 30, 2021 is substantially related to the former manufacturing site in Goodyear, Arizona (the “Goodyear Site”) discussed below. On June 21, 2021, we completed the sale of substantially all of the property associated with what we have historically called the Goodyear Site for $8.7 million, retaining only a small parcel on which our remediation and treatment systems are located. We will continue to be responsible for all remediation costs associated with the Goodyear Site.

Goodyear Site

The Goodyear Site was operated by Unidynamics/Phoenix, Inc. (“UPI”), which became an indirect subsidiary in 1985 when we acquired UPI’s parent company, UniDynamics Corporation. UPI manufactured explosive and pyrotechnic compounds,

including components for critical military programs, for the U.S. government at the Goodyear Site from 1962 to 1993, under contracts with the Department of Defense and other government agencies and certain of their prime contractors. In 1990, the U.S. Environmental Protection Agency (“EPA”) issued administrative orders requiring UPI to design and carry out certain remedial actions, which UPI has done. Groundwater extraction and treatment systems have been in operation at the Goodyear Site since 1994. On July 26, 2006, we entered into a consent decree with the EPA with respect to the Goodyear Site providing for, among other things, a work plan for further investigation and remediation activities (inclusive of a supplemental remediation investigation and feasibility study). During the third quarter of 2014, the EPA issued a Record of Decision (“ROD”) amendment permitting, among other things, additional source area remediation resulting in us recording a charge of $49.0 million, extending the accrued costs through 2022. Following the 2014 ROD amendment, we continued our remediation activities and explored an alternative strategy to accelerate remediation of the site. During the fourth quarter of 2019, we received conceptual agreement from the EPA on our alternative remediation strategy which is expected to further reduce the contaminant plume. Accordingly, in 2019, we recorded a pre-tax charge of $18.9 million, net of reimbursements, to extend our forecast period through 2027 and reflect our revised workplan.  The total estimated gross liability was $35.5 million and $39.8 million as of June 30, 2021 and December 31, 2020, respectively and as described below, a portion is reimbursable by the U.S. Government. The current portion of the total estimated liability was $10.9 million as of June 30, 2021 and December 31, 2020 and represents our best estimate, in consultation with our technical advisors, of total remediation costs expected to be paid during the twelve-month period. It is not possible at this point to reasonably estimate the amount of any obligation in excess of our current accruals through the 2027 forecast period because of the aforementioned uncertainties, in particular, the continued significant changes in the Goodyear Site conditions and additional expectations of remediation activities experienced in recent years.

On July 31, 2006, we entered into a consent decree with the U.S. Department of Justice on behalf of the Department of Defense and the Department of Energy pursuant to which, among other things, the U.S. Government reimburses us for 21% of qualifying costs of investigation and remediation activities at the Goodyear Site. As of June 30, 2021 and December 31, 2020, we recorded a receivable of $7.3 million and $7.8 million, respectively, for the expected reimbursements from the U.S. Government in respect of the aggregate liability as at that date. The receivable is reduced as reimbursements and other payments from the U.S. Government are received.

Other Environmental Matters

Marion, IL Site

We have been identified as a potentially responsible party (“PRP”) with respect to environmental contamination at the Crab Orchard National Wildlife Refuge Superfund Site (the “Crab Orchard Site”). The Crab Orchard Site is located near Marion, Illinois, and consists of approximately 55,000 acres. Beginning in 1941, the United States used the Crab Orchard Site for the production of ordnance and other related products for use in World War II. In 1947, about half of the Crab Orchard Site was leased to a variety of industrial tenants whose activities (which continue to this day) included manufacturing ordnance and explosives. A predecessor of us formerly leased portions of the Crab Orchard Site and conducted manufacturing operations at the Crab Orchard Site from 1952 until 1964. General Dynamics Ordnance and Tactical Systems, Inc. (“GD-OTS”) is in the process of conducting a remedial investigation and feasibility study for a portion of the Crab Orchard Site (the “AUS-OU”), which includes an area where we maintained operations, pursuant to an Administrative Order on Consent. A remedial investigation report was approved in February 2015, and work on the feasibility study is underway. It is unclear when the final feasibility study will be completed, or when a final Record of Decision may be issued.

GD-OTS has asked us to participate in a voluntary, multi-party mediation exercise with respect to response costs it has incurred or will incur with respect to the AUS-OU. We and other PRPs executed a non-binding mediation agreement on March 16, 2015, and the U.S. government executed the mediation agreement on August 6, 2015. The first phase of the mediation, involving certain former munitions or ordnance storage areas, began in November 2017, but did not result in a multi-party settlement agreement. Subsequently, we entered into discussions directly with GD-OTS and reached an agreement-in-principle with GD-OTS to contribute toward GD-OTS’s past RI-FS costs associated with the first-phase areas for a non-material amount. We have also agreed to pay a modest percentage of future RI-FS costs and the United States’ claimed past response costs relative to the first-phase areas, a sum that we expect in the aggregate to be immaterial. We understand that GD-OTS has also reached agreements-in-principle with the U.S. Government and the other participating PRPs related to the first-phase areas of concern. Negotiations between GD-OTS and the U.S. Government are underway with respect to resolution of the remaining areas of the site, including those portions of the Crab Orchard Site where our predecessor conducted manufacturing and research activities. We at present cannot predict whether these further negotiations will result in an agreement, or when any determination of the ultimate allocable shares of the various PRPs, including the U.S. Government, is likely to be completed. It is not possible at this time to reasonably estimate the total amount of any obligation for remediation of the Crab Orchard Site as a whole because the allocation among PRPs, selection of remediation alternatives,

and concurrence of regulatory authorities have not yet advanced to the stage where a reasonable estimate can be made. We notified our insurers of this potential liability and have obtained defense and indemnity coverage, subject to reservations of rights, under certain of our insurance policies.

Roseland, NJ Site

The Roseland Site was operated by Resistoflex Corporation (“Resistoflex”), which became an indirect subsidiary of ours in 1985 when we acquired Resistoflex’s parent company, UniDynamics Corporation. Resistoflex manufactured specialty lined pipe and fittings at the site from the 1950s until it was closed in the mid-1980s. We undertook an extensive soil remediation effort at the Roseland Site following our closure and had been monitoring the Site’s condition in the years that followed. In response to changes in remediation standards, in 2014 we began to conduct further site characterization and delineation studies at the Site. We are in the late stages of our remediation activities at the Site, which include a comprehensive delineation of contaminants of concern in soil, groundwater, surface water, sediment, and indoor air testing, all in accordance with the New Jersey Department of Environmental Protection guidelines and directives.

Other Proceedings

We regularly review the status of lawsuits, claims and proceedings that have been or may be asserted against us relating to the conduct of our business, including those pertaining to product liability, patent infringement, commercial, employment, employee benefits, environmental and stockholder matters. We record a provision for a liability for such matters when it is considered probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These provisions, if any, are reviewed quarterly and adjusted as additional information becomes available. If either or both of the criteria are not met, we assess whether there is at least a reasonable possibility that a loss, or additional losses, may have been incurred. If there is a reasonable possibility that a loss or additional loss may have been incurred for such matters, we disclose the estimate of the amount of loss or range of loss, disclose that the amount is immaterial, or disclose that an estimate of loss cannot be made, as applicable. We believe that as of June 30, 2021, there was no reasonable possibility that a material loss, or any additional material losses, may have been incurred for such matters, and that adequate provision has been made in our financial statements for the potential impact of all such matters.

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Financing

6 Months Ended

Jun. 30, 2021

Debt Disclosure [Abstract]

Financing

Financing

Our debt consisted of the following:

(in millions)	June 30, 2021		December 31, 2020
Commercial paper	$	15.0	$	27.2
364-Day Credit Agreement	—		348.5
Total short-term borrowings	$	15.0	$	375.7
4.45% notes due December 2023	$	299.2	$	299.1
6.55% notes due November 2036	198.5		198.4
4.20% notes due March 2048	346.3		346.2
Other deferred financing costs associated with credit facilities	(0.6)		(0.8)
Total long-term debt	$	843.4	$	842.9
Debt discounts and debt issuance costs totaled $6.0 million and $6.6 million million as of each of June 30, 2021 and December 31, 2020, respectively, and have been netted against the aggregate principal amounts of the related debt in the components of the debt table above.

As of June 30, 2021 and December 31, 2021, there was $15.0 million and $27.2 million of outstanding borrowings under the commercial paper program (the “CP Program”), respectively. We issued commercial paper of $100 million in January 2020 and $150 million in December 2019 to fund the acquisitions of I&S and Cummins-Allison Corp. (“Cummins-Allison”), respectively. See discussion in Note 2, “Acquisitions” for further details. Amounts available under the commercial paper program may be borrowed, repaid and re-borrowed from time to time, with the aggregate principal amount of the notes outstanding under the commercial paper program at any time not to exceed $550 million as of June 30, 2020. See discussion in Note 16, “Subsequent Events” for further details regarding the CP Program.

We also have a revolving credit agreement permitting borrowings of up to $550 million which expires in December 2022. The undrawn portion of this revolving credit agreement is also available to serve as a backstop facility for the issuance of

commercial paper. In the first half of 2020, we repaid the outstanding amounts related to borrowings of $67 million used to fund the I&S acquisition in January 2020. See discussion in Note 2, “Acquisitions” for further details. As of June 30, 2021 and December 31, 2020, there were no outstanding borrowings. See discussion in Note 16, “Subsequent Events” for further details regarding our new revolving credit agreement.In April 2020, to enhance financial flexibility and maintain maximum liquidity in response to the uncertainty in the global markets resulting from the COVID-19 pandemic, we entered into a senior unsecured 364-day credit facility (the “364-Day Credit Agreement”). On April 15, 2021, we repaid the amount outstanding under the 364-Day Credit Agreement with cash on hand and the issuance of commercial paper. As of December 31, 2020, there was $348.5 million outstanding under the 364-Day Credit Agreement.

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Fair Value Measurements

6 Months Ended

Jun. 30, 2021

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements are to be considered from the perspective of a market participant that holds the asset or owes the liability. The standards also establish a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

The standards describe three levels of inputs that may be used to measure fair value:

Level 1: Quoted prices in active markets for identical or similar assets and liabilities.

Level 2: Quoted prices for identical or similar assets and liabilities in markets that are not active or observable inputs other than quoted prices in active markets for identical or similar assets and liabilities. Level 2 assets and liabilities include over-the-counter derivatives, principally forward foreign exchange contracts, whose value is determined using pricing models with inputs that are generally based on published foreign exchange rates and exchange traded prices, adjusted for other specific inputs that are primarily observable in the market or can be derived principally from or corroborated by observable market data.

Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Valuation Technique

The carrying value of our financial assets and liabilities, including cash and cash equivalents, accounts receivable and accounts payable approximate fair value, without being discounted, due to the short periods during which these amounts are outstanding.

We are exposed to certain risks related to our ongoing business operations, including market risks related to fluctuation in currency exchange. We use foreign exchange contracts to manage the risk of certain cross-currency business relationships to minimize the impact of currency exchange fluctuations on our earnings and cash flows. We do not hold or issue derivative financial instruments for trading or speculative purposes. Foreign exchange contracts are not designated as hedging instruments and had a notional value of $33.0 million and $34.2 million as of June 30, 2021 and December 31, 2020, respectively. Our derivative assets and liabilities include foreign exchange contract derivatives that are measured at fair value using internal models based on observable market inputs such as forward rates and interest rates. Based on these inputs, the derivatives are classified within Level 2 of the valuation hierarchy. Such derivative receivable amounts are recorded within “Other current assets” on our Condensed Consolidated Balance Sheets and were $0.2 million and less than $0.1 million as of June 30, 2021 and December 31, 2020, respectively. Such derivative liability amounts are recorded within “Accrued liabilities” on our Condensed Consolidated Balance Sheets and were $0.0 million and $0.1 million as of June 30, 2021 and December 31, 2020, respectively.

Available-for-sale securities consist of marketable debt securities and rabbi trust investments. Marketable debt securities consist of commercial paper which are measured at fair value using prices for comparable securities in active markets, and are therefore classified within Level 2 of the valuation hierarchy. The fair value of the commercial paper was $0.0 million and $30.0 million as of June 30, 2021 and December 31, 2020, respectively. These investments are included in “Other current assets” on our Condensed Consolidated Balance Sheets. We also have two rabbi trusts that hold marketable securities for the benefit of participants in our Supplemental Executive Retirement Plan. These investments are measured at fair value using quoted market prices in an active market, and are therefore classified within Level 1 of the valuation hierarchy. The fair value of available-for-sale securities was $1.5 million as of June 30, 2021 and December 31, 2020. These investments are included in “Other assets” on our Condensed Consolidated Balance Sheets.

Long-term debt rates currently available to us for debt with similar terms and remaining maturities are used to estimate the fair value for debt issues that are not quoted on an exchange. The estimated fair value of total debt, measured using Level 2 inputs, was $986.6 million and $954.8 million as of June 30, 2021 and December 31, 2020, respectively.

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Restructuring

6 Months Ended

Jun. 30, 2021

Restructuring and Related Activities [Abstract]

Restructuring

Restructuring

Overview

2020 Repositioning - In the second quarter of 2020, we initiated actions in response to the adverse economic impact of COVID-19 and integration actions related to the Cummins-Allison acquisition. These actions include workforce reductions of approximately 1,200 employees, or about 11% of our global workforce, and the exiting of two leased office facilities and one leased warehouse facility.

2019 Repositioning - In the fourth quarter of 2019, we initiated actions to consolidate two manufacturing operations in Europe within our Process Flow Technologies segment. In 2020, we recorded additional severance costs related to the final negotiation with the works council/union at both locations. These actions, taken together, included workforce reductions of approximately 180 employees, or less than 1% of our global workforce.

2017 Repositioning - In the fourth quarter of 2017, we initiated broad-based repositioning actions designed to improve profitability. These actions included headcount reductions of approximately 300 employees, or about 3% of our global workforce, and select facility consolidations in North America and Europe. In 2020, we adjusted the estimate downward to reflect the impact of employees that chose to voluntarily terminate prior to receiving severance at the conclusion of the actions in North America. In 2021, we recorded a gain on sale of real estate related to these actions.

Other Restructuring - In the second quarter of 2020, we recorded other restructuring costs within our Payment & Merchandising Technologies segment. We do not expect to incur additional restructuring charges.

Restructuring (gains) charges, net

We recorded restructuring (gains) charges, net which are reflected in the Condensed Consolidated Statements of Operations, as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Aerospace & Electronics	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies 1	—		4.7		(12.6)		4.7
Payment & Merchandising Technologies 2	(0.2)		13.8		(0.7)		12.6
Total restructuring (gains) charges, net 3	$	(0.2)	$	23.2	$	(13.3)	$	22.0

1 We also recorded related costs of $2.4 million and $0.5 million for the three months ended June 30, 2021 and 2020, respectively, and $3.8 million and $1.9 million for the six months ended June 30, 2021 and 2020, respectively. These costs are recorded within Cost of sales and Selling, general and administrative.

2 We also recorded related costs of $0.8 million for the three months ended June 30, 2020 and $0.7 million for the six months ended June 30, 2020. These costs are recorded within Cost of sales and Selling, general and administrative.

3 We also recorded related costs of $2.4 million and $1.3 million for the three months ended June 30, 2021 and 2020, respectively, and $3.8 million and $2.6 million for the six months ended June 30, 2021 and 2020, respectively. These costs are recorded within Cost of sales and Selling, general and administrative.

The following table summarizes our restructuring (gains) charges, net by program, cost type and segment for the three months ended June 30, 2021 and 2020:

	Three months ended June 30, 2021						Three months ended June 30, 2020
(in millions)	Severance		Other		Total		Severance		Other		Total
Aerospace & Electronics	$	—	$	—	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies	—		—		—		4.7		—		4.7
Payment & Merchandising Technologies	—		—		—		13.8		1.0		14.8
2020 Repositioning	$	—	$	—	$	—	$	23.2	$	1.0	$	24.2
Payment & Merchandising Technologies	(0.2)		—		(0.2)		(1.0)		—		(1.0)
2017 Repositioning	$	(0.2)	$	—	$	(0.2)	$	(1.0)	$	—	$	(1.0)
Total	$	(0.2)	$	—	$	(0.2)	$	22.2	$	1.0	$	23.2

The following table summarizes our restructuring (gains) charges, net by program, cost type and segment for the six months ended June 30, 2021 and 2020:

	Six months ended June 30, 2021						Six months ended June 30, 2020
(in millions)	Severance		Other		Total		Severance		Other		Total
Aerospace & Electronics	$	—	$	—	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies	—		—		—		4.7		—		4.7
Payment & Merchandising Technologies	(0.5)		—		(0.5)		13.8		1.0		14.8
2020 Repositioning	$	(0.5)	$	—	$	(0.5)	$	23.2	$	1.0	$	24.2
Process Flow Technologies	$	0.1			$	0.1	$	—	$	—	$	—
2019 Repositioning	$	0.1	$	—	$	0.1	$	—	$	—	$	—
Process Flow Technologies 1	$	—	$	(12.7)	$	(12.7)	$	—	$	—	$	—
Payment & Merchandising Technologies 2	(0.2)		—		(0.2)		(1.0)		(1.5)		(2.5)
2017 Repositioning	$	(0.2)	$	(12.7)	$	(12.9)	$	(1.0)	$	(1.5)	$	(2.5)
Payment & Merchandising Technologies	$	—	$	—	$	—	$	0.3	$	—	$	0.3
Other Restructuring	$	—	$	—	$	—	$	0.3	$	—	$	0.3
Total	$	(0.6)	$	(12.7)	$	(13.3)	$	22.5	$	(0.5)	$	22.0

1 Reflects a pre-tax gain related to the sale of real estate in 2021

2 Reflects a pre-tax gain related to the sale of real estate in 2020

The following table summarizes the cumulative restructuring costs, net incurred through June 30, 2021. We do not expect to incur additional facility consolidation costs to complete these actions as of June 30, 2021.

	Cumulative Restructuring Costs, Net
(in millions)	Severance		Other		Total
Process Flow Technologies	$	3.8	$	—	$	3.8
Payment & Merchandising Technologies	16.1		4.6		20.7
Aerospace & Electronics	6.5		—		6.5
2020 Repositioning	$	26.4	$	4.6	$	31.0
Process Flow Technologies	$	16.1	$	—	$	16.1
2019 Repositioning	$	16.1	$	—	$	16.1
Process Flow Technologies	$	13.5	$	(12.7)	$	0.8
Payment & Merchandising Technologies	11.5		0.7		12.2
Aerospace & Electronics	1.3		(1.4)		(0.1)
2017 Repositioning	$	26.3	$	(13.4)	$	12.9

Restructuring Liability

The following table summarizes the accrual balances related to these restructuring (gains) charges by program:

(in millions)	2020 Repositioning		2019 Repositioning		2017 Repositioning		Total
Severance:
Balance at December 31, 2020 (b)	$	4.2	$	16.0	$	4.7	$	24.9
Expense (a)	—		0.1		—		0.1
Adjustments (a)	(0.5)		—		(0.2)		(0.7)
Utilization	(3.1)		(2.7)		(0.3)		(6.1)
Balance at June 30, 2021 (b)	$	0.6	$	13.4	$	4.2	$	18.2

(a)	Included within Restructuring (gains) charges, net in the Condensed Consolidated Statements of Operations and reflects changes in estimates for increases and decreases in costs related to our restructuring programs
(b)	Included within Accrued Liabilities in the Condensed Consolidated Balance Sheets

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Subsequent Event	6 Months Ended
	Jun. 30, 2021
Subsequent Events [Abstract]
Subsequent Event	Subsequent Event On July 28, 2021, we entered into a $650 million, 5-year Revolving Credit Agreement (the “2021 Facility”), which replaced the existing $550 million revolving credit facility. The 2021 Facility allows us to borrow, repay, or to the extent permitted by the agreement, prepay and re-borrow funds at any time prior to the stated maturity date. Interest on loans made under the 2021 Facility accrues, at our option, at a rate per annum equal to (1) a base rate, plus a margin ranging from 0.00% to 0.50% depending upon the ratings by S&P and Moody’s of our senior unsecured long-term debt (the "Index Debt Rating"), or (2) an adjusted LIBO rate or the applicable replacement rate (determined based on “hardwired” LIBOR transition provisions consistent with those published by the Alternative References Rates Committee) for an interest period to be selected by us, plus a margin ranging from 0.805% to 1.50% depending upon the Index Debt Rating. The 2021 Facility contains customary affirmative and negative covenants for credit facilities of this type, including limitations on us and our subsidiaries with respect to indebtedness, liens, mergers, consolidations, liquidations and dissolutions, sales of all or substantially all assets, transactions with affiliates and hedging arrangements. We must also maintain a debt to capitalization ratio not to exceed 0.65 to 1.00 at all times. The 2021 Facility also provides for customary events of default, including failure to pay principal, interest or fees when due, failure to comply with covenants, any representation or warranty made by us or any of our material subsidiaries being false in any material respect, default under certain other material indebtedness, certain insolvency or receivership events affecting us and our material subsidiaries, certain ERISA events, material judgments and a change in control of us. On July 28, 2021, we increased the size of the CP Program to permit the issuance of short-term, unsecured commercial paper notes in an aggregate principal amount not to exceed $650 million at any time outstanding. Prior to this increase, the CP Program permitted us to issue commercial paper notes in an aggregate principal amount not to exceed $550 million at any time outstanding. The other terms and conditions of the CP program remain the same. Amounts available under the CP Program may be borrowed, repaid and re-borrowed from time to time. The notes will have maturities of up to 397 days from date of issue.

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Basis of Presentation (Policies)

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Recent Accounting Pronouncements - Adopted

Recent Accounting Pronouncements - Adopted

Simplifying the Accounting for Income Taxes

In December 2019, the Financial Accounting Standards Board (“FASB”) issued amended guidance to simplify the accounting for income taxes. The guidance is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Certain amendments are to be applied prospectively, while other amendments are to be applied retrospectively to all periods presented. We have adopted this standard effective January 1, 2021. The adoption of this new standard did not impact our consolidated financial statements.

Disclosure Requirements for Defined Benefit Plans

In August 2018, the FASB issued amended guidance to add, remove, and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The amended guidance removes the requirements to disclose: amounts in accumulated other comprehensive income (loss) expected to be recognized as components of net periodic benefit cost over the next fiscal year; the amount and timing of plan assets expected to be returned to the entity; and the effects of a one-percentage point change in assumed health care cost trend rates. The amended guidance requires disclosure of an explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period. This guidance is effective for fiscal years ending after December 15, 2020. Effective December 31, 2020, we adopted the amended guidance and applied the disclosure requirements on a retrospective basis to all periods presented. This amended guidance did not have a material effect on our disclosures.

Measurement of Credit Losses on Financial Instruments

In June 2016, the FASB issued amended guidance that changes the impairment model for most financial assets and certain other instruments. For trade receivables, contract assets and other receivables, held-to-maturity debt securities, loans and other instruments, entities are required to use a current expected credit loss (“CECL”) model that will immediately recognize an estimate of credit losses that are expected to occur over the life of the financial instruments that are in the scope of this update, including trade receivables. For available-for-sale debt securities with unrealized losses, entities will measure credit losses in a manner similar to current practice, except that the losses will be recognized as an allowance. The CECL model is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable forecasts that affect collectability.

On January 1, 2020, we adopted the new CECL standard and developed an expected impairment model based on our historical loss experience. We believe that our previous methodology to calculate credit losses is generally consistent with the new expected credit loss model and did not result in a material adjustment upon adoption. The allowance for doubtful accounts was $8.3 million and $10.9 million as of June 30, 2021 and December 31, 2020, respectively.

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Acquisitions (Tables)

6 Months Ended

Jun. 30, 2021

Business Combinations [Abstract]

Schedule of Business Acquisitions, by Acquisition

The following amounts represent the determination of the fair value of identifiable assets acquired and liabilities assumed from our acquisition of I&S. The fair value of certain assets and liabilities has been completed as required by ASC 805.

Net assets acquired (in millions)
Total current assets	$	21.0
Property, plant and equipment	11.0
Other assets	6.0
Intangible assets	52.5
Goodwill	106.0
Total assets acquired	$	196.5
Total current liabilities	$	8.1
Other liabilities	19.2
Total assumed liabilities	$	27.3
Net assets acquired	$	169.2

Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination

The amounts allocated to acquired intangible assets, and their associated weighted-average useful lives which were determined based on the period in which the assets are expected to contribute directly or indirectly to our future cash flows, consist of the following:

Intangible Assets (dollars in millions)	Intangible Fair Value		Weighted Average Life
Trademarks/trade names	$	2.6	13
Customer relationships	49.0		14
Backlog	0.9		1
Total acquired intangible assets	$	52.5

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Discontinued Operations (Tables)

6 Months Ended

Jun. 30, 2021

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Financial Results and Major Classes of Assets and Liabilities from Discontinued Operations

Financial results from discontinued operations:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net sales	$	59.1	$	33.6	$	113.0	$	84.6
Cost of sales	46.7		26.9		89.7		65.9
Selling, general and administrative	4.7		4.2		9.2		9.4
Restructuring charges	—		0.6		—		0.6
Income from discontinued operations	7.7		1.9		14.1		8.7
Income tax (benefit) provision1	(19.9)		0.5		(18.5)		2.2
Income from discontinued operations, net of tax	$	27.6	$	1.4	$	32.6	$	6.5
1 Includes $21.5 million of deferred tax benefit in 2021 associated with the pending disposition of the Engineered Materials segment.

Major classes of assets and liabilities to be transferred in the transaction:

(in millions)	June 30, 2021		December 31, 2020
Assets:
Accounts receivable, net	$	17.1	$	8.8
Inventories, net	9.4		8.5
Other current assets	0.5		0.1
Property, plant and equipment, net	26.1		26.8
Other assets	0.3		0.6
Intangible assets, net	1.2		1.2
Goodwill	171.3		171.3
Assets held for sale	$	225.9	$	217.3
Liabilities:
Accounts payable	$	25.1	$	19.5
Accrued liabilities	8.1		7.9
Long-term deferred tax liability	4.7		26.1
Other liabilities	—		0.1
Liabilities held for sale	$	37.9	$	53.6

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Segment Results (Tables)

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

Schedule Of Financial Information By Reportable Segment

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Net sales:
Aerospace & Electronics	$	157.5	$	157.4	$	311.5	$	350.3
Process Flow Technologies	310.7		239.3		598.8		495.9
Payment & Merchandising Technologies	328.2		247.6		665.6		544.9
Total	$	796.4	$	644.3	$	1,575.9	$	1,391.1
Operating profit:
Aerospace & Electronics	$	30.8	$	19.5	$	56.8	$	63.3
Process Flow Technologies	46.5		20.2		96.6		48.2
Payment & Merchandising Technologies	77.9		2.0		163.7		28.4
Corporate	(18.3)		(13.0)		(40.2)		(29.5)
Total	$	136.9	$	28.7	$	276.9	$	110.4
Interest income	0.4		0.3		0.9		0.7
Interest expense	(11.4)		(14.4)		(25.0)		(26.9)
Miscellaneous income, net	9.7		2.4		13.6		6.2
Income from continuing operations before income taxes	$	135.6	$	17.0	$	266.4	$	90.4

Schedule Of Assets By Segment

(in millions)	June 30, 2021		December 31, 2020
Assets:
Aerospace & Electronics	$	609.9	$	593.9
Process Flow Technologies	1,165.8		1,106.1
Payment & Merchandising Technologies	2,149.0		2,215.3
Corporate	272.6		482.4
Assets held for sale	225.9		217.3
Total	$	4,423.2	$	4,615.0

Schedule Of Goodwill By Segment

(in millions)	June 30, 2021		December 31, 2020
Goodwill:
Aerospace & Electronics	$	202.5	$	202.5
Process Flow Technologies	356.0		360.0
Payment & Merchandising Technologies	867.5		875.2
Total	$	1,426.0	$	1,437.7

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Revenue (Tables)

6 Months Ended

Jun. 30, 2021

Revenue from Contract with Customer [Abstract]

Revenue from External Customers by Products and Services

The following table presents net sales disaggregated by product line for each segment:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions)	2021		2020		2021		2020
Aerospace & Electronics
Commercial Original Equipment	$	53.7	$	51.9	$	108.3	$	132.5
Military and Other Original Equipment	62.8		65.5		125.6		125.9
Commercial Aftermarket Products	25.3		20.3		44.8		54.2
Military Aftermarket Products	15.7		19.7		32.8		37.7
Total Aerospace & Electronics	$	157.5	$	157.4	$	311.5	$	350.3
Process Flow Technologies
Process Valves and Related Products	$	184.3	$	160.8	$	358.6	$	317.9
Commercial Valves	98.2		58.3		187.7		134.1
Pumps and Systems	28.2		20.2		52.5		43.9
Total Process Flow Technologies	$	310.7	$	239.3	$	598.8	$	495.9
Payment & Merchandising Technologies
Payment Acceptance and Dispensing Products 1	$	197.3	$	140.9	$	382.3	$	344.1
Banknotes and Security Products	130.9		106.7		283.3		200.8
Total Payment & Merchandising Technologies	$	328.2	$	247.6	$	665.6	$	544.9
Net sales	$	796.4	$	644.3	$	1,575.9	$	1,391.1

1 As a result of the third quarter 2020 internal merger of the Crane Merchandising Systems (“CMS”) business into the vending vertical of the CPI business, Payment Acceptance and Dispensing Products now includes Merchandising Equipment. The prior period has been reclassified to conform to the current period presentation.

Contract with Customer, Asset and Liability

Net contract assets and contract liabilities consisted of the following:

(in millions)	June 30, 2021		December 31, 2020
Contract assets	$	81.6	$	66.7
Contract liabilities	$	90.3	$	103.0

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Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2021

Earnings Per Share [Abstract]

Computation of Basic and Diluted Earnings per Share

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(in millions, except per share data)	2021		2020		2021		2020
Net income from continuing operations attributable to common shareholders	$	110.7	$	13.4	$	214.1	$	71.1
Income from discontinued operations, net of tax (Note 3)	27.6		1.4		32.6		6.5
Net income attributable to common shareholders	$	138.3	$	14.8	$	246.7	$	77.6
Average basic shares outstanding	58.5		58.0		58.4		58.5
Effect of dilutive share-based awards	0.8		0.5		0.7		0.6
Average diluted shares outstanding	59.3		58.5		59.1		59.1
Earnings per basic share:
Earnings per basic share from continuing operations	$	1.89	$	0.23	$	3.67	$	1.22
Earnings per basic share from discontinued operations	0.47		0.03		0.55		0.11
Earnings per basic share	$	2.36	$	0.26	$	4.22	$	1.33
Earnings per diluted share:
Earnings per diluted share from continuing operations	$	1.87	$	0.23	$	3.62	$	1.20
Earnings per diluted share from discontinued operations	0.46		0.02		0.55		0.11
Earnings per diluted share	$	2.33	$	0.25	$	4.17	$	1.31

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Changes in Equity and Comprehensive Income (Tables)

6 Months Ended

Jun. 30, 2021

Equity [Abstract]

Summary Of Changes In Equity

A summary of changes in equity for the year-to-date interim periods ended June 30, 2021 and 2020 is provided below:

(in millions, except share data)	Common Shares Issued at Par Value	Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock		Total Share- holders’ Equity		Non-controlling Interest		Total Equity
BALANCE DECEMBER 31, 2020	72.4	$	330.7	$	2,192.8	$	(466.4)	$	(600.6)	$	1,528.9	$	2.2	$	1,531.1
Net income	—	—		108.4		—		—		108.4		—		108.4
Cash dividends ($0.43 per share)	—	—		(25.0)		—		—		(25.0)		—		(25.0)
Impact from settlement of share-based awards, net of shares acquired	—	(2.3)		—		—		9.5		7.2		—		7.2
Stock-based compensation expense	—	6.3		—		—		—		6.3		—		6.3
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		4.9		—		4.9		—		4.9
Currency translation adjustment	—	—		—		(35.7)		—		(35.7)		0.8		(34.9)
BALANCE MARCH 31, 2021	72.4	$	334.7	$	2,276.2	$	(497.2)	$	(591.1)	$	1,595.0	$	3.0	$	1,598.0
Net income	—	—		138.3		—		—		138.3		—		138.3
Cash dividends (0.43 per share)	—	—		(25.2)		—		—		(25.2)		—		(25.2)
Impact from settlement of share-based awards, net of shares acquired	—	7.6		—		—		(9.5)		(1.9)		—		(1.9)
Stock-based compensation expense	—	6.1		—		—		—		6.1		—		6.1
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		5.2		—		5.2		—		5.2
Currency translation adjustment	—	—		—		7.7		—		7.7		(0.1)		7.6
BALANCE JUNE 30, 2021	72.4	$	348.4	$	2,389.3	$	(484.3)	$	(600.6)	$	1,725.2	$	2.9	$	1,728.1

(in millions, except share data)	Common Shares Issued at Par Value	Capital Surplus		Retained Earnings		Accumulated Other Comprehensive Loss		Treasury Stock		Total Share- holders’ Equity		Non-controlling Interest		Total Equity
BALANCE DECEMBER 31, 2019	72.4	$	315.6	$	2,112.2	$	(483.7)	$	(542.8)	$	1,473.7	$	2.6	$	1,476.3
Net income	—	—		62.8		—		—		62.8		—		62.8
Cash dividends ($0.43 per share)	—	—		(25.5)		—		—		(25.5)		—		(25.5)
Reacquisition on open market of 1,221,233 shares	—	—		—		—		(70.0)		(70.0)		—		(70.0)
Impact from settlement of share-based awards, net of shares acquired	—	(6.0)		—		—		6.0		—		—		—
Stock-based compensation expense	—	5.8		—		—		—		5.8		—		5.8
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		3.6		—		3.6		—		3.6
Currency translation adjustment	—	—		—		(45.2)		—		(45.2)		(0.3)		(45.5)
BALANCE MARCH 31, 2020	72.4	$	315.4	$	2,149.5	$	(525.3)	$	(606.8)	$	1,405.2	$	2.3	$	1,407.5
Net income	—	—		14.8		—		—		14.8		—		$	14.8
Cash dividends ($0.43 per share)	—	—		(24.9)		—		—		(24.9)		—		(24.9)
Impact from settlement of share-based awards, net of shares acquired	—	(1.4)		—		—		1.9		0.5		—		0.5
Stock-based compensation expense	—	4.7		—		—		—		4.7		—		4.7
Changes in pension and postretirement plan assets and benefit obligation, net of tax	—	—		—		3.6		—		3.6		—		3.6
Currency translation adjustment	—	—		—		17.2		—		17.2		0.2		17.4
BALANCE JUNE 30, 2020	72.4	$	318.7	$	2,139.4	$	(504.5)	$	(604.9)	$	1,421.1	$	2.5	$	1,423.6

Classification Of Accumulated Other Comprehensive Income Reflected On Consolidated Balance Sheets

The table below provides the accumulated balances for each classification of accumulated other comprehensive income (loss), as reflected on our Condensed Consolidated Balance Sheets.

(in millions)		Defined Benefit Pension and Postretirement Items		Currency Translation Adjustment		Total a
Balance as of December 31, 2020		$	(397.9)	$	(68.5)	$	(466.4)
	Other comprehensive income (loss) before reclassifications	—		(28.0)		(28.0)
	Amounts reclassified from accumulated other comprehensive loss	10.1		—		10.1
Net period other comprehensive income (loss)		10.1		(28.0)		(17.9)
Balance as of June 30, 2021		$	(387.8)	$	(96.5)	$	(484.3)

a  Net of tax benefit of $150.6 million and $148.2 million as of June 30, 2021 and December 31, 2020, respectively.

Amounts Reclassified out of each Component of AOCI

The table below illustrates the amounts reclassified out of each component of accumulated other comprehensive loss for the three and six month periods ended June 30, 2021 and 2020. Amortization of pension and postretirement components has been recorded within “Miscellaneous income, net” on our Condensed Consolidated Statements of Operations.

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Amortization of pension items:
Prior-service costs	$	(0.1)	$	(0.1)	$	(0.1)	$	(0.1)
Net loss	6.5		4.9		13.1		9.7
Amortization of postretirement items:
Prior-service costs	(0.3)		(0.3)		(0.5)		(0.5)
Total before tax	$	6.1	$	4.5	$	12.5	$	9.1
Tax impact	1.1		0.9		2.4		2.0
Total reclassifications for the period	$	5.0	$	3.6	$	10.1	$	7.1

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Defined Benefit and Postretirement Benefits (Tables)

6 Months Ended

Jun. 30, 2021

Retirement Benefits [Abstract]

Schedule of Defined Benefit Plans Disclosures

For all plans, the components of net periodic benefit for the three months ended June 30, 2021 and 2020 are as follows:

	Pension				Postretirement
(in millions)	2021		2020		2021		2020
Service cost	$	1.7	$	1.6	$	0.1	$	0.1
Interest cost	5.2		6.6		0.2		0.2
Expected return on plan assets	(15.7)		(14.0)		—		—
Amortization of prior service cost	(0.1)		(0.1)		(0.3)		(0.3)
Amortization of net loss	6.5		4.9		—		—
Net periodic benefit	$	(2.4)	$	(1.0)	$	—	$	—

For all plans, the components of net periodic benefit for the six months ended June 30, 2021 and 2020 are as follows:

	Pension				Postretirement
(in millions)	2021		2020		2021		2020
Service cost	$	3.2	$	3.2	$	0.2	$	0.1
Interest cost	10.4		13.2		0.3		0.4
Expected return on plan assets	(29.8)		(28.7)		—		—
Recognized curtailment gain	(0.7)		—		—		—
Amortization of prior service cost	(0.1)		(0.1)		(0.5)		(0.5)
Amortization of net loss	13.1		9.7		—		—
Net periodic benefit	$	(3.9)	$	(2.7)	$	—	$	—

Schedule of Contributions By Benefit Plan Type

We expect to contribute the following to our pension and postretirement plans:

(in millions)	Pension		Postretirement
Expected contributions in 2021	$	20.7	$	2.6
Amounts contributed during the six months ended June 30, 2021	$	16.9	$	0.3

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Income Taxes (Tables)

6 Months Ended

Jun. 30, 2021

Income Tax Disclosure [Abstract]

Schedule of Effective Income Tax Rate Reconciliation

Our effective tax rates are as follows:

	Three Months Ended June 30,		Six Months Ended June 30,
	2021	2020	2021	2020
Effective Tax Rate	18.4%	20.9%	19.6%	21.6%

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Goodwill and Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Changes To Goodwill

Changes to goodwill are as follows:

(in millions)	Aerospace & Electronics		Process Flow Technologies		Payment & Merchandising Technologies		Total
Balance as of December 31, 2020	$	202.5	$	360.0	$	875.2	$	1,437.7
Adjustments to purchase price allocations	—		(0.1)		—		(0.1)
Currency translation	—		(3.9)		(7.7)		(11.6)
Balance at June 30, 2021	$	202.5	$	356.0	$	867.5	$	1,426.0

Changes To Intangible Assets

Changes to intangible assets are as follows:

(in millions)	Six Months Ended June 30, 2021		Year Ended December 31, 2020
Balance at beginning of period, net of accumulated amortization	$	519.1	$	503.7
Additions	—		52.5
Amortization expense	(22.6)		(48.3)
Currency translation	(5.2)		11.2
Balance at end of period, net of accumulated amortization	$	491.3	$	519.1

Summary Of Intangible Assets

A summary of intangible assets follows:

		June 30, 2021						December 31, 2020
(in millions)	Weighted Average Amortization Period of Finite Lived Assets (in years)	Gross Asset		Accumulated Amortization		Net		Gross Asset		Accumulated Amortization		Net
Intellectual property rights	15.2	$	133.0	$	54.0	$	79.0	$	133.2	$	53.4	$	79.8
Customer relationships and backlog	18.3	617.1		257.5		359.6		623.7		241.9		381.8
Drawings	40	11.1		10.6		0.5		11.1		10.5		0.6
Other	11.7	139.0		86.8		52.2		140.2		83.3		56.9
Total	17.8	$	900.2	$	408.9	$	491.3	$	908.2	$	389.1	$	519.1

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

Future amortization expense associated with intangible assets is expected to be:

(in millions)
Remainder of 2021	$	22.2
2022	42.8
2023	42.8
2024	41.8
2025 and after	270.5

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Accrued Liabilities (Tables)

6 Months Ended

Jun. 30, 2021

Text Block [Abstract]

Schedule Of Accrued Liabilities

Accrued liabilities consist of: 

(in millions)	June 30, 2021		December 31, 2020
Employee related expenses	$	127.9	$	120.5
Warranty	10.5		8.1
Current lease liabilities	22.8		23.0
Contract liabilities	90.3		103.0
Other	136.9		133.4
Total	$	388.4	$	388.0

Summary Of Warranty Liabilities

The following table summarizes warranty activity recorded during the three and six months ended June 30, 2021 and 2020.

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Balance at beginning of period	$	10.2	$	9.6	$	8.1	$	9.8
Expense	2.8		2.6		6.0		5.1
Changes due to acquisitions	—		0.3		—		0.3
Payments / deductions	(2.4)		(3.7)		(3.4)		(6.4)
Currency translation	(0.1)		—		(0.2)		—
Balance at end of period	$	10.5	$	8.8	$	10.5	$	8.8

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Commitments and Contingencies (Tables)

6 Months Ended

Jun. 30, 2021

Commitments and Contingencies Disclosure [Abstract]

Schedule Of Activity Related To Asbestos Claims

Activity related to asbestos claims during the periods indicated was as follows:

	Three Months Ended		Six Months Ended		Year Ended
	June 30,		June 30,		December 31,
	2021	2020	2021	2020	2020
Beginning claims	29,407	29,162	29,138	29,056	29,056
New claims	772	577	1,505	1,258	2,620
Settlements	(176)	(264)	(336)	(429)	(885)
Dismissals	(215)	(548)	(519)	(958)	(1,653)
Ending claims	29,788	28,927	29,788	28,927	29,138

Schedule Of Settlement And Defense Costs

	Three Months Ended				Six Months Ended				Year Ended
(in millions)	June 30,				June 30,				December 31,
	2021		2020		2021		2020		2020
Settlement / indemnity costs incurred (1)	$	8.4	$	7.6	$	13.9	$	15.8	$	35.3
Defense costs incurred (1)	3.8		3.6		7.4		8.1		15.6
Total costs incurred	$	12.2	$	11.2	$	21.3	$	23.9	$	50.9
Settlement / indemnity payments	$	9.4	$	5.9	$	19.5	$	16.9	$	24.7
Defense payments	4.2		4.2		7.4		8.5		16.7
Insurance receipts	(4.2)		(2.7)		(6.7)		(6.2)		(10.3)
Pre-tax cash payments, net	$	9.4	$	7.4	$	20.2	$	19.2	$	31.1

(1) Before insurance recoveries and tax effects.

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Financing (Tables)

6 Months Ended

Jun. 30, 2021

Debt Disclosure [Abstract]

Components Of Debt

Our debt consisted of the following:

(in millions)	June 30, 2021		December 31, 2020
Commercial paper	$	15.0	$	27.2
364-Day Credit Agreement	—		348.5
Total short-term borrowings	$	15.0	$	375.7
4.45% notes due December 2023	$	299.2	$	299.1
6.55% notes due November 2036	198.5		198.4
4.20% notes due March 2048	346.3		346.2
Other deferred financing costs associated with credit facilities	(0.6)		(0.8)
Total long-term debt	$	843.4	$	842.9
Debt discounts and debt issuance costs totaled $6.0 million and $6.6 million million as of each of June 30, 2021 and December 31, 2020, respectively, and have been netted against the aggregate principal amounts of the related debt in the components of the debt table above.

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Restructuring Restructuring (Tables)

6 Months Ended

Jun. 30, 2021

Restructuring and Related Activities [Abstract]

Restructuring and Related Costs

We recorded restructuring (gains) charges, net which are reflected in the Condensed Consolidated Statements of Operations, as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2021		2020		2021		2020
Aerospace & Electronics	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies 1	—		4.7		(12.6)		4.7
Payment & Merchandising Technologies 2	(0.2)		13.8		(0.7)		12.6
Total restructuring (gains) charges, net 3	$	(0.2)	$	23.2	$	(13.3)	$	22.0

1 We also recorded related costs of $2.4 million and $0.5 million for the three months ended June 30, 2021 and 2020, respectively, and $3.8 million and $1.9 million for the six months ended June 30, 2021 and 2020, respectively. These costs are recorded within Cost of sales and Selling, general and administrative.

2 We also recorded related costs of $0.8 million for the three months ended June 30, 2020 and $0.7 million for the six months ended June 30, 2020. These costs are recorded within Cost of sales and Selling, general and administrative.

3 We also recorded related costs of $2.4 million and $1.3 million for the three months ended June 30, 2021 and 2020, respectively, and $3.8 million and $2.6 million for the six months ended June 30, 2021 and 2020, respectively. These costs are recorded within Cost of sales and Selling, general and administrative.

The following table summarizes our restructuring (gains) charges, net by program, cost type and segment for the three months ended June 30, 2021 and 2020:

	Three months ended June 30, 2021						Three months ended June 30, 2020
(in millions)	Severance		Other		Total		Severance		Other		Total
Aerospace & Electronics	$	—	$	—	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies	—		—		—		4.7		—		4.7
Payment & Merchandising Technologies	—		—		—		13.8		1.0		14.8
2020 Repositioning	$	—	$	—	$	—	$	23.2	$	1.0	$	24.2
Payment & Merchandising Technologies	(0.2)		—		(0.2)		(1.0)		—		(1.0)
2017 Repositioning	$	(0.2)	$	—	$	(0.2)	$	(1.0)	$	—	$	(1.0)
Total	$	(0.2)	$	—	$	(0.2)	$	22.2	$	1.0	$	23.2

The following table summarizes our restructuring (gains) charges, net by program, cost type and segment for the six months ended June 30, 2021 and 2020:

	Six months ended June 30, 2021						Six months ended June 30, 2020
(in millions)	Severance		Other		Total		Severance		Other		Total
Aerospace & Electronics	$	—	$	—	$	—	$	4.7	$	—	$	4.7
Process Flow Technologies	—		—		—		4.7		—		4.7
Payment & Merchandising Technologies	(0.5)		—		(0.5)		13.8		1.0		14.8
2020 Repositioning	$	(0.5)	$	—	$	(0.5)	$	23.2	$	1.0	$	24.2
Process Flow Technologies	$	0.1			$	0.1	$	—	$	—	$	—
2019 Repositioning	$	0.1	$	—	$	0.1	$	—	$	—	$	—
Process Flow Technologies 1	$	—	$	(12.7)	$	(12.7)	$	—	$	—	$	—
Payment & Merchandising Technologies 2	(0.2)		—		(0.2)		(1.0)		(1.5)		(2.5)
2017 Repositioning	$	(0.2)	$	(12.7)	$	(12.9)	$	(1.0)	$	(1.5)	$	(2.5)
Payment & Merchandising Technologies	$	—	$	—	$	—	$	0.3	$	—	$	0.3
Other Restructuring	$	—	$	—	$	—	$	0.3	$	—	$	0.3
Total	$	(0.6)	$	(12.7)	$	(13.3)	$	22.5	$	(0.5)	$	22.0

1 Reflects a pre-tax gain related to the sale of real estate in 2021

2 Reflects a pre-tax gain related to the sale of real estate in 2020

The following table summarizes the cumulative restructuring costs, net incurred through June 30, 2021. We do not expect to incur additional facility consolidation costs to complete these actions as of June 30, 2021.

	Cumulative Restructuring Costs, Net
(in millions)	Severance		Other		Total
Process Flow Technologies	$	3.8	$	—	$	3.8
Payment & Merchandising Technologies	16.1		4.6		20.7
Aerospace & Electronics	6.5		—		6.5
2020 Repositioning	$	26.4	$	4.6	$	31.0
Process Flow Technologies	$	16.1	$	—	$	16.1
2019 Repositioning	$	16.1	$	—	$	16.1
Process Flow Technologies	$	13.5	$	(12.7)	$	0.8
Payment & Merchandising Technologies	11.5		0.7		12.2
Aerospace & Electronics	1.3		(1.4)		(0.1)
2017 Repositioning	$	26.3	$	(13.4)	$	12.9

Restructuring Liability

The following table summarizes the accrual balances related to these restructuring (gains) charges by program:

(in millions)	2020 Repositioning		2019 Repositioning		2017 Repositioning		Total
Severance:
Balance at December 31, 2020 (b)	$	4.2	$	16.0	$	4.7	$	24.9
Expense (a)	—		0.1		—		0.1
Adjustments (a)	(0.5)		—		(0.2)		(0.7)
Utilization	(3.1)		(2.7)		(0.3)		(6.1)
Balance at June 30, 2021 (b)	$	0.6	$	13.4	$	4.2	$	18.2

(a)	Included within Restructuring (gains) charges, net in the Condensed Consolidated Statements of Operations and reflects changes in estimates for increases and decreases in costs related to our restructuring programs
(b)	Included within Accrued Liabilities in the Condensed Consolidated Balance Sheets

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Basis of Presentation Basis of Presentation (Details) - USD ($) $ in Millions	Jun. 30, 2021	May 16, 2021	Dec. 31, 2020
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Accounts Receivable, Allowance for Credit Loss	$ 8.3		$ 10.9
Discontinued Operations, Held-for-sale | Engineered Materials
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Consideration for discontinued operations		$ 360.0

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Acquisitions - Narrative (Details) - USD ($)		1 Months Ended	3 Months Ended		6 Months Ended
	Jan. 31, 2020	Aug. 31, 2020	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Business Acquisition [Line Items]
Payments to Acquire Businesses, Net of Cash Acquired					$ 0	$ 172,300,000
Acquisition-related and integration charges			$ 0	$ 2,300,000	$ 0	$ 7,500,000
I&S (acquisition)
Business Acquisition [Line Items]
Payments to Acquire Businesses, Gross	$ 172,300,000
Debt instrument, face amount	100,000,000
Proceeds from Lines of Credit	$ 67,000,000
Working Capital Adjustment		$ 3,100,000
Payments to Acquire Businesses, Net of Cash Acquired		$ 169,200,000
Trademarks and Trade Names | I&S (acquisition)
Business Acquisition [Line Items]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	13 years
Customer Relationships | I&S (acquisition)
Business Acquisition [Line Items]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	14 years

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Acquisitions - Fair Value of Assets Acquired and Liabilities Assumed (Details) - I&S (acquisition) - USD ($) $ in Millions	Aug. 31, 2020	Jan. 31, 2020
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets		$ 21.0
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment		11.0
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets		6.0
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill		52.5
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net		106.0
Business Combination, Separately Recognized Transactions, Assets Recognized		196.5
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities		8.1
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities		19.2
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities		$ 27.3
Payments to Acquire Businesses, Net of Cash Acquired	$ 169.2

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Acquisitions - Acquired Intangible Assets and Weighted Average Useful Life (Details) - I&S (acquisition) $ in Millions	Jan. 31, 2020 USD ($)
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill	$ 52.5
Trademarks and Trade Names
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill	$ 2.6
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	13 years
Customer Relationships
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill	$ 49.0
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	14 years
Order or Production Backlog
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill	$ 0.9
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	1 year

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Discontinued Operations - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 30, 2021 segment	May 16, 2021 USD ($)
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of remaining segments | segment	3
Discontinued Operations, Held-for-sale | Engineered Materials
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Consideration for discontinued operations | $		$ 360

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Discontinued Operations - Schedule of Financial Results from Discontinued Operations (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income from discontinued operations, net of tax	$ 27.6	$ 1.4	$ 32.6	$ 6.5
Engineered Materials | Discontinued Operations, Held-for-sale
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Net sales	59.1	33.6	113.0	84.6
Cost of sales	46.7	26.9	89.7	65.9
Selling, general and administrative	4.7	4.2	9.2	9.4
Restructuring charges	0.0	0.6	0.0	0.6
Income from discontinued operations	7.7	1.9	14.1	8.7
Income tax (benefit) provision	(19.9)	0.5	(18.5)	2.2
Income from discontinued operations, net of tax	27.6	$ 1.4	32.6	$ 6.5
Deferred tax benefit	$ 21.5		$ 21.5

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Discontinued Operations - Schedule of Major Classes of Assets and Liabilities from Discontinued Operations (Details) - Engineered Materials - Discontinued Operations, Held-for-sale - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Assets:
Accounts receivable, net	$ 17.1	$ 8.8
Inventories, net	9.4	8.5
Other current assets	0.5	0.1
Property, plant and equipment, net	26.1	26.8
Other assets	0.3	0.6
Intangible assets, net	1.2	1.2
Goodwill	171.3	171.3
Assets held for sale	225.9	217.3
Liabilities:
Accounts payable	25.1	19.5
Accrued liabilities	8.1	7.9
Long-term deferred tax liability	4.7	26.1
Other liabilities	0.0	0.1
Liabilities held for sale	$ 37.9	$ 53.6

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Segment Results (Narrative) (Detail) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021 USD ($)	Jun. 30, 2020 USD ($)	Jun. 30, 2021 USD ($) segment	Jun. 30, 2020 USD ($)
Segment Reporting [Abstract]
Number of reportable segments | segment			4
Restructuring (gains) charges, net	$ (0.2)	$ 23.2	$ (13.3)	$ 22.0
Acquisition-related and integration charges	$ 0.0	$ 2.3	$ 0.0	$ 7.5

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Segment Results (Schedule Of Financial Information By Reportable Segment) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Operating profit (loss) from continuing operations
Revenues	$ 796.4	$ 644.3	$ 1,575.9	$ 1,391.1
Operating profit (loss)	136.9	28.7	276.9	110.4
Interest income	0.4	0.3	0.9	0.7
Interest expense	(11.4)	(14.4)	(25.0)	(26.9)
Miscellaneous - net	9.7	2.4	13.6	6.2
Income before income taxes	135.6	17.0	266.4	90.4
Process Flow Technologies
Operating profit (loss) from continuing operations
Revenues	310.7	239.3	598.8	495.9
Operating profit (loss)	46.5	20.2	96.6	48.2
Payment & Merchandising Technologies
Operating profit (loss) from continuing operations
Revenues	328.2	247.6	665.6	544.9
Operating profit (loss)	77.9	2.0	163.7	28.4
Aerospace & Electronics
Operating profit (loss) from continuing operations
Revenues	157.5	157.4	311.5	350.3
Operating profit (loss)	30.8	19.5	56.8	63.3
Corporate
Operating profit (loss) from continuing operations
Operating profit (loss)	$ (18.3)	$ (13.0)	$ (40.2)	$ (29.5)

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Segment Results (Schedule Of Assets By Segment) (Detail) - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	$ 4,423.2	$ 4,615.0
Engineered Materials
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	225.9	217.3
Aerospace & Electronics
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	609.9	593.9
Process Flow Technologies
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	1,165.8	1,106.1
Payment & Merchandising Technologies
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	2,149.0	2,215.3
Corporate
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	$ 272.6	$ 482.4

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Segment Results (Schedule Of Goodwill By Segment) (Detail) - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Segment Reporting Information [Line Items]
Goodwill	$ 1,426.0	$ 1,437.7
Process Flow Technologies
Segment Reporting Information [Line Items]
Goodwill	356.0	360.0
Payment & Merchandising Technologies
Segment Reporting Information [Line Items]
Goodwill	867.5	875.2
Aerospace & Electronics
Segment Reporting Information [Line Items]
Goodwill	$ 202.5	$ 202.5

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Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Disaggregation of Revenue [Line Items]
Net sales	$ 796.4	$ 644.3	$ 1,575.9	$ 1,391.1
Process Flow Technologies
Disaggregation of Revenue [Line Items]
Net sales	310.7	239.3	598.8	495.9
Process Flow Technologies | Process Valves and Related Products
Disaggregation of Revenue [Line Items]
Net sales	184.3	160.8	358.6	317.9
Process Flow Technologies | Commercial Valves
Disaggregation of Revenue [Line Items]
Net sales	98.2	58.3	187.7	134.1
Process Flow Technologies | Pumps and Systems
Disaggregation of Revenue [Line Items]
Net sales	28.2	20.2	52.5	43.9
Process Flow Technologies | Outside
Disaggregation of Revenue [Line Items]
Net sales	310.7	239.3	598.8	495.9
Payment & Merchandising Technologies
Disaggregation of Revenue [Line Items]
Net sales	328.2	247.6	665.6	544.9
Payment & Merchandising Technologies | Payment Acceptance and Dispensing Products 1
Disaggregation of Revenue [Line Items]
Net sales	197.3	140.9	382.3	344.1
Payment & Merchandising Technologies | Banknotes and Security Products
Disaggregation of Revenue [Line Items]
Net sales	130.9	106.7	283.3	200.8
Payment & Merchandising Technologies | Outside
Disaggregation of Revenue [Line Items]
Net sales	328.2	247.6	665.6	544.9
Aerospace & Electronics
Disaggregation of Revenue [Line Items]
Net sales	157.5	157.4	311.5	350.3
Aerospace & Electronics | Commercial Original Equipment
Disaggregation of Revenue [Line Items]
Net sales	53.7	51.9	108.3	132.5
Aerospace & Electronics | Military and Other Original Equipment
Disaggregation of Revenue [Line Items]
Net sales	62.8	65.5	125.6	125.9
Aerospace & Electronics | Commercial Aftermarket Products
Disaggregation of Revenue [Line Items]
Net sales	25.3	20.3	44.8	54.2
Aerospace & Electronics | Military Aftermarket Products
Disaggregation of Revenue [Line Items]
Net sales	15.7	19.7	32.8	37.7
Aerospace & Electronics | Outside
Disaggregation of Revenue [Line Items]
Net sales	$ 157.5	$ 157.4	$ 311.5	$ 350.3

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Revenue Revenue - Remaining Performance Obligation Narrative (Details)	Jun. 30, 2021
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-07-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	77.00%
Remaining performance obligation, expected timing of satisfaction, period	6 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	21.00%
Remaining performance obligation, expected timing of satisfaction, period	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, expected timing of satisfaction, period

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Revenue - Contract Assets and Contract Liabilities (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2021	Dec. 31, 2020
Revenue from Contract with Customer [Abstract]
Contract with Customer, Liability, Revenue Recognized	$ 13.5	$ 46.9
Contract assets	81.6	81.6	$ 66.7
Contract liabilities	$ 90.3	$ 90.3	$ 103.0

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Revenue - Narrative (Details) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2021 USD ($)	Jun. 30, 2021 USD ($)
Revenue from Contract with Customer [Abstract]
Remaining performance obligation, amount	$ 1,191.7	$ 1,191.7
Increase in contract liability opening balance for revenue recognized	$ 13.5	$ 46.9

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Earnings Per Share (Computation Of Basic And Diluted Earnings Per Share) (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Earnings Per Share [Abstract]
Net income from continuing operations attributable to common shareholders	$ 110.7	$ 13.4	$ 214.1	$ 71.1
Net income from continuing operations attributable to common shareholders	27.6	1.4	32.6	6.5
Net income attributable to common shareholders	$ 138.3	$ 14.8	$ 246.7	$ 77.6
Average basic shares outstanding (in shares)	58.5	58.0	58.4	58.5
Effect of dilutive stock options	0.8	0.5	0.7	0.6
Average diluted shares outstanding (in shares)	59.3	58.5	59.1	59.1
Earnings per share - basic:
Earnings per basic share from continuing operations (in dollars per share)	$ 1.89	$ 0.23	$ 3.67	$ 1.22
Earnings per basic share from discontinued operations (in dollars per share)	0.47	0.03	0.55	0.11
Earnings per basic share (in dollars per share)	2.36	0.26	4.22	1.33
Earnings per share - diluted:
Earnings per diluted share from continuing operations (in dollars per share)	1.87	0.23	3.62	1.20
Earnings per diluted share from discontinued operations (in dollars per share)	0.46	0.02	0.55	0.11
Earnings per diluted share (in dollars per share)	$ 2.33	$ 0.25	$ 4.17	$ 1.31

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Earnings Per Share (Narrative) (Detail) - shares shares in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Earnings Per Share [Abstract]
Average options excluded from computation of diluted earnings per share	1.3	2.2	1.5	1.8

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Changes In Equity And Accumulated Other Comprehensive Loss (Summary Of Changes In Equity) (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended				6 Months Ended
	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2021	Jun. 30, 2020
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	$ 1,598.0	$ 1,531.1	$ 1,407.5	$ 1,476.3	$ 1,531.1	$ 1,476.3
Net income	138.3	108.4	14.8	62.8	246.7	77.6
Cash dividends	(25.2)	(25.0)	(24.9)	(25.5)
Reacquisition on open market				(70.0)
Stock-based compensation expense	6.1	6.3	4.7	5.8
Changes in pension and postretirement plan assets and benefit obligation, net of tax	5.2	4.9	3.6	3.6	10.1	7.1
Currency translation adjustment	7.6	(34.9)	17.4	(45.5)
Balance, end of period	1,728.1	1,598.0	1,423.6	1,407.5	$ 1,728.1	$ 1,423.6
Impact from settlement of share-based awards, net of shares acquired	$ (1.9)	$ 7.2	$ 0.5	$ 0.0
Dividends per share (in dollars per share)	$ 0.43	$ 0.43	$ 0.43	$ 0.43	$ 0.86	$ 0.86
Reacquisition on open market (in shares)				1,221,233
Common Shares Issued at Par Value
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	$ 72.4	$ 72.4	$ 72.4	$ 72.4	$ 72.4	$ 72.4
Balance, end of period	72.4	72.4	72.4	72.4	72.4	72.4
Capital Surplus
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	334.7	330.7	315.4	315.6	330.7	315.6
Stock-based compensation expense	6.1	6.3	4.7	5.8
Balance, end of period	348.4	334.7	318.7	315.4	348.4	318.7
Impact from settlement of share-based awards, net of shares acquired	7.6	(2.3)	(1.4)	(6.0)
Retained Earnings
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	2,276.2	2,192.8	2,149.5	2,112.2	2,192.8	2,112.2
Net income	138.3	108.4	14.8	62.8
Cash dividends	(25.2)	(25.0)	(24.9)	(25.5)
Balance, end of period	2,389.3	2,276.2	2,139.4	2,149.5	2,389.3	2,139.4
Accumulated Other Comprehensive Loss
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	(497.2)	(466.4)	(525.3)	(483.7)	(466.4)	(483.7)
Changes in pension and postretirement plan assets and benefit obligation, net of tax	5.2	4.9	3.6	3.6
Currency translation adjustment	7.7	(35.7)	17.2	(45.2)
Balance, end of period	(484.3)	(497.2)	(504.5)	(525.3)	(484.3)	(504.5)
Treasury Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	(591.1)	(600.6)	(606.8)	(542.8)	(600.6)	(542.8)
Reacquisition on open market				(70.0)
Balance, end of period	(600.6)	(591.1)	(604.9)	(606.8)	(600.6)	(604.9)
Impact from settlement of share-based awards, net of shares acquired	(9.5)	9.5	1.9	6.0
Total Share- holders’ Equity
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	1,595.0	1,528.9	1,405.2	1,473.7	1,528.9	1,473.7
Net income	138.3	108.4	14.8	62.8
Cash dividends	(25.2)	(25.0)	(24.9)	(25.5)
Reacquisition on open market				(70.0)
Stock-based compensation expense	6.1	6.3	4.7	5.8
Changes in pension and postretirement plan assets and benefit obligation, net of tax	5.2	4.9	3.6	3.6
Currency translation adjustment	7.7	(35.7)	17.2	(45.2)
Balance, end of period	1,725.2	1,595.0	1,421.1	1,405.2	1,725.2	1,421.1
Impact from settlement of share-based awards, net of shares acquired	(1.9)	7.2	0.5	0.0
Non-controlling Interest
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance, beginning of period	3.0	2.2	2.3	2.6	2.2	2.6
Net income	0.0	0.0	0.0	0.0
Currency translation adjustment	(0.1)	0.8	0.2	(0.3)
Balance, end of period	$ 2.9	$ 3.0	$ 2.5	$ 2.3	$ 2.9	$ 2.5

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Changes In Equity And Accumulated Other Comprehensive Loss (Classification Of Accumulated Other Comprehensive Income Reflected On Consolidated Balance Sheets) (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2021 USD ($)	Dec. 31, 2020 USD ($)
Changes In Equity And Comprehensive Income [Line Items]
Accumulated other comprehensive loss, beginning balance	$ (466.4)
Other comprehensive income (loss) before reclassifications	(28.0)
Amounts reclassified from accumulated other comprehensive income	10.1
Net current-period othre comprehensive income (loss)	(17.9)
Accumulated other comprehensive loss, ending balance	(484.3)
Deferred tax assets, other comprehensive loss	150.6	$ 148.2
Accumulated Defined Benefit Plans Adjustment
Changes In Equity And Comprehensive Income [Line Items]
Accumulated other comprehensive loss, beginning balance	(397.9)
Net current-period othre comprehensive income (loss)	10.1
Accumulated other comprehensive loss, ending balance	(387.8)
Accumulated Translation Adjustment
Changes In Equity And Comprehensive Income [Line Items]
Accumulated other comprehensive loss, beginning balance	(68.5)
Other comprehensive income (loss) before reclassifications	(28.0)
Net current-period othre comprehensive income (loss)	(28.0)
Accumulated other comprehensive loss, ending balance	$ (96.5)

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Changes in Equity and Accumulated Other Comprehensive Loss (Details of Accumulated Other Comprehensive Income Components) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Tax impact	$ 24.9	$ 3.6	$ 52.3	$ 19.3
Amounts reclassified from accumulated other comprehensive income			10.1
Deferred tax assets, other comprehensive loss	150.6		150.6		$ 148.2
Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax	6.1	4.5	12.5	9.1
Tax impact	1.1	0.9	2.4	2.0
Amounts reclassified from accumulated other comprehensive income	5.0	3.6	10.1	7.1
Pension Plan
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Amortization of prior service cost	(0.1)	(0.1)	(0.1)	(0.1)
Defined Benefit Plan, Amortization of Gain (Loss)	6.5	4.9	13.1	9.7
Other Postretirement Benefits Plan
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Amortization of prior service cost	(0.3)	(0.3)	(0.5)	(0.5)
Defined Benefit Plan, Amortization of Gain (Loss)	$ 0.0	$ 0.0	$ 0.0	$ 0.0

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Defined Benefit and Postretirement Benefits (Components Of Net Periodic Cost) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Pension Plans, Defined Benefit
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 1.7	$ 1.6	$ 3.2	$ 3.2
Interest cost	5.2	6.6	10.4	13.2
Expected return on plan assets	(15.7)	(14.0)	(29.8)	(28.7)
Recognized curtailment gain			(0.7)	0.0
Amortization of prior service cost	(0.1)	(0.1)	(0.1)	(0.1)
Amortization of net loss (gain)	6.5	4.9	13.1	9.7
Net periodic cost	(2.4)	(1.0)	(3.9)	(2.7)
Other Postretirement Benefits Plan
Defined Benefit Plan Disclosure [Line Items]
Service cost	0.1	0.1	0.2	0.1
Interest cost	0.2	0.2	0.3	0.4
Expected return on plan assets	0.0	0.0	0.0	0.0
Recognized curtailment gain			0.0	0.0
Amortization of prior service cost	(0.3)	(0.3)	(0.5)	(0.5)
Amortization of net loss (gain)	0.0	0.0	0.0	0.0
Net periodic cost	$ 0.0	$ 0.0	$ 0.0	$ 0.0

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Defined Benefit and Postretirement Benefits Contributions by Plan Type (Details) $ in Millions	6 Months Ended
	Jun. 30, 2021 USD ($)
Pension Plan
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Defined Benefit Plan, Expected Future Employer Contributions, Current Fiscal Year	$ 20.7
Defined Benefit Plan, Plan Assets, Contributions by Employer	16.9
Other Postretirement Benefits Plan
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Defined Benefit Plan, Expected Future Employer Contributions, Current Fiscal Year	2.6
Defined Benefit Plan, Plan Assets, Contributions by Employer	$ 0.3

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Income Taxes (Narrative) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Company's effective tax rate	18.40%	20.90%	19.60%	21.60%
Unrecognized Tax Benefits, Period Increase (Decrease)	$ 0.5		$ 0.4
Unrecognized Tax Benefits that Would Impact Effective Tax Rate	0.6		0.6
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense	0.2		0.2
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued	7.8		7.8		$ 7.5
Reasonable possible increase in unrecognized tax benefits during the next twelve months	$ 10.1		$ 10.1

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Goodwill and Intangible Assets (Narrative) (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2021 USD ($) segment	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Finite-Lived Intangible Assets [Line Items]
Number of Reporting Units | segment	7
Intangible Assets, Net (Excluding Goodwill)	$ 491.3	$ 519.1	$ 503.7
Intangibles with indefinite useful lives	71.2	$ 70.9
I&S (acquisition)
Finite-Lived Intangible Assets [Line Items]
Adjustments to purchase price allocations	$ (0.1)

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Goodwill And Intangible Assets (Changes To Goodwill) (Detail) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2019
Goodwill [Line Items]
Balance at beginning of period	$ 1,437.7
Currency translation	(11.6)
Balance at end of period	1,426.0
Intangible Assets, Net (Excluding Goodwill)	491.3	$ 519.1	$ 503.7
Intangibles with indefinite useful lives	71.2	$ 70.9
Aerospace & Electronics
Goodwill [Line Items]
Balance at beginning of period	202.5
Adjustments to purchase price allocations	0.0
Currency translation	0.0
Balance at end of period	202.5
Process Flow Technologies
Goodwill [Line Items]
Balance at beginning of period	360.0
Adjustments to purchase price allocations	(0.1)
Currency translation	(3.9)
Balance at end of period	356.0
Payment & Merchandising Technologies
Goodwill [Line Items]
Balance at beginning of period	875.2
Adjustments to purchase price allocations	0.0
Currency translation	(7.7)
Balance at end of period	$ 867.5

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Goodwill And Intangible Assets (Changes To Intangible Assets) (Detail) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Intangibles with indefinite useful lives	$ 71.2	$ 70.9
Balance at beginning of period, net of accumulated amortization	519.1	503.7
Finite and Indefinite-lived intangible assets acquired	0.0	52.5
Amortization expense	(22.6)	(48.3)
Currency translation	(5.2)	11.2
Balance at end of period, net of accumulated amortization	$ 491.3	$ 519.1

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Goodwill And Intangible Assets (Summary Of Intangible Assets) (Detail) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2021	Dec. 31, 2020	Dec. 31, 2019
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	17 years 9 months 18 days
Intangible Assets, Gross (Excluding Goodwill)	$ 900.2	$ 908.2
Finite-Lived Intangible Assets, Accumulated Amortization	408.9	389.1
Intangible assets, net	491.3	519.1	$ 503.7
Remainder of 2021	22.2
2022	42.8
2023	42.8
2024	41.8
2025 and after	$ 270.5
Intellectual Property Rights
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	15 years 2 months 12 days
Intangible Assets, Gross (Excluding Goodwill)	$ 133.0	133.2
Finite-Lived Intangible Assets, Accumulated Amortization	54.0	53.4
Intangible assets, net	$ 79.0	79.8
Customer Relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	18 years 3 months 18 days
Intangible Assets, Gross (Excluding Goodwill)	$ 617.1	623.7
Finite-Lived Intangible Assets, Accumulated Amortization	257.5	241.9
Intangible assets, net	$ 359.6	381.8
Drawings
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	40 years
Intangible Assets, Gross (Excluding Goodwill)	$ 11.1	11.1
Finite-Lived Intangible Assets, Accumulated Amortization	10.6	10.5
Intangible assets, net	$ 0.5	0.6
Other Intangible Assets
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life	11 years 8 months 12 days
Intangible Assets, Gross (Excluding Goodwill)	$ 139.0	140.2
Finite-Lived Intangible Assets, Accumulated Amortization	86.8	83.3
Intangible assets, net	$ 52.2	$ 56.9

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Accrued Liabilities (Schedule Of Accrued Liabilities) (Detail) - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Disclosure Accrued Liabilities Summary Of Warranty Liabilities [Abstract]
Employee related expenses	$ 127.9	$ 120.5
Standard and Extended Product Warranty Accrual	10.5	8.1
Current lease liabilities	22.8	23.0
Contract with Customer, Liability, Current	90.3	103.0
Other	136.9	133.4
Total	$ 388.4	$ 388.0

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Accrued Liabilities (Summary Of Warranty Liabilities) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Payables and Accruals [Abstract]
Balance at beginning of period	$ 10.2	$ 9.6	$ 8.1	$ 9.8
Expense	2.8	2.6	6.0	5.1
Changes due to acquisitions	0.0	0.3	0.0	0.3
Payments / deductions	(2.4)	(3.7)	(3.4)	(6.4)
Currency translation	(0.1)	0.0	(0.2)	0.0
Balance at end of period	$ 10.5	$ 8.8	$ 10.5	$ 8.8

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Commitments and Contingencies (Schedule Of Activity Related To Asbestos Claim) (Detail)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2021 USD ($) claim	Jun. 30, 2020 USD ($) claim	Jun. 30, 2021 USD ($) claim	Jun. 30, 2020 USD ($) claim	Dec. 31, 2020 USD ($) claim	Dec. 31, 2019 USD ($) claim	Dec. 31, 2018 USD ($)
Loss Contingencies [Line Items]
Current asbestos liability	$ 66,500,000		$ 66,500,000		$ 66,500,000
Payments for asbestos-related fees and costs, net of insurance recoveries			20,200,000	$ 19,200,000
Asbestos Commitments and Contingencies
Loss Contingencies [Line Items]
Asbestos Settlement Cost Per Resolved Claim			13,900			$ 15,800	$ 11,300
Current asbestos liability	66,500,000		66,500,000		$ 66,500,000
Aggregate Value Of Policy Buy Out Agreements	$ 82,500,000		$ 82,500,000
Beginning claims | claim	29,407	29,162	29,138	29,056	29,056
New claims | claim	772	577	1,505	1,258	2,620
Settlements | claim	(176)	(264)	(336)	(429)	(885)
Dismissals | claim	(215)	(548)	(519)	(958)	(1,653)
Ending claims | claim	29,788	28,927	29,788	28,927	29,138	29,056
Gross Settlement And Defense Incurred Costs	$ 12,200,000	$ 11,200,000	$ 21,300,000	$ 23,900,000	$ 50,900,000
Payments for asbestos-related fees and costs, net of insurance recoveries	9,400,000	$ 7,400,000	20,200,000	$ 19,200,000	$ 31,100,000
Cumulative Asbestos Settlement Cost Per Resolved Claim	$ 4,900		$ 4,900
New York | Asbestos Commitments and Contingencies
Loss Contingencies [Line Items]
Ending claims | claim	18,000		18,000
us-gaap_LossContingencyPendingClaimsNumber (nonmalignancy) | claim	16,000		16,000

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Commitments and Contingencies (Asbestos Liability) (Detail)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2021 USD ($) claim	Jun. 30, 2020 USD ($) claim	Jun. 30, 2021 USD ($) claim	Jun. 30, 2020 USD ($) claim	Dec. 31, 2020 USD ($) claim	Dec. 31, 2019 USD ($) claim	Dec. 31, 2018 USD ($)	Mar. 31, 2021 claim	Mar. 31, 2020 claim	Aug. 21, 2012 USD ($)
Loss Contingencies [Line Items]
Payments for asbestos-related fees and costs, net of insurance recoveries			$ 20,200,000	$ 19,200,000
Estimated payments to current and future claimants	$ 36,000,000,000		36,000,000,000
Current portion of total estimated liability	$ 66,500,000		$ 66,500,000		$ 66,500,000
Asbestos Commitments and Contingencies
Loss Contingencies [Line Items]
Pending claims | claim	29,788	28,927	29,788	28,927	29,138	29,056		29,407	29,162
Payments for asbestos-related fees and costs, net of insurance recoveries	$ 9,400,000	$ 7,400,000	$ 20,200,000	$ 19,200,000	$ 31,100,000
Cumulative claims resolved | claim	142,000		142,000
Settlement cost	$ 692,000,000		$ 692,000,000
Average settlement cost per resolved claim			13,900			$ 15,800	$ 11,300
Additional liability						255,000,000
Liability for claims	643,000,000		643,000,000		670,000,000	$ 712,000,000
Percentage Of Asbestos Liability Attributable To Settlement And Defense Costs For Future Claims						85.00%
Current portion of total estimated liability	66,500,000		66,500,000		66,500,000
Aggregate value of policy buyout agreements	82,500,000		82,500,000
Estimated Percentage Of Insurance Which Covers Asbestos Costs						14.00%
Insurance reimbursement asset	80,000,000		80,000,000		87,000,000	$ 98,000,000
Gross Settlement And Defense Incurred Costs	$ 12,200,000	$ 11,200,000	$ 21,300,000	$ 23,900,000	$ 50,900,000
Asbestos Commitments and Contingencies | Ronald Dummitt
Loss Contingencies [Line Items]
Court Judgment										$ 4,900,000
New York | Asbestos Commitments and Contingencies
Loss Contingencies [Line Items]
Pending claims | claim	18,000		18,000

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Commitments and Contingencies (Schedule Of Settlement And Defense Costs) (Detail)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2021 USD ($) claim	Jun. 30, 2020 USD ($) claim	Jun. 30, 2021 USD ($) claim	Jun. 30, 2020 USD ($) claim	Dec. 31, 2020 USD ($) claim	Dec. 31, 2019 USD ($) claim	Dec. 31, 2018 USD ($)	Mar. 31, 2021 claim	Mar. 31, 2020 claim
Loss Contingencies [Line Items]
Pre-tax cash payments			$ 20,200,000	$ 19,200,000
Estimated Funds Available From Post Bankruptcy Trusts To Pay Current And Future Claimants	$ 36,000,000,000		36,000,000,000
Current asbestos liability	$ 66,500,000		$ 66,500,000		$ 66,500,000
Asbestos Commitments and Contingencies
Loss Contingencies [Line Items]
Estimated Percentage Of Insurance Which Covers Asbestos Costs						14.00%
Asbestos Cumulative Claims Resolved | claim	142,000		142,000
Loss Contingency, Pending Claims, Number | claim	29,788	28,927	29,788	28,927	29,138	29,056		29,407	29,162
Settlement / indemnity costs incurred (1)	$ 8,400,000	$ 7,600,000	$ 13,900,000	$ 15,800,000	$ 35,300,000
Defense costs incurred (1)	3,800,000	3,600,000	7,400,000	8,100,000	15,600,000
Gross Settlement And Defense Incurred Costs	12,200,000	11,200,000	21,300,000	23,900,000	50,900,000
Settlement / indemnity payments	9,400,000	5,900,000	19,500,000	16,900,000	24,700,000
Defense payments	4,200,000	4,200,000	7,400,000	8,500,000	16,700,000
Insurance receipts	(4,200,000)	(2,700,000)	(6,700,000)	(6,200,000)	(10,300,000)
Pre-tax cash payments	9,400,000	$ 7,400,000	20,200,000	$ 19,200,000	31,100,000
Cumulative Related Settlement Cost Incurred Before Insurance Recoveries	692,000,000		692,000,000
Cumulative Asbestos Settlement Cost Per Resolved Claim	4,900		4,900
Asbestos Settlement Cost Per Resolved Claim			13,900			$ 15,800	$ 11,300
Increase In Total Asbestos Liability						255,000,000
Insurance Receivable Asbestos	80,000,000		80,000,000		87,000,000	98,000,000
Asbestos Liability	643,000,000		643,000,000		670,000,000	$ 712,000,000
Percentage Of Asbestos Liability Attributable To Settlement And Defense Costs For Future Claims						85.00%
Current asbestos liability	66,500,000		66,500,000		$ 66,500,000
Aggregate Value Of Policy Buy Out Agreements	$ 82,500,000		$ 82,500,000

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Commitments and Contingencies (Other Contingencies) (Detail) $ in Millions		3 Months Ended	12 Months Ended
	Jun. 21, 2021 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2019 USD ($)	Jun. 30, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2012 a
Goodyear Site
Loss Contingencies [Line Items]
Proceeds from sale of property	$ 8.7
Environmental Claims For A Site In Goodyear Arizona
Loss Contingencies [Line Items]
Accrual for Environmental Loss Contingencies, Revision in Estimates		$ 49.0	$ 18.9
Estimated liability				$ 35.5	$ 39.8
Accrued environmental loss contingencies current				$ 10.9	10.9
Loss Contingency Reimbursement Rate				21.00%
Other receivables				$ 7.3	$ 7.8
Environmental Claims For Crab Orchard National Wildlife Refuge Superfund Site
Loss Contingencies [Line Items]
Approximate Size Of Referenced Site | a						55,000

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Financing (Components Of Debt) (Detail) - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Debt Instrument [Line Items]
Short-term debt	$ 15.0	$ 375.7
Long-term debt	(843.4)	(842.9)
Debt discounts and debt issuance costs	6.0	6.6
4.45% notes due December 2023
Debt Instrument [Line Items]
Long-term debt	$ (299.2)	$ (299.1)
Debt instrument, interest rate	4.45%	4.45%
6.55% notes due November 2036
Debt Instrument [Line Items]
Long-term debt	$ (198.5)	$ (198.4)
Debt instrument, interest rate	6.55%	6.55%
4.20% notes due March 2048
Debt Instrument [Line Items]
Long-term debt	$ (346.3)	$ (346.2)
Debt instrument, interest rate	4.20%	4.20%
Other Deferred Financing Costs
Debt Instrument [Line Items]
Long-term debt	$ (0.6)	$ (0.8)
Commercial Paper
Debt Instrument [Line Items]
Short-term debt	15.0	27.2
Line of Credit | 364-Day Credit Agreement
Debt Instrument [Line Items]
Short-term debt	$ 0.0	$ 348.5

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Financing - Narrative (Details) - USD ($)		1 Months Ended		6 Months Ended
	Apr. 16, 2020	Jan. 31, 2020	Dec. 31, 2019	Jun. 30, 2020	Jun. 30, 2021	Dec. 31, 2020
Short-term Debt [Line Items]
Short-term debt					$ 15,000,000.0	$ 375,700,000
Commercial Paper
Short-term Debt [Line Items]
Debt instrument, maximum borrowing capacity				$ 550,000,000
Proceeds from Short-term Debt		$ 100,000,000	$ 150,000,000
Commercial Paper
Short-term Debt [Line Items]
Short-term debt					15,000,000.0	27,200,000
Commercial Paper | Commercial Paper
Short-term Debt [Line Items]
Debt instrument, maximum borrowing capacity				550,000,000
Notes Payable to Banks
Short-term Debt [Line Items]
Debt instrument, term (in days)	364 days
Line of Credit | Revolving Credit Facility
Short-term Debt [Line Items]
Maximum borrowing capacity					550,000,000
Proceeds from issuance of debt				$ 67,000,000
Long-term debt					0	0
I&S (acquisition)
Short-term Debt [Line Items]
Debt instrument, face amount		$ 100,000,000
364-Day Credit Agreement | Line of Credit
Short-term Debt [Line Items]
Short-term debt					$ 0	$ 348,500,000

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Fair Value Measurements (Summary Of Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Detail) - USD ($) $ in Millions	Jun. 30, 2021	Dec. 31, 2020
Fair Value Disclosures [Abstract]
Derivative, Notional Amount	$ 33.0	$ 34.2
Derivative Asset	0.2	0.1
Derivative Liability	0.0	0.1
Commercial Paper	0.0	30.0
Other Assets, Fair Value Disclosure	1.5	1.5
Long-term Debt, Fair Value	$ 986.6	$ 954.8

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Restructuring (Narrative) (Details) $ in Millions	3 Months Ended					6 Months Ended
	Jun. 30, 2021 USD ($)	Sep. 30, 2020 employee	Jun. 30, 2020 USD ($)	Mar. 31, 2020 employee	Mar. 31, 2018 employee	Jun. 30, 2021 USD ($)	Jun. 30, 2020 USD ($)
Restructuring Cost and Reserve [Line Items]
Restructuring (gains) charges, net	$ (0.2)		$ 23.2			$ (13.3)	$ 22.0
2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected number of positions eliminated | employee		1,200
Restructuring and related cost, number of positions eliminated, period percent		11.00%
Restructuring (gains) charges, net	0.0		24.2			(0.5)	24.2
2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected number of positions eliminated | employee				180
Restructuring and related cost, number of positions eliminated, period percent				1.00%
Restructuring (gains) charges, net						0.1	0.0
2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected number of positions eliminated | employee					300
Restructuring and related cost, number of positions eliminated, period percent					3.00%
Restructuring (gains) charges, net	$ (0.2)		$ (1.0)			$ (12.9)	$ (2.5)

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Restructuring (Restructuring Charges by Segment) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Restructuring Cost and Reserve [Line Items]
Restructuring (gains) charges, net	$ (0.2)	$ 23.2	$ (13.3)	$ 22.0
Process Flow Technologies
Restructuring Cost and Reserve [Line Items]
Restructuring (gains) charges, net	0.0	4.7	(12.6)	4.7
Payment & Merchandising Technologies
Restructuring Cost and Reserve [Line Items]
Restructuring (gains) charges, net	(0.2)	13.8	(0.7)	12.6
Aerospace & Electronics
Restructuring Cost and Reserve [Line Items]
Restructuring (gains) charges, net	0.0	4.7	0.0	4.7
Cost of Sales and Selling, General and Administrative
Restructuring Cost and Reserve [Line Items]
Other costs related to facility consolidations	2.4	1.3	3.8	2.6
Cost of Sales and Selling, General and Administrative | Process Flow Technologies
Restructuring Cost and Reserve [Line Items]
Other costs related to facility consolidations	$ 2.4	0.5	$ 3.8	1.9
Cost of Sales and Selling, General and Administrative | Payment & Merchandising Technologies
Restructuring Cost and Reserve [Line Items]
Other costs related to facility consolidations		$ 0.8		$ 0.7

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Restructuring (Summary of Restructuring Charges) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Restructuring Cost and Reserve [Line Items]
Severance	$ (0.2)	$ 22.2	$ (0.6)	$ 22.5
Other	0.0	(1.0)	12.7	0.5
Total	(0.2)	23.2	(13.3)	22.0
Aerospace & Electronics
Restructuring Cost and Reserve [Line Items]
Total	0.0	4.7	0.0	4.7
Process Flow Technologies
Restructuring Cost and Reserve [Line Items]
Total	0.0	4.7	(12.6)	4.7
Payment & Merchandising Technologies
Restructuring Cost and Reserve [Line Items]
Total	(0.2)	13.8	(0.7)	12.6
2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Severance	0.0	23.2	(0.5)	23.2
Other	0.0	(1.0)	0.0	(1.0)
Total	0.0	24.2	(0.5)	24.2
2020 Repositioning Actions | Aerospace & Electronics
Restructuring Cost and Reserve [Line Items]
Severance	0.0	4.7	0.0	4.7
Other	0.0	0.0	0.0	0.0
Total	0.0	4.7	0.0	4.7
2020 Repositioning Actions | Process Flow Technologies
Restructuring Cost and Reserve [Line Items]
Severance	0.0	4.7	0.0	4.7
Other	0.0	0.0	0.0	0.0
Total	0.0	4.7	0.0	4.7
2020 Repositioning Actions | Payment & Merchandising Technologies
Restructuring Cost and Reserve [Line Items]
Severance	0.0	13.8	(0.5)	13.8
Other	0.0	(1.0)	0.0	(1.0)
Total	0.0	14.8	(0.5)	14.8
2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Severance			0.1	0.0
Other			0.0	0.0
Total			0.1	0.0
2019 Repositioning Actions | Process Flow Technologies
Restructuring Cost and Reserve [Line Items]
Severance			0.1	0.0
Other				0.0
Total			0.1	0.0
2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Severance	(0.2)	(1.0)	(0.2)	(1.0)
Other	0.0	0.0	12.7	1.5
Total	(0.2)	(1.0)	(12.9)	(2.5)
2017 Repositioning Actions | Process Flow Technologies
Restructuring Cost and Reserve [Line Items]
Severance			0.0	0.0
Other			12.7	0.0
Total			(12.7)	0.0
2017 Repositioning Actions | Payment & Merchandising Technologies
Restructuring Cost and Reserve [Line Items]
Severance	(0.2)	(1.0)	(0.2)	(1.0)
Other	0.0	0.0	0.0	1.5
Total	$ (0.2)	$ (1.0)	(0.2)	(2.5)
Other Restructuring
Restructuring Cost and Reserve [Line Items]
Severance			0.0	0.3
Other			0.0	0.0
Total			0.0	0.3
Other Restructuring | Payment & Merchandising Technologies
Restructuring Cost and Reserve [Line Items]
Severance			0.0	0.3
Other			0.0	0.0
Total			$ 0.0	$ 0.3

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Restructuring (Cumulative Restructuring and Remaining Costs) (Details) $ in Millions	Jun. 30, 2021 USD ($)
2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	$ 31.0
2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	16.1
2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	12.9
Severance | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	26.4
Severance | 2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	16.1
Severance | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	26.3
Other Restructuring | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	4.6
Other Restructuring | 2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	0.0
Other Restructuring | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	(13.4)
Process Flow Technologies | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	3.8
Process Flow Technologies | 2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	16.1
Process Flow Technologies | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	0.8
Process Flow Technologies | Severance | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	3.8
Process Flow Technologies | Severance | 2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	16.1
Process Flow Technologies | Severance | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	13.5
Process Flow Technologies | Other Restructuring | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	0.0
Process Flow Technologies | Other Restructuring | 2019 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	0.0
Process Flow Technologies | Other Restructuring | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	(12.7)
Payment & Merchandising Technologies | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	20.7
Payment & Merchandising Technologies | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	12.2
Payment & Merchandising Technologies | Severance | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	16.1
Payment & Merchandising Technologies | Severance | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	11.5
Payment & Merchandising Technologies | Other Restructuring | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	4.6
Payment & Merchandising Technologies | Other Restructuring | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	0.7
Aerospace & Electronics | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	6.5
Aerospace & Electronics | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	(0.1)
Aerospace & Electronics | Severance | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	6.5
Aerospace & Electronics | Severance | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	1.3
Aerospace & Electronics | Other Restructuring | 2020 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	0.0
Aerospace & Electronics | Other Restructuring | 2017 Repositioning Actions
Restructuring Cost and Reserve [Line Items]
Cumulative Restructuring Costs, Net	$ (1.4)

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Restructuring (Restructuring Liability) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Restructuring Reserve [Roll Forward]
Utilization	$ 0.2	$ (23.2)	$ 13.3	$ (22.0)
2020 Repositioning Actions
Restructuring Reserve [Roll Forward]
Utilization	0.0	(24.2)	0.5	(24.2)
2019 Repositioning Actions
Restructuring Reserve [Roll Forward]
Utilization			(0.1)	0.0
2017 Repositioning Actions
Restructuring Reserve [Roll Forward]
Utilization	0.2	$ 1.0	12.9	$ 2.5
Severance
Restructuring Reserve [Roll Forward]
Beginning balance			24.9
Expense (Gain)			0.1
Adjustments			(0.7)
Utilization			(6.1)
Ending balance	18.2		18.2
Severance | 2020 Repositioning Actions
Restructuring Reserve [Roll Forward]
Beginning balance			4.2
Expense (Gain)			0.0
Adjustments			(0.5)
Utilization			(3.1)
Ending balance	0.6		0.6
Severance | 2019 Repositioning Actions
Restructuring Reserve [Roll Forward]
Beginning balance			16.0
Expense (Gain)			0.1
Adjustments			0.0
Utilization			(2.7)
Ending balance	13.4		13.4
Severance | 2017 Repositioning Actions
Restructuring Reserve [Roll Forward]
Beginning balance			4.7
Expense (Gain)			0.0
Adjustments			(0.2)
Utilization			(0.3)
Ending balance	$ 4.2		$ 4.2

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Subsequent Event (Details) - USD ($)	Jul. 28, 2021	Jun. 30, 2021	Jun. 30, 2020
Commercial Paper
Subsequent Event [Line Items]
Debt instrument, maximum borrowing capacity			$ 550,000,000
Line of Credit | Revolving Credit Facility
Subsequent Event [Line Items]
Maximum borrowing capacity		$ 550,000,000
Commercial Paper | Commercial Paper
Subsequent Event [Line Items]
Debt instrument, maximum borrowing capacity			$ 550,000,000
Subsequent Event | Line of Credit | Revolving Credit Facility
Subsequent Event [Line Items]
Maximum borrowing capacity	$ 650,000,000
Line of credit facility, term (in years)	5 years
Subsequent Event | Line of Credit | Revolving Credit Facility | Minimum
Subsequent Event [Line Items]
Debt to capitalization ratio not to exceed	0.65
Subsequent Event | Line of Credit | Revolving Credit Facility | Maximum
Subsequent Event [Line Items]
Debt to capitalization ratio not to exceed	1.00
Subsequent Event | Line of Credit | Revolving Credit Facility | LIBOR | Minimum
Subsequent Event [Line Items]
Margin rate	0.00%
Subsequent Event | Line of Credit | Revolving Credit Facility | LIBOR | Maximum
Subsequent Event [Line Items]
Margin rate	0.50%
Subsequent Event | Line of Credit | Revolving Credit Facility | Index Debt Rating | Minimum
Subsequent Event [Line Items]
Margin rate	0.805%
Subsequent Event | Line of Credit | Revolving Credit Facility | Index Debt Rating | Maximum
Subsequent Event [Line Items]
Margin rate	1.50%
Subsequent Event | Commercial Paper | Commercial Paper
Subsequent Event [Line Items]
Debt instrument, maximum borrowing capacity	$ 650,000,000
Debt instrument, term (in days)	397 days