10-Q

\  

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the quarter ended March 31, 2019

Commission file number 1-10585

CHURCH & DWIGHT CO., INC.

(Exact name of registrant as specified in its charter)

Delaware	13-4996950
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

500 Charles Ewing Boulevard, Ewing, N.J. 08628

(Address of principal executive offices)

Registrant’s telephone number, including area code: (609) 806-1200

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 twelve 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 every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  ☒    No  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, 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.

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   ☒

As of April 30, 2019, there were 246,219,083 shares of Common Stock outstanding.

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

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $1 par value	CHD	New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act: None

TABLE OF CONTENTS

PART I

Item		Page
1.	Financial Statements	3
2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	20
3.	Quantitative and Qualitative Disclosures about Market Risk	26
4.	Controls and Procedures	26

PART II

1.	Legal Proceedings	27
1A.	Risk Factors	27
2.	Unregistered Sales of Equity Securities and Use of Proceeds	28
6.	Exhibits	29

2

PART I – FINANCIAL INFORMATION

ITEM 1: FINANCIAL STATEMENTS

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

(In millions, except per share data)

	Three Months Ended
	March 31,			March 31,
	2019			2018
Net Sales	$	1,044.7		$	1,006.0
Cost of sales		573.9			554.5
Gross Profit		470.8			451.5
Marketing expenses		98.1			99.9
Selling, general and administrative expenses		131.9			131.3
Income from Operations		240.8			220.3
Equity in earnings of affiliates		1.7			2.1
Investment earnings		0.5			0.5
Other income (expense), net		(0.1	)		(2.1	)
Interest expense		(17.8	)		(20.1	)
Income before Income Taxes		225.1			200.7
Income taxes		49.4			42.9
Net Income	$	175.7		$	157.8
Weighted average shares outstanding - Basic		246.1			244.9
Weighted average shares outstanding - Diluted		251.9			250.0
Net income per share - Basic	$	0.71		$	0.64
Net income per share - Diluted	$	0.70		$	0.63
Cash dividends per share	$	0.23		$	0.22

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

(In millions)

	Three Months Ended
	March 31,			March 31,
	2019			2018
Net Income	$	175.7		$	157.8
Other comprehensive income, net of tax:
Foreign exchange translation adjustments		1.8			3.5
Income (loss) from derivative agreements		(7.7	)		(0.2	)
Other comprehensive income (loss)		(5.9	)		3.3
Comprehensive income	$	169.8			161.1

See Notes to Condensed Consolidated Financial Statements (Unaudited).

3

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(In millions, except share and per share data)

	March 31,			December 31,
	2019			2018
Assets
Current Assets
Cash and cash equivalents	$	97.9		$	316.7
Accounts receivable, less allowances of $2.9 and $3.1		384.6			345.3
Inventories		399.5			382.8
Other current assets		31.7			33.4
Total Current Assets		913.7			1,078.2
Property, Plant and Equipment, Net		558.8			598.2
Equity Investment in Affiliates		9.4			8.5
Trade Names and Other Intangibles, Net		2,256.3			2,274.0
Goodwill		1,992.9			1,992.9
Other Assets		229.5			117.4
Total Assets	$	5,960.6		$	6,069.2
Liabilities and Stockholders' Equity
Current Liabilities
Short-term borrowings	$	99.8		$	1.8
Current portion of long-term debt		297.7			596.5
Accounts payable and accrued expenses		699.1			725.1
Income taxes payable		36.7			2.9
Total Current Liabilities		1,133.3			1,326.3
Long-term Debt		1,509.4			1,508.8
Deferred Income Taxes		580.5			576.4
Deferred and Other Long-term Liabilities		238.1			203.9
Total Liabilities		3,461.3			3,615.4
Commitments and Contingencies
Stockholders' Equity
Preferred Stock, $1.00 par value, Authorized 2,500,000 shares; none issued		0.0			0.0
Common Stock, $1.00 par value, Authorized 600,000,000 shares and 292,855,100 shares issued       as of March 31, 2019 and December 31, 2018		292.8			292.8
Additional paid-in capital		281.3			280.8
Retained earnings		3,965.4			3,832.6
Accumulated other comprehensive loss		(59.5	)		(53.6	)
Common stock in treasury, at cost: 46,789,017 shares as of March 31, 2019 and 45,969,515 shares as of December 31, 2018		(1,980.7	)		(1,898.8	)
Total Stockholders' Equity		2,499.3			2,453.8
Total Liabilities and Stockholders' Equity	$	5,960.6		$	6,069.2

See Notes to Condensed Consolidated Financial Statements (Unaudited).

4

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW

(Unaudited)

(In millions)

	Three Months Ended
	March 31,			March 31,
	2019			2018
Cash Flow From Operating Activities
Net Income	$	175.7		$	157.8
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense		15.8			16.4
Amortization expense		22.8			19.3
Deferred income taxes		2.8			(2.5	)
Equity in net earnings of affiliates		(1.7	)		(2.1	)
Distributions from unconsolidated affiliates		0.7			2.1
Non-cash compensation expense		2.4			3.1
Other		(0.7	)		(1.0	)
Change in assets and liabilities:
Accounts receivable		(36.0	)		(11.3	)
Inventories		(15.9	)		(23.5	)
Other current assets		0.5			(4.7	)
Accounts payable and accrued expenses		(59.2	)		(32.6	)
Income taxes payable		34.3			34.5
Other operating assets and liabilities, net		(3.6	)		0.0
Net Cash Provided By Operating Activities		137.9			155.5
Cash Flow From Investing Activities
Additions to property, plant and equipment		(11.7	)		(9.9	)
Acquisitions		0.0			(49.9	)
Other		(0.7	)		(0.2	)
Net Cash Used In Investing Activities		(12.4	)		(60.0	)
Cash Flow From Financing Activities
Long-term debt (repayments)		(300.0	)		0.0
Short-term debt (repayments), net of borrowings		98.0			(17.4	)
Proceeds from stock options exercised		15.1			16.4
Payment of cash dividends		(55.9	)		(53.0	)
Purchase of treasury stock		(100.0	)		(200.0	)
Deferred financing and other		(1.5	)		(1.6	)
Net Cash Used In Financing Activities		(344.3	)		(255.6	)
Effect of exchange rate changes on cash and cash equivalents		0.0			1.0
Net Change In Cash and Cash Equivalents		(218.8	)		(159.1	)
Cash and Cash Equivalents at Beginning of Period		316.7			278.9
Cash and Cash Equivalents at End of Period	$	97.9		$	119.8

See Notes to Condensed Consolidated Financial Statements (Unaudited).

5

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW-CONTINUED

(Unaudited)

(In millions)

	Three Months Ended
	March 31,		March 31,
	2019		2018
Cash paid during the period for:
Interest (net of amounts capitalized)	$	21.8	$	23.9
Income taxes	$	12.3	$	11.0
Supplemental disclosure of non-cash investing activities:
Property, plant and equipment expenditures included in Accounts Payable	$	6.0	$	6.3

See Notes to Condensed Consolidated Financial Statements (Unaudited).

6

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

For the Three Months Ended March 31, 2019 and 2018

(Unaudited)

(In millions)

	Number of Shares					Amounts
	Common Stock		Treasury Stock			Common Stock		Additional Paid-In Capital			Retained Earnings			Accumulated Other Comprehensive Income (Loss)			Treasury Stock			Total Stockholders' Equity
December 31, 2017		292.8		(45.2	)	$	292.8	$	264.6		$	3,479.0		$	(36.4	)	$	(1,782.0	)	$	2,218.0
Adoption of new accounting pronouncements		0.0		0.0			0.0		0.0			(1.7	)		(0.6	)		0.0			(2.3	)
Net income		0.0		0.0			0.0		0.0			157.8			0.0			0.0			157.8
Other comprehensive    income (loss)		0.0		0.0			0.0		0.0			0.0			3.3			0.0			3.3
Cash dividends		0.0		0.0			0.0		0.0			(53.0	)		0.0			0.0			(53.0	)
Stock purchases		0.0		(4.1	)		0.0		0.0			0.0			0.0			(200.0	)		(200.0	)
Stock based compensation    expense and stock option plan    transactions		0.0		0.9			0.0		(4.2	)		0.0			0.0			23.7			19.5
March 31, 2018		292.8		(48.4	)	$	292.8	$	260.4		$	3,582.1		$	(33.7	)	$	(1,958.3	)	$	2,143.3
December 31, 2018		292.8		(46.0	)	$	292.8	$	280.8		$	3,832.6		$	(53.6	)	$	(1,898.8	)	$	2,453.8
Adoption of new accounting pronouncements     (Note 2)		0.0		0.0			0.0		0.0			13.0			0.0			0.0			13.0
Net income		0.0		0.0			0.0		0.0			175.7			0.0			0.0			175.7
Other comprehensive    income (loss)		0.0		0.0			0.0		0.0			0.0			(5.9	)		0.0			(5.9	)
Cash dividends		0.0		0.0			0.0		0.0			(55.9	)		0.0			0.0			(55.9	)
Stock purchases		0.0		(1.5	)		0.0		0.0			0.0			0.0			(100.0	)		(100.0	)
Stock based compensation    expense and stock option plan    transactions		0.0		0.7			0.0		0.5			0.0			0.0			18.1			18.6
March 31, 2019		292.8		(46.8	)	$	292.8	$	281.3		$	3,965.4		$	(59.5	)	$	(1,980.7	)	$	2,499.3

See Notes to Condensed Consolidated Financial Statements (Unaudited).

7

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(In millions, except per share data)

1. Basis of Presentation

The condensed consolidated balance sheets as of March 31, 2019 and December 31, 2018, the condensed consolidated statements of income and comprehensive income, cash flow and stockholders’ equity for the three months ended March 31, 2019 and March 31, 2018 have been prepared by Church & Dwight Co., Inc. (the “Company”).  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position at March 31, 2019 and results of operations and cash flows for all periods presented have been made.  

Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States have been condensed or omitted.  These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 (the “Form 10-K”).  The results of operations for the period ended March 31, 2019 are not necessarily indicative of the operating results for the full year.

The Company incurred research and development expenses in the first quarter of 2019 and 2018 of $20.7 and $19.5, respectively.  These expenses are included in selling, general and administrative (“SG&A”) expenses.

2. New Accounting Pronouncements

Recently Adopted Accounting Pronouncements

In August 2017 and October 2018, the FASB issued new accounting guidance, which is intended to improve the financial reporting of hedging relationships to better portray the economic results of an entity's risk management activities in its financial statements. These amendments also make targeted improvements to simplify the application of the hedge accounting. The guidance was effective for annual and interim periods beginning after December 15, 2018, and was adopted by the Company in the first quarter of 2019. The standard’s adoption did not have a material impact on the Company’s consolidated financial position, results of operations or cash flows.

In February 2016 and July 2018, the FASB issued new lease accounting guidance, requiring lessees to recognize right-of-use lease assets and lease liabilities on the balance sheet for those leases previously classified as operating leases, with a term greater than a year. The new guidance also expands the required quantitative and qualitative disclosures surrounding leases. The guidance was effective for annual and interim periods beginning after December 15, 2018, and allowed companies to apply the requirements retrospectively, either to all prior periods presented or through a cumulative adjustment in the year of adoption. The Company adopted the new standard on January 1, 2019 on a modified retrospective basis and elected the package of practical expedients permitted under the transition guidance, which eliminates the reassessment of past leases, classification, and initial direct costs.  The Company has implemented the appropriate internal controls and tools to monitor and record historical and future lease arrangements and required disclosures.

For all existing operating leases as of December 31, 2018, the Company recorded Right of Use Assets of approximately $55.0 and corresponding lease liabilities of approximately $57.0 with an offset to Deferred and Other Long-term Liabilities of approximately $2.0 to eliminate deferred rent on the consolidated balance sheet.  

In addition, based on the transition guidance surrounding failed sale-and-leaseback transactions, the Company re-evaluated the lease for its corporate headquarters in Ewing, New Jersey.  This lease was previously considered a failed sale-and-leaseback transaction under Accounting Standards Codification (“ASC”) 840 because of continuing involvement. The re-evaluation resulted in a change in classification from a finance transaction to an operating lease.  The corporate headquarters building, which had a net book value of approximately $35.0 recorded in Property, Plant and Equipment as of December 31, 2018, was derecognized on January 1, 2019 and a Right of Use Asset of approximately $52.0 was recorded with an offset to Deferred Income Taxes of $4.0 and Retained Earnings of $13.0. The Lease Liability pertaining to this asset of $52.0 remained unchanged.  

In total, at the adoption of the new accounting guidance there will be a Right of Use Asset of approximately $107.0 and a corresponding Lease Liability of $109.0.  This does not include an existing cease-use liability of approximately $7.0 pertaining to one

8

of the Company’s previous corporate offices that remained unchanged as a result of the transition.  Refer to Note 12 for the Company’s lease disclosures.

The effects of the recently adopted lease accounting standard to the Company’s condensed consolidated balance sheet as of January 1, 2019 is as follows:

	Balance at		New Lease			Balance at
	December 31,		Standard			January 1,
	2018		Adjustment			2019
Property, plant and equipment, net	$	598.2	$	(35.2	)	$	563.0
Other assets		117.4		107.5			224.9
Accounts payable and accrued expenses		725.1		13.6			738.7
Deferred and other long-term liabilities		203.9		41.3			245.2
Deferred income taxes		576.4		4.4			580.8
Retained earnings		3,832.6		13.0			3,845.6

The adoption of the new lease accounting standard did not have a material impact on the Company’s results of operations or cash flows.

There have been no accounting pronouncements issued but not yet adopted by the Company which are expected to have a material impact on the Company’s consolidated financial position, results of operations or cash flows.  

3. Inventories

Inventories consist of the following:

	March 31,		December 31,
	2019		2018
Raw materials and supplies	$	81.7	$	84.4
Work in process		36.1		34.1
Finished goods		281.7		264.3
Total	$	399.5	$	382.8

4. Property, Plant and Equipment, Net (“PP&E”)

PP&E consists of the following:

	March 31,		December 31,
	2019		2018
Land	$	27.8	$	27.8
Buildings and improvements		250.8		301.3
Machinery and equipment		726.9		716.7
Software		99.0		97.9
Office equipment and other assets		75.6		73.8
Construction in progress		46.8		49.7
Gross PP&E		1,226.9		1,267.2
Less accumulated depreciation and amortization		668.1		669.0
Net PP&E	$	558.8	$	598.2

	Three Months Ended
	March 31,		March 31,
	2019		2018
Depreciation and amortization on PP&E	$	15.8	$	16.4

9

5. Earnings Per Share (“EPS”)

Basic EPS is calculated based on income available to holders of the Company’s common stock (“Common Stock”) and the weighted average number of shares outstanding during the reported period.  Diluted EPS includes additional dilution from potential Common Stock issuable pursuant to the exercise of outstanding stock options.

The following table sets forth a reconciliation of the weighted average number of shares of Common Stock outstanding to the weighted average number of shares outstanding on a diluted basis:

	Three Months Ended
	March 31,		March 31,
	2019		2018
Weighted average common shares outstanding -  basic		246.1		244.9
Dilutive effect of stock options		5.8		5.1
Weighted average common shares outstanding - diluted		251.9		250.0
Antidilutive stock options outstanding		0.1		3.1

6. Stock Based Compensation Plans

The following table provides a summary of option activity:

						Weighted
				Weighted		Average
				Average		Remaining		Aggregate
				Exercise		Contractual		Intrinsic
	Options			Price		Term		Value
Outstanding at December 31, 2018		14.7		$	37.63
Exercised		(0.7	)		28.49
Outstanding at March 31, 2019		14.0		$	38.00		5.4	$	465.4
Exercisable at March 31, 2019		8.9		$	30.90		4.1	$	357.6

The following table provides information regarding the intrinsic value of stock options exercised and stock compensation expense related to stock option awards:  

	Three Months Ended
	March 31,		March 31,
	2019		2018
Intrinsic Value of Stock Options Exercised	$	24.1	$	30.0
Stock Compensation Expense Related to Stock Option Awards	$	2.3	$	2.7

7.    Share Repurchases

  On November 1, 2017, the Company’s Board of Directors (the “Board”) authorized a share repurchase program, under which the Company may repurchase up to $500.0 in shares of Common Stock (the “2017 Share Repurchase Program”).  The 2017 Share Repurchase Program does not have an expiration.  The Company also continued its evergreen share repurchase program, authorized by the Board on January 29, 2014, under which the Company may repurchase, from time to time, Common Stock to reduce or eliminate dilution associated with issuances of Common Stock under the Company’s incentive plans.  

In connection with the evergreen repurchase program, in January 2019, the Company executed open market purchases of $100.0 of its Common Stock.  

10

8. Fair Value Measurements

The following table presents the carrying amounts and estimated fair values of the Company’s other financial instruments at March 31, 2019 and December 31, 2018:

		March 31, 2019						December 31, 2018
	Input	Carrying			Fair			Carrying			Fair
	Level	Amount			Value			Amount			Value
Financial Assets:
Cash equivalents	Level 1	$	52.9		$	52.9		$	234.6		$	234.6
Financial Liabilities:
Short-term borrowings	Level 2		99.8			99.8			1.8			1.8
Floating Rate Senior notes due January 25, 2019	Level 2		0.0			0.0			300.0			299.9
2.45% Senior notes due December 15, 2019	Level 2		300.0			298.7			300.0			297.4
2.45% Senior notes due August 1, 2022	Level 2		299.8			293.8			299.7			289.7
2.875% Senior notes due October 1, 2022	Level 2		399.9			397.1			399.9			393.0
3.15% Senior notes due August 1, 2027	Level 2		424.6			408.9			424.6			400.0
3.95% Senior notes due August 1, 2047	Level 2		397.2			379.7			397.2			363.7
Contingent consideration	Level 3		23.0			23.0			23.0			23.0
Fair value adjustment asset (liability) related to hedged fixed rate    debt instrument	Level 2		(1.9	)		(1.9	)		(3.0	)		(3.0	)
Interest Rate Swap Lock Agreement	Level 2		(14.5	)		(14.5	)		(7.0	)		(7.0	)

The Company recognizes transfers between input levels as of the actual date of the event.  There were no transfers between input levels during the three months ended March 31, 2019.

Refer to Note 2 in the Form 10-K for a description of the methods and assumptions used to estimate the fair value of each class of financial instruments reflected in the Condensed Consolidated Balance Sheets.  

The carrying amounts of accounts receivable, and accounts payable and accrued expenses, approximated estimated fair values as of March 31, 2019 and December 31, 2018.  

9. Derivative Instruments and Risk Management

Changes in interest rates, foreign exchange rates, the price of the Common Stock and commodity prices expose the Company to market risk.  The Company manages these risks by the use of derivative instruments, such as cash flow and fair value hedges, diesel and commodity hedge contracts, equity derivatives and foreign exchange forward contracts.  The Company does not use derivatives for trading or speculative purposes.  Refer to Note 3 in the Form 10-K for a discussion of each of the Company’s derivative instruments in effect as of December 31, 2018.  

The notional amount of a derivative instrument is the nominal or face amount used to calculate payments made on that instrument.  Notional amounts are presented in the following table:

	Notional		Notional
	Amount		Amount
	March 31, 2019		December 31, 2018
Derivatives designated as hedging instruments
Foreign exchange contracts	$	215.8	$	146.6
Interest rate swap	$	300.0	$	300.0
Interest rate swap lock	$	300.0	$	250.0
Diesel fuel contracts	7.0 gallons		8.2 gallons
Commodities contracts	79.5 pounds		94.7 pounds
Derivatives not designated as hedging instruments
Equity derivatives	$	21.7	$	21.0

The fair values and amount of gain (loss) recognized in income and Other Comprehensive Income (“OCI”) associated with the derivative instruments disclosed above did not have a material impact on the Company’s condensed consolidated financial statements.

11

10. Acquisitions

On March 8, 2018, the Company purchased Passport Food Safety Solutions, Inc. (“Passport”).  Passport sells products for pre- and post-harvest treatment in the poultry, swine, and beef production markets (the “Passport Acquisition”).  The total purchase price was approximately $50.0, which is subject to an additional payment of up to $25.0 based on sales performance through 2020.  Passport’s annual sales were approximately $21.0 in 2017.  The Passport Acquisition was funded with short-term borrowings and is managed in the SPD segment.  

The fair values of the net assets acquired are set forth as follows:

	Passport
	Acquisition Date
	Fair Value
Inventory and other working capital	$	3.3
Long-term assets		1.0
Trade names and other intangibles		28.5
Goodwill		32.5
Current liabilities		(1.1	)
Long-term liabilities		(7.1	)
Contingent consideration		(7.3	)
Cash purchase price (net of cash acquired)	$	49.8

The life of the amortizable intangible assets recognized from the Passport Acquisition ranges from 10 - 15 years.  The goodwill is a result of expected synergies from combined operations of the acquisition and the Company. Pro forma results are not presented because the impact is not material to the Company’s consolidated financial results.

The goodwill and other intangible assets associated with the Passport Acquisition are not deductible for U.S. tax purposes.  

12

11. Goodwill and Other Intangibles, Net

The following table provides information related to the carrying value of all intangible assets, other than goodwill:

	March 31, 2019								December 31, 2018
	Gross							Amortization	Gross
	Carrying		Accumulated					Period	Carrying		Accumulated
	Amount		Amortization			Net		(Years)	Amount		Amortization			Net
Amortizable intangible assets:
Trade Names	$	578.4	$	(182.6	)	$	395.8	3-20	$	578.6	$	(175.2	)	$	403.4
Customer Relationships		506.3		(228.5	)		277.8	15-20		506.3		(220.8	)		285.5
Patents/Formulas		165.4		(63.9	)		101.5	4-20		165.4		(61.5	)		103.9
Non-Compete Agreement		0.4		(0.3	)		0.1	5-10		0.4		(0.3	)		0.1
Total	$	1,250.5	$	(475.3	)	$	775.2		$	1,250.7	$	(457.8	)	$	792.9

Indefinite Lived Intangible Assets - Gross Carrying Amount  

	March 31,		December 31,
	2019		2018
Trade Names	$	1,481.1	$	1,481.1

Intangible amortization expense amounted to $17.6 and $18.0 for the first three months of 2019 and 2018, respectively.  The Company estimates that intangible amortization expense  will be approximately $70.0 in 2019 and approximately $68.0 to $59.0 annually over the next five years.

The Company determined that the carrying value of its trade names as of December 31, 2018 and 2017, was recoverable based upon the forecasted cash flows and profitability of the brands.  In 2017 there was a personal care trade name that, based on performance, had experienced sales and profit declines that had eroded a significant portion of the excess between fair and carrying value, which could potentially result in an impairment of the asset.  In 2017, this excess had been reduced due in large part to an increased competitive market environment therefore resulting in reduced cash flow projections. The performance of the tradename improved in 2018, thereby increasing the excess between fair value and carrying value.  The Company continues to monitor performance and should there be any significant change in forecasted assumptions or estimates, including sales, profitability and discount rate, the Company may be required to recognize an impairment charge.     

The carrying amount of goodwill is as follows:

	Consumer		Consumer		Specialty
	Domestic		International		Products		Total
Balance at December 31, 2018	$	1,633.2	$	223.7	$	136.0	$	1,992.9
Balance at March 31, 2019	$	1,633.2	$	223.7	$	136.0	$	1,992.9

12. Leases

The Company leases certain manufacturing facilities, warehouses, office space, railcars and equipment. Leases with an initial term of twelve months or less are not recorded on the Condensed Consolidated Balance Sheet.  All recorded leases are classified as operating leases and lease expense is recognized on a straight-line basis over the lease term. For leases beginning in 2019, lease components (base rental costs) are accounted for separately from the nonlease components (e.g., common-area maintenance costs).  For leases that do not provide an implicit rate, the Company uses its estimated secured incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments.

13

A summary of the Company’s lease information is as follows:  

		March 31,
	Classification	2019
Assets
Right of use assets	Other Assets	$	104.7
Liabilities
Current lease liabilities	Accounts Payable and Accrued Expenses	$	17.3
Long-term lease liabilities	Deferred and Other Long-term Liabilities		96.4
Total lease liabilities		$	113.7
Other information
Weighted-average remaining lease term (years)			9.7
Weighted-average discount rate			5.7	%

	Three Months
	Ended
	March 31, 2019
Statement of Income
Lease cost(1)	$	5.6
Other information
Leased assets obtained in exchange for new lease liabilities	$	1.3
Cash paid for amounts included in the measurement of lease liabilities	$	6.0

⁽¹⁾ Lease expense is included in cost of sales or selling, general and administrative expenses based on the nature of the lease.  Short term lease expense is excluded from this amount and is not material.  The Company also has certain variable leases which are not material.  The noncash component of lease expense is included in the Amortization caption in the Statement of Cash Flows. 

14

The Company’s minimum annual rentals including reasonably assured renewal options under lease agreements are as follows:

	Operating
	Leases
2019	$	17.3
2020		21.0
2021		18.5
2022		17.2
2023		11.1
2024 and thereafter		65.7
Total future minimum lease commitments		150.8
Less: Imputed Interest		(37.1	)
Present value of lease liabilities	$	113.7

13. Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following:

	March 31,		December 31,
	2019		2018
Trade accounts payable	$	434.8	$	430.2
Accrued marketing and promotion costs		110.1		116.2
Accrued wages and related benefit costs		34.6		84.2
Other accrued current liabilities		119.6		94.5
Total	$	699.1	$	725.1

14. Short-Term Borrowings and Long-Term Debt

Short-term borrowings and long-term debt consist of the following:

	March 31,			December 31,
	2019			2018
Short-term borrowings
Commercial paper issuances	$	98.0		$	0.0
Various debt due to international banks		1.8			1.8
Total short-term borrowings	$	99.8		$	1.8
Long-term debt
Floating Rate Senior notes due January 25, 2019	$	0.0		$	300.0
2.45% Senior notes due December 15, 2019		300.0			300.0
2.45% Senior notes due August 1, 2022		300.0			300.0
Less: Discount		(0.2	)		(0.3	)
2.875% Senior notes due October 1, 2022		400.0			400.0
Less: Discount		(0.1	)		(0.1	)
3.15% Senior notes due August 1, 2027		425.0			425.0
Less: Discount		(0.4	)		(0.4	)
3.95% Senior notes due August 1, 2047		400.0			400.0
Less: Discount		(2.8	)		(2.8	)
Debt issuance costs, net		(12.5	)		(13.1	)
Fair value adjustment asset (liability) related to hedged fixed rate debt instrument		(1.9	)		(3.0	)
Total long-term debt		1,807.1			2,105.3
Less: current maturities		(297.7	)		(596.5	)
Net long-term debt	$	1,509.4		$	1,508.8

15

     .             

15. Accumulated Other Comprehensive Income (Loss)

The components of changes in accumulated other comprehensive income (loss) are as follows:  

										Accumulated
	Foreign			Defined						Other
	Currency			Benefit			Derivative			Comprehensive
	Adjustments			Plans			Agreements			Income (Loss)
Balance at December 31, 2017	$	(31.6	)	$	(0.6	)	$	(4.2	)	$	(36.4	)
Adoption of new accounting pronouncement		(0.3	)		0.1			(0.4	)		(0.6	)
Other comprehensive income (loss) before reclassifications		3.5			0.0			0.1			3.6
Amounts reclassified to consolidated statement of    income (a)		0.0			0.0			(0.1	)		(0.1	)
Tax benefit (expense)		0.0			0.0			(0.2	)		(0.2	)
Other comprehensive income (loss)		3.5			0.0			(0.2	)		3.3
Balance at March 31, 2018	$	(28.4	)	$	(0.5	)	$	(4.8	)	$	(33.7	)
Balance at December 31, 2018	$	(42.5	)	$	0.9		$	(12.0	)	$	(53.6	)
Other comprehensive income (loss) before reclassifications		1.8			0.0			(10.4	)		(8.6	)
Amounts reclassified to consolidated statement of    income (a)		0.0			0.0			0.0			0.0
Tax benefit (expense)		0.0			0.0			2.7			2.7
Other comprehensive income (loss)		1.8			0.0			(7.7	)		(5.9	)
Balance at March 31, 2019	$	(40.7	)	$	0.9		$	(19.7	)	$	(59.5	)

(a) Amounts reclassified to cost of sales or interest expense.  

16. Commitments, Contingencies and Guarantees

Commitments

a. The Company has a partnership with a supplier of raw materials that mines and processes sodium-based mineral deposits.   The Company purchases the majority of its sodium-based raw material requirements from the partnership. The partnership agreement terminates upon two years’ written notice by either partner.  Under the partnership agreement, the Company has an annual commitment to purchase 240,000 tons of sodium-based raw materials at the prevailing market price.  The Company is not engaged in any other material transactions with the partnership or the partner supplier.  

b. As of March 31, 2019, the Company had commitments of approximately $240.1.  These commitments include the purchase of raw materials, packaging supplies and services from its vendors at market prices to enable the Company to respond quickly to changes in customer orders or requirements, as well as costs associated with licensing and promotion agreements.

c. As of March 31, 2019, the Company had various guarantees and letters of credit totaling $5.2.     

d. In connection with the Company’s acquisition of Agro BioSciences, Inc. (the “Agro Acquisition”) on January 17, 2017, the Company is obligated to pay an additional amount of up to $25.0 based on sales performance in 2019. The initial fair value of this contingent liability was $17.8, which was established in the purchase price allocation.  Subsequent to the Agro Acquisition, the Company increased the estimate of the contingent consideration liability $5.4 in the fourth quarter of 2017 from $17.8 to $23.2 based on updated sales forecasts. However in 2018, the Company lowered its estimate by $7.5 to $15.7 based on updated sales forecasts.  The reduction was recorded in SG&A in the SPD segment.  There were no changes to the liability during the first quarter of 2019 and the liability will be assessed for re-measurement at each balance sheet date leading up to December 31, 2019.  

In connection with the Passport Acquisition, the Company is obligated to pay an additional amount of up to $25.0 based on sales performance through 2020.  The initial fair value of this contingent liability was $7.3, which was established in the purchase price allocation.  There were no changes to the liability during the first quarter of 2019 and the liability will be assessed for re-measurement at each balance sheet date leading up to December 31, 2020.

16

Legal proceedings

e. The Company has been named as a defendant in a breach of contract action filed by Scantibodies Laboratory, Inc. (the “Plaintiff”) on April 1, 2014, in the U.S. District Court for the Southern District of New York.  

The complaint alleges, among other things, that the Company (i) breached two agreements for the manufacture and supply of pregnancy and ovulation test kits by switching suppliers, (ii) failed to give Plaintiff the proper notice, (iii) failed to reimburse Plaintiff for costs and expenses under the agreements and (iv) misrepresented its future requirements.  The complaint seeks compensatory and punitive damages in an amount in excess of $20.0, as well as declaratory relief, statutory prejudgment interest and attorneys’ fees and costs.

The Company is vigorously defending itself in this matter.  On September 19, 2018, the court granted the Company’s motion for summary judgment, dismissing all claims brought by the Plaintiff.  The Plaintiff has filed an appeal.  

In connection with this matter, the Company has reserved an amount that is immaterial.  However, it is reasonably possible that the Company may ultimately be required to pay all or substantially all of the damages and other amounts sought by Plaintiff in the event the summary judgment entered in favor of the Company is reversed.  

f. In addition, in conjunction with the Company’s acquisition and divestiture activities, the Company entered into select guarantees and indemnifications of performance with respect to the fulfillment of the Company’s commitments under applicable purchase and sale agreements.  The arrangements generally indemnify the buyer or seller for damages associated with breach of contract, inaccuracies in representations and warranties surviving the closing date and satisfaction of liabilities and commitments retained under the applicable contract.  Representations and warranties that survive the closing date generally survive for periods up to five years or the expiration of the applicable statutes of limitations.  Potential losses under the indemnifications are generally limited to a portion of the original transaction price, or to other lesser specific dollar amounts for select provisions.  With respect to sale transactions, the Company also routinely enters into non-competition agreements for varying periods of time.  Guarantees and indemnifications with respect to acquisition and divestiture activities, if triggered, could have a materially adverse impact on the Company’s financial condition, results of operations and cash flows.

g. In addition to the matters described above, from time to time in the ordinary course of its business the Company is the subject of, or party to, various pending or threatened legal, regulatory or governmental actions or other proceedings, including, without limitation, those relating to, intellectual property, commercial transactions, product liability, purported consumer class actions, employment matters, antitrust, environmental, health, safety and other compliance related matters.  Such proceedings are generally subject to considerable uncertainty and their outcomes, and any related damages, may not be reasonably predictable or estimable.   While any such proceedings could result in an adverse outcome for the Company, any such adverse outcome is not expected to have a material adverse effect on the Company’s business, financial condition, results of operations or cash flows.  

17. Related Party Transactions

The following summarizes the balances and transactions between the Company and Armand Products Company (“Armand”) and The ArmaKleen Company (“ArmaKleen”), in each of which the Company holds a 50% ownership interest:   

	Armand				ArmaKleen
	Three Months Ended				Three Months Ended
	March 31,		March 31,		March 31,		March 31,
	2019		2018		2019		2018
Purchases by Company	$	2.8	$	3.5	$	0.0	$	0.0
Sales by Company	$	0.0	$	0.0	$	0.3	$	0.3
Outstanding Accounts Receivable	$	0.5	$	0.3	$	0.8	$	0.7
Outstanding Accounts Payable	$	1.0	$	1.2	$	0.0	$	0.0
Administration & Management Oversight Services (1)	$	0.6	$	0.6	$	0.5	$	0.5

⁽¹⁾ Billed by the Company and recorded as a reduction of SG&A expenses.

17

18. Segments

Segment Information

The Company operates three reportable segments: Consumer Domestic, Consumer International and SPD.  These segments are determined based on differences in the nature of products and organizational and ownership structures.  The Company also has a Corporate segment.

Segment revenues are derived from the sale of the following products:

Segment	Products
Consumer Domestic	Household and personal care products
Consumer International	Primarily personal care products
SPD	Specialty chemical products

The Corporate segment income consists of equity in earnings of affiliates.  As of March 31, 2019, the Company held 50% ownership interests in each of Armand and ArmaKleen, respectively.  The Company’s equity in earnings of Armand and ArmaKleen for the three months ended March 31, 2019 and 2018 are included in the Corporate segment.  

Certain subsidiaries that are included in the Consumer International segment manufacture and sell personal care products to the Consumer Domestic segment.  These sales are eliminated from the Consumer International segment results set forth in the table below.

Segment Net Sales and Income before Income Taxes are as follows: 

	Consumer		Consumer
	Domestic		International		SPD		Corporate		Total
Net Sales(1)
First Quarter 2019	$	784.9	$	186.7	$	73.1	$	0.0	$	1,044.7
First Quarter 2018		751.4		180.7		73.9		0.0		1,006.0
Income before Income Taxes(2)
First Quarter 2019	$	182.7	$	28.4	$	12.3	$	1.7	$	225.1
First Quarter 2018		159.3		27.7		11.6		2.1		200.7

⁽¹⁾ Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively

⁽²⁾ In determining Income before Income Taxes, interest expense, investment earnings and certain aspects of other income and expense were allocated among segments based upon each segment’s relative Income from Operations.

18

Product line revenues from external customers are as follows:  

	Three Months Ended
	March 31,		March 31,
	2019		2018
Household Products	$	443.3	$	413.0
Personal Care Products		341.6		338.4
Total Consumer Domestic		784.9		751.4
Total Consumer International		186.7		180.7
Total SPD		73.1		73.9
Total Consolidated Net Sales	$	1,044.7	$	1,006.0

Household Products include laundry, deodorizing and cleaning products.  Personal Care Products include condoms, pregnancy kits, oral care products, skin care and hair care products and gummy dietary supplements.  

19. Subsequent Event

Flawless Acquisition

On May 1, 2019, the Company closed on its previously announced acquisition of the FLAWLESS™ and FINISHING TOUCH™ hair removal business (the “Flawless Acquisition”) from Ideavillage Products Corporation. The Company paid $475.0 at closing and will make an additional earn-out payment up to a maximum of $425.0 in cash, based on a trailing twelve-month net sales target ending no later than December 31, 2021. The transaction was funded with a three-year term loan and commercial paper borrowings. The Company anticipates there will be a four-month integration transition period in which the net cash received from Ideavillage will be accounted for as other revenue as a component of net sales. The Company will purchase the inventory following the transition period. FLAWLESS will be accounted for in the Consumer Domestic and Consumer International segments and represents an addition to our specialty haircare portfolio which includes BATISTE dry shampoo, VIVISCAL hair thinning supplements, and TOPPIK hair fibers.

The preliminary fair values of the net assets acquired are set forth as follows:

	Flawless
	Acquisition Date
	Preliminary
	Fair Value
Trade names and other intangibles	$	559.0
Goodwill		98.0
Contingent consideration		(182.0	)
Cash purchase price	$	475.0

The goodwill and other intangible assets associated with the Flawless Acquisition is deductible for U.S. tax purposes.  Pro forma results are not presented because the impact of the acquisition is not material to the Company’s consolidated financial results.

Amended Credit Agreement

On May 1, 2019, the Company amended its $1,000.0 unsecured revolving credit facility (the “Credit Agreement”) to extend the term of the Credit Agreement from March 29, 2023 to March 29, 2024.  Under the Credit Agreement, the Company continues to have the ability to increase its borrowing up to an additional $600.0, subject to lender commitments and certain conditions as described in the Credit Agreement.  Borrowings under the Credit Agreement are available for general corporate purposes and are used to support the Company’s $1,000.0 commercial paper program. 

New Term Loan

On May 1, 2019, the Company entered into a new $300.0 unsecured term loan credit facility with various banks, the proceeds of which were used to partially fund the Flawless Acquisition.  Unless prepaid, the loan is due on May 1, 2022.  The interest rate is LIBOR plus an applicable margin based on the Company’s credit rating, which can range from 60 bps to 113 bps.

19

CHURCH & DWIGHT CO., INC. AND SUBSIDIARIES

(In millions, except per share data)

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Recent Developments

Flawless Acquisition

On May 1, 2019, we closed on our previously announced acquisition of the FLAWLESS™ and FINISHING TOUCH™ hair removal business (the “Flawless Acquisition”) from Ideavillage Products Corporation. We paid $475.0 at closing and will make an additional earn-out payment up to a maximum of $425.0 in cash, based on a trailing twelve-month net sales target ending no later than December 31, 2021. The transaction was funded with a three-year term loan and commercial paper borrowings. We anticipate there will be a four-month integration transition period in which the net cash received from Ideavillage will be accounted for as other revenue as a component of net sales. We will purchase the inventory following the transition period. FLAWLESS will be accounted for in the Consumer Domestic and Consumer International segments and represents an addition to our specialty haircare portfolio which includes BATISTE dry shampoo, VIVISCAL hair thinning supplements, and TOPPIK hair fibers.

Amended Credit Agreement

On May 1, 2019, we amended our $1,000.0 unsecured revolving credit facility (the “Credit Agreement”) to extend the term of the Credit Agreement from March 29, 2023 to March 29, 2024.  Under the Credit Agreement, we continue to have the ability to increase our borrowing up to an additional $600.0, subject to lender commitments and certain conditions as described in the Credit Agreement.  Borrowings under the Credit Agreement are available for general corporate purposes and are used to support our $1,000.0 commercial paper program.  

New Term Loan

On May 1, 2019, we entered into a new $300.0 unsecured term loan credit facility with various banks, the proceeds of which were used to partially fund the Flawless Acquisition.  Unless prepaid, the loan is due on May 1, 2022.  The interest rate is LIBOR plus an applicable margin based on our credit rating, which can range from 60 bps to 113 bps.

Results of Operations

Consolidated results

	Three Months Ended			Change vs.	Three Months Ended
	March 31, 2019			Prior Year	March 31, 2018
Net Sales	$	1,044.7		3.8%	$	1,006.0
Gross Profit	$	470.8		4.3%	$	451.5
Gross Margin		45.1	%	+20 basis points		44.9	%
Marketing Expenses	$	98.1		-1.8%	$	99.9
Percent of Net Sales		9.4	%	-50 basis points		9.9	%
Selling, General & Administrative Expenses	$	131.9		0.5%	$	131.3
Percent of Net Sales		12.6	%	-50 basis points		13.1	%
Income from Operations	$	240.8		9.3%	$	220.3
Operating Margin		23.1	%	+120 basis points		21.9	%
Net income per share - Diluted	$	0.70		11.1%	$	0.63

20

Net Sales

Net sales for the quarter ended March 31, 2019 were $1,044.7, an increase of $38.7 or 3.8% as compared to the same period in 2018.  The components of the net sales increase are as follows:

	Three Months Ended
	March 31,
Net Sales - Consolidated	2019
Product volumes sold		2.2	%
Pricing/Product mix		2.3	%
Foreign exchange rate fluctuations		(1.0	%)
Volume from acquired product lines (1)		0.3	%
Net Sales increase		3.8	%

⁽¹⁾ On March 8, 2018, we acquired Passport Food Safety Solutions, Inc. (“Passport”).  

For the three months ended March 31, 2019, the volume change primarily reflects increased product sales in both the Consumer Domestic and Consumer International segments, with volume declines in Specialty Products. For the three months ended March 31, 2019, favorable price/mix in the Consumer Domestic and SPD segments were partially offset by unfavorable price/mix in the Consumer International segment.

Gross Profit / Gross Margin

Our gross profit was $470.8 for the three months ended March 31, 2019, a $19.3 increase as compared to the same period in 2018.  Gross margin increased 20 basis points (“bps”) in the first quarter of 2019 compared to the same period in 2018, primarily due to productivity programs of 130 bps, and favorable price/volume mix of 70 bps, partially offset by higher commodity and transportation costs of 100 bps, and other manufacturing cost increases of 80 bps.

Operating Expenses

Marketing expenses for the three months ended March 31, 2019 were $98.1, a decrease of $1.8 or 1.8% as compared to the same period in 2018. Marketing expenses as a percentage of net sales in the first quarter of 2019 decreased by 50 bps to 9.4% as compared to 9.9% in the same period in 2018 due to 30 bps of leverage on higher net sales and 20 bps on lower expenses.    

Selling, general and administrative (“SG&A”) expenses were $131.9 in the first quarter of 2019, an increase of $0.6 or 0.5% as compared to the same period in 2018. SG&A as a percentage of net sales decreased 50 bps to 12.6% in the first quarter of 2019 as compared to 13.1% in the same period in 2018.  The decrease is due to 50 bps of leverage associated with higher sales.

Other Income and Expenses

Other expense, net for the three months ended March 31, 2019 decreased $2.0 compared to the same period in 2018 primarily due to the effect of changes in foreign exchange rates.

Interest expense for the three months ended March 31, 2019 decreased $2.3 as compared to the same period in 2018 primarily due to a lower amount of average debt outstanding primarily associated with repayment of the $300.0 Floating Rate Senior Notes that matured on January 25, 2019 and lower commercial paper borrowings in 2019 as compared to the same period in 2018.  

Income Taxes

The effective tax rate for the three months ended March 31, 2019 was 21.9% compared to 21.4% in the same period in 2018.  The increase in the tax rate is primarily due to a lower tax benefit on a lower amount of stock option exercises.

21

Segment results

We operate three reportable segments: Consumer Domestic, Consumer International and SPD.  These segments are determined based on differences in the nature of products and organizational and ownership structures.  We also have a Corporate segment.

Segment	Products
Consumer Domestic	Household and personal care products
Consumer International	Primarily personal care products
SPD	Specialty chemical products

The Corporate segment income consists of equity in earnings of affiliates.  As of March 31, 2019, we held 50% ownership interests in each of Armand Products Company (“Armand”) and The ArmaKleen Company (“ArmaKleen”), respectively.  Our equity in earnings of Armand and ArmaKleen for the three months ended March 31, 2019 and 2018 are included in the Corporate segment.  Certain subsidiaries that are included in the Consumer International segment manufacture and sell personal care products to the Consumer Domestic segment.  These sales are eliminated from the Consumer International segment results set forth below.

Segment net sales and income before income taxes for the months ended March 31, 2019 and March 31, 2018 are as follows:

	Consumer		Consumer
	Domestic		International		SPD		Corporate		Total
Net Sales(1)
First Quarter 2019	$	784.9	$	186.7	$	73.1	$	0.0	$	1,044.7
First Quarter 2018		751.4		180.7		73.9		0.0		1,006.0
Income before Income Taxes(2)
First Quarter 2019	$	182.7	$	28.4	$	12.3	$	1.7	$	225.1
First Quarter 2018		159.3		27.7		11.6		2.1		200.7

⁽¹⁾  Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively.

⁽²⁾  In determining Income before Income Taxes, interest expense, investment earnings and certain aspects of other income and expense were allocated among the segments based upon each segment’s relative Income from Operations.

 Product line revenues from external customers are as follows:

	Three Months Ended
	March 31,		March 31,
	2019		2018
Household Products	$	443.3	$	413.0
Personal Care Products		341.6		338.4
Total Consumer Domestic		784.9		751.4
Total Consumer International		186.7		180.7
Total SPD		73.1		73.9
Total Consolidated Net Sales	$	1,044.7	$	1,006.0

Household Products include laundry, deodorizing, and cleaning products.  Personal Care Products include condoms, pregnancy kits, oral care products, skin care and hair care products and gummy dietary supplements.

22

Consumer Domestic

Consumer Domestic net sales in the first quarter of 2019 were $784.9, an increase of $33.5 or 4.5% as compared to the same period in 2018.  The components of the net sales change are the following:

	Three Months Ended
	March 31,
Net Sales - Consumer Domestic	2019
Product volumes sold		1.0	%
Pricing/Product mix		3.5	%
Net Sales increase		4.5	%

The increase in net sales for the three months ended March 31, 2019, reflects higher sales of ARM & HAMMER liquid and unit dose laundry detergent, ARM & HAMMER clumping cat litter, TROJAN condoms, XTRA liquid laundry detergent, L’IL CRITTERS gummy vitamins, and BATISTE dry shampoo.

There continues to be significant product competition in the gummy vitamin category.  The category has grown from eight competitors to 30 in the last five years.  We continue to evaluate and vigorously combat these pressures through, among other things, new product introductions and increased marketing and trade spending.  However, there is no assurance this category will not decline in the future and that we will be able to offset any such decline.

Consumer Domestic income before income taxes for the first quarter of 2019 was $182.7, a $23.4 increase as compared to the first quarter of 2018.  The increase is due primarily to favorable price/mix of $18.9, lower marketing expenses of $4.2, lower interest and other expenses of $3.4, higher sales volumes of $1.4, lower SG&A costs of $1.0, partially offset by unfavorable manufacturing and distribution costs of $5.5.  

Consumer International

Consumer International net sales were $186.7 in the first quarter of 2019, an increase of $6.0 or 3.3% as compared to the same period in 2018.  The components of the net sales change are the following:

	Three Months Ended
	March 31,
Net Sales - Consumer International	2019
Product volumes sold		10.2	%
Pricing/Product mix		(1.7	%)
Foreign exchange rate fluctuations / Other		(5.2	%)
Net Sales increase		3.3	%

Excluding the impact of foreign exchange rates, higher sales in the first quarter ended March 31, 2019 were primarily due to FEMFRESH, BATISTE, STERIMAR, and ARM & HAMMER liquid laundry detergent in the Global Market Group (formerly Export) business, ARM & HAMMER clumping cat litter and liquid laundry detergent in Canada, BATISTE in Germany, and WATERPIK in several countries.  

23

Consumer International income before income taxes was $28.4 in the first quarter 2019, an increase of $0.7 compared to the same period in 2018 due primarily to higher sales volumes of $10.5, partially offset by higher costs as a result of the higher marketing expenses of $3.8, unfavorable manufacturing costs of $2.6, unfavorable price/mix of $1.6, unfavorable foreign exchange rates of $1.5, and higher SG&A costs of $1.1.

Specialty Products (“SPD”)

SPD net sales were $73.1 in the first quarter of 2019, a decrease of $0.8 or 1.1% as compared to the same period in 2018.  The components of the net sales change are the following:

	Three Months Ended
	March 31,
Net Sales - SPD	2019
Product volumes sold		(4.5	%)
Pricing/Product mix		0.3	%
Volume from acquired product lines (1)		3.1	%
Net Sales increase		(1.1	%)

⁽¹⁾  Includes net sales of Passport since the date of acquisition.

Excluding the impact of the acquisitions, the net sales decrease in the first quarter of 2019 was driven by lower volumes in the animal and food production business, partially offset by higher broad-based pricing.  Demand in the dairy industry is significantly reduced due to low milk prices.  

SPD income before income taxes was $12.3 in the first quarter of 2019, an increase of $0.7 as compared to the same period in 2018 due to favorable manufacturing costs of $1.6, favorable price/product mix of $0.2 and lower marketing costs of $0.2, partially offset by higher SG&A costs of $1.1 and lower sales volumes of $0.4.

Corporate

The Corporate segment includes equity in earnings of affiliates from Armand and ArmaKleen in the first quarter of 2019 and 2018.  The Corporate segment income before income taxes was $1.7 in the first quarter of 2019, as compared to $2.1 in the same period in 2018.  

Liquidity and Capital Resources

On May 1, 2019, we amended our $1,000.0 unsecured revolving credit facility (the “Credit Agreement”) to extend the term of the Credit Agreement from March 29, 2023 to March 29, 2024.  Under the Credit Agreement, we continue to have the ability to increase our borrowing up to an additional $600.0, subject to lender commitments and certain conditions as described in the Credit Agreement.  Borrowings under the Credit Agreement are available for general corporate purposes and are used to support our $1,000.0 commercial paper program.  

On May 1, 2019, we entered into a new $300.0 unsecured term loan credit facility with various banks, the proceeds of which were used to partially fund the Flawless Acquisition.  Unless prepaid, the loan is due on May 1, 2022.  The interest rate is LIBOR plus an applicable margin based on our credit rating, which can range from 60 bps to 113 bps.

As of March 31, 2019, we had $97.9 in cash and cash equivalents, and approximately $899.0 available through the revolving facility under our Credit Agreement and our commercial paper program.  To preserve our liquidity, we invest cash primarily in government money market funds, prime money market funds, short-term commercial paper and short-term bank deposits.  

We repatriate excess cash held at our foreign subsidiaries. We repatriated approximately $16.0 million during the first quarter of 2019 and anticipate an additional $20.0 million during the balance of 2019. As of March 31, 2019, there is $45.0 million of cash and cash equivalents held at foreign subsidiaries.

The current economic environment presents risks that could have adverse consequences for our liquidity.  See “Unfavorable economic conditions could adversely affect demand for our products” under “Risk Factors” in Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 31, 2018 (the “Form 10-K”).  We do not anticipate that current economic conditions will adversely affect our ability to comply with the financial covenant in the Credit Agreement because we currently are, and anticipate that we will continue to be, in compliance with the maximum leverage ratio requirement under the Credit Agreement.  

24

On February 5, 2019, the Board declared a 5% increase in the regular quarterly dividend from $0.2175 to $0.2275 per share, equivalent to an annual dividend of $0.91 per share.  The increase raises the annual dividend payout from $213.3 to approximately $225.0.  

In connection with the evergreen repurchase program, in January 2019, we executed open market purchases of $100.0 of our Common Stock.  See Part II – Item 2 of this Form 10Q for further details.

We anticipate that our cash from operations, together with our current borrowing capacity, will be sufficient to meet our capital expenditure program costs, which are expected to be approximately $85.0 in 2019, fund our share repurchase programs to the extent implemented by management, pay the upcoming maturing notes and pay dividends at the latest approved rate.  Cash, together with our current borrowing capacity, may be used for acquisitions that would complement our existing product lines or geographic markets.  We did not have any mandatory fixed rate debt principal payments in 2018.  We paid the $300.0 Floating Rate Senior Notes that matured on January 25, 2019 with cash on hand and commercial paper.  The $300.0 Senior Notes (2.45%) will mature on December 15, 2019 and we currently intend to repay these notes with cash on hand and commercial paper borrowing if necessary.  

Cash Flow Analysis  

	Three Months Ended
	March 31,			March 31,
	2019			2018
Net cash provided by operating activities	$	137.9		$	155.5
Net cash used in investing activities	$	(12.4	)	$	(60.0	)
Net cash used in financing activities	$	(344.3	)	$	(255.6	)

Net Cash Provided by Operating Activities – Our primary source of liquidity is the cash flow provided by operating activities, which is dependent on net income and changes in working capital.  Our net cash provided by operating activities in the three months ended March 31, 2019 decreased by $17.6 to $137.9 as compared to $155.5 in the same period in 2018 due to higher cash earnings (net income plus non-cash expenses such as depreciation, amortization, and non-cash compensation) more than offset by an increase in working capital.  The change in working capital is primarily due to an increase in accounts receivable due to the timing of sales and a decrease in accounts payable and accrued expenses due to higher incentive compensation and profit sharing payments partially offset by our continued program to extend payment terms with our suppliers.  However, we measure working capital effectiveness based on our cash conversion cycle.  The following table presents our cash conversion cycle information for the quarters ended March 31, 2019 and 2018:

	As of
	March 31, 2019		March 31, 2018		Change
Days of sales outstanding in accounts receivable ("DSO")		31		31		0
Days of inventory outstanding ("DIO")		61		56		5
Days of accounts payable outstanding ("DPO")		67		65		(2	)
Cash conversion cycle		25		22		3

Our cash conversion cycle (defined as the sum of DSO and DIO less DPO) which is calculated using a two period average method, increased three days from the prior year amount of 22 days to 25 days at March 31, 2019 due primarily to an increase in DIO of 5 days.  DPO increased two days from 65 to 67 days and DSO remained consistent compared to the same period in 2018. The increase in the cash conversion cycle is primarily due to certain acquisitions, which currently require a higher level of working capital. We continue to focus on reducing our working capital requirements.

Net Cash Used in Investing Activities – Net cash used in investing activities during the first three months of 2019 was $12.4, primarily reflecting $11.7 for property, plant and equipment additions.  Net cash used in investing activities during the first three months of 2018 was 60.0, primarily reflecting $49.9 for the Passport Acquisition, and $9.9 for property, plant and equipment additions.

Net Cash Used in Financing Activities – Net cash used in financing activities during the first three months of 2019 was $344.3, reflecting $202.0 of net debt payments, $100.0 of repurchases of our common stock (“Common Stock”), $55.9 of cash dividend payments, partially offset by $15.1 of proceeds from stock option exercises.  Net cash used in financing activities during the first three months of 2018 was $255.6, reflecting $200.0 of repurchases of our Common Stock, $53.0 of cash dividend payments, $17.4 of debt payments, partially offset by $16.4 of proceeds from stock option exercises.

25

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK

Market risk

For quantitative and qualitative disclosures about market risk affecting the Company, see “Quantitative and Qualitative Disclosures About Market Risk” in Item 7A of Part II the Form 10-K.  Our exposure to market risk has not changed materially since December 31, 2018.  

ITEM 4. CONTROLS AND PROCEDURES

a) Evaluation of Disclosure Controls and Procedures

The Company’s management, with the participation of the Company’s Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) at the end of the period covered by this report.  Based on that evaluation, the Chief Executive Officer and Chief Financial Officer concluded that the Company’s disclosure controls and procedures, as of the end of the period covered by this report, are effective to provide reasonable assurance that the information required to be disclosed by the Company in reports filed under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the rules and forms of the United States Securities and Exchange Commission (the “Commission”), and (ii) accumulated and communicated to the Company’s management, including the Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding the disclosure.

b) Change in Internal Control over Financial Reporting

There were no changes in the Company’s internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) occurring during the Company’s most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

CAUTIONARY NOTE ON FORWARD-LOOKING INFORMATION

This report contains forward-looking statements, including, among others, statements relating to net sales and earnings growth; gross margin changes; trade and marketing spending; marketing expense as a percentage of net sales; sufficiency of cash flows from operations; earnings per share; the impact of new accounting pronouncements; cost savings programs; consumer demand and spending; the effects of competition; the effect of product mix; volume growth, including the effects of new product launches into new and existing categories; the increase in the number of gummy dietary supplement competitors; the Company’s hedge programs; the impact of foreign exchange, tariffs, and commodity price fluctuations; impairments and other charges; the Company’s investments in joint ventures; the impact of acquisitions and divestitures; capital expenditures; the Company’s effective tax rate; the impact of the Tax Cuts and Jobs Act; the impact of tax audits; tax changes and the lapse of applicable statutes of limitations; the effect of the credit environment on the Company’s liquidity and capital resources; the Company’s fixed rate debt; compliance with covenants under the Company’s debt instruments; the Company’s commercial paper program; the Company’s current and anticipated future borrowing capacity to meet capital expenditure program costs; and the Company’s share repurchase programs; payment of dividends; environmental and regulatory matters; the availability and adequacy of raw materials, including trona reserves and the conversion of such reserves; and the customers and consumer acceptance of certain ingredients in our products. These statements represent the intentions, plans, expectations and beliefs of the Company, and are based on assumptions that the Company believes are reasonable but may prove to be incorrect.  In addition, these statements are subject to risks, uncertainties and other factors, many of which are outside the Company’s control and could cause actual results to differ materially from such forward-looking statements.  Factors that could cause such differences include a decline in market growth, retailer distribution and consumer demand (as a result of, among other things, political, economic and marketplace conditions and events); unanticipated increases in raw material and energy prices; delays or other problems in manufacturing or distribution; adverse developments affecting the financial condition of major customers and suppliers; competition; changes in marketing and promotional spending; growth or declines in various product categories and the impact of customer actions in response to changes in consumer demand and the economy, including increasing shelf space of private label products; consumer and competitor reaction to, and customer acceptance of, new product introductions and features; the Company’s ability to maintain product quality and characteristics at a level acceptable to our customers and consumers; disruptions in the banking system and financial markets; foreign currency exchange rate fluctuations; implications of the United Kingdom’s withdrawal from the European Union; shifting economic policies in the United States; potential changes in export/import and trade laws, regulations and policies of the United States and other countries, including any increased trade restrictions or tariffs, including the actual and potential effect of tariffs on Chinese goods imposed by the United States; issues relating to the Company’s information technology and controls; the impact of natural disasters on the Company and its customers and suppliers, including third party

26

information technology service providers; the acquisition or divestiture of assets; the outcome of contingencies, including litigation, pending regulatory proceedings and environmental matters; and changes in the regulatory environment.

The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by the United States federal securities laws.  You are advised, however, to consult any further disclosures the Company makes on related subjects in its filings with the United States Securities and Exchange Commission (the “Commission”).

PART II – OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

General

The Company, in the ordinary course of its business, is subject of, or party to, various pending or threatened legal actions, government investigations and proceedings from time to time, including, without limitation, those relating to commercial transactions, product liability, purported consumer class actions, employment matters, antitrust, environmental, health, safety and other compliance related matters.  Such proceedings are subject to many uncertainties and the outcome of certain pending or threatened legal actions may not be reasonably predictable and any related damages may not be estimable.  Certain legal actions, including the one described below, could result in an adverse outcome for us, and any such adverse outcome could have a material adverse effect on our business, financial condition, results of operations, and cash flows.

Scantibodies Laboratory, Inc.

The Company has been named as a defendant in a breach of contract action filed by Scantibodies Laboratory, Inc. (the “Plaintiff”) on April 1, 2014, in the U.S. District Court for the Southern District of New York.  

The complaint alleges, among other things, that the Company (i) breached two agreements for the manufacture and supply of pregnancy and ovulation test kits by switching suppliers, (ii) failed to give Plaintiff the proper notice, (iii) failed to reimburse Plaintiff for costs and expenses under the agreements and (iv) misrepresented its future requirements.  The complaint seeks compensatory and punitive damages in an amount in excess of $20.0 million, as well as declaratory relief, statutory prejudgment interest and attorneys’ fees and costs.

The Company is vigorously defending itself in this matter.  On September 19, 2018, the court granted the Company’s motion for summary judgment, dismissing all claims brought by the Plaintiff.  The Plaintiff has filed an appeal.  

In connection with this matter, the Company has reserved an amount that is immaterial.  However, it is reasonably possible that the Company may ultimately be required to pay all or substantially all of the damages and other amounts sought by Plaintiff in the event the summary judgment entered in favor of the Company is reversed.  

ITEM 1A. RISK FACTORS

In addition to the other information set forth in this report, you should carefully consider the factors discussed in Item 1A, “Risk Factors” in the Form 10-K, which could materially affect the Company’s business, financial condition or future results.

27

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

The Company repurchases shares of its Common Stock from time to time pursuant to its publicly announced share repurchase programs.  The following table contains information for shares repurchased during the first quarter of 2019.

Period	Total Number of Shares Purchased(1)		Average Price Paid per Share(2)		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs		Approximate Dollar Value of Shares that May Yet Be Purchased Under All Programs(3)
1/1/2019 to 1/31/2019		1,534,676	$	66.04		1,534,676	$	310,000,000
2/1/2019 to 2/28/2019		0		0		0	$	310,000,000
3/1/2019 to 3/31/2019		0		0		0	$	310,000,000
Total		1,534,676	$	66.04		1,534,676

⁽¹⁾ Includes shares of Common Stock withheld by the Company to satisfy tax withholding obligations in connection with the vesting of shares of restricted stock.

⁽²⁾ Average price paid per share in the period includes commission.

⁽³⁾ In the first quarter of 2019, the Company purchased approximately 1.5 million shares for $100.0 under its evergreen share repurchase program.  The evergreen share repurchase program has no specified cap and therefore no cap amount is reflected in this column.

28

ITEM 6. EXHIBITS

Exhibit Index

	(3.1)		Amended and Restated Certificate of Incorporation of the Company, incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K filed on May 4, 2018.
	(3.2)		By-laws of the Company, amended and restated as of May 2, 2018, incorporated by reference to Exhibit 3.2 to the Company’s current report on Form 8-K filed on May 4, 2018.
•	(31.1)		Certification of the Chief Executive Officer of the Company pursuant to Rule 13a-14(a) under the Securities Exchange Act.
•	(31.2)		Certification of the Chief Financial Officer of the Company pursuant to Rule 13a-14(a) under the Securities Exchange Act.
•	(32.1)		Certification of the Chief Executive Officer of the Company pursuant to Rule 13a-14(b) under the Exchange Act and 18 U.S.C. Section 1350.
•	(32.2)		Certification of the Chief Financial Officer of the Company pursuant to Rule 13a-14(b) under the Exchange Act and 18 U.S.C. Section 1350.
	(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.
		(101.SCH)	XBRL Taxonomy Extension Schema Document.
		(101.CAL)	XBRL Taxonomy Extension Calculation Linkbase Document.
		(101.DEF)	XBRL Taxonomy Extension Definition Linkbase Document.
		(101.LAB)	XBRL Taxonomy Extension Label Linkbase Document.
		(101.PRE)	XBRL Taxonomy Extension Presentation Linkbase Document.

• Indicates documents filed herewith.

29

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.

		CHURCH & DWIGHT CO., INC.
		(REGISTRANT)
DATE:	May 2, 2019	/s/ Richard A. Dierker
		RICHARD A. DIERKER
		Executive Vice President
		and Chief Financial Officer
		(Principal Financial Officer)
DATE:	May 2, 2019	/s/ Steven J. Katz
		STEVEN J. KATZ
		VICE PRESIDENT AND
		CONTROLLER
		(PRINCIPAL ACCOUNTING OFFICER)

30

EX-31.1

EXHIBIT 31.1

CERTIFICATIONS

I, Matthew T. Farrell, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Church & Dwight Co., Inc.;

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

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

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-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 our 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 (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

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

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

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

Date:	May 2, 2019	/s/ Matthew T. Farrell
		Matthew T. Farrell
		President and Chief Executive Officer

EX-31.2

EXHIBIT 31.2

CERTIFICATIONS

I, Richard A. Dierker, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Church & Dwight Co., Inc.;

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

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

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-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 our 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 (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

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

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

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

Date:	May 2, 2019	/s/ Richard A. Dierker
		Richard A. Dierker
		Executive Vice President and Chief Financial Officer

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO

RULE 13a-14(b) UNDER THE SECURITIES EXCHANGE ACT AND
18 U.S.C. SECTION 1350

I, Matthew T. Farrell, President and Chief Executive Officer of Church & Dwight Co., Inc. (the “Company”), hereby certify that, based on my knowledge:

1.The Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2019 (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 Company.

By:	/s/ Matthew T. Farrell
	Matthew T. Farrell
	President and Chief Executive Officer
Dated:	May 2, 2019

EX-32.2

EXHIBIT 32.2

CERTIFICATION PURSUANT TO

RULE 13a-14(b) UNDER THE SECURITIES EXCHANGE ACT AND

18 U.S.C. SECTION 1350

     I, Richard A. Dierker, Executive Vice President and Chief Financial Officer of Church & Dwight Co., Inc. (the “Company”), hereby certify that, based on my knowledge:

1.The Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2019 (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 Company.

By:	/s/ Richard A.Dierker
	Richard A. Dierker
	Executive Vice President and Chief Financial Officer
Dated:	May 2, 2019

XML

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	Apr. 30, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Trading Symbol	CHD
Entity Registrant Name	CHURCH & DWIGHT CO INC /DE/
Entity Central Index Key	0000313927
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		246,219,083

XML

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) shares in Millions, $ in Millions		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
Net Sales	[1]	$ 1,044.7	$ 1,006.0
Cost of sales		573.9	554.5
Gross Profit		470.8	451.5
Marketing expenses		98.1	99.9
Selling, general and administrative expenses		131.9	131.3
Income from Operations		240.8	220.3
Equity in earnings of affiliates		1.7	2.1
Investment earnings		0.5	0.5
Other income (expense), net		(0.1)	(2.1)
Interest expense		(17.8)	(20.1)
Income before Income Taxes	[2]	225.1	200.7
Income taxes		49.4	42.9
Net Income		$ 175.7	$ 157.8
Weighted average shares outstanding - Basic		246.1	244.9
Weighted average shares outstanding - Diluted		251.9	250.0
Net income per share - Basic		$ 0.71	$ 0.64
Net income per share - Diluted		0.70	0.63
Cash dividends per share		$ 0.23	$ 0.22

[1] Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively

[2] In determining Income before Income Taxes, interest expense, investment earnings and certain aspects of other income and expense were allocated among segments based upon each segment’s relative Income from Operations.

XML

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Statement Of Income And Comprehensive Income [Abstract]
Net Income	$ 175.7	$ 157.8
Other comprehensive income, net of tax:
Foreign exchange translation adjustments	1.8	3.5
Income (loss) from derivative agreements	(7.7)	(0.2)
Other comprehensive income (loss)	(5.9)	3.3
Comprehensive income	$ 169.8	$ 161.1

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions	Mar. 31, 2019	Dec. 31, 2018
Current Assets
Cash and cash equivalents	$ 97.9	$ 316.7
Accounts receivable, less allowances of $2.9 and $3.1	384.6	345.3
Inventories	399.5	382.8
Other current assets	31.7	33.4
Total Current Assets	913.7	1,078.2
Property, Plant and Equipment, Net	558.8	598.2
Equity Investment in Affiliates	9.4	8.5
Trade Names and Other Intangibles, Net	2,256.3	2,274.0
Goodwill	1,992.9	1,992.9
Other Assets	229.5	117.4
Total Assets	5,960.6	6,069.2
Current Liabilities
Short-term borrowings	99.8	1.8
Current portion of long-term debt	297.7	596.5
Accounts payable and accrued expenses	699.1	725.1
Income taxes payable	36.7	2.9
Total Current Liabilities	1,133.3	1,326.3
Long-term Debt	1,509.4	1,508.8
Deferred Income Taxes	580.5	576.4
Deferred and Other Long-term Liabilities	238.1	203.9
Total Liabilities	3,461.3	3,615.4
Commitments and Contingencies
Stockholders' Equity
Preferred Stock, $1.00 par value, Authorized 2,500,000 shares; none issued	0.0	0.0
Common Stock, $1.00 par value, Authorized 600,000,000 shares and 292,855,100 shares issued as of March 31, 2019 and December 31, 2018	292.8	292.8
Additional paid-in capital	281.3	280.8
Retained earnings	3,965.4	3,832.6
Accumulated other comprehensive loss	(59.5)	(53.6)
Common stock in treasury, at cost: 46,789,017 shares as of March 31, 2019 and 45,969,515 shares as of December 31, 2018	(1,980.7)	(1,898.8)
Total Stockholders' Equity	2,499.3	2,453.8
Total Liabilities and Stockholders' Equity	$ 5,960.6	$ 6,069.2

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2019	Dec. 31, 2018
Statement Of Financial Position [Abstract]
Accounts receivable, allowances	$ 2.9	$ 3.1
Preferred Stock, par value	$ 1.00	$ 1.00
Preferred Stock, Authorized	2,500,000	2,500,000
Preferred Stock, issued	0	0
Common Stock, par value	$ 1.00	$ 1.00
Common Stock, Authorized	600,000,000	600,000,000
Common Stock, shares issued	292,855,100	292,855,100
Common stock in treasury, shares	46,789,017	45,969,515

XML

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Cash Flow From Operating Activities
Net Income	$ 175.7	$ 157.8
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense	15.8	16.4
Amortization expense	22.8	19.3
Deferred income taxes	2.8	(2.5)
Equity in net earnings of affiliates	(1.7)	(2.1)
Distributions from unconsolidated affiliates	0.7	2.1
Non-cash compensation expense	2.4	3.1
Other	(0.7)	(1.0)
Change in assets and liabilities:
Accounts receivable	(36.0)	(11.3)
Inventories	(15.9)	(23.5)
Other current assets	0.5	(4.7)
Accounts payable and accrued expenses	(59.2)	(32.6)
Income taxes payable	34.3	34.5
Other operating assets and liabilities, net	(3.6)	(0.0)
Net Cash Provided By Operating Activities	137.9	155.5
Cash Flow From Investing Activities
Additions to property, plant and equipment	(11.7)	(9.9)
Acquisitions	(0.0)	(49.9)
Other	(0.7)	(0.2)
Net Cash Used In Investing Activities	(12.4)	(60.0)
Cash Flow From Financing Activities
Long-term debt (repayments)	(300.0)	(0.0)
Short-term debt (repayments), net of borrowings	98.0	(17.4)
Proceeds from stock options exercised	15.1	16.4
Payment of cash dividends	(55.9)	(53.0)
Purchase of treasury stock	(100.0)	(200.0)
Deferred financing and other	(1.5)	(1.6)
Net Cash Used In Financing Activities	(344.3)	(255.6)
Effect of exchange rate changes on cash and cash equivalents	0.0	1.0
Net Change In Cash and Cash Equivalents	(218.8)	(159.1)
Cash and Cash Equivalents at Beginning of Period	316.7	278.9
Cash and Cash Equivalents at End of Period	97.9	119.8
Cash paid during the period for:
Interest (net of amounts capitalized)	21.8	23.9
Income taxes	12.3	11.0
Supplemental disclosure of non-cash investing activities:
Property, plant and equipment expenditures included in Accounts Payable	$ 6.0	$ 6.3

XML

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Treasury Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)
Beginning Balance at Dec. 31, 2017	$ 2,218.0	$ 292.8	$ (1,782.0)	$ 264.6	$ 3,479.0	$ (36.4)
Beginning Balance (in shares) at Dec. 31, 2017		292.8	(45.2)
Adoption of new accounting pronouncements	(2.3)	$ 0.0	$ 0.0	0.0	(1.7)	(0.6)
Net Income	157.8	0.0	0.0	0.0	157.8	0.0
Other comprehensive income (loss)	3.3	0.0	0.0	0.0	0.0	3.3
Cash dividends	(53.0)	(0.0)	(0.0)	(0.0)	(53.0)	(0.0)
Stock purchases	(200.0)	$ (0.0)	$ (200.0)	(0.0)	(0.0)	(0.0)
Stock purchases (in shares)		(0.0)	(4.1)
Stock based compensation expense and stock option plan transactions	19.5	$ 0.0	$ 23.7	(4.2)	0.0	0.0
Stock based compensation expense and stock option plan transactions (in shares)		0.0	0.9
Ending Balance at Mar. 31, 2018	2,143.3	$ 292.8	$ (1,958.3)	260.4	3,582.1	(33.7)
Ending Balance (in shares) at Mar. 31, 2018		292.8	(48.4)
Beginning Balance at Dec. 31, 2018	2,453.8	$ 292.8	$ (1,898.8)	280.8	3,832.6	(53.6)
Beginning Balance (in shares) at Dec. 31, 2018		292.8	(46.0)
Adoption of new accounting pronouncements	13.0	$ 0.0	$ 0.0	0.0	13.0	0.0
Net Income	175.7	0.0	0.0	0.0	175.7	0.0
Other comprehensive income (loss)	(5.9)	0.0	0.0	0.0	0.0	(5.9)
Cash dividends	(55.9)	(0.0)	(0.0)	(0.0)	(55.9)	(0.0)
Stock purchases	(100.0)	$ (0.0)	$ (100.0)	(0.0)	(0.0)	(0.0)
Stock purchases (in shares)		(0.0)	(1.5)
Stock based compensation expense and stock option plan transactions	18.6	$ 0.0	$ 18.1	0.5	0.0	0.0
Stock based compensation expense and stock option plan transactions (in shares)		0.0	0.7
Ending Balance at Mar. 31, 2019	$ 2,499.3	$ 292.8	$ (1,980.7)	$ 281.3	$ 3,965.4	$ (59.5)
Ending Balance (in shares) at Mar. 31, 2019		292.8	(46.8)

XML

Basis of Presentation

3 Months Ended

Mar. 31, 2019

Accounting Policies [Abstract]

Basis of Presentation

1. Basis of Presentation

The condensed consolidated balance sheets as of March 31, 2019 and December 31, 2018, the condensed consolidated statements of income and comprehensive income, cash flow and stockholders’ equity for the three months ended March 31, 2019 and March 31, 2018 have been prepared by Church & Dwight Co., Inc. (the “Company”).  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position at March 31, 2019 and results of operations and cash flows for all periods presented have been made.  

Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States have been condensed or omitted.  These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 (the “Form 10-K”).  The results of operations for the period ended March 31, 2019 are not necessarily indicative of the operating results for the full year.

The Company incurred research and development expenses in the first quarter of 2019 and 2018 of $20.7 and $19.5, respectively.  These expenses are included in selling, general and administrative (“SG&A”) expenses.

XML

New Accounting Pronouncements

3 Months Ended

Mar. 31, 2019

Accounting Changes And Error Corrections [Abstract]

New Accounting Pronouncements

2. New Accounting Pronouncements

Recently Adopted Accounting Pronouncements

In August 2017 and October 2018, the FASB issued new accounting guidance, which is intended to improve the financial reporting of hedging relationships to better portray the economic results of an entity's risk management activities in its financial statements. These amendments also make targeted improvements to simplify the application of the hedge accounting. The guidance was effective for annual and interim periods beginning after December 15, 2018, and was adopted by the Company in the first quarter of 2019. The standard’s adoption did not have a material impact on the Company’s consolidated financial position, results of operations or cash flows.

In February 2016 and July 2018, the FASB issued new lease accounting guidance, requiring lessees to recognize right-of-use lease assets and lease liabilities on the balance sheet for those leases previously classified as operating leases, with a term greater than a year. The new guidance also expands the required quantitative and qualitative disclosures surrounding leases. The guidance was effective for annual and interim periods beginning after December 15, 2018, and allowed companies to apply the requirements retrospectively, either to all prior periods presented or through a cumulative adjustment in the year of adoption. The Company adopted the new standard on January 1, 2019 on a modified retrospective basis and elected the package of practical expedients permitted under the transition guidance, which eliminates the reassessment of past leases, classification, and initial direct costs.  The Company has implemented the appropriate internal controls and tools to monitor and record historical and future lease arrangements and required disclosures.

For all existing operating leases as of December 31, 2018, the Company recorded Right of Use Assets of approximately $55.0 and corresponding lease liabilities of approximately $57.0 with an offset to Deferred and Other Long-term Liabilities of approximately $2.0 to eliminate deferred rent on the consolidated balance sheet.  

In addition, based on the transition guidance surrounding failed sale-and-leaseback transactions, the Company re-evaluated the lease for its corporate headquarters in Ewing, New Jersey.  This lease was previously considered a failed sale-and-leaseback transaction under Accounting Standards Codification (“ASC”) 840 because of continuing involvement. The re-evaluation resulted in a change in classification from a finance transaction to an operating lease.  The corporate headquarters building, which had a net book value of approximately $35.0 recorded in Property, Plant and Equipment as of December 31, 2018, was derecognized on January 1, 2019 and a Right of Use Asset of approximately $52.0 was recorded with an offset to Deferred Income Taxes of $4.0 and Retained Earnings of $13.0. The Lease Liability pertaining to this asset of $52.0 remained unchanged.  

In total, at the adoption of the new accounting guidance there will be a Right of Use Asset of approximately $107.0 and a corresponding Lease Liability of $109.0.  This does not include an existing cease-use liability of approximately $7.0 pertaining to one

of the Company’s previous corporate offices that remained unchanged as a result of the transition.  Refer to Note 12 for the Company’s lease disclosures.

The effects of the recently adopted lease accounting standard to the Company’s condensed consolidated balance sheet as of January 1, 2019 is as follows:

	Balance at		New Lease			Balance at
	December 31,		Standard			January 1,
	2018		Adjustment			2019
Property, plant and equipment, net	$	598.2	$	(35.2	)	$	563.0
Other assets		117.4		107.5			224.9
Accounts payable and accrued expenses		725.1		13.6			738.7
Deferred and other long-term liabilities		203.9		41.3			245.2
Deferred income taxes		576.4		4.4			580.8
Retained earnings		3,832.6		13.0			3,845.6

The adoption of the new lease accounting standard did not have a material impact on the Company’s results of operations or cash flows.

There have been no accounting pronouncements issued but not yet adopted by the Company which are expected to have a material impact on the Company’s consolidated financial position, results of operations or cash flows.  

XML

Inventories

3 Months Ended

Mar. 31, 2019

Inventory Disclosure [Abstract]

Inventories

3. Inventories

Inventories consist of the following:

	March 31,		December 31,
	2019		2018
Raw materials and supplies	$	81.7	$	84.4
Work in process		36.1		34.1
Finished goods		281.7		264.3
Total	$	399.5	$	382.8

XML

Property, Plant and Equipment, Net ("PP&E")

3 Months Ended

Mar. 31, 2019

Property Plant And Equipment [Abstract]

Property, Plant and Equipment, Net ("PP&E")

4. Property, Plant and Equipment, Net (“PP&E”)

PP&E consists of the following:

	March 31,		December 31,
	2019		2018
Land	$	27.8	$	27.8
Buildings and improvements		250.8		301.3
Machinery and equipment		726.9		716.7
Software		99.0		97.9
Office equipment and other assets		75.6		73.8
Construction in progress		46.8		49.7
Gross PP&E		1,226.9		1,267.2
Less accumulated depreciation and amortization		668.1		669.0
Net PP&E	$	558.8	$	598.2

	Three Months Ended
	March 31,		March 31,
	2019		2018
Depreciation and amortization on PP&E	$	15.8	$	16.4

XML

Earnings Per Share ("EPS")

3 Months Ended

Mar. 31, 2019

Earnings Per Share [Abstract]

Earnings Per Share ("EPS")

5. Earnings Per Share (“EPS”)

Basic EPS is calculated based on income available to holders of the Company’s common stock (“Common Stock”) and the weighted average number of shares outstanding during the reported period.  Diluted EPS includes additional dilution from potential Common Stock issuable pursuant to the exercise of outstanding stock options.

The following table sets forth a reconciliation of the weighted average number of shares of Common Stock outstanding to the weighted average number of shares outstanding on a diluted basis:

	Three Months Ended
	March 31,		March 31,
	2019		2018
Weighted average common shares outstanding -  basic		246.1		244.9
Dilutive effect of stock options		5.8		5.1
Weighted average common shares outstanding - diluted		251.9		250.0
Antidilutive stock options outstanding		0.1		3.1

XML

Stock Based Compensation Plans

3 Months Ended

Mar. 31, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Stock Based Compensation Plans

6. Stock Based Compensation Plans

The following table provides a summary of option activity:

						Weighted
				Weighted		Average
				Average		Remaining		Aggregate
				Exercise		Contractual		Intrinsic
	Options			Price		Term		Value
Outstanding at December 31, 2018		14.7		$	37.63
Exercised		(0.7	)		28.49
Outstanding at March 31, 2019		14.0		$	38.00		5.4	$	465.4
Exercisable at March 31, 2019		8.9		$	30.90		4.1	$	357.6

The following table provides information regarding the intrinsic value of stock options exercised and stock compensation expense related to stock option awards:  

	Three Months Ended
	March 31,		March 31,
	2019		2018
Intrinsic Value of Stock Options Exercised	$	24.1	$	30.0
Stock Compensation Expense Related to Stock Option Awards	$	2.3	$	2.7

XML

Share Repurchases

3 Months Ended

Mar. 31, 2019

Payments For Repurchase Of Equity [Abstract]

Share Repurchases

7.    Share Repurchases

  On November 1, 2017, the Company’s Board of Directors (the “Board”) authorized a share repurchase program, under which the Company may repurchase up to $500.0 in shares of Common Stock (the “2017 Share Repurchase Program”).  The 2017 Share Repurchase Program does not have an expiration.  The Company also continued its evergreen share repurchase program, authorized by the Board on January 29, 2014, under which the Company may repurchase, from time to time, Common Stock to reduce or eliminate dilution associated with issuances of Common Stock under the Company’s incentive plans.  

In connection with the evergreen repurchase program, in January 2019, the Company executed open market purchases of $100.0 of its Common Stock.  

XML

Fair Value Measurements

3 Months Ended

Mar. 31, 2019

Fair Value Disclosures [Abstract]

Fair Value Measurements

8. Fair Value Measurements

The following table presents the carrying amounts and estimated fair values of the Company’s other financial instruments at March 31, 2019 and December 31, 2018:

		March 31, 2019						December 31, 2018
	Input	Carrying			Fair			Carrying			Fair
	Level	Amount			Value			Amount			Value
Financial Assets:
Cash equivalents	Level 1	$	52.9		$	52.9		$	234.6		$	234.6
Financial Liabilities:
Short-term borrowings	Level 2		99.8			99.8			1.8			1.8
Floating Rate Senior notes due January 25, 2019	Level 2		0.0			0.0			300.0			299.9
2.45% Senior notes due December 15, 2019	Level 2		300.0			298.7			300.0			297.4
2.45% Senior notes due August 1, 2022	Level 2		299.8			293.8			299.7			289.7
2.875% Senior notes due October 1, 2022	Level 2		399.9			397.1			399.9			393.0
3.15% Senior notes due August 1, 2027	Level 2		424.6			408.9			424.6			400.0
3.95% Senior notes due August 1, 2047	Level 2		397.2			379.7			397.2			363.7
Contingent consideration	Level 3		23.0			23.0			23.0			23.0
Fair value adjustment asset (liability) related to hedged fixed rate    debt instrument	Level 2		(1.9	)		(1.9	)		(3.0	)		(3.0	)
Interest Rate Swap Lock Agreement	Level 2		(14.5	)		(14.5	)		(7.0	)		(7.0	)

The Company recognizes transfers between input levels as of the actual date of the event.  There were no transfers between input levels during the three months ended March 31, 2019.

Refer to Note 2 in the Form 10-K for a description of the methods and assumptions used to estimate the fair value of each class of financial instruments reflected in the Condensed Consolidated Balance Sheets.  

The carrying amounts of accounts receivable, and accounts payable and accrued expenses, approximated estimated fair values as of March 31, 2019 and December 31, 2018.  

XML

Derivative Instruments and Risk Management

3 Months Ended

Mar. 31, 2019

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Instruments and Risk Management

9. Derivative Instruments and Risk Management

Changes in interest rates, foreign exchange rates, the price of the Common Stock and commodity prices expose the Company to market risk.  The Company manages these risks by the use of derivative instruments, such as cash flow and fair value hedges, diesel and commodity hedge contracts, equity derivatives and foreign exchange forward contracts.  The Company does not use derivatives for trading or speculative purposes.  Refer to Note 3 in the Form 10-K for a discussion of each of the Company’s derivative instruments in effect as of December 31, 2018.  

The notional amount of a derivative instrument is the nominal or face amount used to calculate payments made on that instrument.  Notional amounts are presented in the following table:

	Notional		Notional
	Amount		Amount
	March 31, 2019		December 31, 2018
Derivatives designated as hedging instruments
Foreign exchange contracts	$	215.8	$	146.6
Interest rate swap	$	300.0	$	300.0
Interest rate swap lock	$	300.0	$	250.0
Diesel fuel contracts	7.0 gallons		8.2 gallons
Commodities contracts	79.5 pounds		94.7 pounds
Derivatives not designated as hedging instruments
Equity derivatives	$	21.7	$	21.0

The fair values and amount of gain (loss) recognized in income and Other Comprehensive Income (“OCI”) associated with the derivative instruments disclosed above did not have a material impact on the Company’s condensed consolidated financial statements.

XML

Acquisitions

3 Months Ended

Mar. 31, 2019

Business Combinations [Abstract]

Acquisitions

10. Acquisitions

On March 8, 2018, the Company purchased Passport Food Safety Solutions, Inc. (“Passport”).  Passport sells products for pre- and post-harvest treatment in the poultry, swine, and beef production markets (the “Passport Acquisition”).  The total purchase price was approximately $50.0, which is subject to an additional payment of up to $25.0 based on sales performance through 2020.  Passport’s annual sales were approximately $21.0 in 2017.  The Passport Acquisition was funded with short-term borrowings and is managed in the SPD segment.  

The fair values of the net assets acquired are set forth as follows:

	Passport
	Acquisition Date
	Fair Value
Inventory and other working capital	$	3.3
Long-term assets		1.0
Trade names and other intangibles		28.5
Goodwill		32.5
Current liabilities		(1.1	)
Long-term liabilities		(7.1	)
Contingent consideration		(7.3	)
Cash purchase price (net of cash acquired)	$	49.8

The life of the amortizable intangible assets recognized from the Passport Acquisition ranges from 10 - 15 years.  The goodwill is a result of expected synergies from combined operations of the acquisition and the Company. Pro forma results are not presented because the impact is not material to the Company’s consolidated financial results.

The goodwill and other intangible assets associated with the Passport Acquisition are not deductible for U.S. tax purposes.  

XML

Goodwill and Other Intangibles, Net

3 Months Ended

Mar. 31, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangibles, Net

11. Goodwill and Other Intangibles, Net

The following table provides information related to the carrying value of all intangible assets, other than goodwill:

	March 31, 2019								December 31, 2018
	Gross							Amortization	Gross
	Carrying		Accumulated					Period	Carrying		Accumulated
	Amount		Amortization			Net		(Years)	Amount		Amortization			Net
Amortizable intangible assets:
Trade Names	$	578.4	$	(182.6	)	$	395.8	3-20	$	578.6	$	(175.2	)	$	403.4
Customer Relationships		506.3		(228.5	)		277.8	15-20		506.3		(220.8	)		285.5
Patents/Formulas		165.4		(63.9	)		101.5	4-20		165.4		(61.5	)		103.9
Non-Compete Agreement		0.4		(0.3	)		0.1	5-10		0.4		(0.3	)		0.1
Total	$	1,250.5	$	(475.3	)	$	775.2		$	1,250.7	$	(457.8	)	$	792.9

Indefinite Lived Intangible Assets - Gross Carrying Amount  

	March 31,		December 31,
	2019		2018
Trade Names	$	1,481.1	$	1,481.1

Intangible amortization expense amounted to $17.6 and $18.0 for the first three months of 2019 and 2018, respectively.  The Company estimates that intangible amortization expense  will be approximately $70.0 in 2019 and approximately $68.0 to $59.0 annually over the next five years.

The Company determined that the carrying value of its trade names as of December 31, 2018 and 2017, was recoverable based upon the forecasted cash flows and profitability of the brands.  In 2017 there was a personal care trade name that, based on performance, had experienced sales and profit declines that had eroded a significant portion of the excess between fair and carrying value, which could potentially result in an impairment of the asset.  In 2017, this excess had been reduced due in large part to an increased competitive market environment therefore resulting in reduced cash flow projections. The performance of the tradename improved in 2018, thereby increasing the excess between fair value and carrying value.  The Company continues to monitor performance and should there be any significant change in forecasted assumptions or estimates, including sales, profitability and discount rate, the Company may be required to recognize an impairment charge.     

The carrying amount of goodwill is as follows:

	Consumer		Consumer		Specialty
	Domestic		International		Products		Total
Balance at December 31, 2018	$	1,633.2	$	223.7	$	136.0	$	1,992.9
Balance at March 31, 2019	$	1,633.2	$	223.7	$	136.0	$	1,992.9

XML

Leases

3 Months Ended

Mar. 31, 2019

Leases [Abstract]

Leases

12. Leases

The Company leases certain manufacturing facilities, warehouses, office space, railcars and equipment. Leases with an initial term of twelve months or less are not recorded on the Condensed Consolidated Balance Sheet.  All recorded leases are classified as operating leases and lease expense is recognized on a straight-line basis over the lease term. For leases beginning in 2019, lease components (base rental costs) are accounted for separately from the nonlease components (e.g., common-area maintenance costs).  For leases that do not provide an implicit rate, the Company uses its estimated secured incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments.

A summary of the Company’s lease information is as follows:  

		March 31,
	Classification	2019
Assets
Right of use assets	Other Assets	$	104.7
Liabilities
Current lease liabilities	Accounts Payable and Accrued Expenses	$	17.3
Long-term lease liabilities	Deferred and Other Long-term Liabilities		96.4
Total lease liabilities		$	113.7
Other information
Weighted-average remaining lease term (years)			9.7
Weighted-average discount rate			5.7	%

	Three Months
	Ended
	March 31, 2019
Statement of Income
Lease cost(1)	$	5.6
Other information
Leased assets obtained in exchange for new lease liabilities	$	1.3
Cash paid for amounts included in the measurement of lease liabilities	$	6.0

⁽¹⁾ Lease expense is included in cost of sales or selling, general and administrative expenses based on the nature of the lease.  Short term lease expense is excluded from this amount and is not material.  The Company also has certain variable leases which are not material.  The noncash component of lease expense is included in the Amortization caption in the Statement of Cash Flows. 

The Company’s minimum annual rentals including reasonably assured renewal options under lease agreements are as follows:

	Operating
	Leases
2019	$	17.3
2020		21.0
2021		18.5
2022		17.2
2023		11.1
2024 and thereafter		65.7
Total future minimum lease commitments		150.8
Less: Imputed Interest		(37.1	)
Present value of lease liabilities	$	113.7

XML

Accounts Payable and Accrued Expenses

3 Months Ended

Mar. 31, 2019

Payables And Accruals [Abstract]

Accounts Payable and Accrued Expenses

13. Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following:

	March 31,		December 31,
	2019		2018
Trade accounts payable	$	434.8	$	430.2
Accrued marketing and promotion costs		110.1		116.2
Accrued wages and related benefit costs		34.6		84.2
Other accrued current liabilities		119.6		94.5
Total	$	699.1	$	725.1

XML

Short-Term Borrowings and Long-Term Debt

3 Months Ended

Mar. 31, 2019

Debt Disclosure [Abstract]

Short-Term Borrowings and Long-Term Debt

14. Short-Term Borrowings and Long-Term Debt

Short-term borrowings and long-term debt consist of the following:

	March 31,			December 31,
	2019			2018
Short-term borrowings
Commercial paper issuances	$	98.0		$	0.0
Various debt due to international banks		1.8			1.8
Total short-term borrowings	$	99.8		$	1.8
Long-term debt
Floating Rate Senior notes due January 25, 2019	$	0.0		$	300.0
2.45% Senior notes due December 15, 2019		300.0			300.0
2.45% Senior notes due August 1, 2022		300.0			300.0
Less: Discount		(0.2	)		(0.3	)
2.875% Senior notes due October 1, 2022		400.0			400.0
Less: Discount		(0.1	)		(0.1	)
3.15% Senior notes due August 1, 2027		425.0			425.0
Less: Discount		(0.4	)		(0.4	)
3.95% Senior notes due August 1, 2047		400.0			400.0
Less: Discount		(2.8	)		(2.8	)
Debt issuance costs, net		(12.5	)		(13.1	)
Fair value adjustment asset (liability) related to hedged fixed rate debt instrument		(1.9	)		(3.0	)
Total long-term debt		1,807.1			2,105.3
Less: current maturities		(297.7	)		(596.5	)
Net long-term debt	$	1,509.4		$	1,508.8

     .             

XML

Accumulated Other Comprehensive Income (Loss)

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

Accumulated Other Comprehensive Income (Loss)

15. Accumulated Other Comprehensive Income (Loss)

The components of changes in accumulated other comprehensive income (loss) are as follows:  

										Accumulated
	Foreign			Defined						Other
	Currency			Benefit			Derivative			Comprehensive
	Adjustments			Plans			Agreements			Income (Loss)
Balance at December 31, 2017	$	(31.6	)	$	(0.6	)	$	(4.2	)	$	(36.4	)
Adoption of new accounting pronouncement		(0.3	)		0.1			(0.4	)		(0.6	)
Other comprehensive income (loss) before reclassifications		3.5			0.0			0.1			3.6
Amounts reclassified to consolidated statement of    income (a)		0.0			0.0			(0.1	)		(0.1	)
Tax benefit (expense)		0.0			0.0			(0.2	)		(0.2	)
Other comprehensive income (loss)		3.5			0.0			(0.2	)		3.3
Balance at March 31, 2018	$	(28.4	)	$	(0.5	)	$	(4.8	)	$	(33.7	)
Balance at December 31, 2018	$	(42.5	)	$	0.9		$	(12.0	)	$	(53.6	)
Other comprehensive income (loss) before reclassifications		1.8			0.0			(10.4	)		(8.6	)
Amounts reclassified to consolidated statement of    income (a)		0.0			0.0			0.0			0.0
Tax benefit (expense)		0.0			0.0			2.7			2.7
Other comprehensive income (loss)		1.8			0.0			(7.7	)		(5.9	)
Balance at March 31, 2019	$	(40.7	)	$	0.9		$	(19.7	)	$	(59.5	)

(a) Amounts reclassified to cost of sales or interest expense.  

XML

Commitments, Contingencies and Guarantees

3 Months Ended

Mar. 31, 2019

Commitments And Contingencies Disclosure [Abstract]

Commitments, Contingencies and Guarantees

16. Commitments, Contingencies and Guarantees

Commitments

a. The Company has a partnership with a supplier of raw materials that mines and processes sodium-based mineral deposits.   The Company purchases the majority of its sodium-based raw material requirements from the partnership. The partnership agreement terminates upon two years’ written notice by either partner.  Under the partnership agreement, the Company has an annual commitment to purchase 240,000 tons of sodium-based raw materials at the prevailing market price.  The Company is not engaged in any other material transactions with the partnership or the partner supplier.  

b. As of March 31, 2019, the Company had commitments of approximately $240.1.  These commitments include the purchase of raw materials, packaging supplies and services from its vendors at market prices to enable the Company to respond quickly to changes in customer orders or requirements, as well as costs associated with licensing and promotion agreements.

c. As of March 31, 2019, the Company had various guarantees and letters of credit totaling $5.2.     

d. In connection with the Company’s acquisition of Agro BioSciences, Inc. (the “Agro Acquisition”) on January 17, 2017, the Company is obligated to pay an additional amount of up to $25.0 based on sales performance in 2019. The initial fair value of this contingent liability was $17.8, which was established in the purchase price allocation.  Subsequent to the Agro Acquisition, the Company increased the estimate of the contingent consideration liability $5.4 in the fourth quarter of 2017 from $17.8 to $23.2 based on updated sales forecasts. However in 2018, the Company lowered its estimate by $7.5 to $15.7 based on updated sales forecasts.  The reduction was recorded in SG&A in the SPD segment.  There were no changes to the liability during the first quarter of 2019 and the liability will be assessed for re-measurement at each balance sheet date leading up to December 31, 2019.  

In connection with the Passport Acquisition, the Company is obligated to pay an additional amount of up to $25.0 based on sales performance through 2020.  The initial fair value of this contingent liability was $7.3, which was established in the purchase price allocation.  There were no changes to the liability during the first quarter of 2019 and the liability will be assessed for re-measurement at each balance sheet date leading up to December 31, 2020.

Legal proceedings

e. The Company has been named as a defendant in a breach of contract action filed by Scantibodies Laboratory, Inc. (the “Plaintiff”) on April 1, 2014, in the U.S. District Court for the Southern District of New York.  

The complaint alleges, among other things, that the Company (i) breached two agreements for the manufacture and supply of pregnancy and ovulation test kits by switching suppliers, (ii) failed to give Plaintiff the proper notice, (iii) failed to reimburse Plaintiff for costs and expenses under the agreements and (iv) misrepresented its future requirements.  The complaint seeks compensatory and punitive damages in an amount in excess of $20.0, as well as declaratory relief, statutory prejudgment interest and attorneys’ fees and costs.

The Company is vigorously defending itself in this matter.  On September 19, 2018, the court granted the Company’s motion for summary judgment, dismissing all claims brought by the Plaintiff.  The Plaintiff has filed an appeal.  

In connection with this matter, the Company has reserved an amount that is immaterial.  However, it is reasonably possible that the Company may ultimately be required to pay all or substantially all of the damages and other amounts sought by Plaintiff in the event the summary judgment entered in favor of the Company is reversed.  

f. In addition, in conjunction with the Company’s acquisition and divestiture activities, the Company entered into select guarantees and indemnifications of performance with respect to the fulfillment of the Company’s commitments under applicable purchase and sale agreements.  The arrangements generally indemnify the buyer or seller for damages associated with breach of contract, inaccuracies in representations and warranties surviving the closing date and satisfaction of liabilities and commitments retained under the applicable contract.  Representations and warranties that survive the closing date generally survive for periods up to five years or the expiration of the applicable statutes of limitations.  Potential losses under the indemnifications are generally limited to a portion of the original transaction price, or to other lesser specific dollar amounts for select provisions.  With respect to sale transactions, the Company also routinely enters into non-competition agreements for varying periods of time.  Guarantees and indemnifications with respect to acquisition and divestiture activities, if triggered, could have a materially adverse impact on the Company’s financial condition, results of operations and cash flows.

g. In addition to the matters described above, from time to time in the ordinary course of its business the Company is the subject of, or party to, various pending or threatened legal, regulatory or governmental actions or other proceedings, including, without limitation, those relating to, intellectual property, commercial transactions, product liability, purported consumer class actions, employment matters, antitrust, environmental, health, safety and other compliance related matters.  Such proceedings are generally subject to considerable uncertainty and their outcomes, and any related damages, may not be reasonably predictable or estimable.   While any such proceedings could result in an adverse outcome for the Company, any such adverse outcome is not expected to have a material adverse effect on the Company’s business, financial condition, results of operations or cash flows.  

XML

Related Party Transactions

3 Months Ended

Mar. 31, 2019

Related Party Transactions [Abstract]

Related Party Transactions

17. Related Party Transactions

The following summarizes the balances and transactions between the Company and Armand Products Company (“Armand”) and The ArmaKleen Company (“ArmaKleen”), in each of which the Company holds a 50% ownership interest:   

	Armand				ArmaKleen
	Three Months Ended				Three Months Ended
	March 31,		March 31,		March 31,		March 31,
	2019		2018		2019		2018
Purchases by Company	$	2.8	$	3.5	$	0.0	$	0.0
Sales by Company	$	0.0	$	0.0	$	0.3	$	0.3
Outstanding Accounts Receivable	$	0.5	$	0.3	$	0.8	$	0.7
Outstanding Accounts Payable	$	1.0	$	1.2	$	0.0	$	0.0
Administration & Management Oversight Services (1)	$	0.6	$	0.6	$	0.5	$	0.5

⁽¹⁾ Billed by the Company and recorded as a reduction of SG&A expenses.

XML

Segments

3 Months Ended

Mar. 31, 2019

Segment Reporting [Abstract]

Segments

18. Segments

Segment Information

The Company operates three reportable segments: Consumer Domestic, Consumer International and SPD.  These segments are determined based on differences in the nature of products and organizational and ownership structures.  The Company also has a Corporate segment.

Segment revenues are derived from the sale of the following products:

Segment	Products
Consumer Domestic	Household and personal care products
Consumer International	Primarily personal care products
SPD	Specialty chemical products

The Corporate segment income consists of equity in earnings of affiliates.  As of March 31, 2019, the Company held 50% ownership interests in each of Armand and ArmaKleen, respectively.  The Company’s equity in earnings of Armand and ArmaKleen for the three months ended March 31, 2019 and 2018 are included in the Corporate segment.  

Certain subsidiaries that are included in the Consumer International segment manufacture and sell personal care products to the Consumer Domestic segment.  These sales are eliminated from the Consumer International segment results set forth in the table below.

Segment Net Sales and Income before Income Taxes are as follows: 

	Consumer		Consumer
	Domestic		International		SPD		Corporate		Total
Net Sales(1)
First Quarter 2019	$	784.9	$	186.7	$	73.1	$	0.0	$	1,044.7
First Quarter 2018		751.4		180.7		73.9		0.0		1,006.0
Income before Income Taxes(2)
First Quarter 2019	$	182.7	$	28.4	$	12.3	$	1.7	$	225.1
First Quarter 2018		159.3		27.7		11.6		2.1		200.7

^{(1) Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively}

^{(2) In determining Income before Income Taxes, interest expense, investment earnings and certain aspects of other income and expense were allocated among segments based upon each segment’s relative Income from Operations.}

Product line revenues from external customers are as follows:  

	Three Months Ended
	March 31,		March 31,
	2019		2018
Household Products	$	443.3	$	413.0
Personal Care Products		341.6		338.4
Total Consumer Domestic		784.9		751.4
Total Consumer International		186.7		180.7
Total SPD		73.1		73.9
Total Consolidated Net Sales	$	1,044.7	$	1,006.0

Household Products include laundry, deodorizing and cleaning products.  Personal Care Products include condoms, pregnancy kits, oral care products, skin care and hair care products and gummy dietary supplements.  

XML

Subsequent Event

3 Months Ended

Mar. 31, 2019

Subsequent Events [Abstract]

Subsequent Event

19. Subsequent Event

Flawless Acquisition

On May 1, 2019, the Company closed on its previously announced acquisition of the FLAWLESS™ and FINISHING TOUCH™ hair removal business (the “Flawless Acquisition”) from Ideavillage Products Corporation. The Company paid $475.0 at closing and will make an additional earn-out payment up to a maximum of $425.0 in cash, based on a trailing twelve-month net sales target ending no later than December 31, 2021. The transaction was funded with a three-year term loan and commercial paper borrowings. The Company anticipates there will be a four-month integration transition period in which the net cash received from Ideavillage will be accounted for as other revenue as a component of net sales. The Company will purchase the inventory following the transition period. FLAWLESS will be accounted for in the Consumer Domestic and Consumer International segments and represents an addition to our specialty haircare portfolio which includes BATISTE dry shampoo, VIVISCAL hair thinning supplements, and TOPPIK hair fibers.

The preliminary fair values of the net assets acquired are set forth as follows:

	Flawless
	Acquisition Date
	Preliminary
	Fair Value
Trade names and other intangibles	$	559.0
Goodwill		98.0
Contingent consideration		(182.0	)
Cash purchase price	$	475.0

The goodwill and other intangible assets associated with the Flawless Acquisition is deductible for U.S. tax purposes.  Pro forma results are not presented because the impact of the acquisition is not material to the Company’s consolidated financial results.

Amended Credit Agreement

On May 1, 2019, the Company amended its $1,000.0 unsecured revolving credit facility (the “Credit Agreement”) to extend the term of the Credit Agreement from March 29, 2023 to March 29, 2024.  Under the Credit Agreement, the Company continues to have the ability to increase its borrowing up to an additional $600.0, subject to lender commitments and certain conditions as described in the Credit Agreement.  Borrowings under the Credit Agreement are available for general corporate purposes and are used to support the Company’s $1,000.0 commercial paper program. 

New Term Loan

On May 1, 2019, the Company entered into a new $300.0 unsecured term loan credit facility with various banks, the proceeds of which were used to partially fund the Flawless Acquisition.  Unless prepaid, the loan is due on May 1, 2022.  The interest rate is LIBOR plus an applicable margin based on the Company’s credit rating, which can range from 60 bps to 113 bps.

XML

New Accounting Pronouncements (Tables)

3 Months Ended

Mar. 31, 2019

Accounting Changes And Error Corrections [Abstract]

Schedule of New Accounting Pronouncements and Changes in Accounting Principles

The effects of the recently adopted lease accounting standard to the Company’s condensed consolidated balance sheet as of January 1, 2019 is as follows:

	Balance at		New Lease			Balance at
	December 31,		Standard			January 1,
	2018		Adjustment			2019
Property, plant and equipment, net	$	598.2	$	(35.2	)	$	563.0
Other assets		117.4		107.5			224.9
Accounts payable and accrued expenses		725.1		13.6			738.7
Deferred and other long-term liabilities		203.9		41.3			245.2
Deferred income taxes		576.4		4.4			580.8
Retained earnings		3,832.6		13.0			3,845.6

XML

Inventories (Tables)

3 Months Ended

Mar. 31, 2019

Inventory Disclosure [Abstract]

Components of Inventories

Inventories consist of the following:

	March 31,		December 31,
	2019		2018
Raw materials and supplies	$	81.7	$	84.4
Work in process		36.1		34.1
Finished goods		281.7		264.3
Total	$	399.5	$	382.8

XML

Property, Plant and Equipment, Net ("PP&E") (Tables)

3 Months Ended

Mar. 31, 2019

Property Plant And Equipment [Abstract]

Components of Property, Plant and Equipment

PP&E consists of the following:

	March 31,		December 31,
	2019		2018
Land	$	27.8	$	27.8
Buildings and improvements		250.8		301.3
Machinery and equipment		726.9		716.7
Software		99.0		97.9
Office equipment and other assets		75.6		73.8
Construction in progress		46.8		49.7
Gross PP&E		1,226.9		1,267.2
Less accumulated depreciation and amortization		668.1		669.0
Net PP&E	$	558.8	$	598.2

	Three Months Ended
	March 31,		March 31,
	2019		2018
Depreciation and amortization on PP&E	$	15.8	$	16.4

XML

Earnings Per Share ("EPS") (Tables)

3 Months Ended

Mar. 31, 2019

Earnings Per Share [Abstract]

Reconciliation Of Weighted Average Number Of Common Shares Outstanding

The following table sets forth a reconciliation of the weighted average number of shares of Common Stock outstanding to the weighted average number of shares outstanding on a diluted basis:

	Three Months Ended
	March 31,		March 31,
	2019		2018
Weighted average common shares outstanding -  basic		246.1		244.9
Dilutive effect of stock options		5.8		5.1
Weighted average common shares outstanding - diluted		251.9		250.0
Antidilutive stock options outstanding		0.1		3.1

XML

Stock Based Compensation Plans (Tables)

3 Months Ended

Mar. 31, 2019

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Summary of Option Activity

The following table provides a summary of option activity:

						Weighted
				Weighted		Average
				Average		Remaining		Aggregate
				Exercise		Contractual		Intrinsic
	Options			Price		Term		Value
Outstanding at December 31, 2018		14.7		$	37.63
Exercised		(0.7	)		28.49
Outstanding at March 31, 2019		14.0		$	38.00		5.4	$	465.4
Exercisable at March 31, 2019		8.9		$	30.90		4.1	$	357.6

Information Regarding Intrinsic Value of Stock Options Exercised and Stock Compensation Expense Related to Stock Option Awards

The following table provides information regarding the intrinsic value of stock options exercised and stock compensation expense related to stock option awards:  

	Three Months Ended
	March 31,		March 31,
	2019		2018
Intrinsic Value of Stock Options Exercised	$	24.1	$	30.0
Stock Compensation Expense Related to Stock Option Awards	$	2.3	$	2.7

XML

Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2019

Fair Value Disclosures [Abstract]

Carrying Amounts and Estimated Fair Values of Other Financial Instruments

The following table presents the carrying amounts and estimated fair values of the Company’s other financial instruments at March 31, 2019 and December 31, 2018:

		March 31, 2019						December 31, 2018
	Input	Carrying			Fair			Carrying			Fair
	Level	Amount			Value			Amount			Value
Financial Assets:
Cash equivalents	Level 1	$	52.9		$	52.9		$	234.6		$	234.6
Financial Liabilities:
Short-term borrowings	Level 2		99.8			99.8			1.8			1.8
Floating Rate Senior notes due January 25, 2019	Level 2		0.0			0.0			300.0			299.9
2.45% Senior notes due December 15, 2019	Level 2		300.0			298.7			300.0			297.4
2.45% Senior notes due August 1, 2022	Level 2		299.8			293.8			299.7			289.7
2.875% Senior notes due October 1, 2022	Level 2		399.9			397.1			399.9			393.0
3.15% Senior notes due August 1, 2027	Level 2		424.6			408.9			424.6			400.0
3.95% Senior notes due August 1, 2047	Level 2		397.2			379.7			397.2			363.7
Contingent consideration	Level 3		23.0			23.0			23.0			23.0
Fair value adjustment asset (liability) related to hedged fixed rate    debt instrument	Level 2		(1.9	)		(1.9	)		(3.0	)		(3.0	)
Interest Rate Swap Lock Agreement	Level 2		(14.5	)		(14.5	)		(7.0	)		(7.0	)

XML

Derivative Instruments and Risk Management (Tables)

3 Months Ended

Mar. 31, 2019

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts

The notional amount of a derivative instrument is the nominal or face amount used to calculate payments made on that instrument.  Notional amounts are presented in the following table:

	Notional		Notional
	Amount		Amount
	March 31, 2019		December 31, 2018
Derivatives designated as hedging instruments
Foreign exchange contracts	$	215.8	$	146.6
Interest rate swap	$	300.0	$	300.0
Interest rate swap lock	$	300.0	$	250.0
Diesel fuel contracts	7.0 gallons		8.2 gallons
Commodities contracts	79.5 pounds		94.7 pounds
Derivatives not designated as hedging instruments
Equity derivatives	$	21.7	$	21.0

XML

Acquisition (Tables)

3 Months Ended

Mar. 31, 2019

Passport Food Safety Solutions, Inc.

Fair Values of Assets Acquired

The fair values of the net assets acquired are set forth as follows:

	Passport
	Acquisition Date
	Fair Value
Inventory and other working capital	$	3.3
Long-term assets		1.0
Trade names and other intangibles		28.5
Goodwill		32.5
Current liabilities		(1.1	)
Long-term liabilities		(7.1	)
Contingent consideration		(7.3	)
Cash purchase price (net of cash acquired)	$	49.8

XML

Goodwill and Other Intangibles, Net (Tables)

3 Months Ended

Mar. 31, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Amortizable Intangible Assets

The following table provides information related to the carrying value of all intangible assets, other than goodwill:

	March 31, 2019								December 31, 2018
	Gross							Amortization	Gross
	Carrying		Accumulated					Period	Carrying		Accumulated
	Amount		Amortization			Net		(Years)	Amount		Amortization			Net
Amortizable intangible assets:
Trade Names	$	578.4	$	(182.6	)	$	395.8	3-20	$	578.6	$	(175.2	)	$	403.4
Customer Relationships		506.3		(228.5	)		277.8	15-20		506.3		(220.8	)		285.5
Patents/Formulas		165.4		(63.9	)		101.5	4-20		165.4		(61.5	)		103.9
Non-Compete Agreement		0.4		(0.3	)		0.1	5-10		0.4		(0.3	)		0.1
Total	$	1,250.5	$	(475.3	)	$	775.2		$	1,250.7	$	(457.8	)	$	792.9

Indefinite Lived Intangible Assets

Indefinite Lived Intangible Assets - Gross Carrying Amount  

	March 31,		December 31,
	2019		2018
Trade Names	$	1,481.1	$	1,481.1

Carrying Amount of Goodwill

The carrying amount of goodwill is as follows:

	Consumer		Consumer		Specialty
	Domestic		International		Products		Total
Balance at December 31, 2018	$	1,633.2	$	223.7	$	136.0	$	1,992.9
Balance at March 31, 2019	$	1,633.2	$	223.7	$	136.0	$	1,992.9

XML

Leases (Tables)

3 Months Ended

Mar. 31, 2019

Leases [Abstract]

Summary Of Lease Information

A summary of the Company’s lease information is as follows:  

		March 31,
	Classification	2019
Assets
Right of use assets	Other Assets	$	104.7
Liabilities
Current lease liabilities	Accounts Payable and Accrued Expenses	$	17.3
Long-term lease liabilities	Deferred and Other Long-term Liabilities		96.4
Total lease liabilities		$	113.7
Other information
Weighted-average remaining lease term (years)			9.7
Weighted-average discount rate			5.7	%

	Three Months
	Ended
	March 31, 2019
Statement of Income
Lease cost(1)	$	5.6
Other information
Leased assets obtained in exchange for new lease liabilities	$	1.3
Cash paid for amounts included in the measurement of lease liabilities	$	6.0

⁽¹⁾ Lease expense is included in cost of sales or selling, general and administrative expenses based on the nature of the lease.  Short term lease expense is excluded from this amount and is not material.  The Company also has certain variable leases which are not material.  The noncash component of lease expense is included in the Amortization caption in the Statement of Cash Flows. 

Summary of Minimum Annual Rentals Including Reasonably Assured Renewal Options under Lease Agreements

The Company’s minimum annual rentals including reasonably assured renewal options under lease agreements are as follows:

	Operating
	Leases
2019	$	17.3
2020		21.0
2021		18.5
2022		17.2
2023		11.1
2024 and thereafter		65.7
Total future minimum lease commitments		150.8
Less: Imputed Interest		(37.1	)
Present value of lease liabilities	$	113.7

XML

Accounts Payable and Accrued Expenses (Tables)

3 Months Ended

Mar. 31, 2019

Payables And Accruals [Abstract]

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consist of the following:

	March 31,		December 31,
	2019		2018
Trade accounts payable	$	434.8	$	430.2
Accrued marketing and promotion costs		110.1		116.2
Accrued wages and related benefit costs		34.6		84.2
Other accrued current liabilities		119.6		94.5
Total	$	699.1	$	725.1

XML

Short-Term Borrowings and Long-Term Debt (Tables)

3 Months Ended

Mar. 31, 2019

Debt Disclosure [Abstract]

Components of Short-Term Borrowings and Long-Term Debt

Short-term borrowings and long-term debt consist of the following:

	March 31,			December 31,
	2019			2018
Short-term borrowings
Commercial paper issuances	$	98.0		$	0.0
Various debt due to international banks		1.8			1.8
Total short-term borrowings	$	99.8		$	1.8
Long-term debt
Floating Rate Senior notes due January 25, 2019	$	0.0		$	300.0
2.45% Senior notes due December 15, 2019		300.0			300.0
2.45% Senior notes due August 1, 2022		300.0			300.0
Less: Discount		(0.2	)		(0.3	)
2.875% Senior notes due October 1, 2022		400.0			400.0
Less: Discount		(0.1	)		(0.1	)
3.15% Senior notes due August 1, 2027		425.0			425.0
Less: Discount		(0.4	)		(0.4	)
3.95% Senior notes due August 1, 2047		400.0			400.0
Less: Discount		(2.8	)		(2.8	)
Debt issuance costs, net		(12.5	)		(13.1	)
Fair value adjustment asset (liability) related to hedged fixed rate debt instrument		(1.9	)		(3.0	)
Total long-term debt		1,807.1			2,105.3
Less: current maturities		(297.7	)		(596.5	)
Net long-term debt	$	1,509.4		$	1,508.8

XML

Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

Components of Changes in Accumulated Other Comprehensive Income (Loss)

The components of changes in accumulated other comprehensive income (loss) are as follows:  

										Accumulated
	Foreign			Defined						Other
	Currency			Benefit			Derivative			Comprehensive
	Adjustments			Plans			Agreements			Income (Loss)
Balance at December 31, 2017	$	(31.6	)	$	(0.6	)	$	(4.2	)	$	(36.4	)
Adoption of new accounting pronouncement		(0.3	)		0.1			(0.4	)		(0.6	)
Other comprehensive income (loss) before reclassifications		3.5			0.0			0.1			3.6
Amounts reclassified to consolidated statement of    income (a)		0.0			0.0			(0.1	)		(0.1	)
Tax benefit (expense)		0.0			0.0			(0.2	)		(0.2	)
Other comprehensive income (loss)		3.5			0.0			(0.2	)		3.3
Balance at March 31, 2018	$	(28.4	)	$	(0.5	)	$	(4.8	)	$	(33.7	)
Balance at December 31, 2018	$	(42.5	)	$	0.9		$	(12.0	)	$	(53.6	)
Other comprehensive income (loss) before reclassifications		1.8			0.0			(10.4	)		(8.6	)
Amounts reclassified to consolidated statement of    income (a)		0.0			0.0			0.0			0.0
Tax benefit (expense)		0.0			0.0			2.7			2.7
Other comprehensive income (loss)		1.8			0.0			(7.7	)		(5.9	)
Balance at March 31, 2019	$	(40.7	)	$	0.9		$	(19.7	)	$	(59.5	)

(a) Amounts reclassified to cost of sales or interest expense.  

XML

Related Party Transactions (Tables)

3 Months Ended

Mar. 31, 2019

Related Party Transactions [Abstract]

Schedule of Related Party Transactions

The following summarizes the balances and transactions between the Company and Armand Products Company (“Armand”) and The ArmaKleen Company (“ArmaKleen”), in each of which the Company holds a 50% ownership interest:   

	Armand				ArmaKleen
	Three Months Ended				Three Months Ended
	March 31,		March 31,		March 31,		March 31,
	2019		2018		2019		2018
Purchases by Company	$	2.8	$	3.5	$	0.0	$	0.0
Sales by Company	$	0.0	$	0.0	$	0.3	$	0.3
Outstanding Accounts Receivable	$	0.5	$	0.3	$	0.8	$	0.7
Outstanding Accounts Payable	$	1.0	$	1.2	$	0.0	$	0.0
Administration & Management Oversight Services (1)	$	0.6	$	0.6	$	0.5	$	0.5

⁽¹⁾ Billed by the Company and recorded as a reduction of SG&A expenses.

XML

Segments (Tables)

3 Months Ended

Mar. 31, 2019

Segment Reporting [Abstract]

Selected Financial Information Relating To Company's Segments

Segment Net Sales and Income before Income Taxes are as follows: 

	Consumer		Consumer
	Domestic		International		SPD		Corporate		Total
Net Sales(1)
First Quarter 2019	$	784.9	$	186.7	$	73.1	$	0.0	$	1,044.7
First Quarter 2018		751.4		180.7		73.9		0.0		1,006.0
Income before Income Taxes(2)
First Quarter 2019	$	182.7	$	28.4	$	12.3	$	1.7	$	225.1
First Quarter 2018		159.3		27.7		11.6		2.1		200.7

^{(1) Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively}

^{(2) In determining Income before Income Taxes, interest expense, investment earnings and certain aspects of other income and expense were allocated among segments based upon each segment’s relative Income from Operations.}

Product Line Revenues From External Customers

Product line revenues from external customers are as follows:  

	Three Months Ended
	March 31,		March 31,
	2019		2018
Household Products	$	443.3	$	413.0
Personal Care Products		341.6		338.4
Total Consumer Domestic		784.9		751.4
Total Consumer International		186.7		180.7
Total SPD		73.1		73.9
Total Consolidated Net Sales	$	1,044.7	$	1,006.0

XML

Subsequent Event (Tables)

3 Months Ended

Mar. 31, 2019

Flawless Acquisition

Fair Values of Assets Acquired

The preliminary fair values of the net assets acquired are set forth as follows:

	Flawless
	Acquisition Date
	Preliminary
	Fair Value
Trade names and other intangibles	$	559.0
Goodwill		98.0
Contingent consideration		(182.0	)
Cash purchase price	$	475.0

XML

Basis of Presentation - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Research and development expenses	$ 20.7	$ 19.5

XML

New Accounting Pronouncements - Additional Information (Details) - USD ($) $ in Millions	Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Operating lease, right of use assets	$ 104.7	$ 107.0	$ 55.0
Operating lease, liability	113.7	109.0	57.0
Deferred rent			2.0
Property, Plant and Equipment, Net	558.8	563.0	598.2
Deferred Income Taxes	580.5	580.8	576.4
Retained earnings	$ 3,965.4	3,845.6	3,832.6
Cease-use liability			7.0
ASU 840
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Operating lease, right of use assets			52.0
Property, Plant and Equipment, Net		(35.2)	35.0
Deferred Income Taxes		4.4	4.0
Retained earnings		$ 13.0	$ 13.0

XML

Summary of Adjustments to Balance Sheet due to Adoption of Guidance (Details) - USD ($) $ in Millions	Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Property, Plant and Equipment, Net	$ 558.8	$ 563.0	$ 598.2
Other Assets	229.5	224.9	117.4
Accounts payable and accrued expenses	699.1	738.7	725.1
Deferred and Other Long-term Liabilities	238.1	245.2	203.9
Deferred Income Taxes	580.5	580.8	576.4
Retained earnings	$ 3,965.4	3,845.6	3,832.6
ASU 2016-02
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Property, Plant and Equipment, Net		(35.2)	35.0
Other Assets		107.5
Accounts payable and accrued expenses		13.6
Deferred and Other Long-term Liabilities		41.3
Deferred Income Taxes		4.4	4.0
Retained earnings		$ 13.0	$ 13.0

XML

Components of Inventories (Details) - USD ($) $ in Millions	Mar. 31, 2019	Dec. 31, 2018
Inventory, Finished Goods and Work in Process, Net of Reserves [Abstract]
Raw materials and supplies	$ 81.7	$ 84.4
Work in process	36.1	34.1
Finished goods	281.7	264.3
Total	$ 399.5	$ 382.8

XML

Components of Property, Plant and Equipment (Details) - USD ($) $ in Millions	Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
Property, Plant and Equipment [Line Items]
Gross PP&E	$ 1,226.9		$ 1,267.2
Less accumulated depreciation and amortization	668.1		669.0
Net PP&E	558.8	$ 563.0	598.2
Land
Property, Plant and Equipment [Line Items]
Gross PP&E	27.8		27.8
Building and Building Improvements
Property, Plant and Equipment [Line Items]
Gross PP&E	250.8		301.3
Machinery and Equipment
Property, Plant and Equipment [Line Items]
Gross PP&E	726.9		716.7
Software
Property, Plant and Equipment [Line Items]
Gross PP&E	99.0		97.9
Office equipment and other assets
Property, Plant and Equipment [Line Items]
Gross PP&E	75.6		73.8
Construction in progress
Property, Plant and Equipment [Line Items]
Gross PP&E	$ 46.8		$ 49.7

XML

Depreciation and Interest Charges on Property, Plant and Equipment (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Property Plant And Equipment [Abstract]
Depreciation and amortization on PP&E	$ 15.8	$ 16.4

XML

Reconciliation of Weighted Average Number of Shares of Common Stock Outstanding (Details) - shares shares in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Earnings Per Share [Abstract]
Weighted average common shares outstanding - basic	246.1	244.9
Dilutive effect of stock options	5.8	5.1
Weighted average common shares outstanding - diluted	251.9	250.0
Antidilutive stock options outstanding	0.1	3.1

XML

Summary of Option Activity (Details) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2019 USD ($) $ / shares shares
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Beginning Balance, Options | shares	14.7
Exercised, Options | shares	(0.7)
Ending Balance, Options | shares	14.0
Exercisable at March 31, 2019, Options | shares	8.9
Beginning Balance, Weighted-Average Exercise Price | $ / shares	$ 37.63
Exercised, Weighted-Average Exercise Price | $ / shares	28.49
Ending Balance, Weighted-Average Exercise Price | $ / shares	38.00
Exercisable at March 31, 2019, Weighted-Average Exercise Price | $ / shares	$ 30.90
Outstanding at March 31, 2019, Weighted-Average Remaining Contractual Term, years	5 years 4 months 24 days
Exercisable at March 31, 2019, Weighted-Average Remaining Contractual Term, years	4 years 1 month 6 days
Outstanding at March 31, 2019, Aggregate Intrinsic Value | $	$ 465.4
Exercisable at March 31, 2019, Aggregate Intrinsic Value | $	$ 357.6

XML

Schedule of Share Based Compensation Stock Options (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Intrinsic Value of Stock Options Exercised	$ 24.1	$ 30.0
Stock Compensation Expense Related to Stock Option Awards	$ 2.3	$ 2.7

XML

Share Repurchases - Additional Information (Details) - USD ($) $ in Millions	1 Months Ended
	Jan. 31, 2019	Nov. 01, 2017
Other Liabilities Disclosure [Abstract]
Stock repurchase program, authorized amount		$ 500.0
Open market share repurchase	$ 100.0

XML

Carrying Amounts and Estimated Fair Values of Other Financial Instruments (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Short-term borrowings	$ 99.8	$ 1.8
Senior Notes	1,807.1	2,105.3
Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Cash equivalents	52.9	234.6
Short-term borrowings	99.8	1.8
Contingent consideration	23.0	23.0
Fair value adjustment asset (liability) related to hedged fixed rate debt instrument	(1.9)	(3.0)
Fair Value | Fair Value, Inputs, Level 1
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Cash equivalents	52.9	234.6
Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Fair value adjustment asset (liability) related to hedged fixed rate debt instrument	(1.9)	(3.0)
Short-term borrowings	99.8	1.8
Fair Value | Fair Value, Inputs, Level 3
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Contingent consideration	23.0	23.0
Interest Rate Swap Lock Agreement | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest Rate Swap Lock Agreement	(14.5)	(7.0)
Interest Rate Swap Lock Agreement | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest Rate Swap Lock Agreement	(14.5)	(7.0)
Floating Rate Senior notes due January 25, 2019 | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior Notes	0.0	300.0
Floating Rate Senior notes due January 25, 2019 | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior notes	0.0	299.9
2.45% Senior notes due December 15, 2019 | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior Notes	300.0	300.0
2.45% Senior notes due December 15, 2019 | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior notes	298.7	297.4
2.45% Senior notes due August 1, 2022 | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior Notes	299.8	299.7
2.45% Senior notes due August 1, 2022 | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior notes	293.8	289.7
2.875% Senior notes due October 1, 2022 | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior Notes	399.9	399.9
2.875% Senior notes due October 1, 2022 | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior notes	397.1	393.0
3.15% Senior notes due August 1, 2027 | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior Notes	424.6	424.6
3.15% Senior notes due August 1, 2027 | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior notes	408.9	400.0
3.95% Senior notes due August 1, 2047 | Carrying Amount
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior Notes	397.2	397.2
3.95% Senior notes due August 1, 2047 | Fair Value | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Senior notes	$ 379.7	$ 363.7

XML

Carrying Amounts and Estimated Fair Values of Other Financial Instruments (Parenthetical) (Details)	Mar. 31, 2019	Dec. 31, 2018
2.45% Senior notes due December 15, 2019
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	2.45%	2.45%
2.45% Senior notes due December 15, 2019 | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	2.45%	2.45%
2.45% Senior notes due August 1, 2022
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	2.45%	2.45%
2.45% Senior notes due August 1, 2022 | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	2.45%	2.45%
2.875% Senior notes due October 1, 2022
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	2.875%	2.875%
2.875% Senior notes due October 1, 2022 | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	2.875%	2.875%
3.15% Senior notes due August 1, 2027
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	3.15%	3.15%
3.15% Senior notes due August 1, 2027 | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	3.15%	3.15%
3.95% Senior notes due August 1, 2047
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	3.95%	3.95%
3.95% Senior notes due August 1, 2047 | Fair Value, Inputs, Level 2
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate of debt	3.95%	3.95%

XML

Schedule of Notional Amounts (Details) lb in Millions, gal in Millions, $ in Millions	Mar. 31, 2019 USD ($) gal lb	Dec. 31, 2018 USD ($) gal lb
Designated as Hedging Instrument | Foreign Exchange Contract
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Derivatives, Notional Amount	$ 215.8	$ 146.6
Designated as Hedging Instrument | Interest Rate Swaps
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Derivatives, Notional Amount	300.0	300.0
Designated as Hedging Instrument | Interest Rate Swap Lock
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Derivatives, Notional Amount	$ 300.0	$ 250.0
Designated as Hedging Instrument | Diesel fuel contracts
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Derivatives, Notional Amount, Volume | gal	7.0	8.2
Designated as Hedging Instrument | Commodities Contracts
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Derivatives, Notional Amount, Volume | lb	79.5	94.7
Not Designated as Hedging Instrument | Equity derivatives
Derivative Instruments And Hedging Activities Disclosures [Line Items]
Derivatives, Notional Amount	$ 21.7	$ 21.0

XML

Acquisition - Additional Information (Details) - USD ($) $ in Millions			3 Months Ended		12 Months Ended
		Mar. 08, 2018	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2017
Business Acquisition [Line Items]
Net Sales	[1]		$ 1,044.7	$ 1,006.0
Passport Food Safety Solutions, Inc.
Business Acquisition [Line Items]
Purchase price subject to working capital adjustment		$ 50.0
Date of business acquisition			Mar. 08, 2018
Contingent consideration arrangements, basis for amount			additional payment of up to $25.0 based on sales performance through 2020
Net Sales					$ 21.0
Passport Food Safety Solutions, Inc. | Minimum
Business Acquisition [Line Items]
Average life of the amortizable intangible assets, years		10 years
Passport Food Safety Solutions, Inc. | Maximum
Business Acquisition [Line Items]
Additional earn-out payment		$ 25.0	$ 25.0
Average life of the amortizable intangible assets, years		15 years

[1] Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively

XML

Fair Values of Net Assets Acquired (Details) - USD ($) $ in Millions	Mar. 31, 2019	Dec. 31, 2018	Mar. 08, 2018
Business Acquisition [Line Items]
Goodwill	$ 1,992.9	$ 1,992.9
Passport Food Safety Solutions, Inc.
Business Acquisition [Line Items]
Inventory and other working capital			$ 3.3
Long-term assets			1.0
Trade names and other intangibles			28.5
Goodwill			32.5
Current liabilities			(1.1)
Long-term liabilities			(7.1)
Contingent consideration	$ (7.3)		(7.3)
Cash purchase price (net of cash acquired)			$ 49.8

XML

Amortizable Intangible Assets (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 1,250.5	$ 1,250.7
Accumulated Amortization	(475.3)	(457.8)
Net	775.2	792.9
Trade Names
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	578.4	578.6
Accumulated Amortization	(182.6)	(175.2)
Net	$ 395.8	403.4
Trade Names | Minimum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	3 years
Trade Names | Maximum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	20 years
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 506.3	506.3
Accumulated Amortization	(228.5)	(220.8)
Net	$ 277.8	285.5
Customer Relationships | Minimum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	15 years
Customer Relationships | Maximum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	20 years
Patents
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 165.4	165.4
Accumulated Amortization	(63.9)	(61.5)
Net	$ 101.5	103.9
Patents | Minimum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	4 years
Patents | Maximum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	20 years
Noncompete Agreements
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 0.4	0.4
Accumulated Amortization	(0.3)	(0.3)
Net	$ 0.1	$ 0.1
Noncompete Agreements | Minimum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	5 years
Noncompete Agreements | Maximum
Finite-Lived Intangible Assets [Line Items]
Amortization Period (Years)	10 years

XML

Indefinite Lived Intangible Assets (Details) - USD ($) $ in Millions	Mar. 31, 2019	Dec. 31, 2018
Trade Names
Indefinite-lived Intangible Assets [Line Items]
Gross Carrying Amount, Trade names	$ 1,481.1	$ 1,481.1

XML

Goodwill and Other Intangibles, Net - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Amortization expense of intangible assets	$ 17.6	$ 18.0
Estimated amortization expense, 2019	70.0
Maximum
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Estimated amortization expense, 2020	68.0
Estimated amortization expense, 2021	68.0
Estimated amortization expense, 2022	68.0
Estimated amortization expense, 2023	68.0
Estimated amortization expense, 2024	68.0
Minimum
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Estimated amortization expense, 2020	59.0
Estimated amortization expense, 2021	59.0
Estimated amortization expense, 2022	59.0
Estimated amortization expense, 2023	59.0
Estimated amortization expense, 2024	$ 59.0

XML

Carrying Amount of Goodwill (Details) $ in Millions	Mar. 31, 2019 USD ($)
Goodwill [Line Items]
Beginning balance	$ 1,992.9
Ending balance	1,992.9
Consumer Domestic
Goodwill [Line Items]
Beginning balance	1,633.2
Ending balance	1,633.2
Consumer International
Goodwill [Line Items]
Beginning balance	223.7
Ending balance	223.7
Specialty Products
Goodwill [Line Items]
Beginning balance	136.0
Ending balance	$ 136.0

XML

Summary of Lease Information (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
Leases [Abstract]
Right of use assets		$ 104.7	$ 107.0	$ 55.0
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]		us-gaap:OtherAssetsNoncurrent
Current lease liabilities		$ 17.3
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List]		us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent
Long-term lease liabilities		$ 96.4
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]		us-gaap:OtherLiabilitiesNoncurrent
Total lease liabilities		$ 113.7	$ 109.0	$ 57.0
Weighted-average remaining lease term (years)		9 years 8 months 12 days
Weighted-average discount rate		5.70%
Lease cost	[1]	$ 5.6
Leased assets obtained in exchange for new lease liabilities		1.3
Cash paid for amounts included in the measurement of lease liabilities		$ 6.0

[1] Lease expense is included in cost of sales or selling, general and administrative expenses based on the nature of the lease.  Short term lease expense is excluded from this amount and is not material.  The Company also has certain variable leases which are not material.  The noncash component of lease expense is included in the Amortization caption in the Statement of Cash Flows.

XML

Summary of Minimum Annual Rentals Including Reasonably Assured Renewal Options under Lease Agreements (Details) - USD ($) $ in Millions	Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
Operating Leases
2019	$ 17.3
2020	21.0
2021	18.5
2022	17.2
2023	11.1
2024 and thereafter	65.7
Total future minimum lease commitments	150.8
Less: Imputed Interest	(37.1)
Present value of lease liabilities	$ 113.7	$ 109.0	$ 57.0

XML

Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Millions	Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
Accounts Payable and Accrued Liabilities, Current [Abstract]
Trade accounts payable	$ 434.8		$ 430.2
Accrued marketing and promotion costs	110.1		116.2
Accrued wages and related benefit costs	34.6		84.2
Other accrued current liabilities	119.6		94.5
Total	$ 699.1	$ 738.7	$ 725.1

XML

Summary of Short-Term Borrowings and Long-Term Debt (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Short-term borrowings
Commercial paper issuances	$ 98.0	$ 0.0
Various debt due to international banks	1.8	1.8
Total short-term borrowings	99.8	1.8
Long-term debt
Debt issuance costs, net	(12.5)	(13.1)
Fair value adjustment asset (liability) related to hedged fixed rate debt instrument	(1.9)	(3.0)
Total long-term debt	1,807.1	2,105.3
Less: current maturities	(297.7)	(596.5)
Net long-term debt	1,509.4	1,508.8
Floating Rate Senior notes due January 25, 2019
Long-term debt
Senior notes	0.0	300.0
2.45% Senior notes due December 15, 2019
Long-term debt
Senior notes	300.0	300.0
2.45% Senior notes due August 1, 2022
Long-term debt
Senior notes	300.0	300.0
Less: Discount	(0.2)	(0.3)
2.875% Senior notes due October 1, 2022
Long-term debt
Senior notes	400.0	400.0
Less: Discount	(0.1)	(0.1)
3.15% Senior notes due August 1, 2027
Long-term debt
Senior notes	425.0	425.0
Less: Discount	(0.4)	(0.4)
3.95% Senior notes due August 1, 2047
Long-term debt
Senior notes	400.0	400.0
Less: Discount	$ (2.8)	$ (2.8)

XML

Summary of Short-Term Borrowings and Long-Term Debt (Parenthetical) (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
2.45% Senior notes due December 15, 2019
Debt Instrument [Line Items]
Interest rate of debt	2.45%	2.45%
Maturity date of debt	Dec. 15, 2019	Dec. 15, 2019
2.45% Senior notes due August 1, 2022
Debt Instrument [Line Items]
Interest rate of debt	2.45%	2.45%
Maturity date of debt	Aug. 01, 2022	Aug. 01, 2022
2.875% Senior notes due October 1, 2022
Debt Instrument [Line Items]
Interest rate of debt	2.875%	2.875%
Maturity date of debt	Oct. 01, 2022	Oct. 01, 2022
3.15% Senior notes due August 1, 2027
Debt Instrument [Line Items]
Interest rate of debt	3.15%	3.15%
Maturity date of debt	Aug. 01, 2027	Aug. 01, 2027
3.95% Senior notes due August 1, 2047
Debt Instrument [Line Items]
Interest rate of debt	3.95%	3.95%
Maturity date of debt	Aug. 01, 2047	Aug. 01, 2047
Floating Rate Senior notes due January 25, 2019
Debt Instrument [Line Items]
Maturity date of debt	Jan. 25, 2019	Jan. 25, 2019

XML

Components of Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance		$ (53.6)	$ (36.4)
Adoption of new accounting pronouncement			(0.6)
Other comprehensive income (loss) before reclassifications		(8.6)	3.6
Amounts reclassified to consolidated statement ofincome	[1]	(0.0)	(0.1)
Tax benefit (expense)		2.7	(0.2)
Other comprehensive income (loss)		(5.9)	3.3
Ending balance		(59.5)	(33.7)
Foreign Currency Adjustments
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance		(42.5)	(31.6)
Adoption of new accounting pronouncement			(0.3)
Other comprehensive income (loss) before reclassifications		1.8	3.5
Amounts reclassified to consolidated statement ofincome	[1]	(0.0)	(0.0)
Tax benefit (expense)		(0.0)	(0.0)
Other comprehensive income (loss)		1.8	3.5
Ending balance		(40.7)	(28.4)
Defined Benefit Plans
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance		0.9	(0.6)
Adoption of new accounting pronouncement			0.1
Other comprehensive income (loss) before reclassifications		0.0	0.0
Amounts reclassified to consolidated statement ofincome	[1]	(0.0)	(0.0)
Tax benefit (expense)		(0.0)	(0.0)
Other comprehensive income (loss)		0.0	0.0
Ending balance		0.9	(0.5)
Derivative Agreements
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance		(12.0)	(4.2)
Adoption of new accounting pronouncement			(0.4)
Other comprehensive income (loss) before reclassifications		(10.4)	0.1
Amounts reclassified to consolidated statement ofincome	[1]	(0.0)	(0.1)
Tax benefit (expense)		2.7	(0.2)
Other comprehensive income (loss)		(7.7)	(0.2)
Ending balance		$ (19.7)	$ (4.8)

[1] Amounts reclassified to cost of sales or interest expense.

XML

Commitments, Contingencies and Guarantees - Additional Information (Details) $ in Millions			3 Months Ended		12 Months Ended
	Mar. 08, 2018 USD ($)	Jan. 17, 2017 USD ($)	Mar. 31, 2019 USD ($) T	Dec. 31, 2017 USD ($)	Dec. 31, 2018 USD ($)
Commitments And Contingencies Disclosure [Line Items]
Annual purchase commitment, in tons | T			240,000
Commitments			$ 240.1
Outstanding guarantees and letters of credit			5.2
Estimated minimum compensatory punitive damages			$ 20.0
Agro Bio Sciences Inc
Commitments And Contingencies Disclosure [Line Items]
Payment year of achieving certain operating performance		2019
Payment to be made if certain operating performance is achieved		$ 17.8		$ 17.8
Passport Food Safety Solutions, Inc.
Commitments And Contingencies Disclosure [Line Items]
Payment year of achieving certain operating performance			2020
Payment to be made if certain operating performance is achieved	$ 7.3		$ 7.3
Maximum | Agro Bio Sciences Inc
Commitments And Contingencies Disclosure [Line Items]
Additional earn-out payment		$ 25.0
Maximum | Passport Food Safety Solutions, Inc.
Commitments And Contingencies Disclosure [Line Items]
Additional earn-out payment	$ 25.0		$ 25.0
Updated Sales Forecasts | Agro Bio Sciences Inc
Commitments And Contingencies Disclosure [Line Items]
Payment to be made if certain operating performance is achieved				23.2	$ 15.7
Updated Sales Forecasts | Selling, General and Administrative Expenses | Specialty Products | Agro Bio Sciences Inc
Commitments And Contingencies Disclosure [Line Items]
Increase (decrease) in estimate of contingent consideration liability				$ 5.4	$ (7.5)

XML

Related Party Transactions - Additional Information (Details)	Mar. 31, 2019	Mar. 31, 2018
Armand Products Company
Related Party Transaction [Line Items]
Percentage of ownership interest	50.00%	50.00%
ArmaKleen Company
Related Party Transaction [Line Items]
Percentage of ownership interest	50.00%	50.00%

XML

Balance and Transactions Between Company and Related Party (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Armand Products Company
Related Party Transaction [Line Items]
Purchases by Company		$ 2.8	$ 3.5
Sales by Company		0.0	0.0
Outstanding Accounts Receivable		0.5	0.3
Outstanding Accounts Payable		1.0	1.2
Administration & Management Oversight Services	[1]	0.6	0.6
ArmaKleen Company
Related Party Transaction [Line Items]
Purchases by Company		0.0	0.0
Sales by Company		0.3	0.3
Outstanding Accounts Receivable		0.8	0.7
Outstanding Accounts Payable		0.0	0.0
Administration & Management Oversight Services	[1]	$ 0.5	$ 0.5

[1] Billed by the Company and recorded as a reduction of SG&A expenses.

XML

Segments - Additional Information (Details) - Segment	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Segment Reporting Information [Line Items]
Number of reportable segments	3
Armand Products Company
Segment Reporting Information [Line Items]
Percentage of ownership interest	50.00%	50.00%
ArmaKleen Company
Segment Reporting Information [Line Items]
Percentage of ownership interest	50.00%	50.00%

XML

Selected Financial Information Relating To Company's Segments (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Segment Reporting Information [Line Items]
Net Sales	[1]	$ 1,044.7	$ 1,006.0
Income Before Income Taxes	[2]	225.1	200.7
Operating Segments | Consumer Domestic
Segment Reporting Information [Line Items]
Net Sales	[1]	784.9	751.4
Income Before Income Taxes	[2]	182.7	159.3
Operating Segments | Consumer International
Segment Reporting Information [Line Items]
Net Sales	[1]	186.7	180.7
Income Before Income Taxes	[2]	28.4	27.7
Operating Segments | Specialty Products
Segment Reporting Information [Line Items]
Net Sales	[1]	73.1	73.9
Income Before Income Taxes	[2]	12.3	11.6
Corporate
Segment Reporting Information [Line Items]
Net Sales	[1]	0.0	0.0
Income Before Income Taxes	[2]	$ 1.7	$ 2.1

[1] Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively

[2] In determining Income before Income Taxes, interest expense, investment earnings and certain aspects of other income and expense were allocated among segments based upon each segment’s relative Income from Operations.

XML

Selected Financial Information Relating To Company's Segments (Parenthetical) (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Segment Reporting Information [Line Items]
Net Sales	[1]	$ 1,044.7	$ 1,006.0
Intersegment sales
Segment Reporting Information [Line Items]
Net Sales		$ 2.3	$ 0.9

[1] Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively

XML

Product Line Revenues from External Customers (Details) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Segment Reporting Information [Line Items]
Net Sales	[1]	$ 1,044.7	$ 1,006.0
Operating Segments | Consumer Domestic
Segment Reporting Information [Line Items]
Net Sales	[1]	784.9	751.4
Operating Segments | Consumer Domestic | Household Products
Segment Reporting Information [Line Items]
Net Sales		443.3	413.0
Operating Segments | Consumer Domestic | Personal Care Products
Segment Reporting Information [Line Items]
Net Sales		341.6	338.4
Operating Segments | Consumer International
Segment Reporting Information [Line Items]
Net Sales	[1]	186.7	180.7
Operating Segments | Specialty Products
Segment Reporting Information [Line Items]
Net Sales	[1]	$ 73.1	$ 73.9

[1] Intersegment sales from Consumer International to Consumer Domestic, which are not reflected in the table, were $2.3 and $0.9 for the three months ended March 31, 2019 and March 31, 2018, respectively

XML

Subsequent Event - Additional Information (Details) - Subsequent Event	May 01, 2019 USD ($)
Credit Agreement
Subsequent Event [Line Items]
Unsecured revolving credit facility	$ 1,000,000,000.0
Maturity date of debt	Mar. 29, 2023
Amended Credit Agreement
Subsequent Event [Line Items]
Maturity date of debt	Mar. 29, 2024
Additional borrowing capacity	$ 600,000,000.0
New Term Loan
Subsequent Event [Line Items]
Maturity date of debt	May 01, 2022
Unsecured term loan credit facility	$ 300,000,000.0
Commercial Paper | Amended Credit Agreement
Subsequent Event [Line Items]
Unsecured revolving credit facility	1,000,000,000.0
Flawless Acquisition
Subsequent Event [Line Items]
Purchase price paid at closing	$ 475,000,000.0
Commercial paper borrowings and loan term	3 years
Net sales target period	12 months
Net sales target ending date	Dec. 31, 2021
Maximum | New Term Loan | LIBOR Margin
Subsequent Event [Line Items]
Interest rate range on credit rating	1.13%
Maximum | Flawless Acquisition
Subsequent Event [Line Items]
Additional earn-out payment	$ 425,000,000.0
Minimum | New Term Loan | LIBOR Margin
Subsequent Event [Line Items]
Interest rate range on credit rating	0.60%

XML

Preliminary Fair Values of Net Assets Acquired (Details) - USD ($) $ in Millions	May 01, 2019	Mar. 31, 2019	Dec. 31, 2018
Subsequent Event [Line Items]
Goodwill		$ 1,992.9	$ 1,992.9
Flawless Acquisition | Subsequent Event
Subsequent Event [Line Items]
Trade names and other intangibles	$ 559.0
Goodwill	98.0
Contingent consideration	(182.0)
Cash purchase price	$ 475.0