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Accounts Payable and Accrued Liabilities
12 Months Ended
Dec. 31, 2016
Payables And Accruals [Abstract]  
Accounts Payable and Accrued Liabilities

Note 10—Accounts payable and accrued liabilities:

 

 

  

December 31,

 

 

  

2015

 

  

2016

 

 

  

(In millions)

 

Accounts payable:

  

 

 

 

  

 

 

 

Kronos

  

$

96.1

  

  

$

84.9

  

CompX

  

 

2.7

  

  

 

2.6

  

WCS

  

 

1.3

  

  

 

1.6

  

BMI/LandWell

  

 

2.1

  

  

 

2.2

  

NL

  

 

1.9

  

  

 

2.4

  

Other

  

 

.7

  

  

 

.7

  

Total

  

$

104.8

  

  

$

94.4

  

Current accrued liabilities:

  

 

 

 

  

 

 

 

Employee benefits

  

$

24.7

  

  

$

29.2

  

Accrued sales discounts and rebates

  

 

23.9

  

  

 

22.6

 

Deferred income

  

 

21.8

  

  

 

32.0

  

Environmental remediation and related costs

  

 

11.7

  

  

 

15.3

  

Reserve for uncertain tax positions

 

 

—  

 

 

 

3.3

 

Accrued workforce reduction costs

  

 

5.3

  

  

 

1.2

  

Interest rate swap contract

  

 

3.3

  

  

 

2.8

  

Other

  

 

30.4

  

  

 

28.8

  

Total

  

$

121.1

  

  

$

135.2

  

Noncurrent accrued liabilities:

  

 

 

 

  

 

 

 

Reserve for uncertain tax positions

  

$

32.9

  

  

$

35.7

  

Asset retirement obligations

  

 

28.8

  

  

 

30.7

  

Deferred income

  

 

20.2

  

  

 

12.6

 

Employee benefits

  

 

7.1

  

  

 

7.6

  

Insurance claims and expenses

  

 

9.6

  

  

 

9.5

  

Deferred payment obligation

  

 

8.8

  

  

 

9.0

  

Other

  

 

7.2

  

  

 

8.8

  

Total

  

$

114.6

  

  

$

113.9

  

The risks associated with certain of our accrued insurance claims and expenses have been reinsured, and the related IBNR receivables are recognized as noncurrent assets to the extent the related liability is classified as a noncurrent liability. See Note 7. Our reserve for uncertain tax positions is discussed in Note 14.

Our asset retirement obligations include amounts related to the closure and post-closure obligations associated with our Waste Management Segment’s facility in West Texas. We recognized accretion expense of $1.8 million in 2014 and $2.0 million in each of 2015 and 2016 on the closure and post-closure obligations. We are required to provide certain financial assurance to Texas government agencies with respect to the decommissioning obligations related to such facility, as more fully described in Note 18. Certain of our affiliates have provided or assisted us in providing such financial assurance, as discussed in Note 17.

Estimates of the ultimate cost to be incurred to settle our closure and post closure obligation require a number of assumptions, are inherently difficult to develop and the ultimate outcome may differ materially from current estimates. However, we believe our experience in the environmental services business provides a reasonable basis for estimating such costs. As additional information becomes available, cost estimates will be adjusted as necessary. It is possible that technological, regulatory or enforcement developments, the results of studies or other factors could necessitate the recording of additional liabilities which could be material.

Prior to 2014, and in conjunction with the acquisition of a controlling interest of our Real Estate Management and Development Segment, we issued a face value $11.1 million deferred payment obligation owed to NERT that bears interest at 3% per annum, commencing in December 2023, and is collateralized by the BMI and LandWell interests acquired. The deferred payment obligation has no specified maturity date. We are required to make repayments on the deferred payment obligation, in specified amounts, whenever we receive distributions from BMI and LandWell, and we may make voluntary repayments on the deferred payment obligation at any time, in each case without any penalty, but in any case only after our promissory note payable to NERT (discussed in Note 9) has been repaid in full. For financial reporting purposes, the obligation was recorded at its acquisition date present value using a 3% discount rate from December 2023 (when it becomes interest bearing at 3%).