Quarterly Financial Information (unaudited)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information (unaudited)

Quarterly Financial Information (unaudited)

(18) Quarterly Financial Information (unaudited)

	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
	(in millions, except per share information)
Year ended December 31, 2014
Net sales	$	365.2	$	396.0	$	376.0	$	376.5
Gross profit		133.3		139.0		138.1		131.4
Income (loss) from continuing operations		14.1		21.3		22.6		(7.7	)
Net income (loss)		14.1		21.3		22.6		(7.7	)
Per common share:
Basic
Income (loss) from continuing operations		0.40		0.60		0.64		(0.22	)
Net income (loss)		0.40		0.60		0.64		(0.22	)
Diluted
Income (loss) from continuing operations		0.40		0.60		0.64		(0.22	)
Net income (loss)		0.40		0.60		0.64		(0.22	)
Dividends declared per common share		0.13		0.15		0.15		0.15
Year ended December 31, 2013
Net sales	$	358.9	$	366.8	$	371.8	$	376.0
Gross profit		128.9		132.8		133.9		130.9
Income from continuing operations		16.3		18.9		17.5		8.2
Net income		16.1		18.9		15.4		8.2
Per common share:
Basic
Income from continuing operations		0.46		0.53		0.49		0.23
Net income		0.45		0.53		0.43		0.23
Diluted
Income from continuing operations		0.46		0.53		0.49		0.23
Net income		0.45		0.53		0.43		0.23
Dividends declared per common share		0.11		0.13		0.13		0.13

        In the fourth quarter of 2014, the Company recorded a goodwill impairment charge of $12.9 million relating to the Asia-Pacific reporting unit, impairment charges of $1.3 million relating to indefinite-lived trade names, $8.0 million of restructuring charges, $3.5 million of deployment costs relating to the EMEA and Americas transformation programs and $4.5 million of acquisition costs relating to the AERCO acquisition.

        In the fourth quarter of 2013, the Company recorded legal costs related to the agreement to settle all claims in the Trabakoolas et al., v. Watts Water Technologies, Inc., et al., matter pending in the United States District Court for the Northern District of California. The net settlement expense recorded in income from continuing operations was $13.6 million. Please see Note 14 for additional information. Also in the fourth quarter of 2013, the Company recorded customer rebate expense of approximately $3.0 million that related to accrual adjustments for 2013.