Condensed Guarantor and Non-Guarantor Financial Information (Tables)

3 Months Ended

Mar. 31, 2019

Guarantor and Non-Guarantor Financial Statement [Abstract]

Condensed Financial Statements

CONDENSED CONSOLIDATING BALANCE SHEET

(In millions of dollars)

March 31, 2019

	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	111.2	$	4.1	$	—		$	115.3
Short-term investments	—		22.3		—		—			22.3
Receivables:
Trade receivables, net	—		190.3		5.5		—			195.8
Intercompany loans receivable	106.7		0.3		4.4		(111.4		)	—
Other	—		20.8		1.6		—			22.4
Contract assets	—		53.8		4.6		—			58.4
Inventories	—		220.0		13.9		—			233.9
Prepaid expenses and other current assets	0.1		22.5		0.4		—			23.0
Total current assets	106.8		641.2		34.5		(111.4		)	671.1
Investments in and advances to subsidiaries	1,021.3		95.5		0.2		(1,117.0		)	—
Property, plant and equipment, net	—		576.9		34.0		—			610.9
Operating lease assets	—		27.4		—		—			27.4
Long-term intercompany loans receivable	—		—		7.2		(7.2		)	—
Deferred tax assets, net	—		19.4		—		3.0			22.4
Intangible assets, net	—		23.2		8.5		—			31.7
Goodwill	—		18.7		25.3		—			44.0
Other assets	—		40.3		—		—			40.3
Total	$	1,128.1	$	1,442.6	$	109.7	$	(1,232.6	)	$	1,447.8
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	1.3	$	115.6	$	7.5	$	—		$	124.4
Intercompany loans payable	—		111.3		0.1		(111.4		)	—
Accrued salaries, wages and related expenses	—		26.5		1.7		—			28.2
Other accrued liabilities	8.3		44.4		0.4		(1.5		)	51.6
Total current liabilities	9.6		297.8		9.7		(112.9		)	204.2
Long-term portion of operating lease liabilities	—		26.6		—		—			26.6
Net liabilities of Salaried VEBA	—		32.5		—		—			32.5
Deferred tax liabilities	—		—		4.2		—			4.2
Long-term intercompany loans payable	—		7.2		—		(7.2		)	—
Long-term liabilities	—		58.8		3.0		—			61.8
Long-term debt	370.6		—		—		—			370.6
Total liabilities	380.2		422.9		16.9		(120.1		)	699.9
Total stockholders' equity	747.9		1,019.7		92.8		(1,112.5		)	747.9
Total	$	1,128.1	$	1,442.6	$	109.7	$	(1,232.6	)	$	1,447.8

CONDENSED CONSOLIDATING BALANCE SHEET

(In millions of dollars)

December 31, 2018

	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	122.6	$	3.0	$	—		$	125.6
Short-term investments	—		36.7		—		—			36.7
Receivables:
Trade receivables, net	—		174.0		5.8		—			179.8
Intercompany receivables	143.7		0.1		4.3		(148.1		)	—
Other	—		23.3		2.3		—			25.6
Contract assets	—		52.0		2.9		—			54.9
Inventories	—		203.0		12.1		—			215.1
Prepaid expenses and other current assets	0.1		18.4		0.4		—			18.9
Total current assets	143.8		630.1		30.8		(148.1		)	656.6
Investments in and advances to subsidiaries	974.7		94.9		0.2		(1,069.8		)	—
Property, plant and equipment, net	—		577.4		34.4		—			611.8
Long-term intercompany receivables	—		—		9.8		(9.8		)	—
Deferred tax assets, net	—		32.9		—		3.0			35.9
Intangible assets, net	—		23.6		8.8		—			32.4
Goodwill	—		18.8		25.2		—			44.0
Other assets	—		38.6		—		—			38.6
Total	$	1,118.5	$	1,416.3	$	109.2	$	(1,224.7	)	$	1,419.3
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	4.9	$	109.6	$	6.9	$	—		$	121.4
Intercompany payable	—		148.0		0.1		(148.1		)	—
Accrued salaries, wages and related expenses	—		38.3		1.8		—			40.1
Other accrued liabilities	2.8		46.7		0.8		(6.3		)	44.0
Total current liabilities	7.7		342.6		9.6		(154.4		)	205.5
Net liabilities of Salaried VEBA	—		32.4		—		—			32.4
Deferred tax liabilities	—		—		4.2		—			4.2
Long-term intercompany payable	—		9.8		—		(9.8		)	—
Long-term liabilities	—		63.3		3.1		—			66.4
Long-term debt	370.4		—		—		—			370.4
Total liabilities	378.1		448.1		16.9		(164.2		)	678.9
Total stockholders' equity	740.4		968.2		92.3		(1,060.5		)	740.4
Total	$	1,118.5	$	1,416.3	$	109.2	$	(1,224.7	)	$	1,419.3

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME

(In millions of dollars)

Quarter Ended March 31, 2019

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	385.7		$	28.9		$	(19.4	)	$	395.2
Costs and expenses:
Cost of products sold, excluding depreciation and amortization and other items	—			309.0			25.0			(18.9		)	315.1
Depreciation and amortization	—			10.9			1.0			—			11.9
Selling, general, administrative, research and development	1.1			22.2			2.4			(0.5		)	25.2
Total costs and expenses	1.1			342.1			28.4			(19.4		)	352.2
Operating (loss) income	(1.1		)	43.6			0.5			—			43.0
Other (expense) income:
Interest expense	(5.2		)	(0.6		)	—			0.1			(5.7		)
Other expense, net	—			0.3			0.3			(0.1		)	0.5
(Loss) income before income taxes	(6.3		)	43.3			0.8			—			37.8
Income tax provision	—			(11.0		)	(0.3		)	1.5			(9.8		)
Earnings in equity of subsidiaries	34.3			0.5			—			(34.8		)	—
Net income	$	28.0		$	32.8		$	0.5		$	(33.3	)	$	28.0
Comprehensive income	$	37.7		$	42.5		$	0.5		$	(43.0	)	$	37.7

CONDENSED CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME

(In millions of dollars)

Quarter Ended March 31, 2018

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	377.9		$	32.5		$	(22.4	)	$	388.0
Costs and expenses:
Cost of products sold, excluding depreciation and amortization and other items	—			309.4			29.1			(21.8		)	316.7
Depreciation and amortization	—			9.9			0.6			—			10.5
Selling, general, administrative, research and development	1.1			21.3			1.9			(0.7		)	23.6
Other operating charges, net	—			0.1			—			—			0.1
Total costs and expenses	1.1			340.7			31.6			(22.5		)	350.9
Operating (loss) income	(1.1		)	37.2			0.9			0.1			37.1
Other (expense) income:
Interest expense	(5.2		)	(0.5		)	—			0.1			(5.6		)
Other income, net	—			0.1			0.1			(0.1		)	0.1
(Loss) income before income taxes	(6.3		)	36.8			1.0			0.1			31.6
Income tax provision	—			(7.1		)	(0.3		)	1.5			(5.9		)
Earnings in equity of subsidiaries	32.0			0.7			—			(32.7		)	—
Net income	$	25.7		$	30.4		$	0.7		$	(31.1	)	$	25.7
Comprehensive income	$	17.4		$	22.1		$	0.7		$	(22.8	)	$	17.4

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

(In millions of dollars)

Quarter Ended March 31, 2019

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows from operating activities:
Net cash (used in) provided by operating activities	$	(3.3	)	$	27.2		$	(1.1	)	$	—		$	22.8
Cash flows from investing activities:
Capital expenditures	—			(13.3		)	(0.3		)	—			(13.6		)
Purchase of available for sale securities	—			(18.1		)	—			—			(18.1		)
Proceeds from disposition of available for sale securities	—			32.7			—			—			32.7
Intercompany loans receivable	37.0			(0.2		)	2.5			(39.3		)	—
Net cash provided by (used in) investing activities	37.0			1.1			2.2			(39.3		)	1.0
Cash flows from financing activities:
Repayment of finance lease	—			(0.3		)	—			—			(0.3		)
Cancellation of shares to cover employees' tax withholdings upon vesting of non-vested shares	(5.0		)	—			—			—			(5.0		)
Repurchase of common stock	(18.5		)	—			—			—			(18.5		)
Cash dividends and dividend equivalents paid	(10.2		)	—			—			—			(10.2		)
Intercompany loans payable	—			(39.3		)	—			39.3			—
Net cash used in financing activities	(33.7		)	(39.6		)	—			39.3			(34.0		)
Net (decrease) increase in cash, cash equivalents and restricted cash during the period	—			(11.3		)	1.1			—			(10.2		)
Cash, cash equivalents and restricted cash at beginning of period	—			136.3			3.3			—			139.6
Cash, cash equivalents and restricted cash at end of period	$	—		$	125.0		$	4.4		$	—		$	129.4

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

(In millions of dollars)

Quarter Ended March 31, 2018

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows from operating activities:
Net cash provided by operating activities	$	99.7		$	25.6		$	0.8		$	(100.0	)	$	26.1
Cash flows from investing activities:
Capital expenditures	—			(19.4		)	(0.3		)	—			(19.7		)
Proceeds from disposition of available for sale securities	—			100.3			—			—			100.3
Intercompany loans receivable	(77.1		)	—			0.1			77.0			—
Net cash (used in) provided by investing activities	(77.1		)	80.9			(0.2		)	77.0			80.6
Cash flows from financing activities:
Repayment of finance lease	—			(0.2		)	—			—			(0.2		)
Cancellation of shares to cover employees' tax withholdings upon vesting of non-vested shares	(6.9		)	—			—			—			(6.9		)
Repurchase of common stock	(5.7		)	—			—			—			(5.7		)
Cash dividends paid to Parent	—			(100.0		)	—			100.0			—
Cash dividends and dividend equivalents paid	(10.0		)	—			—			—			(10.0		)
Intercompany loans payable	—			77.0			—			(77.0		)	—
Net cash used in financing activities	(22.6		)	(23.2		)	—			23.0			(22.8		)
Net increase in cash, cash equivalents and restricted cash during the period	—			83.3			0.6			—			83.9
Cash, cash equivalents and restricted cash at beginning of period	—			61.3			3.0			—			64.3
Cash, cash equivalents and restricted cash at end of period	$	—		$	144.6		$	3.6		$	—		$	148.2