XML 49 R18.htm IDEA: XBRL DOCUMENT v3.19.3
Changes in Stockholders' Equity
 9 Months Ended
Sep. 30, 2019
Stockholders' Equity Note [Abstract]  
Changes in Stockholders' Equity CHANGES IN STOCKHOLDERS’ EQUITY

The following tables set forth changes in stockholders’ equity attributed to AGCO Corporation and its subsidiaries and to noncontrolling interests for the three and nine months ended September 30, 2019 (in millions):
 
Common
Stock
 
Additional
Paid-in Capital
 
Retained
Earnings
 
Accumulated Other
Comprehensive Loss
 
Noncontrolling
Interests
 
Total Stockholders’
Equity
Balance, June 30, 2019
$
0.8

 
$
7.1

 
$
4,591.1

 
$
(1,534.3
)
 
$
64.0

 
$
3,128.7

Stock compensation
—

 
8.1

 
—

 
—

 
—

 
8.1

Issuance of stock awards
—

 
—

 
(0.1
)
 
—

 
—

 
(0.1
)
SSARs exercised
—

 
—

 
(0.7
)
 
—

 
—

 
(0.7
)
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
Net income (loss)
—

 
—

 
7.6

 
—

 
(1.3
)
 
6.3

Other comprehensive loss, net of reclassification adjustments:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
—

 
—

 
—

 
(62.0
)
 
(0.7
)
 
(62.7
)
Defined benefit pension plans, net of tax
—

 
—

 
—

 
2.8

 
—

 
2.8

Deferred gains and losses on derivatives, net of tax
—

 
—

 
—

 
(1.6
)
 
—

 
(1.6
)
Payment of dividends to stockholders
—

 
—

 
(12.2
)
 
—

 
—

 
(12.2
)
Purchases and retirement of common stock
—

 
(11.3
)
 
(18.7
)
 
—

 
—

 
(30.0
)
Investment by noncontrolling interests
—

 
—

 
—

 
—

 
0.2

 
0.2

Balance, September 30, 2019
$
0.8

 
$
3.9

 
$
4,567.0

 
$
(1,595.1
)
 
$
62.2

 
$
3,038.8


 
Common
Stock
 
Additional
Paid-in Capital
 
Retained
Earnings
 
Accumulated Other
Comprehensive Loss
 
Noncontrolling
Interests
 
Total Stockholders’
Equity
Balance, December 31, 2018
$
0.8

 
$
10.2

 
$
4,477.3

 
$
(1,555.4
)
 
$
60.6

 
$
2,993.5

Stock compensation
—

 
32.9

 
—

 
—

 
—

 
32.9

Issuance of stock awards
—

 
(13.2
)
 
(9.8
)
 
—

 
—

 
(23.0
)
SSARs exercised
—

 
(3.1
)
 
(1.0
)
 
—

 
—

 
(4.1
)
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
Net income (loss)
—

 
—

 
213.5

 
—

 
(1.1
)
 
212.4

Other comprehensive loss, net of reclassification adjustments:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
—

 
—

 
—

 
(47.6
)
 
1.5

 
(46.1
)
Defined benefit pension plans, net of tax
—

 
—

 
—

 
8.8

 
—

 
8.8

Deferred gains and losses on derivatives, net of tax
—

 
—

 
—

 
(0.9
)
 
—

 
(0.9
)
Payment of dividends to stockholders
—

 
—

 
(35.9
)
 
—

 
—

 
(35.9
)
Purchases and retirement of common stock
—

 
(22.9
)
 
(77.1
)
 
—

 
—

 
(100.0
)
Investment by noncontrolling interests
—

 
—

 
—

 
—

 
1.2

 
1.2

Balance, September 30, 2019
$
0.8

 
$
3.9

 
$
4,567.0

 
$
(1,595.1
)
 
$
62.2

 
$
3,038.8



The following tables set forth changes in stockholders’ equity attributed to AGCO Corporation and its subsidiaries and to noncontrolling interests for the three and nine months ended September 30, 2018 (in millions):
 
Common
Stock
 
Additional
Paid-in Capital
 
Retained
Earnings
 
Accumulated Other
Comprehensive Loss
 
Noncontrolling
Interests
 
Total Stockholders’
Equity
Balance, June 30, 2018
$
0.8

 
$
121.4

 
$
4,346.1

 
$
(1,533.5
)
 
$
63.3

 
$
2,998.1

Stock compensation
—

 
10.5

 
—

 
—

 
—

 
10.5

Issuance of stock awards
—

 
(0.1
)
 
—

 
—

 
—

 
(0.1
)
SSARs exercised
—

 
—

 
—

 
—

 
—

 
—

Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
Net income (loss)
—

 
—

 
71.1

 
—

 
(0.4
)
 
70.7

Other comprehensive loss, net of reclassification adjustments:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
—

 
—

 
—

 
(52.2
)
 
(0.9
)
 
(53.1
)
Defined benefit pension plans, net of tax
—

 
—

 
—

 
2.9

 
—

 
2.9

Deferred gains and losses on derivatives, net of tax
—

 
—

 
—

 
0.9

 
—

 
0.9

Payment of dividends to stockholders
—

 
—

 
(11.8
)
 
—

 
—

 
(11.8
)
Purchases and retirement of common stock
—

 
(50.0
)
 
—

 
—

 
—

 
(50.0
)
Investment by noncontrolling interests
—

 
—

 
—

 
—

 
0.8

 
0.8

Balance, September 30, 2018
$
0.8

 
$
81.8

 
$
4,405.4

 
$
(1,581.9
)
 
$
62.8

 
$
2,968.9


 
Common
Stock
 
Additional
Paid-in Capital
 
Retained
Earnings
 
Accumulated Other
Comprehensive Loss
 
Noncontrolling
Interests
 
Total Stockholders’
Equity
Balance, December 31, 2017
$
0.8

 
$
136.6

 
$
4,253.8

 
$
(1,361.6
)
 
$
65.7

 
$
3,095.3

Stock compensation
—

 
33.0

 
—

 
—

 
—

 
33.0

Issuance of stock awards
—

 
(3.1
)
 
—

 
—

 
—

 
(3.1
)
SSARs exercised
—

 
(0.4
)
 
—

 
—

 
—

 
(0.4
)
Comprehensive income:
 
 
 
 
 
 
 
 
 
 
 
Net income (loss)
—

 
—

 
186.8

 
—

 
(0.7
)
 
186.1

Other comprehensive loss, net of reclassification adjustments:
 
 
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments
—

 
—

 
—

 
(230.8
)
 
(3.0
)
 
(233.8
)
Defined benefit pension plans, net of tax
—

 
—

 
—

 
9.0

 
—

 
9.0

Deferred gains and losses on derivatives, net of tax
—

 
—

 
—

 
1.5

 
—

 
1.5

Payment of dividends to stockholders
—

 
—

 
(35.6
)
 
—

 
—

 
(35.6
)
Purchases and retirement of common stock
—

 
(84.3
)
 
—

 
—

 
—

 
(84.3
)
Investment by noncontrolling interests
—

 
—

 
—

 
—

 
0.8

 
0.8

Adjustment related to the adoption of ASU 2014-09
—

 
—

 
0.4

 
—

 
—

 
0.4

Balance, September 30, 2018
$
0.8

 
$
81.8

 
$
4,405.4

 
$
(1,581.9
)
 
$
62.8

 
$
2,968.9



Total comprehensive (loss) income attributable to noncontrolling interests for the three and nine months ended September 30, 2019 and 2018 was as follows (in millions):
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
Net loss
$
(1.3
)
 
$
(0.4
)
 
$
(1.1
)
 
$
(0.7
)
Other comprehensive (loss) income:
 
 
 
 
 
 
 
Foreign currency translation adjustments
(0.7
)
 
(0.9
)
 
1.5

 
(3.0
)
Total comprehensive (loss) income
$
(2.0
)
 
$
(1.3
)
 
$
0.4

 
$
(3.7
)


The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation and its subsidiaries for the nine months ended September 30, 2019 (in millions):
 
Defined Benefit Pension Plans
 
Deferred Net Gains (Losses) on Derivatives
 
Cumulative Translation Adjustment
 
Total
Accumulated other comprehensive loss, December 31, 2018
$
(282.4
)
 
$
1.4

 
$
(1,274.4
)
 
$
(1,555.4
)
Other comprehensive loss before reclassifications
—

 
(0.3
)
 
(47.6
)
 
(47.9
)
Net losses (gains) reclassified from accumulated other comprehensive loss
8.8

 
(0.6
)
 
—

 
8.2

Other comprehensive income (loss), net of reclassification adjustments
8.8

 
(0.9
)
 
(47.6
)
 
(39.7
)
Accumulated other comprehensive loss, September 30, 2019
$
(273.6
)
 
$
0.5

 
$
(1,322.0
)
 
$
(1,595.1
)


The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the three months ended September 30, 2019 and 2018 (in millions):
 
 
Amount Reclassified from Accumulated Other Comprehensive Loss
 
Affected Line Item within the Condensed Consolidated
Statements of Operations
Details about Accumulated Other Comprehensive Loss Components
 
Three Months Ended September 30, 2019(1)
 
Three Months Ended September 30, 2018(1)
 
Derivatives:
 
 
 
 
 
 
Net (gains) losses on foreign currency contracts
 
$
(1.6
)
 
$
0.4

 
Cost of goods sold
Net losses on interest rate swap contract
 
—

 
0.5

 
Interest expense, net
Reclassification before tax
 
(1.6
)
 
0.9

 
 
 
 
(0.1
)
 
(0.1
)
 
Income tax provision
Reclassification net of tax
 
$
(1.7
)
 
$
0.8

 
 
 
 
 
 
 
 
 
Defined benefit pension plans:
 
 
 
 
 
 
Amortization of net actuarial losses
 
$
2.9

 
$
3.0

 
Other expense, net(2)
Amortization of prior service cost
 
0.4

 
0.3

 
Other expense, net(2)
Reclassification before tax
 
3.3

 
3.3

 
 
 
 
(0.5
)
 
(0.4
)
 
Income tax provision
Reclassification net of tax
 
$
2.8

 
$
2.9

 
 
 
 
 
 
 
 
 
Net losses reclassified from accumulated other comprehensive loss
 
$
1.1

 
$
3.7

 
 
(1) (Gains) losses included within the Condensed Consolidated Statements of Operations for the three months ended September 30, 2019 and 2018.
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 14 for additional information on the Company’s defined benefit pension plans.

The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the nine months ended September 30, 2019 and 2018 (in millions):
 
 
Amount Reclassified from Accumulated Other Comprehensive Loss
 
Affected Line Item within the Condensed Consolidated
Statements of Operations
Details about Accumulated Other Comprehensive Loss Components
 
Nine Months Ended September 30, 2019(1)
 
Nine Months Ended September 30, 2018(1)
 
Derivatives:
 
 
 
 
 
 
Net (gains) losses on foreign currency contracts
 
$
(0.5
)
 
$
1.9

 
Cost of goods sold
Net losses on interest rate swap contract
 
—

 
1.8

 
Interest expense, net
Reclassification before tax
 
(0.5
)
 
3.7

 
 
 
 
(0.1
)
 
(0.2
)
 
Income tax provision
Reclassification net of tax
 
$
(0.6
)
 
$
3.5

 
 
 
 
 
 
 
 
 
Defined benefit pension plans:
 
 
 
 
 
 
Amortization of net actuarial losses
 
$
9.0

 
$
9.3

 
Other expense, net(2)
Amortization of prior service cost
 
1.3

 
1.0

 
Other expense, net(2)
Reclassification before tax
 
10.3

 
10.3

 
 
 
 
(1.5
)
 
(1.3
)
 
Income tax provision
Reclassification net of tax
 
$
8.8

 
$
9.0

 
 
 
 
 
 
 
 
 
Net losses reclassified from accumulated other comprehensive loss
 
$
8.2

 
$
12.5

 
 
(1) (Gains) losses included within the Condensed Consolidated Statements of Operations for the nine months ended September 30, 2019 and 2018.
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 14 for additional information on the Company’s defined benefit pension plans.

Share Repurchase Program

During the nine months ended September 30, 2019, the Company entered into accelerated share repurchase (“ASR”) agreements with a financial institution to repurchase an aggregate of $100.0 million of shares of its common stock. The Company received approximately 1,328,515 shares during the nine months ended September 30, 2019 related to the ASR agreements. The specific number of shares the Company ultimately repurchased was determined at the completion of the term of the ASR agreements based on the daily volume-weighted average share price of the Company’s common stock less an agreed upon discount. Upon settlement of the ASR agreements, the Company was entitled to receive additional shares of common stock or, under certain circumstances, was required to remit a settlement amount. In October 2019, the Company received an additional 84,570 shares of common stock upon final settlement of an ASR agreement. All shares received under the ASR agreements were retired upon receipt, and the excess of the purchase price over par value per share was recorded to a combination of “Additional paid-in capital” and “Retained earnings” within the Company’s Condensed Consolidated Balance Sheets.

In November 2019, the Company entered into an ASR agreement with a financial institution to repurchase an aggregate of $30.0 million shares of its common stock. The Company received approximately 308,880 shares to date in this transaction. The specific number of shares the Company will ultimately repurchase will be determined at the completion of the term of the ASR based on the daily volume-weighted average share price of the Company’s common stock less an agreed upon discount. Upon settlement of the ASR, the Company may be entitled to receive additional shares of common stock or, under certain circumstances, be required to remit a settlement amount. The Company expects that additional shares will be received by the Company upon final settlement of its current ASR agreement, which expires during the first quarter of 2020. All shares received under the ASR agreement discussed above were retired upon receipt and the excess of the purchase price over par value per share was recorded to a combination of “Additional paid-in capital” and “Retained earnings” within the Company’s Condensed Consolidated Balance Sheets.

As of September 30, 2019, the remaining amount authorized to be repurchased was approximately $47.1 million, which expires in December 2019.