10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark one)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 4, 2015

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                                                               to                                                              

Commission File Number 1-7724

(Exact name of registrant as specified in its charter)

Delaware	39-0622040
(State of incorporation)	(I.R.S. Employer Identification No.)
2801 80th Street, Kenosha, Wisconsin	53143
(Address of principal executive offices)	(Zip code)

(262) 656-5200

(Registrant’s telephone number, including area code)

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 12 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 x   No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted 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 and post such files). Yes x   No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer x    Accelerated filer ¨    Non-accelerated filer ¨    Smaller reporting company ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨   No x

Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date:

Class	Outstanding at April 17, 2015
Common Stock, $1.00 par value	58,093,809 shares

TABLE OF CONTENTS

		Page
Part I: Financial Information
Item 1.	Financial Statements
	Condensed Consolidated Statements of Earnings (unaudited) – Three Months Ended April 4, 2015, and March 29, 2014		3
	Condensed Consolidated Statements of Comprehensive Income (unaudited) – Three Months Ended April 4, 2015, and March 29, 2014		4
	Condensed Consolidated Balance Sheets (unaudited) – April 4, 2015, and January 3, 2015		5-6
	Condensed Consolidated Statements of Equity (unaudited) – Three Months Ended April 4, 2015, and March 29, 2014		7
	Condensed Consolidated Statements of Cash Flows (unaudited) – Three Months Ended April 4, 2015, and March 29, 2014		8
	Notes to Condensed Consolidated Financial Statements (unaudited)		9-29
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		30-42
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		43-44
Item 4.	Controls and Procedures		44-45
Part II: Other Information
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		45-46
Item 6.	Exhibits		47
	Signatures		48
	Exhibit Index		49

2

PART I. FINANCIAL INFORMATION

Item 1: Financial Statements

SNAP-ON INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

(Amounts in millions, except per share data)

(Unaudited)

	Three Months Ended
	April 4, 2015		March 29, 2014
Net sales	$	827.8	$	787.5
Cost of goods sold		(417.7)		(408.8)
Gross profit		410.1		378.7
Operating expenses		(272.2)		(257.0)
Operating earnings before financial services		137.9		121.7
Financial services revenue		57.4		50.2
Financial services expenses		(17.1)		(15.8)
Operating earnings from financial services		40.3		34.4
Operating earnings		178.2		156.1
Interest expense		(13.0)		(13.7)
Other income (expense) – net		(0.7)		(0.1)
Earnings before income taxes and equity earnings		164.5		142.3
Income tax expense		(51.8)		(44.3)
Earnings before equity earnings		112.7		98.0
Equity earnings, net of tax		0.5		0.2
Net earnings		113.2		98.2
Net earnings attributable to noncontrolling interests		(2.7)		(2.3)
Net earnings attributable to Snap-on Incorporated	$	110.5	$	95.9
Net earnings per share attributable to Snap-on Incorporated:
Basic	$	1.90	$	1.65
Diluted		1.87		1.62
Weighted-average shares outstanding:
Basic		58.1		58.2
Effect of dilutive securities		1.0		0.9
Diluted		59.1		59.1
Dividends declared per common share	$	0.53	$	0.44

See Notes to Condensed Consolidated Financial Statements.

3

SNAP-ON INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Amounts in millions)

(Unaudited)

	Three Months Ended
	April 4, 2015		March 29, 2014
Comprehensive income (loss):
Net earnings	$	113.2	$	98.2
Other comprehensive income (loss):
Foreign currency translation*		(96.3)		4.7
Unrealized cash flow hedges, net of tax:
Reclassification of cash flow hedges to net earnings		(0.1)		(0.1)
Defined benefit pension and postretirement plans:
Amortization of net unrecognized losses and prior service credits included in net periodic benefit cost		8.8		5.2
Income tax benefit		(3.4)		(1.9)
Net of tax		5.4		3.3
Total comprehensive income	$	22.2	$	106.1
Comprehensive income attributable to noncontrolling interests		(2.7)		(2.3)
Comprehensive income attributable to Snap-on Incorporated	$	19.5	$	103.8

* There was no sale or liquidation of a foreign entity; therefore, there is no reclassification adjustment for any period presented.

See Notes to Condensed Consolidated Financial Statements.

4

SNAP-ON INCORPORATED

CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts in millions, except share data)

(Unaudited)

	April 4, 2015		January 3, 2015
ASSETS
Current assets:
Cash and cash equivalents	$	114.4	$	132.9
Trade and other accounts receivable – net		548.4		550.8
Finance receivables – net		408.6		402.4
Contract receivables – net		70.2		74.5
Inventories – net		482.3		475.5
Deferred income tax assets		92.1		101.0
Prepaid expenses and other assets		127.3		121.5
Total current assets		1,843.3		1,858.6
Property and equipment:
Land		17.1		18.3
Buildings and improvements		286.1		294.0
Machinery, equipment and computer software		745.0		750.8
		1,048.2		1,063.1
Accumulated depreciation and amortization		(652.0)		(658.6)
Property and equipment – net		396.2		404.5
Deferred income tax assets		87.8		93.2
Long-term finance receivables – net		667.2		650.5
Long-term contract receivables – net		244.7		242.0
Goodwill		778.3		810.7
Other intangibles – net		198.8		203.3
Other assets		46.1		47.3
Total assets	$	4,262.4	$	4,310.1

See Notes to Condensed Consolidated Financial Statements.

5

SNAP-ON INCORPORATED

CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts in millions, except share data)

(Unaudited)

	April 4, 2015		January 3, 2015
LIABILITIES AND EQUITY
Current liabilities:
Notes payable	$	78.8	$	56.6
Accounts payable		162.0		145.0
Accrued benefits		54.7		53.8
Accrued compensation		71.9		99.2
Franchisee deposits		66.9		65.8
Other accrued liabilities		292.2		298.3
Total current liabilities		726.5		718.7
Long-term debt		864.4		862.7
Deferred income tax liabilities		158.7		159.2
Retiree health care benefits		41.4		42.5
Pension liabilities		196.3		217.9
Other long-term liabilities		86.8		83.8
Total liabilities		2,074.1		2,084.8
Commitments and contingencies (Note 14)
Equity
Shareholders’ equity attributable to Snap-on Incorporated:
Preferred stock (authorized 15,000,000 shares of $1 par value; none outstanding)		–		–
Common stock (authorized 250,000,000 shares of $1 par value; issued 67,391,959 and 67,383,127 shares, respectively)		67.4		67.4
Additional paid-in capital		261.5		254.7
Retained earnings		2,716.6		2,637.2
Accumulated other comprehensive loss		(339.2)		(248.2)
Treasury stock at cost (9,303,199 and 9,269,680 shares, respectively)		(535.7)		(503.3)
Total shareholders’ equity attributable to Snap-on Incorporated		2,170.6		2,207.8
Noncontrolling interests		17.7		17.5
Total equity		2,188.3		2,225.3
Total liabilities and equity	$	4,262.4	$	4,310.1

See Notes to Condensed Consolidated Financial Statements.

6

SNAP-ON INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY

(Amounts in millions, except share data)

(Unaudited)

The following summarizes the changes in total equity for the three month period ended April 4, 2015:

	Shareholders’ Equity Attributable to Snap-on Incorporated
	Common Stock		Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Treasury Stock		Noncontrolling Interests		Total Equity
Balance at January 3, 2015	$	67.4	$	254.7	$	2,637.2	$	(248.2)	$	(503.3)	$	17.5	$	2,225.3
Net earnings for the three months ended April 4, 2015		–		–		110.5		–		–		2.7		113.2
Other comprehensive loss		–		–		–		(91.0)		–		–		(91.0)
Cash dividends – $0.53 per share		–		–		(30.9)		–		–		–		(30.9)
Dividend reinvestment plan and other		–		–		(0.2)		–		–		(2.5)		(2.7)
Stock compensation plans		–		(4.2)		–		–		17.3		–		13.1
Share repurchases – 340,000 shares		–		–		–		–		(49.7)		–		(49.7)
Tax benefit from certain stock options		–		11.0		–		–		–		–		11.0
Balance at April 4, 2015	$	67.4	$	261.5	$	2,716.6	$	(339.2)	$	(535.7)	$	17.7	$	2,188.3
The following summarizes the changes in total equity for the three month period ended March 29, 2014:
	Shareholders’ Equity Attributable to Snap-on Incorporated
	Common Stock		Additional Paid-in Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Treasury Stock		Noncontrolling Interests		Total Equity
Balance at December 28, 2013	$	67.4	$	225.1	$	2,324.1	$	(44.8)	$	(458.6)	$	17.2	$	2,130.4
Net earnings for the three months ended March 29, 2014		–		–		95.9		–		–		2.3		98.2
Other comprehensive income		–		–		–		7.9		–		–		7.9
Cash dividends – $0.44 per share		–		–		(25.6)		–		–		–		(25.6)
Dividend reinvestment plan and other		–		–		(0.3)		–		–		(2.5)		(2.8)
Stock compensation plans		–		(4.9)		–		–		15.7		–		10.8
Share repurchases – 200,000 shares		–		–		–		–		(22.1)		–		(22.1)
Tax benefit from certain stock options		–		6.9		–		–		–		–		6.9
Balance at March 29, 2014	$	67.4	$	227.1	$	2,394.1	$	(36.9)	$	(465.0)	$	17.0	$	2,203.7

See Notes to Condensed Consolidated Financial Statements.

7

SNAP-ON INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Amounts in millions)

(Unaudited)

	Three Months Ended
	April 4, 2015		March 29, 2014
Operating activities:
Net earnings	$	113.2	$	98.2
Adjustments to reconcile net earnings to net cash provided (used) by operating activities:
Depreciation		13.8		13.4
Amortization of other intangibles		6.2		6.2
Provision for losses on finance receivables		7.1		6.2
Provision for losses on non-finance receivables		4.9		3.4
Stock-based compensation expense		11.5		8.6
Excess tax benefits from stock-based compensation		(11.0)		(6.9)
Deferred income tax provision		10.7		6.8
Changes in operating assets and liabilities:
Increase in trade and other accounts receivable		(20.2)		(31.0)
Increase in contract receivables		(3.3)		(5.9)
Increase in inventories		(24.0)		(18.5)
Increase in prepaid and other assets		(27.0)		(19.7)
Increase in accounts payable		24.9		7.0
Increase (decrease) in accruals and other liabilities		(28.7)		20.5
Net cash provided by operating activities		78.1		88.3
Investing activities:
Additions to finance receivables		(198.8)		(169.7)
Collections of finance receivables		160.2		139.4
Capital expenditures		(18.1)		(18.3)
Disposal of property and equipment		–		0.2
Other		(2.8)		(2.5)
Net cash used by investing activities		(59.5)		(50.9)
Financing activities:
Repayment of long-term debt		–		(100.0)
Net increase in short-term borrowings		22.8		4.0
Cash dividends paid		(30.9)		(25.6)
Purchases of treasury stock		(49.7)		(22.1)
Proceeds from stock purchase and option plans		14.5		12.8
Excess tax benefits from stock-based compensation		11.0		6.9
Other		(3.0)		(3.1)
Net cash used by financing activities		(35.3)		(127.1)
Effect of exchange rate changes on cash and cash equivalents		(1.8)		(0.1)
Decrease in cash and cash equivalents		(18.5)		(89.8)
Cash and cash equivalents at beginning of year		132.9		217.6
Cash and cash equivalents at end of period	$	114.4	$	127.8
Supplemental cash flow disclosures:
Cash paid for interest	$	(23.7)	$	(26.2)
Net cash paid for income taxes		(20.7)		(16.7)

See Notes to Condensed Consolidated Financial Statements.

8

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Note 1: Summary of Accounting Policies

Principles of consolidation and presentation

The Condensed Consolidated Financial Statements include the accounts of Snap-on Incorporated and its wholly-owned and majority-owned subsidiaries (collectively, “Snap-on” or “the company”). These financial statements should be read in conjunction with, and have been prepared in conformity with, the accounting principles reflected in the consolidated financial statements and related notes included in Snap-on’s 2014 Annual Report on Form 10-K for the fiscal year ended January 3, 2015 (“2014 year end”).

Snap-on’s 2015 fiscal year, which ends on January 2, 2016, will contain 52 weeks of operating results. Snap-on’s 2014 fiscal year contained 53 weeks of operating results; the additional week occurred in the fourth quarter. Snap-on’s 2015 fiscal first quarter ended on April 4, 2015; the 2014 fiscal first quarter ended on March 29, 2014. The company’s 2015 and 2014 fiscal first quarters each contained 13 weeks of operating results.

Snap-on accounts for investments in unconsolidated affiliates where Snap-on has a greater than 20% but less than 50% ownership interest under the equity method of accounting. Investments in unconsolidated affiliates of $12.3 million as of April 4, 2015, and $13.3 million as of January 3, 2015, are included in “Other assets” on the accompanying Condensed Consolidated Balance Sheets. In the normal course of business, the company may purchase products or services from unconsolidated affiliates; purchases from unconsolidated affiliates were $3.9 million and $3.8 million in the fiscal first quarters of 2015 and 2014, respectively. The Condensed Consolidated Financial Statements do not include the accounts of the company’s independent franchisees. Snap-on’s Condensed Consolidated Financial Statements are prepared in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”). All significant intercompany accounts and transactions have been eliminated.

In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for the fair presentation of the Condensed Consolidated Financial Statements for the three month periods ended April 4, 2015, and March 29, 2014, have been made. Interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Financial Instruments

The fair value of the company’s derivative financial instruments is generally determined using quoted prices in active markets for similar assets and liabilities. The carrying value of the company’s non-derivative financial instruments either approximates fair value, due to their short-term nature, or the amount disclosed for fair value is based upon a discounted cash flow analysis or quoted market values. See Note 9 for further information on financial instruments.

9

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Note 2: Acquisition

On May 28, 2014, Snap-on acquired substantially all of the assets of Pro-Cut International, Inc. (“Pro-Cut”) for a cash purchase price of $41.3 million. Pro-Cut designs, manufactures and distributes on-car brake lathes, related equipment and accessories used in brake servicing by automotive repair facilities. The acquisition of the Pro-Cut product line complemented and increased Snap-on’s existing undercar equipment product offering, broadened its established capabilities in serving vehicle repair facilities and expanded the company’s presence with repair shop owners and managers. For segment reporting purposes, the results of operations and assets of Pro-Cut have been included in the Repair Systems & Information Group since the date of acquisition. Pro forma financial information has not been presented as the net effects of the Pro-Cut acquisition were neither significant nor material to Snap-on’s results of operations or financial position.

Note 3: Receivables

Trade and Other Accounts Receivable

Snap-on’s trade and other accounts receivable primarily arise from the sale of tools and diagnostic and equipment products to a broad range of industrial and commercial customers and to Snap-on’s independent franchise van channel on a non-extended-term basis with payment terms generally ranging from 30 to 120 days.

The components of Snap-on’s trade and other accounts receivable as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Trade and other accounts receivable	$	565.6	$	567.0
Allowances for doubtful accounts		(17.2)		(16.2)
Total trade and other accounts receivable – net	$	548.4	$	550.8

Finance and Contract Receivables

Snap-on Credit LLC (“SOC”), the company’s financial services operation in the United States, originates extended-term finance and contract receivables on sales of Snap-on’s products sold through the U.S. franchisee and customer network and to Snap-on’s industrial and other customers; Snap-on’s foreign finance subsidiaries provide similar financing internationally. Interest income on finance and contract receivables is included in “Financial services revenue” on the accompanying Condensed Consolidated Statements of Earnings.

Snap-on’s finance receivables are comprised of extended-term installment payment contracts to both technicians and independent shop owners (i.e., franchisees’ customers) to enable them to purchase tools and diagnostic and equipment products on an extended-term payment plan, generally with expected average payment terms of approximately three years. Contract receivables, with payment terms of up to 10 years, are comprised of extended-term installment payment contracts to a broad base of industrial and other customers worldwide, including shop owners, both independents and national chains, for their purchase of tools and diagnostic and equipment products. Contract receivables also include extended-term installment loans to franchisees to meet a number of financing needs, including working capital loans, loans to enable new franchisees to fund the purchase of the franchise and van leases. Finance and contract receivables are generally secured by the underlying tools and/or diagnostic or equipment products financed and, for installment loans to franchisees, other franchisee assets.

10

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The components of Snap-on’s current finance and contract receivables as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables, net of unearned finance charges of $15.2 million and $15.6 million, respectively	$	420.9	$	414.6
Contract receivables, net of unearned finance charges of $14.0 million and $13.9 million, respectively		71.3		75.5
Total		492.2		490.1
Allowances for doubtful accounts:
Finance receivables		(12.3)		(12.2)
Contract receivables		(1.1)		(1.0)
Total		(13.4)		(13.2)
Total current finance and contract receivables – net	$	478.8	$	476.9
Finance receivables – net	$	408.6	$	402.4
Contract receivables – net		70.2		74.5
Total current finance and contract receivables – net	$	478.8	$	476.9

The components of Snap-on’s finance and contract receivables with payment terms beyond one year as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables, net of unearned finance charges of $9.7 million and $9.9 million, respectively	$	688.3	$	671.0
Contract receivables, net of unearned finance charges of $19.7 million and $19.4 million, respectively		247.5		244.5
Total		935.8		915.5
Allowances for doubtful accounts:
Finance receivables		(21.1)		(20.5)
Contract receivables		(2.8)		(2.5)
Total		(23.9)		(23.0)
Total long-term finance and contract receivables – net	$	911.9	$	892.5
Finance receivables – net	$	667.2	$	650.5
Contract receivables – net		244.7		242.0
Total long-term finance and contract receivables – net	$	911.9	$	892.5

Delinquency is the primary indicator of credit quality for finance and contract receivables. Receivable balances are considered delinquent when contractual payments become 30 days past due.

11

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Finance receivables are generally placed on nonaccrual status (nonaccrual of interest and other fees) (i) when a customer is placed on repossession status; (ii) upon receipt of notification of bankruptcy; (iii) upon notification of the death of a customer; or (iv) in other instances in which management concludes collectability is not reasonably assured. Finance receivables that are considered nonperforming include receivables that are on nonaccrual status and receivables that are generally more than 90 days past due.

Contract receivables are generally placed on nonaccrual status (i) when a receivable is more than 90 days past due or at the point a customer’s account is placed on terminated status regardless of its delinquency status; (ii) upon notification of the death of a customer; or (iii) in other instances in which management concludes collectability is not reasonably assured. Contract receivables that are considered nonperforming include receivables that are on nonaccrual status.

The accrual of interest and other fees is resumed when the finance or contract receivable becomes contractually current and collection of all remaining contractual amounts due is reasonably assured. Finance and contract receivables are evaluated for impairment on a collective basis. A receivable is impaired when it is probable that all amounts related to the receivable will not be collected according to the contractual terms of the applicable agreement. Impaired receivables are covered by the company’s finance and contract allowances for doubtful accounts reserves and are charged-off against the reserves when appropriate. As of April 4, 2015, and January 3, 2015, there were $15.3 million and $15.5 million, respectively, of impaired finance receivables, and there were $1.7 million and $1.5 million, respectively, of impaired contract receivables.

It is the general practice of Snap-on’s financial services business to not engage in contract or loan modifications. In limited instances, Snap-on’s financial services business may modify certain impaired receivables in troubled debt restructurings. The amount and number of restructured finance and contract receivables as of April 4, 2015, and January 3, 2015, were immaterial to both the financial services portfolio and the company’s results of operations and financial position.

The aging of finance and contract receivables as of April 4, 2015, and January 3, 2015, is as follows:

(Amounts in millions)	30-59 Days Past Due		60-90 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Total Not Past Due		Total		Greater Than 90 Days Past Due and Accruing
April 4, 2015:
Finance receivables	$	7.7	$	5.5	$	9.7	$	22.9	$	1,086.3	$	1,109.2	$	7.1
Contract receivables		1.5		0.9		1.7		4.1		314.7		318.8		0.2
January 3, 2015:
Finance receivables	$	9.8	$	6.7	$	10.4	$	26.9	$	1,058.7	$	1,085.6	$	7.7
Contract receivables		0.9		0.7		1.1		2.7		317.3		320.0		0.1

The amount of performing and nonperforming finance and contract receivables based on payment activity as of April 4, 2015, and January 3, 2015, is as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Performing	$	1,093.9	$	317.0	$	1,070.1	$	318.5
Nonperforming		15.3		1.8		15.5		1.5
Total	$	1,109.2	$	318.8	$	1,085.6	$	320.0

12

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The amount of finance and contract receivables on nonaccrual status as of April 4, 2015, and January 3, 2015, is as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables	$	8.3	$	7.9
Contract receivables		1.8		1.5

The following is a rollforward of the allowances for credit losses for finance and contract receivables for the three month periods ended April 4, 2015, and March 29, 2014:

	Three Months Ended April 4, 2015				Three Months Ended March 29, 2014
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Allowances for doubtful accounts:
Beginning of year	$	32.7	$	3.5	$	27.8	$	3.3
Provision for bad debt expense		7.1		0.9		6.2		0.6
Charge-offs		(7.8)		(0.4)		(6.8)		(0.4)
Recoveries		1.5		–		1.3		0.1
Currency Translation		(0.1)		(0.1)		–		–
End of period	$	33.4	$	3.9	$	28.5	$	3.6

Note 4: Inventories

Inventories by major classification are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finished goods	$	424.6	$	415.3
Work in progress		44.9		45.3
Raw materials		85.7		87.5
Total FIFO value		555.2		548.1
Excess of current cost over LIFO cost		(72.9)		(72.6)
Total inventories – net	$	482.3	$	475.5

Inventories accounted for using the first-in, first-out (“FIFO”) method as of April 4, 2015, and January 3, 2015, approximated 57% and 58%, respectively, of total inventories. The company accounts for its non-U.S. inventory on the FIFO method. As of April 4, 2015, approximately 31% of the company’s U.S. inventory was accounted for using the FIFO method and 69% was accounted for using the last-in, first-out (“LIFO”) method. There were no LIFO inventory liquidations in the three month periods ended April 4, 2015, or March 29, 2014.

13

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Note 5: Goodwill and Other Intangible Assets

The changes in the carrying amount of goodwill by segment for the three month period ended April 4, 2015, are as follows:

(Amounts in millions)	Commercial & Industrial Group		Snap-on Tools Group		Repair Systems &  Information Group		Total
Balance as of January 3, 2015	$	275.9	$	12.5	$	522.3	$	810.7
Currency translation		(28.0)		–		(4.4)		(32.4)
Balance as of April 4, 2015	$	247.9	$	12.5	$	517.9	$	778.3

Additional disclosures related to other intangible assets are as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Gross Carrying Value		Accumulated Amortization		Gross Carrying Value		Accumulated Amortization
Amortized other intangible assets:
Customer relationships	$	146.1	$	(72.9)	$	147.1	$	(71.2)
Developed technology		18.3		(18.3)		19.2		(19.2)
Internally developed software		145.8		(95.3)		142.2		(92.0)
Patents		28.9		(20.1)		29.3		(20.6)
Trademarks		2.4		(1.5)		2.5		(1.6)
Other		7.6		(1.7)		7.6		(1.6)
Total		349.1		(209.8)		347.9		(206.2)
Non-amortized trademarks		59.5		–		61.6		–
Total other intangible assets	$	408.6	$	(209.8)	$	409.5	$	(206.2)

Significant and unanticipated changes in circumstances, such as declines in profitability and cash flow due to significant and long-term deterioration in macroeconomic, industry and market conditions, the loss of key customers, changes in technology or markets, significant changes in key personnel or litigation, a significant and sustained decrease in share price and/or other events, including effects from the sale or disposal of a reporting unit, could require a provision for impairment of goodwill and/or other intangible assets in a future period. As of April 4, 2015, the company had no accumulated impairment losses.

The weighted-average amortization periods related to other intangible assets are as follows:

	In Years
Customer relationships	15
Internally developed software	3
Patents	9
Trademarks	6
Other	39

Snap-on is amortizing its customer relationships on both an accelerated and straight-line basis over a 15 year weighted-average life; the remaining intangibles are amortized on a straight-line basis. The weighted-average amortization period for all amortizable intangibles on a combined basis is 11 years.

14

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The company’s customer relationships generally have contractual terms of three to five years and are typically renewed without significant cost to the company. The weighted-average 15 year life for customer relationships is based on the company’s historical renewal experience. Intangible asset renewal costs are expensed as incurred.

The aggregate amortization expense was $6.2 million in both the three month periods ended April 4, 2015, and March 29, 2014. Based on current levels of amortizable intangible assets and estimated weighted-average useful lives, estimated annual amortization expense is expected to be $24.6 million in 2015, $20.6 million in 2016, $17.3 million in 2017, $13.6 million in 2018, $12.9 million in 2019, and $12.1 million in 2020.

Note 6: Exit and Disposal Activities

Snap-on did not record any costs for exit and disposal activities in the three month period ended April 4, 2015; Snap-on recorded costs for exit and disposal activities in the three month period ended March 29, 2014, as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Exit and disposal costs:
Cost of goods sold:
Repair Systems & Information Group	$	–	$	2.0
Total exit and disposal costs	$	–	$	2.0

The $2.0 million of costs incurred during the three month period ended March 29, 2014, qualified for accrual treatment.

Snap-on’s exit and disposal accrual activity for the first quarter of 2015 is as follows:

(Amounts in millions)	Balance at January 3, 2015		Provision		Usage		Balance at April 4, 2015
Severance costs:
Commercial & Industrial Group	$	0.8	$	–	$	(0.3)	$	0.5
Repair Systems & Information Group		5.7		–		(0.4)		5.3
Total	$	6.5	$	–	$	(0.7)	$	5.8

The majority of the exit and disposal accrual as of April 4, 2015, is expected to be utilized in 2015.

Snap-on expects to fund the remaining cash requirements of its exit and disposal activities with available cash on hand, cash flows from operations and borrowings under the company’s existing credit facilities. The estimated costs for the exit and disposal activities were based on management’s best business judgment under prevailing circumstances.

Note 7: Income Taxes

Snap-on’s effective income tax rate on earnings attributable to Snap-on was 32.0% and 31.6% in the first three months of 2015 and 2014, respectively. The effective rate for the first three months of 2015 includes tax benefits associated with distributions from certain non-U.S. subsidiaries, partially offset by a tax assessment in a foreign jurisdiction.

Snap-on and its subsidiaries file income tax returns in the United States and in various state, local and foreign jurisdictions. It is reasonably possible that certain unrecognized tax benefits may either be settled with taxing authorities or the statutes of limitations for such items may lapse within the next 12 months, causing Snap-on’s gross unrecognized tax benefits to decrease by a range of zero to $0.9 million. Over the next 12 months, Snap-on anticipates taking certain tax positions on various tax returns for which the related tax benefit does not meet the recognition threshold. Accordingly, Snap-on’s gross unrecognized tax benefits may increase by a range of zero to $0.3 million over the next 12 months for uncertain tax positions expected to be taken in future tax filings.

15

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Note 8: Short-term and Long-term Debt

Short-term and long-term debt as of April 4, 2015, and January 3, 2015, consisted of the following:

(Amounts in millions)	April 4, 2015		January 3, 2015
5.50% unsecured notes due 2017	$	150.0	$	150.0
4.25% unsecured notes due 2018		250.0		250.0
6.70% unsecured notes due 2019		200.0		200.0
6.125% unsecured notes due 2021		250.0		250.0
Other debt*		93.2		69.3
		943.2		919.3
Less: notes payable		(78.8)		(56.6)
Total long-term debt	$	864.4	$	862.7

* Includes fair value adjustments related to interest rate swaps.

Notes payable of $78.8 million as of April 4, 2015, included $52.5 million of commercial paper borrowings and $26.3 million of other notes. Notes payable of $56.6 million as of 2014 year end included $37.0 million of commercial paper borrowings and $19.6 million of other notes. There were no current maturities of long-term debt as of April 4, 2015, or January 3, 2015.

Snap-on has a five-year, $700 million multi-currency revolving credit facility that terminates on September 27, 2018 (the “Credit Facility”); no amounts were outstanding under the Credit Facility as of April 4, 2015. Borrowings under the Credit Facility bear interest at varying rates based on Snap-on’s then-current, long-term debt ratings. The Credit Facility’s financial covenant requires that Snap-on maintain, as of each fiscal quarter end, either (i) a ratio not greater than 0.60 to 1.00 of consolidated net debt (consolidated debt net of certain cash adjustments) to the sum of such consolidated net debt plus total equity and less accumulated other comprehensive income or loss; or (ii) a ratio not greater than 3.50 to 1.00 of such consolidated net debt to earnings before interest, taxes, depreciation, amortization and certain other adjustments for the preceding four fiscal quarters then ended. As of April 4, 2015, the company’s actual ratios of 0.27 and 1.14, respectively, were both within the permitted ranges set forth in this financial covenant.

Snap-on’s Credit Facility and other debt agreements also contain certain usual and customary borrowing, affirmative, negative and maintenance covenants. As of April 4, 2015, Snap-on was in compliance with all covenants of its Credit Facility and other debt agreements.

Note 9: Financial Instruments

Derivatives: All derivative instruments are reported in the Condensed Consolidated Financial Statements at fair value. Changes in the fair value of derivatives are recorded each period in earnings or on the accompanying Condensed Consolidated Balance Sheets, depending on whether the derivative is designated and effective as part of a hedged transaction. Gains or losses on derivative instruments recorded in Accumulated other comprehensive income (loss) (“Accumulated OCI”) must be reclassified to earnings in the period in which earnings are affected by the underlying hedged item and the ineffective portion of all hedges must be recognized in earnings in the period that such portion is determined to be ineffective.

16

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The criteria used to determine if hedge accounting treatment is appropriate are: (i) the designation of the hedge to an underlying exposure; (ii) whether or not overall risk is being reduced; and (iii) if there is a correlation between the value of the derivative instrument and the underlying hedged item. On the date a derivative contract is entered into, Snap-on designates the derivative as a fair value hedge, a cash flow hedge, a hedge of a net investment in a foreign operation, or a natural hedging instrument whose change in fair value is recognized as an economic hedge against changes in the value of the hedged item. Snap-on does not use derivative instruments for speculative or trading purposes.

The company is exposed to global market risks, including the effects of changes in foreign currency exchange rates, interest rates, and the company’s stock price, and therefore uses derivatives to manage financial exposures that occur in the normal course of business. The primary risks managed by using derivative instruments are foreign currency risk, interest rate risk and stock-based deferred compensation risk.

Foreign Currency Risk Management: Snap-on has significant international operations and is subject to certain risks inherent with foreign operations that include currency fluctuations. Foreign currency exchange risk exists to the extent that Snap-on has payment obligations or receipts denominated in currencies other than the functional currency, including intercompany loans denominated in foreign currencies. To manage these exposures, Snap-on identifies naturally offsetting positions and then purchases hedging instruments to protect the residual net exposures. Snap-on manages most of these exposures on a consolidated basis, which allows for netting of certain exposures to take advantage of natural offsets. Foreign currency forward contracts (“foreign currency forwards”) are used to hedge the net exposures. Gains or losses on net foreign currency hedges are intended to offset losses or gains on the underlying net exposures in an effort to reduce the earnings volatility resulting from fluctuating foreign currency exchange rates. Snap-on’s foreign currency forwards are typically not designated as hedges. The fair value changes of these contracts are reported in earnings as foreign exchange gain or loss, which is included in “Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings.

At April 4, 2015, Snap-on had $134.2 million of net foreign currency forward buy contracts outstanding comprised of buy contracts including $74.5 million in euros, $31.8 million in Australian dollars, $13.7 million in British pounds, $13.1 million in Swedish kronor, $9.7 million in Singapore dollars, $6.6 million in South Korean won, $4.9 in Hong Kong dollars, $4.7 million in Mexican pesos, $3.1 million in Norwegian kroner, and $3.6 million in other currencies, and sell contracts comprised of $11.8 million in Canadian dollars, $10.7 million in Japanese yen, $2.4 million in New Zealand dollars, $2.1 million in Indian rupees and $4.5 million in other currencies. At January 3, 2015, Snap-on had $140.4 million of net foreign currency forward buy contracts outstanding comprised of buy contracts including $81.5 million in euros, $34.8 million in Australian dollars, $22.1 million in Swedish kronor, $16.3 million in British pounds, $10.1 million in Singapore dollars, $5.7 million in South Korean won, $4.5 million in Mexican pesos, $3.6 million in Hong Kong dollars, and $0.5 million in other currencies, and sell contracts comprised of $16.8 million in Canadian dollars, $10.9 million in Japanese yen, $3.3 million in Danish kroner, and $7.7 million in other currencies.

Interest Rate Risk Management: Snap-on aims to control funding costs by managing the exposure created by the differing maturities and interest rate structures of Snap-on’s borrowings through the use of interest rate swap agreements.

Snap-on enters into interest rate swap agreements (“interest rate swaps”) to manage risks associated with changing interest rates related to the company’s fixed rate borrowings. Interest rate swaps are accounted for as fair value hedges. The differentials paid or received on interest rate swaps are recognized as adjustments to “Interest expense” on the accompanying Condensed Consolidated Statements of Earnings. The effective portion of the change in fair value of the derivative is recorded in “Long-term debt” on the accompanying Condensed Consolidated Balance Sheets, while any ineffective portion is recorded as an adjustment to “Interest expense” on the accompanying Condensed Consolidated Statements of Earnings. The notional amount of interest rate swaps outstanding and designated as fair value hedges was $100.0 million as of both April 4, 2015, and January 3, 2015.

17

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Snap-on enters into treasury lock agreements (“treasury locks”) from time to time to manage the potential change in interest rates in anticipation of issuing fixed rate debt. Treasury locks are accounted for as cash flow hedges. The effective differentials paid or received on treasury locks related to the anticipated issuance of fixed rate debt are recognized as adjustments to “Interest expense” on the accompanying Condensed Consolidated Statements of Earnings. There were no treasury locks outstanding as of April 4, 2015, or January 3, 2015, nor were any settled during either of the first quarters of 2015 or 2014.

Stock-based Deferred Compensation Risk Management: Snap-on aims to manage market risk associated with the stock-based portion of its deferred compensation plans through the use of prepaid equity forward agreements (“equity forwards”). Equity forwards are used to aid in offsetting the potential mark-to-market effect on stock-based deferred compensation from changes in Snap-on’s stock price. Since stock-based deferred compensation liabilities increase as the company’s stock price rises and decrease as the company’s stock price declines, the equity forwards are intended to mitigate the potential impact on deferred compensation expense that may result from such mark-to-market changes. As of April 4, 2015, Snap-on had equity forwards in place intended to manage market risk with respect to 132,000 shares of Snap-on common stock associated with its deferred compensation plans.

Fair Value Measurements: Snap-on has derivative assets and liabilities related to interest rate swaps, foreign currency forwards and equity forwards that are measured at Level 2 fair value on a recurring basis. The fair value of derivative instruments included within the Condensed Consolidated Balance Sheets as of April 4, 2015, and January 3, 2015, are as follows:

		April 4, 2015				January 3, 2015
(Amounts in millions)	Balance Sheet Presentation	Asset Derivatives Fair Value		Liability Derivatives Fair Value		Asset Derivatives Fair Value		Liability Derivatives Fair Value
Derivatives designated as hedging instruments:
Interest rate swaps	Other assets	$	14.7	$	–	$	14.0	$	–
Derivatives not designated as hedging instruments:
Foreign currency forwards	Prepaid expenses and other assets	$	3.1	$	–	$	6.6	$	–
Foreign currency forwards	Other accrued liabilities		–		16.2		–		14.7
Equity forwards	Prepaid expenses and other assets		19.5		–		15.4		–
Total		$	22.6	$	16.2	$	22.0	$	14.7
Total derivatives instruments		$	37.3	$	16.2	$	36.0	$	14.7

As of April 4, 2015, and January 3, 2015, the fair value adjustment to long-term debt related to the interest rate swaps was $14.7 million and $14.0 million, respectively.

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between participants at the measurement date. Level 2 fair value measurements for derivative assets and liabilities are measured using quoted prices in active markets for similar assets and liabilities. Foreign currency forwards are valued based on exchange rates quoted by domestic and foreign banks for similar instruments. Interest rate swap values are based on the six-month LIBOR swap rate for similar instruments. Equity forwards are valued using a market approach based primarily on the company’s stock price at the reporting date. The company did not have any derivative assets or liabilities measured at Level 1 or Level 3, nor did it implement any changes in its valuation techniques as of and for the quarter ended April 4, 2015.

18

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The effect of derivative instruments designated as fair value hedges as included in the Condensed Consolidated Statements of Earnings is as follows:

		Effective Portion of Gain Recognized in Income Three Months Ended
(Amounts in millions)	Statement of Earnings Presentation	April 4, 2015		March 29, 2014
Derivatives designated as fair value hedges:
Interest rate swaps	Interest expense	$	1.0	$	1.0

The effect of derivative instruments designated as cash flow hedges as included in Accumulated OCI on the Condensed Consolidated Balance Sheets and the Condensed Consolidated Statements of Earnings is as follows:

	Effective Portion of  Gain Recognized in Accumulated OCI Three Months Ended				Statement of Earnings Presentation	Effective Portion of  Gain Reclassified from Accumulated OCI into Income Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014			April 4, 2015		March 29, 2014
Derivatives designated as cash flow hedges:
Treasury locks	$	–	$	–	Interest expense	$	0.1	$	0.1

The effects of derivative instruments not designated as hedging instruments as included in the Condensed Consolidated Statements of Earnings are as follows:

		Gain / (Loss) Recognized in Income Three Months Ended
(Amounts in millions)	Statement of Earnings Presentation	April 4, 2015		March 29, 2014
Derivatives not designated as hedging instruments:
Foreign currency forwards	Other income (expense) – net	$	(15.0)	$	4.0
Equity forwards	Operating expenses		1.5		0.5

Snap-on’s foreign currency forwards are typically not designated as hedges for financial reporting purposes. The fair value changes of foreign currency forwards not designated as hedging instruments are reported in earnings as foreign exchange gain or loss in “Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings. The $15.0 million derivative loss recognized in the first quarter of 2015 was partially offset by transaction gains on net exposures of $14.2 million, resulting in a net foreign exchange loss of $0.8 million. The $4.0 million derivative gain recognized in the first quarter of 2014 was offset by transaction losses on net exposures of $4.2 million, resulting in a net foreign exchange loss of $0.2 million. The resulting net foreign exchange losses are included in “Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings. See Note 15 for additional information on “Other income (expense) – net.”

19

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Snap-on’s equity forwards are not designated as hedges for financial reporting purposes. Fair value changes of both the equity forwards and related stock-based (mark-to-market) deferred compensation liabilities are reported in “Operating expenses” on the accompanying Condensed Consolidated Statements of Earnings. The $1.5 million derivative gain recognized in the first quarter of 2015 was partially offset by $1.4 million of mark-to-market deferred compensation expense. The $0.5 million derivative gain recognized in the first quarter of 2014 was offset by $0.5 million of mark-to-market deferred compensation expense.

As of April 4, 2015, the maximum maturity date of any fair value hedge was six years. During the next 12 months, Snap-on expects to reclassify into earnings net gains from Accumulated OCI of approximately $0.2 million after tax at the time the underlying hedge transactions are realized.

See the accompanying Condensed Consolidated Statements of Comprehensive Income for additional information on changes in comprehensive income.

Counterparty Risk: Snap-on is exposed to credit losses in the event of non-performance by the counterparties to its various financial agreements, including its foreign currency forward contracts, interest rate swap agreements and prepaid equity forward agreements. Snap-on does not obtain collateral or other security to support financial instruments subject to credit risk, but monitors the credit standing of the counterparties and generally enters into agreements with financial institution counterparties with a credit rating of A- or better. Snap-on does not anticipate non-performance by its counterparties, but cannot provide assurances.

Fair Value of Financial Instruments: The fair values of financial instruments that do not approximate the carrying values in the financial statements are as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Carrying Value		Fair Value		Carrying Value		Fair Value
Finance receivables – net	$	1,075.8	$	1,225.2	$	1,052.9	$	1,198.4
Contract receivables – net		314.9		349.0		316.5		348.2
Long-term debt and notes payable		943.2		1,060.0		919.3		1,031.3

The following methods and assumptions were used in estimating the fair value of financial instruments:

• Finance and contract receivables include both short-term and long-term receivables. The fair value estimates of finance and contract receivables are derived utilizing discounted cash flow analyses performed on groupings of receivables that are similar in terms of loan type and characteristics. The cash flow analysis considers recent prepayment trends where applicable. The cash flows are discounted over the average life of the receivables using a current market discount rate of a similar term adjusted for credit quality. Significant inputs to the fair value measurements of the receivables are unobservable and, as such, are classified as Level 3.

• Fair value of long-term debt was estimated, using Level 2 fair value measurements, based on quoted market values of Snap-on’s publicly traded senior debt. The carrying value of long-term debt includes adjustments related to fair value hedges. The fair value of notes payable approximates such instruments’ carrying value due to their short-term nature.

• The fair value of all other financial instruments including cash equivalents, trade and other accounts receivable, accounts payable and other financial instruments, approximates such instruments’ carrying value due to their short-term nature.

20

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Note 10: Pension Plans

Snap-on’s net periodic pension cost included the following components:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Service cost	$	5.2	$	4.8
Interest cost		13.2		14.3
Expected return on plan assets		(19.4)		(18.2)
Amortization of unrecognized loss		8.9		5.4
Amortization of prior service credit		(0.2)		(0.2)
Net periodic pension cost	$	7.7	$	6.1

Snap-on intends to make contributions of $7.1 million to its foreign pension plans and $2.0 million to its domestic pension plans in 2015, as required by law. In the first three months of 2015, Snap-on made $15.3 million of cash contributions to its domestic pension plans consisting of (i) $15.0 million of discretionary contributions; and (ii) $0.3 million of required contributions. Depending on market and other conditions, Snap-on may make additional discretionary cash contributions to its pension plans in 2015.

Note 11: Postretirement Health Care Plans

Snap-on’s net periodic postretirement health care cost included the following components:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Interest cost	$	0.5	$	0.6
Expected return on plan assets		(0.2)		(0.3)
Amortization of unrecognized loss		0.1		–
Net periodic postretirement health care cost	$	0.4	$	0.3

Note 12: Stock-based Compensation and Other Stock Plans

The 2011 Incentive Stock and Awards Plan (the “2011 Plan”) provides for the grant of stock options, performance awards, stock appreciation rights (“SARs”) and restricted stock awards (which may be designated as “restricted stock units” or “RSUs”). No further grants are being made under the 2001 Incentive Stock and Awards Plan (the “2001 Plan”), although outstanding awards under the 2001 Plan will continue until exercised, forfeited or expired. As of April 4, 2015, the 2011 Plan had 875,755 shares available for future grants. The company uses treasury stock to deliver shares under both the 2001 and 2011 Plans.

Net stock-based compensation expense was $11.5 million and $8.6 million for the three month periods ended April 4, 2015, and March 29, 2014, respectively. Cash received from stock purchase and option plan exercises during the three month periods ended April 4, 2015, and March 29, 2014, was $14.5 million and $12.8 million, respectively. The tax benefit realized from both the exercise and vesting of share-based payment arrangements was $15.1 million and $12.0 million for the three month periods ended April 4, 2015, and March 29, 2014, respectively.

21

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Stock Options

Stock options are granted with an exercise price equal to the market value of a share of Snap-on’s common stock on the date of grant and have a contractual term of ten years. Stock option grants vest ratably on the first, second and third anniversaries of the date of grant.

The fair value of each stock option award is estimated on the date of grant using the Black-Scholes valuation model. The company uses historical data regarding stock option exercise behaviors for different participating groups to estimate the period of time that options granted are expected to be outstanding. Expected volatility is based on the historical volatility of the company’s stock for the length of time corresponding to the expected term of the option. The expected dividend yield is based on the company’s historical dividend payments. The risk-free interest rate is based on the U.S. treasury yield curve on the grant date for the expected term of the option. The following weighted-average assumptions were used in calculating the fair value of stock options granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015	March 29, 2014
Expected term of option (in years)	4.76	4.52
Expected volatility factor	24.13%	26.76%
Expected dividend yield	2.04%	2.40%
Risk-free interest rate	1.38%	1.30%

A summary of stock option activity as of and for the three month period ended April 4, 2015, is presented below:

	Shares (in thousands)		Exercise Price Per Share*		Remaining Contractual Term* (in years)		Aggregate Intrinsic Value (in millions)
Outstanding at January 3, 2015		2,630	$	71.13
Granted		634		144.69
Exercised		(234)		61.89
Forfeited or expired		(16)		112.07
Outstanding at April 4, 2015		3,014		87.10		7.4	$	183.0
Exercisable at April 4, 2015		1,772		62.49		6.1		151.2

* Weighted-average

The weighted-average grant date fair value of options granted during the three month periods ended April 4, 2015, and March 29, 2014, was $25.65 and $20.19, respectively. The intrinsic value of options exercised during the three month periods ended April 4, 2015, and March 29, 2014, was $19.3 million and $12.4 million, respectively. The fair value of stock options vested was $9.8 million and $9.5 million during the three month periods ended April 4, 2015, and March 29, 2014, respectively.

As of April 4, 2015, there was $26.1 million of unrecognized compensation cost related to non-vested stock options that is expected to be recognized as a charge to earnings over a weighted-average period of 2.2 years.

22

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Performance Awards

Performance awards, which are granted as performance share units and performance-based RSUs, are earned and expensed using the fair value of the award over a contractual term of three years based on the company’s performance. Vesting of the performance awards is dependent upon performance relative to pre-defined goals for revenue growth and return on net assets for the applicable performance period. For performance achieved above a certain level, the recipient may earn additional shares of stock, not to exceed 100% of the number of performance awards initially granted.

The performance share units have a three-year performance period based on the results of the consolidated financial metrics of the company. The performance-based RSUs have a one-year performance period based on the results of the consolidated financial metrics of the company followed by a two-year cliff vesting schedule, assuming continued employment.

The fair value of performance awards is calculated using the market value of a share of Snap-on’s common stock on the date of grant. The weighted-average grant date fair value of performance awards granted during the three month periods ended April 4, 2015, and March 29, 2014, was $138.48 and $107.30, respectively. Performance share units of 130,764 shares and 146,313 shares were paid out during the three month periods ended April 4, 2015, and March 29, 2014, respectively. Earned performance share units are generally paid out following the conclusion of the applicable performance period upon approval by the Organization and Executive Compensation Committee of the company’s Board of Directors (the “Board”).

Based on the company’s 2014 performance, 78,585 RSUs granted in 2014 were earned; assuming continued employment, these RSUs will vest at the end of fiscal 2016. Based on the company’s 2013 performance, 84,413 RSUs granted in 2013 were earned; assuming continued employment, these RSUs will vest at the end of fiscal 2015. Based on the company’s 2012 performance, 95,047 RSUs granted in 2012 were earned; these RSUs vested as of fiscal 2014 year end and were paid out shortly thereafter.

Changes to the company’s non-vested performance awards during the three month period ended April 4, 2015, are as follows:

	Shares (in thousands)		Fair Value Price per Share*
Non-vested performance awards at January 3, 2015		327	$	91.92
Granted		116		138.48
Vested		(2)		89.35
Cancellations and other		(9)		89.04
Non-vested performance awards at April 4, 2015		432		104.41

* Weighted-average

As of April 4, 2015, there was $26.2 million of unrecognized compensation cost related to non-vested performance awards that is expected to be recognized as a charge to earnings over a weighted-average period of 2.1 years.

Stock Appreciation Rights (“SARs”)

The company also issues stock-settled and cash-settled SARs to certain key non-U.S. employees. SARs have a contractual term of ten years and vest ratably on the first, second and third anniversaries of the date of grant. SARs are granted with an exercise price equal to the market value of a share of Snap-on’s common stock on the date of grant.

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SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Stock-settled SARs are accounted for as equity instruments and provide for the issuance of Snap-on common stock equal to the amount by which the company’s stock has appreciated over the exercise price. Stock-settled SARs have an effect on dilutive shares and shares outstanding as any appreciation of Snap-on’s common stock value over the exercise price will be settled in shares of common stock.

Cash-settled SARs provide for the cash payment of the excess of the fair market value of Snap-on’s common stock price on the date of exercise over the grant price. Cash-settled SARs have no effect on dilutive shares or shares outstanding as any appreciation of Snap-on’s common stock value over the grant price is paid in cash and not in common stock.

The fair value of stock-settled SARs is estimated on the date of grant using the Black-Scholes valuation model. The fair value of cash-settled SARs is revalued (mark-to-market) each reporting period using the Black-Scholes valuation model based on Snap-on’s period-end stock price. The company uses historical data regarding SARs exercise behaviors for different participating groups to estimate the expected term of the SARs granted based on the period of time that similar instruments granted are expected to be outstanding. Expected volatility is based on the historical volatility of the company’s stock for the length of time corresponding to the expected term of the SARs. The expected dividend yield is based on the company’s historical dividend payments. The risk-free interest rate is based on the U.S. treasury yield curve in effect as of the grant date (for stock-settled SARs) or reporting date (for cash-settled SARs) for the length of time corresponding to the expected term of the SARs.

The following weighted-average assumptions were used in calculating the fair value of stock-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015		March 29, 2014
Expected term of stock-settled SARs (in years)		4.72		4.50
Expected volatility factor		23.67%		25.66%
Expected dividend yield		2.04%		2.40%
Risk-free interest rate		1.50%		1.51%

Changes to the company’s stock-settled SARs during the three month period ended April 4, 2015, are as follows:

	Stock-settled SARs (in thousands)		Exercise Price Per Share*		Remaining Contractual Term* (in years)		Aggregate Intrinsic Value (in millions)
Outstanding at January 3, 2015		223	$	94.90
Granted		112		144.69
Exercised		(6)		85.33
Forfeited or expired		(10)		89.94
Outstanding at April 4, 2015		319		112.72		8.9	$	11.2
Exercisable at April 4, 2015		90		90.33		8.2		5.2

* Weighted-average

24

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NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The weighted-average grant date fair value of stock-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, was $25.36 and $19.58, respectively. The intrinsic value of stock-settled SARs exercised during the three month periods ended April 4, 2015, and March 29, 2014, was $0.3 million and $0.1 million, respectively. The fair value of stock-settled SARs vested was $1.3 million and $0.6 million during the three month periods ended April 4, 2015, and March 29, 2014, respectively.

As of April 4, 2015, there was $4.7 million of unrecognized compensation cost related to non-vested stock-settled SARs that is expected to be recognized as a charge to earnings over a weighted-average period of 2.2 years.

The following weighted-average assumptions were used in calculating the fair value of cash-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015		March 29, 2014
Expected term of cash-settled SARs (in years)		4.68		4.35
Expected volatility factor		23.16%		25.19%
Expected dividend yield		2.04%		2.40%
Risk-free interest rate		1.26%		1.74%

The intrinsic value of cash-settled SARs exercised during the three month periods ended April 4, 2015, and March 29, 2014, was $3.4 million and $3.3 million, respectively. The fair value of cash-settled SARs vested during the three month periods ended April 4, 2015, and March 29, 2014, was $3.4 million and $3.8 million, respectively.

Changes to the company’s non-vested cash-settled SARs during the three month period ended April 4, 2015, are as follows:

	Cash-settled SARs (in thousands)		Fair Value Price per Share*
Non-vested cash-settled SARs at January 3, 2015		47	$	68.35
Granted		4		25.78
Vested		(42)		81.46
Non-vested cash-settled SARs at April 4, 2015		9		45.23

* Weighted-average

As of April 4, 2015, there was $0.4 million of unrecognized compensation cost related to non-vested cash-settled SARs that is expected to be recognized as a charge to earnings over a weighted-average period of 1.8 years.

25

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Restricted Stock Awards – Non-employee Directors

The company awarded 8,940 shares and 10,398 shares of restricted stock to non-employee directors in 2015 and 2014, respectively. The fair value of the restricted stock awards is expensed over a one year vesting period based on the fair value on the date of grant. All restrictions for the restricted stock generally lapse upon the earlier of the first anniversary of the grant date, the recipient’s death or disability or in the event of a change in control, as defined in the 2011 Plan. If termination of the recipient’s service occurs prior to the first anniversary of the grant date for any reason other than death or disability, the shares of restricted stock would be forfeited, unless otherwise determined by the Board.

Employee Stock Purchase Plan

Substantially all Snap-on employees in the United States and Canada are eligible to participate in an employee stock purchase plan. The purchase price of the company’s common stock to participants is the lesser of the mean of the high and low price of the stock on the beginning date (May 15) or ending date (the following May 14) of each plan year. There were no share issuances under this plan for the three month periods ended April 4, 2015 and March 29, 2014. As of April 4, 2015, a total of 865,043 shares remain reserved for issuance under this plan and Snap-on held approximately $5.0 million of participants’ contributions. Participants are able to withdraw from the plan at any time prior to the ending date and receive back all contributions made during the plan year. Compensation expense for plan participants was $1.0 million and $0.5 million for the three month periods ended April 4, 2015 and March 29, 2014, respectively.

Franchisee Stock Purchase Plan

All franchisees in the United States and Canada are eligible to participate in a franchisee stock purchase plan. The purchase price of the company’s common stock to participants is the lesser of the mean of the high and low price of the stock on the beginning date (May 15) or ending date (the following May 14) of each plan year. There were no share issuances under this plan for the three month periods ended April 4, 2015 and March 29, 2014. As of April 4, 2015, a total of 230,337 shares remain reserved for issuance under this plan and Snap-on held approximately $4.7 million of participants’ contributions. Participants are able to withdraw from the plan at any time prior to the ending date and receive back all contributions made during the plan year. Expense for plan participants was $1.2 million and $0.3 million for the three month periods ended April 4, 2015 and March 29, 2014, respectively.

Note 13: Earnings Per Share

The shares used in the computation of the company’s basic and diluted earnings per common share are as follows:

	Three Months Ended
	April 4, 2015		March 29, 2014
Weighted-average common shares outstanding		58,132,396		58,206,213
Effect of dilutive securities		972,913		871,042
Weighted-average common shares outstanding, assuming dilution		59,105,309		59,077,255

The dilutive effect of the potential exercise of outstanding options and stock-settled SARs to purchase common shares is calculated using the treasury stock method. As of April 4, 2015, and March 29, 2014, there were 741,495 shares and 756,170 shares, respectively, outstanding that were anti-dilutive. Performance-based equity awards do not affect the diluted earnings per share calculation until it is determined that the applicable performance metrics have been met.

26

SNAP-ON INCORPORATED

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Note 14: Commitments and Contingencies

Snap-on provides product warranties for specific product lines and accrues for estimated future warranty cost in the period in which the sale is recorded. Snap-on calculates its accrual requirements based on historic warranty loss experience that is periodically adjusted for recent actual experience, including the timing of claims during the warranty period and actual costs incurred. Snap-on’s product warranty accrual activity for the three month periods ended April 4, 2015, and March 29, 2014, is as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Warranty reserve:
Beginning of year	$	17.3	$	17.0
Additions		3.7		2.9
Usage		(3.9)		(3.2)
End of period	$	17.1	$	16.7

Snap-on is involved in various legal matters that are being litigated and/or settled in the ordinary course of business. Although it is not possible to predict the outcome of these legal matters, management believes that the results of these legal matters will not have a material impact on Snap-on’s consolidated financial position, results of operations or cash flows.

Note 15: Other Income (Expense) – Net

“Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings consists of the following:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Interest income	$	0.1	$	0.1
Net foreign exchange loss		(0.8)		(0.2)
Total other income (expense) – net	$	(0.7)	$	(0.1)

Note 16: Accumulated Other Comprehensive Income (Loss)

The following is a summary of first quarter fiscal 2015 changes in Accumulated OCI by component and net of tax:

(Amounts in millions)	Foreign Currency Translation		Cash Flow Hedges		Defined Benefit Pension and Postretirement Plans		Total
Balance as of January 3, 2015	$	(7.7)	$	1.0	$	(241.5)	$	(248.2)
Other comprehensive loss before reclassifications		(96.3)		–		–		(96.3)
Amounts reclassified from Accumulated OCI		–		(0.1)		5.4		5.3
Net other comprehensive income (loss)		(96.3)		(0.1)		5.4		(91.0)
Balance as of April 4, 2015	$	(104.0)	$	0.9	$	(236.1)	$	(339.2)

27

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NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

The following is a summary of first quarter fiscal 2014 changes in Accumulated OCI by component and net of tax:

(Amounts in millions)	Foreign Currency Translation		Cash Flow Hedges		Defined Benefit Pension and Postretirement Plans		Total
Balance as of December 28, 2013	$	121.1	$	1.3	$	(167.2)	$	(44.8)
Other comprehensive income before reclassifications		4.7		–		–		4.7
Amounts reclassified from Accumulated OCI		–		(0.1)		3.3		3.2
Net other comprehensive income (loss)		4.7		(0.1)		3.3		7.9
Balance as of March 29, 2014	$	125.8	$	1.2	$	(163.9)	$	(36.9)

The reclassifications out of Accumulated OCI for the three month periods ended April 4, 2015, and March 29, 2014, are as follows:

	Amount Reclassified from Accumulated OCI Three Months Ended
Details about Accumulated OCI Components	April 4, 2015		March 29, 2014		Statement of Earnings Presentation
(Amounts in millions)
Gains on cash flow hedges:
Treasury locks	$	0.1	$	0.1	Interest expense
Income tax expense		–		–	Income tax expense
Net of tax		0.1		0.1
Amortization of net unrecognized losses and prior service credits included in net periodic pension cost		(8.8)		(5.2)	See footnote below*
Income tax benefit		3.4		1.9	Income tax expense
Net of tax		(5.4)		(3.3)
Total reclassifications for the period, net of tax	$	(5.3)	$	(3.2)

* These Accumulated OCI components are included in the computation of net periodic pension cost; see Note 10 for further information.

Note 17: Segments

Snap-on’s business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. Snap-on’s reportable business segments are: (i) the Commercial & Industrial Group; (ii) the Snap-on Tools Group; (iii) the Repair Systems & Information Group; and (iv) Financial Services. The Commercial & Industrial Group consists of business operations serving a broad range of industrial and commercial customers worldwide, primarily through direct and distributor channels. The Snap-on Tools Group consists of business operations primarily serving vehicle service and repair technicians through the company’s worldwide mobile tool distribution channel. The Repair Systems & Information Group consists of business operations serving other professional vehicle repair customers worldwide, primarily owners and managers of independent repair shops and original equipment manufacturer (“OEM”) dealership service and repair shops (“OEM dealerships”), through direct and distributor channels. Financial Services consists of the business operations of Snap-on’s finance subsidiaries.

28

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NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(Unaudited)

Snap-on evaluates the performance of its operating segments based on segment revenues, including both external and intersegment net sales, and segment operating earnings. Snap-on accounts for intersegment sales and transfers based primarily on standard costs with reasonable mark-ups established between the segments. Identifiable assets by segment are those assets used in the respective reportable segment’s operations. Corporate assets consist of cash and cash equivalents (excluding cash held at Financial Services), deferred income taxes and certain other assets. All significant intersegment amounts are eliminated to arrive at Snap-on’s consolidated financial results. Financial data by segment was as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Net sales:
Commercial & Industrial Group	$	297.5	$	290.6
Snap-on Tools Group		378.2		343.6
Repair Systems & Information Group		272.3		262.7
Segment net sales		948.0		896.9
Intersegment eliminations		(120.2)		(109.4)
Total net sales	$	827.8	$	787.5
Financial Services revenue		57.4		50.2
Total revenues	$	885.2	$	837.7
Operating earnings:
Commercial & Industrial Group	$	44.0	$	39.1
Snap-on Tools Group		59.8		49.2
Repair Systems & Information Group		63.9		58.1
Financial Services		40.3		34.4
Segment operating earnings		208.0		180.8
Corporate		(29.8)		(24.7)
Operating earnings	$	178.2	$	156.1
Interest expense		(13.0)		(13.7)
Other income (expense) – net		(0.7)		(0.1)
Earnings before income taxes and equity earnings	$	164.5	$	142.3
(Amounts in millions)	April 4, 2015		January 3, 2015
Assets:
Commercial & Industrial Group	$	897.8	$	939.7
Snap-on Tools Group		616.9		600.1
Repair Systems & Information Group		1,024.2		1,036.8
Financial Services		1,389.7		1,368.3
Total assets from reportable segments	$	3,928.6	$	3,944.9
Corporate		377.0		401.7
Elimination of intersegment receivables		(43.2)		(36.5)
Total assets	$	4,262.4	$	4,310.1

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SNAP-ON INCORPORATED

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS

OF OPERATIONS

Item 2: Management’s Discussion and Analysis of Financial Condition and Results of Operations

Caution Regarding Forward-Looking Statements:

Statements in this document that are not historical facts, including statements that (i) are in the future tense; (ii) include the words “expects,” “plans,” “targets,” “estimates,” “believes,” “anticipates,” or similar words that reference Snap-on Incorporated (“Snap-on” or “the company”) or its management; (iii) are specifically identified as forward-looking; or (iv) describe Snap-on’s or management’s future outlook, plans, estimates, objectives or goals, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Snap-on cautions the reader that any forward-looking statements included in this document that are based upon assumptions and estimates were developed by management in good faith and are subject to risks, uncertainties or other factors that could cause (and in some cases have caused) actual results to differ materially from those described in any such statement. Accordingly, forward-looking statements should not be relied upon as a prediction of actual results or regarded as a representation by the company or its management that the projected results will be achieved. For those forward-looking statements, Snap-on cautions the reader that numerous important factors, such as those listed below, as well as those factors discussed in its Annual Report on Form 10-K for the fiscal year ended January 3, 2015, which are incorporated herein by reference, could affect the company’s actual results and could cause its actual consolidated results to differ materially from those expressed in any forward-looking statement made by, or on behalf of, Snap-on.

These risks and uncertainties include, without limitation, uncertainties related to estimates, statements, assumptions and projections generally, and the timing and progress with which Snap-on can attain value through its Snap-on Value Creation Processes, including its ability to realize efficiencies and savings from its rapid continuous improvement and other cost reduction initiatives, improve workforce productivity, achieve improvements in the company’s manufacturing footprint and greater efficiencies in its supply chain, and enhance machine maintenance, plant productivity and manufacturing line set-up and change-over practices, any or all of which could result in production inefficiencies, higher costs and/or lost revenues. These risks also include uncertainties related to Snap-on’s capability to implement future strategies with respect to its existing businesses, its ability to refine its brand and franchise strategies, retain and attract franchisees, further enhance service and value to franchisees and thereby help improve their sales and profitability, introduce successful new products, successfully pursue, complete and integrate acquisitions, as well as its ability to withstand disruption arising from natural disasters, planned facility closures or other labor interruptions, the effects of external negative factors, including adverse developments in world financial markets, weakness in certain areas of the global economy, and significant changes in the current competitive environment, inflation, interest rates and other monetary and market fluctuations, changes in tax rates and regulations, and the impact of energy and raw material supply and pricing, including steel and gasoline, the amount, rate and growth of Snap-on’s general and administrative expenses, including health care and postretirement costs (resulting from, among other matters, U.S. health care legislation and its implementation), continuing and potentially increasing required contributions to pension and postretirement plans, the impacts of non-strategic business and/or product line rationalizations, and the effects on business as a result of new legislation, regulations or government-related developments or issues, risks associated with data security and technological systems and protections, and other world or local events outside Snap-on’s control, including terrorist disruptions. Snap-on disclaims any responsibility to update any forward-looking statement provided in this document, except as required by law.

In addition, investors should be aware that generally accepted accounting principles in the United States of America (“U.S. GAAP”) prescribe when a company should reserve for particular risks, including litigation exposures. Accordingly, results for a given reporting period could be significantly affected if and when a reserve is established for a major contingency. Reported results, therefore, may appear to be volatile in certain accounting periods.

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MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

(continued)

RESULTS OF OPERATIONS

Results of operations for the three month periods ended April 4, 2015, and March 29, 2014, are as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015			March 29, 2014			Change
Net sales	$	827.8	100.0%	$	787.5	100.0%	$	40.3	5.1%
Cost of goods sold		(417.7)	-50.5%		(408.8)	-51.9%		(8.9)	-2.2%
Gross profit		410.1	49.5%		378.7	48.1%		31.4	8.3%
Operating expenses		(272.2)	-32.8%		(257.0)	-32.6%		(15.2)	-5.9%
Operating earnings before financial services		137.9	16.7%		121.7	15.5%		16.2	13.3%
Financial services revenue		57.4	100.0%		50.2	100.0%		7.2	14.3%
Financial services expenses		(17.1)	-29.8%		(15.8)	-31.5%		(1.3)	-8.2%
Operating earnings from financial services		40.3	70.2%		34.4	68.5%		5.9	17.2%
Operating earnings		178.2	20.1%		156.1	18.6%		22.1	14.2%
Interest expense		(13.0)	-1.4%		(13.7)	-1.6%		0.7	5.1%
Other income (expense) – net		(0.7)	-0.1%		(0.1)	–		(0.6)	NM
Earnings before income taxes and equity earnings		164.5	18.6%		142.3	17.0%		22.2	15.6%
Income tax expense		(51.8)	-5.9%		(44.3)	-5.3%		(7.5)	-16.9%
Earnings before equity earnings		112.7	12.7%		98.0	11.7%		14.7	15.0%
Equity earnings, net of tax		0.5	0.1%		0.2	–		0.3	150.0%
Net earnings		113.2	12.8%		98.2	11.7%		15.0	15.3%
Net earnings attributable to noncontrolling interests		(2.7)	-0.3%		(2.3)	-0.3%		(0.4)	-17.4%
Net earnings attributable to Snap-on Inc.	$	110.5	12.5%	$	95.9	11.4%	$	14.6	15.2%

NM: Not meaningful

Percentage Disclosure: All income statement line item percentages below “Operating earnings from financial services” are calculated as a percentage of the sum of Net sales and Financial services revenue.

Net sales of $827.8 million in the first quarter of 2015 increased $40.3 million, or 5.1%, from 2014 levels, including $38.5 million of unfavorable foreign currency translation and $4.9 million of acquisition-related sales. Organic sales (excluding foreign currency translation impacts and acquisition-related sales) in the first quarter of 2015 increased $73.9 million, or 9.9%, from 2014 levels. Snap-on has significant international operations and is subject to risks inherent with foreign operations, including foreign currency translation fluctuations.

Gross profit of $410.1 million in the first quarter of 2015 increased $31.4 million from $378.7 million last year. Gross margin (gross profit as a percentage of net sales) of 49.5% in the quarter increased 140 basis points (100 basis points (“bps”) equals 1.0 percent) from 48.1% last year primarily due to benefits from higher sales, lower restructuring costs and savings from ongoing efficiency and productivity initiatives, including benefits from prior restructuring actions (collectively, “Rapid Continuous Improvement” or “RCI initiatives”). Restructuring costs included in gross profit were zero and $2.0 million in the first quarters of 2015 and 2014, respectively.

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MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

(continued)

Operating expenses of $272.2 million in the first quarter of 2015 increased $15.2 million from $257.0 million last year primarily due to higher volume-related and other expenses partially offset by savings from RCI initiatives. The operating expense margin (operating expenses as a percentage of net sales) of 32.8% in the quarter increased 20 bps from 32.6% last year.

Operating earnings before financial services of $137.9 million in the first quarter of 2015, including $6.4 million of unfavorable foreign currency effects, increased $16.2 million, or 13.3%, as compared to $121.7 million last year. As a percentage of net sales, operating earnings before financial services of 16.7% in the quarter improved 120 bps from 15.5% last year.

Financial services operating earnings of $40.3 million on revenue of $57.4 million in the first quarter of 2015 compared to operating earnings of $34.4 million on revenue of $50.2 million last year. The year-over-year increases in both revenue and operating earnings primarily reflect continued growth of the company’s financial services portfolio.

Operating earnings of $178.2 million in the first quarter of 2015, including $6.9 million of unfavorable foreign currency effects, increased $22.1 million, or 14.2%, from $156.1 million last year. As a percentage of revenues (net sales plus financial services revenue), operating earnings of 20.1% in the quarter improved 150 bps from 18.6% last year.

Interest expense of $13.0 million in the first quarter of 2015 decreased $0.7 million from $13.7 million last year. See Note 8 to the Condensed Consolidated Financial Statements for information on Snap-on’s debt and credit facilities.

Other income (expense) – net was expense of $0.7 million and $0.1 million in the first quarters of 2015 and 2014, respectively. Other income (expense) – net reflects net losses and gains associated with hedging and currency exchange rate transactions, and interest income. See Note 15 to the Condensed Consolidated Financial Statements for information on other income (expense) – net.

Snap-on’s effective income tax rate on earnings attributable to Snap-on was 32.0% in the first quarter of 2015 and 31.6% in the first quarter of 2014. See Note 7 to the Condensed Consolidated Financial Statements for information on income taxes.

Net earnings attributable to Snap-on of $110.5 million, or $1.87 per diluted share, in the first quarter of 2015 increased $14.6 million, or $0.25 per diluted share, from 2014 levels. Net earnings attributable to Snap-on in the first quarter of 2014 were $95.9 million or $1.62 per diluted share.

On May 28, 2014, Snap-on acquired substantially all of the assets of Pro-Cut International, Inc. (“Pro-Cut”) for a cash purchase price of $41.3 million. Pro-Cut designs, manufactures and distributes on-car brake lathes, related equipment and accessories used in brake servicing by automotive repair facilities. The acquisition of the Pro-Cut product line complemented and increased Snap-on’s existing undercar equipment product offering, broadened its established capabilities in serving vehicle repair facilities and expanded the company’s presence with repair shop owners and managers. For segment reporting purposes, the results of operations and assets of Pro-Cut have been included in the Repair Systems & Information Group since the date of acquisition.

Exit and Disposal Activities

Snap-on did not record any costs for exit and disposal activities in the first quarter of 2015; Snap-on recorded costs for exit and disposal activities of $2.0 million in the first quarter of 2014. See Note 6 to the Condensed Consolidated Financial Statements for information on Snap-on’s exit and disposal activities.

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Segment Results

Snap-on’s business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. Snap-on’s reportable business segments are: (i) the Commercial & Industrial Group; (ii) the Snap-on Tools Group; (iii) the Repair Systems & Information Group; and (iv) Financial Services. The Commercial & Industrial Group consists of business operations serving a broad range of industrial and commercial customers worldwide, primarily through direct and distributor channels. The Snap-on Tools Group consists of business operations primarily serving vehicle service and repair technicians through the company’s worldwide mobile tool distribution channel. The Repair Systems & Information Group consists of business operations serving other professional vehicle repair customers worldwide, primarily owners and managers of independent repair shops and original equipment manufacturer (“OEM”) dealership service and repair shops (“OEM dealerships”), through direct and distributor channels. Financial Services consists of the business operations of Snap-on’s finance subsidiaries.

Snap-on evaluates the performance of its operating segments based on segment revenues, including both external and intersegment net sales, and segment operating earnings. Snap-on accounts for intersegment sales and transfers based primarily on standard costs with reasonable mark-ups established between the segments. Identifiable assets by segment are those assets used in the respective reportable segment’s operations. Corporate assets consist of cash and cash equivalents (excluding cash held at Financial Services), deferred income taxes and certain other assets. All significant intersegment amounts are eliminated to arrive at Snap-on’s consolidated financial results.

Commercial & Industrial Group

	Three Months Ended
(Amounts in millions)	April 4, 2015			March 29, 2014			Change
External net sales	$	234.0	78.7%	$	236.6	81.4%	$	(2.6)	-1.1%
Intersegment net sales		63.5	21.3%		54.0	18.6%		9.5	17.6%
Segment net sales		297.5	100.0%		290.6	100.0%		6.9	2.4%
Cost of goods sold		(181.0)	-60.8%		(177.9)	-61.2%		(3.1)	-1.7%
Gross profit		116.5	39.2%		112.7	38.8%		3.8	3.4%
Operating expenses		(72.5)	-24.4%		(73.6)	-25.3%		1.1	1.5%
Segment operating earnings	$	44.0	14.8%	$	39.1	13.5%	$	4.9	12.5%

Segment net sales of $297.5 million in the first quarter of 2015 increased $6.9 million, or 2.4%, from 2014 levels. Excluding $19.6 million of unfavorable foreign currency translation, organic sales increased $26.5 million, or 9.8%, primarily reflecting similar sales strength in both critical industries and in the segment’s European-based hand tools business.

Segment gross profit of $116.5 million in the first quarter of 2015 increased $3.8 million from 2014 levels. Gross margin of 39.2% in the quarter improved 40 bps from 38.8% last year largely due to savings from RCI initiatives, primarily in Europe.

Segment operating expenses of $72.5 million in the first quarter of 2015 decreased $1.1 million from 2014 levels. The operating expense margin of 24.4% in the quarter improved 90 bps from 25.3% last year primarily due to sales volume leverage.

As a result of these factors, segment operating earnings of $44.0 million in the first quarter of 2015, including $1.3 million of unfavorable foreign currency effects, increased $4.9 million from 2014 levels. Operating margin (segment operating earnings as a percentage of segment net sales) for the Commercial & Industrial Group of 14.8% in the first quarter of 2015 improved 130 bps from 13.5% last year.

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Snap-on Tools Group

	Three Months Ended
(Amounts in millions)	April 4, 2015			March 29, 2014			Change
Segment net sales	$	378.2	100.0%	$	343.6	100.0%	$	34.6	10.1%
Cost of goods sold		(211.9)	-56.0%		(195.6)	-56.9%		(16.3)	-8.3%
Gross profit		166.3	44.0%		148.0	43.1%		18.3	12.4%
Operating expenses		(106.5)	-28.2%		(98.8)	-28.8%		(7.7)	-7.8%
Segment operating earnings	$	59.8	15.8%	$	49.2	14.3%	$	10.6	21.5%

Segment net sales of $378.2 million in the first quarter of 2015 increased $34.6 million, or 10.1%, from 2014 levels. Excluding $8.7 million of unfavorable foreign currency translation, organic sales increased $43.3 million, or 12.9%, reflecting double-digit sales gains in both the company’s U.S. and international franchise operations.

Segment gross profit of $166.3 million in the first quarter of 2015 increased $18.3 million from 2014 levels. Gross margin of 44.0% in the quarter improved 90 bps from 43.1% last year primarily due to benefits from higher sales.

Segment operating expenses of $106.5 million in the first quarter of 2015 increased $7.7 million from 2014 levels primarily due to higher volume-related expenses. The operating expense margin of 28.2% in the quarter improved 60 bps from 28.8% last year primarily due to sales volume leverage.

As a result of these factors, segment operating earnings of $59.8 million in the first quarter of 2015, including $3.0 million of unfavorable foreign currency effects, increased $10.6 million from 2014 levels. Operating margin for the Snap-on Tools Group of 15.8% in the first quarter of 2015 improved 150 bps from 14.3% last year.

Repair Systems & Information Group

	Three Months Ended
(Amounts in millions)	April 4, 2015			March 29, 2014			Change
External net sales	$	215.6	79.2%	$	207.3	78.9%	$	8.3	4.0%
Intersegment net sales		56.7	20.8%		55.4	21.1%		1.3	2.3%
Segment net sales		272.3	100.0%		262.7	100.0%		9.6	3.7%
Cost of goods sold		(145.0)	-53.2%		(144.7)	-55.1%		(0.3)	-0.2%
Gross profit		127.3	46.8%		118.0	44.9%		9.3	7.9%
Operating expenses		(63.4)	-23.3%		(59.9)	-22.8%		(3.5)	-5.8%
Segment operating earnings	$	63.9	23.5%	$	58.1	22.1%	$	5.8	10.0%

Segment net sales of $272.3 million in the first quarter of 2015 increased $9.6 million, or 3.7%, from 2014 levels. Excluding $11.2 million of unfavorable foreign currency translation and $4.9 million of acquisition-related sales, organic sales increased $15.9 million or 6.3%. The organic sales increase primarily reflects a high single-digit gain in sales of undercar equipment, as well as mid single-digit gains in both sales to OEM dealerships and sales of diagnostic and repair information products to independent repair shop owners and managers.

Segment gross profit of $127.3 million in the first quarter of 2015 increased $9.3 million from 2014 levels. Gross margin of 46.8% in the quarter improved 190 bps from 44.9% last year, primarily due to savings from RCI and other cost reduction initiatives and lower restructuring costs. Restructuring costs included in gross profit were zero and $2.0 million in the first quarters of 2015 and 2014, respectively.

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Segment operating expenses of $63.4 million in the first quarter of 2015 increased $3.5 million from 2014 levels primarily due to higher volume-related and other expenses, including operating expenses for Pro-Cut, partially offset by savings from RCI initiatives. The operating expense margin of 23.3% increased 50 bps from 22.8% last year primarily due to the operating expenses of Pro-Cut.

As a result of these factors, segment operating earnings of $63.9 million in the first quarter of 2015, including $2.1 million of unfavorable foreign currency effects, increased $5.8 million from 2014 levels. Operating margin for the Repair Systems & Information Group of 23.5% in the first quarter of 2015 improved 140 bps from 22.1% last year.

Financial Services

	Three Months Ended
(Amounts in millions)	April 4, 2015			March 29, 2014			Change
Financial services revenue	$	57.4	100.0%	$	50.2	100.0%	$	7.2	14.3%
Financial services expenses		(17.1)	-29.8%		(15.8)	-31.5%		(1.3)	-8.2%
Segment operating earnings	$	40.3	70.2%	$	34.4	68.5%	$	5.9	17.2%

Financial services operating earnings of $40.3 million on revenue of $57.4 million in the first quarter of 2015 compared to operating earnings of $34.4 million on revenue of $50.2 million last year. The $7.2 million increase in financial services revenue primarily reflects $6.3 million of higher revenue as a result of continued growth of the company’s financial services portfolio and $0.7 million of increased revenue from higher average yields on finance receivables. In the first quarters of 2015 and 2014, the average yield on finance receivables was 17.7% and 17.5%, respectively, and the average yield on contract receivables was 9.5% in both periods. Originations of $230.7 million in the first quarter of 2015 increased $28.6 million, or 14.2%, from 2014 levels.

Financial services expenses primarily include personnel-related and other general and administrative costs, as well as provisions for doubtful accounts. These expenses are generally more dependent on changes in the size of the financial services portfolio than they are on the revenue of the segment. Financial services expenses of $17.1 million in the first quarter of 2015 compared to financial services expenses of $15.8 million in 2014. As a percentage of the average financial services portfolio, financial services expenses were 1.2% and 1.3% in the first quarters of 2015 and 2014, respectively.

See Note 3 to the Condensed Consolidated Financial Statements for further information on financial services.

Corporate

Snap-on’s first quarter 2015 general corporate expenses of $29.8 million increased $5.1 million from $24.7 million last year primarily due to increased performance-based and stock-based compensation expenses, as well as planned higher pension expense.

Non-GAAP Supplemental Data

The supplemental data is presented for informational purposes to provide readers with insight into the information used by management for assessing the operating performance of Snap-on Incorporated’s (“Snap-on”) non-financial services (“Operations”) and “Financial Services” businesses.

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The supplemental Operations data reflects the results of operations and financial position of Snap-on’s tools, diagnostic and equipment products, software and other non-financial services operations with Financial Services on the equity method. The supplemental Financial Services data reflects the results of operations and financial position of Snap-on’s U.S. and international financial services operations. The financing needs of Financial Services are met through intersegment borrowings and cash generated from Operations; Financial Services is charged interest expense on intersegment borrowings at market rates. Income taxes are charged to Financial Services on the basis of the specific tax attributes generated by the U.S. and international financial services businesses. Transactions between the Operations and Financial Services businesses were eliminated to arrive at the Condensed Consolidated Financial Statements.

Supplemental Consolidating Data – Supplemental Condensed Statements of Earnings information for the three month periods ended April 4, 2015, and March 29, 2014, is as follows:

	Operations*				Financial Services
(Amounts in millions)	April 4, 2015		March 29, 2014		April 4, 2015		March 29, 2014
Net sales	$	827.8	$	787.5	$	–	$	–
Cost of goods sold		(417.7)		(408.8)		–		–
Gross profit		410.1		378.7		–		–
Operating expenses		(272.2)		(257.0)		–		–
Operating earnings before financial services		137.9		121.7		–		–
Financial services revenue		–		–		57.4		50.2
Financial services expenses		–		–		(17.1)		(15.8)
Operating earnings from financial services		–		–		40.3		34.4
Operating earnings		137.9		121.7		40.3		34.4
Interest expense		(12.9)		(13.5)		(0.1)		(0.2)
Intersegment interest income (expense) – net		15.0		13.4		(15.0)		(13.4)
Other income (expense) – net		(0.7)		(0.1)		–		–
Earnings before income taxes and equity earnings		139.3		121.5		25.2		20.8
Income tax expense		(42.5)		(36.7)		(9.3)		(7.6)
Earnings before equity earnings		96.8		84.8		15.9		13.2
Financial services – net earnings attributable to Snap-on		15.9		13.2		–		–
Equity earnings, net of tax		0.5		0.2		–		–
Net earnings		113.2		98.2		15.9		13.2
Net earnings attributable to noncontrolling interests		(2.7)		(2.3)		–		–
Net earnings attributable to Snap-on	$	110.5	$	95.9	$	15.9	$	13.2

* Snap-on with Financial Services on the equity method.

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Supplemental Consolidating Data – Supplemental Condensed Balance Sheet information as of April 4, 2015, and January 3, 2015, is as follows:

	Operations*				Financial Services
(Amounts in millions)	April 4, 2015		January 3, 2015		April 4, 2015		January 3, 2015
ASSETS
Current assets
Cash and cash equivalents	$	114.2	$	132.8	$	0.2	$	0.1
Intersegment receivables		15.6		16.0		–		–
Trade and other accounts receivable – net		548.1		550.5		0.3		0.3
Finance receivables – net		–		–		408.6		402.4
Contract receivables – net		7.5		7.6		62.7		66.9
Inventories – net		482.3		475.5		–		–
Deferred income tax assets		76.7		85.4		15.4		15.6
Prepaid expenses and other assets		131.7		125.5		1.1		0.9
Total current assets		1,376.1		1,393.3		488.3		486.2
Property and equipment – net		395.3		403.4		0.9		1.1
Investment in Financial Services		221.3		218.9		–		–
Deferred income tax assets		87.5		92.9		0.3		0.3
Intersegment long-term notes receivable		241.9		232.1		–		–
Long-term finance receivables – net		–		–		667.2		650.5
Long-term contract receivables – net		12.7		12.8		232.0		229.2
Goodwill		778.3		810.7		–		–
Other intangibles – net		198.8		203.3		–		–
Other assets		50.3		50.9		1.0		1.0
Total assets	$	3,362.2	$	3,418.3	$	1,389.7	$	1,368.3

* Snap-on with Financial Services on the equity method.

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Supplemental Consolidating Data – Condensed Balance Sheets Information (continued):

	Operations*				Financial Services
(Amounts in millions)	April 4, 2015		January 3, 2015		April 4, 2015		January 3, 2015
LIABILITIES AND EQUITY
Current liabilities
Notes payable	$	78.8	$	56.6	$	–	$	–
Accounts payable		161.9		144.7		0.1		0.3
Intersegment payables		–		–		15.6		16.0
Accrued benefits		54.6		53.8		0.1		–
Accrued compensation		70.7		95.2		1.2		4.0
Franchisee deposits		66.9		65.8		–		–
Other accrued liabilities		267.6		285.0		30.1		18.2
Total current liabilities		700.5		701.1		47.1		38.5
Long-term debt and intersegment long-term debt		–		–		1,106.3		1,094.8
Deferred income tax liabilities		158.5		158.6		0.2		0.6
Retiree health care benefits		41.4		42.5		–		–
Pension liabilities		196.3		217.9		–		–
Other long-term liabilities		77.2		72.9		14.8		15.5
Total liabilities		1,173.9		1,193.0		1,168.4		1,149.4
Total shareholders’ equity attributable to Snap-on Inc.		2,170.6		2,207.8		221.3		218.9
Noncontrolling interests		17.7		17.5		–		–
Total equity		2,188.3		2,225.3		221.3		218.9
Total liabilities and equity	$	3,362.2	$	3,418.3	$	1,389.7	$	1,368.3

* Snap-on with Financial Services on the equity method.

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Liquidity and Capital Resources

Snap-on’s growth has historically been funded by a combination of cash provided by operating activities and debt financing. Snap-on believes that its cash from operations and collections of finance receivables, coupled with its sources of borrowings and available cash on hand, are sufficient to fund its currently anticipated requirements for payments of interest and dividends, new receivables originated by our financial services businesses, capital expenditures, working capital, restructuring activities, the funding of pension plans, and funding for share repurchases and acquisitions, as they arise. Due to Snap-on’s credit rating over the years, external funds have been available at an acceptable cost. As of the close of business on April 17, 2015, Snap-on’s long-term debt and commercial paper were rated, respectively, A3 and P-2 by Moody’s Investors Service; A- and A-2 by Standard & Poor’s; and A- and F2 by Fitch Ratings. Snap-on believes that its current credit arrangements are sound and that the strength of its balance sheet affords the company the financial flexibility to respond to both internal growth opportunities and those available through acquisitions. However, Snap-on cannot provide any assurances of the availability of future financing or the terms on which it might be available, or that its debt ratings may not decrease.

The following discussion focuses on information included in the accompanying Condensed Consolidated Balance Sheets.

As of April 4, 2015, working capital (current assets less current liabilities) of $1,116.8 million decreased $23.1 million from $1,139.9 million as of January 3, 2015 (fiscal 2014 year end).

The following represents the company’s working capital position as of April 4, 2015, and January 3, 2015:

(Amounts in millions)	April 4, 2015		January 3, 2015
Cash and cash equivalents	$	114.4	$	132.9
Trade and other accounts receivable – net		548.4		550.8
Finance receivables – net		408.6		402.4
Contract receivables – net		70.2		74.5
Inventories – net		482.3		475.5
Other current assets		219.4		222.5
Total current assets		1,843.3		1,858.6
Notes payable		(78.8)		(56.6)
Accounts payable		(162.0)		(145.0)
Other current liabilities		(485.7)		(517.1)
Total current liabilities		(726.5)		(718.7)
Total working capital	$	1,116.8	$	1,139.9

Cash and cash equivalents of $114.4 million as of April 4, 2015, decreased $18.5 million from 2014 year-end levels. The $18.5 million net decrease in cash and cash equivalents includes the impacts of (i) the funding of $198.8 million of new finance receivables; (ii) the repurchase of 340,000 shares of the company’s common stock for $49.7 million; (iii) dividend payments to shareholders of $30.9 million; and (iv) the funding of $18.1 million of capital expenditures. These decreases in cash and cash equivalents were partially offset by (i) $160.2 million of cash from collections of finance receivables; (ii) $78.1 million of cash generated from operations, net of $15.0 million of discretionary cash contributions to the company’s domestic pension plans; (iii) $22.8 million of cash, excluding $0.6 million of currency translation impacts, from a net increase in short-term borrowings; and (iv) $14.5 million of cash proceeds from stock purchase and option plan exercises.

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Of the $114.4 million of cash and cash equivalents as of April 4, 2015, $94.8 million was held outside of the United States. Snap-on maintains non-U.S. funds in its foreign operations to (i) provide adequate working capital; (ii) satisfy various regulatory requirements; and/or (iii) take advantage of business expansion opportunities as they arise. The repatriation of cash from certain foreign subsidiaries could have adverse net tax consequences on the company should Snap-on be required to pay and record U.S. income taxes and foreign withholding taxes on such funds. Alternatively, the repatriation of cash from certain other foreign subsidiaries could result in favorable net tax consequences for the company. Snap-on periodically evaluates its cash held outside the United States and may pursue opportunities to repatriate certain foreign cash amounts to the extent that it does not incur unfavorable net tax consequences.

Trade and other accounts receivable – net of $548.4 million as of April 4, 2015, decreased $2.4 million from 2014 year-end levels; excluding $18.4 million of currency translation impacts, trade and other accounts receivable – net increased $16.0 million, largely due to higher sales. Days sales outstanding (trade and other accounts receivable – net as of the respective period end, divided by the respective trailing 12 months sales, times 360 days) was 60 days at April 4, 2015, and 61 days at 2014 year end.

The current portions of net finance and contract receivables of $478.8 million as of April 4, 2015, compared to $476.9 million at 2014 year end. The long-term portions of net finance and contract receivables of $911.9 million as of April 4, 2015, compared to $892.5 million at 2014 year end. The combined $21.3 million increase in net current and long-term finance and contract receivables over 2014 year-end levels is primarily due to continued growth of the company’s financial services portfolio; excluding $12.6 million of currency translation impacts, the combined increase for these receivables over 2014 year-end levels was $33.9 million.

Inventories of $482.3 million as of April 4, 2015, increased $6.8 million from 2014 year-end levels; excluding $16.9 million of currency translation impacts, inventories increased $23.7 million primarily to support continued higher customer demand and new product introductions. Inventory turns (trailing 12 months of cost of goods sold, divided by the average of the beginning and ending inventory balance for the trailing 12 months) were 3.6 turns and 3.7 turns as of April 4, 2015, and January 3, 2015, respectively. Inventories accounted for using the first-in, first-out (“FIFO”) method as of April 4, 2015, and January 3, 2015, approximated 57% and 58%, respectively, of total inventories. All other inventories are accounted for using the last-in, first-out (“LIFO”) method. The company’s LIFO reserve was $72.9 million and $72.6 million as of April 4, 2015, and January 3, 2015, respectively.

Notes payable of $78.8 million as of April 4, 2015 included $52.5 million of commercial paper borrowings and $26.3 million of other notes. Notes payable of $56.6 million as of 2014 year end included $37.0 million of commercial paper borrowings and $19.6 million of other notes. There were no current maturities of long-term debt as of both April 4, 2015, and January 3, 2015.

Accounts payable of $162.0 million as of April 4, 2015 increased $17.0 million from 2014 year-end levels; excluding $4.1 million of currency translation impacts, accounts payable increased $21.1 million primarily due to the timing of payments.

Other accrued liabilities of $292.2 million as of April 4, 2015, decreased $6.1 million from 2014 year-end levels; excluding $8.6 million of currency translation impacts, other accrued liabilities increased $2.5 million.

Long-term debt of $864.4 million as of April 4, 2015, consisted of (i) $150 million of unsecured 5.50% notes that mature in 2017; (ii) $250 million of unsecured 4.25% notes that mature in 2018; (iii) $200 million of unsecured 6.70% notes that mature in 2019; (iv) $250 million of unsecured 6.125% notes that mature in 2021; and (v) $14.4 million of other long-term debt, including fair value adjustments related to interest rate swaps.

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Snap-on has a five-year, $700 million multi-currency revolving credit facility that terminates on September 27, 2018 (the “Credit Facility”); no amounts were outstanding under the Credit Facility as of April 4, 2015. Borrowings under the Credit Facility bear interest at varying rates based on Snap-on’s then-current, long-term debt ratings. The Credit Facility’s financial covenant requires that Snap-on maintain, as of each fiscal quarter end, either (i) a ratio not greater than 0.60 to 1.00 of consolidated net debt (consolidated debt net of certain cash adjustments) to the sum of such consolidated net debt plus total equity and less accumulated other comprehensive income or loss; or (ii) a ratio not greater than 3.50 to 1.00 of such consolidated net debt to earnings before interest, taxes, depreciation, amortization and certain other adjustments for the preceding four fiscal quarters then ended. As of April 4, 2015, the company’s actual ratios of 0.27 and 1.14, respectively, were both within the permitted ranges set forth in this financial covenant.

Snap-on’s Credit Facility and other debt agreements also contain certain usual and customary borrowing, affirmative, negative and maintenance covenants. As of April 4, 2015, Snap-on was in compliance with all covenants of its Credit Facility and other debt agreements.

Snap-on believes it has sufficient available cash and access to both committed and uncommitted credit facilities to cover its expected funding needs on both a short-term and long-term basis. Snap-on manages its aggregate short-term borrowings so as not to exceed its availability under the revolving Credit Facility. If the need were to arise, Snap-on believes that it could access short-term debt markets, predominantly through commercial paper issuances and existing lines of credit, to fund its short-term requirements and to ensure near-term liquidity. Snap-on regularly monitors the credit and financial markets and, in the future, may take advantage of what it believes are favorable market conditions to issue long-term debt to further improve its liquidity and capital resources. Near term liquidity requirements for Snap-on include payments of interest and dividends, funding to support new receivables originated by our financial services businesses, capital expenditures, working capital, restructuring activities, the funding of pension plans, and funding for share repurchases and acquisitions, as they arise. Snap-on intends to make contributions of $7.1 million to its foreign pension plans and $2.0 million to its domestic pension plans in 2015, as required by law. Depending on market and other conditions, Snap-on may make additional discretionary cash contributions to its pension plans in 2015.

Snap-on’s long-term financing strategy is to maintain continuous access to the debt markets to accommodate its liquidity needs, including the potential use of commercial paper, additional fixed-term debt and/or securitizations.

The following discussion focuses on information included in the accompanying Condensed Consolidated Statements of Cash Flows.

Operating Activities

Net cash provided by operating activities was $78.1 million and $88.3 million in the first quarters of 2015 and 2014, respectively. The $10.2 million decrease in net cash provided by operating activities in 2015 primarily reflects net changes in operating assets and liabilities, including $15.0 million of discretionary cash contributions to the company’s domestic pension plans, partially offset by higher net earnings in 2015.

Investing Activities

Net cash used by investing activities of $59.5 million in the first quarter of 2015 included additions to, and collections of, finance receivables of $198.8 million and $160.2 million, respectively. Net cash used by investing activities of $50.9 million in the first quarter of 2014 included additions to, and collections of, finance receivables of $169.7 million and $139.4 million, respectively. Finance receivables are comprised of extended-term installment payment contracts to both technicians and independent shop owners (i.e., franchisees’ customers) to enable them to purchase tools and diagnostic and equipment products on an extended-term payment plan, generally with expected average payment terms of three years.

41

SNAP-ON INCORPORATED

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

(continued)

Capital expenditures of $18.1 million in the first quarter of 2015 compared to $18.3 million in the first quarter of last year. Capital expenditures in both years included continued investments related to the company’s execution of its strategic Value Creation Processes around safety, quality, customer connection, innovation and Rapid Continuous Improvement.

Net cash used by investing activities in the first quarters of 2015 and 2014 also included $2.8 million and $2.5 million, respectively, related to a prepaid equity forward transaction agreement with Citibank N.A. that is intended to reduce the impact of market risk associated with the stock-based portion of the company’s deferred compensation plans. See Note 9 to the Condensed Consolidated Financial Statements for additional information regarding prepaid equity forwards.

Financing Activities

Net cash used by financing activities of $35.3 million in the first quarter of 2015 included $22.8 million of proceeds from a net increase in short-term borrowings. Net cash used by financing activities of $127.1 million in the first quarter of 2014 included the March 2014 repayment of $100.0 million of 5.85% unsecured notes at maturity.

Proceeds from stock purchase and option plan exercises totaled $14.5 million and $12.8 million in the first quarters of 2015 and 2014, respectively. Snap-on has undertaken stock repurchases from time to time to offset dilution created by shares issued for employee and franchisee stock purchase plans, stock options and other corporate purposes. In the first quarter of 2015, Snap-on repurchased 340,000 shares of its common stock for $49.7 million under its previously announced share repurchase programs. In the first quarter of 2014, Snap-on repurchased 200,000 shares of its common stock for $22.1 million under its previously announced share repurchase programs. As of April 4, 2015, Snap-on had remaining availability to repurchase up to an additional $215.3 million in common stock pursuant to its Board of Directors’ (“Board”) authorizations. The purchase of Snap-on common stock is at the company’s discretion, subject to prevailing financial and market conditions. Snap-on believes that its cash generated from operations, available cash on hand, and funds available from its credit facilities, will be sufficient to fund additional share repurchases, if any, in 2015.

Snap-on has paid consecutive quarterly cash dividends, without interruption or reduction, since 1939. Cash dividends totaled $30.9 million and $25.6 million in the first quarters of 2015 and 2014, respectively. On November 6, 2014, the Board increased the quarterly cash dividend by 20.5% to $0.53 per share ($2.12 per share per year). Snap-on believes that its cash generated from operations, available cash on hand and funds available from its credit facilities will be sufficient to pay dividends in 2015.

Off-Balance Sheet Arrangements

The company had no off-balance sheet arrangements as of April 4, 2015.

Critical Accounting Policies and Estimates

Snap-on’s disclosures of its critical accounting policies, which are contained in its Annual Report on Form 10-K for the fiscal year ended January 3, 2015, have not materially changed since that report was filed.

Outlook

Snap-on expects to make continued progress along its defined runways for coherent growth, including enhancing the franchise network, expanding in the vehicle repair garage, extending to critical industries and building in emerging markets. In pursuit of these initiatives, Snap-on continues to expect that capital expenditures in 2015 will be in a range of $80 million to $90 million. Snap-on also continues to expect that its full year 2015 effective income tax rate will be at or below its 2014 full year rate.

42

Item 3: Quantitative and Qualitative Disclosures About Market Risk

Market, Credit and Economic Risks

Market risk is the potential economic loss that may result from adverse changes in the fair value of financial instruments. Snap-on is exposed to market risk from changes in foreign currency exchange rates and interest rates. Snap-on is also exposed to market risk associated with the stock-based portion of its deferred compensation plans. Snap-on monitors its exposure to these risks and attempts to manage the underlying economic exposures through the use of financial instruments such as foreign currency forward contracts, interest rate swap agreements, treasury lock agreements and prepaid equity forward agreements (“equity forwards”). Snap-on does not use derivative instruments for speculative or trading purposes. Snap-on’s broad-based business activities help to reduce the impact that volatility in any particular area or related areas may have on its operating earnings as a whole. Snap-on’s management takes an active role in the risk management process and has developed policies and procedures that require specific administrative and business functions to assist in the identification, assessment and control of various risks.

Foreign Currency Risk Management

Snap-on has significant international operations and is subject to certain risks inherent with foreign operations that include currency fluctuations. Foreign exchange risk exists to the extent that Snap-on has payment obligations or receipts denominated in currencies other than the functional currency, including intercompany loans denominated in foreign currencies. To manage these exposures, Snap-on identifies naturally offsetting positions and then purchases hedging instruments to protect the residual net exposures. See Note 9 to the Condensed Consolidated Financial Statements for information on foreign currency risk management.

Interest Rate Risk Management

Snap-on aims to control funding costs by managing the exposure created by the differing maturities and interest rate structures of Snap-on’s borrowings through the use of interest rate swap agreements. Treasury lock agreements are used from time to time to manage potential changes in interest rates in anticipation of the issuance or sale of certain financial instruments. See Note 9 to the Condensed Consolidated Financial Statements for information on interest rate risk management.

Snap-on utilizes a Value-at-Risk (“VAR”) model to determine the potential one-day loss in the fair value of its interest rate and foreign exchange-sensitive financial instruments from adverse changes in market factors. The VAR model estimates were made assuming normal market conditions and a 95% confidence level. Snap-on’s computations are based on the inter-relationships among movements in various currencies and interest rates (variance/co-variance technique). These inter-relationships were determined by observing interest rate and foreign currency market changes over the preceding quarter.

The estimated maximum potential one-day loss in fair value, calculated using the VAR model, as of April 4, 2015, was $1.5 million on interest rate-sensitive financial instruments and $0.6 million on foreign currency-sensitive financial instruments. The VAR model is a risk management tool and does not purport to represent actual losses in fair value that will be incurred by Snap-on, nor does it consider the potential effect of favorable changes in market factors.

Stock-based Deferred Compensation Risk Management

Snap-on aims to manage market risk associated with the stock-based portion of its deferred compensation plans through the use of equity forwards. Equity forwards are used to aid in offsetting the potential mark-to-market effect on stock-based deferred compensation from changes in Snap-on’s stock price. Since stock-based deferred compensation liabilities increase as the company’s stock price rises and decrease as the company’s stock price declines, the equity forwards are intended to mitigate the potential impact on compensation expense that may result from such mark-to-market changes. See Note 9 to the Condensed Consolidated Financial Statements for additional information on stock-based deferred compensation risk management.

43

Credit Risk

Credit risk is the possibility of loss from a customer’s failure to make payments according to contract terms. Prior to extending credit, each customer is evaluated, taking into consideration the customer’s financial condition, collateral, debt-servicing ability, past payment experience, credit bureau information, and other financial and qualitative factors that may affect the customer’s ability to repay. Credit risk is also monitored regularly through the use of internal proprietary, custom scoring models used to evaluate each transaction at the time of the application for credit and by periodically updating those credit scores for ongoing monitoring purposes. Snap-on evaluates credit quality through the use of an internal proprietary measuring system that provides a framework to analyze finance and contract receivables on the basis of risk factors of the individual obligor as well as transaction specific risk. The finance and contract receivables are typically monitored through an asset quality review process that closely monitors past due accounts and initiates a progressive collection action process when appropriate.

Counterparty Risk

Snap-on is exposed to credit losses in the event of non-performance by the counterparties to its various financial agreements, including its foreign currency forward contracts, interest rate swap agreements and prepaid equity forward agreements. Snap-on does not obtain collateral or other security to support financial instruments subject to credit risk, but monitors the credit standing of the counterparties and generally enters into agreements with financial institution counterparties with a credit rating of A- or better. Snap-on does not anticipate non-performance by its counterparties, but cannot provide assurances.

Economic Risk

Economic risk is the possibility of loss resulting from economic instability in certain areas of the world. Snap-on continually monitors its exposure in these markets. Inflation has not had a significant impact on the company.

As a result of the above market, credit and economic risks, net earnings and revenues in any particular period may not be representative of full-year results and may vary significantly from year to year.

Item 4: Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Snap-on maintains a system of disclosure controls and procedures that is designed to provide reasonable assurance that material information relating to the company and its consolidated subsidiaries is timely communicated to the officers who certify Snap-on’s financial reports and to other members of senior management and the Board, as appropriate.

In accordance with Rule 13a-15(b) of the Securities Exchange Act of 1934 (the “Exchange Act”), the company’s management evaluated, with the participation of the Chief Executive Officer and Chief Financial Officer, the effectiveness of the design and operation of the company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) as of April 4, 2015. Based upon their evaluation of these disclosure controls and procedures, the Chief Executive Officer and Chief Financial Officer concluded that the disclosure controls and procedures were effective as of April 4, 2015, to ensure that information required to be disclosed by the company in the reports it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time period specified in the Securities and Exchange Commission rules and forms, and to ensure that information required to be disclosed by the company in the reports it files or submits under the Exchange Act is accumulated and communicated to the company’s management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate, to allow timely decisions regarding required disclosure.

44

Changes in Internal Control

There has not been any change in the company’s internal control over financial reporting during the quarter ended April 4, 2015, that has materially affected, or is reasonably likely to materially affect, the company’s internal control over financial reporting (as such term is defined in Exchange Act Rules 13a-15(f) and 15d-15(f)).

PART II. OTHER INFORMATION

Item 2: Unregistered Sales of Equity Securities and Use of Proceeds

The following discloses information regarding the shares of Snap-on’s common stock repurchased by the company during the first quarter of fiscal 2015, all of which were purchased pursuant to the Board’s authorizations that the company has publicly announced. Snap-on has undertaken stock repurchases from time to time to offset dilution created by shares issued for employee and franchisee stock purchase plans, stock options and other corporate purposes, as well as to repurchase shares when the company believes market conditions are favorable. The repurchase of Snap-on common stock is at the company’s discretion, subject to prevailing financial and market conditions.

Issuer Purchases of Equity Securities

Period	Shares purchased		Average price per share		Shares purchased as part  of publicly announced plans or programs		Approximate value of shares that may yet be purchased under publicly announced plans or programs *
01/04/15 to 01/31/15		–		–		–	$	208.9 million
02/01/15 to 02/28/15		190,200	$	145.99		190,200	$	231.6 million
03/01/15 to 04/04/15		149,800	$	146.39		149,800	$	215.3 million
Total/Average		340,000	$	146.17		340,000		N/A

N/A: Not applicable

* Subject to further adjustment pursuant to the 1996 Authorization described below, as of April 4, 2015, the approximate value of shares that may yet be purchased pursuant to the three outstanding Board authorizations discussed below is $215.3 million.

• In 1996, the Board authorized the company to repurchase shares of the company’s common stock from time to time in the open market or in privately negotiated transactions (“the 1996 Authorization”). The 1996 Authorization allows the repurchase of up to the number of shares issued or delivered from treasury from time to time under the various plans the company has in place that call for the issuance of the company’s common stock. Because the number of shares that are purchased pursuant to the 1996 Authorization will change from time to time as (i) the company issues shares under its various plans; and (ii) shares are repurchased pursuant to this authorization, the number of shares authorized to be repurchased will vary from time to time. The 1996 Authorization will expire when terminated by the Board. When calculating the approximate value of shares that the company may yet purchase under the 1996 Authorization, the company assumed a price of $132.71, $147.23 and $147.80 per share of common stock as of the end of the fiscal 2015 months ended January 31, 2015, February 28, 2015, and April 4, 2015, respectively.

• In 1998, the Board authorized the repurchase of an aggregate of $100 million of the company’s common stock (“the 1998 Authorization”). The 1998 Authorization will expire when the aggregate repurchase price limit is met, unless terminated earlier by the Board.

• In 1999, the Board authorized the repurchase of an aggregate of $50 million of the company’s common stock (“the 1999 Authorization”). The 1999 Authorization will expire when the aggregate repurchase price limit is met, unless terminated earlier by the Board.

45

Other Purchases or Sales of Equity Securities

Below is information regarding shares of Snap-on’s common stock that were purchased by Citibank, N.A. (“Citibank”) during the first quarter of 2015 pursuant to a prepaid equity forward transaction agreement (the “Agreement”) with Citibank that is intended to reduce the impact of market risk associated with the stock-based portion of the company’s deferred compensation plans. The company’s stock-based deferred compensation liabilities, which are impacted by changes in the company’s stock price, increase as the company’s stock price rises and decrease as the company’s stock price declines. Pursuant to the Agreement, Citibank may purchase or sell shares of the company’s common stock (for Citibank’s account) in the market or in privately negotiated transactions. The Agreement has no stated expiration date and does not provide for Snap-on to purchase or repurchase its shares.

Citibank Purchases of Snap-on Stock

Period	Shares purchased		Average price per share
01/04/15 to 01/31/15		–		–
02/01/15 to 02/28/15		18,000	$	145.30
03/01/15 to 04/04/15		1,200	$	146.41
Total/Average		19,200	$	145.37

46

Item 6: Exhibits

Exhibit 31.1	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.1	Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.2	Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
Exhibit 101.INS	XBRL Instance Document*
Exhibit 101.SCH	XBRL Taxonomy Extension Schema Document*
Exhibit 101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document*
Exhibit 101.DEF	XBRL Taxonomy Extension Definition Linkbase Document*
Exhibit 101.LAB	XBRL Taxonomy Extension Label Linkbase Document*
Exhibit 101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document*

* Attached as Exhibit 101 to this report are the following documents formatted in XBRL (Extensible Business Reporting Language): (i) Condensed Consolidated Statements of Earnings for the three months ended April 4, 2015, and March 29, 2014; (ii) Condensed Consolidated Statements of Comprehensive Income for the three months ended April 4, 2015, and March 29, 2014; (iii) Condensed Consolidated Balance Sheets as of April 4, 2015, and January 3, 2015; (iv) Condensed Consolidated Statements of Equity for the three months ended April 4, 2015, and March 29, 2014; (v) Condensed Consolidated Statements of Cash Flows for the three months ended April 4, 2015, and March 29, 2014; and (vi) Notes to Condensed Consolidated Financial Statements.

47

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, Snap-on Incorporated has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

SNAP-ON INCORPORATED

Date: April 23, 2015	/s/ Aldo J. Pagliari
	Aldo J. Pagliari, Principal Financial Officer,
	Senior Vice President – Finance and
	Chief Financial Officer

48

EXHIBIT INDEX

Exhibit No.
31.1	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance 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*

* Attached as Exhibit 101 to this report are the following documents formatted in XBRL (Extensible Business Reporting Language): (i) Condensed Consolidated Statements of Earnings for the three months ended April 4, 2015, and March 29, 2014; (ii) Condensed Consolidated Statements of Comprehensive Income for the three months ended April 4, 2015, and March 29, 2014; (iii) Condensed Consolidated Balance Sheets as of April 4, 2015, and January 3, 2015; (iv) Condensed Consolidated Statements of Equity for the three months ended April 4, 2015, and March 29, 2014; (v) Condensed Consolidated Statements of Cash Flows for the three months ended April 4, 2015, and March 29, 2014; and (vi) Notes to Condensed Consolidated Financial Statements.

49

EX-31.1

EXHIBIT 31.1

Certification of the Chief Executive Officer Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Nicholas T. Pinchuk, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Snap-on Incorporated;

2. Based on my knowledge, this report does not contain any untrue statement of a 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 such 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 the 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: April 23, 2015

/s/ Nicholas T. Pinchuk

Nicholas T. Pinchuk

Chief Executive Officer

EX-31.2

EXHIBIT 31.2

Certification of the Principal Financial Officer Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Aldo J. Pagliari, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Snap-on Incorporated;

2. Based on my knowledge, this report does not contain any untrue statement of a 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 such 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 the 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: April 23, 2015

/s/ Aldo J. Pagliari

Aldo J. Pagliari

Principal Financial Officer

EX-32.1

EXHIBIT 32.1

Certification of Chief Executive Officer

Pursuant to 18 U.S.C. Section 1350,

As Adopted Pursuant to

Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Snap-on Incorporated (the “Company”) on Form 10-Q for the period ended April 4, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), Nicholas T. Pinchuk as Chief Executive Officer of the Company, hereby certifies, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, to the best of his knowledge, that:

(1) 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.

/s/ Nicholas T. Pinchuk

Nicholas T. Pinchuk

Chief Executive Officer

April 23, 2015

EX-32.2

EXHIBIT 32.2

Certification of Principal Financial Officer

Pursuant to 18 U.S.C. Section 1350,

As Adopted Pursuant to

Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Snap-on Incorporated (the “Company”) on Form 10-Q for the period ended April 4, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), Aldo J. Pagliari as Principal Financial Officer of the Company, hereby certifies, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, to the best of his knowledge, that:

(1) 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.

/s/ Aldo J. Pagliari

Aldo J. Pagliari

Principal Financial Officer

April 23, 2015

XML

Segments - Assets by Segment (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Segment Reporting Information [Line Items]
Assets	$ 4,262.4	$ 4,310.1
Operating Segments [Member]
Segment Reporting Information [Line Items]
Assets	3,928.6	3,944.9
Operating Segments [Member] | Commercial & Industrial Group [Member]
Segment Reporting Information [Line Items]
Assets	897.8	939.7
Operating Segments [Member] | Snap-on Tools Group [Member]
Segment Reporting Information [Line Items]
Assets	616.9	600.1
Operating Segments [Member] | Repair Systems & Information Group [Member]
Segment Reporting Information [Line Items]
Assets	1,024.2	1,036.8
Operating Segments [Member] | Financial Services [Member]
Segment Reporting Information [Line Items]
Assets	1,389.7	1,368.3
Corporate [Member]
Segment Reporting Information [Line Items]
Assets	377.0	401.7
Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Assets	$ (43.2)	$ (36.5)

XML

Stock-Based Compensation and Other Stock Plans - Summary of Weighted-Average Assumptions of Fair Value Granted Using Black-Scholes Valuation Model (Detail)	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Stock Option [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Expected term (in years)	4 years 9 months 4 days	4 years 6 months 7 days
Expected volatility factor	24.13%	26.76%
Expected dividend yield	2.04%	2.40%
Risk-free interest rate	1.38%	1.30%
Stock-Settled SARs [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Expected term (in years)	4 years 8 months 19 days	4 years 6 months
Expected volatility factor	23.67%	25.66%
Expected dividend yield	2.04%	2.40%
Risk-free interest rate	1.50%	1.51%
Cash-Settled Stock Appreciation Rights [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Expected term (in years)	4 years 8 months 5 days	4 years 4 months 6 days
Expected volatility factor	23.16%	25.19%
Expected dividend yield	2.04%	2.40%
Risk-free interest rate	1.26%	1.74%

XML

Stock-Based Compensation and Other Stock Plans - Summary of Changes in Non-Vested Awards (Detail) (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Nonvested Performance Shares [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Shares, at beginning of period	327,000
Shares, Granted	116,000
Shares, Vested	(2,000)
Shares, Cancellations and other	(9,000)
Shares, at end of period	432,000
Fair Value Price per Share, at beginning of period	$ 91.92
Fair Value Price per Share, Granted	$ 138.48
Fair Value Price per Share, Vested	$ 89.35
Fair Value Price per Share, Cancellations and other	$ 89.04
Fair Value Price per Share, at end of period	$ 104.41
Stock-Settled SARs [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Shares, at beginning of period	223,000
Shares, Granted	112,000
Shares, Exercised	(6,000)
Shares, Cancellations and other	(10,000)
Shares, at end of period	319,000
Shares, Exercisable at end of period	90,000
Exercise Price per Share, Outstanding at beginning of period	$ 94.90
Fair Value Price per Share, Granted	$ 25.36	$ 19.58
Exercise Price per Share, Granted	$ 144.69
Exercise Price per Share, Exercised	$ 85.33
Exercise Price per Share, Forfeited or expired	$ 89.94
Exercise Price per Share, Outstanding at end of period	$ 112.72
Exercise Price per Share, Exercisable at end of period	$ 90.33
Remaining Contractual Term, Outstanding at end of period	8 years 10 months 24 days
Remaining Contractual Term, Exercisable at end of period	8 years 2 months 12 days
Aggregate Intrinsic Value, Outstanding at end of period	$ 11.2
Aggregate Intrinsic Value, Exercisable at end of period	$ 5.2
Cash-Settled Stock Appreciation Rights [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Shares, at beginning of period	47,000
Shares, Granted	4,000
Shares, Vested	(42,000)
Shares, at end of period	9,000
Fair Value Price per Share, at beginning of period	$ 68.35
Fair Value Price per Share, Granted	$ 25.78
Fair Value Price per Share, Vested	$ 81.46
Fair Value Price per Share, at end of period	$ 45.23

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Financial Instruments

3 Months Ended

Apr. 04, 2015

Investments, All Other Investments [Abstract]

Financial Instruments

Note 9: Financial Instruments

Derivatives: All derivative instruments are reported in the Condensed Consolidated Financial Statements at fair value. Changes in the fair value of derivatives are recorded each period in earnings or on the accompanying Condensed Consolidated Balance Sheets, depending on whether the derivative is designated and effective as part of a hedged transaction. Gains or losses on derivative instruments recorded in Accumulated other comprehensive income (loss) (“Accumulated OCI”) must be reclassified to earnings in the period in which earnings are affected by the underlying hedged item and the ineffective portion of all hedges must be recognized in earnings in the period that such portion is determined to be ineffective.

The criteria used to determine if hedge accounting treatment is appropriate are: (i) the designation of the hedge to an underlying exposure; (ii) whether or not overall risk is being reduced; and (iii) if there is a correlation between the value of the derivative instrument and the underlying hedged item. On the date a derivative contract is entered into, Snap-on designates the derivative as a fair value hedge, a cash flow hedge, a hedge of a net investment in a foreign operation, or a natural hedging instrument whose change in fair value is recognized as an economic hedge against changes in the value of the hedged item. Snap-on does not use derivative instruments for speculative or trading purposes.

The company is exposed to global market risks, including the effects of changes in foreign currency exchange rates, interest rates, and the company’s stock price, and therefore uses derivatives to manage financial exposures that occur in the normal course of business. The primary risks managed by using derivative instruments are foreign currency risk, interest rate risk and stock-based deferred compensation risk.

Foreign Currency Risk Management: Snap-on has significant international operations and is subject to certain risks inherent with foreign operations that include currency fluctuations. Foreign currency exchange risk exists to the extent that Snap-on has payment obligations or receipts denominated in currencies other than the functional currency, including intercompany loans denominated in foreign currencies. To manage these exposures, Snap-on identifies naturally offsetting positions and then purchases hedging instruments to protect the residual net exposures. Snap-on manages most of these exposures on a consolidated basis, which allows for netting of certain exposures to take advantage of natural offsets. Foreign currency forward contracts (“foreign currency forwards”) are used to hedge the net exposures. Gains or losses on net foreign currency hedges are intended to offset losses or gains on the underlying net exposures in an effort to reduce the earnings volatility resulting from fluctuating foreign currency exchange rates. Snap-on’s foreign currency forwards are typically not designated as hedges. The fair value changes of these contracts are reported in earnings as foreign exchange gain or loss, which is included in “Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings.

At April 4, 2015, Snap-on had $134.2 million of net foreign currency forward buy contracts outstanding comprised of buy contracts including $74.5 million in euros, $31.8 million in Australian dollars, $13.7 million in British pounds, $13.1 million in Swedish kronor, $9.7 million in Singapore dollars, $6.6 million in South Korean won, $4.9 in Hong Kong dollars, $4.7 million in Mexican pesos, $3.1 million in Norwegian kroner, and $3.6 million in other currencies, and sell contracts comprised of $11.8 million in Canadian dollars, $10.7 million in Japanese yen, $2.4 million in New Zealand dollars, $2.1 million in Indian rupees and $4.5 million in other currencies. At January 3, 2015, Snap-on had $140.4 million of net foreign currency forward buy contracts outstanding comprised of buy contracts including $81.5 million in euros, $34.8 million in Australian dollars, $22.1 million in Swedish kronor, $16.3 million in British pounds, $10.1 million in Singapore dollars, $5.7 million in South Korean won, $4.5 million in Mexican pesos, $3.6 million in Hong Kong dollars, and $0.5 million in other currencies, and sell contracts comprised of $16.8 million in Canadian dollars, $10.9 million in Japanese yen, $3.3 million in Danish kroner, and $7.7 million in other currencies.

Interest Rate Risk Management: Snap-on aims to control funding costs by managing the exposure created by the differing maturities and interest rate structures of Snap-on’s borrowings through the use of interest rate swap agreements.

Snap-on enters into interest rate swap agreements (“interest rate swaps”) to manage risks associated with changing interest rates related to the company’s fixed rate borrowings. Interest rate swaps are accounted for as fair value hedges. The differentials paid or received on interest rate swaps are recognized as adjustments to “Interest expense” on the accompanying Condensed Consolidated Statements of Earnings. The effective portion of the change in fair value of the derivative is recorded in “Long-term debt” on the accompanying Condensed Consolidated Balance Sheets, while any ineffective portion is recorded as an adjustment to “Interest expense” on the accompanying Condensed Consolidated Statements of Earnings. The notional amount of interest rate swaps outstanding and designated as fair value hedges was $100.0 million as of both April 4, 2015, and January 3, 2015.

Snap-on enters into treasury lock agreements (“treasury locks”) from time to time to manage the potential change in interest rates in anticipation of issuing fixed rate debt. Treasury locks are accounted for as cash flow hedges. The effective differentials paid or received on treasury locks related to the anticipated issuance of fixed rate debt are recognized as adjustments to “Interest expense” on the accompanying Condensed Consolidated Statements of Earnings. There were no treasury locks outstanding as of April 4, 2015, or January 3, 2015, nor were any settled during either of the first quarters of 2015 or 2014.

Stock-based Deferred Compensation Risk Management: Snap-on aims to manage market risk associated with the stock-based portion of its deferred compensation plans through the use of prepaid equity forward agreements (“equity forwards”). Equity forwards are used to aid in offsetting the potential mark-to-market effect on stock-based deferred compensation from changes in Snap-on’s stock price. Since stock-based deferred compensation liabilities increase as the company’s stock price rises and decrease as the company’s stock price declines, the equity forwards are intended to mitigate the potential impact on deferred compensation expense that may result from such mark-to-market changes. As of April 4, 2015, Snap-on had equity forwards in place intended to manage market risk with respect to 132,000 shares of Snap-on common stock associated with its deferred compensation plans.

Fair Value Measurements: Snap-on has derivative assets and liabilities related to interest rate swaps, foreign currency forwards and equity forwards that are measured at Level 2 fair value on a recurring basis. The fair value of derivative instruments included within the Condensed Consolidated Balance Sheets as of April 4, 2015, and January 3, 2015, are as follows:

		April 4, 2015				January 3, 2015
(Amounts in millions)	Balance Sheet Presentation	Asset Derivatives Fair Value		Liability Derivatives Fair Value		Asset Derivatives Fair Value		Liability Derivatives Fair Value
Derivatives designated as hedging instruments:
Interest rate swaps	Other assets	$	14.7	$	–	$	14.0	$	–
Derivatives not designated as hedging instruments:
Foreign currency forwards	Prepaid expenses and other assets	$	3.1	$	–	$	6.6	$	–
Foreign currency forwards	Other accrued liabilities		–		16.2		–		14.7
Equity forwards	Prepaid expenses and other assets		19.5		–		15.4		–
Total		$	22.6	$	16.2	$	22.0	$	14.7
Total derivatives instruments		$	37.3	$	16.2	$	36.0	$	14.7

As of April 4, 2015, and January 3, 2015, the fair value adjustment to long-term debt related to the interest rate swaps was $14.7 million and $14.0 million, respectively.

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between participants at the measurement date. Level 2 fair value measurements for derivative assets and liabilities are measured using quoted prices in active markets for similar assets and liabilities. Foreign currency forwards are valued based on exchange rates quoted by domestic and foreign banks for similar instruments. Interest rate swap values are based on the six-month LIBOR swap rate for similar instruments. Equity forwards are valued using a market approach based primarily on the company’s stock price at the reporting date. The company did not have any derivative assets or liabilities measured at Level 1 or Level 3, nor did it implement any changes in its valuation techniques as of and for the quarter ended April 4, 2015.

The effect of derivative instruments designated as fair value hedges as included in the Condensed Consolidated Statements of Earnings is as follows:

		Effective Portion of Gain Recognized in Income Three Months Ended
(Amounts in millions)	Statement of Earnings Presentation	April 4, 2015		March 29, 2014
Derivatives designated as fair value hedges:
Interest rate swaps	Interest expense	$	1.0	$	1.0

The effect of derivative instruments designated as cash flow hedges as included in Accumulated OCI on the Condensed Consolidated Balance Sheets and the Condensed Consolidated Statements of Earnings is as follows:

	Effective Portion of  Gain Recognized in Accumulated OCI Three Months Ended				Statement of Earnings Presentation	Effective Portion of  Gain Reclassified from Accumulated OCI into Income Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014			April 4, 2015		March 29, 2014
Derivatives designated as cash flow hedges:
Treasury locks	$	–	$	–	Interest expense	$	0.1	$	0.1

The effects of derivative instruments not designated as hedging instruments as included in the Condensed Consolidated Statements of Earnings are as follows:

		Gain / (Loss) Recognized in Income Three Months Ended
(Amounts in millions)	Statement of Earnings Presentation	April 4, 2015		March 29, 2014
Derivatives not designated as hedging instruments:
Foreign currency forwards	Other income (expense) – net	$	(15.0)	$	4.0
Equity forwards	Operating expenses		1.5		0.5

Snap-on’s foreign currency forwards are typically not designated as hedges for financial reporting purposes. The fair value changes of foreign currency forwards not designated as hedging instruments are reported in earnings as foreign exchange gain or loss in “Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings. The $15.0 million derivative loss recognized in the first quarter of 2015 was partially offset by transaction gains on net exposures of $14.2 million, resulting in a net foreign exchange loss of $0.8 million. The $4.0 million derivative gain recognized in the first quarter of 2014 was offset by transaction losses on net exposures of $4.2 million, resulting in a net foreign exchange loss of $0.2 million. The resulting net foreign exchange losses are included in “Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings. See Note 15 for additional information on “Other income (expense) – net.”

Snap-on’s equity forwards are not designated as hedges for financial reporting purposes. Fair value changes of both the equity forwards and related stock-based (mark-to-market) deferred compensation liabilities are reported in “Operating expenses” on the accompanying Condensed Consolidated Statements of Earnings. The $1.5 million derivative gain recognized in the first quarter of 2015 was partially offset by $1.4 million of mark-to-market deferred compensation expense. The $0.5 million derivative gain recognized in the first quarter of 2014 was offset by $0.5 million of mark-to-market deferred compensation expense.

As of April 4, 2015, the maximum maturity date of any fair value hedge was six years. During the next 12 months, Snap-on expects to reclassify into earnings net gains from Accumulated OCI of approximately $0.2 million after tax at the time the underlying hedge transactions are realized.

See the accompanying Condensed Consolidated Statements of Comprehensive Income for additional information on changes in comprehensive income.

Counterparty Risk: Snap-on is exposed to credit losses in the event of non-performance by the counterparties to its various financial agreements, including its foreign currency forward contracts, interest rate swap agreements and prepaid equity forward agreements. Snap-on does not obtain collateral or other security to support financial instruments subject to credit risk, but monitors the credit standing of the counterparties and generally enters into agreements with financial institution counterparties with a credit rating of A- or better. Snap-on does not anticipate non-performance by its counterparties, but cannot provide assurances.

Fair Value of Financial Instruments: The fair values of financial instruments that do not approximate the carrying values in the financial statements are as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Carrying Value		Fair Value		Carrying Value		Fair Value
Finance receivables – net	$	1,075.8	$	1,225.2	$	1,052.9	$	1,198.4
Contract receivables – net		314.9		349.0		316.5		348.2
Long-term debt and notes payable		943.2		1,060.0		919.3		1,031.3

The following methods and assumptions were used in estimating the fair value of financial instruments:

• Finance and contract receivables include both short-term and long-term receivables. The fair value estimates of finance and contract receivables are derived utilizing discounted cash flow analyses performed on groupings of receivables that are similar in terms of loan type and characteristics. The cash flow analysis considers recent prepayment trends where applicable. The cash flows are discounted over the average life of the receivables using a current market discount rate of a similar term adjusted for credit quality. Significant inputs to the fair value measurements of the receivables are unobservable and, as such, are classified as Level 3.

• Fair value of long-term debt was estimated, using Level 2 fair value measurements, based on quoted market values of Snap-on’s publicly traded senior debt. The carrying value of long-term debt includes adjustments related to fair value hedges. The fair value of notes payable approximates such instruments’ carrying value due to their short-term nature.

• The fair value of all other financial instruments including cash equivalents, trade and other accounts receivable, accounts payable and other financial instruments, approximates such instruments’ carrying value due to their short-term nature.

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Inventories - Inventories by Major Classification (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Inventory Disclosure [Abstract]
Finished goods	$ 424.6	$ 415.3
Work in progress	44.9	45.3
Raw materials	85.7	87.5
Total FIFO value	555.2	548.1
Excess of current cost over LIFO cost	(72.9)	(72.6)
Total inventories - net	$ 482.3	$ 475.5

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Condensed Consolidated Balance Sheets (Unaudited) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
ASSETS
Cash and cash equivalents	$ 114.4	$ 132.9
Trade and other accounts receivable - net	548.4	550.8
Finance receivables - net	408.6	402.4
Contract receivables - net	70.2	74.5
Inventories - net	482.3	475.5
Deferred income tax assets	92.1	101.0
Prepaid expenses and other assets	127.3	121.5
Total current assets	1,843.3	1,858.6
Property and equipment:
Land	17.1	18.3
Buildings and improvements	286.1	294.0
Machinery, equipment and computer software	745.0	750.8
Total property and equipment	1,048.2	1,063.1
Accumulated depreciation and amortization	(652.0)	(658.6)
Property and equipment - net	396.2	404.5
Deferred income tax assets	87.8	93.2
Long-term finance receivables - net	667.2	650.5
Long-term contract receivables - net	244.7	242.0
Goodwill	778.3	810.7
Other intangibles - net	198.8	203.3
Other assets	46.1	47.3
Total assets	4,262.4	4,310.1
LIABILITIES AND EQUITY
Notes payable	78.8	56.6
Accounts payable	162.0	145.0
Accrued benefits	54.7	53.8
Accrued compensation	71.9	99.2
Franchisee deposits	66.9	65.8
Other accrued liabilities	292.2	298.3
Total current liabilities	726.5	718.7
Long-term debt	864.4	862.7
Deferred income tax liabilities	158.7	159.2
Retiree health care benefits	41.4	42.5
Pension liabilities	196.3	217.9
Other long-term liabilities	86.8	83.8
Total liabilities	2,074.1	2,084.8
Commitments and contingencies (Note 14)
Equity
Preferred stock (authorized 15,000,000 shares of $1 par value; none outstanding)
Common stock (authorized 250,000,000 shares of $1 par value; issued 67,391,959 and 67,383,127 shares, respectively)	67.4	67.4
Additional paid-in capital	261.5	254.7
Retained earnings	2,716.6	2,637.2
Accumulated other comprehensive loss	(339.2)	(248.2)
Treasury stock at cost (9,303,199 and 9,269,680 shares, respectively)	(535.7)	(503.3)
Total shareholders' equity attributable to Snap-on Incorporated	2,170.6	2,207.8
Noncontrolling interests	17.7	17.5
Total equity	2,188.3	2,225.3
Total liabilities and equity	$ 4,262.4	$ 4,310.1

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Acquisition

3 Months Ended

Apr. 04, 2015

Business Combinations [Abstract]

Acquisition

Note 2: Acquisition

On May 28, 2014, Snap-on acquired substantially all of the assets of Pro-Cut International, Inc. (“Pro-Cut”) for a cash purchase price of $41.3 million. Pro-Cut designs, manufactures and distributes on-car brake lathes, related equipment and accessories used in brake servicing by automotive repair facilities. The acquisition of the Pro-Cut product line complemented and increased Snap-on’s existing undercar equipment product offering, broadened its established capabilities in serving vehicle repair facilities and expanded the company’s presence with repair shop owners and managers. For segment reporting purposes, the results of operations and assets of Pro-Cut have been included in the Repair Systems & Information Group since the date of acquisition. Pro forma financial information has not been presented as the net effects of the Pro-Cut acquisition were neither significant nor material to Snap-on’s results of operations or financial position.

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Accumulated Other Comprehensive Income (Loss)

3 Months Ended

Apr. 04, 2015

Equity [Abstract]

Accumulated Other Comprehensive Income (Loss)

Note 16: Accumulated Other Comprehensive Income (Loss)

The following is a summary of first quarter fiscal 2015 changes in Accumulated OCI by component and net of tax:

(Amounts in millions)	Foreign Currency Translation		Cash Flow Hedges		Defined Benefit Pension and Postretirement Plans		Total
Balance as of January 3, 2015	$	(7.7)	$	1.0	$	(241.5)	$	(248.2)
Other comprehensive loss before reclassifications		(96.3)		–		–		(96.3)
Amounts reclassified from Accumulated OCI		–		(0.1)		5.4		5.3
Net other comprehensive income (loss)		(96.3)		(0.1)		5.4		(91.0)
Balance as of April 4, 2015	$	(104.0)	$	0.9	$	(236.1)	$	(339.2)

The following is a summary of first quarter fiscal 2014 changes in Accumulated OCI by component and net of tax:

(Amounts in millions)	Foreign Currency Translation		Cash Flow Hedges		Defined Benefit Pension and Postretirement Plans		Total
Balance as of December 28, 2013	$	121.1	$	1.3	$	(167.2)	$	(44.8)
Other comprehensive income before reclassifications		4.7		–		–		4.7
Amounts reclassified from Accumulated OCI		–		(0.1)		3.3		3.2
Net other comprehensive income (loss)		4.7		(0.1)		3.3		7.9
Balance as of March 29, 2014	$	125.8	$	1.2	$	(163.9)	$	(36.9)

The reclassifications out of Accumulated OCI for the three month periods ended April 4, 2015, and March 29, 2014, are as follows:

	Amount Reclassified from Accumulated OCI Three Months Ended
Details about Accumulated OCI Components	April 4, 2015		March 29, 2014		Statement of Earnings Presentation
(Amounts in millions)
Gains on cash flow hedges:
Treasury locks	$	0.1	$	0.1	Interest expense
Income tax expense		–		–	Income tax expense
Net of tax		0.1		0.1
Amortization of net unrecognized losses and prior service credits included in net periodic pension cost		(8.8)		(5.2)	See footnote below*
Income tax benefit		3.4		1.9	Income tax expense
Net of tax		(5.4)		(3.3)
Total reclassifications for the period, net of tax	$	(5.3)	$	(3.2)

* These Accumulated OCI components are included in the computation of net periodic pension cost; see Note 10 for further information.

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Financial Instruments - Fair Value of Derivative Instruments Included within Condensed Consolidated Balance Sheets (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	$ 37.3	$ 36.0
Liability Derivatives Fair Value	16.2	14.7
Designated as Hedging Instrument [Member] | Interest Rate Swaps [Member] | Other Assets [Member]
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	14.7	14.0
Not Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	22.6	22.0
Liability Derivatives Fair Value	16.2	14.7
Not Designated as Hedging Instrument [Member] | Foreign Currency Forwards [Member] | Prepaid Expenses and Other Assets [Member]
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	3.1	6.6
Not Designated as Hedging Instrument [Member] | Foreign Currency Forwards [Member] | Other Accrued Liabilities [Member]
Derivatives, Fair Value [Line Items]
Liability Derivatives Fair Value	16.2	14.7
Not Designated as Hedging Instrument [Member] | Equity Forwards [Member] | Prepaid Expenses and Other Assets [Member]
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	$ 19.5	$ 15.4

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Goodwill and Other Intangible Assets - Other Intangible Assets by Major Class (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	$ 349.1	$ 347.9
Non-amortized trademarks	59.5	61.6
Total other intangible assets	408.6	409.5
Accumulated Amortization, Total	(209.8)	(206.2)
Total other intangible assets	(209.8)	(206.2)
Customer relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	146.1	147.1
Accumulated Amortization, Total	(72.9)	(71.2)
Developed technology [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	18.3	19.2
Accumulated Amortization, Total	(18.3)	(19.2)
Internally developed software [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	145.8	142.2
Accumulated Amortization, Total	(95.3)	(92.0)
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	28.9	29.3
Accumulated Amortization, Total	(20.1)	(20.6)
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	2.4	2.5
Accumulated Amortization, Total	(1.5)	(1.6)
Other [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, Total	7.6	7.6
Accumulated Amortization, Total	$ (1.7)	$ (1.6)

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Pension Plans

3 Months Ended

Apr. 04, 2015

Compensation and Retirement Disclosure [Abstract]

Pension Plans

Note 10: Pension Plans

Snap-on’s net periodic pension cost included the following components:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Service cost	$	5.2	$	4.8
Interest cost		13.2		14.3
Expected return on plan assets		(19.4)		(18.2)
Amortization of unrecognized loss		8.9		5.4
Amortization of prior service credit		(0.2)		(0.2)
Net periodic pension cost	$	7.7	$	6.1

Snap-on intends to make contributions of $7.1 million to its foreign pension plans and $2.0 million to its domestic pension plans in 2015, as required by law. In the first three months of 2015, Snap-on made $15.3 million of cash contributions to its domestic pension plans consisting of (i) $15.0 million of discretionary contributions; and (ii) $0.3 million of required contributions. Depending on market and other conditions, Snap-on may make additional discretionary cash contributions to its pension plans in 2015.

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Receivables - Components of Finance and Contract Receivables Beyond One Year (Parenthetical) (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Unearned finance charges, finance receivables	$ 9.7	$ 9.9
Unearned finance charges, contract receivable	$ 19.7	$ 19.4

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Earnings Per Share - Additional Information (Detail) (Stock-Settled SARs [Member])	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Stock-Settled SARs [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Outstanding options or stock settled SARs	741,495	756,170

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Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Acquired Finite And Indefinite Lived Intangible Assets [Line Items]
Accumulated impairment losses	$ 0
Weighted-average amortization period (in years)	11 years
Aggregate amortization expense	6.2	6.2
Estimated annual amortization expense for fiscal period 2015	24.6
Estimated annual amortization expense for fiscal period 2016	20.6
Estimated annual amortization expense for fiscal period 2017	17.3
Estimated annual amortization expense for fiscal period 2018	13.6
Estimated annual amortization expense for fiscal period 2019	12.9
Estimated annual amortization expense for fiscal period 2020	$ 12.1
Customer relationships [Member]
Acquired Finite And Indefinite Lived Intangible Assets [Line Items]
Weighted-average amortization period (in years)	15 years
Customer relationship contractual term, minimum (in years)	3 years
Customer relationship contractual term, maximum (in years)	5 years

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Other Income (Expense) - Net (Tables)

3 Months Ended

Apr. 04, 2015

Other Income and Expenses [Abstract]

Computation of Other Income (Expense) - Net

“Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings consists of the following:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Interest income	$	0.1	$	0.1
Net foreign exchange loss		(0.8)		(0.2)
Total other income (expense) – net	$	(0.7)	$	(0.1)

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Receivables (Tables)

3 Months Ended

Apr. 04, 2015

Receivables [Abstract]

Components of Trade and Other Accounts Receivable

The components of Snap-on’s trade and other accounts receivable as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Trade and other accounts receivable	$	565.6	$	567.0
Allowances for doubtful accounts		(17.2)		(16.2)
Total trade and other accounts receivable – net	$	548.4	$	550.8

Components of Current Finance and Contract Receivables

The components of Snap-on’s current finance and contract receivables as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables, net of unearned finance charges of $15.2 million and $15.6 million, respectively	$	420.9	$	414.6
Contract receivables, net of unearned finance charges of $14.0 million and $13.9 million, respectively		71.3		75.5
Total		492.2		490.1
Allowances for doubtful accounts:
Finance receivables		(12.3)		(12.2)
Contract receivables		(1.1)		(1.0)
Total		(13.4)		(13.2)
Total current finance and contract receivables – net	$	478.8	$	476.9
Finance receivables – net	$	408.6	$	402.4
Contract receivables – net		70.2		74.5
Total current finance and contract receivables – net	$	478.8	$	476.9

Components of Finance and Contract Receivables Beyond One Year

The components of Snap-on’s finance and contract receivables with payment terms beyond one year as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables, net of unearned finance charges of $9.7 million and $9.9 million, respectively	$	688.3	$	671.0
Contract receivables, net of unearned finance charges of $19.7 million and $19.4 million, respectively		247.5		244.5
Total		935.8		915.5
Allowances for doubtful accounts:
Finance receivables		(21.1)		(20.5)
Contract receivables		(2.8)		(2.5)
Total		(23.9)		(23.0)
Total long-term finance and contract receivables – net	$	911.9	$	892.5
Finance receivables – net	$	667.2	$	650.5
Contract receivables – net		244.7		242.0
Total long-term finance and contract receivables – net	$	911.9	$	892.5

Aging of Finance and Contract Receivables

The aging of finance and contract receivables as of April 4, 2015, and January 3, 2015, is as follows:

(Amounts in millions)	30-59 Days Past Due		60-90 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Total Not Past Due		Total		Greater Than 90 Days Past Due and Accruing
April 4, 2015:
Finance receivables	$	7.7	$	5.5	$	9.7	$	22.9	$	1,086.3	$	1,109.2	$	7.1
Contract receivables		1.5		0.9		1.7		4.1		314.7		318.8		0.2
January 3, 2015:
Finance receivables	$	9.8	$	6.7	$	10.4	$	26.9	$	1,058.7	$	1,085.6	$	7.7
Contract receivables		0.9		0.7		1.1		2.7		317.3		320.0		0.1

Schedule of Performing and Nonperforming Finance and Contract Receivables

The amount of performing and nonperforming finance and contract receivables based on payment activity as of April 4, 2015, and January 3, 2015, is as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Performing	$	1,093.9	$	317.0	$	1,070.1	$	318.5
Nonperforming		15.3		1.8		15.5		1.5
Total	$	1,109.2	$	318.8	$	1,085.6	$	320.0

Schedule of Finance and Contract Receivables on Nonaccrual Status

The amount of finance and contract receivables on nonaccrual status as of April 4, 2015, and January 3, 2015, is as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables	$	8.3	$	7.9
Contract receivables		1.8		1.5

Rollforward of Allowances for Credit Losses for Finance and Contract Receivables

The following is a rollforward of the allowances for credit losses for finance and contract receivables for the three month periods ended April 4, 2015, and March 29, 2014:

	Three Months Ended April 4, 2015				Three Months Ended March 29, 2014
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Allowances for doubtful accounts:
Beginning of year	$	32.7	$	3.5	$	27.8	$	3.3
Provision for bad debt expense		7.1		0.9		6.2		0.6
Charge-offs		(7.8)		(0.4)		(6.8)		(0.4)
Recoveries		1.5		–		1.3		0.1
Currency Translation		(0.1)		(0.1)		–		–
End of period	$	33.4	$	3.9	$	28.5	$	3.6

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Summary of Accounting Policies (Policies)

3 Months Ended

Apr. 04, 2015

Accounting Policies [Abstract]

Principles of consolidation and presentation

Principles of consolidation and presentation

The Condensed Consolidated Financial Statements include the accounts of Snap-on Incorporated and its wholly-owned and majority-owned subsidiaries (collectively, “Snap-on” or “the company”). These financial statements should be read in conjunction with, and have been prepared in conformity with, the accounting principles reflected in the consolidated financial statements and related notes included in Snap-on’s 2014 Annual Report on Form 10-K for the fiscal year ended January 3, 2015 (“2014 year end”).

Snap-on’s 2015 fiscal year, which ends on January 2, 2016, will contain 52 weeks of operating results. Snap-on’s 2014 fiscal year contained 53 weeks of operating results; the additional week occurred in the fourth quarter. Snap-on’s 2015 fiscal first quarter ended on April 4, 2015; the 2014 fiscal first quarter ended on March 29, 2014. The company’s 2015 and 2014 fiscal first quarters each contained 13 weeks of operating results.

Snap-on accounts for investments in unconsolidated affiliates where Snap-on has a greater than 20% but less than 50% ownership interest under the equity method of accounting. Investments in unconsolidated affiliates of $12.3 million as of April 4, 2015, and $13.3 million as of January 3, 2015, are included in “Other assets” on the accompanying Condensed Consolidated Balance Sheets. In the normal course of business, the company may purchase products or services from unconsolidated affiliates; purchases from unconsolidated affiliates were $3.9 million and $3.8 million in the fiscal first quarters of 2015 and 2014, respectively. The Condensed Consolidated Financial Statements do not include the accounts of the company’s independent franchisees. Snap-on’s Condensed Consolidated Financial Statements are prepared in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”). All significant intercompany accounts and transactions have been eliminated.

In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for the fair presentation of the Condensed Consolidated Financial Statements for the three month periods ended April 4, 2015, and March 29, 2014, have been made. Interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year.

Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Financial Instruments

Financial Instruments

The fair value of the company’s derivative financial instruments is generally determined using quoted prices in active markets for similar assets and liabilities. The carrying value of the company’s non-derivative financial instruments either approximates fair value, due to their short-term nature, or the amount disclosed for fair value is based upon a discounted cash flow analysis or quoted market values. See Note 9 for further information on financial instruments.

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Receivables - Components of Current Finance and Contract Receivables (Parenthetical) (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Unearned finance charges, finance receivables	$ 15.2	$ 15.6
Unearned finance charges, contract receivable	$ 14.0	$ 13.9

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Postretirement Health Care Plans (Tables)

3 Months Ended

Apr. 04, 2015

Postemployment Benefits [Abstract]

Net Periodic Postretirement Health Care Cost

Snap-on’s net periodic postretirement health care cost included the following components:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Interest cost	$	0.5	$	0.6
Expected return on plan assets		(0.2)		(0.3)
Amortization of unrecognized loss		0.1		–
Net periodic postretirement health care cost	$	0.4	$	0.3

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Segments (Tables)

3 Months Ended

Apr. 04, 2015

Segment Reporting [Abstract]

Net Sales by Segment

Financial data by segment was as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Net sales:
Commercial & Industrial Group	$	297.5	$	290.6
Snap-on Tools Group		378.2		343.6
Repair Systems & Information Group		272.3		262.7
Segment net sales		948.0		896.9
Intersegment eliminations		(120.2)		(109.4)
Total net sales	$	827.8	$	787.5
Financial Services revenue		57.4		50.2
Total revenues	$	885.2	$	837.7
Operating earnings:
Commercial & Industrial Group	$	44.0	$	39.1
Snap-on Tools Group		59.8		49.2
Repair Systems & Information Group		63.9		58.1
Financial Services		40.3		34.4
Segment operating earnings		208.0		180.8
Corporate		(29.8)		(24.7)
Operating earnings	$	178.2	$	156.1
Interest expense		(13.0)		(13.7)
Other income (expense) – net		(0.7)		(0.1)
Earnings before income taxes and equity earnings	$	164.5	$	142.3

Assets by Segment

(Amounts in millions)	April 4, 2015		January 3, 2015
Assets:
Commercial & Industrial Group	$	897.8	$	939.7
Snap-on Tools Group		616.9		600.1
Repair Systems & Information Group		1,024.2		1,036.8
Financial Services		1,389.7		1,368.3
Total assets from reportable segments	$	3,928.6	$	3,944.9
Corporate		377.0		401.7
Elimination of intersegment receivables		(43.2)		(36.5)
Total assets	$	4,262.4	$	4,310.1

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Receivables - Aging of Finance and Contract Receivables (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Finance receivables, 30-59 Days Past Due	$ 7.7	$ 9.8
Finance receivables, 60-90 Days Past Due	5.5	6.7
Finance receivables, Greater Than 90 Days Past Due	9.7	10.4
Finance receivables, Total Past Due	22.9	26.9
Finance receivables, Total Not Past Due	1,086.3	1,058.7
Finance receivables, Total	1,109.2	1,085.6
Finance receivables, Greater Than 90 Days Past Due and Accruing	7.1	7.7
Contract receivables, 30-59 Days Past Due	1.5	0.9
Contract receivables, 60-90 Days Past Due	0.9	0.7
Contract receivables, Greater Than 90 Days Past Due	1.7	1.1
Contract receivables, Total Past Due	4.1	2.7
Contract receivables, Total Not Past Due	314.7	317.3
Contract receivables, Total	318.8	320.0
Contract receivables, Greater Than 90 Days Past Due and Accruing	$ 0.2	$ 0.1

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Short-term and Long-term Debt (Tables)

3 Months Ended

Apr. 04, 2015

Debt Disclosure [Abstract]

Short-term and Long-term Debt

Short-term and long-term debt as of April 4, 2015, and January 3, 2015, consisted of the following:

(Amounts in millions)	April 4, 2015		January 3, 2015
5.50% unsecured notes due 2017	$	150.0	$	150.0
4.25% unsecured notes due 2018		250.0		250.0
6.70% unsecured notes due 2019		200.0		200.0
6.125% unsecured notes due 2021		250.0		250.0
Other debt*		93.2		69.3
		943.2		919.3
Less: notes payable		(78.8)		(56.6)
Total long-term debt	$	864.4	$	862.7

* Includes fair value adjustments related to interest rate swaps.

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Short-term and Long-term Debt - Short-term and Long-term Debt (Parenthetical) (Detail)	3 Months Ended	12 Months Ended
	Apr. 04, 2015	Jan. 03, 2015
5.50% Unsecured Notes Due 2017 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes, interest rate	5.50%	5.50%
Unsecured notes, maturity year	2017	2017
4.25% Unsecured Notes Due 2018 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes, interest rate	4.25%	4.25%
Unsecured notes, maturity year	2018	2018
6.70% Unsecured Notes Due 2019 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes, interest rate	6.70%	6.70%
Unsecured notes, maturity year	2019	2019
6.125% Unsecured Notes Due 2021 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes, interest rate	6.125%	6.125%
Unsecured notes, maturity year	2021	2021

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Pension Plans - Net Periodic Pension Cost (Detail) (Pension Plans, Defined Benefit [Member], USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Pension Plans, Defined Benefit [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 5.2	$ 4.8
Interest cost	13.2	14.3
Expected return on plan assets	(19.4)	(18.2)
Amortization of unrecognized loss	8.9	5.4
Amortization of prior service credit	(0.2)	(0.2)
Net periodic pension cost	$ 7.7	$ 6.1

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Short-term and Long-term Debt - Short-term and Long-term Debt (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Schedule Of Debt Instruments [Line Items]
Other debt	$ 93.2	$ 69.3
Long-term debt including current maturities	943.2	919.3
Less: notes payable	(78.8)	(56.6)
Total long-term debt	864.4	862.7
Long-term debt including current maturities	943.2	919.3
5.50% Unsecured Notes Due 2017 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes	150.0	150.0
4.25% Unsecured Notes Due 2018 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes	250.0	250.0
6.70% Unsecured Notes Due 2019 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes	200.0	200.0
6.125% Unsecured Notes Due 2021 [Member]
Schedule Of Debt Instruments [Line Items]
Unsecured notes	$ 250.0	$ 250.0

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Receivables - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Minimum payment term for trade and other accounts receivable (in days)	30 days
Maximum payment term for trade and other accounts receivable (in days)	120 days
Average payment term for finance receivables (in years)	3 years
Maximum payment term for contract receivables (in years)	10 years
Minimum period past due to consider receivable balances as delinquent (days)	30 days
Minimum period past due to consider non-accrual finance receivables nonperforming (days)	90 days
Minimum period past due to declare receivable as non-accrual status (days)	90 days
Impaired finance receivables	$ 15.3	$ 15.5
Impaired contract receivables	$ 1.7	$ 1.5

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Financial Instruments - Effect of Derivative Instruments Designated as Cash Flow Hedges Included in Accumulated OCI on Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Earnings (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Interest Expense [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Effective Portion of Gain Reclassified from Accumulated OCI into Income	$ 0.1	$ 0.1
Treasury Locks [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Effective Portion of Gain Recognized in Accumulated OCI	$ 0	$ 0

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Segments

3 Months Ended

Apr. 04, 2015

Segment Reporting [Abstract]

Segments

Note 17: Segments

Snap-on’s business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. Snap-on’s reportable business segments are: (i) the Commercial & Industrial Group; (ii) the Snap-on Tools Group; (iii) the Repair Systems & Information Group; and (iv) Financial Services. The Commercial & Industrial Group consists of business operations serving a broad range of industrial and commercial customers worldwide, primarily through direct and distributor channels. The Snap-on Tools Group consists of business operations primarily serving vehicle service and repair technicians through the company’s worldwide mobile tool distribution channel. The Repair Systems & Information Group consists of business operations serving other professional vehicle repair customers worldwide, primarily owners and managers of independent repair shops and original equipment manufacturer (“OEM”) dealership service and repair shops (“OEM dealerships”), through direct and distributor channels. Financial Services consists of the business operations of Snap-on’s finance subsidiaries.

Snap-on evaluates the performance of its operating segments based on segment revenues, including both external and intersegment net sales, and segment operating earnings. Snap-on accounts for intersegment sales and transfers based primarily on standard costs with reasonable mark-ups established between the segments. Identifiable assets by segment are those assets used in the respective reportable segment’s operations. Corporate assets consist of cash and cash equivalents (excluding cash held at Financial Services), deferred income taxes and certain other assets. All significant intersegment amounts are eliminated to arrive at Snap-on’s consolidated financial results. Financial data by segment was as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Net sales:
Commercial & Industrial Group	$	297.5	$	290.6
Snap-on Tools Group		378.2		343.6
Repair Systems & Information Group		272.3		262.7
Segment net sales		948.0		896.9
Intersegment eliminations		(120.2)		(109.4)
Total net sales	$	827.8	$	787.5
Financial Services revenue		57.4		50.2
Total revenues	$	885.2	$	837.7
Operating earnings:
Commercial & Industrial Group	$	44.0	$	39.1
Snap-on Tools Group		59.8		49.2
Repair Systems & Information Group		63.9		58.1
Financial Services		40.3		34.4
Segment operating earnings		208.0		180.8
Corporate		(29.8)		(24.7)
Operating earnings	$	178.2	$	156.1
Interest expense		(13.0)		(13.7)
Other income (expense) – net		(0.7)		(0.1)
Earnings before income taxes and equity earnings	$	164.5	$	142.3
(Amounts in millions)	April 4, 2015		January 3, 2015
Assets:
Commercial & Industrial Group	$	897.8	$	939.7
Snap-on Tools Group		616.9		600.1
Repair Systems & Information Group		1,024.2		1,036.8
Financial Services		1,389.7		1,368.3
Total assets from reportable segments	$	3,928.6	$	3,944.9
Corporate		377.0		401.7
Elimination of intersegment receivables		(43.2)		(36.5)
Total assets	$	4,262.4	$	4,310.1

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Condensed Consolidated Statements of Equity (Unaudited) (USD $) In Millions	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Treasury Stock [Member]	Noncontrolling Interests [Member]
Balance at Dec. 28, 2013	$ 2,130.4	$ 67.4	$ 225.1	$ 2,324.1	$ (44.8)	$ (458.6)	$ 17.2
Net earnings	98.2			95.9			2.3
Other comprehensive income (loss)	7.9				7.9
Cash dividends	(25.6)			(25.6)
Dividend reinvestment plan and other	(2.8)			(0.3)			(2.5)
Stock compensation plans	10.8		(4.9)			15.7
Share repurchases	(22.1)					(22.1)
Tax benefit from certain stock options	6.9		6.9
Balance at Mar. 29, 2014	2,203.7	67.4	227.1	2,394.1	(36.9)	(465.0)	17.0
Balance at Jan. 03, 2015	2,225.3	67.4	254.7	2,637.2	(248.2)	(503.3)	17.5
Net earnings	113.2			110.5			2.7
Other comprehensive income (loss)	(91.0)				(91.0)
Cash dividends	(30.9)			(30.9)
Dividend reinvestment plan and other	(2.7)			(0.2)			(2.5)
Stock compensation plans	13.1		(4.2)			17.3
Share repurchases	(49.7)					(49.7)
Tax benefit from certain stock options	11.0		11.0
Balance at Apr. 04, 2015	$ 2,188.3	$ 67.4	$ 261.5	$ 2,716.6	$ (339.2)	$ (535.7)	$ 17.7

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Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Operating activities:
Net earnings	$ 113.2	$ 98.2
Adjustments to reconcile net earnings to net cash provided (used) by operating activities:
Depreciation	13.8	13.4
Amortization of other intangibles	6.2	6.2
Provision for losses on finance receivables	7.1	6.2
Provision for losses on non-finance receivables	4.9	3.4
Stock-based compensation expense	11.5	8.6
Excess tax benefits from stock-based compensation	(11.0)	(6.9)
Deferred income tax provision	10.7	6.8
Changes in operating assets and liabilities:
Increase in trade and other accounts receivable	(20.2)	(31.0)
Increase in contract receivables	(3.3)	(5.9)
Increase in inventories	(24.0)	(18.5)
Increase in prepaid and other assets	(27.0)	(19.7)
Increase in accounts payable	24.9	7.0
Increase (decrease) in accruals and other liabilities	(28.7)	20.5
Net cash provided by operating activities	78.1	88.3
Investing activities:
Additions to finance receivables	(198.8)	(169.7)
Collections of finance receivables	160.2	139.4
Capital expenditures	(18.1)	(18.3)
Disposal of property and equipment		0.2
Other	(2.8)	(2.5)
Net cash used by investing activities	(59.5)	(50.9)
Financing activities:
Repayment of long-term debt		(100.0)
Net increase in short-term borrowings	22.8	4.0
Cash dividends paid	(30.9)	(25.6)
Purchases of treasury stock	(49.7)	(22.1)
Proceeds from stock purchase and option plans	14.5	12.8
Excess tax benefits from stock-based compensation	11.0	6.9
Other	(3.0)	(3.1)
Net cash used by financing activities	(35.3)	(127.1)
Effect of exchange rate changes on cash and cash equivalents	(1.8)	(0.1)
Decrease in cash and cash equivalents	(18.5)	(89.8)
Cash and cash equivalents at beginning of year	132.9	217.6
Cash and cash equivalents at end of period	114.4	127.8
Supplemental cash flow disclosures:
Cash paid for interest	(23.7)	(26.2)
Net cash paid for income taxes	$ (20.7)	$ (16.7)

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Receivables

3 Months Ended

Apr. 04, 2015

Receivables [Abstract]

Receivables

Note 3: Receivables

Trade and Other Accounts Receivable

Snap-on’s trade and other accounts receivable primarily arise from the sale of tools and diagnostic and equipment products to a broad range of industrial and commercial customers and to Snap-on’s independent franchise van channel on a non-extended-term basis with payment terms generally ranging from 30 to 120 days.

The components of Snap-on’s trade and other accounts receivable as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Trade and other accounts receivable	$	565.6	$	567.0
Allowances for doubtful accounts		(17.2)		(16.2)
Total trade and other accounts receivable – net	$	548.4	$	550.8

Finance and Contract Receivables

Snap-on Credit LLC (“SOC”), the company’s financial services operation in the United States, originates extended-term finance and contract receivables on sales of Snap-on’s products sold through the U.S. franchisee and customer network and to Snap-on’s industrial and other customers; Snap-on’s foreign finance subsidiaries provide similar financing internationally. Interest income on finance and contract receivables is included in “Financial services revenue” on the accompanying Condensed Consolidated Statements of Earnings.

Snap-on’s finance receivables are comprised of extended-term installment payment contracts to both technicians and independent shop owners (i.e., franchisees’ customers) to enable them to purchase tools and diagnostic and equipment products on an extended-term payment plan, generally with expected average payment terms of approximately three years. Contract receivables, with payment terms of up to 10 years, are comprised of extended-term installment payment contracts to a broad base of industrial and other customers worldwide, including shop owners, both independents and national chains, for their purchase of tools and diagnostic and equipment products. Contract receivables also include extended-term installment loans to franchisees to meet a number of financing needs, including working capital loans, loans to enable new franchisees to fund the purchase of the franchise and van leases. Finance and contract receivables are generally secured by the underlying tools and/or diagnostic or equipment products financed and, for installment loans to franchisees, other franchisee assets.

The components of Snap-on’s current finance and contract receivables as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables, net of unearned finance charges of $15.2 million and $15.6 million, respectively	$	420.9	$	414.6
Contract receivables, net of unearned finance charges of $14.0 million and $13.9 million, respectively		71.3		75.5
Total		492.2		490.1
Allowances for doubtful accounts:
Finance receivables		(12.3)		(12.2)
Contract receivables		(1.1)		(1.0)
Total		(13.4)		(13.2)
Total current finance and contract receivables – net	$	478.8	$	476.9
Finance receivables – net	$	408.6	$	402.4
Contract receivables – net		70.2		74.5
Total current finance and contract receivables – net	$	478.8	$	476.9

The components of Snap-on’s finance and contract receivables with payment terms beyond one year as of April 4, 2015, and January 3, 2015, are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables, net of unearned finance charges of $9.7 million and $9.9 million, respectively	$	688.3	$	671.0
Contract receivables, net of unearned finance charges of $19.7 million and $19.4 million, respectively		247.5		244.5
Total		935.8		915.5
Allowances for doubtful accounts:
Finance receivables		(21.1)		(20.5)
Contract receivables		(2.8)		(2.5)
Total		(23.9)		(23.0)
Total long-term finance and contract receivables – net	$	911.9	$	892.5
Finance receivables – net	$	667.2	$	650.5
Contract receivables – net		244.7		242.0
Total long-term finance and contract receivables – net	$	911.9	$	892.5

Delinquency is the primary indicator of credit quality for finance and contract receivables. Receivable balances are considered delinquent when contractual payments become 30 days past due.

Finance receivables are generally placed on nonaccrual status (nonaccrual of interest and other fees) (i) when a customer is placed on repossession status; (ii) upon receipt of notification of bankruptcy; (iii) upon notification of the death of a customer; or (iv) in other instances in which management concludes collectability is not reasonably assured. Finance receivables that are considered nonperforming include receivables that are on nonaccrual status and receivables that are generally more than 90 days past due.

Contract receivables are generally placed on nonaccrual status (i) when a receivable is more than 90 days past due or at the point a customer’s account is placed on terminated status regardless of its delinquency status; (ii) upon notification of the death of a customer; or (iii) in other instances in which management concludes collectability is not reasonably assured. Contract receivables that are considered nonperforming include receivables that are on nonaccrual status.

The accrual of interest and other fees is resumed when the finance or contract receivable becomes contractually current and collection of all remaining contractual amounts due is reasonably assured. Finance and contract receivables are evaluated for impairment on a collective basis. A receivable is impaired when it is probable that all amounts related to the receivable will not be collected according to the contractual terms of the applicable agreement. Impaired receivables are covered by the company’s finance and contract allowances for doubtful accounts reserves and are charged-off against the reserves when appropriate. As of April 4, 2015, and January 3, 2015, there were $15.3 million and $15.5 million, respectively, of impaired finance receivables, and there were $1.7 million and $1.5 million, respectively, of impaired contract receivables.

It is the general practice of Snap-on’s financial services business to not engage in contract or loan modifications. In limited instances, Snap-on’s financial services business may modify certain impaired receivables in troubled debt restructurings. The amount and number of restructured finance and contract receivables as of April 4, 2015, and January 3, 2015, were immaterial to both the financial services portfolio and the company’s results of operations and financial position.

The aging of finance and contract receivables as of April 4, 2015, and January 3, 2015, is as follows:

(Amounts in millions)	30-59 Days Past Due		60-90 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Total Not Past Due		Total		Greater Than 90 Days Past Due and Accruing
April 4, 2015:
Finance receivables	$	7.7	$	5.5	$	9.7	$	22.9	$	1,086.3	$	1,109.2	$	7.1
Contract receivables		1.5		0.9		1.7		4.1		314.7		318.8		0.2
January 3, 2015:
Finance receivables	$	9.8	$	6.7	$	10.4	$	26.9	$	1,058.7	$	1,085.6	$	7.7
Contract receivables		0.9		0.7		1.1		2.7		317.3		320.0		0.1

The amount of performing and nonperforming finance and contract receivables based on payment activity as of April 4, 2015, and January 3, 2015, is as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Performing	$	1,093.9	$	317.0	$	1,070.1	$	318.5
Nonperforming		15.3		1.8		15.5		1.5
Total	$	1,109.2	$	318.8	$	1,085.6	$	320.0

The amount of finance and contract receivables on nonaccrual status as of April 4, 2015, and January 3, 2015, is as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finance receivables	$	8.3	$	7.9
Contract receivables		1.8		1.5

The following is a rollforward of the allowances for credit losses for finance and contract receivables for the three month periods ended April 4, 2015, and March 29, 2014:

	Three Months Ended April 4, 2015				Three Months Ended March 29, 2014
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Allowances for doubtful accounts:
Beginning of year	$	32.7	$	3.5	$	27.8	$	3.3
Provision for bad debt expense		7.1		0.9		6.2		0.6
Charge-offs		(7.8)		(0.4)		(6.8)		(0.4)
Recoveries		1.5		–		1.3		0.1
Currency Translation		(0.1)		(0.1)		–		–
End of period	$	33.4	$	3.9	$	28.5	$	3.6

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Pension Plans - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015
Foreign Pension Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Expected future employer contributions	$ 7.1
Domestic Pension Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Expected future employer contributions	2.0
Cash contributions made	15.3
Discretionary contribution	15.0
Required contribution	$ 0.3

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Summary of Accounting Policies

3 Months Ended

Apr. 04, 2015

Accounting Policies [Abstract]

Summary of Accounting Policies

Note 1: Summary of Accounting Policies

Principles of consolidation and presentation

The Condensed Consolidated Financial Statements include the accounts of Snap-on Incorporated and its wholly-owned and majority-owned subsidiaries (collectively, “Snap-on” or “the company”). These financial statements should be read in conjunction with, and have been prepared in conformity with, the accounting principles reflected in the consolidated financial statements and related notes included in Snap-on’s 2014 Annual Report on Form 10-K for the fiscal year ended January 3, 2015 (“2014 year end”).

Snap-on’s 2015 fiscal year, which ends on January 2, 2016, will contain 52 weeks of operating results. Snap-on’s 2014 fiscal year contained 53 weeks of operating results; the additional week occurred in the fourth quarter. Snap-on’s 2015 fiscal first quarter ended on April 4, 2015; the 2014 fiscal first quarter ended on March 29, 2014. The company’s 2015 and 2014 fiscal first quarters each contained 13 weeks of operating results.

Snap-on accounts for investments in unconsolidated affiliates where Snap-on has a greater than 20% but less than 50% ownership interest under the equity method of accounting. Investments in unconsolidated affiliates of $12.3 million as of April 4, 2015, and $13.3 million as of January 3, 2015, are included in “Other assets” on the accompanying Condensed Consolidated Balance Sheets. In the normal course of business, the company may purchase products or services from unconsolidated affiliates; purchases from unconsolidated affiliates were $3.9 million and $3.8 million in the fiscal first quarters of 2015 and 2014, respectively. The Condensed Consolidated Financial Statements do not include the accounts of the company’s independent franchisees. Snap-on’s Condensed Consolidated Financial Statements are prepared in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”). All significant intercompany accounts and transactions have been eliminated.

In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary for the fair presentation of the Condensed Consolidated Financial Statements for the three month periods ended April 4, 2015, and March 29, 2014, have been made. Interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Financial Instruments

The fair value of the company’s derivative financial instruments is generally determined using quoted prices in active markets for similar assets and liabilities. The carrying value of the company’s non-derivative financial instruments either approximates fair value, due to their short-term nature, or the amount disclosed for fair value is based upon a discounted cash flow analysis or quoted market values. See Note 9 for further information on financial instruments.

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Summary of Accounting Policies - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014	Jan. 03, 2015
Summary Of Accounting Policies [Line Items]
Investments in unconsolidated affiliates	$ 12.3		$ 13.3
Purchases from unconsolidated affiliates	$ 3.9	$ 3.8
Minimum [Member]
Summary Of Accounting Policies [Line Items]
Percentage of ownership interest under equity method accounting	20.00%
Maximum [Member]
Summary Of Accounting Policies [Line Items]
Percentage of ownership interest under equity method accounting	50.00%

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Inventories (Tables)

3 Months Ended

Apr. 04, 2015

Inventory Disclosure [Abstract]

Inventories by Major Classification

Inventories by major classification are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finished goods	$	424.6	$	415.3
Work in progress		44.9		45.3
Raw materials		85.7		87.5
Total FIFO value		555.2		548.1
Excess of current cost over LIFO cost		(72.9)		(72.6)
Total inventories – net	$	482.3	$	475.5

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Financial Instruments (Tables)

3 Months Ended

Apr. 04, 2015

Investments, All Other Investments [Abstract]

Fair Value of Derivative Instruments Included within Condensed Consolidated Balance Sheets

The fair value of derivative instruments included within the Condensed Consolidated Balance Sheets as of April 4, 2015, and January 3, 2015, are as follows:

		April 4, 2015				January 3, 2015
(Amounts in millions)	Balance Sheet Presentation	Asset Derivatives Fair Value		Liability Derivatives Fair Value		Asset Derivatives Fair Value		Liability Derivatives Fair Value
Derivatives designated as hedging instruments:
Interest rate swaps	Other assets	$	14.7	$	–	$	14.0	$	–
Derivatives not designated as hedging instruments:
Foreign currency forwards	Prepaid expenses and other assets	$	3.1	$	–	$	6.6	$	–
Foreign currency forwards	Other accrued liabilities		–		16.2		–		14.7
Equity forwards	Prepaid expenses and other assets		19.5		–		15.4		–
Total		$	22.6	$	16.2	$	22.0	$	14.7
Total derivatives instruments		$	37.3	$	16.2	$	36.0	$	14.7

Derivative Instruments Designated as Fair Value Hedges Included in Condensed Consolidated Statements of Earnings

The effect of derivative instruments designated as fair value hedges as included in the Condensed Consolidated Statements of Earnings is as follows:

		Effective Portion of Gain Recognized in Income Three Months Ended
(Amounts in millions)	Statement of Earnings Presentation	April 4, 2015		March 29, 2014
Derivatives designated as fair value hedges:
Interest rate swaps	Interest expense	$	1.0	$	1.0

Effect of Derivative Instruments Designated as Cash Flow Hedges Included in Accumulated OCI on Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Earnings

The effect of derivative instruments designated as cash flow hedges as included in Accumulated OCI on the Condensed Consolidated Balance Sheets and the Condensed Consolidated Statements of Earnings is as follows:

	Effective Portion of  Gain Recognized in Accumulated OCI Three Months Ended				Statement of Earnings Presentation	Effective Portion of  Gain Reclassified from Accumulated OCI into Income Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014			April 4, 2015		March 29, 2014
Derivatives designated as cash flow hedges:
Treasury locks	$	–	$	–	Interest expense	$	0.1	$	0.1

Derivative Instruments Not Designated as Hedges Included in Condensed Consolidated Statements of Earnings

The effects of derivative instruments not designated as hedging instruments as included in the Condensed Consolidated Statements of Earnings are as follows:

		Gain / (Loss) Recognized in Income Three Months Ended
(Amounts in millions)	Statement of Earnings Presentation	April 4, 2015		March 29, 2014
Derivatives not designated as hedging instruments:
Foreign currency forwards	Other income (expense) – net	$	(15.0)	$	4.0
Equity forwards	Operating expenses		1.5		0.5

Fair Values of Financial Instruments Not Approximating Carrying Values in Financial Statements

Fair Value of Financial Instruments: The fair values of financial instruments that do not approximate the carrying values in the financial statements are as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Carrying Value		Fair Value		Carrying Value		Fair Value
Finance receivables – net	$	1,075.8	$	1,225.2	$	1,052.9	$	1,198.4
Contract receivables – net		314.9		349.0		316.5		348.2
Long-term debt and notes payable		943.2		1,060.0		919.3		1,031.3

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Financial Instruments - Fair Values of Financial Instruments Not Approximating Carrying Values in Financial Statements (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt and notes payable	$ 943.2	$ 919.3
Carrying Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance receivables - net	1,075.8	1,052.9
Contract receivables - net	314.9	316.5
Long-term debt and notes payable	943.2	919.3
Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance receivables - net	1,225.2	1,198.4
Contract receivables - net	349.0	348.2
Long-term debt and notes payable	$ 1,060.0	$ 1,031.3

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Commitments and Contingencies (Tables)

3 Months Ended

Apr. 04, 2015

Commitments and Contingencies Disclosure [Abstract]

Summary of Product Warranty Accrual Activity

Snap-on’s product warranty accrual activity for the three month periods ended April 4, 2015, and March 29, 2014, is as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Warranty reserve:
Beginning of year	$	17.3	$	17.0
Additions		3.7		2.9
Usage		(3.9)		(3.2)
End of period	$	17.1	$	16.7

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Financial Instruments - Derivative Instruments Not Designated as Hedges Included in Condensed Consolidated Statements of Earnings (Detail) (Not Designated as Hedging Instrument [Member], USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Foreign Currency Forwards [Member] | Other Income (Expense) - Net [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in Income	$ (15.0)	$ 4.0
Equity Forwards [Member] | Operating Expenses [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in Income	$ 1.5	$ 0.5

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Goodwill and Other Intangible Assets - Changes in Carrying Amount of Goodwill by Segment (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015
Goodwill [Line Items]
Beginning Balance	$ 810.7
Currency translation	(32.4)
Ending Balance	778.3
Commercial & Industrial Group [Member]
Goodwill [Line Items]
Beginning Balance	275.9
Currency translation	(28.0)
Ending Balance	247.9
Snap-on Tools Group [Member]
Goodwill [Line Items]
Beginning Balance	12.5
Currency translation
Ending Balance	12.5
Repair Systems & Information Group [Member]
Goodwill [Line Items]
Beginning Balance	522.3
Currency translation	(4.4)
Ending Balance	$ 517.9

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Receivables - Schedule of Performing and Nonperforming Finance and Contract Receivables (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Financing Receivable, Recorded Investment [Line Items]
Finance Receivables	$ 1,109.2	$ 1,085.6
Contract Receivables	318.8	320.0
Performing [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Receivables	1,093.9	1,070.1
Contract Receivables	317.0	318.5
Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Receivables	15.3	15.5
Contract Receivables	$ 1.8	$ 1.5

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Receivables - Components of Current Finance and Contract Receivables (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Finance receivables, net of unearned finance charges of $15.2 million and $15.6 million, respectively	$ 420.9	$ 414.6
Contract receivables, net of unearned finance charges of $14.0 million and $13.9 million, respectively	71.3	75.5
Total	492.2	490.1
Allowances for doubtful accounts, finance receivables	(12.3)	(12.2)
Allowances for doubtful accounts, contract receivables	(1.1)	(1.0)
Total	(13.4)	(13.2)
Total current finance and contract receivables - net	478.8	476.9
Finance receivables - net	408.6	402.4
Contract receivables - net	70.2	74.5
Total current finance and contract receivables - net	$ 478.8	$ 476.9

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Condensed Consolidated Statements of Comprehensive Income (Unaudited) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015		Mar. 29, 2014
Comprehensive income (loss):
Net earnings	$ 113.2		$ 98.2
Other comprehensive income (loss):
Foreign currency translation	(96.3)	[1]	4.7	[1]
Unrealized cash flow hedges, net of tax:
Reclassification of cash flow hedges to net earnings	(0.1)		(0.1)
Defined benefit pension and postretirement plans:
Amortization of net unrecognized losses and prior service credits included in net periodic benefit cost	8.8		5.2
Income tax benefit	(3.4)		(1.9)
Net of tax	5.4		3.3
Total comprehensive income	22.2		106.1
Comprehensive income attributable to noncontrolling interests	(2.7)		(2.3)
Comprehensive income attributable to Snap-on Incorporated	$ 19.5		$ 103.8

[1] There was no sale or liquidation of a foreign entity; therefore, there is no reclassification adjustment for any period presented.

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Exit and Disposal Activities

3 Months Ended

Apr. 04, 2015

Restructuring and Related Activities [Abstract]

Exit and Disposal Activities

Note 6: Exit and Disposal Activities

Snap-on did not record any costs for exit and disposal activities in the three month period ended April 4, 2015; Snap-on recorded costs for exit and disposal activities in the three month period ended March 29, 2014, as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Exit and disposal costs:
Cost of goods sold:
Repair Systems & Information Group	$	–	$	2.0
Total exit and disposal costs	$	–	$	2.0

The $2.0 million of costs incurred during the three month period ended March 29, 2014, qualified for accrual treatment.

Snap-on’s exit and disposal accrual activity for the first quarter of 2015 is as follows:

(Amounts in millions)	Balance at January 3, 2015		Provision		Usage		Balance at April 4, 2015
Severance costs:
Commercial & Industrial Group	$	0.8	$	–	$	(0.3)	$	0.5
Repair Systems & Information Group		5.7		–		(0.4)		5.3
Total	$	6.5	$	–	$	(0.7)	$	5.8

The majority of the exit and disposal accrual as of April 4, 2015, is expected to be utilized in 2015.

Snap-on expects to fund the remaining cash requirements of its exit and disposal activities with available cash on hand, cash flows from operations and borrowings under the company’s existing credit facilities. The estimated costs for the exit and disposal activities were based on management’s best business judgment under prevailing circumstances.

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Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $)	Apr. 04, 2015	Jan. 03, 2015
Statement of Financial Position [Abstract]
Preferred Stock, Shares Authorized	15,000,000	15,000,000
Preferred Stock, Shares Outstanding	0	0
Preferred Stock, Par Value	$ 1	$ 1
Common Stock, Shares Authorized	250,000,000	250,000,000
Common Stock, Par Value	$ 1	$ 1
Common Stock, Shares Issued	67,391,959	67,383,127
Treasury stock shares at cost	9,303,199	9,269,680

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Goodwill and Other Intangible Assets - Weighted-Average Amortization Period by Major Class (Detail)	3 Months Ended
	Apr. 04, 2015
Finite-Lived Intangible Assets [Line Items]
Weighted-average Amortization (in years)	11 years
Customer relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted-average Amortization (in years)	15 years
Internally developed software [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted-average Amortization (in years)	3 years
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted-average Amortization (in years)	9 years
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted-average Amortization (in years)	6 years
Other [Member]
Finite-Lived Intangible Assets [Line Items]
Weighted-average Amortization (in years)	39 years

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Condensed Consolidated Statements of Earnings (Unaudited) (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Income Statement [Abstract]
Net sales	$ 827.8	$ 787.5
Cost of goods sold	(417.7)	(408.8)
Gross profit	410.1	378.7
Operating expenses	(272.2)	(257.0)
Operating earnings before financial services	137.9	121.7
Financial services revenue	57.4	50.2
Financial services expenses	(17.1)	(15.8)
Operating earnings from financial services	40.3	34.4
Operating earnings	178.2	156.1
Interest expense	(13.0)	(13.7)
Other income (expense) - net	(0.7)	(0.1)
Earnings before income taxes and equity earnings	164.5	142.3
Income tax expense	(51.8)	(44.3)
Earnings before equity earnings	112.7	98.0
Equity earnings, net of tax	0.5	0.2
Net earnings	113.2	98.2
Net earnings attributable to noncontrolling interests	(2.7)	(2.3)
Net earnings attributable to Snap-on Incorporated	$ 110.5	$ 95.9
Net earnings per share attributable to Snap-on Incorporated:
Basic	$ 1.90	$ 1.65
Diluted	$ 1.87	$ 1.62
Weighted-average shares outstanding:
Basic	58,132,396	58,206,213
Effect of dilutive securities	972,913	871,042
Diluted	59,105,309	59,077,255
Dividends declared per common share	$ 0.53	$ 0.44

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Receivables - Schedule of Finance and Contract Receivables on Nonaccrual Status (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Finance receivables	$ 8.3	$ 7.9
Contract receivables	$ 1.8	$ 1.5

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Earnings Per Share - Computation of Basic and Diluted Earnings Per Common Share (Detail)	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Earnings Per Share [Abstract]
Weighted-average common shares outstanding	58,132,396	58,206,213
Effect of dilutive securities	972,913	871,042
Weighted-average common shares outstanding, assuming dilution	59,105,309	59,077,255

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Stock-Based Compensation and Other Stock Plans - Additional Information (Detail) (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended		12 Months Ended
	Apr. 04, 2015	Mar. 29, 2014	Jan. 03, 2015	Dec. 28, 2013	Dec. 29, 2012
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Net stock-based compensation expense	$ 11.5	$ 8.6
Cash received from stock purchase and option plan exercises	14.5	12.8
Tax benefit realized from exercise and vesting of share-based payment arrangements	15.1	12.0
2011 Incentive Stock and Awards Plan [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares available for future grants	875,755
Employees Stock Purchase Plan [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares issued	0	0
Number of shares reserved for issuance	865,043
Employee contributions for purchase of common stock	5.0
Stock based compensation expense	1.0	0.5
Employee stock purchase plan, description	The purchase price of the company's common stock to participants is the lesser of the mean of the high and low price of the stock on the beginning date (May 15) or ending date (the following May 14) of each plan year.
Franchisee Stock Purchase Plan [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares issued	0	0
Number of shares reserved for issuance	230,337
Stock based compensation expense	1.2	0.3
Franchisee contributions for purchase of common stock	4.7
Franchisee stock purchase plan, description	All franchisees in the United States and Canada are eligible to participate in a franchisee stock purchase plan. The purchase price of the company's common stock to participants is the lesser of the mean of the high and low price of the stock on the beginning date (May 15) or ending date (the following May 14) of each plan year
Stock Option [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Weighted average contractual term (in years)	10 years
Weighted-average grant date fair value	$ 25.65	$ 20.19
Aggregate intrinsic value exercised	19.3	12.4
Fair value of stock options vested	9.8	9.5
Unrecognized compensation cost related to non-vested award	26.1
Cost expected to be recognized over weighted-average period, in years	2 years 2 months 12 days
Performance Awards [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Weighted average contractual term (in years)	3 years
Unrecognized compensation cost related to non-vested award	26.2
Cost expected to be recognized over weighted-average period, in years	2 years 1 month 6 days
Maximum stock percentage to be awarded	100.00%
Performance period for awards granted (in years)	3 years
Weighted-average grant date fair value granted	$ 138.48	$ 107.30
Performance awards shares paid out	130,764	146,313
Restricted Stock Units [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Performance period for awards granted (in years)	1 year
Awards granted vesting period (in years)	2 years
Shares granted			78,585	84,413	95,047
Units granted vesting date			2016	2015	2014
Shares vested			95,047
Cash-Settled Stock Appreciation Rights [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Weighted average contractual term (in years)	10 years
Unrecognized compensation cost related to non-vested award	0.4
Cost expected to be recognized over weighted-average period, in years	1 year 9 months 18 days
Weighted-average grant date fair value granted	$ 25.78
Shares granted	4,000
Shares vested	42,000
Intrinsic value of stock exercised	3.4	3.3
Fair value of stock vested	3.4	3.8
Stock-Settled SARs [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Unrecognized compensation cost related to non-vested award	4.7
Cost expected to be recognized over weighted-average period, in years	2 years 2 months 12 days
Weighted-average grant date fair value granted	$ 25.36	$ 19.58
Shares granted	112,000
Intrinsic value of stock exercised	0.3	0.1
Fair value of stock vested	$ 1.3	$ 0.6
Restricted Stock [Member] | Non-employee Directors [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Shares granted	8,940		10,398

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Goodwill and Other Intangible Assets (Tables)

3 Months Ended

Apr. 04, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in Carrying Amount of Goodwill by Segment

The changes in the carrying amount of goodwill by segment for the three month period ended April 4, 2015, are as follows:

(Amounts in millions)	Commercial & Industrial Group		Snap-on Tools Group		Repair Systems &  Information Group		Total
Balance as of January 3, 2015	$	275.9	$	12.5	$	522.3	$	810.7
Currency translation		(28.0)		–		(4.4)		(32.4)
Balance as of April 4, 2015	$	247.9	$	12.5	$	517.9	$	778.3

Other Intangible Assets by Major Class

Additional disclosures related to other intangible assets are as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Gross Carrying Value		Accumulated Amortization		Gross Carrying Value		Accumulated Amortization
Amortized other intangible assets:
Customer relationships	$	146.1	$	(72.9)	$	147.1	$	(71.2)
Developed technology		18.3		(18.3)		19.2		(19.2)
Internally developed software		145.8		(95.3)		142.2		(92.0)
Patents		28.9		(20.1)		29.3		(20.6)
Trademarks		2.4		(1.5)		2.5		(1.6)
Other		7.6		(1.7)		7.6		(1.6)
Total		349.1		(209.8)		347.9		(206.2)
Non-amortized trademarks		59.5		–		61.6		–
Total other intangible assets	$	408.6	$	(209.8)	$	409.5	$	(206.2)

Weighted-Average Amortization Period by Major Class

The weighted-average amortization periods related to other intangible assets are as follows:

	In Years
Customer relationships	15
Internally developed software	3
Patents	9
Trademarks	6
Other	39

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Other Income (Expense) - Net

3 Months Ended

Apr. 04, 2015

Other Income and Expenses [Abstract]

Other Income (Expense) - Net

Note 15: Other Income (Expense) – Net

“Other income (expense) – net” on the accompanying Condensed Consolidated Statements of Earnings consists of the following:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Interest income	$	0.1	$	0.1
Net foreign exchange loss		(0.8)		(0.2)
Total other income (expense) – net	$	(0.7)	$	(0.1)

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Receivables - Components of Trade and Other Accounts Receivable (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Trade and other accounts receivable	$ 565.6	$ 567.0
Allowances for doubtful accounts	(17.2)	(16.2)
Total trade and other accounts receivable - net	$ 548.4	$ 550.8

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Stock-Based Compensation and Other Stock Plans - Summary of Stock Option Activity (Detail) (Stock Option [Member], USD $) In Millions, except Share data in Thousands, unless otherwise specified	3 Months Ended
	Apr. 04, 2015
Stock Option [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Shares, Outstanding at beginning of period	2,630
Shares, Granted	634
Shares, Exercised	(234)
Shares, Forfeited or expired	(16)
Shares, Outstanding at end of period	3,014
Shares, Exercisable at end of period	1,772
Exercise Price per Share, Outstanding at beginning of period	$ 71.13
Exercise Price per Share, Granted	$ 144.69
Exercise Price per Share, Exercised	$ 61.89
Exercise Price per Share, Forfeited or expired	$ 112.07
Exercise Price per Share, Outstanding at end of period	$ 87.10
Exercise Price per Share, Exercisable at end of period	$ 62.49
Remaining Contractual Term, Outstanding at end of period	7 years 4 months 24 days
Remaining Contractual Term, Exercisable at end of period	6 years 1 month 6 days
Aggregate Intrinsic Value, Outstanding at end of period	$ 183.0
Aggregate Intrinsic Value, Exercisable at end of period	$ 151.2

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Inventories - Additional Information (Detail) (USD $)	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014	Jan. 03, 2015
Geographic Valuation Methodologies Of Inventory [Line Items]
Effect of LIFO inventory liquidation on income	$ 0	$ 0
Foreign and US Countries [Member]
Geographic Valuation Methodologies Of Inventory [Line Items]
Percentage of FIFO Inventory	57.00%		58.00%
United States [Member]
Geographic Valuation Methodologies Of Inventory [Line Items]
Percentage of FIFO Inventory	31.00%
Percentage of LIFO Inventory	69.00%

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Short-term and Long-term Debt - Additional Information (Detail) (USD $)	3 Months Ended
	Apr. 04, 2015	Jan. 03, 2015
Schedule Of Debt Instruments [Line Items]
Notes payable and current maturities of long-term debt	$ 78,800,000	$ 56,600,000
Commercial paper borrowings	52,500,000	37,000,000
Other notes payable	26,300,000	19,600,000
Five-year Multi-Currency Revolving Credit Facility [Member]
Schedule Of Debt Instruments [Line Items]
Revolving credit facility, amount available	700,000,000
Revolving credit facility, outstanding amount	$ 0
Debt maturity term	Five-year
Revolving credit facility, termination date	Sep. 27, 2018
Debt instrument, restrictive covenants	(i) a ratio not greater than 0.60 to 1.00 of consolidated net debt (consolidated debt net of certain cash adjustments) to the sum of such consolidated net debt plus total equity and less accumulated other comprehensive income or loss; or (ii) a ratio not greater than 3.50 to 1.00 of such consolidated net debt to earnings before interest, taxes, depreciation, amortization and certain other adjustments for the preceding four fiscal quarters then ended.
Actual debt-to-capital ratio	0.27
Actual debt-to-income ratio	1.14
Five-year Multi-Currency Revolving Credit Facility [Member] | Maximum [Member]
Schedule Of Debt Instruments [Line Items]
Maximum limit of required debt-to-capital ratio	0.60
Maximum limit of required debt-to-income ratio	3.50

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Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Apr. 04, 2015

Equity [Abstract]

Changes in Accumulated OCI by Component, Net of Tax

The following is a summary of first quarter fiscal 2015 changes in Accumulated OCI by component and net of tax:

(Amounts in millions)	Foreign Currency Translation		Cash Flow Hedges		Defined Benefit Pension and Postretirement Plans		Total
Balance as of January 3, 2015	$	(7.7)	$	1.0	$	(241.5)	$	(248.2)
Other comprehensive loss before reclassifications		(96.3)		–		–		(96.3)
Amounts reclassified from Accumulated OCI		–		(0.1)		5.4		5.3
Net other comprehensive income (loss)		(96.3)		(0.1)		5.4		(91.0)
Balance as of April 4, 2015	$	(104.0)	$	0.9	$	(236.1)	$	(339.2)

The following is a summary of first quarter fiscal 2014 changes in Accumulated OCI by component and net of tax:

(Amounts in millions)	Foreign Currency Translation		Cash Flow Hedges		Defined Benefit Pension and Postretirement Plans		Total
Balance as of December 28, 2013	$	121.1	$	1.3	$	(167.2)	$	(44.8)
Other comprehensive income before reclassifications		4.7		–		–		4.7
Amounts reclassified from Accumulated OCI		–		(0.1)		3.3		3.2
Net other comprehensive income (loss)		4.7		(0.1)		3.3		7.9
Balance as of March 29, 2014	$	125.8	$	1.2	$	(163.9)	$	(36.9)

Reclassifications Out of Accumulated OCI

The reclassifications out of Accumulated OCI for the three month periods ended April 4, 2015, and March 29, 2014, are as follows:

	Amount Reclassified from Accumulated OCI Three Months Ended
Details about Accumulated OCI Components	April 4, 2015		March 29, 2014		Statement of Earnings Presentation
(Amounts in millions)
Gains on cash flow hedges:
Treasury locks	$	0.1	$	0.1	Interest expense
Income tax expense		–		–	Income tax expense
Net of tax		0.1		0.1
Amortization of net unrecognized losses and prior service credits included in net periodic pension cost		(8.8)		(5.2)	See footnote below*
Income tax benefit		3.4		1.9	Income tax expense
Net of tax		(5.4)		(3.3)
Total reclassifications for the period, net of tax	$	(5.3)	$	(3.2)

* These Accumulated OCI components are included in the computation of net periodic pension cost; see Note 10 for further information.

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Stock-based Compensation and Other Stock Plans (Tables)

3 Months Ended

Apr. 04, 2015

Summary of Weighted-Average Assumptions of Fair Value Granted Using Black-Scholes Valuation Model

The following weighted-average assumptions were used in calculating the fair value of stock options granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015	March 29, 2014
Expected term of option (in years)	4.76	4.52
Expected volatility factor	24.13%	26.76%
Expected dividend yield	2.04%	2.40%
Risk-free interest rate	1.38%	1.30%

Summary of Stock Option Activity

A summary of stock option activity as of and for the three month period ended April 4, 2015, is presented below:

	Shares (in thousands)		Exercise Price Per Share*		Remaining Contractual Term* (in years)		Aggregate Intrinsic Value (in millions)
Outstanding at January 3, 2015		2,630	$	71.13
Granted		634		144.69
Exercised		(234)		61.89
Forfeited or expired		(16)		112.07
Outstanding at April 4, 2015		3,014		87.10		7.4	$	183.0
Exercisable at April 4, 2015		1,772		62.49		6.1		151.2

* Weighted-average

Nonvested Performance Shares [Member]

Summary of Changes in Non-Vested Performance Awards

Changes to the company’s non-vested performance awards during the three month period ended April 4, 2015, are as follows:

	Shares (in thousands)		Fair Value Price per Share*
Non-vested performance awards at January 3, 2015		327	$	91.92
Granted		116		138.48
Vested		(2)		89.35
Cancellations and other		(9)		89.04
Non-vested performance awards at April 4, 2015		432		104.41

* Weighted-average

Stock-Settled SARs [Member]

Summary of Weighted-Average Assumptions of Fair Value Granted Using Black-Scholes Valuation Model

The following weighted-average assumptions were used in calculating the fair value of stock-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015		March 29, 2014
Expected term of stock-settled SARs (in years)		4.72		4.50
Expected volatility factor		23.67%		25.66%
Expected dividend yield		2.04%		2.40%
Risk-free interest rate		1.50%		1.51%

Summary of Changes in SARs

Changes to the company’s stock-settled SARs during the three month period ended April 4, 2015, are as follows:

	Stock-settled SARs (in thousands)		Exercise Price Per Share*		Remaining Contractual Term* (in years)		Aggregate Intrinsic Value (in millions)
Outstanding at January 3, 2015		223	$	94.90
Granted		112		144.69
Exercised		(6)		85.33
Forfeited or expired		(10)		89.94
Outstanding at April 4, 2015		319		112.72		8.9	$	11.2
Exercisable at April 4, 2015		90		90.33		8.2		5.2

* Weighted-average

Cash-Settled Stock Appreciation Rights [Member]

Summary of Weighted-Average Assumptions of Fair Value Granted Using Black-Scholes Valuation Model

The following weighted-average assumptions were used in calculating the fair value of cash-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015		March 29, 2014
Expected term of cash-settled SARs (in years)		4.68		4.35
Expected volatility factor		23.16%		25.19%
Expected dividend yield		2.04%		2.40%
Risk-free interest rate		1.26%		1.74%

Summary of Changes in SARs

Changes to the company’s non-vested cash-settled SARs during the three month period ended April 4, 2015, are as follows:

	Cash-settled SARs (in thousands)		Fair Value Price per Share*
Non-vested cash-settled SARs at January 3, 2015		47	$	68.35
Granted		4		25.78
Vested		(42)		81.46
Non-vested cash-settled SARs at April 4, 2015		9		45.23

* Weighted-average

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Earnings Per Share (Tables)

3 Months Ended

Apr. 04, 2015

Earnings Per Share [Abstract]

Computation of Basic and Diluted Earnings Per Common Share

The shares used in the computation of the company’s basic and diluted earnings per common share are as follows:

	Three Months Ended
	April 4, 2015		March 29, 2014
Weighted-average common shares outstanding		58,132,396		58,206,213
Effect of dilutive securities		972,913		871,042
Weighted-average common shares outstanding, assuming dilution		59,105,309		59,077,255

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Goodwill and Other Intangible Assets

3 Months Ended

Apr. 04, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Note 5: Goodwill and Other Intangible Assets

The changes in the carrying amount of goodwill by segment for the three month period ended April 4, 2015, are as follows:

(Amounts in millions)	Commercial & Industrial Group		Snap-on Tools Group		Repair Systems &  Information Group		Total
Balance as of January 3, 2015	$	275.9	$	12.5	$	522.3	$	810.7
Currency translation		(28.0)		–		(4.4)		(32.4)
Balance as of April 4, 2015	$	247.9	$	12.5	$	517.9	$	778.3

Additional disclosures related to other intangible assets are as follows:

	April 4, 2015				January 3, 2015
(Amounts in millions)	Gross Carrying Value		Accumulated Amortization		Gross Carrying Value		Accumulated Amortization
Amortized other intangible assets:
Customer relationships	$	146.1	$	(72.9)	$	147.1	$	(71.2)
Developed technology		18.3		(18.3)		19.2		(19.2)
Internally developed software		145.8		(95.3)		142.2		(92.0)
Patents		28.9		(20.1)		29.3		(20.6)
Trademarks		2.4		(1.5)		2.5		(1.6)
Other		7.6		(1.7)		7.6		(1.6)
Total		349.1		(209.8)		347.9		(206.2)
Non-amortized trademarks		59.5		–		61.6		–
Total other intangible assets	$	408.6	$	(209.8)	$	409.5	$	(206.2)

Significant and unanticipated changes in circumstances, such as declines in profitability and cash flow due to significant and long-term deterioration in macroeconomic, industry and market conditions, the loss of key customers, changes in technology or markets, significant changes in key personnel or litigation, a significant and sustained decrease in share price and/or other events, including effects from the sale or disposal of a reporting unit, could require a provision for impairment of goodwill and/or other intangible assets in a future period. As of April 4, 2015, the company had no accumulated impairment losses.

The weighted-average amortization periods related to other intangible assets are as follows:

	In Years
Customer relationships	15
Internally developed software	3
Patents	9
Trademarks	6
Other	39

Snap-on is amortizing its customer relationships on both an accelerated and straight-line basis over a 15 year weighted-average life; the remaining intangibles are amortized on a straight-line basis. The weighted-average amortization period for all amortizable intangibles on a combined basis is 11 years.

The company’s customer relationships generally have contractual terms of three to five years and are typically renewed without significant cost to the company. The weighted-average 15 year life for customer relationships is based on the company’s historical renewal experience. Intangible asset renewal costs are expensed as incurred.

The aggregate amortization expense was $6.2 million in both the three month periods ended April 4, 2015, and March 29, 2014. Based on current levels of amortizable intangible assets and estimated weighted-average useful lives, estimated annual amortization expense is expected to be $24.6 million in 2015, $20.6 million in 2016, $17.3 million in 2017, $13.6 million in 2018, $12.9 million in 2019, and $12.1 million in 2020.

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Income Taxes - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Income Tax [Line Items]
Effective income tax rate	32.00%	31.60%
Minimum [Member]
Income Tax [Line Items]
Decrease in unrecognized tax benefits	0
Increase in unrecognized tax benefits	0
Maximum [Member]
Income Tax [Line Items]
Decrease in unrecognized tax benefits	0.9
Increase in unrecognized tax benefits	0.3

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Exit and Disposal Activities (Tables)

3 Months Ended

Apr. 04, 2015

Restructuring and Related Activities [Abstract]

Recorded Costs for Exit and Disposal Activities

Snap-on did not record any costs for exit and disposal activities in the three month period ended April 4, 2015; Snap-on recorded costs for exit and disposal activities in the three month period ended March 29, 2014, as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Exit and disposal costs:
Cost of goods sold:
Repair Systems & Information Group	$	–	$	2.0
Total exit and disposal costs	$	–	$	2.0

Components of Exit and Disposal Accrual Activity

Snap-on’s exit and disposal accrual activity for the first quarter of 2015 is as follows:

(Amounts in millions)	Balance at January 3, 2015		Provision		Usage		Balance at April 4, 2015
Severance costs:
Commercial & Industrial Group	$	0.8	$	–	$	(0.3)	$	0.5
Repair Systems & Information Group		5.7		–		(0.4)		5.3
Total	$	6.5	$	–	$	(0.7)	$	5.8

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Acquisitions - Additional Information (Detail) (Pro-Cut International, Inc [Member], USD $) In Millions, unless otherwise specified	0 Months Ended
	May 28, 2014
Pro-Cut International, Inc [Member]
Business Acquisition [Line Items]
Cash purchase price of acquisition	$ 41.3

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Short-term and Long-term Debt

3 Months Ended

Apr. 04, 2015

Debt Disclosure [Abstract]

Short-term and Long-term Debt

Note 8: Short-term and Long-term Debt

Short-term and long-term debt as of April 4, 2015, and January 3, 2015, consisted of the following:

(Amounts in millions)	April 4, 2015		January 3, 2015
5.50% unsecured notes due 2017	$	150.0	$	150.0
4.25% unsecured notes due 2018		250.0		250.0
6.70% unsecured notes due 2019		200.0		200.0
6.125% unsecured notes due 2021		250.0		250.0
Other debt*		93.2		69.3
		943.2		919.3
Less: notes payable		(78.8)		(56.6)
Total long-term debt	$	864.4	$	862.7

* Includes fair value adjustments related to interest rate swaps.

Notes payable of $78.8 million as of April 4, 2015, included $52.5 million of commercial paper borrowings and $26.3 million of other notes. Notes payable of $56.6 million as of 2014 year end included $37.0 million of commercial paper borrowings and $19.6 million of other notes. There were no current maturities of long-term debt as of April 4, 2015, or January 3, 2015.

Snap-on has a five-year, $700 million multi-currency revolving credit facility that terminates on September 27, 2018 (the “Credit Facility”); no amounts were outstanding under the Credit Facility as of April 4, 2015. Borrowings under the Credit Facility bear interest at varying rates based on Snap-on’s then-current, long-term debt ratings. The Credit Facility’s financial covenant requires that Snap-on maintain, as of each fiscal quarter end, either (i) a ratio not greater than 0.60 to 1.00 of consolidated net debt (consolidated debt net of certain cash adjustments) to the sum of such consolidated net debt plus total equity and less accumulated other comprehensive income or loss; or (ii) a ratio not greater than 3.50 to 1.00 of such consolidated net debt to earnings before interest, taxes, depreciation, amortization and certain other adjustments for the preceding four fiscal quarters then ended. As of April 4, 2015, the company’s actual ratios of 0.27 and 1.14, respectively, were both within the permitted ranges set forth in this financial covenant.

Snap-on’s Credit Facility and other debt agreements also contain certain usual and customary borrowing, affirmative, negative and maintenance covenants. As of April 4, 2015, Snap-on was in compliance with all covenants of its Credit Facility and other debt agreements.

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Postretirement Health Care Plans - Net Periodic Postretirement Health Care Cost (Detail) (Other Postretirement Benefit Plans, Defined Benefit [Member], USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Other Postretirement Benefit Plans, Defined Benefit [Member]
Postretirement Health Care Plans [Line Items]
Interest cost	$ 0.5	$ 0.6
Expected return on plan assets	(0.2)	(0.3)
Amortization of unrecognized loss	0.1
Net periodic pension cost	$ 0.4	$ 0.3

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Inventories

3 Months Ended

Apr. 04, 2015

Inventory Disclosure [Abstract]

Inventories

Note 4: Inventories

Inventories by major classification are as follows:

(Amounts in millions)	April 4, 2015		January 3, 2015
Finished goods	$	424.6	$	415.3
Work in progress		44.9		45.3
Raw materials		85.7		87.5
Total FIFO value		555.2		548.1
Excess of current cost over LIFO cost		(72.9)		(72.6)
Total inventories – net	$	482.3	$	475.5

Inventories accounted for using the first-in, first-out (“FIFO”) method as of April 4, 2015, and January 3, 2015, approximated 57% and 58%, respectively, of total inventories. The company accounts for its non-U.S. inventory on the FIFO method. As of April 4, 2015, approximately 31% of the company’s U.S. inventory was accounted for using the FIFO method and 69% was accounted for using the last-in, first-out (“LIFO”) method. There were no LIFO inventory liquidations in the three month periods ended April 4, 2015, or March 29, 2014.

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Condensed Consolidated Statements of Equity (Unaudited) (Parenthetical) (USD $)	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Cash dividends per share	$ 0.53	$ 0.44
Share repurchases, shares	340,000	200,000
Retained Earnings [Member]
Cash dividends per share	$ 0.53	$ 0.44
Treasury Stock [Member]
Share repurchases, shares	340,000	200,000

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Receivables - Rollforward of Allowances for Credit Losses for Finance and Contract Receivables (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Receivables [Abstract]
Finance receivables, Allowance for doubtful accounts, Beginning of period	$ 32.7	$ 27.8
Finance receivables, Provision for bad debt expense	7.1	6.2
Finance receivables, Charge-offs	(7.8)	(6.8)
Finance receivables, Recoveries	1.5	1.3
Finance receivables, Currency Translation	(0.1)
Finance receivables, Allowance for doubtful accounts, End of period	33.4	28.5
Contract receivables, Allowance for doubtful accounts, Beginning of period	3.5	3.3
Contract receivables, Provision for bad debt expense	0.9	0.6
Contract receivables, Charge-offs	(0.4)	(0.4)
Contract receivables, Recoveries		0.1
Contract receivables, Currency Translation	(0.1)
Contract receivables, Allowance for doubtful accounts, End of period	$ 3.9	$ 3.6

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Receivables - Components of Finance and Contract Receivables Beyond One Year (Detail) (USD $) In Millions, unless otherwise specified	Apr. 04, 2015	Jan. 03, 2015
Receivables [Abstract]
Finance receivables, net of unearned finance charges of $9.7 million and $9.9 million, respectively	$ 688.3	$ 671.0
Contract receivables, net of unearned finance charges of $19.7 million and $19.4 million, respectively	247.5	244.5
Total	935.8	915.5
Allowances for doubtful accounts, finance receivables	(21.1)	(20.5)
Allowances for doubtful accounts, contract receivables	(2.8)	(2.5)
Total	(23.9)	(23.0)
Total long-term finance and contract receivables - net	911.9	892.5
Finance receivables - net	667.2	650.5
Contract receivables - net	244.7	242.0
Total long-term finance and contract receivables - net	$ 911.9	$ 892.5

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Other Income (Expense) - Net - Computation of Other Income (Expense) - Net (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Other Income and Expenses [Abstract]
Interest income	$ 0.1	$ 0.1
Net foreign exchange loss	(0.8)	(0.2)
Total other income (expense) - net	$ (0.7)	$ (0.1)

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Pension Plans (Tables)

3 Months Ended

Apr. 04, 2015

Compensation and Retirement Disclosure [Abstract]

Net Periodic Pension Cost

Snap-on’s net periodic pension cost included the following components:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Service cost	$	5.2	$	4.8
Interest cost		13.2		14.3
Expected return on plan assets		(19.4)		(18.2)
Amortization of unrecognized loss		8.9		5.4
Amortization of prior service credit		(0.2)		(0.2)
Net periodic pension cost	$	7.7	$	6.1

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Commitments and Contingencies - Summary of Product Warranty Accrual Activity (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Commitments and Contingencies Disclosure [Abstract]
Beginning of year	$ 17.3	$ 17.0
Additions	3.7	2.9
Usage	(3.9)	(3.2)
End of period	$ 17.1	$ 16.7

XML

Financial Instruments - Additional Information (Detail) (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended		12 Months Ended
	Apr. 04, 2015	Mar. 29, 2014	Jan. 03, 2015
Investment Holdings [Line Items]
Long-term debt related to interest rate swaps	$ 14.7		$ 14.0
Foreign exchange loss	0.8	0.2
Maximum maturity date of fair value hedge (in years)	6 years
Derivative gain expected to reclassify from Accumulated OCI into earnings, in the next 12 months, net of tax	0.2
Fair Value Hedging [Member]
Investment Holdings [Line Items]
Notional amount of interest rate swaps outstanding and designated as fair value hedges	100.0		100.0
Equity Forwards [Member]
Investment Holdings [Line Items]
Equity forwards in place of common stock associated with its deferred compensation plans	132,000
Not Designated as Hedging Instrument [Member] | Other Income (Expense) - Net [Member]
Investment Holdings [Line Items]
Transaction gains (losses) on net exposures	14.2	(4.2)
Foreign exchange loss	0.8	0.2
Not Designated as Hedging Instrument [Member] | Equity Forwards [Member] | Operating Expenses [Member]
Investment Holdings [Line Items]
Derivative gain (losses) recognized	1.5	0.5
Mark-to-market deferred compensation expense	1.4	0.5
Not Designated as Hedging Instrument [Member] | Foreign Currency Forwards [Member] | Other Income (Expense) - Net [Member]
Investment Holdings [Line Items]
Derivative gain (losses) recognized	(15.0)	4.0
Foreign Currency Forward Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	134.2		140.4
Euros [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	74.5		81.5
Swedish Kronor [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	13.1		22.1
Australian Dollars [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	31.8		34.8
South Korean Won [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	6.6		5.7
Singapore Dollars [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	9.7		10.1
British Pounds [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	13.7		16.3
Mexican Pesos [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	4.7		4.5
Hong Kong Dollars [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	4.9		3.6
Other Currencies [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	3.6		0.5
Other Currencies [Member] | Sell Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	4.5		7.7
Norwegian Kroner [Member] | Buy Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	3.1
Canadian Dollars [Member] | Sell Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	11.8		16.8
Japanese Yen [Member] | Sell Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	10.7		10.9
New Zealand Dollars [Member] | Sell Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	2.4
Indian Rupees [Member] | Sell Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding	2.1
Danish Kroner [Member] | Sell Contracts [Member]
Investment Holdings [Line Items]
Foreign currency forwards outstanding			3.3
Treasury Locks [Member]
Investment Holdings [Line Items]
Treasury locks settled	0		0
Treasury locks outstanding	$ 0		$ 0

XML

Exit and Disposal Activities - Recorded Costs for Exit and Disposal Activities (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 29, 2014
Restructuring Cost and Reserve [Line Items]
Exit and disposal costs	$ 2.0
Cost of Goods Sold [Member] | Repair Systems & Information Group [Member]
Restructuring Cost and Reserve [Line Items]
Exit and disposal costs	$ 2.0

XML

Accumulated Other Comprehensive Income (Loss) - Changes in Accumulated OCI by Component, Net of Tax (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ (248.2)	$ (44.8)
Other comprehensive income (loss) before reclassifications	(96.3)	4.7
Amounts reclassified from Accumulated OCI	5.3	3.2
Net other comprehensive income (loss)	(91.0)	7.9
Ending balance	(339.2)	(36.9)
Foreign Currency Translation [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(7.7)	121.1
Other comprehensive income (loss) before reclassifications	(96.3)	4.7
Net other comprehensive income (loss)	(96.3)	4.7
Ending balance	(104.0)	125.8
Cash Flow Hedges [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	1.0	1.3
Amounts reclassified from Accumulated OCI	(0.1)	(0.1)
Net other comprehensive income (loss)	(0.1)	(0.1)
Ending balance	0.9	1.2
Defined Benefit Pension and Postretirement Plans [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(241.5)	(167.2)
Amounts reclassified from Accumulated OCI	5.4	3.3
Net other comprehensive income (loss)	5.4	3.3
Ending balance	$ (236.1)	$ (163.9)

XML

Postretirement Health Care Plans

3 Months Ended

Apr. 04, 2015

Postemployment Benefits [Abstract]

Postretirement Health Care Plans

Note 11: Postretirement Health Care Plans

Snap-on’s net periodic postretirement health care cost included the following components:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Interest cost	$	0.5	$	0.6
Expected return on plan assets		(0.2)		(0.3)
Amortization of unrecognized loss		0.1		–
Net periodic postretirement health care cost	$	0.4	$	0.3

XML

Income Taxes

3 Months Ended

Apr. 04, 2015

Income Tax Disclosure [Abstract]

Income Taxes

Note 7: Income Taxes

Snap-on’s effective income tax rate on earnings attributable to Snap-on was 32.0% and 31.6% in the first three months of 2015 and 2014, respectively. The effective rate for the first three months of 2015 includes tax benefits associated with distributions from certain non-U.S. subsidiaries, partially offset by a tax assessment in a foreign jurisdiction.

Snap-on and its subsidiaries file income tax returns in the United States and in various state, local and foreign jurisdictions. It is reasonably possible that certain unrecognized tax benefits may either be settled with taxing authorities or the statutes of limitations for such items may lapse within the next 12 months, causing Snap-on’s gross unrecognized tax benefits to decrease by a range of zero to $0.9 million. Over the next 12 months, Snap-on anticipates taking certain tax positions on various tax returns for which the related tax benefit does not meet the recognition threshold. Accordingly, Snap-on’s gross unrecognized tax benefits may increase by a range of zero to $0.3 million over the next 12 months for uncertain tax positions expected to be taken in future tax filings.

XML

Financial Instruments - Derivative Instruments Designated as Fair Value Hedges Included in Condensed Consolidated Statements of Earnings (Detail) (Interest Rate Swaps [Member], Interest Expense [Member], Fair Value Hedging [Member], USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Interest Rate Swaps [Member] | Interest Expense [Member] | Fair Value Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Effective Portion of Gain Recognized in Income	$ 1.0	$ 1.0

XML

Commitments and Contingencies

3 Months Ended

Apr. 04, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 14: Commitments and Contingencies

Snap-on provides product warranties for specific product lines and accrues for estimated future warranty cost in the period in which the sale is recorded. Snap-on calculates its accrual requirements based on historic warranty loss experience that is periodically adjusted for recent actual experience, including the timing of claims during the warranty period and actual costs incurred. Snap-on’s product warranty accrual activity for the three month periods ended April 4, 2015, and March 29, 2014, is as follows:

	Three Months Ended
(Amounts in millions)	April 4, 2015		March 29, 2014
Warranty reserve:
Beginning of year	$	17.3	$	17.0
Additions		3.7		2.9
Usage		(3.9)		(3.2)
End of period	$	17.1	$	16.7

Snap-on is involved in various legal matters that are being litigated and/or settled in the ordinary course of business. Although it is not possible to predict the outcome of these legal matters, management believes that the results of these legal matters will not have a material impact on Snap-on’s consolidated financial position, results of operations or cash flows.

XML

Stock-based Compensation and Other Stock Plans

3 Months Ended

Apr. 04, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-based Compensation and Other Stock Plans

Note 12: Stock-based Compensation and Other Stock Plans

The 2011 Incentive Stock and Awards Plan (the “2011 Plan”) provides for the grant of stock options, performance awards, stock appreciation rights (“SARs”) and restricted stock awards (which may be designated as “restricted stock units” or “RSUs”). No further grants are being made under the 2001 Incentive Stock and Awards Plan (the “2001 Plan”), although outstanding awards under the 2001 Plan will continue until exercised, forfeited or expired. As of April 4, 2015, the 2011 Plan had 875,755 shares available for future grants. The company uses treasury stock to deliver shares under both the 2001 and 2011 Plans.

Net stock-based compensation expense was $11.5 million and $8.6 million for the three month periods ended April 4, 2015, and March 29, 2014, respectively. Cash received from stock purchase and option plan exercises during the three month periods ended April 4, 2015, and March 29, 2014, was $14.5 million and $12.8 million, respectively. The tax benefit realized from both the exercise and vesting of share-based payment arrangements was $15.1 million and $12.0 million for the three month periods ended April 4, 2015, and March 29, 2014, respectively.

Stock Options

Stock options are granted with an exercise price equal to the market value of a share of Snap-on’s common stock on the date of grant and have a contractual term of ten years. Stock option grants vest ratably on the first, second and third anniversaries of the date of grant.

The fair value of each stock option award is estimated on the date of grant using the Black-Scholes valuation model. The company uses historical data regarding stock option exercise behaviors for different participating groups to estimate the period of time that options granted are expected to be outstanding. Expected volatility is based on the historical volatility of the company’s stock for the length of time corresponding to the expected term of the option. The expected dividend yield is based on the company’s historical dividend payments. The risk-free interest rate is based on the U.S. treasury yield curve on the grant date for the expected term of the option. The following weighted-average assumptions were used in calculating the fair value of stock options granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015	March 29, 2014
Expected term of option (in years)	4.76	4.52
Expected volatility factor	24.13%	26.76%
Expected dividend yield	2.04%	2.40%
Risk-free interest rate	1.38%	1.30%

A summary of stock option activity as of and for the three month period ended April 4, 2015, is presented below:

	Shares (in thousands)		Exercise Price Per Share*		Remaining Contractual Term* (in years)		Aggregate Intrinsic Value (in millions)
Outstanding at January 3, 2015		2,630	$	71.13
Granted		634		144.69
Exercised		(234)		61.89
Forfeited or expired		(16)		112.07
Outstanding at April 4, 2015		3,014		87.10		7.4	$	183.0
Exercisable at April 4, 2015		1,772		62.49		6.1		151.2

* Weighted-average

The weighted-average grant date fair value of options granted during the three month periods ended April 4, 2015, and March 29, 2014, was $25.65 and $20.19, respectively. The intrinsic value of options exercised during the three month periods ended April 4, 2015, and March 29, 2014, was $19.3 million and $12.4 million, respectively. The fair value of stock options vested was $9.8 million and $9.5 million during the three month periods ended April 4, 2015, and March 29, 2014, respectively.

As of April 4, 2015, there was $26.1 million of unrecognized compensation cost related to non-vested stock options that is expected to be recognized as a charge to earnings over a weighted-average period of 2.2 years.

Performance Awards

Performance awards, which are granted as performance share units and performance-based RSUs, are earned and expensed using the fair value of the award over a contractual term of three years based on the company’s performance. Vesting of the performance awards is dependent upon performance relative to pre-defined goals for revenue growth and return on net assets for the applicable performance period. For performance achieved above a certain level, the recipient may earn additional shares of stock, not to exceed 100% of the number of performance awards initially granted.

The performance share units have a three-year performance period based on the results of the consolidated financial metrics of the company. The performance-based RSUs have a one-year performance period based on the results of the consolidated financial metrics of the company followed by a two-year cliff vesting schedule, assuming continued employment.

The fair value of performance awards is calculated using the market value of a share of Snap-on’s common stock on the date of grant. The weighted-average grant date fair value of performance awards granted during the three month periods ended April 4, 2015, and March 29, 2014, was $138.48 and $107.30, respectively. Performance share units of 130,764 shares and 146,313 shares were paid out during the three month periods ended April 4, 2015, and March 29, 2014, respectively. Earned performance share units are generally paid out following the conclusion of the applicable performance period upon approval by the Organization and Executive Compensation Committee of the company’s Board of Directors (the “Board”).

Based on the company’s 2014 performance, 78,585 RSUs granted in 2014 were earned; assuming continued employment, these RSUs will vest at the end of fiscal 2016. Based on the company’s 2013 performance, 84,413 RSUs granted in 2013 were earned; assuming continued employment, these RSUs will vest at the end of fiscal 2015. Based on the company’s 2012 performance, 95,047 RSUs granted in 2012 were earned; these RSUs vested as of fiscal 2014 year end and were paid out shortly thereafter.

Changes to the company’s non-vested performance awards during the three month period ended April 4, 2015, are as follows:

	Shares (in thousands)		Fair Value Price per Share*
Non-vested performance awards at January 3, 2015		327	$	91.92
Granted		116		138.48
Vested		(2)		89.35
Cancellations and other		(9)		89.04
Non-vested performance awards at April 4, 2015		432		104.41

* Weighted-average

As of April 4, 2015, there was $26.2 million of unrecognized compensation cost related to non-vested performance awards that is expected to be recognized as a charge to earnings over a weighted-average period of 2.1 years.

Stock Appreciation Rights (“SARs”)

The company also issues stock-settled and cash-settled SARs to certain key non-U.S. employees. SARs have a contractual term of ten years and vest ratably on the first, second and third anniversaries of the date of grant. SARs are granted with an exercise price equal to the market value of a share of Snap-on’s common stock on the date of grant.

Stock-settled SARs are accounted for as equity instruments and provide for the issuance of Snap-on common stock equal to the amount by which the company’s stock has appreciated over the exercise price. Stock-settled SARs have an effect on dilutive shares and shares outstanding as any appreciation of Snap-on’s common stock value over the exercise price will be settled in shares of common stock.

Cash-settled SARs provide for the cash payment of the excess of the fair market value of Snap-on’s common stock price on the date of exercise over the grant price. Cash-settled SARs have no effect on dilutive shares or shares outstanding as any appreciation of Snap-on’s common stock value over the grant price is paid in cash and not in common stock.

The fair value of stock-settled SARs is estimated on the date of grant using the Black-Scholes valuation model. The fair value of cash-settled SARs is revalued (mark-to-market) each reporting period using the Black-Scholes valuation model based on Snap-on’s period-end stock price. The company uses historical data regarding SARs exercise behaviors for different participating groups to estimate the expected term of the SARs granted based on the period of time that similar instruments granted are expected to be outstanding. Expected volatility is based on the historical volatility of the company’s stock for the length of time corresponding to the expected term of the SARs. The expected dividend yield is based on the company’s historical dividend payments. The risk-free interest rate is based on the U.S. treasury yield curve in effect as of the grant date (for stock-settled SARs) or reporting date (for cash-settled SARs) for the length of time corresponding to the expected term of the SARs.

The following weighted-average assumptions were used in calculating the fair value of stock-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015		March 29, 2014
Expected term of stock-settled SARs (in years)		4.72		4.50
Expected volatility factor		23.67%		25.66%
Expected dividend yield		2.04%		2.40%
Risk-free interest rate		1.50%		1.51%

Changes to the company’s stock-settled SARs during the three month period ended April 4, 2015, are as follows:

	Stock-settled SARs (in thousands)		Exercise Price Per Share*		Remaining Contractual Term* (in years)		Aggregate Intrinsic Value (in millions)
Outstanding at January 3, 2015		223	$	94.90
Granted		112		144.69
Exercised		(6)		85.33
Forfeited or expired		(10)		89.94
Outstanding at April 4, 2015		319		112.72		8.9	$	11.2
Exercisable at April 4, 2015		90		90.33		8.2		5.2

* Weighted-average

The weighted-average grant date fair value of stock-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, was $25.36 and $19.58, respectively. The intrinsic value of stock-settled SARs exercised during the three month periods ended April 4, 2015, and March 29, 2014, was $0.3 million and $0.1 million, respectively. The fair value of stock-settled SARs vested was $1.3 million and $0.6 million during the three month periods ended April 4, 2015, and March 29, 2014, respectively.

As of April 4, 2015, there was $4.7 million of unrecognized compensation cost related to non-vested stock-settled SARs that is expected to be recognized as a charge to earnings over a weighted-average period of 2.2 years.

The following weighted-average assumptions were used in calculating the fair value of cash-settled SARs granted during the three month periods ended April 4, 2015, and March 29, 2014, using the Black-Scholes valuation model:

	Three Months Ended
	April 4, 2015		March 29, 2014
Expected term of cash-settled SARs (in years)		4.68		4.35
Expected volatility factor		23.16%		25.19%
Expected dividend yield		2.04%		2.40%
Risk-free interest rate		1.26%		1.74%

The intrinsic value of cash-settled SARs exercised during the three month periods ended April 4, 2015, and March 29, 2014, was $3.4 million and $3.3 million, respectively. The fair value of cash-settled SARs vested during the three month periods ended April 4, 2015, and March 29, 2014, was $3.4 million and $3.8 million, respectively.

Changes to the company’s non-vested cash-settled SARs during the three month period ended April 4, 2015, are as follows:

	Cash-settled SARs (in thousands)		Fair Value Price per Share*
Non-vested cash-settled SARs at January 3, 2015		47	$	68.35
Granted		4		25.78
Vested		(42)		81.46
Non-vested cash-settled SARs at April 4, 2015		9		45.23

* Weighted-average

As of April 4, 2015, there was $0.4 million of unrecognized compensation cost related to non-vested cash-settled SARs that is expected to be recognized as a charge to earnings over a weighted-average period of 1.8 years.

Restricted Stock Awards – Non-employee Directors

The company awarded 8,940 shares and 10,398 shares of restricted stock to non-employee directors in 2015 and 2014, respectively. The fair value of the restricted stock awards is expensed over a one year vesting period based on the fair value on the date of grant. All restrictions for the restricted stock generally lapse upon the earlier of the first anniversary of the grant date, the recipient’s death or disability or in the event of a change in control, as defined in the 2011 Plan. If termination of the recipient’s service occurs prior to the first anniversary of the grant date for any reason other than death or disability, the shares of restricted stock would be forfeited, unless otherwise determined by the Board.

Employee Stock Purchase Plan

Substantially all Snap-on employees in the United States and Canada are eligible to participate in an employee stock purchase plan. The purchase price of the company’s common stock to participants is the lesser of the mean of the high and low price of the stock on the beginning date (May 15) or ending date (the following May 14) of each plan year. There were no share issuances under this plan for the three month periods ended April 4, 2015 and March 29, 2014. As of April 4, 2015, a total of 865,043 shares remain reserved for issuance under this plan and Snap-on held approximately $5.0 million of participants’ contributions. Participants are able to withdraw from the plan at any time prior to the ending date and receive back all contributions made during the plan year. Compensation expense for plan participants was $1.0 million and $0.5 million for the three month periods ended April 4, 2015 and March 29, 2014, respectively.

Franchisee Stock Purchase Plan

All franchisees in the United States and Canada are eligible to participate in a franchisee stock purchase plan. The purchase price of the company’s common stock to participants is the lesser of the mean of the high and low price of the stock on the beginning date (May 15) or ending date (the following May 14) of each plan year. There were no share issuances under this plan for the three month periods ended April 4, 2015 and March 29, 2014. As of April 4, 2015, a total of 230,337 shares remain reserved for issuance under this plan and Snap-on held approximately $4.7 million of participants’ contributions. Participants are able to withdraw from the plan at any time prior to the ending date and receive back all contributions made during the plan year. Expense for plan participants was $1.2 million and $0.3 million for the three month periods ended April 4, 2015 and March 29, 2014, respectively.

XML

Document and Entity Information	3 Months Ended
	Apr. 04, 2015	Apr. 17, 2015
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Apr. 04, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q1
Trading Symbol	SNA
Entity Registrant Name	SNAP-ON Inc
Entity Central Index Key	0000091440
Current Fiscal Year End Date	--01-02
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		58,093,809

XML

Accumulated Other Comprehensive Income (Loss) - Reclassifications Out of Accumulated OCI (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amortization of net unrecognized losses and prior service credits included in net periodic pension cost	$ (8.8)	$ (5.2)
Interest expense	13.0	13.7
Income tax expense	51.8	44.3
Amounts reclassified from Accumulated OCI, Net of tax	(5.3)	(3.2)
Reclassification out of AOCI [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amounts reclassified from Accumulated OCI, Net of tax	(5.3)	(3.2)
Cash Flow Hedges [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amounts reclassified from Accumulated OCI, Net of tax	0.1	0.1
Cash Flow Hedges [Member] | Reclassification out of AOCI [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amounts reclassified from Accumulated OCI, Net of tax	0.1	0.1
Defined Benefit Pension and Postretirement Plans [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amounts reclassified from Accumulated OCI, Net of tax	(5.4)	(3.3)
Defined Benefit Pension and Postretirement Plans [Member] | Reclassification out of AOCI [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amortization of net unrecognized losses and prior service credits included in net periodic pension cost	(8.8)	(5.2)
Income tax expense	3.4	1.9
Amounts reclassified from Accumulated OCI, Net of tax	(5.4)	(3.3)
Treasury Locks [Member] | Cash Flow Hedges [Member] | Reclassification out of AOCI [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Interest expense	$ 0.1	$ 0.1

XML

Earnings Per Share

3 Months Ended

Apr. 04, 2015

Earnings Per Share [Abstract]

Earnings Per Share

Note 13: Earnings Per Share

The shares used in the computation of the company’s basic and diluted earnings per common share are as follows:

	Three Months Ended
	April 4, 2015		March 29, 2014
Weighted-average common shares outstanding		58,132,396		58,206,213
Effect of dilutive securities		972,913		871,042
Weighted-average common shares outstanding, assuming dilution		59,105,309		59,077,255

The dilutive effect of the potential exercise of outstanding options and stock-settled SARs to purchase common shares is calculated using the treasury stock method. As of April 4, 2015, and March 29, 2014, there were 741,495 shares and 756,170 shares, respectively, outstanding that were anti-dilutive. Performance-based equity awards do not affect the diluted earnings per share calculation until it is determined that the applicable performance metrics have been met.

XML

Exit and Disposal Activities - Components of Exit and Disposal Accrual Activity (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015
Restructuring Cost and Reserve [Line Items]
Beginning Balance	$ 6.5
Provision	0
Usage	(0.7)
Ending Balance	5.8
Severance costs [Member] | Commercial & Industrial Group [Member]
Restructuring Cost and Reserve [Line Items]
Beginning Balance	0.8
Provision	0
Usage	(0.3)
Ending Balance	0.5
Severance costs [Member] | Repair Systems & Information Group [Member]
Restructuring Cost and Reserve [Line Items]
Beginning Balance	5.7
Provision	0
Usage	(0.4)
Ending Balance	$ 5.3

XML

Exit and Disposal Activities - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 29, 2014
Restructuring and Related Activities [Abstract]
Restructuring costs incurred	$ 2.0

XML

Segments - Net Sales by Segment (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Apr. 04, 2015	Mar. 29, 2014
Segment Reporting Information [Line Items]
Net sales	$ 827.8	$ 787.5
Financial services revenue	57.4	50.2
Total revenues	885.2	837.7
Operating earnings	178.2	156.1
Interest expense	(13.0)	(13.7)
Other income (expense) - net	(0.7)	(0.1)
Earnings before income taxes and equity earnings	164.5	142.3
Operating Segments [Member]
Segment Reporting Information [Line Items]
Net sales	948.0	896.9
Operating earnings	208.0	180.8
Operating Segments [Member] | Commercial & Industrial Group [Member]
Segment Reporting Information [Line Items]
Net sales	297.5	290.6
Operating earnings	44.0	39.1
Operating Segments [Member] | Snap-on Tools Group [Member]
Segment Reporting Information [Line Items]
Net sales	378.2	343.6
Operating earnings	59.8	49.2
Operating Segments [Member] | Repair Systems & Information Group [Member]
Segment Reporting Information [Line Items]
Net sales	272.3	262.7
Operating earnings	63.9	58.1
Operating Segments [Member] | Financial Services [Member]
Segment Reporting Information [Line Items]
Operating earnings	40.3	34.4
Intersegment Eliminations [Member]
Segment Reporting Information [Line Items]
Net sales	(120.2)	(109.4)
Corporate [Member]
Segment Reporting Information [Line Items]
Operating earnings	$ (29.8)	$ (24.7)