Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 30, 2017 | Feb. 22, 2018 | Jun. 30, 2017 | |
Document Information [Line Items] | |||
Entity Registrant Name | TUPPERWARE BRANDS CORP | ||
Entity Central Index Key | 1,008,654 | ||
Trading Symbol | TUP | ||
Current Fiscal Year End Date | --12-30 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 30, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 51,116,752 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 3,561,932,309 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 30, 2017 | Sep. 30, 2017 | Jul. 01, 2017 | Apr. 01, 2017 | Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | ||
Net sales | $ 588.6 | $ 539.5 | $ 572.9 | $ 554.8 | $ 600.9 | $ 521.8 | $ 564.7 | $ 525.7 | $ 2,255.8 | $ 2,213.1 | $ 2,283.8 | |
Cost of products sold | 744.6 | 715 | 744.4 | |||||||||
Gross margin | 387 | 356.8 | 390.3 | 377.1 | 404.2 | 353.4 | 380.8 | 359.7 | 1,511.2 | 1,498.1 | 1,539.4 | |
Delivery, sales and administrative expense | 1,162.3 | 1,170.8 | 1,217.6 | |||||||||
Re-engineering and impairment charges | [1] | 66 | 7.6 | 20.3 | ||||||||
Impairment of goodwill and intangible assets | 62.9 | 0 | 0 | |||||||||
Gains on disposal of assets | [2] | 9.1 | 27.3 | 13.7 | ||||||||
Operating income | 229.1 | 347 | 315.2 | |||||||||
Interest income | 2.9 | 3.4 | 2.4 | |||||||||
Interest expense | 46.1 | 48.8 | 47.6 | |||||||||
Other expense | 0.8 | 0.3 | 10.1 | |||||||||
Income before income taxes | 185.1 | 301.3 | 259.9 | |||||||||
Provision for income taxes | 450.5 | 77.7 | 74.1 | |||||||||
Net income (loss) | $ (326.5) | $ 31.4 | $ (17.7) | $ 47.4 | $ 79 | $ 48.8 | $ 52.4 | $ 43.4 | $ (265.4) | $ 223.6 | $ 185.8 | |
Earnings Per Share: | ||||||||||||
Basic earnings (loss) per common share | $ (6.41) | $ 0.62 | $ (0.35) | $ 0.94 | $ 1.56 | $ 0.97 | $ 1.04 | $ 0.86 | $ (5.22) | $ 4.43 | $ 3.72 | |
Diluted earnings (loss) per common share | $ (6.41) | $ 0.61 | $ (0.35) | $ 0.93 | $ 1.55 | $ 0.96 | $ 1.03 | $ 0.86 | $ (5.22) | $ 4.41 | $ 3.69 | |
[1] | See Note 2 for discussion of re-engineering and impairment charges. | |||||||||||
[2] | Gains on disposal of assets in 2017, 2016 and 2015 include $8.8 million, 26.5 million and 12.9 million from transactions related to land near the Orlando, FL headquarters. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Net income (loss) | $ (265.4) | $ 223.6 | $ 185.8 |
Foreign currency translation adjustments | 42.4 | (53.7) | (122.3) |
Deferred gain (loss) on cash flow hedges, net of tax benefit (provision) of $0.8, ($0.4) and $1.1, respectively | (3.3) | 0.6 | (3.5) |
Pension and other post-retirement income, net of tax benefit (provision) of ($1.2), $0.4 and ($6.2), respectively | 3 | 3.6 | 12.5 |
Other comprehensive income (loss) | 42.1 | (49.5) | (113.3) |
Total comprehensive income (loss) | $ (223.3) | $ 174.1 | $ 72.5 |
Consolidated Statements of Com4
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Net deferred gains (losses) on cash flow hedges, tax provision (benefit) | $ (0.8) | $ 0.4 | $ (1.1) |
Pension and post retirement costs, tax benefit (provision) | $ (1.2) | $ 0.4 | $ (6.2) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and cash equivalents | $ 144.1 | $ 93.2 |
Accounts receivable, less allowances of $38.2 and $32.6, respectively | 144.4 | 125.3 |
Inventories | 262.2 | 240.4 |
Non-trade amounts receivable, net | 58.6 | 64.9 |
Prepaid expenses and other current assets | 21.2 | 21.5 |
Total current assets | 630.5 | 545.3 |
Deferred income tax benefits, net | 278 | 539.7 |
Property, plant and equipment, net | 278.2 | 259.8 |
Long-term receivables, less allowances of $16.5 and $11.0, respectively | 19.3 | 13.2 |
Tradenames, net | 62.5 | 67.3 |
Goodwill | 78.9 | 132.6 |
Other assets, net | 40.6 | 29.9 |
Total assets | 1,388 | 1,587.8 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Accounts payable | 124.4 | 117.7 |
Short-term borrowings and current portion of long-term debt and capital lease obligations | 133 | 105.9 |
Accrued liabilities | 401.4 | 324 |
Total current liabilities | 658.8 | 547.6 |
Long-term debt and capital lease obligations | 605.1 | 606 |
Other liabilities | 243.5 | 221.4 |
Shareholders' equity: | ||
Preferred stock, $0.01 par value, 200,000,000 shares authorized; none issued | 0 | 0 |
Common stock, $0.01 par value, 600,000,000 shares authorized; 63,607,090 shares issued | 0.6 | 0.6 |
Paid-in capital | 217.8 | 208.6 |
Retained earnings | 1,043.1 | 1,455.3 |
Treasury stock, 12,549,392 and 12,969,165 shares, respectively, at cost | (851.5) | (880.2) |
Accumulated other comprehensive loss | (529.4) | (571.5) |
Total shareholders' equity (deficit) | (119.4) | 212.8 |
Total liabilities and shareholders' equity | $ 1,388 | $ 1,587.8 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
Accounts receivable, allowances | $ 38.2 | $ 32.6 |
Long-term receivables, allowances | $ 16.5 | $ 11 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 200,000,000 | 200,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 600,000,000 | 600,000,000 |
Common stock, shares issued | 63,607,090 | 63,607,090 |
Treasury stock, shares | 12,549,392 | 12,969,165 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Common Stock [Member] | Treasury Stock [Member] | Paid-In Capital | Retained Earnings [Member] | Accumulated Other Comprehensive Loss |
Beginning balance at Dec. 27, 2014 | $ 185.8 | $ 0.6 | $ (945) | $ 190.7 | $ 1,348.2 | $ (408.7) |
Beginning balance, shares at Dec. 27, 2014 | 63.6 | 13.9 | ||||
Net income (loss) | 185.8 | 185.8 | ||||
Other comprehensive income (loss) | (113.3) | (113.3) | ||||
Cash dividends declared | (137.5) | (137.5) | ||||
Income tax benefit from stock and option awards | 6 | 6 | ||||
Stock and options issued for incentive plans | (34.2) | $ (50.7) | (8.8) | (25.3) | ||
Stock and options issued for incentive plans, shares | (0.7) | |||||
Ending balance at Dec. 26, 2015 | 161 | $ 0.6 | $ (894.3) | 205.5 | 1,371.2 | (522) |
Ending balance, shares at Dec. 26, 2015 | 63.6 | 13.2 | ||||
Net income (loss) | 223.6 | 223.6 | ||||
Other comprehensive income (loss) | (49.5) | (49.5) | ||||
Cash dividends declared | (139.1) | (139.1) | ||||
Income tax expense from stock and option awards | (1.7) | (1.7) | ||||
Stock and options issued for incentive plans | (18.5) | $ (14.1) | (4.8) | (0.4) | ||
Stock and options issued for incentive plans, shares | (0.2) | |||||
Ending balance at Dec. 31, 2016 | 212.8 | $ 0.6 | $ (880.2) | 208.6 | 1,455.3 | (571.5) |
Ending balance, shares at Dec. 31, 2016 | 63.6 | 13 | ||||
Net income (loss) | (265.4) | (265.4) | ||||
Other comprehensive income (loss) | 42.1 | 42.1 | ||||
Cash dividends declared | (140.2) | (140.2) | ||||
Stock and options issued for incentive plans | (31.3) | $ (28.7) | (9.2) | (6.6) | ||
Stock and options issued for incentive plans, shares | (0.4) | |||||
Ending balance at Dec. 30, 2017 | $ (119.4) | $ 0.6 | $ (851.5) | $ 217.8 | $ 1,043.1 | $ (529.4) |
Ending balance, shares at Dec. 30, 2017 | 63.6 | 12.6 |
Consolidated Statements of Sha8
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 30, 2017 | Sep. 30, 2017 | Jul. 01, 2017 | Apr. 01, 2017 | Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Cash dividend declared, per share | $ 0.68 | $ 0.68 | $ 0.68 | $ 0.68 | $ 0.68 | $ 0.68 | $ 0.68 | $ 0.68 | $ 2.72 | $ 2.72 | $ 2.72 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Operating Activities: | |||
Net income (loss) | $ (265.4) | $ 223.6 | $ 185.8 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation and amortization | 60.5 | 57.5 | 62.4 |
Equity compensation | 22.6 | 20 | 20 |
Unrealized foreign exchange (gains) losses | (0.2) | 0.4 | 7.2 |
Amortization and write-off of deferred debt costs | 0.6 | 0.6 | 0.8 |
Net gains on disposal of assets, including insurance recoveries | (8.7) | (25.8) | (13.1) |
Provision for bad debts | 16.8 | 11.1 | 12.8 |
Write-down of inventories | 8.3 | 10.8 | 14.3 |
Non-cash impact of impairment costs and re-engineering | 69.1 | 0 | 13.5 |
Net change in deferred income taxes | 307.7 | (32.9) | (45.2) |
Excess tax benefits from share-based payment arrangements | 0 | (0.6) | (6) |
Changes in assets and liabilities: | |||
Accounts and notes receivable | (33.7) | 0.9 | (10.7) |
Inventories | (18.8) | (2.8) | (8.2) |
Non-trade amounts receivable | (0.8) | 1.2 | (1.6) |
Prepaid expenses | 2.5 | (0.9) | (8) |
Other assets | (5.1) | 1.9 | 4.7 |
Accounts payable and accrued liabilities | 44.1 | (22.2) | 11.4 |
Income taxes payable | 14.3 | (6) | (2.5) |
Other liabilities | 3.1 | 4.6 | 5.1 |
Net cash impact from hedging activity | 0.1 | (2.7) | (17) |
Other | 0 | (0.1) | 0 |
Net cash provided by operating activities | 217 | 238.6 | 225.7 |
Investing Activities: | |||
Capital expenditures | (72.3) | (61.6) | (61.1) |
Proceeds from disposal of property, plant and equipment | 14.7 | 35.9 | 18 |
Net cash used in investing activities | (57.6) | (25.7) | (43.1) |
Financing Activities: | |||
Dividend payments to shareholders | (139.5) | (138.8) | (138) |
Proceeds from exercise of stock options | 11.8 | 0.8 | 16.1 |
Repurchase of common stock | (2.5) | (1.7) | (1.5) |
Repayment of long-term debt and capital lease obligations | (2) | (2.2) | (2.6) |
Net change in short-term debt | 15.6 | (52) | (36.4) |
Debt issuance costs | 0 | 0 | (0.7) |
Excess tax benefits from share-based payment arrangements | 0 | 0.6 | 6 |
Net cash used in financing activities | (116.6) | (193.3) | (157.1) |
Effect of exchange rate changes on cash and cash equivalents | 8.1 | (6.2) | (22.7) |
Net change in cash and cash equivalents | 50.9 | 13.4 | 2.8 |
Cash and cash equivalents at beginning of year | 93.2 | 79.8 | 77 |
Cash and cash equivalents at end of year | $ 144.1 | $ 93.2 | $ 79.8 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 30, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation. The condensed consolidated financial statements include the accounts of Tupperware Brands Corporation and its subsidiaries, collectively “Tupperware” or the “Company”, with all intercompany transactions and balances having been eliminated. The Company’s fiscal year ends on the last Saturday of December and included 53 weeks during 2016 and 52 weeks during 2017 and 2015 . Use of Estimates. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates. Cash and Cash Equivalents. The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. As of December 30, 2017 and December 31, 2016 , $10.2 million and $9.6 million , respectively, of the cash and cash equivalents included on the Consolidated Balance Sheets were held in the form of time deposits, certificates of deposit or similar instruments. Allowance for Doubtful Accounts. The Company maintains current receivable amounts with most of its independent distributors and sales force in certain markets. It also maintains long-term receivable amounts with certain of these customers. The Company regularly monitors and assesses its risk of not collecting amounts owed to it by customers. This evaluation is based upon an analysis of amounts current and past due, along with relevant history and facts particular to the customer. It is also based upon estimates of distributor business prospects, particularly related to the evaluation of the recoverability of long-term amounts due. This evaluation is performed by business unit and account by account, based upon historical experience, market penetration levels and similar factors. It also considers collateral of the customer that could be recovered to satisfy debts. The Company records its allowance for doubtful accounts based on the results of this analysis. The analysis requires the Company to make significant estimates and as such, changes in facts and circumstances could result in material changes in the allowance for doubtful accounts. The Company considers as past due any receivable balance not collected within its contractual terms. Inventories . Inventories are valued at the lower of cost or net realizable value on a first-in, first-out basis. Inventory cost includes cost of raw material, labor and overhead. The Company writes down its inventory for obsolescence or unmarketability in an amount equal to the difference between the cost of the inventory and estimated market value based upon expected future demand and pricing. The demand and pricing is estimated based upon the historical success of product lines as well as the projected success of promotional programs, new product introductions and the availability of new markets or distribution channels. The Company prepares projections of demand and pricing on an item by item basis for all of its products. If inventory on hand exceeds projected demand or the expected market value is less than the carrying value, the excess is written down to its net realizable value. However, if actual demand or the estimate of market value decreases, additional write-downs would be required. Internal Use Software Development Costs. The Company capitalizes internal use software development costs as they are incurred and amortizes such costs over their estimated useful lives of three to five years, beginning when the software is placed in service. Net unamortized costs of such amounts included in property, plant and equipment were $24.4 million and $21.3 million at December 30, 2017 and December 31, 2016 , respectively. Amortization cost related to internal use software development costs totaled $5.4 million , $6.9 million and $5.7 million in 2017 , 2016 and 2015 , respectively. Property, Plant and Equipment. Property, plant and equipment is initially stated at cost. Depreciation is recorded on a straight-line basis over the following estimated useful lives of the assets: Years Building and improvements 10 - 40 Molds 4 - 10 Production equipment 10 - 20 Distribution equipment 5 - 10 Computer/telecom equipment 3 - 5 Capitalized software 3 - 5 Depreciation expense was $45.6 million , $43.0 million and $46.5 million in 2017 , 2016 and 2015 , respectively. The Company considers the need for an impairment review when events occur that indicate that the book value of a long-lived asset may exceed its recoverable value. Upon the sale or retirement of property, plant and equipment, a gain or loss, if any, is recognized equal to the difference between sales price and net book value. Expenditures for maintenance and repairs are charged to cost of products sold or delivery, sales and administrative (DS&A) expense, depending on the asset to which the expenditure relates. Goodwill. The Company's recorded goodwill relates primarily to the December 2005 acquisition of the direct-to-consumer businesses of Sara Lee Corporation. The Company does not amortize its goodwill. Instead, the Company performs an annual assessment during the third quarter of each year to evaluate the assets in each of its reporting units for impairment, or more frequently if events or changes in circumstances indicate that a triggering event for an impairment evaluation has occurred. The Company has early adopted the Financial Accounting Standards Board's ("FASB") Accounting Standards Update 2017-04: Simplifying the Test for Goodwill Impairment . The annual process for evaluating goodwill begins with an assessment for each entity of qualitative factors to determine whether a quantitative evaluation of the unit's fair value compared with its carrying value is appropriate for determining potential goodwill impairment. The qualitative factors evaluated by the Company include: macro-economic conditions of the local business environment, overall financial performance, sensitivity analysis from the most recent quantitative fair value evaluation ("fair value test"), as prescribed under Accounting Standards Codification ("ASC") 350, Intangibles - Goodwill and Other , and other entity specific factors as deemed appropriate. When the Company determines a fair value test is appropriate, it estimates the fair value of the reporting unit and compares the result with its carrying amount, including goodwill, after any long-lived asset impairment charges. If the carrying amount of the reporting unit exceeds its fair value, an impairment charge is recorded equal to the amount by which the carrying value exceeds the fair value, up to the amount of goodwill associated with the reporting unit. Any fair value test necessary is done by using either the income approach or a combination of the income and market approaches, with generally a greater weighting on the income approach ( 75 percent ). The income approach, or discounted cash flow approach, requires significant assumptions to estimate the fair value of each reporting unit. These include assumptions regarding future operations and the ability to generate cash flows, including projections of revenue, costs, utilization of assets and capital requirements, along with an appropriate discount rate to be used. The most sensitive estimate in the fair value test is the projection of operating cash flows, as these provide the basis for the estimate of fair market value. The Company’s cash flow model uses a forecast period of 10 years and a terminal value. The growth rates are determined by reviewing historical results of the operating unit and the historical results of the Company’s similar business units, along with the expected contribution from growth strategies being implemented. The market approach relies on an analysis of publicly-traded companies similar to Tupperware and deriving a range of revenue and profit multiples. The publicly-traded companies used in the market approach are selected based on their having similar product lines of consumer goods, beauty products and/or companies using a direct-to-consumer distribution method. The resulting multiples are then applied to the reporting unit to determine fair value. Goodwill is further discussed in Note 6 to the Consolidated Financial Statements. Intangible Assets . Intangible assets are recorded at their fair market values at the date of acquisition and definite-lived intangibles are amortized over their estimated useful lives . The intangible assets included in the Company's Consolidated Financial Statements at December 30, 2017 and December 31, 2016 were related to the acquisition of the Sara Lee direct-to-consumer businesses in December 2005. The weighted average estimated useful lives of the Company's intangible assets were as follows: Weighted Average Estimated Useful Life Indefinite-lived tradenames Indefinite Definite-lived tradename 10 years The Company's indefinite-lived tradename intangible assets are evaluated for impairment annually similarly to goodwill beginning with a qualitative assessment. The annual process for assessing the carrying value of indefinite-lived tradename intangible assets begins with a qualitative assessment that is similar to the assessment performed for goodwill. When the Company determines it is appropriate, the quantitative impairment evaluation for the Company's indefinite-lived tradenames involves comparing the estimated fair value of the assets to the carrying amounts, to determine if fair value is lower and a write-down required. If the carrying amount of a tradename exceeds its estimated fair value, an impairment charge is recognized in an amount equal to the excess. The fair value of these assets is estimated using the relief from royalty method, which is a form of the income approach. Under this method, the value of the asset is calculated by selecting a royalty rate, which estimates the amount a company would be willing to pay for the use of the asset. This rate is applied to the reporting unit's projected revenue, tax affected and discounted to present value. The Company's definite-lived intangible asset relates to the Fuller tradename and is being amortized since August 2013 based on its estimated useful life of 10 years. The Fuller tradename's useful life was estimated, at that time, based on the period that the tradename was expected to contribute directly to the Company's revenue. Definite-lived intangible assets are reviewed for impairment in a similar manner as property, plant and equipment as discussed above. Amortization related to definite-lived intangible assets is included in DS&A on the Consolidated Statements of Income. Intangible assets are further discussed in Note 6 to the Consolidated Financial Statements. Promotional and Other Accruals . The Company frequently makes promotional offers to members of its independent sales force to encourage them to fulfill specific goals or targets for sales levels, party attendance, addition of new sales force members or other business-critical functions. The awards offered are in the form of product awards, special prizes or trips. Programs are generally designed to recognize sales force members for achieving a primary objective. An example is holding a certain number of product demonstrations. In this situation, the Company offers a prize to sales force members that achieve the targeted number of product demonstrations over a specified period. The period runs from a couple of weeks to several months. The prizes are generally graded, in that meeting one level may result in receiving a piece of jewelry, with higher achievement resulting in more valuable prizes such as a television set or a trip. Similar programs are designed to reward current sales force members who reach certain goals by promoting them to a higher level in the organization where their earning opportunity would be expanded, and they would take on additional responsibilities for adding new sales force members and providing training and motivation to new and existing sales force members. Other business drivers, such as scheduling product demonstrations, increasing the number of sales force members, holding product demonstrations or increasing end consumer attendance at product demonstrations, may also be the focus of a program. The Company also offers commissions for achieving targeted sales levels. These types of awards are generally based upon the sales achievement of at least a mid-level member of the sales force, and her or his down-line members. The down-line consists of those sales force members that have been directly added to the sales force by a given sales force member, as well as those added by her or his down-line member. In this manner, sales force members can build an extensive organization over time if they are committed to adding and developing their units. In addition to the commission, the positive performance of a unit may also entitle its leader to the use of a company-provided vehicle and in some cases, the permanent awarding of a vehicle. Similar to the prize programs noted earlier, these programs generally offer varying levels of vehicles that are dependent upon performance. The Company accrues for the costs of these awards during the period over which the sales force qualifies for the award and reports these costs primarily as a component of DS&A expense. These accruals require estimates as to the cost of the awards, based upon estimates of achievement and actual cost to be incurred. During the qualification period, actual results are monitored and changes to the original estimates are made when known. Promotional and other sales force compensation expenses included in DS&A expense totaled $356.2 million , $376.2 million and $378.7 million in 2017 , 2016 and 2015 , respectively. Like promotional accruals, other accruals are recorded over the time period that a liability is incurred and is both probable and reasonably estimable. Adjustments to amounts previously accrued are made when changes occur in the facts and circumstances that generated the accrual. Revenue Recognition . Revenue is recognized when the price is fixed, the title and risks and rewards of ownership have passed to the customer who, in most cases, is one of the Company’s independent distributors or a member of its independent sales force, and when collection is reasonably assured. Depending on the contractual arrangements for each business, revenue is recognized upon either delivery or shipment, which is when title and risk and rewards of ownership have passed to the customer. When revenue is recorded, estimates of returns are made and recorded as a reduction of revenue. Discounts earned based on promotional programs in place, volume of purchases or other factors are also estimated at the time of revenue recognition and recorded as a reduction of that revenue. Shipping and Handling Costs . The cost of products sold line item includes costs related to the purchase and manufacture of goods sold by the Company. Among these costs are inbound freight charges, duties, purchasing and receiving costs, inspection costs, depreciation expense, internal transfer costs and warehousing costs of raw material, work in process and packing materials. The warehousing and distribution costs of finished goods are included in DS&A expense. Distribution costs are comprised of outbound freight and associated labor costs. Fees billed to customers associated with the distribution of products are classified as revenue. The distribution costs included in DS&A expense in 2017 , 2016 and 2015 were $142.2 million , $137.0 million and $139.3 million , respectively. Advertising and Research and Development Costs. Advertising and research and development costs are charged to expense as incurred. Advertising expense totaled $9.3 million , $8.3 million and $13.4 million in 2017 , 2016 and 2015 , respectively. Research and development costs totaled $16.7 million , $18.3 million and $18.1 million , in 2017 , 2016 and 2015 , respectively. Research and development expenses primarily include salaries, contractor costs and facility costs. Both advertising and research and development costs are included in DS&A expense. Accounting for Stock-Based Compensation . The Company has several stock-based employee and director compensation plans, which are described more fully in Note 14 to the Consolidated Financial Statements. Compensation cost for share-based awards is recorded on a straight line basis over the required service period, based on the fair value of the award. The fair value of the stock option grants is estimated using the Black-Scholes option-pricing model, which requires assumptions, including dividend yield, risk-free interest rate, the estimated length of time employees will retain their stock options before exercising them (expected term) and the estimated volatility of the Company's common stock price over the expected term. These assumptions are generally based on historical averages of the Company. Compensation expense associated with restricted stock, restricted stock units and performance-vested share awards is equal to the market value of the Company's common stock on the date of grant and is recorded pro rata over the required service period. The fair value of market-vested awards is based on a Monte-Carlo simulation that estimates the fair value based on the Company's share price activity between the beginning of the year and the grant date relative to a defined comparative group of companies, expected term of the award, risk-free interest rate, expected dividends, and the expected volatility of the stock of the Company and those in the comparative group. The grant date fair value per share of market-vested awards already reflects the probability of achieving the market condition, and is therefore used to record expense straight line over the performance period regardless of actual achievement. For those awards with performance vesting criteria, the expense is recorded straight-line over the required service period based on an assessment of achieving the criteria. Through 2016, the Company reported the excess tax benefits from share-based payment arrangements as an inflow from financing activities. For 2016 and 2015 , the Company generated $0.6 million and $6.0 million of excess tax benefits, respectively. Effective as of the beginning of 2017, the tax effects from share-based payments is recognized as part of the Company's tax provision and is included in net income within operating activities on the statement of cash flows. Income Taxes . Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of assets and liabilities and their respective tax bases. Deferred tax assets also are recognized for credit carryforwards. Deferred tax assets and liabilities are measured using the enacted rates applicable to taxable income in the years in which the temporary differences are expected to reverse and the credits are expected to be used. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. An assessment is made as to whether or not a valuation allowance is required to offset deferred tax assets. This assessment requires estimates as to future operating results, as well as an evaluation of the effectiveness of the Company's tax planning strategies. These estimates are made on an ongoing basis based upon the Company's business plans and growth strategies in each market and consequently, future material changes in the valuation allowance are possible. It also requires estimates associated with enactment effects, as of December 22, 2017, and ongoing activity under the the U.S. Tax Cuts and Jobs Act of 2017 (the "Tax Act”). ASC 740 requires a company to record the effect of tax law change in the period of enactment. However, shortly after the enactment of the Tax Act, the SEC staff issued SEC Staff Accounting Bulletin 118 (“SAB 118”), which allows a company to record a provisional amount when it does not have the necessary information available, prepared, or analyzed in reasonable detail to complete its accounting for the change in tax law. The measurement period ends when the company has obtained, prepared and analyzed the information necessary to finalize its accounting, but cannot extend beyond one year. To the extent that the Company was able to make a reasonable estimate of the effects of elements of the Tax Act for which the analysis was not complete, it recorded those amounts. In instance where the Company was not able to make reasonable estimates of the impact of certain elements, as provided for by SAB 118, it did not record an amount related to those elements and accounted for them on the basis of tax laws in effect before the Tax Act. The Company accounts for uncertain tax positions in accordance with ASC 740, Income Taxes. This guidance prescribes a minimum probability threshold that a tax position must meet before a financial statement benefit is recognized. The minimum threshold is defined as a tax position that is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit to be recognized is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. Interest and penalties related to tax contingency or settlement items are recorded as a component of the provision for income taxes in the Company's Consolidated Statements of Income. The Company records accruals for tax contingencies as a component of accrued liabilities or other long-term liabilities on its balance sheet. Net Income Per Common Share . Basic per share information is calculated by dividing net income by the weighted average number of shares outstanding. Diluted per share information is calculated by also considering the impact of potential common stock on both net income and the weighted average number of shares outstanding. The Company's potential common stock consists of employee and director stock options, restricted stock, restricted stock units and performance share units. Performance share awards are included in the diluted per share calculation when the performance criteria are achieved. The Company's potential common stock is excluded from the basic per share calculation, or when the Company has a net loss for the period, and is included in the diluted per share calculation when doing so would not be anti-dilutive. The elements of the earnings per share computations were as follows: (In millions, except per share amounts) 2017 2016 2015 Net income (loss) $ (265.4 ) $ 223.6 $ 185.8 Weighted average shares of common stock outstanding 50.8 50.5 49.9 Common equivalent shares: Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units — 0.2 0.5 Weighted average common and common equivalent shares outstanding 50.8 50.7 50.4 Basic earnings per share $ (5.22 ) $ 4.43 $ 3.72 Diluted earnings per share $ (5.22 ) $ 4.41 $ 3.69 Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive 3.1 1.4 0.9 Derivative Financial Instruments. The Company recognizes in its Consolidated Balance Sheets the asset or liability associated with all derivative instruments and measures those assets and liabilities at fair value. If certain conditions are met, a derivative may be specifically designated as a hedge. The accounting for changes in the value of a derivative accounted for as a hedge depends on the intended use of the derivative and the resulting designation of the hedge exposure. Depending on how the hedge is used and the designation, the gain or loss due to changes in value is reported either in earnings, or initially in other comprehensive income. Gains or losses that are reported in other comprehensive income are eventually recognized in earnings, with the timing of this recognition governed by ASC 815, Derivatives and Hedging . The Company uses derivative financial instruments, principally over-the-counter forward exchange contracts with major international financial institutions, to offset the effects of exchange rate changes on net investments in certain foreign subsidiaries, certain forecasted purchases, certain intercompany transactions, and certain accounts payable and accounts receivable. The Company also uses euro denominated borrowings under its Credit Agreement to hedge a portion of its net investment in foreign subsidiaries. Gains and losses on instruments designated as net equity hedges of net investments in a foreign subsidiary or on intercompany transactions that are permanent in nature are accrued as exchange rates change, and are recognized in shareholders' equity as a component of foreign currency translation adjustments within accumulated other comprehensive loss. Gains and losses on contracts designated as fair value hedges of accounts receivable, accounts payable and non-permanent intercompany transactions are accrued as exchange rates change and are recognized in income. Gains and losses on contracts designated as cash flow hedges of identifiable foreign currency forecasted purchases are deferred and initially included in other comprehensive income. In assessing hedge effectiveness, the Company excludes forward points, which are included as a component of interest expense. See Note 8 to the Consolidated Financial Statements. Fair Value Measurements. The Company applies the applicable accounting guidance for fair value measurements. This guidance provides the definition of fair value, describes the method used to appropriately measure fair value in accordance with generally accepted accounting principles and outlines fair value disclosure requirements. The fair value hierarchy established under this guidance prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows: Level 1 - Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 - Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted prices, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. Level 3 - Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management's best estimate of fair value from the perspective of a market participant. The Company does not have any recurring Level 3 fair value measurements. Foreign Currency Translation. Results of operations of foreign subsidiaries are translated into U.S. dollars using average exchange rates during the year. The assets and liabilities of those subsidiaries, other than those of operations in highly inflationary countries, are translated into U.S. dollars using exchange rates at the balance sheet date. The related translation adjustments are included in accumulated other comprehensive loss. Foreign currency transaction gains and losses, as well as re-measurement of financial statements of subsidiaries in highly inflationary countries, are included in income. Inflation in Venezuela has been at a high level the past several years. The Company uses a blended index of the Consumer Price Index and National Consumer Price Index for determining highly inflationary status in Venezuela. This blended index reached cumulative three-year inflation in excess of 100 percent at November 30, 2009 and as such, the Company transitioned to highly inflationary status at the beginning of its 2010 fiscal year. Gains and losses resulting from the translation of the financial statements of subsidiaries operating in highly inflationary economies are recorded in earnings. For Venezuela, through fiscal 2017, the bolivar to U.S. dollar exchange rates used in translating the Company’s operating activity was based on an official rate recognized by the Venezuelan government. As of the end of December 2017, the Company evaluated the significant inflationary environment in Venezuela, as well as the actual exchange rates used to conduct business, particularly related to the procurement of resins to manufacture product. The Company concluded it would not be appropriate to use the official rate to value sales and profit beginning in 2018, and will use a parallel rate that is currently approximately 99 percent lower than the official rate used during 2017. As a result, as of the end of 2017, the Company remeasured its balance sheet at the parallel rate available at that time, and evaluated the Venezuelan fixed assets for impairment. In 2017 , 2016 and 2015 , the net expense in connection with re-measuring net monetary assets and recording in cost of sales inventory at the exchange rate when it was purchased or manufactured compared with when it was sold, and in 2017 the write-down of inventory, was $7.4 million , $4.3 million and $14.9 million , respectively. The amounts related to remeasurement are included in other expense. In 2017, there was also a fixed asset impairment charge of $2.3 million recorded in re-engineering and impairments caption. As of the end of 2017 , the net monetary assets in Venezuela, which were of a nature that would generate income or expense associated with future exchange rate fluctuations versus the U.S. dollar were not material. In addition, there was $25.5 million in cumulative foreign currency translation losses related to Venezuela included in equity within the Consolidated Balance Sheets. Product Warranty. Tupperware® brand products are guaranteed against chipping, cracking, breaking or peeling under normal non-commercial use of the product with certain limitations. The cost of replacing defective products is not material. New Accounting Pronouncements . In May 2014, the FASB issued an amendment to existing guidance regarding revenue from contracts with customers. The amendment outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. Subsequently, the FASB has issued several other amendments clarifying specific topics within the scope of the new guidance regarding contracts with customers. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company has surveyed revenue recognition policies and sales incentives programs across each of its global operating segments, and has evaluated the impact of the adoption of this amendment on its Consolidated Financial Statements. While there are expected to be changes in policy in certain units, the Company does not believe the impact to the Consolidated Financial Statements, including adjustments to the 2018 beginning retained earnings, will be significant, as the majority of the Company's transactions have not been accounted for under industry-specific guidance that will be superseded by the new guidance, and generally only consist of a single performance obligation to transfer non-customized, promised goods. The Company has |
Re-engineering Costs
Re-engineering Costs | 12 Months Ended |
Dec. 30, 2017 | |
Restructuring Charges [Abstract] | |
Re-engineering Costs | Re-engineering Costs The Company continually reviews its business models and operating methods for opportunities to increase efficiencies and/or align costs with business performance. Pretax costs incurred in the re-engineering and impairment charges caption by category were as follows: (In millions) 2017 2016 2015 Severance $ 48.1 $ 5.4 $ 5.0 Other 15.6 2.2 1.8 Total re-engineering charges $ 63.7 $ 7.6 $ 6.8 In 2017 , these charges were primarily related to restructuring actions taken in connection with the Company's plans, through 2018 or 2019, to rationalize its supply chain and to adjust the cost base of several marketing units. The restructuring charges also relate to the Company's decision to wind-down the Beauticontrol reporting unit due to a history of declining revenues, operating losses and the competitive environment in the direct selling channel and retail sector for beauty and personal care products in the United States, Canada and Puerto Rico. In connection with the closure of Beauticontrol, the Company also recorded $3.2 million in cost of sales for inventory obsolescence. In 2016 and 2015, the re-engineering charges were primarily related to severance costs incurred for headcount reductions in several of the Company’s operations in connection with changes in its management and organizational structures. The total cost of the restructuring actions announced in July 2017, is estimated to be $100 million to $110 million from the second quarter of 2017 forward. This excludes the benefit of selling fixed assets that will become excess in light of the re-engineering actions. The Company expects about 90 percent of second quarter 2017 forward re-engineering costs to require cash outflows, and for these to be funded with cash flow from operations, net of investing activities, notwithstanding the timing during each fiscal year in which the Company generates the majority of its cash. Of the total costs, the Company estimates that about 80 percent relates to severance and benefits related to headcount reductions, while the balance is predominantly related to costs to exit leases and other contracts, as well as write-offs of excess assets for which there are not expected to be disposal proceeds. The re-engineering charges by segment for the year ended December 30, 2017 were as follows: (In millions) 2017 Europe $ 47.9 Asia Pacific 4.8 North America 11.0 Total re-engineering charges $ 63.7 Pretax costs incurred in connection with the re-engineering program included above and other amounts allocated to cost of products sold were as follows: (In millions) 2017 2016 2015 Re-engineering charges $ 63.7 $ 7.6 $ 6.8 Cost of products sold 3.6 — — Total pretax re-engineering costs $ 67.3 $ 7.6 $ 6.8 The balances included in accrued liabilities related to re-engineering and impairment charges as of December 30, 2017 , December 31, 2016 , and December 26, 2015 were as follows: (In millions) 2017 2016 2015 Beginning balance $ 1.6 $ 1.7 $ 2.4 Provision 63.7 7.6 6.8 Non-cash charges (0.4 ) (0.3 ) (0.2 ) Cash expenditures: Severance (12.7 ) (5.2 ) (5.8 ) Other (6.8 ) (2.2 ) (1.5 ) Ending balance $ 45.4 $ 1.6 $ 1.7 The accrual balance as of December 30, 2017 , related primarily to severance payments to be made by the end of the second quarter of 2018. As of the end of December 2017, the Company evaluated the significant inflationary environment, the early 2018 devaluation of the currency in relation to the U.S. dollar and the actual exchange rates being used to conduct business, particularly procurement of resins to manufacture product in Venezuela. As a result of that evaluation that was similar to its analysis in 2015 described below, the Company concluded it was appropriate to record an impairment charge of $2.3 million dollars to reduce the carrying value of its long-term fixed assets to zero. This impairment charge was included in the re-engineering and impairment charge caption of the Company's consolidated income statement, but is not a component of the program announced in July 2017. This was deemed a non-recurring, Level 3 measurement within the fair value hierarchy. In February 2015, the Venezuelan government launched an overhaul of its foreign currency exchange structure and created a new exchange mechanism that provided an official exchange rate significantly lower than the rate available to the Company at that time. As a result, and based on the perceived impact of this change to the operations of its Venezuelan unit, the Company deemed this change to be a triggering event to evaluate the $15.7 million of long-term fixed assets in Venezuela at that time. This evaluation involved performing an undiscounted cash flow analysis to determine if the carrying value of the assets were recoverable and whether the amount included on the balance sheet was greater than fair value. The Company considered many economic and operating factors, including uncertainty surrounding the interpretation and enforcement of certain product pricing restrictions in Venezuela, the inability at that time to obtain the necessary raw materials locally to meet production demands and the significant decline in the global price of oil. Due, at least in part, to the decline of the global price of oil, the Venezuelan government has not made U.S. dollars widely available. Given the devaluation of the Venezuelan bolivar compared with the U.S. dollar, and the lack of U.S dollars available to use for the purchase of raw materials for on-going operations, the Company did not believe it would be able to operate the business profitably. As a result, the Company concluded that the carrying value of the long-term fixed assets in Venezuela was not recoverable. The Company then estimated the fair value of the long-term fixed assets using estimated selling prices available in Venezuela. The primary assets that were considered to continue to maintain a marketable value in Venezuela included commercial office space, a show room and parking spaces. As a result of this evaluation in the first quarter of 2015, the Company recorded an impairment charge of $13.5 million , which was deemed a non-recurring Level 3 measurement within the fair value hierarchy. |
Inventories
Inventories | 12 Months Ended |
Dec. 30, 2017 | |
Inventory, Net [Abstract] | |
Inventories | Inventories (In millions) 2017 2016 Finished goods $ 203.5 $ 189.4 Work in process 26.0 23.0 Raw materials and supplies 32.7 28.0 Total inventories $ 262.2 $ 240.4 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment (In millions) 2017 2016 Land $ 43.4 $ 36.7 Buildings and improvements 204.8 194.1 Molds 678.6 624.7 Production equipment 298.8 264.3 Distribution equipment 40.5 37.4 Computer/telecom equipment 47.5 45.2 Furniture and fixtures 20.7 15.8 Capitalized software 81.2 69.5 Construction in progress 25.1 29.3 Total property, plant and equipment 1,440.6 1,317.0 Less accumulated depreciation (1,162.4 ) (1,057.2 ) Property, plant and equipment, net $ 278.2 $ 259.8 |
Accrued and Other Liabilities
Accrued and Other Liabilities | 12 Months Ended |
Dec. 30, 2017 | |
Payables and Accruals [Abstract] | |
Accrued and Other Liabilities | Accrued and Other Liabilities Accrued Liabilities (In millions) 2017 2016 Income taxes payable $ 49.7 $ 23.1 Compensation and employee benefits 69.0 73.0 Advertising and promotion 55.9 57.6 Taxes other than income taxes 30.0 24.5 Pensions 8.3 2.7 Post-retirement benefits 1.5 1.7 Dividends payable 34.7 34.4 Foreign currency contracts 29.6 31.7 Re-engineering 45.4 1.6 Other 77.3 73.7 Total accrued liabilities $ 401.4 $ 324.0 Other Liabilities (In millions) 2017 2016 Post-retirement benefits $ 13.7 $ 15.4 Pensions 120.6 123.0 Income taxes 21.2 22.5 Deferred income tax 41.0 17.6 Other 47.0 42.9 Total other liabilities $ 243.5 $ 221.4 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Company's goodwill and intangible assets relate primarily to the December 2005 acquisition of the direct-to-consumer businesses of Sara Lee Corporation. Refer to Note 1 for the annual process for evaluating goodwill and intangible assets for impairment. In the third quarters of 2017 and 2016, the Company completed the annual assessments for all of its reporting units and indefinite-lived intangible assets, concluding there were no i mpairments. The Company performed only qualitative assessments in the third quarter of 2017. In the second quarter of 2017 , as part of its on-going assessment of goodwill and intangible assets, the Company noted that the sales, profitability and cash flow of Fuller Mexico had fallen below its recent trend lines and was expected to fall significantly short of previous expectations for the year. As a result, the Company performed an interim impairment test as of the end of May 2017, recording an impairment charge of $62.9 million . This was deemed a non-recurring, Level 3 measurement within the fair value hierarchy. The remaining goodwill balance at Fuller Mexico is $17.4 million . The significant assumptions for the Fuller Mexico step 1 analysis included annual revenue growth rates, beginning in 2017, ranging from negative 10 percent to positive 4 percent with a compound average growth rate of 1.6 percent , including a 3 percent growth rate used in calculating the terminal value. The discount rate used was 15.8 percent . The estimated fair value of the Fuller Mexico reporting unit equaled its carrying value as of May 2017 in light of the impairment charge recorded. Having the carrying value equal to fair value results in an elevated risk of additional future impairment. Fuller Mexico continued to carry a total sales force size and field manager deficit as of the end of December 2017, despite new programs aimed at higher rates of sales force additions and retention and increased activity. These programs and trends were considered as part of the fair value evaluation performed as of the end of May 2017. Fuller Mexico's performance in the second half of 2017 was not out of line with assumptions built into the fair value evaluation performed as of the end of May 2017, despite the impact of the natural disasters in Mexico during the third quarter. Local currency sales declined 9 percent in 2017. A deterioration in key operating metrics, such as sales force size, and/or operating performance significantly below expectations built into the May 2017 evaluation, including changes in projected future revenue, profitability and cash flow, as well as higher working capital, interest rates, or cost of capital, could have a negative effect on the fair value of the reporting unit. In addition, the Company is unable to predict, at this time, whether there will be a significant, long-term impact to the Fuller Mexico operations or value due to changes in the macro-economic environment. Should the Company's programs and strategies to improve the key performance indicators as outlined above not be able to overcome the general trends in the business and/or any negative macro-economic factors in the time frame forecast, which could also impact the long-term discount rate values used in estimating fair value, the estimated fair value of the reporting unit could fall below its carrying value, resulting in additional impairment charges to the goodwill of Fuller Mexico. Other than for the Fuller Mexico reporting unit, management has concluded there is no significant foreseeable risk of failing a future goodwill impairment test, nor is there significant foreseeable risk of the fair value of the indefinite-lived intangible assets falling materially below their respective carrying values. Given the sensitivity of fair value valuations to changes in cash flow or market multiples, the Company may be required to recognize an impairment of goodwill or indefinite-lived intangible assets in the future due to changes in market conditions or other factors related to the Company’s performance. Actual results below forecasted results or a decrease in the forecasted future results of the Company’s business plans or changes in discount rates could also result in an impairment charge, as could changes in market characteristics including declines in valuation multiples of comparable publicly-traded companies. Impairment charges would have an adverse impact on the Company’s net income and shareholders' equity. Amortization expense related to all intangible assets, most significantly at Fuller Mexico, was $7.9 million , $7.6 million and $8.8 million in 2017 , 2016 and 2015 , respectively. The estimated annual amortization expense associated with intangibles in 2018 is $7.6 million and in 2019 through 2022 is $7.2 million annually. The following table reflects gross goodwill and accumulated impairments allocated to each reporting segment at December 30, 2017 , December 31, 2016 and December 26, 2015 : (In millions) Europe Asia Pacific North America South America Total Gross goodwill balance at December 26, 2015 $ 28.9 $ 74.7 $ 143.8 $ 3.6 $ 251.0 Effect of changes in exchange rates 0.4 1.2 (15.4 ) 0.1 (13.7 ) Gross goodwill balance at December 31, 2016 29.3 75.9 128.4 3.7 237.3 Effect of changes in exchange rates 0.6 2.2 6.5 (0.1 ) 9.2 Gross goodwill balance at December 30, 2017 $ 29.9 $ 78.1 $ 134.9 $ 3.6 $ 246.5 (In millions) Europe Asia Pacific North America South America Total Cumulative impairments as of December 26, 2015 $ 24.5 $ 41.3 $ 38.9 $ — $ 104.7 Goodwill impairment — — — — — Cumulative impairments as of December 31, 2016 24.5 41.3 38.9 — 104.7 Goodwill impairment — — 62.9 — 62.9 Cumulative impairments as of December 30, 2017 $ 24.5 $ 41.3 $ 101.8 $ — $ 167.6 The gross carrying amount and accumulated amortization of the Company's intangible assets, other than goodwill, were as follows: December 30, 2017 (In millions) Gross Carrying Value Accumulated Amortization Net Indefinite-lived tradenames $ 21.1 $ — $ 21.1 Definite-lived tradename 73.1 31.7 41.4 Total intangible assets $ 94.2 $ 31.7 $ 62.5 December 31, 2016 (In millions) Gross Carrying Value Accumulated Amortization Net Indefinite-lived tradenames $ 20.6 $ — $ 20.6 Definite-lived tradename 70.0 23.3 46.7 Total intangible assets $ 90.6 $ 23.3 $ 67.3 A summary of the identifiable intangible asset account activity is as follows: Year Ended (In millions) December 30, December 31, Beginning balance $ 90.6 $ 101.8 Effect of changes in exchange rates 3.6 (11.2 ) Ending balance $ 94.2 $ 90.6 |
Financing Obligations
Financing Obligations | 12 Months Ended |
Dec. 30, 2017 | |
Debt Disclosure [Abstract] | |
Financing Obligations | Financing Obligations Debt Obligations Debt obligations consisted of the following: (In millions) 2017 2016 Fixed rate Senior Notes due 2021 $ 599.5 $ 599.4 Five year Revolving Credit Agreement 131.0 104.0 Belgium facility capital lease 7.5 8.4 Other 0.1 0.1 Total debt obligations 738.1 711.9 Less current portion (133.0 ) (105.9 ) Long-term debt and capital lease obligations $ 605.1 $ 606.0 (Dollars in millions) 2017 2016 Total short-term borrowings at year-end $ 131.0 $ 104.0 Weighted average interest rate at year-end 1.9 % 1.5 % Average short-term borrowings during the year $ 322.3 $ 357.4 Weighted average interest rate for the year 2.3 % 1.8 % Maximum short-term borrowings during the year $ 389.2 $ 429.3 Senior Notes On June 2, 2011, the Company completed the sale of $400 million in aggregate principal amount of 4.75% Senior Notes due June 1, 2021 under an indenture. The notes sold in June 2011 were sold at a discount. On March 11, 2013, the Company issued and sold an additional $200 million in aggregate principal amount of these notes (both issuances together, the "Senior Notes") in a registered public offering. The notes sold in March 2013 were sold at a premium. The Senior Notes were issued under an indenture (the “Indenture”) between the Company and its 100% subsidiary, Dart Industries Inc. (the “Guarantor”) and Wells Fargo Bank, N.A., as trustee. As security for its obligations under the guarantee of the Senior Notes, the Guarantor has granted a security interest in certain "Tupperware" trademarks and service marks. The guarantee and the lien securing the guarantee may be released under certain customary circumstances specified in the Indenture. These customary circumstances include: • payment in full of principal of and premium, if any, and interest on the Senior Notes; • satisfaction and discharge of the Indenture; • upon legal defeasance or covenant defeasance of the Senior Notes as set forth in the Indenture; • as to any property or assets constituting collateral owned by the Guarantor that is released from its guarantee in accordance with the Indenture; • with the consent of the holders of the requisite percentage of Senior Notes in accordance with the Indenture; and • if the rating on the Senior Notes is changed to investment grade in accordance with the Indenture. Prior to March 1, 2021, the Company may redeem the Senior Notes, at its option, at a redemption price equal to accrued and unpaid interest and the greater of i) 100 percent of the principal amount to be redeemed; and ii) the present value of the remaining scheduled payments of principal and interest. In determining the present value of the remaining scheduled payments, such payments shall be discounted to the redemption date using a discount rate equal to the Treasury Rate (as defined in the Indenture) plus 30 basis points. On or after March 1, 2021, the redemption price will equal 100 percent of the principal amount of the Senior Notes redeemed. The Indenture includes covenants which, subject to certain exceptions, limit the ability of the Company and its subsidiaries to, among other things, (i) incur indebtedness secured by liens on real property, (ii) enter into certain sale and leaseback transactions, (iii) consolidate or merge with another entity, or sell or transfer all or substantially all of their properties and assets, and (iv) sell the capital stock of the Guarantor. In addition, upon a change of control, as defined in the Indenture, the Company may be required to make an offer to repurchase the Senior Notes at 101 percent of their principal amount, plus accrued and unpaid interest. The Indenture also contains customary events of default. These restrictions are not expected to impact the Company's operations. As of December 30, 2017 , the Company was in compliance with all of its covenants. Credit Agreement On June 9, 2015, the Company and its wholly owned subsidiary Tupperware International Holdings B.V. (the “Subsidiary Borrower”), entered into Amendment No. 2 (the "Amendment”) to their multicurrency Amended and Restated Credit Agreement dated September 11, 2013, as amended by Amendment No. 1 dated June 2, 2014 (as so amended, the “Credit Agreement”). Under the Credit Agreement that has a final maturity date of June 9, 2020, the aggregate amount available is $600 million (the “Facility Amount”). The Credit Agreement provides (a) a revolving credit facility, available up to the Facility Amount, (b) a letter of credit facility, available up to $50 million of the Facility Amount, and (c) a swingline facility, available up to $100 million of the Facility Amount. Each of such facilities is fully available to the Company and is available to the Subsidiary Borrower up to an aggregate amount not to exceed $325 million . The Company is permitted to increase, on up to three occasions, the Facility Amount by a total of up to $200 million (for a maximum aggregate Facility Amount of $800 million ), subject to certain conditions including the agreement of the lenders. As of December 30, 2017 , the Company had total borrowings of $131.0 million outstanding under its Credit Agreement, with $96.1 million of that amount denominated in euros. The Company routinely increases its revolver borrowings under the Credit Agreement during each quarter to fund operating, investing and financing activities and uses cash available at the end of each quarter to reduce borrowing levels. As a result, the Company incurs more interest expense and has higher foreign exchange exposure on the value of its cash and debt during each quarter than would relate solely to the quarter end balances. Loans made under the Credit Agreement bear interest under a formula that includes, at the Company's option, one of three different base rates. The Company generally selects the London Interbank Offered Rate (" LIBOR ") for the applicable currency and interest period as the base for its interest rate. As provided in the Credit Agreement, a margin is added to the base. The applicable margin is determined by a pricing schedule and is based upon the better for the Company of (a) the ratio (the "Consolidated Leverage Ratio") of the consolidated funded indebtedness of the Company and its subsidiaries to the consolidated EBITDA (as defined in the Credit Agreement) of the Company and its subsidiaries for the four fiscal quarters then most recently ended, or (b) the Company’s then existing long-term debt securities rating by Moody’s Investor Service, Inc. or Standard and Poor’s Financial Services, Inc. As of December 30, 2017 , the Credit Agreement dictated a base rate spread of 150 basis points, which gave the Company a weighted average interest rate on LIBOR based borrowings of 1.92 percent on borrowings under the Credit Agreement. The Credit Agreement contains customary covenants that, among other things, generally restrict the Company's ability to incur subsidiary indebtedness, create liens on and sell assets, engage in liquidation or dissolutions, engage in mergers or consolidations, or change lines of business. These covenants are subject to significant exceptions and qualifications. The agreement also has customary financial covenants related to interest coverage and leverage. These restrictions are not expected to impact the Company's operations. As of December 30, 2017 , and currently, the Company had considerable cushion under its financial covenants. The Guarantor unconditionally guarantees all obligations and liabilities of the Company and the Subsidiary Borrower relating to the Credit Agreement as well as the Senior Notes, supported by a security interest in certain "Tupperware" trademarks and service marks. At December 30, 2017 , the Company had $553.6 million of unused lines of credit, including $467.5 million under the committed, secured Credit Agreement, and $86.1 million available under various uncommitted lines around the world. Interest paid on total debt, including forward points on foreign currency contracts, in 2017 , 2016 and 2015 was $47.6 million , $47.4 million and $47.8 million , respectively. Contractual Maturities Contractual maturities for debt obligations at December 30, 2017 are summarized by year as follows (in millions): Year ending: Amount December 29, 2018 $ 133.0 December 28, 2019 1.7 December 26, 2020 1.4 December 25, 2021 600.9 December 31, 2022 1.1 Total $ 738.1 Capital Leases In 2007, the Company completed construction of a manufacturing facility in Belgium. Costs related to the new facility and equipment totaled $24.0 million and were financed through a sale lease-back transaction under two separate leases. The two leases are being accounted for as capital leases and have initial terms of 10 years and 15 years and interest rates of 5.1 percent . In 2010, the Company extended a lease on an additional building in Belgium that was previously accounted for as an operating lease. As a result of renegotiating the terms of the agreement, the lease is now classified as capital and had an initial value of $3.8 million with an initial term of 10 years and an interest rate of 2.9 percent . Following is a summary of significant capital lease obligations at December 30, 2017 and December 31, 2016 : (In millions) December 30, December 31, Gross payments $ 8.3 $ 9.4 Less imputed interest 0.8 1.0 Total capital lease obligation 7.5 8.4 Less current maturity 1.9 1.8 Capital lease obligation - long-term portion $ 5.6 $ 6.6 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 30, 2017 | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments The Company is exposed to fluctuations in foreign currency exchange rates on the earnings, cash flows and financial position of its international operations. Although this currency risk is partially mitigated by the natural hedge arising from the Company's local manufacturing in many markets, a strengthening U.S. dollar generally has a negative impact on the Company. In response to these fluctuations, the Company uses financial instruments to hedge certain of its exposures and to manage the foreign exchange impact to its financial statements. At its inception, a derivative financial instrument used for hedging is designated as a fair value, cash flow or net equity hedge as described in Note 1 to the Consolidated Financial Statements. Fair value hedges are entered into with financial instruments such as forward contracts, with the objective of limiting exposure to certain foreign exchange risks primarily associated with accounts payable and non-permanent intercompany transactions. For derivative instruments that are designated and qualify as fair value hedges, the gain or loss on the derivative, as well as the offsetting gain or loss on the hedged item attributable to the hedged risk, are recognized in current earnings. In assessing hedge effectiveness, the Company excludes forward points, which are considered to be a component of interest expense. In 2017 , 2016 and 2015 , forward points on fair value hedges resulted in pretax gains of $22.6 million , $15.7 million and $14.1 million , respectively. The Company also uses derivative financial instruments to hedge foreign currency exposures resulting from certain forecasted purchases and classifies these as cash flow hedges. At initiation, the Company's cash flow hedge contracts are generally for periods ranging from one to fifteen months . The effective portion of the gain or loss on the hedging instrument is recorded in other comprehensive income and is reclassified into earnings as the transactions being hedged are recorded. As such, the balance at the end of the current reporting period in other comprehensive income, related to cash flow hedges, will generally be reclassified into earnings within the next twelve months . The associated asset or liability on the open hedges is recorded in Non-trade amounts receivable or accrued liabilities, as applicable. The balance in accumulated other comprehensive loss, net of tax, resulting from open foreign currency hedges designated as cash flow hedges was a deferred gain of $1.6 million , $4.9 million and $4.3 million as of December 30, 2017 , December 31, 2016 and December 26, 2015 , respectively. In 2017 , 2016 and 2015 , the Company recorded in other comprehensive loss, net of tax, net (losses)/gains associated with cash flow hedges of $(3.3) million , $0.6 million and $(3.5) million , respectively, which represents the net change to accumulated other comprehensive income on the Company's balance sheet related to these type of hedges. The Company also uses financial instruments, such as forward contracts and certain euro denominated borrowings under the Company's Credit Agreement, to hedge a portion of its net equity investment in international operations and classifies these as net equity hedges. Changes in the value of these financial instruments, excluding any ineffective portion of the hedges, are included in foreign currency translation adjustments within accumulated other comprehensive loss. The Company recorded, net of tax, in other comprehensive income a net loss of $21.2 million and gains of $28.6 million and $54.6 million associated with these hedges in 2017 , 2016 and 2015 , respectively. Due to the permanent nature of the investments, the Company does not anticipate reclassifying any portion of these amounts to the income statement in the next twelve months. In assessing hedge effectiveness, the Company excludes forward points, which are included as a component of interest expense. While the forward contracts used for net equity and fair value hedges of non-permanent intercompany balances mitigate its exposure to foreign exchange gains or losses, they result in an impact to operating cash flows as they are settled, whereas the hedged items do not generate offsetting cash flows. The net cash flow impact of these currency hedges for the years ended 2017 , 2016 and 2015 was an inflow of $0.1 million and outflow s of $2.7 million and $17.0 million , respectively. The cash flow impact of certain of these exposures is in turn partially offset by certain hedges of net equity. The Company considers the total notional value of its forward contracts as the best measure of the volume of derivative transactions. As of December 30, 2017 and December 31, 2016 , the notional amounts of outstanding forward contracts to purchase currencies were $111.1 million and $116.7 million , respectively, and the notional amounts of outstanding forward contracts to sell currencies were $112.1 million and $109.6 million , respectively. As of December 30, 2017 , the notional values of the largest positions outstanding were to purchase U.S. dollars $68.9 million and euro $23.7 million and to sell Mexican pesos $36.6 million . The following table summarizes the Company's derivative positions, which are the only assets and liabilities recorded at fair value on a recurring basis, and the impact they had on the Company's financial position as of December 30, 2017 and December 31, 2016 . Fair values were determined based on third party quotations (Level 2 fair value measurement): Asset derivatives Liability derivatives Fair value Fair value Derivatives designated as hedging instruments ( in millions ) Balance sheet location 2017 2016 Balance sheet location 2017 2016 Foreign exchange contracts Non-trade amounts receivable $ 32.2 $ 41.1 Accrued liabilities $ 29.6 $ 31.7 The following table summarizes the impact of the Company's fair value hedging positions on the results of operations for the years ended December 30, 2017 , December 31, 2016 and December 26, 2015 : Derivatives designated as fair value hedges (in millions) Location of gain or (loss) recognized in income on derivatives Amount of gain or (loss) recognized in income on derivatives Location of gain or (loss) recognized in income on related hedged items Amount of gain or (loss) recognized in income on related hedged items 2017 2016 2015 2017 2016 2015 Foreign exchange contracts Other expense $ 17.2 $ (41.8 ) $ (83.6 ) Other expense ($17.1 ) $42.1 $83.8 The following table summarizes the impact of Company's hedging activities on comprehensive income for the years ended December 30, 2017 , December 31, 2016 and December 26, 2015 : Derivatives designated as cash flow and net equity hedges (in millions) Amount of gain or (loss) recognized in OCI on derivatives (effective portion) Location of gain or (loss) reclassified from accumulated OCI into income (effective portion) Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) Location of gain or (loss) recognized in income on derivatives (ineffective portion and amount excluded from effectiveness testing) Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amounts excluded from effectiveness testing) Cash flow hedging relationships 2017 2016 2015 2017 2016 2015 2017 2016 2015 Foreign exchange contracts $ (2.7 ) $ 6.7 $ 14.5 Cost of products sold $ 1.4 $ 5.7 $ 19.2 Interest expense $ (4.8 ) $ (5.6 ) $ (7.7 ) Net equity hedging relationships Foreign exchange contracts (21.6 ) 41.0 74.2 Interest expense (26.0 ) (20.8 ) (16.8 ) Euro denominated debt (11.5 ) 3.7 11.1 The Company's theoretical credit risk for each foreign exchange contract is its replacement cost, but management believes that the risk of incurring credit losses is remote and such losses, if any, would not be material. The Company is also exposed to market risk on its derivative instruments due to potential changes in foreign exchange rates; however, such market risk would be fully offset by changes in the valuation of the underlying items being hedged. For all outstanding derivative instruments, the net accrued gain was $2.6 million , $9.4 million and $6.9 million at December 30, 2017 , December 31, 2016 and December 26, 2015 , respectively, and were recorded either in Non-trade amounts receivable or accrued liabilities, depending upon the net position of the individual contracts. The notional amounts shown above change based upon the Company's outstanding exposure to fair value fluctuations. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Due to their short maturities or their insignificance, the carrying amounts of cash and cash equivalents, accounts and notes receivable, accounts payable, accrued liabilities and short-term borrowings approximated their fair values at December 30, 2017 and December 31, 2016 . The Company estimates that, based on current market conditions, the value of its 4.75% , 2021 senior notes was $631.6 million at December 30, 2017 , compared with the carrying value of $599.5 million . The higher fair value resulted from changes, since issuance, in the corporate debt markets and investor preferences. The fair value of debt is classified as a Level 2 liability, and is estimated using quoted market prices as provided in secondary markets that consider the Company's credit risk and market related conditions. See Note 8 to the Consolidated Financial Statements for discussion of the Company's derivative instruments and related fair value measurements. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss (In millions, net of tax) Foreign Currency Items Cash Flow Hedges Pension and Other Post-retirement Items Total December 27, 2014 $ (368.3 ) $ 7.8 $ (48.2 ) $ (408.7 ) Other comprehensive income (loss) before reclassifications (122.3 ) 11.3 8.9 (102.1 ) Amounts reclassified from accumulated other comprehensive loss — (14.8 ) 3.6 (11.2 ) Net other comprehensive income (loss) (122.3 ) (3.5 ) 12.5 (113.3 ) December 26, 2015 $ (490.6 ) $ 4.3 $ (35.7 ) $ (522.0 ) Other comprehensive income (loss) before reclassifications (53.7 ) 4.9 (0.9 ) (49.7 ) Amounts reclassified from accumulated other comprehensive loss — (4.3 ) 4.5 0.2 Net other comprehensive income (loss) (53.7 ) 0.6 3.6 (49.5 ) December 31, 2016 $ (544.3 ) $ 4.9 $ (32.1 ) $ (571.5 ) Other comprehensive income (loss) before reclassifications 42.4 (2.5 ) 1.8 41.7 Amounts reclassified from accumulated other comprehensive loss — (0.8 ) 1.2 0.4 Net other comprehensive income (loss) 42.4 (3.3 ) 3.0 42.1 December 30, 2017 $ (501.9 ) $ 1.6 $ (29.1 ) $ (529.4 ) Pretax amounts reclassified from accumulated other comprehensive loss that related to cash flow hedges consisted of net gains of $1.4 million , $5.7 million and $19.2 million in 2017 , 2016 and 2015 , respectively. Associated with these items were tax provision s of $0.6 million , $1.4 million and $4.4 million in 2017 , 2016 and 2015 , respectively. See Note 8 for further discussion of derivatives. In 2017 , 2016 and 2015 , pretax amounts reclassified from accumulated other comprehensive loss related to pension and other post-retirement items consisted of prior service benefit s of $1.3 million , $1.2 million and $1.3 million , respectively, and pension settlement costs of $1.0 million , $3.9 million and $1.6 million , respectively, and actuarial losses of $2.0 million , $2.6 million and $4.5 million , respectively. Associated with these items were tax benefit s of $0.5 million , $0.8 million and $1.2 million , respectively. See Note 13 for further discussion of pension and other post-retirement benefit costs. |
Statements of Cash Flows Supple
Statements of Cash Flows Supplemental Disclosure | 12 Months Ended |
Dec. 30, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Statements of Cash Flows Supplemental Disclosure | Statements of Cash Flows Supplemental Disclosure Under the Company's stock incentive programs, employees are allowed to use shares retained by the Company to satisfy minimum statutorily required withholding taxes in certain jurisdictions. In 2017 , 2016 and 2015 , 40,777 , 30,703 and 22,344 shares, respectively, were retained to fund withholding taxes, with values totaling $2.5 million , $1.7 million and $1.5 million , respectively, which were included as stock repurchases in the Consolidated Statements of Cash Flows. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For income tax purposes, the domestic and foreign components of income (loss) before taxes were as follows: (In millions) 2017 2016 2015 Domestic $ (76.2 ) $ (44.8 ) $ (67.5 ) Foreign 261.3 346.1 327.4 Total $ 185.1 $ 301.3 $ 259.9 The domestic and foreign components of income (loss) before taxes reflect adjustments as required under certain advanced pricing agreements and exclude repatriation of foreign earnings to the United States. The provision (benefit) for income taxes was as follows: (In millions) 2017 2016 2015 Current: Federal $ 25.6 $ (23.8 ) $ (22.8 ) Foreign 136.9 114.1 92.6 State 2.1 1.4 (0.8 ) 164.6 91.7 69.0 Deferred: Federal 312.9 (14.7 ) (13.8 ) Foreign (25.6 ) 0.2 18.2 State (1.4 ) 0.5 0.7 285.9 (14.0 ) 5.1 Total $ 450.5 $ 77.7 $ 74.1 The differences between the provision for income taxes and income taxes computed using the U.S. federal statutory rate were as follows: (In millions) 2017 2016 2015 Amount computed using statutory rate $ 64.8 $ 105.5 $ 91.0 Increase (reduction) in taxes resulting from: Net impact from repatriating foreign earnings and direct foreign tax credits (5.8 ) (16.3 ) (7.9 ) Foreign income taxes 14.3 (7.5 ) (4.6 ) Impact of non-deductible currency translation losses — — 3.1 Impact of changes in U.S. tax legislation 375.0 (2.7 ) — Other changes in valuation allowances for deferred tax assets 5.3 (0.1 ) (0.4 ) Foreign and domestic tax audit settlement and adjustments (2.5 ) — (2.4 ) Other (0.6 ) (1.2 ) (4.7 ) Total $ 450.5 $ 77.7 $ 74.1 The effective tax rates in 2016 and 2015 are below the U.S. statutory rate, primarily reflecting the availability of excess foreign tax credits, as well as lower foreign effective tax rates. The Tax Act referred to in the Summary of Significant Accounting Policies - Income Taxes significantly revised U.S. corporate income tax law by, among other things, reducing the U.S. federal corporate rate to 21 percent and implementing a modified territorial tax system that includes a one-time transition tax on deemed repatriated earnings of foreign subsidiaries. Implementation of the Tax Act resulted in recording $264 million in expense for the revaluation of the Company’s net domestic deferred tax assets and a one-time provisional transition tax charge of approximately $96 million for the repatriation tax provision of the Tax Act. Reversal of various net tax benefits recorded under previous tax law changed by the Tax Act totaled $15 million . In reaching these estimates, the Company took into account all available guidance and notices issued by the U.S. Department of the Treasury. The amounts are to be considered provisional and are subject to change given the complexity of the underlying calculations and uncertainty as to how some provisions of the Tax Act are to be applied. The Company will update and conclude its accounting as additional information is obtained, which in many cases is contingent on the timing of issuance of regulatory guidance. The Company continues to analyze the impact of provisions that will be effective in future years. Relevant to the 2017 Consolidated Financial Statements is the Company’s selection of an accounting policy with respect to the new minimum tax on global intangible low-taxed income (“GILTI”), and whether to account for GILTI as a periodic charge in the period it arises, or to record deferred taxes associated with the basis in the Company’s foreign subsidiaries. Due to the intricacy of this topic, the Company is still in the process of investigating the implications of accounting for the GILTI tax, and intends to make an accounting policy decision once additional guidance is available. Deferred tax assets (liabilities) were composed of the following: (In millions) 2017 2016 Purchased intangibles $ (20.3 ) $ (21.7 ) Other (6.5 ) (14.1 ) Gross deferred tax liabilities (26.8 ) (35.8 ) Credit and net operating loss carry forwards (net of unrecognized tax benefits) 295.9 301.2 Employee benefits accruals 51.0 63.1 Deferred costs 48.0 92.2 Fixed assets basis differences 17.8 22.4 Capitalized intangibles 21.4 34.2 Other accruals 33.5 32.1 Accounts receivable 10.7 11.3 Post-retirement benefits 4.5 7.1 Depreciation 11.2 13.4 Inventory 5.3 6.4 Gross deferred tax assets 499.3 583.4 Valuation allowances (235.5 ) (24.8 ) Net deferred tax assets $ 237.0 $ 522.8 At December 30, 2017 , the Company had domestic federal and state net operating loss carryforward of $14.2 million , separate state net operating loss carry forwards of $9.0 million , and a valuation allowance of $5.2 million . The Company had foreign net operating loss carry forwards of $300.1 million , resulting in a deferred tax asset of $86.9 million and a valuation allowance of $37.5 million . Of the total foreign and domestic net operating loss carry forwards, $217.1 million expire at various dates from 2019 to 2036, while the remainder have unlimited lives. This balance included net deferred tax assets of $3.0 million for federal net operating losses, which will expire in the years 2025 through 2035 if not utilized, $29.7 million of foreign net operating losses which will expire in 2026 if not utilized. During 2017 , the Company realized net cash benefits of $6.3 million related to foreign net operating loss carry forwards. At December 30, 2017 and December 31, 2016 , the Company had estimated gross foreign tax credit carry forwards of $199.2 million and $215.0 million , respectively and a valuation allowance of $188.8 million at December 30, 2017 and no valuation allowance prior to the tax reform. The increase in valuation allowance was primarily from the estimated impact of the limitation of usage of foreign tax credit carryforwards under the Tax Act. The valuation allowance assessment is based in part upon expected future domestic results under the Tax Act, and available foreign source income, including rents and royalties available for credit usage under the Tax Act, as well as anticipated gains related to future sales of land held for development near the Company's Orlando, Florida headquarters. The Company paid income taxes in 2017 , 2016 and 2015 of $123.3 million , $118.7 million and $113.7 million , respectively. The Company has a foreign subsidiary which receives a tax holiday that expires in 2020. The net benefit of this and other expired tax holidays was $0.7 million , $1.3 million and $2.6 million in 2017 , 2016 and 2015 , respectively. As of December 30, 2017 and December 31, 2016 , the Company's accrual for uncertain tax positions was $19.8 million and $20.7 million , respectively. The Company estimates that approximately $19.2 million of that amount, if recognized, would impact the effective tax rate. A reconciliation of the beginning and ending amount of accrual for uncertain tax positions is as follows: (In millions) 2017 2016 2015 Balance, beginning of year $ 20.7 $ 21.8 $ 22.5 Additions based on tax positions related to the current year 3.6 2.7 3.3 Additions for tax positions of prior year 2.2 1.2 3.4 Reduction for tax positions of prior years (3.0 ) (1.2 ) (1.6 ) Settlements (1.2 ) — (1.1 ) Reductions for lapse in statute of limitations (3.7 ) (3.1 ) (3.2 ) Impact of foreign currency rate changes versus the U.S. dollar 1.2 (0.7 ) (1.5 ) Balance, end of year $ 19.8 $ 20.7 $ 21.8 Interest and penalties related to uncertain tax positions in the Company's global operations are recorded as a component of the provision for income taxes. Accrued interest and penalties were $7.3 million and $7.1 million as of December 30, 2017 and December 31, 2016 , respectively. Interest and penalties included in the provision for income taxes totaled $0.2 million and $1.1 million for 2017 and 2016 , respectively and no significant interest and penalties included in the provision for income taxes for 2015 . During the year ended December 30, 2017 , the accrual for uncertain tax positions decreased by $3.7 million primarily due to the expiration of the statute of limitations in various jurisdictions and decreased by another $1.2 million as a result of the Company agreeing to tax settlements in various foreign tax jurisdictions. During the year, increases in uncertain positions being taken during the year in various foreign tax jurisdictions were partially offset by the impact of changes in foreign exchange rates. During the year ended December 31, 2016 , the accrual for uncertain tax positions decreased by $3.1 million primarily due to the expiration of the statute of limitations in various jurisdictions. During the year, increases in uncertain positions being taken during the year in various foreign tax jurisdictions were partially offset by the impact of changes in foreign exchange rates. During the year ended December 26, 2015 , the accrual for uncertain tax positions decreased by $1.1 million primarily as a result of the Company agreeing to tax settlements in various foreign jurisdictions, as well as a $3.2 million decrease of accruals for uncertain tax positions due to the expiration of the statute of limitations in various jurisdictions. During the year, increases in uncertain positions being taken in various foreign tax jurisdictions were partially offset by the impact of changes in foreign exchange rates. The Company operates globally and files income tax returns in the United States with federal and various state agencies, and in foreign jurisdictions. In the normal course of business, the Company is subject to examination by taxing authorities throughout the world. The Company is no longer subject to income tax examination in the following major jurisdictions: for U.S. tax for years before 2003, Australia (2012), Brazil (2005), China (2005), France (2012), Germany (2011), Greece (2011), India (2002), Indonesia (2010), Italy (2015), Malaysia (2010), Mexico (2005), and South Africa (2013), with limited exceptions. The Company estimates that it may settle one or more foreign and domestic audits in the next twelve months that may result in a decrease in the amount of accrual for uncertain tax positions of up to $0.8 million . For the remaining balance as of December 30, 2017 , the Company is not able to reliably estimate the timing or ultimate settlement amount. While the Company does not currently expect material changes, it is possible that the amount of unrecognized benefit with respect to the uncertain tax positions will significantly increase or decrease related to audits in various foreign jurisdictions that may conclude during that period or new developments that could also, in turn, impact the Company's assessment relative to the establishment of valuation allowances against certain existing deferred tax assets. At this time, the Company is not able to make a reasonable estimate of the range of impact on the balance of unrecognized tax benefits or the impact on the effective tax rate related to these items. As of December 30, 2017 , the Company had foreign undistributed earnings of $1.7 billion where it is the Company's intent that the earnings be reinvested indefinitely. The Company is in the process of evaluating the impact of the Tax Act on its indefinite reinvestment assertion, including the impact of foreign withholding taxes and it expects to complete its evaluation in the one-year period provided by SAB 118. With respect to accumulated earnings of foreign subsidiaries, no additional U.S. federal and state income taxes or foreign withholding taxes have been provided as all accumulated earnings of foreign subsidiaries are deemed to have been remitted as part of the one-time mandatory repatriation transition tax charge recorded in 2017, although the amount recorded is subject to adjustment if estimates change. In the event that in certain foreign jurisdictions earnings that are currently considered indefinitely invested would no longer be classified as such, expense would be recorded at that time for withholding taxes that would be due in the foreign jurisdictions when those earnings are repatriated. |
Retirement Benefit Plans
Retirement Benefit Plans | 12 Months Ended |
Dec. 30, 2017 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Retirement Benefit Plans | Retirement Benefit Plans The Company has various defined benefit pension plans covering substantially all domestic employees employed as of June 30, 2005 and certain employees in other countries. In addition to providing pension benefits, the Company provides certain post-retirement healthcare and life insurance benefits for selected U.S. and Canadian employees. Employees may become eligible for these benefits if they reach normal retirement age while working for the Company or satisfy certain age and years of service requirements. The medical plans are contributory for most retirees with contributions adjusted annually, and contain other cost-sharing features, such as deductibles and coinsurance. The medical plans include an allowance for Medicare for post-65 age retirees. Most employees and retirees outside the United States are covered by government healthcare programs. The Company uses its fiscal year end as the measurement date for its plans. The funded status of all of the Company's plans was as follows: U.S. plans Foreign plans Pension benefits Post-retirement benefits Pension benefits (In millions) 2017 2016 2017 2016 2017 2016 Change in benefit obligations: Beginning balance $ 49.8 $ 59.2 $ 17.0 $ 18.3 $ 179.6 $ 183.3 Service cost — 0.3 0.1 0.1 10.4 11.3 Interest cost 1.7 2.2 0.7 0.7 3.8 4.5 Actuarial (gain) loss 1.3 (2.9 ) (1.1 ) (0.2 ) (2.2 ) 7.3 Benefits paid (2.1 ) (0.9 ) (1.5 ) (1.9 ) (7.9 ) (7.8 ) Impact of exchange rates — — — — 14.1 (11.0 ) Plan participant contributions — — — — 0.6 0.8 Settlements/Curtailments — (8.1 ) — — (3.5 ) (8.8 ) Ending balance $ 50.7 $ 49.8 $ 15.2 $ 17.0 $ 194.9 $ 179.6 Change in plan assets at fair value: Beginning balance $ 27.0 $ 33.9 $ — $ — $ 76.9 $ 78.2 Actual return on plan assets 4.4 2.8 — — 5.0 2.2 Company contributions — — 1.5 1.9 10.8 14.2 Plan participant contributions — — — — 0.8 0.8 Benefits and expenses paid (2.4 ) (1.6 ) (1.5 ) (1.9 ) (8.3 ) (7.8 ) Impact of exchange rates — — — — 5.7 (1.9 ) Settlements — (8.1 ) — — (3.2 ) (8.8 ) Ending balance $ 29.0 $ 27.0 $ — $ — $ 87.7 $ 76.9 Funded status of plans $ (21.7 ) $ (22.8 ) $ (15.2 ) $ (17.0 ) $ (107.2 ) $ (102.7 ) Amounts recognized in the balance sheet consisted of: (In millions) December 30, December 31, Accrued benefit liability $ (144.1 ) $ (142.5 ) Accumulated other comprehensive loss (pretax) 40.1 44.4 Items not yet recognized as a component of pension expense as of December 30, 2017 and December 31, 2016 consisted of: 2017 2016 (In millions) Pension Post-retirement Pension Post-retirement Transition obligation $ 2.4 $ — $ 2.2 $ — Prior service cost (benefit) 1.2 (6.0 ) 1.1 (7.3 ) Net actuarial loss (gain) 42.7 (0.2 ) 47.4 1.0 Accumulated other comprehensive loss(income) pretax $ 46.3 $ (6.2 ) $ 50.7 $ (6.3 ) Components of other comprehensive loss (income) for the years ended December 30, 2017 and December 31, 2016 consisted of the following: 2017 2016 (In millions) Pension Benefits Post-retirement Benefits Pension Benefits Post-retirement Benefits Net prior service cost $ — $ 1.3 $ — $ 1.3 Net actuarial (gain) (8.5 ) (1.2 ) (12.3 ) (0.2 ) Impact of exchange rates 4.1 — 8.0 — Other comprehensive (income) loss $ (4.4 ) $ 0.1 $ (4.3 ) $ 1.1 In 2018 , the Company expects to recognize a prior service benefit of $1.4 million and a net actuarial loss of $0.3 million as components of pension and post-retirement expense. The accumulated benefit obligation for all defined benefit pension plans at December 30, 2017 and December 31, 2016 was $220.9 million and $205.7 million , respectively. At December 30, 2017 and December 31, 2016 , the accumulated benefit obligations of certain pension plans exceeded those respective plans' assets. For those plans, the accumulated benefit obligations were $190.6 million and $196.9 million , and the fair value of their assets was $84.7 million and $93.7 million as of December 30, 2017 and December 31, 2016 , respectively. At December 30, 2017 and December 31, 2016 , the benefit obligations of the Company's significant pension plans exceeded those respective plans' assets. The accrued benefit cost for the pension plans is reported in accrued liabilities and other long-term liabilities. The costs associated with all of the Company's plans were as follows: Pension benefits Post-retirement benefits (Dollars in millions) 2017 2016 2015 2017 2016 2015 Components of net periodic benefit cost: Service cost and expenses $ 10.4 $ 11.8 $ 10.8 $ 0.1 $ 0.1 $ 0.1 Interest cost 5.6 6.7 6.9 0.7 0.7 0.7 Return on plan assets (4.4 ) (5.3 ) (5.3 ) — — — Settlement/Curtailment 1.0 3.9 1.7 — — — Employee contributions (0.2 ) (0.2 ) (0.2 ) — — — Net deferral 2.0 2.7 4.5 (1.3 ) (1.3 ) (1.3 ) Net periodic benefit cost (income) $ 14.4 $ 19.6 $ 18.4 $ (0.5 ) $ (0.5 ) $ (0.5 ) Weighted average assumptions: U.S. plans Discount rate, net periodic benefit cost 3.8 % 3.9 % 3.6 % 4.0 % 4.0 % 3.8 % Discount rate, benefit obligations 3.3 3.7 3.9 3.5 4.0 4.0 Return on plan assets 7.3 8.3 8.3 n/a n/a n/a Salary growth rate, net periodic benefit cost — — 3.0 n/a n/a n/a Salary growth rate, benefit obligations — — — n/a n/a n/a Foreign plans Discount rate 2.2 % 2.3 % 2.4 % n/a n/a n/a Return on plan assets 3.1 3.2 3.4 n/a n/a n/a Salary growth rate 2.7 2.9 3.1 n/a n/a n/a ____________________ n/a Not applicable The Company has established strategic asset allocation percentage targets for significant asset classes with the aim of achieving an appropriate balance between risk and return. The Company periodically revises asset allocations, where appropriate, in an effort to improve return and/or manage risk. The expected return on plan assets is determined based on the expected long-term rate of return on plan assets and the market-related value of plan assets. The market-related value of plan assets is based on long-term expectations given current investment objectives and historical results. The expected rate of return assumption used by the Company to determine the benefit obligation for its U.S. and foreign plans for 2017 was 7.3 percent and 3.1 percent , respectively, and 8.3 percent and 3.2 percent for 2016 , respectively. The Company determines the discount rate primarily by reference to rates on high-quality, long term corporate and government bonds that mature in a pattern similar to the expected payments to be made under the various plans. The weighted average discount rates used to determine the benefit obligation for its U.S. and foreign plans for 2017 was 3.3 percent and 2.2 percent , respectively, and 3.7 percent and 2.3 percent for 2016 , respectively. Effective January 1, 2015, Medicare eligible participants were moved from the self-insured employer plan to a private Medicare exchange, receiving a fixed subsidy from the Company. The Company no longer uses the assumed healthcare cost trends to value its post-retirement benefits obligation. The Company sponsors a number of pension plans in the United States and in certain foreign countries. There are separate investment strategies in the United States and for each unit operating internationally that depend on the specific circumstances and objectives of the plans and/or to meet governmental requirements. The Company's overall strategic investment objectives are to preserve the desired funded status of its plans and to balance risk and return through a wide diversification of asset types, fund strategies and investment managers. The asset allocation depends on the specific strategic objectives for each plan and is rebalanced to obtain the target asset mix if the percentages fall outside of the range considered acceptable. The investment policies are reviewed from time to time to ensure consistency with long-term objectives. Options, derivatives, forward and futures contracts, short positions, or margined positions may be held in reasonable amounts as deemed prudent. For plans that are tax-exempt, any transactions that would jeopardize this status are not allowed. Lending of securities is permitted in some cases in which appropriate compensation can be realized. While the Company's plans do not invest directly in its own stock, it is possible that the various plans' investments in mutual, commingled or indexed funds or insurance contracts (GIC's) may hold ownership of Company securities. The investment objectives of each unit are more specifically outlined below. The Company's weighted average asset allocations at December 30, 2017 and December 31, 2016 , by asset category, were as follows: 2017 2016 Asset category U.S. plans Foreign plans U.S. plans Foreign plans Equity securities 63 % 26 % 62 % 27 % Fixed income securities 37 16 38 16 Cash and money market investments — 7 — 6 Guaranteed contracts — 49 — 50 Other — 2 — 1 Total 100 % 100 % 100 % 100 % The fair value of the Company's pension plan assets at December 30, 2017 by asset category was as follows: Description of assets (in millions) December 30, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic plans: Common/collective trust (a) $ 28.9 $ — $ 28.9 $ — Foreign plans: Australia Investment fund (b) 2.5 — 2.5 — Switzerland Guaranteed insurance contract (c) 32.8 — — 32.8 Germany Guaranteed insurance contract (c) 5.6 — — 5.6 Belgium Mutual fund (d) 25.2 25.2 — — Austria Guaranteed insurance contract (c) 0.4 — — 0.4 Korea Guaranteed insurance contract (c) 4.1 — — 4.1 Japan Common/collective trust (e) 12.8 — 12.8 — Philippines Fixed income securities (f) 1.8 1.8 — — Equity fund (f) 2.6 2.6 — — Total $ 116.7 $ 29.6 $ 44.2 $ 42.9 The fair value of the Company's pension plan assets at December 31, 2016 by asset category was as follows: Description of assets (in millions) December 31, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic plans: Common/collective trust (a) $ 27.0 $ — $ 27.0 $ — Foreign plans: Australia Investment fund (b) 2.6 — 2.6 — Switzerland Guaranteed insurance contract (c) 28.5 — — 28.5 Germany Guaranteed insurance contract (c) 5.0 — — 5.0 Belgium Mutual funds (d) 21.8 21.8 — — Austria Guaranteed insurance contract (c) 0.4 — — 0.4 Korea Guaranteed insurance contract (c) 4.0 — — 4.0 Japan Common/collective trust (e) 10.9 — 10.9 — Philippines Fixed income securities (f) 1.4 1.4 — — Equity fund (f) 2.3 2.3 — — Total $ 103.9 $ 25.5 $ 40.5 $ 37.9 ____________________ (a) The investment strategy of the U.S. pension plan for each period presented was to achieve a return greater than or equal to the return that would have been earned by a portfolio invested approximately 60 percent in equity securities and 40 percent in fixed income securities. As of the years ended December 30, 2017 and December 31, 2016 , the common trusts held 63 percent and 62 percent of its assets in equity securities and 37 percent and 38 percent in fixed income securities, respectively. The percentage of funds invested in equity securities at the end of 2017 and 2016 , included: 10 percent in international stocks, 32 percent in large U.S. stocks in each year and 21 percent and 20 percent in small U.S. stocks, respectively. The common trusts are comprised of shares or units in commingled funds that are not publicly traded. The underlying assets in these funds (equity securities and fixed income securities) are valued using quoted market prices. (b) For 2017 and 2016 , the strategy of this fund is to achieve a long-term net return of at least 3.5 percent and 4 percent above inflation based on the Australian consumer price index over a rolling five-year period, respectively. The investment strategy is to invest mainly in equities and property, which are expected to earn relatively higher returns over the long term. The fair value of the fund is determined using the net asset value per share using quoted market prices or other observable inputs in active markets. As of December 30, 2017 and December 31, 2016 , the percentage of funds held in investments included: Australian equities of 16 percent and 31 percent , other equities of listed companies outside of Australia of 44 percent and 41 percent , government and corporate bonds of 17 percent and 12 percent and cash of 14 percent and 7 percent , respectively and real estate of 9 percent in each year. (c) The strategy of the Company's plans in Austria, Germany, Korea and Switzerland is to seek to ensure the future benefit payments of their participants and manage market risk. This is achieved by funding the pension obligations through guaranteed insurance contracts. The plan assets operate similar to investment contracts whereby the interest rate, as well as the surrender value, is guaranteed. The fair value is determined as the contract value, using a guaranteed rate of return which will increase if the market performance exceeds that return. (d) The strategy of the Belgian plan in each period presented is to seek to achieve a return greater than or equal to the return that would have been earned by a portfolio invested approximately 62 percent in equity securities and 38 percent in fixed income securities. The fair value of the fund is calculated using the net asset value per share as determined by the quoted market prices of the underlying investments. As of December 30, 2017 and December 31, 2016 , the percentage of funds held in various asset classes included: large-cap equities of European companies of 27 percent , small-cap equities of European companies of 17 percent , and money market fund of 17 percent in each year, bonds, primarily from European and U.S. governments, of 31 percent and 32 percent , and equities outside of Europe, mainly in the U.S. and emerging markets, 8 percent and 7 percent , respectively. (e) The Company's strategy is to invest approximately 47 percent of assets to benefit from the higher expected returns from long-term investments in equities and to invest 53 percent of assets in short-term low investment risk instruments to fund near term benefits payments. The target allocation for plan assets to implement this strategy is 40 percent equities in Japanese listed securities, 7 percent in equities outside of Japan, 3 percent in cash and other short-term investments and 50 percent in domestic Japanese bonds. This strategy has been achieved through a collective trust that held 100 percent of total funded assets as of December 30, 2017 and December 31, 2016 . As of the end of December 30, 2017 and December 31, 2016 , the allocation of funds within the common collective trust included: 36 percent and 40 percent in Japanese equities, 53 percent and 50 percent in Japanese bonds, and 4 percent and 3 percent in cash and other short term investments, respectively and 7 percent in equities of companies based outside of Japan in each year. The fair value of the collective trust is determined by the market value of the underlying shares, which are traded in active markets. (f) In both years, the investment strategy in the Philippines was to achieve an appropriate balance between risk and return, from a diversified portfolio of Philippine peso denominated bonds and equities. The target asset class allocations is 57 percent in equity securities, 38 percent fixed income securities and 5 percent in cash and deposits. The fixed income securities at year end included assets valued using a weighted average of completed deals on similarly termed government securities, as well as balances invested in short term deposit accounts. The equity index fund was valued at the closing price of the active market in which it was traded. The following table presents a reconciliation of the beginning and ending balances of the fair value measurements using significant unobservable inputs (Level 3): Year Ending (In millions) December 30, December 31, Beginning balance $ 37.9 $ 38.7 Realized gains 1.1 0.9 Purchases, sales and settlements, net 1.7 (0.4 ) Impact of exchange rates 2.2 (1.3 ) Ending balance $ 42.9 $ 37.9 The Company expects to contribute $11.0 million to its U.S. and foreign pension plans and $1.5 million to its other U.S. post-retirement benefit plan in 2018 . The Company also has several savings, thrift and profit-sharing plans. Its contributions to these plans are in part based upon various levels of employee participation. The total cost of these plans was $6.5 million , $6.1 million and $7.4 million for 2017 , 2016 and 2015 , respectively. The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid from the Company's U.S. and foreign plans (in millions): Years Pension benefits Post-retirement benefits Total 2018 $13.4 $1.5 $14.9 2019 27.0 1.4 28.4 2020 12.8 1.3 14.1 2021 13.3 1.3 14.6 2022 16.2 1.2 17.4 2023-2027 72.0 4.9 76.9 |
Incentive Compensation Plans
Incentive Compensation Plans | 12 Months Ended |
Dec. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Incentive Compensation Plans | Incentive Compensation Plans On May 24, 2016, the shareholders of the Company approved the adoption of the Tupperware Brands Corporation 2016 Incentive Plan (the “2016 Incentive Plan”). The 2016 Incentive Plan provides for the issuance of cash and stock-based incentive awards to employees, directors and certain non-employee participants. Stock-based awards may be in the form of stock options, restricted stock, restricted stock units, performance vesting and market vesting awards. Under the plan, awards that are canceled or expire are added back to the pool of available shares. When the 2016 Incentive Plan was approved, the number of shares of the Company's common stock available for stock-based awards under the plan totaled 3,500,000 , plus remaining shares available for issuance under the Tupperware Brands Corporation 2010 Incentive Plan, the Tupperware Brands Corporation 2006 Incentive Plan and the Tupperware Brands Corporation Director Stock Plan. Shares may no longer be granted under the plans adopted before 2016. The total number of shares available for grant under the 2016 Incentive Plan as of December 30, 2017 was 2,979,087 . Under the 2016 Incentive Plan, non-employee directors receive approximately one-half of their annual retainers in the form of stock and may elect to receive the balance of their annual retainers in the form of stock or cash. In addition, each non-employee director is eligible to receive a stock award in such form, at such time and in such amount as may be determined by the Nominating and Governance Committee of the Board of Directors. Stock Options Stock options to purchase the Company's common stock are granted to employees and directors, upon approval by the Company's Board of Directors, with an exercise price equal to the fair market value of the stock on the date of grant. Options generally become exercisable in three years , in equal installments beginning one year from the date of grant, and generally expire 10 years from the date of grant. The fair value of the Company's stock options is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions used in the last three years: 2017 2016 2015 Dividend yield 4.4 % 4.7 % 4.3 % Expected volatility 29 % 30 % 36 % Risk-free interest rate 2.2 % 2.1 % 2.1 % Expected life 7 years 7 years 7 years Stock option activity for 2017 , under all of the Company's incentive plans, is summarized in the following table: Shares subject to option Weighted average exercise price per share Aggregate Intrinsic Value (in millions) Outstanding at December 31, 2016 2,722,965 $57.78 Granted 640,242 58.21 Expired/Forfeited (47,111 ) 66.95 Exercised (270,780 ) 43.88 Outstanding at December 30, 2017 3,045,316 $58.96 $16.1 Exercisable at December 30, 2017 1,802,768 $59.55 $10.4 The intrinsic value of options exercised during 2017 , 2016 and 2015 totaled $6.2 million , $1.2 million and $20.8 million , respectively. The average remaining contractual life on outstanding and exercisable options was 7.1 and 5.6 , respectively, at the end of 2017 . The weighted average estimated grant date fair value of 2017 , 2016 and 2015 option grants was $10.48 , $10.67 and $13.13 per share, respectively. Performance Awards, Restricted Stock and Restricted Stock Units The Company also grants restricted stock, restricted stock units, performance-vested awards and market-vested awards to employees and directors, which typically have initial vesting periods ranging from one to three years . The incentive program for the performance and market-vested awards are based upon a target number of share units, although the actual number of performance and market-vested shares ultimately earned can vary from zero to 150 percent of target depending on the Company's achievement under the performance criteria of the grants. The payouts, if earned, are settled in Tupperware common stock after the end of the three year performance period. The Company's performance-vested awards provide incentive opportunity based on the overall success of the Company over a three year performance period, as reflected through a measure of diluted earnings per share. The Company's market-vested awards provide incentive opportunity based on the relative total shareholder return ("rTSR") of the Company's common stock against a group of companies composed of the S&P 400 Mid-cap Consumer Discretionary Index and the Company's Compensation Peer Group (collectively, the "Comparative Group") over a three year performance period. The fair value per share of rTSR grants in 2017 , 2016 and 2015 was $61.29 , $49.55 and $64.21 , respectively. The fair value was determined using a Monte-Carlo simulation, which estimated the fair value based on the Company's share price activity between the beginning of the year and the grant date relative to the Comparative Group, expected term of the award, risk-free interest rate, expected dividends, and the expected volatility of the stock of the Company and that of the Comparative Group. In 2017 , as a result of the Company's performance, the estimated number of shares expected to vest increased by 27,380 shares for the three performance share plans running during 2017 . Restricted stock, restricted stock units, performance-vested and market-vested share award activity for 2017 under all of the Company's incentive plans is summarized in the following table: Non-vested Shares outstanding Weighted average grant date per share fair value Outstanding at December 31, 2016 602,940 $61.28 Time-vested shares granted 153,581 60.12 Market-vested shares granted 25,170 61.29 Performance shares granted 76,615 60.39 Performance share adjustments 27,380 58.35 Vested (207,650 ) 67.60 Forfeited (42,529 ) 62.98 Outstanding at December 30, 2017 635,507 $58.59 The vesting date fair value of restricted stock, restricted stock units and performance-vested awards that vested in 2017 , 2016 and 2015 was $12.8 million , $12.4 million and $20.9 million , respectively. The weighted average grant-date fair value per share of these types of awards in 2017 , 2016 and 2015 was $60.32 , $55.39 and $61.89 , respectively. For awards that are paid in cash, compensation expense is remeasured each reporting period based on the market value of the shares outstanding and is included as a liability on the Consolidated Balance Sheets. Shares outstanding under cash settled awards totaled 17,525 , 18,174 and 27,582 shares as of the end of 2017 , 2016 and 2015 , respectively. These outstanding cash settled awards had a fair value of $1.1 million , $1.0 million and $1.5 million as of the end of 2017 , 2016 and 2015 , respectively. Compensation expense associated with all stock-based compensation was $22.6 million in 2017 and $20.0 million in 2016 and 2015 . The estimated tax benefit associated with this compensation expense was $8.1 million in 2017 and $7.2 million and 2016 and 2015 . As of December 30, 2017 , total unrecognized stock-based compensation expense related to all stock-based awards was $27.0 million , which is expected to be recognized over a weighted average period of 24 months . Expense related to earned cash performance awards of $11.0 million , $18.7 million and $21.5 million was included in the Consolidated Statements of Income for 2017 , 2016 and 2015 , respectively. The Company's Board of Directors has authorized up to $2 billion of open market share repurchases under a program that began in 2007 and expires on February 1, 2020. There were no share repurchases under this program in 2017 , 2016 and 2015 . Since inception of the program, the Company has repurchased 21.3 million shares at an aggregate cost of $1.29 billion . |
Segment Information
Segment Information | 12 Months Ended |
Dec. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company manufactures and distributes a broad portfolio of products, primarily through independent direct sales consultants. Certain operating segments have been aggregated based upon consistency of economic substance, geography, products, production process, class of customers and distribution method. Effective in the fourth quarter of 2017, in connection with the closure of its Beauticontrol business, the Company changed its segment reporting. The change was to combine its previous Beauty North America and Tupperware North America segments into one North America segment. Comparable information from all historical periods presented has been revised to conform with the new presentation. The Company's reportable segments primarily sell design-centric preparation, storage and serving solutions for the kitchen and home through the Tupperware® brand. Europe also includes Avroy Shlain® in South Africa and Nutrimetics® in France, which sell beauty and personal care products. Some units in Asia Pacific also sell beauty and personal care products under the NaturCare®, Nutrimetics® and Fuller® brands. North America also includes the Fuller Mexico beauty and personal care products business and sells products under the Fuller Cosmetics® brand in that unit and in Central America. South America also sells beauty products under the Fuller®, Nutrimetics® and Nuvo® brands. Worldwide sales of beauty and personal care products totaled $331.7 million , $368.5 million and $428.8 million in 2017 , 2016 and 2015 , respectively. (In millions) 2017 2016 2015 Net sales: Europe $ 550.4 $ 559.4 $ 612.9 Asia Pacific 734.8 748.6 771.0 North America 541.5 548.3 593.7 South America 429.1 356.8 306.2 Total net sales $ 2,255.8 $ 2,213.1 $ 2,283.8 Segment profit: Europe $ 54.5 $ 65.3 $ 92.4 Asia Pacific 189.3 181.0 175.9 North America 69.7 66.1 69.7 South America 98.7 82.2 46.5 Total segment profit $ 412.2 $ 394.6 $ 384.5 Unallocated expenses (64.1 ) (67.6 ) (72.8 ) Re-engineering and impairment charges (a) (66.0 ) (7.6 ) (20.3 ) Impairment of goodwill and intangibles (b) (62.9 ) — — Gains on disposal of assets (c) 9.1 27.3 13.7 Interest expense, net (43.2 ) (45.4 ) (45.2 ) Income before taxes $ 185.1 $ 301.3 $ 259.9 (In millions) 2017 2016 2015 Depreciation and amortization: Europe $ 16.7 $ 15.9 $ 17.3 Asia Pacific 14.9 14.5 14.9 North America 12.3 18.7 21.3 South America 5.9 3.3 4.1 Corporate 10.7 5.1 4.8 Total depreciation and amortization $ 60.5 $ 57.5 $ 62.4 Capital expenditures: Europe $ 18.7 $ 15.6 $ 18.2 Asia Pacific 10.7 12.0 12.3 North America 15.9 11.9 12.6 South America 12.1 12.4 8.9 Corporate 14.9 9.7 9.1 Total capital expenditures $ 72.3 $ 61.6 $ 61.1 Identifiable assets: Europe $ 308.5 $ 257.2 $ 276.5 Asia Pacific 297.2 278.6 290.2 North America 266.3 333.7 375.2 South America 138.6 124.6 96.9 Corporate 377.4 593.7 559.4 Total identifiable assets $ 1,388.0 $ 1,587.8 $ 1,973.4 ____________________ (a) See Note 2 for discussion of re-engineering and impairment charges. (b) See Note 6 for discussion of goodwill impairment charges. (c) Gains on disposal of assets in 2017 , 2016 and 2015 include $8.8 million , 26.5 million and 12.9 million from transactions related to land near the Orlando, FL headquarters. Sales and segment profit in the preceding table are from transactions with customers, with inter-segment profit eliminated. Sales generated by product line, except beauty and personal care, as opposed to Tupperware ® , are not captured in the financial statements, and disclosure of the information is impractical. Sales to a single customer did not exceed 10 percent of total sales in any segment. In 2017 , 2016 and 2015 sales of Tupperware ® and beauty products to customers in Mexico were $279.7 million , $282.4 million and $338.9 million , respectively, while sales in Brazil were $316.3 million , $260.4 million and $201.1 million , respectively. There was no other foreign country in which sales were individually material to the Company's total sales. Sales of Tupperware ® and beauty products to customers in the United States were $191.8 million , $204.2 million and $209.4 million in 2017 , 2016 and 2015 , respectively. Unallocated expenses are corporate expenses and other items not directly related to the operations of any particular segment. Corporate assets consist of cash and buildings and assets maintained for general corporate purposes. As of the end of 2017 , 2016 and 2015 , long-lived assets in the United States were $91.6 million , $88.7 million and $86.6 million , respectively. As of December 30, 2017 and December 31, 2016 , the Company's net investment in international operations was $523.5 million and $482.1 million , respectively. The Company is subject to the usual economic, business and political risks associated with international operations; however, these risks are partially mitigated by the broad geographic dispersion of the Company's operations. |
Commitment and Contingencies
Commitment and Contingencies | 12 Months Ended |
Dec. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company and certain subsidiaries are involved in litigation and various legal matters that are being defended and handled in the ordinary course of business. Included among these matters are environmental issues. The Company does not include estimated future legal costs in accruals recorded related to these matters. The Company believes that it is remote that the Company's contingencies will have a material adverse effect on its financial position, results of operations or cash flow. Kraft Foods, Inc., which was formerly affiliated with Premark International, Inc., the Company's former parent, has assumed any liabilities arising out of certain divested or discontinued businesses. The liabilities assumed include matters alleging product liability, environmental liability and infringement of patents. Leases. Rental expense for operating leases totaled $34.9 million in 2017 , $33.3 million in 2016 and $34.0 million in 2015 . Approximate minimum rental commitments under non-cancelable operating leases in effect at December 30, 2017 were: 2018 - $35.1 million ; 2019 - $23.6 million ; 2020 - $13.9 million ; 2021 - $9.4 million ; 2022 - $6.3 million ; and after 2022 - $23.4 million . Leases included in the minimum rental commitments for 2018 and 2019 primarily relate to lease agreements for automobiles which generally have a lease term of two to three years with the remaining leases related to office, manufacturing and distribution space. It is common for lease agreements to contain various provisions for items such as step rent or other escalation clauses and lease concessions, which may offer a period of no rent payment. These types of items are considered by the Company, and are recorded into expense on a straight line basis over the minimum lease terms. There are no material lease agreements containing renewal options. Certain leases require the Company to pay property taxes, insurance and routine maintenance. |
Allowance for Long-Term Receiva
Allowance for Long-Term Receivables | 12 Months Ended |
Dec. 30, 2017 | |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |
Allowance For Long Term Receivables | Allowance for Long-Term Receivables As of December 30, 2017 , $17.3 million of long-term receivables from both active and inactive customers were considered past due, the majority of which were reserved through the Company's allowance for uncollectible accounts. The balance of the allowance for long-term receivables as of December 30, 2017 was as follows: (In millions) Balance at December 31, 2016 $ 11.0 Write-offs (0.9 ) Provision (a) 4.8 Currency translation adjustment 1.6 Balance at December 30, 2017 $ 16.5 ____________________ (a) Provision includes $2.8 million of reclassifications from current receivables. |
Guarantor Information
Guarantor Information | 12 Months Ended |
Dec. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Guarantor Information | Guarantor Information The Company's payment obligations under the Senior Notes are fully and unconditionally guaranteed, on a senior secured basis, by the Guarantor. The guarantee is secured by certain "Tupperware" trademarks and service marks owned by the Guarantor, as discussed in Note 7 to the Consolidated Financial Statements. Condensed consolidated financial information as of December 30, 2017 and December 31, 2016 and for the years ended December 30, 2017 , December 31, 2016 and December 26, 2015 for the Company (the "Parent"), Guarantor and all other subsidiaries (the "Non-Guarantors") is as follows. Each entity in the consolidating financial information follows the same accounting policies as described in the consolidated financial statements, except for the use by the Parent and Guarantor of the equity method of accounting to reflect ownership interests in subsidiaries that are eliminated upon consolidation. The Guarantor is 100% owned by the Parent, and there are certain entities within the Non-Guarantors’ classification which the Parent owns directly. There are no significant restrictions on the ability of either the Parent or the Guarantor from obtaining adequate funds from their respective subsidiaries by dividend or loan that should interfere with their ability to meet their operating needs or debt repayment obligations. Consolidating Statement of Income Year ended December 30, 2017 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 2,263.3 $ (7.5 ) $ 2,255.8 Other revenue — 132.2 30.7 (162.9 ) — Cost of products sold — 30.6 875.3 (161.3 ) 744.6 Gross margin — 101.6 1,418.7 (9.1 ) 1,511.2 Delivery, sales and administrative expense 20.8 83.9 1,066.7 (9.1 ) 1,162.3 Re-engineering and impairment charges — 2.3 63.7 — 66.0 Impairment of goodwill and intangible assets — — 62.9 — 62.9 Gains on disposal of assets including insurance recoveries, net — — 9.1 — 9.1 Operating income (loss) (20.8 ) 15.4 234.5 — 229.1 Interest income 20.4 1.9 39.6 (59.0 ) 2.9 Interest expense 37.4 59.6 8.1 (59.0 ) 46.1 Income from equity investments in subsidiaries (231.8 ) 17.4 — 214.4 — Other expense (income) — 8.8 (8.0 ) — 0.8 Income (loss) before income taxes (269.6 ) (33.7 ) 274.0 214.4 185.1 Provision for income taxes (4.2 ) 198.9 255.8 — 450.5 Net income (loss) $ (265.4 ) $ (232.6 ) $ 18.2 $ 214.4 $ (265.4 ) Comprehensive income (loss) $ (223.3 ) $ (182.6 ) $ 65.7 $ 116.9 $ (223.3 ) Consolidating Statement of Income Year ended December 31, 2016 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 2,219.1 $ (6.0 ) $ 2,213.1 Other revenue — 126.9 29.3 (156.2 ) — Cost of products sold — 29.4 838.9 (153.3 ) 715.0 Gross margin — 97.5 1,409.5 (8.9 ) 1,498.1 Delivery, sales and administrative expense 19.1 78.1 1,082.5 (8.9 ) 1,170.8 Re-engineering and impairment charges — 1.2 6.4 — 7.6 Gains on disposal of assets including insurance recoveries, net — — 27.3 — 27.3 Operating income (loss) (19.1 ) 18.2 347.9 — 347.0 Interest income 20.9 1.8 27.1 (46.4 ) 3.4 Interest expense 34.9 51.5 8.8 (46.4 ) 48.8 Income from equity investments in subsidiaries 242.3 240.9 — (483.2 ) — Other expense 0.1 (33.6 ) 33.8 — 0.3 Income before income taxes 209.1 243.0 332.4 (483.2 ) 301.3 Provision (benefit) for income taxes (14.5 ) 5.1 87.1 — 77.7 Net income (loss) $ 223.6 $ 237.9 $ 245.3 $ (483.2 ) $ 223.6 Comprehensive income (loss) $ 174.1 $ 188.0 $ 163.8 $ (351.8 ) $ 174.1 Consolidating Statement of Income Year ended December 26, 2015 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 2,288.6 $ (4.8 ) $ 2,283.8 Other revenue — 123.9 31.6 (155.5 ) — Cost of products sold — 31.6 864.0 (151.2 ) 744.4 Gross margin — 92.3 1,456.2 (9.1 ) 1,539.4 Delivery, sales and administrative expense 20.6 78.6 1,127.5 (9.1 ) 1,217.6 Re-engineering and impairment charges — — 20.3 — 20.3 Gains on disposal of assets including insurance recoveries, net — — 13.7 — 13.7 Operating income (loss) (20.6 ) 13.7 322.1 — 315.2 Interest income 19.6 22.5 7.4 (47.1 ) 2.4 Interest expense 36.4 37.7 20.6 (47.1 ) 47.6 Income from equity investments in subsidiaries 208.1 203.6 — (411.7 ) — Other expense — 0.6 9.5 — 10.1 Income before income taxes 170.7 201.5 299.4 (411.7 ) 259.9 Provision (benefit) for income taxes (15.1 ) (4.0 ) 93.2 — 74.1 Net income (loss) $ 185.8 $ 205.5 $ 206.2 $ (411.7 ) $ 185.8 Comprehensive income (loss) $ 72.5 $ 84.0 $ 104.0 $ (188.0 ) $ 72.5 Condensed Consolidating Balance Sheet December 30, 2017 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 0.1 $ 144.0 $ — $ 144.1 Accounts receivable, net — — 144.4 — 144.4 Inventories — — 262.2 — 262.2 Non-trade amounts receivable, net — 179.2 79.4 (200.0 ) 58.6 Intercompany receivables 300.8 1,101.9 255.4 (1,658.1 ) — Prepaid expenses and other current assets 1.1 2.1 82.2 (64.2 ) 21.2 Total current assets 301.9 1,283.3 967.6 (1,922.3 ) 630.5 Deferred income tax benefits, net 33.4 72.6 172.0 — 278.0 Property, plant and equipment, net — 54.9 223.3 — 278.2 Long-term receivables, net — 0.2 19.1 — 19.3 Trademarks and tradenames, net — — 62.5 — 62.5 Goodwill — 2.9 76.0 — 78.9 Investments in subsidiaries 1,174.9 1,371.0 — (2,545.9 ) — Intercompany notes receivable 498.4 100.0 968.9 (1,567.3 ) — Other assets, net 0.6 0.7 69.8 (30.5 ) 40.6 Total assets $ 2,009.2 $ 2,885.6 $ 2,559.2 $ (6,066.0 ) $ 1,388.0 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 3.1 $ 121.3 $ — $ 124.4 Short-term borrowings and current portion of long-term debt and capital lease obligations 131.1 — 1.9 — 133.0 Intercompany payables 1,013.4 436.1 208.6 (1,658.1 ) — Accrued liabilities 287.0 80.4 298.2 (264.2 ) 401.4 Total current liabilities 1,431.5 519.6 630.0 (1,922.3 ) 658.8 Long-term debt and capital lease obligations 599.5 — 5.6 — 605.1 Intercompany notes payable 88.5 1,172.0 306.8 (1,567.3 ) — Other liabilities 9.1 75.6 189.3 (30.5 ) 243.5 Shareholders' equity (deficit) (119.4 ) 1,118.4 1,427.5 (2,545.9 ) (119.4 ) Total liabilities and shareholders' equity $ 2,009.2 $ 2,885.6 $ 2,559.2 $ (6,066.0 ) $ 1,388.0 Condensed Consolidating Balance Sheet December 31, 2016 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 0.5 $ 92.7 $ — $ 93.2 Accounts receivable, net — — 125.3 — 125.3 Inventories — — 240.4 — 240.4 Non-trade amounts receivable, net — 50.5 85.1 (70.7 ) 64.9 Intercompany receivables 11.9 935.8 270.3 (1,218.0 ) — Prepaid expenses and other current assets 1.1 5.4 100.9 (85.9 ) 21.5 Total current assets 13.0 992.2 914.7 (1,374.6 ) 545.3 Deferred income tax benefits, net 142.7 193.2 203.8 — 539.7 Property, plant and equipment, net — 50.4 209.4 — 259.8 Long-term receivables, net — 0.1 13.1 — 13.2 Trademarks and tradenames, net — — 67.3 — 67.3 Goodwill — 2.9 129.7 — 132.6 Investment in subsidiaries 1,356.7 1,321.3 — (2,678.0 ) — Intercompany notes receivable 479.4 95.6 725.6 (1,300.6 ) — Other assets, net 1.2 1.2 57.8 (30.3 ) 29.9 Total assets $ 1,993.0 $ 2,656.9 $ 2,321.4 $ (5,383.5 ) $ 1,587.8 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 5.0 $ 112.7 $ — $ 117.7 Short-term borrowings and current portion of long-term debt and capital lease obligations 104.0 — 1.9 — 105.9 Intercompany payables 858.9 263.4 95.7 (1,218.0 ) — Accrued liabilities 130.9 102.8 246.9 (156.6 ) 324.0 Total current liabilities 1,093.8 371.2 457.2 (1,374.6 ) 547.6 Long-term debt and capital lease obligations 599.4 — 6.6 — 606.0 Intercompany notes payable 77.0 928.0 295.6 (1,300.6 ) — Other liabilities 10.0 56.8 184.9 (30.3 ) 221.4 Shareholders' equity 212.8 1,300.9 1,377.1 (2,678.0 ) 212.8 Total liabilities and shareholders' equity $ 1,993.0 $ 2,656.9 $ 2,321.4 $ (5,383.5 ) $ 1,587.8 Condensed Consolidating Statement of Cash Flows Year ended December 30, 2017 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash provided by (used in) operating activities $ (32.7 ) $ (40.1 ) $ 310.7 $ (20.9 ) $ 217.0 Investing Activities: Capital expenditures — (18.1 ) (54.2 ) — (72.3 ) Proceeds from disposal of property, plant and equipment — — 14.7 — 14.7 Net intercompany loans (7.5 ) (174.1 ) (226.4 ) 408.0 — Net cash provided by (used in) investing activities (7.5 ) (192.2 ) (265.9 ) 408.0 (57.6 ) Financing Activities: Dividend payments to shareholders (139.5 ) — — — (139.5 ) Dividend payments to parent — — (21.0 ) 21.0 — Proceeds from exercise of stock options 11.8 — — — 11.8 Repurchase of common stock (2.5 ) — — — (2.5 ) Repayment of long-term debt and capital lease obligations — — (2.0 ) — (2.0 ) Net change in short-term debt 15.8 — (0.2 ) — 15.6 Net intercompany borrowings 154.6 231.9 21.6 (408.1 ) — Net cash provided by (used in) financing activities 40.2 231.9 (1.6 ) (387.1 ) (116.6 ) Effect of exchange rate changes on cash and cash equivalents — — 8.1 — 8.1 Net change in cash and cash equivalents — (0.4 ) 51.3 — 50.9 Cash and cash equivalents at beginning of year — 0.5 92.7 — 93.2 Cash and cash equivalents at end of period $ — $ 0.1 $ 144.0 $ — $ 144.1 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2016 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash provided by (used in) operating activities $ (29.9 ) $ (0.8 ) $ 275.2 $ (5.9 ) $ 238.6 Investing Activities: Capital expenditures — (16.0 ) (45.6 ) — (61.6 ) Proceeds from disposal of property, plant and equipment — — 35.9 — 35.9 Net intercompany loans (18.9 ) (186.4 ) (194.5 ) 399.8 — Net cash provided by (used in) investing activities (18.9 ) (202.4 ) (204.2 ) 399.8 (25.7 ) Financing Activities: Dividend payments to shareholders (138.8 ) — — — (138.8 ) Dividend payments to parent — — (21.2 ) 21.2 — Net proceeds from issuance of senior notes (0.2 ) — 0.2 — — Proceeds from exercise of stock options 0.8 — — — 0.8 Repurchase of common stock (1.7 ) — — — (1.7 ) Repayment of long-term debt and capital lease obligations — — (2.2 ) — (2.2 ) Net change in short-term debt 17.5 (1.2 ) (68.3 ) — (52.0 ) Excess tax benefits from share-based payment arrangements 0.6 — — — 0.6 Net intercompany borrowings 170.6 204.9 39.6 (415.1 ) — Net cash provided by (used in) financing activities 48.8 203.7 (51.9 ) (393.9 ) (193.3 ) Effect of exchange rate changes on cash and cash equivalents — — (6.2 ) — (6.2 ) Net change in cash and cash equivalents — 0.5 12.9 — 13.4 Cash and cash equivalents at beginning of year — — 79.8 — 79.8 Cash and cash equivalents at end of period $ — $ 0.5 $ 92.7 $ — $ 93.2 Condensed Consolidating Statement of Cash Flows Year ended December 26, 2015 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash provided by (used in) operating activities $ 438.9 $ 230.6 $ 66.4 $ (510.2 ) $ 225.7 Investing Activities: Capital expenditures — (14.7 ) (46.4 ) — (61.1 ) Proceeds from disposal of property, plant and equipment — — 18.0 — 18.0 Net intercompany loans (335.7 ) 296.3 492.0 (452.6 ) — Return of capital — 105.5 — (105.5 ) — Net cash provided by (used in) investing activities (335.7 ) 387.1 463.6 (558.1 ) (43.1 ) Financing Activities: Dividend payments to shareholders (138.0 ) — — — (138.0 ) Dividend payments to parent — (400.0 ) (103.1 ) 503.1 — Net proceeds from issuance of senior notes 0.1 — (0.1 ) — — Proceeds from exercise of stock options 16.1 — — — 16.1 Repurchase of common stock (1.5 ) — — — (1.5 ) Repayment of long-term debt and capital lease obligations — — (2.6 ) — (2.6 ) Net change in short-term debt (9.5 ) (2.3 ) (24.6 ) — (36.4 ) Debt issuance costs (0.7 ) — — — (0.7 ) Excess tax benefits from share-based payment arrangements 6.0 — — — 6.0 Net intercompany borrowings 24.3 (215.3 ) (268.8 ) 459.8 — Return of capital to parent — — (105.5 ) 105.5 — Net cash provided by (used in) financing activities (103.2 ) (617.6 ) (504.7 ) 1,068.4 (157.1 ) Effect of exchange rate changes on cash and cash equivalents — (0.1 ) (22.5 ) (0.1 ) (22.7 ) Net change in cash and cash equivalents — — 2.8 — 2.8 Cash and cash equivalents at beginning of year — — 77.0 — 77.0 Cash and cash equivalents at end of period $ — $ — $ 79.8 $ — $ 79.8 |
Quarterly Financial Summary
Quarterly Financial Summary | 12 Months Ended |
Dec. 30, 2017 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Summary | Quarterly Financial Summary (Unaudited) Following is a summary of the unaudited interim results of operations for each quarter in the years ended December 30, 2017 and December 31, 2016 . (In millions, except per share amounts) First quarter Second quarter Third quarter Fourth quarter Year ended December 30, 2017 Net sales $ 554.8 $ 572.9 $ 539.5 $ 588.6 Gross margin 377.1 390.3 356.8 387.0 Net income (loss) 47.4 (17.7 ) 31.4 (326.5 ) Basic earnings (loss) per share 0.94 (0.35 ) 0.62 (6.41 ) Diluted earnings (loss) per share 0.93 (0.35 ) 0.61 (6.41 ) Dividends declared per share 0.68 0.68 0.68 0.68 Composite stock price range: High 63.00 74.36 71.23 65.44 Low 53.17 61.44 56.45 56.30 Close 62.72 70.23 61.82 62.70 Year ended December 31, 2016 Net sales $ 525.7 $ 564.7 $ 521.8 $ 600.9 Gross margin 359.7 380.8 353.4 404.2 Net income 43.4 52.4 48.8 79.0 Basic earnings per share 0.86 1.04 0.97 1.56 Diluted earnings per share 0.86 1.03 0.96 1.55 Dividends declared per share 0.68 0.68 0.68 0.68 Composite stock price range: High 58.30 62.40 66.90 66.67 Low 42.60 52.64 50.43 52.32 Close 55.39 53.15 64.31 52.62 Certain items impacting quarterly comparability for 2017 and 2016 were as follows: • Pretax re-engineering and impairment costs of $2.3 million , $32.6 million , $9.0 million and $22.1 million were recorded in the first through fourth quarters of 2017 , respectively. Pretax re-engineering and impairment costs of $1.1 million , $1.9 million , $2.4 million and $2.2 million were recorded in the first through fourth quarters of 2016 , respectively. Refer to Note 2 to the Consolidated Financial Statements for further discussion. • In the second quarter of 2017, the Company recorded a $62.9 million impairment charge related to goodwill of Fuller Mexico. • In Venezuela, in connection with re-measuring net monetary assets and recording in cost of sales inventory at the exchange rate when it was purchased or manufactured compared to when it was sold, as well as in the fourth quarter, a write-down of inventory due to its lower fair market value from the most recent devaluation, the Company recorded charges of $0.2 million , $1.5 million , $2.4 million and $3.3 million in the first, second, third and fourth quarters of 2017 , respectively, and charges of $0.2 million , $3.6 million , $0.3 million and $0.2 million in the same quarters of 2016 . See Note 1 of the Consolidated Financial Statements. • Pretax gains on disposal of assets, primarily related to transactions related to land near the Company's Orlando headquarters, were $0.1 million , $3.1 million , $4.1 million and $1.8 million in the first through fourth quarters of 2017 , respectively. They were $0.1 million , $0.8 million , $24.2 million and $2.2 million in the same quarters of 2016 , respectively. • The Company's fiscal year ends on the last Saturday of December, and as a result, the fourth quarter of 2016 contained 14 weeks, as compared with 13 weeks in the fourth quarter of 2017. The Company also ceased operations at Beauticontrol in the third quarter of 2017. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 30, 2017 | |
Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | SCHEDULE II-VALUATION AND QUALIFYING ACCOUNTS FOR THE THREE YEARS ENDED DECEMBER 30, 2017 (In millions) Col. A Col. B Col. C Col. D Col. E Additions Balance at Beginning of Period Charged to Costs and Expenses Charged to Other Accounts Deductions Balance at End of Period Allowance for doubtful accounts, current and long term: Year ended December 30, 2017 $ 44.9 $ 16.8 $ — $ (9.0 ) /F1 $ 55.9 3.2 /F2 Year ended December 31, 2016 45.2 11.1 — (9.0 ) /F1 44.9 (2.4 ) /F2 Year ended December 26, 2015 48.4 12.8 — (8.0 ) /F1 45.2 (8.0 ) /F2 Valuation allowance for deferred tax assets: Year ended December 30, 2017 $ 24.8 $ 209.8 $ — $ 0.9 /F2 $ 235.5 Year ended December 31, 2016 23.1 — — 1.8 /F2 24.8 (0.1 ) /F3 Year ended December 26, 2015 40.2 — — (7.1 ) /F2 23.1 (10.0 ) /F3 ____________________ F1 Represents write-offs, less recoveries. F2 Foreign currency translation adjustment. F3 Represents write-offs of net operating losses for which a valuation allowance was already recorded. See Note 12 to the consolidated financial statements for additional information. |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 30, 2017 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation. The condensed consolidated financial statements include the accounts of Tupperware Brands Corporation and its subsidiaries, collectively “Tupperware” or the “Company”, with all intercompany transactions and balances having been eliminated. The Company’s fiscal year ends on the last Saturday of December and included 53 weeks during 2016 and 52 weeks during 2017 and 2015 . |
Use of Estimates | Use of Estimates. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from these estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents. The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. As of December 30, 2017 and December 31, 2016 , $10.2 million and $9.6 million , respectively, of the cash and cash equivalents included on the Consolidated Balance Sheets were held in the form of time deposits, certificates of deposit or similar instruments. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts. The Company maintains current receivable amounts with most of its independent distributors and sales force in certain markets. It also maintains long-term receivable amounts with certain of these customers. The Company regularly monitors and assesses its risk of not collecting amounts owed to it by customers. This evaluation is based upon an analysis of amounts current and past due, along with relevant history and facts particular to the customer. It is also based upon estimates of distributor business prospects, particularly related to the evaluation of the recoverability of long-term amounts due. This evaluation is performed by business unit and account by account, based upon historical experience, market penetration levels and similar factors. It also considers collateral of the customer that could be recovered to satisfy debts. The Company records its allowance for doubtful accounts based on the results of this analysis. The analysis requires the Company to make significant estimates and as such, changes in facts and circumstances could result in material changes in the allowance for doubtful accounts. The Company considers as past due any receivable balance not collected within its contractual terms. |
Inventories | Inventories . Inventories are valued at the lower of cost or net realizable value on a first-in, first-out basis. Inventory cost includes cost of raw material, labor and overhead. The Company writes down its inventory for obsolescence or unmarketability in an amount equal to the difference between the cost of the inventory and estimated market value based upon expected future demand and pricing. The demand and pricing is estimated based upon the historical success of product lines as well as the projected success of promotional programs, new product introductions and the availability of new markets or distribution channels. The Company prepares projections of demand and pricing on an item by item basis for all of its products. If inventory on hand exceeds projected demand or the expected market value is less than the carrying value, the excess is written down to its net realizable value. However, if actual demand or the estimate of market value decreases, additional write-downs would be required. |
Internal Use Software Development Costs | Internal Use Software Development Costs. The Company capitalizes internal use software development costs as they are incurred and amortizes such costs over their estimated useful lives of three to five years, beginning when the software is placed in service. Net unamortized costs of such amounts included in property, plant and equipment were $24.4 million and $21.3 million at December 30, 2017 and December 31, 2016 , respectively. Amortization cost related to internal use software development costs totaled $5.4 million , $6.9 million and $5.7 million in 2017 , 2016 and 2015 , respectively. |
Property, Plant and Equipment | Property, Plant and Equipment. Property, plant and equipment is initially stated at cost. Depreciation is recorded on a straight-line basis over the following estimated useful lives of the assets: Years Building and improvements 10 - 40 Molds 4 - 10 Production equipment 10 - 20 Distribution equipment 5 - 10 Computer/telecom equipment 3 - 5 Capitalized software 3 - 5 Depreciation expense was $45.6 million , $43.0 million and $46.5 million in 2017 , 2016 and 2015 , respectively. The Company considers the need for an impairment review when events occur that indicate that the book value of a long-lived asset may exceed its recoverable value. Upon the sale or retirement of property, plant and equipment, a gain or loss, if any, is recognized equal to the difference between sales price and net book value. Expenditures for maintenance and repairs are charged to cost of products sold or delivery, sales and administrative (DS&A) expense, depending on the asset to which the expenditure relates. |
Goodwill | Goodwill. The Company's recorded goodwill relates primarily to the December 2005 acquisition of the direct-to-consumer businesses of Sara Lee Corporation. The Company does not amortize its goodwill. Instead, the Company performs an annual assessment during the third quarter of each year to evaluate the assets in each of its reporting units for impairment, or more frequently if events or changes in circumstances indicate that a triggering event for an impairment evaluation has occurred. The Company has early adopted the Financial Accounting Standards Board's ("FASB") Accounting Standards Update 2017-04: Simplifying the Test for Goodwill Impairment . The annual process for evaluating goodwill begins with an assessment for each entity of qualitative factors to determine whether a quantitative evaluation of the unit's fair value compared with its carrying value is appropriate for determining potential goodwill impairment. The qualitative factors evaluated by the Company include: macro-economic conditions of the local business environment, overall financial performance, sensitivity analysis from the most recent quantitative fair value evaluation ("fair value test"), as prescribed under Accounting Standards Codification ("ASC") 350, Intangibles - Goodwill and Other , and other entity specific factors as deemed appropriate. When the Company determines a fair value test is appropriate, it estimates the fair value of the reporting unit and compares the result with its carrying amount, including goodwill, after any long-lived asset impairment charges. If the carrying amount of the reporting unit exceeds its fair value, an impairment charge is recorded equal to the amount by which the carrying value exceeds the fair value, up to the amount of goodwill associated with the reporting unit. Any fair value test necessary is done by using either the income approach or a combination of the income and market approaches, with generally a greater weighting on the income approach ( 75 percent ). The income approach, or discounted cash flow approach, requires significant assumptions to estimate the fair value of each reporting unit. These include assumptions regarding future operations and the ability to generate cash flows, including projections of revenue, costs, utilization of assets and capital requirements, along with an appropriate discount rate to be used. The most sensitive estimate in the fair value test is the projection of operating cash flows, as these provide the basis for the estimate of fair market value. The Company’s cash flow model uses a forecast period of 10 years and a terminal value. The growth rates are determined by reviewing historical results of the operating unit and the historical results of the Company’s similar business units, along with the expected contribution from growth strategies being implemented. The market approach relies on an analysis of publicly-traded companies similar to Tupperware and deriving a range of revenue and profit multiples. The publicly-traded companies used in the market approach are selected based on their having similar product lines of consumer goods, beauty products and/or companies using a direct-to-consumer distribution method. The resulting multiples are then applied to the reporting unit to determine fair value. Goodwill is further discussed in Note 6 to the Consolidated Financial Statements. |
Intangible Assets | Intangible Assets . Intangible assets are recorded at their fair market values at the date of acquisition and definite-lived intangibles are amortized over their estimated useful lives . The intangible assets included in the Company's Consolidated Financial Statements at December 30, 2017 and December 31, 2016 were related to the acquisition of the Sara Lee direct-to-consumer businesses in December 2005. The weighted average estimated useful lives of the Company's intangible assets were as follows: Weighted Average Estimated Useful Life Indefinite-lived tradenames Indefinite Definite-lived tradename 10 years The Company's indefinite-lived tradename intangible assets are evaluated for impairment annually similarly to goodwill beginning with a qualitative assessment. The annual process for assessing the carrying value of indefinite-lived tradename intangible assets begins with a qualitative assessment that is similar to the assessment performed for goodwill. When the Company determines it is appropriate, the quantitative impairment evaluation for the Company's indefinite-lived tradenames involves comparing the estimated fair value of the assets to the carrying amounts, to determine if fair value is lower and a write-down required. If the carrying amount of a tradename exceeds its estimated fair value, an impairment charge is recognized in an amount equal to the excess. The fair value of these assets is estimated using the relief from royalty method, which is a form of the income approach. Under this method, the value of the asset is calculated by selecting a royalty rate, which estimates the amount a company would be willing to pay for the use of the asset. This rate is applied to the reporting unit's projected revenue, tax affected and discounted to present value. The Company's definite-lived intangible asset relates to the Fuller tradename and is being amortized since August 2013 based on its estimated useful life of 10 years. The Fuller tradename's useful life was estimated, at that time, based on the period that the tradename was expected to contribute directly to the Company's revenue. Definite-lived intangible assets are reviewed for impairment in a similar manner as property, plant and equipment as discussed above. Amortization related to definite-lived intangible assets is included in DS&A on the Consolidated Statements of Income. Intangible assets are further discussed in Note 6 to the Consolidated Financial Statements. |
Promotional and Other Accruals | Promotional and Other Accruals . The Company frequently makes promotional offers to members of its independent sales force to encourage them to fulfill specific goals or targets for sales levels, party attendance, addition of new sales force members or other business-critical functions. The awards offered are in the form of product awards, special prizes or trips. Programs are generally designed to recognize sales force members for achieving a primary objective. An example is holding a certain number of product demonstrations. In this situation, the Company offers a prize to sales force members that achieve the targeted number of product demonstrations over a specified period. The period runs from a couple of weeks to several months. The prizes are generally graded, in that meeting one level may result in receiving a piece of jewelry, with higher achievement resulting in more valuable prizes such as a television set or a trip. Similar programs are designed to reward current sales force members who reach certain goals by promoting them to a higher level in the organization where their earning opportunity would be expanded, and they would take on additional responsibilities for adding new sales force members and providing training and motivation to new and existing sales force members. Other business drivers, such as scheduling product demonstrations, increasing the number of sales force members, holding product demonstrations or increasing end consumer attendance at product demonstrations, may also be the focus of a program. The Company also offers commissions for achieving targeted sales levels. These types of awards are generally based upon the sales achievement of at least a mid-level member of the sales force, and her or his down-line members. The down-line consists of those sales force members that have been directly added to the sales force by a given sales force member, as well as those added by her or his down-line member. In this manner, sales force members can build an extensive organization over time if they are committed to adding and developing their units. In addition to the commission, the positive performance of a unit may also entitle its leader to the use of a company-provided vehicle and in some cases, the permanent awarding of a vehicle. Similar to the prize programs noted earlier, these programs generally offer varying levels of vehicles that are dependent upon performance. The Company accrues for the costs of these awards during the period over which the sales force qualifies for the award and reports these costs primarily as a component of DS&A expense. These accruals require estimates as to the cost of the awards, based upon estimates of achievement and actual cost to be incurred. During the qualification period, actual results are monitored and changes to the original estimates are made when known. Promotional and other sales force compensation expenses included in DS&A expense totaled $356.2 million , $376.2 million and $378.7 million in 2017 , 2016 and 2015 , respectively. Like promotional accruals, other accruals are recorded over the time period that a liability is incurred and is both probable and reasonably estimable. Adjustments to amounts previously accrued are made when changes occur in the facts and circumstances that generated the accrual. |
Revenue Recognition | Revenue Recognition . Revenue is recognized when the price is fixed, the title and risks and rewards of ownership have passed to the customer who, in most cases, is one of the Company’s independent distributors or a member of its independent sales force, and when collection is reasonably assured. Depending on the contractual arrangements for each business, revenue is recognized upon either delivery or shipment, which is when title and risk and rewards of ownership have passed to the customer. When revenue is recorded, estimates of returns are made and recorded as a reduction of revenue. Discounts earned based on promotional programs in place, volume of purchases or other factors are also estimated at the time of revenue recognition and recorded as a reduction of that revenue. |
Shipping and Handling Costs | Shipping and Handling Costs . The cost of products sold line item includes costs related to the purchase and manufacture of goods sold by the Company. Among these costs are inbound freight charges, duties, purchasing and receiving costs, inspection costs, depreciation expense, internal transfer costs and warehousing costs of raw material, work in process and packing materials. The warehousing and distribution costs of finished goods are included in DS&A expense. Distribution costs are comprised of outbound freight and associated labor costs. Fees billed to customers associated with the distribution of products are classified as revenue. The distribution costs included in DS&A expense in 2017 , 2016 and 2015 were $142.2 million , $137.0 million and $139.3 million , respectively. |
Advertising and Research and Development Costs | Advertising and Research and Development Costs. Advertising and research and development costs are charged to expense as incurred. Advertising expense totaled $9.3 million , $8.3 million and $13.4 million in 2017 , 2016 and 2015 , respectively. Research and development costs totaled $16.7 million , $18.3 million and $18.1 million , in 2017 , 2016 and 2015 , respectively. Research and development expenses primarily include salaries, contractor costs and facility costs. Both advertising and research and development costs are included in DS&A expense. |
Accounting for Stock-Based Compensation | Accounting for Stock-Based Compensation . The Company has several stock-based employee and director compensation plans, which are described more fully in Note 14 to the Consolidated Financial Statements. Compensation cost for share-based awards is recorded on a straight line basis over the required service period, based on the fair value of the award. The fair value of the stock option grants is estimated using the Black-Scholes option-pricing model, which requires assumptions, including dividend yield, risk-free interest rate, the estimated length of time employees will retain their stock options before exercising them (expected term) and the estimated volatility of the Company's common stock price over the expected term. These assumptions are generally based on historical averages of the Company. Compensation expense associated with restricted stock, restricted stock units and performance-vested share awards is equal to the market value of the Company's common stock on the date of grant and is recorded pro rata over the required service period. The fair value of market-vested awards is based on a Monte-Carlo simulation that estimates the fair value based on the Company's share price activity between the beginning of the year and the grant date relative to a defined comparative group of companies, expected term of the award, risk-free interest rate, expected dividends, and the expected volatility of the stock of the Company and those in the comparative group. The grant date fair value per share of market-vested awards already reflects the probability of achieving the market condition, and is therefore used to record expense straight line over the performance period regardless of actual achievement. For those awards with performance vesting criteria, the expense is recorded straight-line over the required service period based on an assessment of achieving the criteria. Through 2016, the Company reported the excess tax benefits from share-based payment arrangements as an inflow from financing activities. For 2016 and 2015 , the Company generated $0.6 million and $6.0 million of excess tax benefits, respectively. Effective as of the beginning of 2017, the tax effects from share-based payments is recognized as part of the Company's tax provision and is included in net income within operating activities on the statement of cash flows. |
Income Taxes | Income Taxes . Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of assets and liabilities and their respective tax bases. Deferred tax assets also are recognized for credit carryforwards. Deferred tax assets and liabilities are measured using the enacted rates applicable to taxable income in the years in which the temporary differences are expected to reverse and the credits are expected to be used. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. An assessment is made as to whether or not a valuation allowance is required to offset deferred tax assets. This assessment requires estimates as to future operating results, as well as an evaluation of the effectiveness of the Company's tax planning strategies. These estimates are made on an ongoing basis based upon the Company's business plans and growth strategies in each market and consequently, future material changes in the valuation allowance are possible. It also requires estimates associated with enactment effects, as of December 22, 2017, and ongoing activity under the the U.S. Tax Cuts and Jobs Act of 2017 (the "Tax Act”). ASC 740 requires a company to record the effect of tax law change in the period of enactment. However, shortly after the enactment of the Tax Act, the SEC staff issued SEC Staff Accounting Bulletin 118 (“SAB 118”), which allows a company to record a provisional amount when it does not have the necessary information available, prepared, or analyzed in reasonable detail to complete its accounting for the change in tax law. The measurement period ends when the company has obtained, prepared and analyzed the information necessary to finalize its accounting, but cannot extend beyond one year. To the extent that the Company was able to make a reasonable estimate of the effects of elements of the Tax Act for which the analysis was not complete, it recorded those amounts. In instance where the Company was not able to make reasonable estimates of the impact of certain elements, as provided for by SAB 118, it did not record an amount related to those elements and accounted for them on the basis of tax laws in effect before the Tax Act. The Company accounts for uncertain tax positions in accordance with ASC 740, Income Taxes. This guidance prescribes a minimum probability threshold that a tax position must meet before a financial statement benefit is recognized. The minimum threshold is defined as a tax position that is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit to be recognized is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. Interest and penalties related to tax contingency or settlement items are recorded as a component of the provision for income taxes in the Company's Consolidated Statements of Income. The Company records accruals for tax contingencies as a component of accrued liabilities or other long-term liabilities on its balance sheet. |
Net Income Per Common Share | Net Income Per Common Share . Basic per share information is calculated by dividing net income by the weighted average number of shares outstanding. Diluted per share information is calculated by also considering the impact of potential common stock on both net income and the weighted average number of shares outstanding. The Company's potential common stock consists of employee and director stock options, restricted stock, restricted stock units and performance share units. Performance share awards are included in the diluted per share calculation when the performance criteria are achieved. The Company's potential common stock is excluded from the basic per share calculation, or when the Company has a net loss for the period, and is included in the diluted per share calculation when doing so would not be anti-dilutive. The elements of the earnings per share computations were as follows: (In millions, except per share amounts) 2017 2016 2015 Net income (loss) $ (265.4 ) $ 223.6 $ 185.8 Weighted average shares of common stock outstanding 50.8 50.5 49.9 Common equivalent shares: Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units — 0.2 0.5 Weighted average common and common equivalent shares outstanding 50.8 50.7 50.4 Basic earnings per share $ (5.22 ) $ 4.43 $ 3.72 Diluted earnings per share $ (5.22 ) $ 4.41 $ 3.69 Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive 3.1 1.4 0.9 |
Derivative Financial Instruments | Derivative Financial Instruments. The Company recognizes in its Consolidated Balance Sheets the asset or liability associated with all derivative instruments and measures those assets and liabilities at fair value. If certain conditions are met, a derivative may be specifically designated as a hedge. The accounting for changes in the value of a derivative accounted for as a hedge depends on the intended use of the derivative and the resulting designation of the hedge exposure. Depending on how the hedge is used and the designation, the gain or loss due to changes in value is reported either in earnings, or initially in other comprehensive income. Gains or losses that are reported in other comprehensive income are eventually recognized in earnings, with the timing of this recognition governed by ASC 815, Derivatives and Hedging . The Company uses derivative financial instruments, principally over-the-counter forward exchange contracts with major international financial institutions, to offset the effects of exchange rate changes on net investments in certain foreign subsidiaries, certain forecasted purchases, certain intercompany transactions, and certain accounts payable and accounts receivable. The Company also uses euro denominated borrowings under its Credit Agreement to hedge a portion of its net investment in foreign subsidiaries. Gains and losses on instruments designated as net equity hedges of net investments in a foreign subsidiary or on intercompany transactions that are permanent in nature are accrued as exchange rates change, and are recognized in shareholders' equity as a component of foreign currency translation adjustments within accumulated other comprehensive loss. Gains and losses on contracts designated as fair value hedges of accounts receivable, accounts payable and non-permanent intercompany transactions are accrued as exchange rates change and are recognized in income. Gains and losses on contracts designated as cash flow hedges of identifiable foreign currency forecasted purchases are deferred and initially included in other comprehensive income. In assessing hedge effectiveness, the Company excludes forward points, which are included as a component of interest expense. See Note 8 to the Consolidated Financial Statements. |
Fair Value Measurements | Fair Value Measurements. The Company applies the applicable accounting guidance for fair value measurements. This guidance provides the definition of fair value, describes the method used to appropriately measure fair value in accordance with generally accepted accounting principles and outlines fair value disclosure requirements. The fair value hierarchy established under this guidance prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows: Level 1 - Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 - Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted prices, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. Level 3 - Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management's best estimate of fair value from the perspective of a market participant. The Company does not have any recurring Level 3 fair value measurements. |
Foreign Currency Translation | Foreign Currency Translation. Results of operations of foreign subsidiaries are translated into U.S. dollars using average exchange rates during the year. The assets and liabilities of those subsidiaries, other than those of operations in highly inflationary countries, are translated into U.S. dollars using exchange rates at the balance sheet date. The related translation adjustments are included in accumulated other comprehensive loss. Foreign currency transaction gains and losses, as well as re-measurement of financial statements of subsidiaries in highly inflationary countries, are included in income. Inflation in Venezuela has been at a high level the past several years. The Company uses a blended index of the Consumer Price Index and National Consumer Price Index for determining highly inflationary status in Venezuela. This blended index reached cumulative three-year inflation in excess of 100 percent at November 30, 2009 and as such, the Company transitioned to highly inflationary status at the beginning of its 2010 fiscal year. Gains and losses resulting from the translation of the financial statements of subsidiaries operating in highly inflationary economies are recorded in earnings. For Venezuela, through fiscal 2017, the bolivar to U.S. dollar exchange rates used in translating the Company’s operating activity was based on an official rate recognized by the Venezuelan government. As of the end of December 2017, the Company evaluated the significant inflationary environment in Venezuela, as well as the actual exchange rates used to conduct business, particularly related to the procurement of resins to manufacture product. The Company concluded it would not be appropriate to use the official rate to value sales and profit beginning in 2018, and will use a parallel rate that is currently approximately 99 percent lower than the official rate used during 2017. As a result, as of the end of 2017, the Company remeasured its balance sheet at the parallel rate available at that time, and evaluated the Venezuelan fixed assets for impairment. In 2017 , 2016 and 2015 , the net expense in connection with re-measuring net monetary assets and recording in cost of sales inventory at the exchange rate when it was purchased or manufactured compared with when it was sold, and in 2017 the write-down of inventory, was $7.4 million , $4.3 million and $14.9 million , respectively. The amounts related to remeasurement are included in other expense. In 2017, there was also a fixed asset impairment charge of $2.3 million recorded in re-engineering and impairments caption. As of the end of 2017 , the net monetary assets in Venezuela, which were of a nature that would generate income or expense associated with future exchange rate fluctuations versus the U.S. dollar were not material. In addition, there was $25.5 million in cumulative foreign currency translation losses related to Venezuela included in equity within the Consolidated Balance Sheets. |
Product Warranty | Product Warranty. Tupperware® brand products are guaranteed against chipping, cracking, breaking or peeling under normal non-commercial use of the product with certain limitations. The cost of replacing defective products is not material. |
New Accounting Pronouncements | New Accounting Pronouncements . In May 2014, the FASB issued an amendment to existing guidance regarding revenue from contracts with customers. The amendment outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. Subsequently, the FASB has issued several other amendments clarifying specific topics within the scope of the new guidance regarding contracts with customers. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company has surveyed revenue recognition policies and sales incentives programs across each of its global operating segments, and has evaluated the impact of the adoption of this amendment on its Consolidated Financial Statements. While there are expected to be changes in policy in certain units, the Company does not believe the impact to the Consolidated Financial Statements, including adjustments to the 2018 beginning retained earnings, will be significant, as the majority of the Company's transactions have not been accounted for under industry-specific guidance that will be superseded by the new guidance, and generally only consist of a single performance obligation to transfer non-customized, promised goods. The Company has used the modified retrospective method of adoption beginning January 2018. In February 2016, the FASB issued an amendment to existing guidance on lease accounting that requires the assets and liabilities arising from operating leases be presented in the balance sheet. This guidance is effective for fiscal years beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the specific impact of the adoption of this amendment on its Consolidated Financial Statements, though it does expect an increase in both assets and liabilities upon adoption due to recognition of operating lease assets and related liabilities. In August 2016, the FASB issued an amendment to existing guidance on presentation and classification of certain cash receipts and cash payments in the Statement of Cash Flows. This guidance is intended to reduce diversity in the classification of transactions related to debt prepayment or debt extinguishment costs, zero-coupon debt instruments settlement, contingent consideration payments made after a business combination, insurance claims settlement and corporate-owned life insurance settlement, distributions from equity method investments and beneficial interests in securitization transactions. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company does not expect adoption of this amendment to have an impact on its Consolidated Financial Statements. In October 2016, the FASB issued an amendment to existing guidance on income tax consequences of intra-entity transfers of assets other than inventory. Under the amendment, the income tax consequences of an intra-entity transfer of an asset other than inventory will be recognized when the transfer occurs. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of this amendment on its Consolidated Financial Statements. In November 2016, the FASB issued an amendment to existing guidance on classification and presentation of changes in restricted cash on the statement of cash flows. Under the amendment, the restricted cash and restricted cash equivalents will be included with cash and cash equivalents when reconciling the total cash balance for the period on the statement of cash flows. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company does not expect the adoption of this amendment to have a significant impact on the Company’s Consolidated Financial Statements. In March 2017, the FASB issued an amendment to existing guidance on presentation of net periodic pension and post-retirement benefit costs. Under the amendment, the service cost component will be presented in the same income statement line item as other compensation costs arising from services rendered during the period. The other components of the net periodic benefit cost will be presented separately from the service cost and outside operating income subtotal. Only the service cost will be eligible for capitalization in assets. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company does not expect a significant impact from the adoption of this amendment on its Consolidated Financial Statements. In May 2017, the FASB issued an amendment to existing guidance on stock compensation to provide clarity and reduce diversity in modification accounting. Under the amendment, modification accounting is to be applied unless the fair value, vesting conditions and classification of the modified award are the same as that of the original award immediately before the modification. This guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company does not expect an impact from the adoption of this amendment on its Consolidated Financial Statements. In August 2017, the FASB issued an amendment to existing guidance on hedge accounting. Under the amendment, the impact of both the effective and ineffective components of a hedging relationship is required to be recorded in the same income statement line. After initial qualification, a qualitative assessment of effectiveness is permitted instead of a quantitative test for certain hedges. This guidance is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. The Company estimates that based on how it has operated historically between $10 million and $15 million in interest expense would have been reclassified into other line items of the Consolidated Statement of Income as a result of adoption of this amendment. |
Reclassifications | Reclassifications . Certain prior year amounts have been reclassified in the Consolidated Financial Statements to conform to current year presentation. |
Summary of Significant Accoun31
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Accounting Policies [Abstract] | |
Property, Plant and Equipment | Depreciation is recorded on a straight-line basis over the following estimated useful lives of the assets: Years Building and improvements 10 - 40 Molds 4 - 10 Production equipment 10 - 20 Distribution equipment 5 - 10 Computer/telecom equipment 3 - 5 Capitalized software 3 - 5 |
Schedule of Weighted Average Estimated Useful Lives of Intangible Assets | The weighted average estimated useful lives of the Company's intangible assets were as follows: Weighted Average Estimated Useful Life Indefinite-lived tradenames Indefinite Definite-lived tradename 10 years |
Schedule of Earnings Per Share | The elements of the earnings per share computations were as follows: (In millions, except per share amounts) 2017 2016 2015 Net income (loss) $ (265.4 ) $ 223.6 $ 185.8 Weighted average shares of common stock outstanding 50.8 50.5 49.9 Common equivalent shares: Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units — 0.2 0.5 Weighted average common and common equivalent shares outstanding 50.8 50.7 50.4 Basic earnings per share $ (5.22 ) $ 4.43 $ 3.72 Diluted earnings per share $ (5.22 ) $ 4.41 $ 3.69 Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive 3.1 1.4 0.9 |
Re-engineering Costs (Tables)
Re-engineering Costs (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Restructuring Charges [Abstract] | |
Re-engineering Charges | Pretax costs incurred in the re-engineering and impairment charges caption by category were as follows: (In millions) 2017 2016 2015 Severance $ 48.1 $ 5.4 $ 5.0 Other 15.6 2.2 1.8 Total re-engineering charges $ 63.7 $ 7.6 $ 6.8 The re-engineering charges by segment for the year ended December 30, 2017 were as follows: (In millions) 2017 Europe $ 47.9 Asia Pacific 4.8 North America 11.0 Total re-engineering charges $ 63.7 Pretax costs incurred in connection with the re-engineering program included above and other amounts allocated to cost of products sold were as follows: (In millions) 2017 2016 2015 Re-engineering charges $ 63.7 $ 7.6 $ 6.8 Cost of products sold 3.6 — — Total pretax re-engineering costs $ 67.3 $ 7.6 $ 6.8 |
Schedule of Restructuring Reserve by Type of Cost | The balances included in accrued liabilities related to re-engineering and impairment charges as of December 30, 2017 , December 31, 2016 , and December 26, 2015 were as follows: (In millions) 2017 2016 2015 Beginning balance $ 1.6 $ 1.7 $ 2.4 Provision 63.7 7.6 6.8 Non-cash charges (0.4 ) (0.3 ) (0.2 ) Cash expenditures: Severance (12.7 ) (5.2 ) (5.8 ) Other (6.8 ) (2.2 ) (1.5 ) Ending balance $ 45.4 $ 1.6 $ 1.7 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Inventory, Net [Abstract] | |
Components of Inventories | Inventories (In millions) 2017 2016 Finished goods $ 203.5 $ 189.4 Work in process 26.0 23.0 Raw materials and supplies 32.7 28.0 Total inventories $ 262.2 $ 240.4 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, Plant and Equipment (In millions) 2017 2016 Land $ 43.4 $ 36.7 Buildings and improvements 204.8 194.1 Molds 678.6 624.7 Production equipment 298.8 264.3 Distribution equipment 40.5 37.4 Computer/telecom equipment 47.5 45.2 Furniture and fixtures 20.7 15.8 Capitalized software 81.2 69.5 Construction in progress 25.1 29.3 Total property, plant and equipment 1,440.6 1,317.0 Less accumulated depreciation (1,162.4 ) (1,057.2 ) Property, plant and equipment, net $ 278.2 $ 259.8 |
Accrued and Other Liabilities (
Accrued and Other Liabilities (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Payables and Accruals [Abstract] | |
Accrued and Other Liabilities | (In millions) 2017 2016 Income taxes payable $ 49.7 $ 23.1 Compensation and employee benefits 69.0 73.0 Advertising and promotion 55.9 57.6 Taxes other than income taxes 30.0 24.5 Pensions 8.3 2.7 Post-retirement benefits 1.5 1.7 Dividends payable 34.7 34.4 Foreign currency contracts 29.6 31.7 Re-engineering 45.4 1.6 Other 77.3 73.7 Total accrued liabilities $ 401.4 $ 324.0 |
Schedule of Other Liabilities | (In millions) 2017 2016 Post-retirement benefits $ 13.7 $ 15.4 Pensions 120.6 123.0 Income taxes 21.2 22.5 Deferred income tax 41.0 17.6 Other 47.0 42.9 Total other liabilities $ 243.5 $ 221.4 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table reflects gross goodwill and accumulated impairments allocated to each reporting segment at December 30, 2017 , December 31, 2016 and December 26, 2015 : (In millions) Europe Asia Pacific North America South America Total Gross goodwill balance at December 26, 2015 $ 28.9 $ 74.7 $ 143.8 $ 3.6 $ 251.0 Effect of changes in exchange rates 0.4 1.2 (15.4 ) 0.1 (13.7 ) Gross goodwill balance at December 31, 2016 29.3 75.9 128.4 3.7 237.3 Effect of changes in exchange rates 0.6 2.2 6.5 (0.1 ) 9.2 Gross goodwill balance at December 30, 2017 $ 29.9 $ 78.1 $ 134.9 $ 3.6 $ 246.5 (In millions) Europe Asia Pacific North America South America Total Cumulative impairments as of December 26, 2015 $ 24.5 $ 41.3 $ 38.9 $ — $ 104.7 Goodwill impairment — — — — — Cumulative impairments as of December 31, 2016 24.5 41.3 38.9 — 104.7 Goodwill impairment — — 62.9 — 62.9 Cumulative impairments as of December 30, 2017 $ 24.5 $ 41.3 $ 101.8 $ — $ 167.6 |
Schedule of Intangible Assets | The gross carrying amount and accumulated amortization of the Company's intangible assets, other than goodwill, were as follows: December 30, 2017 (In millions) Gross Carrying Value Accumulated Amortization Net Indefinite-lived tradenames $ 21.1 $ — $ 21.1 Definite-lived tradename 73.1 31.7 41.4 Total intangible assets $ 94.2 $ 31.7 $ 62.5 December 31, 2016 (In millions) Gross Carrying Value Accumulated Amortization Net Indefinite-lived tradenames $ 20.6 $ — $ 20.6 Definite-lived tradename 70.0 23.3 46.7 Total intangible assets $ 90.6 $ 23.3 $ 67.3 |
Schedule of Identifiable Intangible Assets | A summary of the identifiable intangible asset account activity is as follows: Year Ended (In millions) December 30, December 31, Beginning balance $ 90.6 $ 101.8 Effect of changes in exchange rates 3.6 (11.2 ) Ending balance $ 94.2 $ 90.6 |
Financing Obligations (Tables)
Financing Obligations (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt and Capital Lease Obligations | Debt obligations consisted of the following: (In millions) 2017 2016 Fixed rate Senior Notes due 2021 $ 599.5 $ 599.4 Five year Revolving Credit Agreement 131.0 104.0 Belgium facility capital lease 7.5 8.4 Other 0.1 0.1 Total debt obligations 738.1 711.9 Less current portion (133.0 ) (105.9 ) Long-term debt and capital lease obligations $ 605.1 $ 606.0 |
Schedule of Short-term Debt | (Dollars in millions) 2017 2016 Total short-term borrowings at year-end $ 131.0 $ 104.0 Weighted average interest rate at year-end 1.9 % 1.5 % Average short-term borrowings during the year $ 322.3 $ 357.4 Weighted average interest rate for the year 2.3 % 1.8 % Maximum short-term borrowings during the year $ 389.2 $ 429.3 |
Contractual Maturities for Debt Obligations | Contractual maturities for debt obligations at December 30, 2017 are summarized by year as follows (in millions): Year ending: Amount December 29, 2018 $ 133.0 December 28, 2019 1.7 December 26, 2020 1.4 December 25, 2021 600.9 December 31, 2022 1.1 Total $ 738.1 |
Schedule of Capital Lease Obligations | Following is a summary of significant capital lease obligations at December 30, 2017 and December 31, 2016 : (In millions) December 30, December 31, Gross payments $ 8.3 $ 9.4 Less imputed interest 0.8 1.0 Total capital lease obligation 7.5 8.4 Less current maturity 1.9 1.8 Capital lease obligation - long-term portion $ 5.6 $ 6.6 |
Derivative Financial Instrume38
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |
Schedule of Derivative Positions and Impact on Financial Position | Fair values were determined based on third party quotations (Level 2 fair value measurement): Asset derivatives Liability derivatives Fair value Fair value Derivatives designated as hedging instruments ( in millions ) Balance sheet location 2017 2016 Balance sheet location 2017 2016 Foreign exchange contracts Non-trade amounts receivable $ 32.2 $ 41.1 Accrued liabilities $ 29.6 $ 31.7 |
Schedule of Derivative Positions and Impact on Results of Operations and Comprehensive Income | The following table summarizes the impact of the Company's fair value hedging positions on the results of operations for the years ended December 30, 2017 , December 31, 2016 and December 26, 2015 : Derivatives designated as fair value hedges (in millions) Location of gain or (loss) recognized in income on derivatives Amount of gain or (loss) recognized in income on derivatives Location of gain or (loss) recognized in income on related hedged items Amount of gain or (loss) recognized in income on related hedged items 2017 2016 2015 2017 2016 2015 Foreign exchange contracts Other expense $ 17.2 $ (41.8 ) $ (83.6 ) Other expense ($17.1 ) $42.1 $83.8 The following table summarizes the impact of Company's hedging activities on comprehensive income for the years ended December 30, 2017 , December 31, 2016 and December 26, 2015 : Derivatives designated as cash flow and net equity hedges (in millions) Amount of gain or (loss) recognized in OCI on derivatives (effective portion) Location of gain or (loss) reclassified from accumulated OCI into income (effective portion) Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) Location of gain or (loss) recognized in income on derivatives (ineffective portion and amount excluded from effectiveness testing) Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amounts excluded from effectiveness testing) Cash flow hedging relationships 2017 2016 2015 2017 2016 2015 2017 2016 2015 Foreign exchange contracts $ (2.7 ) $ 6.7 $ 14.5 Cost of products sold $ 1.4 $ 5.7 $ 19.2 Interest expense $ (4.8 ) $ (5.6 ) $ (7.7 ) Net equity hedging relationships Foreign exchange contracts (21.6 ) 41.0 74.2 Interest expense (26.0 ) (20.8 ) (16.8 ) Euro denominated debt (11.5 ) 3.7 11.1 |
Accumulated Other Comprehensi39
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | (In millions, net of tax) Foreign Currency Items Cash Flow Hedges Pension and Other Post-retirement Items Total December 27, 2014 $ (368.3 ) $ 7.8 $ (48.2 ) $ (408.7 ) Other comprehensive income (loss) before reclassifications (122.3 ) 11.3 8.9 (102.1 ) Amounts reclassified from accumulated other comprehensive loss — (14.8 ) 3.6 (11.2 ) Net other comprehensive income (loss) (122.3 ) (3.5 ) 12.5 (113.3 ) December 26, 2015 $ (490.6 ) $ 4.3 $ (35.7 ) $ (522.0 ) Other comprehensive income (loss) before reclassifications (53.7 ) 4.9 (0.9 ) (49.7 ) Amounts reclassified from accumulated other comprehensive loss — (4.3 ) 4.5 0.2 Net other comprehensive income (loss) (53.7 ) 0.6 3.6 (49.5 ) December 31, 2016 $ (544.3 ) $ 4.9 $ (32.1 ) $ (571.5 ) Other comprehensive income (loss) before reclassifications 42.4 (2.5 ) 1.8 41.7 Amounts reclassified from accumulated other comprehensive loss — (0.8 ) 1.2 0.4 Net other comprehensive income (loss) 42.4 (3.3 ) 3.0 42.1 December 30, 2017 $ (501.9 ) $ 1.6 $ (29.1 ) $ (529.4 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | For income tax purposes, the domestic and foreign components of income (loss) before taxes were as follows: (In millions) 2017 2016 2015 Domestic $ (76.2 ) $ (44.8 ) $ (67.5 ) Foreign 261.3 346.1 327.4 Total $ 185.1 $ 301.3 $ 259.9 |
Provision (Benefit) for Income Taxes | The provision (benefit) for income taxes was as follows: (In millions) 2017 2016 2015 Current: Federal $ 25.6 $ (23.8 ) $ (22.8 ) Foreign 136.9 114.1 92.6 State 2.1 1.4 (0.8 ) 164.6 91.7 69.0 Deferred: Federal 312.9 (14.7 ) (13.8 ) Foreign (25.6 ) 0.2 18.2 State (1.4 ) 0.5 0.7 285.9 (14.0 ) 5.1 Total $ 450.5 $ 77.7 $ 74.1 |
Effective Income Tax Provisions Reconciliation | The differences between the provision for income taxes and income taxes computed using the U.S. federal statutory rate were as follows: (In millions) 2017 2016 2015 Amount computed using statutory rate $ 64.8 $ 105.5 $ 91.0 Increase (reduction) in taxes resulting from: Net impact from repatriating foreign earnings and direct foreign tax credits (5.8 ) (16.3 ) (7.9 ) Foreign income taxes 14.3 (7.5 ) (4.6 ) Impact of non-deductible currency translation losses — — 3.1 Impact of changes in U.S. tax legislation 375.0 (2.7 ) — Other changes in valuation allowances for deferred tax assets 5.3 (0.1 ) (0.4 ) Foreign and domestic tax audit settlement and adjustments (2.5 ) — (2.4 ) Other (0.6 ) (1.2 ) (4.7 ) Total $ 450.5 $ 77.7 $ 74.1 |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets (liabilities) were composed of the following: (In millions) 2017 2016 Purchased intangibles $ (20.3 ) $ (21.7 ) Other (6.5 ) (14.1 ) Gross deferred tax liabilities (26.8 ) (35.8 ) Credit and net operating loss carry forwards (net of unrecognized tax benefits) 295.9 301.2 Employee benefits accruals 51.0 63.1 Deferred costs 48.0 92.2 Fixed assets basis differences 17.8 22.4 Capitalized intangibles 21.4 34.2 Other accruals 33.5 32.1 Accounts receivable 10.7 11.3 Post-retirement benefits 4.5 7.1 Depreciation 11.2 13.4 Inventory 5.3 6.4 Gross deferred tax assets 499.3 583.4 Valuation allowances (235.5 ) (24.8 ) Net deferred tax assets $ 237.0 $ 522.8 |
Unrecognized Tax Benefits Rollforward | A reconciliation of the beginning and ending amount of accrual for uncertain tax positions is as follows: (In millions) 2017 2016 2015 Balance, beginning of year $ 20.7 $ 21.8 $ 22.5 Additions based on tax positions related to the current year 3.6 2.7 3.3 Additions for tax positions of prior year 2.2 1.2 3.4 Reduction for tax positions of prior years (3.0 ) (1.2 ) (1.6 ) Settlements (1.2 ) — (1.1 ) Reductions for lapse in statute of limitations (3.7 ) (3.1 ) (3.2 ) Impact of foreign currency rate changes versus the U.S. dollar 1.2 (0.7 ) (1.5 ) Balance, end of year $ 19.8 $ 20.7 $ 21.8 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Schedule of Funded Status of Company's Plan | The funded status of all of the Company's plans was as follows: U.S. plans Foreign plans Pension benefits Post-retirement benefits Pension benefits (In millions) 2017 2016 2017 2016 2017 2016 Change in benefit obligations: Beginning balance $ 49.8 $ 59.2 $ 17.0 $ 18.3 $ 179.6 $ 183.3 Service cost — 0.3 0.1 0.1 10.4 11.3 Interest cost 1.7 2.2 0.7 0.7 3.8 4.5 Actuarial (gain) loss 1.3 (2.9 ) (1.1 ) (0.2 ) (2.2 ) 7.3 Benefits paid (2.1 ) (0.9 ) (1.5 ) (1.9 ) (7.9 ) (7.8 ) Impact of exchange rates — — — — 14.1 (11.0 ) Plan participant contributions — — — — 0.6 0.8 Settlements/Curtailments — (8.1 ) — — (3.5 ) (8.8 ) Ending balance $ 50.7 $ 49.8 $ 15.2 $ 17.0 $ 194.9 $ 179.6 Change in plan assets at fair value: Beginning balance $ 27.0 $ 33.9 $ — $ — $ 76.9 $ 78.2 Actual return on plan assets 4.4 2.8 — — 5.0 2.2 Company contributions — — 1.5 1.9 10.8 14.2 Plan participant contributions — — — — 0.8 0.8 Benefits and expenses paid (2.4 ) (1.6 ) (1.5 ) (1.9 ) (8.3 ) (7.8 ) Impact of exchange rates — — — — 5.7 (1.9 ) Settlements — (8.1 ) — — (3.2 ) (8.8 ) Ending balance $ 29.0 $ 27.0 $ — $ — $ 87.7 $ 76.9 Funded status of plans $ (21.7 ) $ (22.8 ) $ (15.2 ) $ (17.0 ) $ (107.2 ) $ (102.7 ) |
Schedule of Amounts Recognized in Balance Sheet | Amounts recognized in the balance sheet consisted of: (In millions) December 30, December 31, Accrued benefit liability $ (144.1 ) $ (142.5 ) Accumulated other comprehensive loss (pretax) 40.1 44.4 |
Schedule of Net Periodic Benefit Cost Not yet Recognized | Items not yet recognized as a component of pension expense as of December 30, 2017 and December 31, 2016 consisted of: 2017 2016 (In millions) Pension Post-retirement Pension Post-retirement Transition obligation $ 2.4 $ — $ 2.2 $ — Prior service cost (benefit) 1.2 (6.0 ) 1.1 (7.3 ) Net actuarial loss (gain) 42.7 (0.2 ) 47.4 1.0 Accumulated other comprehensive loss(income) pretax $ 46.3 $ (6.2 ) $ 50.7 $ (6.3 ) |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) | Components of other comprehensive loss (income) for the years ended December 30, 2017 and December 31, 2016 consisted of the following: 2017 2016 (In millions) Pension Benefits Post-retirement Benefits Pension Benefits Post-retirement Benefits Net prior service cost $ — $ 1.3 $ — $ 1.3 Net actuarial (gain) (8.5 ) (1.2 ) (12.3 ) (0.2 ) Impact of exchange rates 4.1 — 8.0 — Other comprehensive (income) loss $ (4.4 ) $ 0.1 $ (4.3 ) $ 1.1 |
Components of Net Periodic Benefit Cost and Weighted Average Assumptions | The costs associated with all of the Company's plans were as follows: Pension benefits Post-retirement benefits (Dollars in millions) 2017 2016 2015 2017 2016 2015 Components of net periodic benefit cost: Service cost and expenses $ 10.4 $ 11.8 $ 10.8 $ 0.1 $ 0.1 $ 0.1 Interest cost 5.6 6.7 6.9 0.7 0.7 0.7 Return on plan assets (4.4 ) (5.3 ) (5.3 ) — — — Settlement/Curtailment 1.0 3.9 1.7 — — — Employee contributions (0.2 ) (0.2 ) (0.2 ) — — — Net deferral 2.0 2.7 4.5 (1.3 ) (1.3 ) (1.3 ) Net periodic benefit cost (income) $ 14.4 $ 19.6 $ 18.4 $ (0.5 ) $ (0.5 ) $ (0.5 ) Weighted average assumptions: U.S. plans Discount rate, net periodic benefit cost 3.8 % 3.9 % 3.6 % 4.0 % 4.0 % 3.8 % Discount rate, benefit obligations 3.3 3.7 3.9 3.5 4.0 4.0 Return on plan assets 7.3 8.3 8.3 n/a n/a n/a Salary growth rate, net periodic benefit cost — — 3.0 n/a n/a n/a Salary growth rate, benefit obligations — — — n/a n/a n/a Foreign plans Discount rate 2.2 % 2.3 % 2.4 % n/a n/a n/a Return on plan assets 3.1 3.2 3.4 n/a n/a n/a Salary growth rate 2.7 2.9 3.1 n/a n/a n/a |
Schedule of Allocation of Plan Assets | The Company's weighted average asset allocations at December 30, 2017 and December 31, 2016 , by asset category, were as follows: 2017 2016 Asset category U.S. plans Foreign plans U.S. plans Foreign plans Equity securities 63 % 26 % 62 % 27 % Fixed income securities 37 16 38 16 Cash and money market investments — 7 — 6 Guaranteed contracts — 49 — 50 Other — 2 — 1 Total 100 % 100 % 100 % 100 % The fair value of the Company's pension plan assets at December 30, 2017 by asset category was as follows: Description of assets (in millions) December 30, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic plans: Common/collective trust (a) $ 28.9 $ — $ 28.9 $ — Foreign plans: Australia Investment fund (b) 2.5 — 2.5 — Switzerland Guaranteed insurance contract (c) 32.8 — — 32.8 Germany Guaranteed insurance contract (c) 5.6 — — 5.6 Belgium Mutual fund (d) 25.2 25.2 — — Austria Guaranteed insurance contract (c) 0.4 — — 0.4 Korea Guaranteed insurance contract (c) 4.1 — — 4.1 Japan Common/collective trust (e) 12.8 — 12.8 — Philippines Fixed income securities (f) 1.8 1.8 — — Equity fund (f) 2.6 2.6 — — Total $ 116.7 $ 29.6 $ 44.2 $ 42.9 The fair value of the Company's pension plan assets at December 31, 2016 by asset category was as follows: Description of assets (in millions) December 31, Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Domestic plans: Common/collective trust (a) $ 27.0 $ — $ 27.0 $ — Foreign plans: Australia Investment fund (b) 2.6 — 2.6 — Switzerland Guaranteed insurance contract (c) 28.5 — — 28.5 Germany Guaranteed insurance contract (c) 5.0 — — 5.0 Belgium Mutual funds (d) 21.8 21.8 — — Austria Guaranteed insurance contract (c) 0.4 — — 0.4 Korea Guaranteed insurance contract (c) 4.0 — — 4.0 Japan Common/collective trust (e) 10.9 — 10.9 — Philippines Fixed income securities (f) 1.4 1.4 — — Equity fund (f) 2.3 2.3 — — Total $ 103.9 $ 25.5 $ 40.5 $ 37.9 ____________________ (a) The investment strategy of the U.S. pension plan for each period presented was to achieve a return greater than or equal to the return that would have been earned by a portfolio invested approximately 60 percent in equity securities and 40 percent in fixed income securities. As of the years ended December 30, 2017 and December 31, 2016 , the common trusts held 63 percent and 62 percent of its assets in equity securities and 37 percent and 38 percent in fixed income securities, respectively. The percentage of funds invested in equity securities at the end of 2017 and 2016 , included: 10 percent in international stocks, 32 percent in large U.S. stocks in each year and 21 percent and 20 percent in small U.S. stocks, respectively. The common trusts are comprised of shares or units in commingled funds that are not publicly traded. The underlying assets in these funds (equity securities and fixed income securities) are valued using quoted market prices. (b) For 2017 and 2016 , the strategy of this fund is to achieve a long-term net return of at least 3.5 percent and 4 percent above inflation based on the Australian consumer price index over a rolling five-year period, respectively. The investment strategy is to invest mainly in equities and property, which are expected to earn relatively higher returns over the long term. The fair value of the fund is determined using the net asset value per share using quoted market prices or other observable inputs in active markets. As of December 30, 2017 and December 31, 2016 , the percentage of funds held in investments included: Australian equities of 16 percent and 31 percent , other equities of listed companies outside of Australia of 44 percent and 41 percent , government and corporate bonds of 17 percent and 12 percent and cash of 14 percent and 7 percent , respectively and real estate of 9 percent in each year. (c) The strategy of the Company's plans in Austria, Germany, Korea and Switzerland is to seek to ensure the future benefit payments of their participants and manage market risk. This is achieved by funding the pension obligations through guaranteed insurance contracts. The plan assets operate similar to investment contracts whereby the interest rate, as well as the surrender value, is guaranteed. The fair value is determined as the contract value, using a guaranteed rate of return which will increase if the market performance exceeds that return. (d) The strategy of the Belgian plan in each period presented is to seek to achieve a return greater than or equal to the return that would have been earned by a portfolio invested approximately 62 percent in equity securities and 38 percent in fixed income securities. The fair value of the fund is calculated using the net asset value per share as determined by the quoted market prices of the underlying investments. As of December 30, 2017 and December 31, 2016 , the percentage of funds held in various asset classes included: large-cap equities of European companies of 27 percent , small-cap equities of European companies of 17 percent , and money market fund of 17 percent in each year, bonds, primarily from European and U.S. governments, of 31 percent and 32 percent , and equities outside of Europe, mainly in the U.S. and emerging markets, 8 percent and 7 percent , respectively. (e) The Company's strategy is to invest approximately 47 percent of assets to benefit from the higher expected returns from long-term investments in equities and to invest 53 percent of assets in short-term low investment risk instruments to fund near term benefits payments. The target allocation for plan assets to implement this strategy is 40 percent equities in Japanese listed securities, 7 percent in equities outside of Japan, 3 percent in cash and other short-term investments and 50 percent in domestic Japanese bonds. This strategy has been achieved through a collective trust that held 100 percent of total funded assets as of December 30, 2017 and December 31, 2016 . As of the end of December 30, 2017 and December 31, 2016 , the allocation of funds within the common collective trust included: 36 percent and 40 percent in Japanese equities, 53 percent and 50 percent in Japanese bonds, and 4 percent and 3 percent in cash and other short term investments, respectively and 7 percent in equities of companies based outside of Japan in each year. The fair value of the collective trust is determined by the market value of the underlying shares, which are traded in active markets. (f) In both years, the investment strategy in the Philippines was to achieve an appropriate balance between risk and return, from a diversified portfolio of Philippine peso denominated bonds and equities. The target asset class allocations is 57 percent in equity securities, 38 percent fixed income securities and 5 percent in cash and deposits. The fixed income securities at year end included assets valued using a weighted average of completed deals on similarly termed government securities, as well as balances invested in short term deposit accounts. The equity index fund was valued at the closing price of the active market in which it was traded. |
Schedule of Reconciliation of Fair Value Measurements in Level 3 | The following table presents a reconciliation of the beginning and ending balances of the fair value measurements using significant unobservable inputs (Level 3): Year Ending (In millions) December 30, December 31, Beginning balance $ 37.9 $ 38.7 Realized gains 1.1 0.9 Purchases, sales and settlements, net 1.7 (0.4 ) Impact of exchange rates 2.2 (1.3 ) Ending balance $ 42.9 $ 37.9 |
Schedule of Expected Benefit Payments | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid from the Company's U.S. and foreign plans (in millions): Years Pension benefits Post-retirement benefits Total 2018 $13.4 $1.5 $14.9 2019 27.0 1.4 28.4 2020 12.8 1.3 14.1 2021 13.3 1.3 14.6 2022 16.2 1.2 17.4 2023-2027 72.0 4.9 76.9 |
Incentive Compensation Plans (T
Incentive Compensation Plans (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock option valuation assumptions | The fair value of the Company's stock options is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions used in the last three years: 2017 2016 2015 Dividend yield 4.4 % 4.7 % 4.3 % Expected volatility 29 % 30 % 36 % Risk-free interest rate 2.2 % 2.1 % 2.1 % Expected life 7 years 7 years 7 years |
Stock option activity | Stock option activity for 2017 , under all of the Company's incentive plans, is summarized in the following table: Shares subject to option Weighted average exercise price per share Aggregate Intrinsic Value (in millions) Outstanding at December 31, 2016 2,722,965 $57.78 Granted 640,242 58.21 Expired/Forfeited (47,111 ) 66.95 Exercised (270,780 ) 43.88 Outstanding at December 30, 2017 3,045,316 $58.96 $16.1 Exercisable at December 30, 2017 1,802,768 $59.55 $10.4 |
Schedule of restricted stock, restricted stock units, performance vested and market vested award activity | Restricted stock, restricted stock units, performance-vested and market-vested share award activity for 2017 under all of the Company's incentive plans is summarized in the following table: Non-vested Shares outstanding Weighted average grant date per share fair value Outstanding at December 31, 2016 602,940 $61.28 Time-vested shares granted 153,581 60.12 Market-vested shares granted 25,170 61.29 Performance shares granted 76,615 60.39 Performance share adjustments 27,380 58.35 Vested (207,650 ) 67.60 Forfeited (42,529 ) 62.98 Outstanding at December 30, 2017 635,507 $58.59 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | (In millions) 2017 2016 2015 Net sales: Europe $ 550.4 $ 559.4 $ 612.9 Asia Pacific 734.8 748.6 771.0 North America 541.5 548.3 593.7 South America 429.1 356.8 306.2 Total net sales $ 2,255.8 $ 2,213.1 $ 2,283.8 Segment profit: Europe $ 54.5 $ 65.3 $ 92.4 Asia Pacific 189.3 181.0 175.9 North America 69.7 66.1 69.7 South America 98.7 82.2 46.5 Total segment profit $ 412.2 $ 394.6 $ 384.5 Unallocated expenses (64.1 ) (67.6 ) (72.8 ) Re-engineering and impairment charges (a) (66.0 ) (7.6 ) (20.3 ) Impairment of goodwill and intangibles (b) (62.9 ) — — Gains on disposal of assets (c) 9.1 27.3 13.7 Interest expense, net (43.2 ) (45.4 ) (45.2 ) Income before taxes $ 185.1 $ 301.3 $ 259.9 (In millions) 2017 2016 2015 Depreciation and amortization: Europe $ 16.7 $ 15.9 $ 17.3 Asia Pacific 14.9 14.5 14.9 North America 12.3 18.7 21.3 South America 5.9 3.3 4.1 Corporate 10.7 5.1 4.8 Total depreciation and amortization $ 60.5 $ 57.5 $ 62.4 Capital expenditures: Europe $ 18.7 $ 15.6 $ 18.2 Asia Pacific 10.7 12.0 12.3 North America 15.9 11.9 12.6 South America 12.1 12.4 8.9 Corporate 14.9 9.7 9.1 Total capital expenditures $ 72.3 $ 61.6 $ 61.1 Identifiable assets: Europe $ 308.5 $ 257.2 $ 276.5 Asia Pacific 297.2 278.6 290.2 North America 266.3 333.7 375.2 South America 138.6 124.6 96.9 Corporate 377.4 593.7 559.4 Total identifiable assets $ 1,388.0 $ 1,587.8 $ 1,973.4 ____________________ (a) See Note 2 for discussion of re-engineering and impairment charges. (b) See Note 6 for discussion of goodwill impairment charges. (c) Gains on disposal of assets in 2017 , 2016 and 2015 include $8.8 million , 26.5 million and 12.9 million from transactions related to land near the Orlando, FL headquarters. |
Allowance for Long-Term Recei44
Allowance for Long-Term Receivables (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |
Allowance for Credit Losses on Financing Receivables Table | The balance of the allowance for long-term receivables as of December 30, 2017 was as follows: (In millions) Balance at December 31, 2016 $ 11.0 Write-offs (0.9 ) Provision (a) 4.8 Currency translation adjustment 1.6 Balance at December 30, 2017 $ 16.5 ____________________ (a) Provision includes $2.8 million of reclassifications from current receivables. |
Guarantor Information (Tables)
Guarantor Information (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidating Statement of Income | Consolidating Statement of Income Year ended December 30, 2017 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 2,263.3 $ (7.5 ) $ 2,255.8 Other revenue — 132.2 30.7 (162.9 ) — Cost of products sold — 30.6 875.3 (161.3 ) 744.6 Gross margin — 101.6 1,418.7 (9.1 ) 1,511.2 Delivery, sales and administrative expense 20.8 83.9 1,066.7 (9.1 ) 1,162.3 Re-engineering and impairment charges — 2.3 63.7 — 66.0 Impairment of goodwill and intangible assets — — 62.9 — 62.9 Gains on disposal of assets including insurance recoveries, net — — 9.1 — 9.1 Operating income (loss) (20.8 ) 15.4 234.5 — 229.1 Interest income 20.4 1.9 39.6 (59.0 ) 2.9 Interest expense 37.4 59.6 8.1 (59.0 ) 46.1 Income from equity investments in subsidiaries (231.8 ) 17.4 — 214.4 — Other expense (income) — 8.8 (8.0 ) — 0.8 Income (loss) before income taxes (269.6 ) (33.7 ) 274.0 214.4 185.1 Provision for income taxes (4.2 ) 198.9 255.8 — 450.5 Net income (loss) $ (265.4 ) $ (232.6 ) $ 18.2 $ 214.4 $ (265.4 ) Comprehensive income (loss) $ (223.3 ) $ (182.6 ) $ 65.7 $ 116.9 $ (223.3 ) Consolidating Statement of Income Year ended December 31, 2016 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 2,219.1 $ (6.0 ) $ 2,213.1 Other revenue — 126.9 29.3 (156.2 ) — Cost of products sold — 29.4 838.9 (153.3 ) 715.0 Gross margin — 97.5 1,409.5 (8.9 ) 1,498.1 Delivery, sales and administrative expense 19.1 78.1 1,082.5 (8.9 ) 1,170.8 Re-engineering and impairment charges — 1.2 6.4 — 7.6 Gains on disposal of assets including insurance recoveries, net — — 27.3 — 27.3 Operating income (loss) (19.1 ) 18.2 347.9 — 347.0 Interest income 20.9 1.8 27.1 (46.4 ) 3.4 Interest expense 34.9 51.5 8.8 (46.4 ) 48.8 Income from equity investments in subsidiaries 242.3 240.9 — (483.2 ) — Other expense 0.1 (33.6 ) 33.8 — 0.3 Income before income taxes 209.1 243.0 332.4 (483.2 ) 301.3 Provision (benefit) for income taxes (14.5 ) 5.1 87.1 — 77.7 Net income (loss) $ 223.6 $ 237.9 $ 245.3 $ (483.2 ) $ 223.6 Comprehensive income (loss) $ 174.1 $ 188.0 $ 163.8 $ (351.8 ) $ 174.1 Consolidating Statement of Income Year ended December 26, 2015 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 2,288.6 $ (4.8 ) $ 2,283.8 Other revenue — 123.9 31.6 (155.5 ) — Cost of products sold — 31.6 864.0 (151.2 ) 744.4 Gross margin — 92.3 1,456.2 (9.1 ) 1,539.4 Delivery, sales and administrative expense 20.6 78.6 1,127.5 (9.1 ) 1,217.6 Re-engineering and impairment charges — — 20.3 — 20.3 Gains on disposal of assets including insurance recoveries, net — — 13.7 — 13.7 Operating income (loss) (20.6 ) 13.7 322.1 — 315.2 Interest income 19.6 22.5 7.4 (47.1 ) 2.4 Interest expense 36.4 37.7 20.6 (47.1 ) 47.6 Income from equity investments in subsidiaries 208.1 203.6 — (411.7 ) — Other expense — 0.6 9.5 — 10.1 Income before income taxes 170.7 201.5 299.4 (411.7 ) 259.9 Provision (benefit) for income taxes (15.1 ) (4.0 ) 93.2 — 74.1 Net income (loss) $ 185.8 $ 205.5 $ 206.2 $ (411.7 ) $ 185.8 Comprehensive income (loss) $ 72.5 $ 84.0 $ 104.0 $ (188.0 ) $ 72.5 |
Condensed Consolidating Balance Sheet | Condensed Consolidating Balance Sheet December 30, 2017 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 0.1 $ 144.0 $ — $ 144.1 Accounts receivable, net — — 144.4 — 144.4 Inventories — — 262.2 — 262.2 Non-trade amounts receivable, net — 179.2 79.4 (200.0 ) 58.6 Intercompany receivables 300.8 1,101.9 255.4 (1,658.1 ) — Prepaid expenses and other current assets 1.1 2.1 82.2 (64.2 ) 21.2 Total current assets 301.9 1,283.3 967.6 (1,922.3 ) 630.5 Deferred income tax benefits, net 33.4 72.6 172.0 — 278.0 Property, plant and equipment, net — 54.9 223.3 — 278.2 Long-term receivables, net — 0.2 19.1 — 19.3 Trademarks and tradenames, net — — 62.5 — 62.5 Goodwill — 2.9 76.0 — 78.9 Investments in subsidiaries 1,174.9 1,371.0 — (2,545.9 ) — Intercompany notes receivable 498.4 100.0 968.9 (1,567.3 ) — Other assets, net 0.6 0.7 69.8 (30.5 ) 40.6 Total assets $ 2,009.2 $ 2,885.6 $ 2,559.2 $ (6,066.0 ) $ 1,388.0 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 3.1 $ 121.3 $ — $ 124.4 Short-term borrowings and current portion of long-term debt and capital lease obligations 131.1 — 1.9 — 133.0 Intercompany payables 1,013.4 436.1 208.6 (1,658.1 ) — Accrued liabilities 287.0 80.4 298.2 (264.2 ) 401.4 Total current liabilities 1,431.5 519.6 630.0 (1,922.3 ) 658.8 Long-term debt and capital lease obligations 599.5 — 5.6 — 605.1 Intercompany notes payable 88.5 1,172.0 306.8 (1,567.3 ) — Other liabilities 9.1 75.6 189.3 (30.5 ) 243.5 Shareholders' equity (deficit) (119.4 ) 1,118.4 1,427.5 (2,545.9 ) (119.4 ) Total liabilities and shareholders' equity $ 2,009.2 $ 2,885.6 $ 2,559.2 $ (6,066.0 ) $ 1,388.0 Condensed Consolidating Balance Sheet December 31, 2016 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 0.5 $ 92.7 $ — $ 93.2 Accounts receivable, net — — 125.3 — 125.3 Inventories — — 240.4 — 240.4 Non-trade amounts receivable, net — 50.5 85.1 (70.7 ) 64.9 Intercompany receivables 11.9 935.8 270.3 (1,218.0 ) — Prepaid expenses and other current assets 1.1 5.4 100.9 (85.9 ) 21.5 Total current assets 13.0 992.2 914.7 (1,374.6 ) 545.3 Deferred income tax benefits, net 142.7 193.2 203.8 — 539.7 Property, plant and equipment, net — 50.4 209.4 — 259.8 Long-term receivables, net — 0.1 13.1 — 13.2 Trademarks and tradenames, net — — 67.3 — 67.3 Goodwill — 2.9 129.7 — 132.6 Investment in subsidiaries 1,356.7 1,321.3 — (2,678.0 ) — Intercompany notes receivable 479.4 95.6 725.6 (1,300.6 ) — Other assets, net 1.2 1.2 57.8 (30.3 ) 29.9 Total assets $ 1,993.0 $ 2,656.9 $ 2,321.4 $ (5,383.5 ) $ 1,587.8 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 5.0 $ 112.7 $ — $ 117.7 Short-term borrowings and current portion of long-term debt and capital lease obligations 104.0 — 1.9 — 105.9 Intercompany payables 858.9 263.4 95.7 (1,218.0 ) — Accrued liabilities 130.9 102.8 246.9 (156.6 ) 324.0 Total current liabilities 1,093.8 371.2 457.2 (1,374.6 ) 547.6 Long-term debt and capital lease obligations 599.4 — 6.6 — 606.0 Intercompany notes payable 77.0 928.0 295.6 (1,300.6 ) — Other liabilities 10.0 56.8 184.9 (30.3 ) 221.4 Shareholders' equity 212.8 1,300.9 1,377.1 (2,678.0 ) 212.8 Total liabilities and shareholders' equity $ 1,993.0 $ 2,656.9 $ 2,321.4 $ (5,383.5 ) $ 1,587.8 |
Condensed Consolidating Statement of Cash Flows | Condensed Consolidating Statement of Cash Flows Year ended December 30, 2017 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash provided by (used in) operating activities $ (32.7 ) $ (40.1 ) $ 310.7 $ (20.9 ) $ 217.0 Investing Activities: Capital expenditures — (18.1 ) (54.2 ) — (72.3 ) Proceeds from disposal of property, plant and equipment — — 14.7 — 14.7 Net intercompany loans (7.5 ) (174.1 ) (226.4 ) 408.0 — Net cash provided by (used in) investing activities (7.5 ) (192.2 ) (265.9 ) 408.0 (57.6 ) Financing Activities: Dividend payments to shareholders (139.5 ) — — — (139.5 ) Dividend payments to parent — — (21.0 ) 21.0 — Proceeds from exercise of stock options 11.8 — — — 11.8 Repurchase of common stock (2.5 ) — — — (2.5 ) Repayment of long-term debt and capital lease obligations — — (2.0 ) — (2.0 ) Net change in short-term debt 15.8 — (0.2 ) — 15.6 Net intercompany borrowings 154.6 231.9 21.6 (408.1 ) — Net cash provided by (used in) financing activities 40.2 231.9 (1.6 ) (387.1 ) (116.6 ) Effect of exchange rate changes on cash and cash equivalents — — 8.1 — 8.1 Net change in cash and cash equivalents — (0.4 ) 51.3 — 50.9 Cash and cash equivalents at beginning of year — 0.5 92.7 — 93.2 Cash and cash equivalents at end of period $ — $ 0.1 $ 144.0 $ — $ 144.1 Condensed Consolidating Statement of Cash Flows Year ended December 31, 2016 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash provided by (used in) operating activities $ (29.9 ) $ (0.8 ) $ 275.2 $ (5.9 ) $ 238.6 Investing Activities: Capital expenditures — (16.0 ) (45.6 ) — (61.6 ) Proceeds from disposal of property, plant and equipment — — 35.9 — 35.9 Net intercompany loans (18.9 ) (186.4 ) (194.5 ) 399.8 — Net cash provided by (used in) investing activities (18.9 ) (202.4 ) (204.2 ) 399.8 (25.7 ) Financing Activities: Dividend payments to shareholders (138.8 ) — — — (138.8 ) Dividend payments to parent — — (21.2 ) 21.2 — Net proceeds from issuance of senior notes (0.2 ) — 0.2 — — Proceeds from exercise of stock options 0.8 — — — 0.8 Repurchase of common stock (1.7 ) — — — (1.7 ) Repayment of long-term debt and capital lease obligations — — (2.2 ) — (2.2 ) Net change in short-term debt 17.5 (1.2 ) (68.3 ) — (52.0 ) Excess tax benefits from share-based payment arrangements 0.6 — — — 0.6 Net intercompany borrowings 170.6 204.9 39.6 (415.1 ) — Net cash provided by (used in) financing activities 48.8 203.7 (51.9 ) (393.9 ) (193.3 ) Effect of exchange rate changes on cash and cash equivalents — — (6.2 ) — (6.2 ) Net change in cash and cash equivalents — 0.5 12.9 — 13.4 Cash and cash equivalents at beginning of year — — 79.8 — 79.8 Cash and cash equivalents at end of period $ — $ 0.5 $ 92.7 $ — $ 93.2 Condensed Consolidating Statement of Cash Flows Year ended December 26, 2015 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash provided by (used in) operating activities $ 438.9 $ 230.6 $ 66.4 $ (510.2 ) $ 225.7 Investing Activities: Capital expenditures — (14.7 ) (46.4 ) — (61.1 ) Proceeds from disposal of property, plant and equipment — — 18.0 — 18.0 Net intercompany loans (335.7 ) 296.3 492.0 (452.6 ) — Return of capital — 105.5 — (105.5 ) — Net cash provided by (used in) investing activities (335.7 ) 387.1 463.6 (558.1 ) (43.1 ) Financing Activities: Dividend payments to shareholders (138.0 ) — — — (138.0 ) Dividend payments to parent — (400.0 ) (103.1 ) 503.1 — Net proceeds from issuance of senior notes 0.1 — (0.1 ) — — Proceeds from exercise of stock options 16.1 — — — 16.1 Repurchase of common stock (1.5 ) — — — (1.5 ) Repayment of long-term debt and capital lease obligations — — (2.6 ) — (2.6 ) Net change in short-term debt (9.5 ) (2.3 ) (24.6 ) — (36.4 ) Debt issuance costs (0.7 ) — — — (0.7 ) Excess tax benefits from share-based payment arrangements 6.0 — — — 6.0 Net intercompany borrowings 24.3 (215.3 ) (268.8 ) 459.8 — Return of capital to parent — — (105.5 ) 105.5 — Net cash provided by (used in) financing activities (103.2 ) (617.6 ) (504.7 ) 1,068.4 (157.1 ) Effect of exchange rate changes on cash and cash equivalents — (0.1 ) (22.5 ) (0.1 ) (22.7 ) Net change in cash and cash equivalents — — 2.8 — 2.8 Cash and cash equivalents at beginning of year — — 77.0 — 77.0 Cash and cash equivalents at end of period $ — $ — $ 79.8 $ — $ 79.8 |
Quarterly Financial Summary (Ta
Quarterly Financial Summary (Tables) | 12 Months Ended |
Dec. 30, 2017 | |
Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Summary | Following is a summary of the unaudited interim results of operations for each quarter in the years ended December 30, 2017 and December 31, 2016 . (In millions, except per share amounts) First quarter Second quarter Third quarter Fourth quarter Year ended December 30, 2017 Net sales $ 554.8 $ 572.9 $ 539.5 $ 588.6 Gross margin 377.1 390.3 356.8 387.0 Net income (loss) 47.4 (17.7 ) 31.4 (326.5 ) Basic earnings (loss) per share 0.94 (0.35 ) 0.62 (6.41 ) Diluted earnings (loss) per share 0.93 (0.35 ) 0.61 (6.41 ) Dividends declared per share 0.68 0.68 0.68 0.68 Composite stock price range: High 63.00 74.36 71.23 65.44 Low 53.17 61.44 56.45 56.30 Close 62.72 70.23 61.82 62.70 Year ended December 31, 2016 Net sales $ 525.7 $ 564.7 $ 521.8 $ 600.9 Gross margin 359.7 380.8 353.4 404.2 Net income 43.4 52.4 48.8 79.0 Basic earnings per share 0.86 1.04 0.97 1.56 Diluted earnings per share 0.86 1.03 0.96 1.55 Dividends declared per share 0.68 0.68 0.68 0.68 Composite stock price range: High 58.30 62.40 66.90 66.67 Low 42.60 52.64 50.43 52.32 Close 55.39 53.15 64.31 52.62 Certain items impacting quarterly comparability for 2017 and 2016 were as follows: • Pretax re-engineering and impairment costs of $2.3 million , $32.6 million , $9.0 million and $22.1 million were recorded in the first through fourth quarters of 2017 , respectively. Pretax re-engineering and impairment costs of $1.1 million , $1.9 million , $2.4 million and $2.2 million were recorded in the first through fourth quarters of 2016 , respectively. Refer to Note 2 to the Consolidated Financial Statements for further discussion. • In the second quarter of 2017, the Company recorded a $62.9 million impairment charge related to goodwill of Fuller Mexico. • In Venezuela, in connection with re-measuring net monetary assets and recording in cost of sales inventory at the exchange rate when it was purchased or manufactured compared to when it was sold, as well as in the fourth quarter, a write-down of inventory due to its lower fair market value from the most recent devaluation, the Company recorded charges of $0.2 million , $1.5 million , $2.4 million and $3.3 million in the first, second, third and fourth quarters of 2017 , respectively, and charges of $0.2 million , $3.6 million , $0.3 million and $0.2 million in the same quarters of 2016 . See Note 1 of the Consolidated Financial Statements. • Pretax gains on disposal of assets, primarily related to transactions related to land near the Company's Orlando headquarters, were $0.1 million , $3.1 million , $4.1 million and $1.8 million in the first through fourth quarters of 2017 , respectively. They were $0.1 million , $0.8 million , $24.2 million and $2.2 million in the same quarters of 2016 , respectively. • The Company's fiscal year ends on the last Saturday of December, and as a result, the fourth quarter of 2016 contained 14 weeks, as compared with 13 weeks in the fourth quarter of 2017. The Company also ceased operations at Beauticontrol in the third quarter of 2017. |
Summary of Significant Accoun47
Summary of Significant Accounting Policies (Principles of Consolidation) (Details) | 3 Months Ended | 12 Months Ended | |||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Accounting Policies [Abstract] | |||||
Fiscal Period Duration | 91 days | 98 days | 364 days | 371 days | 364 days |
Summary of Significant Accoun48
Summary of Significant Accounting Policies (Cash and Cash Equivalents) (Details) - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
Accounting Policies [Abstract] | ||
Time deposits, certificates of deposit or similar instruments | $ 10.2 | $ 9.6 |
Summary of Significant Accoun49
Summary of Significant Accounting Policies (Internal Use Software Development Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Internal Use Software Development Costs [Line Items] | |||
Capitalized internal use software development costs, net | $ 24.4 | $ 21.3 | |
Software Development [Member] | |||
Internal Use Software Development Costs [Line Items] | |||
Amortization | $ 5.4 | $ 6.9 | $ 5.7 |
Summary of Significant Accoun50
Summary of Significant Accounting Policies (Property, Plant and Equipment) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation expense | $ 45.6 | $ 43 | $ 46.5 |
Minimum [Member] | Building and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 10 years | ||
Minimum [Member] | Molds | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 4 years | ||
Minimum [Member] | Production equipment | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 10 years | ||
Minimum [Member] | Distribution equipment | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 5 years | ||
Minimum [Member] | Computer/telecom equipment | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 3 years | ||
Minimum [Member] | Capitalized software | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 3 years | ||
Maximum [Member] | Building and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 40 years | ||
Maximum [Member] | Molds | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 10 years | ||
Maximum [Member] | Production equipment | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 20 years | ||
Maximum [Member] | Distribution equipment | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 10 years | ||
Maximum [Member] | Computer/telecom equipment | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 5 years | ||
Maximum [Member] | Capitalized software | |||
Property, Plant and Equipment [Line Items] | |||
Useful life (years) | 5 years |
Summary of Significant Accoun51
Summary of Significant Accounting Policies (Goodwill) (Details) - Goodwill [Member] | 12 Months Ended |
Dec. 30, 2017 | |
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |
Cash flow model, forecast period | 10 years |
Income Approach Valuation Technique [Member] | |
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |
Fair value, intangible assets, percent calculated using income approach | 75.00% |
Summary of Significant Accoun52
Summary of Significant Accounting Policies (Intangible Assets) (Details) | 12 Months Ended |
Dec. 30, 2017 | |
Definite-lived tradename | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Weighted Average Estimated Useful Life | 10 years |
Summary of Significant Accoun53
Summary of Significant Accounting Policies (Promotional and Other Accrual) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Accounting Policies [Abstract] | |||
Promotional and Other Sales Force Compensation Expense | $ 356.2 | $ 376.2 | $ 378.7 |
Summary of Significant Accoun54
Summary of Significant Accounting Policies (Shipping and Handling Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Accounting Policies [Abstract] | |||
Distribution Costs | $ 142.2 | $ 137 | $ 139.3 |
Summary of Significant Accoun55
Summary of Significant Accounting Policies (Advertising and Research and Development Costs) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Accounting Policies [Abstract] | |||
Advertising Expense | $ 9.3 | $ 8.3 | $ 13.4 |
Research and Development Costs | $ 16.7 | $ 18.3 | $ 18.1 |
Summary of Significant Accoun56
Summary of Significant Accounting Policies (Accounting for Stock-Based Compensation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Share-based Compensation [Abstract] | |||
Excess tax benefits from option exercises | $ 0 | $ 0.6 | $ 6 |
Summary of Significant Accoun57
Summary of Significant Accounting Policies (Net Income Per Common Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 30, 2017 | Sep. 30, 2017 | Jul. 01, 2017 | Apr. 01, 2017 | Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Accounting Policies [Abstract] | |||||||||||
Net income (loss) | $ (326.5) | $ 31.4 | $ (17.7) | $ 47.4 | $ 79 | $ 48.8 | $ 52.4 | $ 43.4 | $ (265.4) | $ 223.6 | $ 185.8 |
Weighted average shares of common stock outstanding | 50.8 | 50.5 | 49.9 | ||||||||
Common equivalent shares: | |||||||||||
Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units | 0 | 0.2 | 0.5 | ||||||||
Weighted average common and common equivalent shares outstanding | 50.8 | 50.7 | 50.4 | ||||||||
Basic earnings per share | $ (6.41) | $ 0.62 | $ (0.35) | $ 0.94 | $ 1.56 | $ 0.97 | $ 1.04 | $ 0.86 | $ (5.22) | $ 4.43 | $ 3.72 |
Diluted earnings per share | $ (6.41) | $ 0.61 | $ (0.35) | $ 0.93 | $ 1.55 | $ 0.96 | $ 1.03 | $ 0.86 | $ (5.22) | $ 4.41 | $ 3.69 |
Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive | 3.1 | 1.4 | 0.9 |
Summary of Significant Accoun58
Summary of Significant Accounting Policies (Foreign Currency Translation) (Details) - Venezuela - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 30, 2017 | Sep. 30, 2017 | Jul. 01, 2017 | Apr. 01, 2017 | Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Mar. 28, 2015 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Foreign Currency Translation [Line Items] | ||||||||||||
Exchange rate compared to the official rate | (99.00%) | (99.00%) | ||||||||||
Foreign Currency Transaction Gain (Loss), before Tax | $ (3.3) | $ (2.4) | $ (1.5) | $ (0.2) | $ (0.2) | $ (0.3) | $ (3.6) | $ (0.2) | ||||
Translation Adjustment Functional to Reporting Currency, Net of Tax | (25.5) | $ (25.5) | ||||||||||
Other expense | ||||||||||||
Foreign Currency Translation [Line Items] | ||||||||||||
Foreign Currency Transaction Gain (Loss), before Tax | $ (7.4) | $ (4.3) | $ (14.9) | |||||||||
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3) | ||||||||||||
Foreign Currency Translation [Line Items] | ||||||||||||
Impairment of Long-Lived Assets Held-for-use | $ 2.3 | $ 13.5 |
Summary of Significant Accoun59
Summary of Significant Accounting Policies New Accounting pronouncements (Details) - Interest expense $ in Millions | Dec. 30, 2017USD ($) |
Minimum [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
New Accounting Pronouncement, Estimated Effect of Adoption, Reclass | $ 10 |
Maximum [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
New Accounting Pronouncement, Estimated Effect of Adoption, Reclass | $ 15 |
Re-engineering Costs (Details)
Re-engineering Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 30, 2017 | Mar. 28, 2015 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | Feb. 28, 2015 | |
Restructuring Cost and Reserve [Line Items] | ||||||
Severance | $ 48.1 | $ 5.4 | $ 5 | |||
Other | 15.6 | 2.2 | 1.8 | |||
Write-down of inventories | $ 8.3 | 10.8 | 14.3 | |||
Restructuring and Related Cost, Expected Cost, Cash Payments, Percent | 90.00% | 90.00% | ||||
Restructuring Charges | $ 67.3 | 7.6 | 6.8 | |||
Restructuring Reserve [Roll Forward] | ||||||
Beginning balance | $ 2.4 | 1.6 | 1.7 | 2.4 | ||
Non-cash charges | (0.4) | (0.3) | (0.2) | |||
Ending Balance | $ 45.4 | 45.4 | 1.6 | 1.7 | ||
Property, plant and equipment, net | $ 278.2 | 278.2 | 259.8 | |||
Re-engineering charges | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring Charges | 63.7 | 7.6 | 6.8 | |||
Cost of products sold | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring Charges | 3.6 | 0 | 0 | |||
Europe [Member] | Re-engineering charges | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring Charges | 47.9 | |||||
Beauticontrol [Domain] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Write-down of inventories | 3.2 | |||||
Asia Pacific [Member] | Re-engineering charges | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring Charges | 4.8 | |||||
North America [Member] | Re-engineering charges | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring Charges | $ 11 | |||||
Severance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring and Related Cost, Expected Cost, Percent | 80.00% | 80.00% | ||||
Restructuring Reserve [Roll Forward] | ||||||
Cash expenditures | $ (12.7) | (5.2) | (5.8) | |||
Other | ||||||
Restructuring Reserve [Roll Forward] | ||||||
Cash expenditures | (6.8) | $ (2.2) | $ (1.5) | |||
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Nonrecurring | Venezuela | ||||||
Restructuring Reserve [Roll Forward] | ||||||
Impairment of Long-Lived Assets Held-for-use | $ 2.3 | $ 13.5 | ||||
Property, plant and equipment, net | $ 15.7 | |||||
Minimum [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring and Related Cost, Expected Cost | 100 | 100 | ||||
Maximum [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring and Related Cost, Expected Cost | $ 110 | $ 110 |
Inventories (Components of Inve
Inventories (Components of Inventories) (Details) - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
Inventory, Net [Abstract] | ||
Finished goods | $ 203.5 | $ 189.4 |
Work in process | 26 | 23 |
Raw materials and supplies | 32.7 | 28 |
Total inventories | $ 262.2 | $ 240.4 |
Property, Plant and Equipment62
Property, Plant and Equipment (Details) - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,440.6 | $ 1,317 |
Less accumulated depreciation | (1,162.4) | (1,057.2) |
Property, plant and equipment, net | 278.2 | 259.8 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 43.4 | 36.7 |
Building and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 204.8 | 194.1 |
Molds | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 678.6 | 624.7 |
Production equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 298.8 | 264.3 |
Distribution equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 40.5 | 37.4 |
Computer/telecom equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 47.5 | 45.2 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 20.7 | 15.8 |
Capitalized software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 81.2 | 69.5 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 25.1 | $ 29.3 |
Accrued and Other Liabilities63
Accrued and Other Liabilities (Details) - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 |
Accrued Liabilities [Abstract] | ||||
Income taxes payable | $ 49.7 | $ 23.1 | ||
Compensation and employee benefits | 69 | 73 | ||
Advertising and promotion | 55.9 | 57.6 | ||
Taxes other than income taxes | 30 | 24.5 | ||
Pensions | 8.3 | 2.7 | ||
Post-retirement benefits | 1.5 | 1.7 | ||
Dividends payable | 34.7 | 34.4 | ||
Foreign currency contracts | 29.6 | 31.7 | ||
Restructuring Reserve | 45.4 | 1.6 | $ 1.7 | $ 2.4 |
Other | 77.3 | 73.7 | ||
Total accrued liabilities | 401.4 | 324 | ||
Other Liabilities [Abstract] | ||||
Post-retirement benefits | 13.7 | 15.4 | ||
Pensions | 120.6 | 123 | ||
Income taxes | 21.2 | 22.5 | ||
Deferred income tax | 41 | 17.6 | ||
Other | 47 | 42.9 | ||
Total other liabilities | $ 243.5 | $ 221.4 |
Goodwill and Intangible Asset64
Goodwill and Intangible Assets (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2017 | Jul. 01, 2017 | Sep. 24, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | |
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |||||
Goodwill impairment | $ 62.9 | $ 0 | |||
Goodwill | $ 78.9 | $ 132.6 | |||
Local Currency Sales Increase(Decrease) | (9.00%) | ||||
Goodwill [Member] | |||||
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |||||
Goodwill impairment | $ 0 | $ 0 | |||
Fuller Mexico | Goodwill [Member] | Income Approach Valuation Technique [Member] | |||||
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |||||
Fair Value Inputs, Compound Average Growth Rate | 1.60% | ||||
Fair Value Inputs, Terminal Growth Rate | 3.00% | ||||
Fair Value Inputs, Discount Rate | 15.80% | ||||
Fuller Mexico | Goodwill [Member] | Minimum [Member] | Income Approach Valuation Technique [Member] | |||||
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |||||
Fair value, intangible assets, income approach, growth rate assumption | (10.00%) | ||||
Fuller Mexico | Goodwill [Member] | Maximum [Member] | Income Approach Valuation Technique [Member] | |||||
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |||||
Fair value, intangible assets, income approach, growth rate assumption | 4.00% | ||||
Fuller Mexico | Goodwill [Member] | |||||
Impairment Testing, Goodwill and Intangible Assets [Line Items] | |||||
Goodwill impairment | $ 62.9 | ||||
Goodwill | $ 17.4 |
Goodwill and Intangible Asset65
Goodwill and Intangible Assets (Goodwill) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 24, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | |
Goodwill [Roll Forward] | ||||
Gross goodwill, beginning balance | $ 237.3 | $ 251 | ||
Effect of changes in exchange rates | 9.2 | (13.7) | ||
Gross goodwill, ending balance | 246.5 | 237.3 | ||
Goodwill, Accumulated Impairment [Abstract] | ||||
Accumulated impairment, beginning balance | 104.7 | 104.7 | ||
Goodwill impairment | 62.9 | 0 | ||
Accumulated impairment, ending balance | 167.6 | 104.7 | ||
Europe [Member] | ||||
Goodwill [Roll Forward] | ||||
Gross goodwill, beginning balance | 29.3 | 28.9 | ||
Effect of changes in exchange rates | 0.6 | 0.4 | ||
Gross goodwill, ending balance | 29.9 | 29.3 | ||
Goodwill, Accumulated Impairment [Abstract] | ||||
Accumulated impairment, beginning balance | 24.5 | 24.5 | ||
Goodwill impairment | 0 | 0 | ||
Accumulated impairment, ending balance | 24.5 | 24.5 | ||
Asia Pacific [Member] | ||||
Goodwill [Roll Forward] | ||||
Gross goodwill, beginning balance | 75.9 | 74.7 | ||
Effect of changes in exchange rates | 2.2 | 1.2 | ||
Gross goodwill, ending balance | 78.1 | 75.9 | ||
Goodwill, Accumulated Impairment [Abstract] | ||||
Accumulated impairment, beginning balance | 41.3 | 41.3 | ||
Goodwill impairment | 0 | 0 | ||
Accumulated impairment, ending balance | 41.3 | 41.3 | ||
North America [Member] | ||||
Goodwill [Roll Forward] | ||||
Gross goodwill, beginning balance | 128.4 | 143.8 | ||
Effect of changes in exchange rates | 6.5 | (15.4) | ||
Gross goodwill, ending balance | 134.9 | 128.4 | ||
Goodwill, Accumulated Impairment [Abstract] | ||||
Accumulated impairment, beginning balance | 38.9 | 38.9 | ||
Goodwill impairment | 62.9 | 0 | ||
Accumulated impairment, ending balance | 101.8 | 38.9 | ||
South America [Member] | ||||
Goodwill [Roll Forward] | ||||
Gross goodwill, beginning balance | 3.7 | 3.6 | ||
Effect of changes in exchange rates | (0.1) | 0.1 | ||
Gross goodwill, ending balance | 3.6 | 3.7 | ||
Goodwill, Accumulated Impairment [Abstract] | ||||
Accumulated impairment, beginning balance | 0 | 0 | ||
Goodwill impairment | 0 | 0 | ||
Accumulated impairment, ending balance | $ 0 | $ 0 | ||
Goodwill [Member] | ||||
Goodwill, Accumulated Impairment [Abstract] | ||||
Goodwill impairment | $ 0 | $ 0 |
Goodwill and Intangible Asset66
Goodwill and Intangible Assets (Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Finite and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Amortization of Intangible Assets | $ 7.9 | $ 7.6 | $ 8.8 |
Finite-lived intangible assets, accumulated amortization | 31.7 | 23.3 | |
Total intangible assets, gross | 94.2 | 90.6 | $ 101.8 |
Total intangible assets, net | 62.5 | 67.3 | |
Trademarks and tradenames [Member] | |||
Finite and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Finite-lived intangible assets, gross carrying value | 73.1 | 70 | |
Finite-lived intangible assets, accumulated amortization | 31.7 | 23.3 | |
Finite-lived intangible assets, net | 41.4 | 46.7 | |
Trademarks and tradenames [Member] | |||
Finite and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Amortization of Intangible Assets | 0 | 0 | |
Indefinite-lived tradenames | $ 21.1 | $ 20.6 |
Goodwill and Intangible Asset67
Goodwill and Intangible Assets (Identifiable Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 30, 2017 | Dec. 31, 2016 | |
Identifiable Intanglble Assets [Roll Forward] | ||
Beginning balance | $ 90.6 | $ 101.8 |
Effect of changes in exchange rates | 3.6 | (11.2) |
Ending balance | $ 94.2 | $ 90.6 |
Goodwill and Intangible Asset68
Goodwill and Intangible Assets (Amortization Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization of Intangible Assets | $ 7.9 | $ 7.6 | $ 8.8 |
Estimated Annual Amortization Expense [Abstract] | |||
Estimated Amortization Expense, Year One | 7.6 | ||
Estimated Amortization Expense, Year Two | 7.2 | ||
Estimated Amortization Expense, Year Three | 7.2 | ||
Estimated Amortization Expense, Year Four | 7.2 | ||
Estimated Amortization Expense, Year Five | $ 7.2 |
Financing Obligations (Debt Obl
Financing Obligations (Debt Obligations) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | Mar. 11, 2013 | Jun. 02, 2011 | |
Debt Instrument [Line Items] | |||||
Capital Lease Obligations | $ 7.5 | $ 8.4 | |||
Debt and Capital Lease Obligations | 738.1 | 711.9 | |||
Long-term Debt and Capital Lease Obligations, Current | 133 | 105.9 | |||
Long-term debt and capital lease obligations | 605.1 | 606 | |||
Short-term Debt | $ 131 | $ 104 | |||
Short-term Debt, Weighted Average Interest Rate, at Point in Time | 1.90% | 1.50% | |||
Short-term Debt, Average Outstanding Amount | $ 322.3 | $ 357.4 | |||
Short-term Debt, Maximum Amount Outstanding During Period | 389.2 | 429.3 | |||
Line of Credit Facility, Remaining Borrowing Capacity | 553.6 | ||||
Interest Paid | 47.6 | 47.4 | $ 47.8 | ||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 133 | ||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 1.7 | ||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 1.4 | ||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 600.9 | ||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 1.1 | ||||
Fixed rate Senior Notes due 2021 | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 599.5 | 599.4 | |||
Aggregate principal amount | $ 200 | $ 400 | |||
Stated interest rate | 4.75% | ||||
Debt Instrument, Repurchase Required Upon Change of Control, Redemption Price as Percentage of Principal Amount | 101.00% | ||||
Fixed rate Senior Notes due 2021 | Redemption Period, Prior to March 1, 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 100.00% | ||||
Debt Instrument, Percent Spread on Redemption Discount Rate | 0.30% | ||||
Debt Instrument, Description of Variable Rate Basis | Treasury Rate | ||||
Fixed rate Senior Notes due 2021 | Redemption Period, On or After March 1, 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 100.00% | ||||
Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Current Borrowing Capacity | $ 600 | ||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 800 | ||||
Line of Credit Facility, Number of Occasions Permitted to Increase Borrowing Capacity | 3 | ||||
Line of Credit Facility, Additional Borrowing Capacity | $ 200 | ||||
Line of Credit Facility, Remaining Borrowing Capacity | 467.5 | ||||
Belgium facility capital lease | |||||
Debt Instrument [Line Items] | |||||
Capital Lease Obligations | 7.5 | 8.4 | |||
Other Debt Obligations [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 0.1 | $ 0.1 | |||
Short-term Debt [Member] | Weighted Average [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Interest Rate During Period | 2.30% | 1.80% | |||
Uncommitted Lines of credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 86.1 | ||||
London Interbank Offered Rate (LIBOR) [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Basis Spread on Variable Rate | 1.50% | ||||
Subsidiaries [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 325 | ||||
Letter of Credit [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | 50 | ||||
Revolving Credit Facility [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Fair Value of Amount Outstanding | 131 | ||||
Revolving Credit Facility [Member] | Five year Revolving Credit Agreement | Euro | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Fair Value of Amount Outstanding | $ 96.1 | ||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Description of Variable Rate Basis | LIBOR | ||||
Line of Credit Facility, Interest Rate at Period End | 1.92% | ||||
Bridge Loan [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 100 | ||||
Current Portion [Member] | Five year Revolving Credit Agreement | |||||
Debt Instrument [Line Items] | |||||
Long-term Line of Credit | $ 131 | $ 104 |
Financing Obligations (Capital
Financing Obligations (Capital Leases) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 25, 2010 | Dec. 29, 2007 | Dec. 30, 2017 | Dec. 31, 2016 | |
Sale Leaseback Transaction [Line Items] | ||||
Costs related to new facility and equipment | $ 24 | |||
Capital Lease Obligations [Abstract] | ||||
Gross payments | $ 8.3 | $ 9.4 | ||
Less imputed interest | 0.8 | 1 | ||
Total capital lease obligation | 7.5 | 8.4 | ||
Less current maturity | 1.9 | 1.8 | ||
Capital lease obligation - long-term portion | $ 5.6 | $ 6.6 | ||
Belgium Lease 1 [Member] | ||||
Sale Leaseback Transaction [Line Items] | ||||
Capital lease term | 10 years | |||
Lease interest rate | 5.10% | |||
Belgium Lease 2 [Member] | ||||
Sale Leaseback Transaction [Line Items] | ||||
Capital lease term | 15 years | |||
Lease interest rate | 5.10% | |||
Belgium Lease 3 [Member] | ||||
Sale Leaseback Transaction [Line Items] | ||||
Capital lease term | 10 years | |||
Lease interest rate | 2.90% | |||
Initial value of lease | $ 3.8 |
Derivative Financial Instrume71
Derivative Financial Instruments (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives used in hedging transactions, net of tax | $ (3.3) | $ 0.6 | $ (3.5) |
Net cash impact from hedging activity | 0.1 | (2.7) | (17) |
Net accrued gain/(loss) on outstanding derivative instruments | 2.6 | 9.4 | 6.9 |
Fair value hedging relationships | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Pretax gain from forward points on fair value hedges | $ 22.6 | 15.7 | 14.1 |
Cash flow hedging relationships | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Cash flow hedge contract period, minimum | 1 month | ||
Cash flow hedge contract period, maximum | 15 months | ||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimate of Time to Transfer | 12 months | ||
Deferred gain/(loss) on cash flow hedges | $ 1.6 | 4.9 | 4.3 |
Gain (loss) on derivatives used in hedging transactions, net of tax | (3.3) | 0.6 | (3.5) |
Net equity hedging relationships | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) on derivatives used in hedging transactions, net of tax | $ (21.2) | $ 28.6 | $ 54.6 |
Derivative Financial Instrume72
Derivative Financial Instruments (Outstanding Derivative Financial Instruments at Fair Value) (Details) - Forward Contracts [Member] - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | $ 111.1 | $ 116.7 |
Derivative Liability, Notional Amount | 112.1 | $ 109.6 |
United States of America, Dollars | Buy | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 68.9 | |
Euro | Buy | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 23.7 | |
Mexican peso | Sell | ||
Derivative [Line Items] | ||
Derivative Liability, Notional Amount | $ 36.6 |
Derivative Financial Instrume73
Derivative Financial Instruments (Company's Derivative Positions and Their Impact on Financial Position) (Details) - Designated as Hedging Instrument [Member] - Foreign exchange contracts - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 |
Non-trade amounts receivable | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | $ 32.2 | $ 41.1 |
Accrued liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives | $ 29.6 | $ 31.7 |
Derivative Financial Instrume74
Derivative Financial Instruments (Company's Derivative Positions and Their Impact on Company's Operations) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Fair value hedging relationships | Other expense | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivatives | $ 17.2 | $ (41.8) | $ (83.6) |
Amount of gain or (loss) recognized in income on related hedged items | (17.1) | 42.1 | 83.8 |
Cash flow hedging relationships | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in OCI on derivatives (effective portion) | (2.7) | 6.7 | 14.5 |
Cash flow hedging relationships | Interest expense | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amounts excluded from effectiveness testing) | (4.8) | (5.6) | (7.7) |
Cash flow hedging relationships | Cost of products sold | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from accumulated OCI into income (effective portion) | 1.4 | 5.7 | 19.2 |
Net equity hedging relationships | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in OCI on derivatives (effective portion) | (21.6) | 41 | 74.2 |
Net equity hedging relationships | Euro Denominated Debt [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in OCI on derivatives (effective portion) | (11.5) | 3.7 | 11.1 |
Net equity hedging relationships | Interest expense | Foreign exchange contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amounts excluded from effectiveness testing) | $ (26) | $ (20.8) | $ (16.8) |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value of Financial Instruments) (Details) - Fixed rate Senior Notes due 2021 - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 | Jun. 02, 2011 |
Fair Value of Financial Instruments [Line Items] | |||
Stated interest rate | 4.75% | ||
Long-term Debt | $ 599.5 | $ 599.4 | |
Significant Other Observable Inputs (Level 2) | |||
Fair Value of Financial Instruments [Line Items] | |||
Long-term Debt, Fair Value | $ 631.6 |
Accumulated Other Comprehensi76
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Accumulated Other Comprehensive Loss [Roll Forward] | |||
Beginning balance | $ (571.5) | $ (522) | $ (408.7) |
Other comprehensive income (loss) before reclassifications | 41.7 | (49.7) | (102.1) |
Amounts reclassified from accumulated other comprehensive loss | 0.4 | 0.2 | (11.2) |
Net other comprehensive income (loss) | 42.1 | (49.5) | (113.3) |
Ending balance | (529.4) | (571.5) | (522) |
Amounts reclassified from accumulated other comprehensive loss, cash flow hedges, before tax | 1.4 | 5.7 | 19.2 |
Amounts reclassified from accumulated other comprehensive loss, cash flow hedges, tax | (0.6) | (1.4) | (4.4) |
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, prior service benefit, before tax | 1.3 | 1.2 | 1.3 |
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, pension settlement costs, before tax | (1) | (3.9) | (1.6) |
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, actuarial losses, before tax | (2) | (2.6) | (4.5) |
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, tax | 0.5 | 0.8 | 1.2 |
Foreign Currency Items | |||
Accumulated Other Comprehensive Loss [Roll Forward] | |||
Beginning balance | (544.3) | (490.6) | (368.3) |
Other comprehensive income (loss) before reclassifications | 42.4 | (53.7) | (122.3) |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | 0 |
Net other comprehensive income (loss) | 42.4 | (53.7) | (122.3) |
Ending balance | (501.9) | (544.3) | (490.6) |
Cash Flow Hedges | |||
Accumulated Other Comprehensive Loss [Roll Forward] | |||
Beginning balance | 4.9 | 4.3 | 7.8 |
Other comprehensive income (loss) before reclassifications | (2.5) | 4.9 | 11.3 |
Amounts reclassified from accumulated other comprehensive loss | (0.8) | (4.3) | (14.8) |
Net other comprehensive income (loss) | (3.3) | 0.6 | (3.5) |
Ending balance | 1.6 | 4.9 | 4.3 |
Pension and Other Post-retirement Items | |||
Accumulated Other Comprehensive Loss [Roll Forward] | |||
Beginning balance | (32.1) | (35.7) | (48.2) |
Other comprehensive income (loss) before reclassifications | 1.8 | (0.9) | 8.9 |
Amounts reclassified from accumulated other comprehensive loss | 1.2 | 4.5 | 3.6 |
Net other comprehensive income (loss) | 3 | 3.6 | 12.5 |
Ending balance | $ (29.1) | $ (32.1) | $ (35.7) |
Statements of Cash Flows Supp77
Statements of Cash Flows Supplemental Disclosure (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Other Significant Noncash Transactions [Line Items] | |||
Shares paid for tax withholding for share based compensation, shares | 40,777 | 30,703 | 22,344 |
Shares paid for tax withholding for share based compensation, value | $ 2.5 | $ 1.7 | $ 1.5 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Operating Loss Carryforwards [Line Items] | |||
Tax cuts and Jobs Act of 2017, U.S Federal Corporate Tax Rate | 21.00% | ||
Domestic and foreign components of income (loss) before taxes [Abstract] | |||
Domestic | $ (76.2) | $ (44.8) | $ (67.5) |
Foreign | 261.3 | 346.1 | 327.4 |
Income before income taxes | 185.1 | 301.3 | 259.9 |
Current: | |||
Federal | 25.6 | (23.8) | (22.8) |
Foreign | 136.9 | 114.1 | 92.6 |
State | 2.1 | 1.4 | (0.8) |
Current provision (benefit) for income taxes | 164.6 | 91.7 | 69 |
Deferred: | |||
Federal | 312.9 | (14.7) | (13.8) |
Foreign | (25.6) | 0.2 | 18.2 |
State | (1.4) | 0.5 | 0.7 |
Deferred provision (benefit) for income taxes | 285.9 | (14) | 5.1 |
Provision for income taxes | 450.5 | 77.7 | 74.1 |
Reconciliation between provision for income taxes and income taxes computed using U.S. federal statutory rate [Abstract] | |||
Amount computed using statutory rate | 64.8 | 105.5 | 91 |
Increase (reduction) in taxes resulting from: | |||
Net impact from repatriating foreign earnings and direct foreign tax credits | (5.8) | (16.3) | (7.9) |
Foreign income taxes | 14.3 | (7.5) | (4.6) |
Impact of non-deductible currency translation losses | 0 | 0 | 3.1 |
Impact of changes in U.S. tax legislation | 375 | (2.7) | 0 |
Other changes in valuation allowances for deferred tax assets | 5.3 | (0.1) | (0.4) |
Foreign and domestic tax audit settlement and adjustments | (2.5) | 0 | (2.4) |
Other | (0.6) | (1.2) | (4.7) |
Total | 450.5 | 77.7 | 74.1 |
Gross deferred tax liabilities [Abstract] | |||
Purchased intangibles | (20.3) | (21.7) | |
Other | (6.5) | (14.1) | |
Deferred Tax Liabilities, Gross | 26.8 | 35.8 | |
Gross deferred tax assets [Abstract] | |||
Credit and net operating loss carry forwards (net of unrecognized tax benefits) | 295.9 | 301.2 | |
Employee benefits accruals | 51 | 63.1 | |
Deferred costs | 48 | 92.2 | |
Fixed assets basis differences | 17.8 | 22.4 | |
Capitalized intangibles | 21.4 | 34.2 | |
Other accruals | 33.5 | 32.1 | |
Accounts receivable | 10.7 | 11.3 | |
Post-retirement benefits | 4.5 | 7.1 | |
Depreciation | 11.2 | 13.4 | |
Inventory | 5.3 | 6.4 | |
Deferred Tax Assets, Gross | 499.3 | 583.4 | |
Valuation allowances | (235.5) | (24.8) | |
Net deferred tax assets | 237 | 522.8 | |
Operating loss carryforwards subject to expiration | 217.1 | ||
Income taxes paid, net | 123.3 | 118.7 | 113.7 |
Net benefit of tax holiday | 0.7 | 1.3 | 2.6 |
Reconciliation of unrecognized tax benefits [Roll Forward] | |||
Unrecognized tax benefits beginning balance | 20.7 | 21.8 | 22.5 |
Additions based on tax positions related to the current year | 3.6 | 2.7 | 3.3 |
Additions for tax positions of prior year | 2.2 | 1.2 | 3.4 |
Reduction for tax positions of prior years | (3) | (1.2) | (1.6) |
Settlements | (1.2) | 0 | (1.1) |
Reductions for lapse in statute of limitations | (3.7) | (3.1) | (3.2) |
Unrecognized Tax Benefits, Increase Resulting from Foreign Currency Translation | 1.2 | ||
Impact of foreign currency rate changes versus the U.S. dollar | (0.7) | (1.5) | |
Unrecognized tax benefits ending balance | 19.8 | 20.7 | 21.8 |
Unrecognized tax benefits that would impact effective tax rate | 19.2 | ||
Accrued interest and penalties | 7.3 | 7.1 | |
Interest and penalties provision (benefit) | 0.2 | 1.1 | $ 0 |
Estimated maximum decrease in uncertain tax positions accrual due to settlements in the next twelve months | 0.8 | ||
Undistributed earnings of international subsidiaries | 1,700 | ||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Provisional Income Tax Expense(Benefit) | 264 | ||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Transition Tax for accumulated foreign earnings, Provisional Income Tax Expense(Benefit) | 96 | ||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Reversal of Net Tax Benefits(Expense) | 15 | ||
State [Member] | |||
Gross deferred tax assets [Abstract] | |||
Operating loss carryforwards | 9 | ||
Foreign [Member] | |||
Gross deferred tax assets [Abstract] | |||
Valuation allowances | (37.5) | ||
Operating loss carryforwards | 300.1 | ||
Deferred Tax Assets, Operating Loss Carryforwards | 86.9 | ||
Cash benefits related to operating loss carryforward | 6.3 | ||
Tax credit carryforwards | 199.2 | 215 | |
Tax Credit Carryforward, Valuation Allowance | 188.8 | $ 0 | |
Foreign [Member] | Expiring in 2026 [Member] | |||
Gross deferred tax assets [Abstract] | |||
Operating loss carryforwards subject to expiration | 29.7 | ||
Federal [Member] | |||
Gross deferred tax assets [Abstract] | |||
Valuation allowances | (5.2) | ||
Operating loss carryforwards | 14.2 | ||
Deferred Tax Asset [Member] | Federal [Member] | Expiring in 2020-2035 [Member] | |||
Gross deferred tax assets [Abstract] | |||
Operating loss carryforwards subject to expiration | $ 3 |
Retirement Benefit Plans (Net F
Retirement Benefit Plans (Net Funded Status and Amounts Recognized in Balance Sheet) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Change in Fair Value of Plan Assets [Roll Forward] | |||
Accrued benefit liabilty | $ (144.1) | $ (142.5) | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||
Accumulated other comprehensive loss (pretax) | 40.1 | 44.4 | |
Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets [Abstract] | |||
Accumulated benefit obligation | 190.6 | 196.9 | |
Fair value of plan assets | 84.7 | 93.7 | |
Pension Benefits [Member] | |||
Change in Benefit Obligation [Roll Forward] | |||
Service cost | 10.4 | 11.8 | $ 10.8 |
Interest cost | 5.6 | 6.7 | 6.9 |
Change in Fair Value of Plan Assets [Roll Forward] | |||
Beginning balance | 103.9 | ||
Ending balance | 116.7 | 103.9 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||
Unrecognized transition obligation | 2.4 | 2.2 | |
Unrecognized prior service cost (benefit) | 1.2 | 1.1 | |
Unreocognized net actuarial loss | 42.7 | 47.4 | |
Accumulated other comprehensive loss (pretax) | 46.3 | 50.7 | |
Accumulated benefit obligation | 220.9 | 205.7 | |
Pension Benefits [Member] | Domestic Plan [Member] | |||
Change in Benefit Obligation [Roll Forward] | |||
Beginning balance, benefit obligations | 49.8 | 59.2 | |
Service cost | 0 | 0.3 | |
Interest cost | 1.7 | 2.2 | |
Actuarial (gain) loss | 1.3 | (2.9) | |
Benefits paid | (2.1) | (0.9) | |
Impact of exchange rates | 0 | 0 | |
Plan participant contributions | 0 | 0 | |
Settlements/Curtailments | 0 | (8.1) | |
Ending balance, benefit obligations | 50.7 | 49.8 | 59.2 |
Change in Fair Value of Plan Assets [Roll Forward] | |||
Beginning balance | 27 | 33.9 | |
Actual return on plan assets | 4.4 | 2.8 | |
Company contributions | 0 | 0 | |
Plan participant contributions | 0 | 0 | |
Benefits and expenses paid | (2.4) | (1.6) | |
Impact of exchange rates | 0 | 0 | |
Settlements | 0 | (8.1) | |
Ending balance | 29 | 27 | 33.9 |
Funded status of plan | (21.7) | (22.8) | |
Pension Benefits [Member] | Foreign Plan [Member] | |||
Change in Benefit Obligation [Roll Forward] | |||
Beginning balance, benefit obligations | 179.6 | 183.3 | |
Service cost | 10.4 | 11.3 | |
Interest cost | 3.8 | 4.5 | |
Actuarial (gain) loss | (2.2) | 7.3 | |
Benefits paid | (7.9) | (7.8) | |
Impact of exchange rates | 14.1 | (11) | |
Plan participant contributions | 0.6 | 0.8 | |
Settlements/Curtailments | (3.5) | (8.8) | |
Ending balance, benefit obligations | 194.9 | 179.6 | 183.3 |
Change in Fair Value of Plan Assets [Roll Forward] | |||
Beginning balance | 76.9 | 78.2 | |
Actual return on plan assets | 5 | 2.2 | |
Company contributions | 10.8 | 14.2 | |
Plan participant contributions | 0.8 | 0.8 | |
Benefits and expenses paid | (8.3) | (7.8) | |
Impact of exchange rates | 5.7 | (1.9) | |
Settlements | (3.2) | (8.8) | |
Ending balance | 87.7 | 76.9 | 78.2 |
Funded status of plan | (107.2) | (102.7) | |
Postretirement Benefits [Member] | |||
Change in Benefit Obligation [Roll Forward] | |||
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 0.7 | 0.7 | 0.7 |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |||
Unrecognized transition obligation | 0 | 0 | |
Unrecognized prior service cost (benefit) | (6) | (7.3) | |
Unreocognized net actuarial loss | (0.2) | 1 | |
Accumulated other comprehensive loss (pretax) | (6.2) | (6.3) | |
Postretirement Benefits [Member] | Domestic Plan [Member] | |||
Change in Benefit Obligation [Roll Forward] | |||
Beginning balance, benefit obligations | 17 | 18.3 | |
Service cost | 0.1 | 0.1 | |
Interest cost | 0.7 | 0.7 | |
Actuarial (gain) loss | (1.1) | (0.2) | |
Benefits paid | (1.5) | (1.9) | |
Impact of exchange rates | 0 | 0 | |
Plan participant contributions | 0 | 0 | |
Settlements/Curtailments | 0 | 0 | |
Ending balance, benefit obligations | 15.2 | 17 | 18.3 |
Change in Fair Value of Plan Assets [Roll Forward] | |||
Beginning balance | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Company contributions | 1.5 | 1.9 | |
Plan participant contributions | 0 | 0 | |
Benefits and expenses paid | (1.5) | (1.9) | |
Impact of exchange rates | 0 | 0 | |
Settlements | 0 | 0 | |
Ending balance | 0 | 0 | $ 0 |
Funded status of plan | $ (15.2) | $ (17) |
Retirement Benefit Plans (Compo
Retirement Benefit Plans (Components of Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 30, 2017 | Dec. 31, 2016 | |
Pension and Postretirement Expenses to be Recognized in Next Fiscal Year [Abstract] | ||
Expected recognition of prior service benefit | $ 1.4 | |
Expected recognition of net acturial loss | 0.3 | |
Pension Benefits [Member] | ||
Other Comprehensive Income (Loss) [Abstract] | ||
Net prior service cost | 0 | $ 0 |
Net actuarial (gain) | (8.5) | (12.3) |
Impact of exchange rates | 4.1 | 8 |
Other comprehensive (income) loss | (4.4) | (4.3) |
Postretirement Benefits [Member] | ||
Other Comprehensive Income (Loss) [Abstract] | ||
Net prior service cost | 1.3 | 1.3 |
Net actuarial (gain) | (1.2) | (0.2) |
Impact of exchange rates | 0 | 0 |
Other comprehensive (income) loss | $ 0.1 | $ 1.1 |
Retirement Benefit Plans (Net P
Retirement Benefit Plans (Net Periodic Benefit Cost and Weighted Average Assumptions) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Postretirement Benefits [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost and expenses | $ 0.1 | $ 0.1 | $ 0.1 |
Interest cost | 0.7 | 0.7 | 0.7 |
Return on plan assets | 0 | 0 | 0 |
Settlement/Curtailment | 0 | 0 | 0 |
Defined Benefit Plan, Employee Contribution | 0 | 0 | 0 |
Net deferral | (1.3) | (1.3) | (1.3) |
Net periodic benefit cost (income) | (0.5) | (0.5) | $ (0.5) |
Postretirement Benefits [Member] | Domestic Plan [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost and expenses | 0.1 | 0.1 | |
Interest cost | $ 0.7 | $ 0.7 | |
Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate, net periodic benefit cost | 4.00% | 4.00% | 3.80% |
Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate, benefit obligations | 3.50% | 4.00% | 4.00% |
Pension Benefits [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost and expenses | $ 10.4 | $ 11.8 | $ 10.8 |
Interest cost | 5.6 | 6.7 | 6.9 |
Return on plan assets | (4.4) | (5.3) | (5.3) |
Settlement/Curtailment | 1 | 3.9 | 1.7 |
Defined Benefit Plan, Employee Contribution | (0.2) | (0.2) | (0.2) |
Net deferral | 2 | 2.7 | 4.5 |
Net periodic benefit cost (income) | 14.4 | 19.6 | $ 18.4 |
Pension Benefits [Member] | Domestic Plan [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost and expenses | 0 | 0.3 | |
Interest cost | $ 1.7 | $ 2.2 | |
Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate, net periodic benefit cost | 3.80% | 3.90% | 3.60% |
Expected return on plan assets | 7.30% | 8.30% | 8.30% |
Salary growth rate, net periodic benefit cost | 0.00% | 0.00% | 3.00% |
Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate, benefit obligations | 3.30% | 3.70% | 3.90% |
Salary growth rate, benefit obligations | 0.00% | 0.00% | 0.00% |
Pension Benefits [Member] | Foreign Plan [Member] | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost and expenses | $ 10.4 | $ 11.3 | |
Interest cost | $ 3.8 | $ 4.5 | |
Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Expected return on plan assets | 3.10% | 3.20% | 3.40% |
Salary growth rate, net periodic benefit cost | 2.70% | 2.90% | 3.10% |
Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate, benefit obligations | 2.20% | 2.30% | 2.40% |
Retirement Benefit Plans (Weigh
Retirement Benefit Plans (Weighted-Average Asset Allocations) (Details) | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Domestic Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 100.00% | 100.00% | |
Domestic Plan [Member] | Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 7.30% | 8.30% | 8.30% |
Domestic Plan [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 63.00% | 62.00% | |
Domestic Plan [Member] | Debt Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 37.00% | 38.00% | |
Domestic Plan [Member] | Cash and Money Market Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 0.00% | 0.00% | |
Domestic Plan [Member] | Guaranteed Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 0.00% | 0.00% | |
Domestic Plan [Member] | Other [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 0.00% | 0.00% | |
Foreign Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 100.00% | 100.00% | |
Foreign Plan [Member] | Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 3.10% | 3.20% | 3.40% |
Foreign Plan [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 26.00% | 27.00% | |
Foreign Plan [Member] | Debt Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 16.00% | 16.00% | |
Foreign Plan [Member] | Cash and Money Market Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 7.00% | 6.00% | |
Foreign Plan [Member] | Guaranteed Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 49.00% | 50.00% | |
Foreign Plan [Member] | Other [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Weighted-average asset allocations | 2.00% | 1.00% |
Retirement Benefit Plans Fair V
Retirement Benefit Plans Fair Value of Pension Plan Assets (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | ||
Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 100.00% | 100.00% | ||
Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 100.00% | 100.00% | ||
Guaranteed Insurance Contract [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 0.00% | 0.00% | ||
Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 49.00% | 50.00% | ||
Equity Securities [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 63.00% | 62.00% | ||
Equity Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 26.00% | 27.00% | ||
Debt Securities [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 37.00% | 38.00% | ||
Debt Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 16.00% | 16.00% | ||
Australia | Investment Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [1] | $ 2.5 | $ 2.6 | |
Switzerland | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 32.8 | 28.5 | |
Germany | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 5.6 | 5 | |
Belgium | Mutual Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [3] | 25.2 | 21.8 | |
Austria | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0.4 | 0.4 | |
Korea | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 4.1 | 4 | |
Japan | Common/Collective Trust [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [4] | $ 12.8 | 10.9 | |
Japan | Bonds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 50.00% | |||
Japan | Other Long-term Investments [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 47.00% | |||
Japan | Short-term Investments [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 53.00% | |||
Japan | Equity Securities, Japanese Companies [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 40.00% | |||
Japan | Equity Securities, Companies Outside of Japan [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 7.00% | |||
Japan | Cash and Cash Equivalents [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 3.00% | |||
Philippines | Fixed Income Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | $ 1.8 | $ 1.4 | |
Target plan asset allocations | 38.00% | 38.00% | ||
Philippines | Equity Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 57.00% | 57.00% | ||
Philippines | Equity Funds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | $ 2.6 | $ 2.3 | |
Philippines | Cash and Cash Equivalents [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 5.00% | 5.00% | ||
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 116.7 | $ 103.9 | ||
Pension Benefits [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 7.30% | 8.30% | 8.30% | |
Fair value of plan assets | $ 29 | $ 27 | $ 33.9 | |
Discount rate, benefit obligations | 3.30% | 3.70% | 3.90% | |
Pension Benefits [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected return on plan assets | 3.10% | 3.20% | 3.40% | |
Fair value of plan assets | $ 87.7 | $ 76.9 | $ 78.2 | |
Discount rate, benefit obligations | 2.20% | 2.30% | 2.40% | |
Pension Benefits [Member] | United States Small Stocks [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 21.00% | 20.00% | ||
Pension Benefits [Member] | International Stocks [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 10.00% | 10.00% | ||
Pension Benefits [Member] | United States Large Stocks [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 32.00% | 32.00% | ||
Pension Benefits [Member] | Common/Collective Trust [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [6] | $ 28.9 | $ 27 | |
Pension Benefits [Member] | Fixed Income Securities [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 40.00% | 40.00% | ||
Pension Benefits [Member] | Equity Securities [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 60.00% | 60.00% | ||
Pension Benefits [Member] | Australia | Investment Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Minimum long-term net return above inflation | 3.50% | 4.00% | ||
Pension Benefits [Member] | Australia | Equity Securities, Australian Companies [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 16.00% | 31.00% | ||
Pension Benefits [Member] | Australia | Equity Securities, Companies Outside of Australia [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 44.00% | 41.00% | ||
Pension Benefits [Member] | Australia | Real Estate [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 9.00% | 9.00% | ||
Pension Benefits [Member] | Australia | Government and Corporate Bonds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 17.00% | 12.00% | ||
Pension Benefits [Member] | Australia | Cash [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 14.00% | 7.00% | ||
Pension Benefits [Member] | Belgium | Fixed Income Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 38.00% | 38.00% | ||
Pension Benefits [Member] | Belgium | Equity Securities, Large-cap European Companies [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 27.00% | 27.00% | ||
Pension Benefits [Member] | Belgium | Equity Securities, Small-cap European Companies [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 17.00% | 17.00% | ||
Pension Benefits [Member] | Belgium | U.S. and Emerging Markets Equities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 8.00% | 7.00% | ||
Pension Benefits [Member] | Belgium | European and U.S. Government Bonds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 31.00% | 32.00% | ||
Pension Benefits [Member] | Belgium | Money Market Funds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 17.00% | 17.00% | ||
Pension Benefits [Member] | Belgium | Equity Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations | 62.00% | 62.00% | ||
Pension Benefits [Member] | Japan | Common/Collective Trust [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 100.00% | 100.00% | ||
Pension Benefits [Member] | Japan | Government and Corporate Bonds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 53.00% | 50.00% | ||
Pension Benefits [Member] | Japan | Equity Securities, Japanese Companies [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 36.00% | 40.00% | ||
Pension Benefits [Member] | Japan | Equity Securities, Companies Outside of Japan [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 7.00% | 7.00% | ||
Pension Benefits [Member] | Japan | Cash and Cash Equivalents [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Weighted-average asset allocations | 4.00% | 3.00% | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Australia | Investment Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [1] | $ 0 | $ 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Switzerland | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Germany | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Belgium | Mutual Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [3] | 25.2 | 21.8 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Austria | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Korea | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Japan | Common/Collective Trust [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [4] | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Philippines | Fixed Income Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | 1.8 | 1.4 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Philippines | Equity Funds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | 2.6 | 2.3 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 29.6 | 25.5 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pension Benefits [Member] | Common/Collective Trust [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [6] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Australia | Investment Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [1] | 2.5 | 2.6 | |
Significant Other Observable Inputs (Level 2) | Switzerland | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Germany | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Belgium | Mutual Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [3] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Austria | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Korea | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Japan | Common/Collective Trust [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [4] | 12.8 | 10.9 | |
Significant Other Observable Inputs (Level 2) | Philippines | Fixed Income Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Philippines | Equity Funds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 44.2 | 40.5 | ||
Significant Other Observable Inputs (Level 2) | Pension Benefits [Member] | Common/Collective Trust [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [6] | 28.9 | 27 | |
Significant Unobservable Inputs (Level 3) | Australia | Investment Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [1] | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Switzerland | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 32.8 | 28.5 | |
Significant Unobservable Inputs (Level 3) | Germany | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 5.6 | 5 | |
Significant Unobservable Inputs (Level 3) | Belgium | Mutual Fund [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [3] | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Austria | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 0.4 | 0.4 | |
Significant Unobservable Inputs (Level 3) | Korea | Guaranteed Insurance Contract [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [2] | 4.1 | 4 | |
Significant Unobservable Inputs (Level 3) | Japan | Common/Collective Trust [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [4] | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Philippines | Fixed Income Securities [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Philippines | Equity Funds [Member] | Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [5] | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 42.9 | 37.9 | $ 38.7 | |
Significant Unobservable Inputs (Level 3) | Pension Benefits [Member] | Common/Collective Trust [Member] | Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | [6] | $ 0 | $ 0 | |
[1] | For 2017 and 2016, the strategy of this fund is to achieve a long-term net return of at least 3.5 percent and 4 percent above inflation based on the Australian consumer price index over a rolling five-year period, respectively. The investment strategy is to invest mainly in equities and property, which are expected to earn relatively higher returns over the long term. The fair value of the fund is determined using the net asset value per share using quoted market prices or other observable inputs in active markets. As of December 30, 2017 and December 31, 2016, the percentage of funds held in investments included: Australian equities of 16 percent and 31 percent, other equities of listed companies outside of Australia of 44 percent and 41 percent, government and corporate bonds of 17 percent and 12 percent and cash of 14 percent and 7 percent, respectively and real estate of 9 percent | |||
[2] | The strategy of the Company's plans in Austria, Germany, Korea and Switzerland is to seek to ensure the future benefit payments of their participants and manage market risk. This is achieved by funding the pension obligations through guaranteed insurance contracts. The plan assets operate similar to investment contracts whereby the interest rate, as well as the surrender value, is guaranteed. The fair value is determined as the contract value, using a guaranteed rate of return which will increase if the market performance exceeds that return. | |||
[3] | The strategy of the Belgian plan in each period presented is to seek to achieve a return greater than or equal to the return that would have been earned by a portfolio invested approximately 62 percent in equity securities and 38 percent in fixed income securities. The fair value of the fund is calculated using the net asset value per share as determined by the quoted market prices of the underlying investments. As of December 30, 2017 and December 31, 2016, the percentage of funds held in various asset classes included: large-cap equities of European companies of 27 percent, small-cap equities of European companies of 17 percent, and money market fund of 17 percent in each year, bonds, primarily from European and U.S. governments, of 31 percent and 32 percent, and equities outside of Europe, mainly in the U.S. and emerging markets, 8 percent and 7 percent, respectively. | |||
[4] | The Company's strategy is to invest approximately 47 percent of assets to benefit from the higher expected returns from long-term investments in equities and to invest 53 percent of assets in short-term low investment risk instruments to fund near term benefits payments. The target allocation for plan assets to implement this strategy is 40 percent equities in Japanese listed securities, 7 percent in equities outside of Japan, 3 percent in cash and other short-term investments and 50 percent in domestic Japanese bonds. This strategy has been achieved through a collective trust that held 100 percent of total funded assets as of December 30, 2017 and December 31, 2016. As of the end of December 30, 2017 and December 31, 2016, the allocation of funds within the common collective trust included: 36 percent and 40 percent in Japanese equities, 53 percent and 50 percent in Japanese bonds, and 4 percent and 3 percent in cash and other short term investments, respectively and 7 percent in equities of companies based outside of Japan in each year. The fair value of the collective trust is determined by the market value of the underlying shares, which are traded in active markets. | |||
[5] | In both years, the investment strategy in the Philippines was to achieve an appropriate balance between risk and return, from a diversified portfolio of Philippine peso denominated bonds and equities. The target asset class allocations is 57 percent in equity securities, 38 percent fixed income securities and 5 percent in cash and deposits. The fixed income securities at year end included assets valued using a weighted average of completed deals on similarly termed government securities, as well as balances invested in short term deposit accounts. The equity index fund was valued at the closing price of the active market in which it was traded. | |||
[6] | The investment strategy of the U.S. pension plan for each period presented was to achieve a return greater than or equal to the return that would have been earned by a portfolio invested approximately 60 percent in equity securities and 40 percent in fixed income securities. As of the years ended December 30, 2017 and December 31, 2016, the common trusts held 63 percent and 62 percent of its assets in equity securities and 37 percent and 38 percent in fixed income securities, respectively. The percentage of funds invested in equity securities at the end of 2017 and 2016, included: 10 percent in international stocks, 32 percent in large U.S. stocks in each year and 21 percent and 20 percent in small U.S. stocks, respectively. The common trusts are comprised of shares or units in commingled funds that are not publicly traded. The underlying assets in these funds (equity securities and fixed income securities) are valued using quoted market prices. |
Retirement Benefit Plans (Recon
Retirement Benefit Plans (Reconciliation of Fair Value Measurements) (Details) - Pension Benefits [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 30, 2017 | Dec. 31, 2016 | |
Reconciliation of Beginning and Ending Balances of Fair Value Measurements Using Significant Unobservable Inputs (Level 3) [Roll Forward] | ||
Beginning balance | $ 103.9 | |
Ending balance | 116.7 | $ 103.9 |
Significant Unobservable Inputs (Level 3) | ||
Reconciliation of Beginning and Ending Balances of Fair Value Measurements Using Significant Unobservable Inputs (Level 3) [Roll Forward] | ||
Beginning balance | 37.9 | 38.7 |
Realized gains | 1.1 | 0.9 |
Purchases, sales and settlements, net | 1.7 | (0.4) |
Impact of exchange rates | 2.2 | (1.3) |
Ending balance | $ 42.9 | $ 37.9 |
Retirement Benefit Plans (Expec
Retirement Benefit Plans (Expected Future Payments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Cost of savings, thrift and profit-sharing plans | $ 6.5 | $ 6.1 | $ 7.4 |
Estimated Future Benefit Payments [Abstract] | |||
2018, Benefit plans | 14.9 | ||
2019, Benefit plans | 28.4 | ||
2020, Benefit plans | 14.1 | ||
2021, Benefit plans | 14.6 | ||
2022, Benefit plans | 17.4 | ||
2023-2027, Benefit plans | 76.9 | ||
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Estimated contributions in next fiscal year | 11 | ||
Estimated Future Benefit Payments [Abstract] | |||
2018, Benefit plans | 13.4 | ||
2019, Benefit plans | 27 | ||
2020, Benefit plans | 12.8 | ||
2021, Benefit plans | 13.3 | ||
2022, Benefit plans | 16.2 | ||
2023-2027, Benefit plans | 72 | ||
Postretirement Benefits [Member] | |||
Estimated Future Benefit Payments [Abstract] | |||
2018, Benefit plans | 1.5 | ||
2019, Benefit plans | 1.4 | ||
2020, Benefit plans | 1.3 | ||
2021, Benefit plans | 1.3 | ||
2022, Benefit plans | 1.2 | ||
2023-2027, Benefit plans | 4.9 | ||
Postretirement Benefits [Member] | Domestic Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Estimated contributions in next fiscal year | $ 1.5 |
Incentive Compensation Plans (D
Incentive Compensation Plans (Details) - USD ($) $ in Millions | 12 Months Ended | 128 Months Ended | |||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 30, 2017 | May 24, 2016 | |
Compensation Expense [Abstract] | |||||
Compensation expense | $ 22.6 | $ 20 | $ 20 | ||
Tax benefit from compensation expense | 8.1 | $ 7.2 | $ 7.2 | ||
Unrecognized stock based compensation expense | $ 27 | $ 27 | |||
Unrecognized stock based compensation expense, period of recognition (in months) | 24 months | ||||
Repurchase of Stock [Abstract] | |||||
Stock repurchase program, authorized amount | $ 2,000 | $ 2,000 | |||
Repurchase of common stock, shares | 0 | 0 | 0 | 21,300,000 | |
Repurchase of common stock, value | $ 0 | $ 0 | $ 0 | $ 1,290 | |
Incentive Plan 2010 [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares available for grant | 2,979,087 | 2,979,087 | 3,500,000 | ||
Restricted Stock, Restricted Stock Units, Performance Vested and Market Vested Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Non-vested shares outstanding | 635,507 | 602,940 | 635,507 | ||
Fair value of restricted stock, restricted stock units, performance vested and market vested awards vested | $ 12.8 | $ 12.4 | $ 20.9 | ||
Cash Settled Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Non-vested shares outstanding | 17,525 | 18,174 | 27,582 | 17,525 | |
Fair value of restricted stock, restricted stock units, performance vested and market vested awards vested | $ 1.1 | $ 1 | $ 1.5 | ||
Compensation Expense [Abstract] | |||||
Cash performance expense | $ 11 | $ 18.7 | $ 21.5 |
Incentive Compensation Plans (S
Incentive Compensation Plans (Stock Options) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Outstanding shares subject to option, at beginning of period | 2,722,965 | ||
Outstanding weighted average exercise price per share, at beginning of period | $ 57.78 | ||
Outstanding shares subject to option, granted | 640,242 | ||
Outstanding weighted average exercise price per share, granted | $ 58.21 | ||
Outstanding shares subject to option, expired/forfeited | (47,111) | ||
Outstanding weighted average exercise price per share, expired/forfeited | $ 66.95 | ||
Outstanding shares subject to option, exercised | (270,780) | ||
Outstanding weighted average exercise price per share, exercised | $ 43.88 | ||
Outstanding shares subject to option, at end of period | 3,045,316 | 2,722,965 | |
Outstanding weighted average exercise price per share, at end of period | $ 58.96 | $ 57.78 | |
Exercisable shares subject to option exercisable at end of period, at end of period | 1,802,768 | ||
Exercisable weighted average exercise price per share, at end of period | $ 59.55 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 16.1 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | 10.4 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Total intrinsic value of options exercised | $ 6.2 | $ 1.2 | $ 20.8 |
Average remaining contractual life for outstanding options (in years) | 7 years 1 month 2 days | ||
Average remaining contractual life of exercisable options (in years) | 5 years 7 months 20 days | ||
Weighted average estimated grant date fair value | $ 10.48 | $ 10.67 | $ 13.13 |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Term awards become exercisable | 3 years | ||
Term options expire from grant date (in years) | 10 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Dividend yield | 4.40% | 4.70% | 4.30% |
Expected volatility | 29.00% | 30.00% | 36.00% |
Risk-free interest rate | 2.20% | 2.10% | 2.10% |
Expected life (in years) | 7 years | 7 years | 7 years |
Incentive Compensation Plans (P
Incentive Compensation Plans (Performance Awards, Restricted Stock and Restricted Stock Units) (Details) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 30, 2017USD ($)Plans$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 26, 2015USD ($)$ / sharesshares | |
Restricted Stock, Restricted Stock Units, Performance Vested and Market Vested Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of restricted stock, restricted stock units, performance vested and market vested awards vested | $ | $ 12.8 | $ 12.4 | $ 20.9 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Non-vested shares outstanding, beginning balance | 602,940 | ||
Weighted average grant date fair value, beginning of period | $ / shares | $ 61.28 | ||
Weighted average grant date fair value, granted | $ / shares | $ 60.32 | $ 55.39 | $ 61.89 |
Shares outstanding, performance share adjustments | 27,380 | ||
Weighted average grant date fair value, performance share adjustments | $ / shares | $ 58.35 | ||
Shares outstanding, vested | (207,650) | ||
Weighted average grant date fair value, vested | $ / shares | $ 67.60 | ||
Shares outstanding, forfeited | (42,529) | ||
Weighted average grant date fair value, forfeited | $ / shares | $ 62.98 | ||
Non-vested shares outstanding, ending balance | 635,507 | 602,940 | |
Weighted average grant date fair value, end of period | $ / shares | $ 58.59 | $ 61.28 | |
Time Vested [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares outstanding, granted | 153,581 | ||
Weighted average grant date fair value, granted | $ / shares | $ 60.12 | ||
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Term awards become exercisable | 3 years | ||
Change in estimated number of shares expected to vest | 27,380 | ||
Number of share based compensation plans | Plans | 3 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares outstanding, granted | 76,615 | ||
Weighted average grant date fair value, granted | $ / shares | $ 60.39 | ||
Market Vested [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Term awards become exercisable | 3 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Shares outstanding, granted | 25,170 | ||
Weighted average grant date fair value, granted | $ / shares | $ 61.29 | $ 49.55 | $ 64.21 |
Cash Settled Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of restricted stock, restricted stock units, performance vested and market vested awards vested | $ | $ 1.1 | $ 1 | $ 1.5 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Non-vested shares outstanding, beginning balance | 18,174 | 27,582 | |
Non-vested shares outstanding, ending balance | 17,525 | 18,174 | 27,582 |
Minimum [Member] | Restricted Stock, Restricted Stock Units, Performance Vested and Market Vested Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Term awards become exercisable | 1 year | ||
Minimum [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum actual payout as percentage of shares initially granted | 0.00% | ||
Maximum [Member] | Restricted Stock, Restricted Stock Units, Performance Vested and Market Vested Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Term awards become exercisable | 3 years | ||
Maximum [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum actual payout as percentage of shares initially granted | 150.00% |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 30, 2017 | Sep. 30, 2017 | Jul. 01, 2017 | Apr. 01, 2017 | Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | ||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | $ 588.6 | $ 539.5 | $ 572.9 | $ 554.8 | $ 600.9 | $ 521.8 | $ 564.7 | $ 525.7 | $ 2,255.8 | $ 2,213.1 | $ 2,283.8 | |
Segment profit | 412.2 | 394.6 | 384.5 | |||||||||
Unallocated expenses | (64.1) | (67.6) | (72.8) | |||||||||
Re-engineering and impairment charges | [1] | (66) | (7.6) | (20.3) | ||||||||
Impairment of goodwill and intangible assets | 62.9 | 0 | 0 | |||||||||
Gains on disposal of assets | [2] | 9.1 | 27.3 | 13.7 | ||||||||
Interest expense, net | (43.2) | (45.4) | (45.2) | |||||||||
Income before income taxes | 185.1 | 301.3 | 259.9 | |||||||||
Depreciation and amortization | 60.5 | 57.5 | 62.4 | |||||||||
Capital expenditures | 72.3 | 61.6 | 61.1 | |||||||||
Total identifiable assets | 1,388 | 1,587.8 | 1,388 | 1,587.8 | 1,973.4 | |||||||
Land | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Pretax gain from sale of property | [2] | 8.8 | 26.5 | 12.9 | ||||||||
United States [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 191.8 | 204.2 | 209.4 | |||||||||
Long-lived assets | 91.6 | 88.7 | 91.6 | 88.7 | 86.6 | |||||||
Foreign Countries [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net investment in international operations | 523.5 | 482.1 | 523.5 | 482.1 | ||||||||
Mexico [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 279.7 | 282.4 | 338.9 | |||||||||
BRAZIL | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 316.3 | 260.4 | 201.1 | |||||||||
Beauty [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 331.7 | 368.5 | 428.8 | |||||||||
Europe [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 550.4 | 559.4 | 612.9 | |||||||||
Segment profit | 54.5 | 65.3 | 92.4 | |||||||||
Depreciation and amortization | 16.7 | 15.9 | 17.3 | |||||||||
Capital expenditures | 18.7 | 15.6 | 18.2 | |||||||||
Total identifiable assets | 308.5 | 257.2 | 308.5 | 257.2 | 276.5 | |||||||
Asia Pacific [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 734.8 | 748.6 | 771 | |||||||||
Segment profit | 189.3 | 181 | 175.9 | |||||||||
Depreciation and amortization | 14.9 | 14.5 | 14.9 | |||||||||
Capital expenditures | 10.7 | 12 | 12.3 | |||||||||
Total identifiable assets | 297.2 | 278.6 | 297.2 | 278.6 | 290.2 | |||||||
North America [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 541.5 | 548.3 | 593.7 | |||||||||
Segment profit | 69.7 | 66.1 | 69.7 | |||||||||
Depreciation and amortization | 12.3 | 18.7 | 21.3 | |||||||||
Capital expenditures | 15.9 | 11.9 | 12.6 | |||||||||
Total identifiable assets | 266.3 | 333.7 | 266.3 | 333.7 | 375.2 | |||||||
South America [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net sales | 429.1 | 356.8 | 306.2 | |||||||||
Segment profit | 98.7 | 82.2 | 46.5 | |||||||||
Depreciation and amortization | 5.9 | 3.3 | 4.1 | |||||||||
Capital expenditures | 12.1 | 12.4 | 8.9 | |||||||||
Total identifiable assets | 138.6 | 124.6 | 138.6 | 124.6 | 96.9 | |||||||
Corporate [Member] | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Depreciation and amortization | 10.7 | 5.1 | 4.8 | |||||||||
Capital expenditures | 14.9 | 9.7 | 9.1 | |||||||||
Total identifiable assets | $ 377.4 | $ 593.7 | $ 377.4 | $ 593.7 | $ 559.4 | |||||||
[1] | See Note 2 for discussion of re-engineering and impairment charges. | |||||||||||
[2] | Gains on disposal of assets in 2017, 2016 and 2015 include $8.8 million, 26.5 million and 12.9 million from transactions related to land near the Orlando, FL headquarters. |
Commitment and Contingencies (D
Commitment and Contingencies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Operating leases rental expense | $ 34.9 | $ 33.3 | $ 34 |
Approximate minimum rental commitments under non-cancelable operating leases [Abstract] | |||
2,018 | 35.1 | ||
2,019 | 23.6 | ||
2,020 | 13.9 | ||
2,021 | 9.4 | ||
2,022 | 6.3 | ||
After 2,022 | $ 23.4 | ||
Automobiles [Member] | Minimum [Member] | |||
Operating Leased Assets [Line Items] | |||
Operating Lease Term | 2 years | ||
Automobiles [Member] | Maximum [Member] | |||
Operating Leased Assets [Line Items] | |||
Operating Lease Term | 3 years |
Allowance for Long-Term Recei91
Allowance for Long-Term Receivables (Details) $ in Millions | 12 Months Ended | |
Dec. 30, 2017USD ($) | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Long-term receivables past due | $ 17.3 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Beginning balance | 11 | |
Write-offs | (0.9) | |
Provision | 4.8 | [1] |
Currency translation adjustment | 1.6 | |
Ending balance | 16.5 | |
Reclassifications from current receivables | $ 2.8 | |
[1] | Provision includes $2.8 million of reclassifications from current receivables. |
Guarantor Information (Consolid
Guarantor Information (Consolidating Statement of Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 30, 2017 | Sep. 30, 2017 | Jul. 01, 2017 | Apr. 01, 2017 | Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | ||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||
Net sales | $ 588.6 | $ 539.5 | $ 572.9 | $ 554.8 | $ 600.9 | $ 521.8 | $ 564.7 | $ 525.7 | $ 2,255.8 | $ 2,213.1 | $ 2,283.8 | |
Other revenue | 0 | 0 | 0 | |||||||||
Cost of products sold | 744.6 | 715 | 744.4 | |||||||||
Gross margin | 387 | 356.8 | 390.3 | 377.1 | 404.2 | 353.4 | 380.8 | 359.7 | 1,511.2 | 1,498.1 | 1,539.4 | |
Delivery, sales and administrative expense | 1,162.3 | 1,170.8 | 1,217.6 | |||||||||
Re-engineering and impairment charges | [1] | 66 | 7.6 | 20.3 | ||||||||
Impairment of goodwill and intangible assets | 62.9 | 0 | 0 | |||||||||
Gains on disposal of assets | [2] | 9.1 | 27.3 | 13.7 | ||||||||
Operating income | 229.1 | 347 | 315.2 | |||||||||
Interest income | 2.9 | 3.4 | 2.4 | |||||||||
Interest expense | 46.1 | 48.8 | 47.6 | |||||||||
Income from equity investments in subsidiaries | 0 | 0 | 0 | |||||||||
Other (income) expense | 0.8 | 0.3 | 10.1 | |||||||||
Income before income taxes | 185.1 | 301.3 | 259.9 | |||||||||
Provision for income taxes | 450.5 | 77.7 | 74.1 | |||||||||
Net income (loss) | $ (326.5) | $ 31.4 | $ (17.7) | $ 47.4 | $ 79 | $ 48.8 | $ 52.4 | $ 43.4 | (265.4) | 223.6 | 185.8 | |
Total comprehensive income | $ (223.3) | 174.1 | 72.5 | |||||||||
Guarantor [Member] | ||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||
Equity Method Investment, Ownership Percentage | 100.00% | 100.00% | ||||||||||
Reportable Legal Entities [Member] | Parent [Member] | ||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||
Net sales | $ 0 | 0 | 0 | |||||||||
Other revenue | 0 | 0 | 0 | |||||||||
Cost of products sold | 0 | 0 | 0 | |||||||||
Gross margin | 0 | 0 | 0 | |||||||||
Delivery, sales and administrative expense | 20.8 | 19.1 | 20.6 | |||||||||
Re-engineering and impairment charges | 0 | 0 | 0 | |||||||||
Impairment of goodwill and intangible assets | 0 | 0 | 0 | |||||||||
Gains on disposal of assets | 0 | 0 | 0 | |||||||||
Operating income | (20.8) | (19.1) | (20.6) | |||||||||
Interest income | 20.4 | 20.9 | 19.6 | |||||||||
Interest expense | 37.4 | 34.9 | 36.4 | |||||||||
Income from equity investments in subsidiaries | (231.8) | 242.3 | 208.1 | |||||||||
Other (income) expense | 0 | 0.1 | 0 | |||||||||
Income before income taxes | (269.6) | 209.1 | 170.7 | |||||||||
Provision for income taxes | (4.2) | (14.5) | (15.1) | |||||||||
Net income (loss) | (265.4) | 223.6 | 185.8 | |||||||||
Total comprehensive income | (223.3) | 174.1 | 72.5 | |||||||||
Reportable Legal Entities [Member] | Guarantor [Member] | ||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||
Net sales | 0 | 0 | 0 | |||||||||
Other revenue | 132.2 | 126.9 | 123.9 | |||||||||
Cost of products sold | 30.6 | 29.4 | 31.6 | |||||||||
Gross margin | 101.6 | 97.5 | 92.3 | |||||||||
Delivery, sales and administrative expense | 83.9 | 78.1 | 78.6 | |||||||||
Re-engineering and impairment charges | 2.3 | 1.2 | 0 | |||||||||
Impairment of goodwill and intangible assets | 0 | 0 | 0 | |||||||||
Gains on disposal of assets | 0 | 0 | 0 | |||||||||
Operating income | 15.4 | 18.2 | 13.7 | |||||||||
Interest income | 1.9 | 1.8 | 22.5 | |||||||||
Interest expense | 59.6 | 51.5 | 37.7 | |||||||||
Income from equity investments in subsidiaries | 17.4 | 240.9 | 203.6 | |||||||||
Other (income) expense | 8.8 | (33.6) | 0.6 | |||||||||
Income before income taxes | (33.7) | 243 | 201.5 | |||||||||
Provision for income taxes | 198.9 | 5.1 | (4) | |||||||||
Net income (loss) | (232.6) | 237.9 | 205.5 | |||||||||
Total comprehensive income | (182.6) | 188 | 84 | |||||||||
Reportable Legal Entities [Member] | Non-Guarantors [Member] | ||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||
Net sales | 2,263.3 | 2,219.1 | 2,288.6 | |||||||||
Other revenue | 30.7 | 29.3 | 31.6 | |||||||||
Cost of products sold | 875.3 | 838.9 | 864 | |||||||||
Gross margin | 1,418.7 | 1,409.5 | 1,456.2 | |||||||||
Delivery, sales and administrative expense | 1,066.7 | 1,082.5 | 1,127.5 | |||||||||
Re-engineering and impairment charges | 63.7 | 6.4 | 20.3 | |||||||||
Impairment of goodwill and intangible assets | 62.9 | 0 | 0 | |||||||||
Gains on disposal of assets | 9.1 | 27.3 | 13.7 | |||||||||
Operating income | 234.5 | 347.9 | 322.1 | |||||||||
Interest income | 39.6 | 27.1 | 7.4 | |||||||||
Interest expense | 8.1 | 8.8 | 20.6 | |||||||||
Income from equity investments in subsidiaries | 0 | 0 | 0 | |||||||||
Other (income) expense | (8) | 33.8 | 9.5 | |||||||||
Income before income taxes | 274 | 332.4 | 299.4 | |||||||||
Provision for income taxes | 255.8 | 87.1 | 93.2 | |||||||||
Net income (loss) | 18.2 | 245.3 | 206.2 | |||||||||
Total comprehensive income | 65.7 | 163.8 | 104 | |||||||||
Eliminations [Member] | ||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||
Net sales | (7.5) | (6) | (4.8) | |||||||||
Other revenue | (162.9) | (156.2) | (155.5) | |||||||||
Cost of products sold | (161.3) | (153.3) | (151.2) | |||||||||
Gross margin | (9.1) | (8.9) | (9.1) | |||||||||
Delivery, sales and administrative expense | (9.1) | (8.9) | (9.1) | |||||||||
Re-engineering and impairment charges | 0 | 0 | 0 | |||||||||
Impairment of goodwill and intangible assets | 0 | 0 | 0 | |||||||||
Gains on disposal of assets | 0 | 0 | 0 | |||||||||
Operating income | 0 | 0 | 0 | |||||||||
Interest income | (59) | (46.4) | (47.1) | |||||||||
Interest expense | (59) | (46.4) | (47.1) | |||||||||
Income from equity investments in subsidiaries | 214.4 | (483.2) | (411.7) | |||||||||
Other (income) expense | 0 | 0 | 0 | |||||||||
Income before income taxes | 214.4 | (483.2) | (411.7) | |||||||||
Provision for income taxes | 0 | 0 | 0 | |||||||||
Net income (loss) | 214.4 | (483.2) | (411.7) | |||||||||
Total comprehensive income | $ 116.9 | $ (351.8) | $ (188) | |||||||||
[1] | See Note 2 for discussion of re-engineering and impairment charges. | |||||||||||
[2] | Gains on disposal of assets in 2017, 2016 and 2015 include $8.8 million, 26.5 million and 12.9 million from transactions related to land near the Orlando, FL headquarters. |
Guarantor Information (Condense
Guarantor Information (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Millions | Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 |
ASSETS | ||||
Cash and cash equivalents | $ 144.1 | $ 93.2 | $ 79.8 | $ 77 |
Accounts receivable, net | 144.4 | 125.3 | ||
Inventories | 262.2 | 240.4 | ||
Non-trade amounts receivable, net | 58.6 | 64.9 | ||
Intercompany receivables | 0 | 0 | ||
Prepaid expenses and other current assets | 21.2 | 21.5 | ||
Total current assets | 630.5 | 545.3 | ||
Deferred income tax benefits, net | 278 | 539.7 | ||
Property, plant and equipment, net | 278.2 | 259.8 | ||
Long-term receivables, net | 19.3 | 13.2 | ||
Tradenames, net | 62.5 | 67.3 | ||
Goodwill | 78.9 | 132.6 | ||
Investments in subsidiaries | 0 | 0 | ||
Intercompany notes receivable | 0 | 0 | ||
Other assets, net | 40.6 | 29.9 | ||
Total assets | 1,388 | 1,587.8 | 1,973.4 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 124.4 | 117.7 | ||
Short-term borrowings and current portion of long-term debt and capital lease obligations | 133 | 105.9 | ||
Intercompany payables | 0 | 0 | ||
Accrued liabilities | 401.4 | 324 | ||
Total current liabilities | 658.8 | 547.6 | ||
Long-term debt and capital lease obligations | 605.1 | 606 | ||
Intercompany notes payable | 0 | 0 | ||
Other liabilities | 243.5 | 221.4 | ||
Total shareholders' equity | (119.4) | 212.8 | 161 | 185.8 |
Total liabilities and shareholders' equity | 1,388 | 1,587.8 | ||
Reportable Legal Entities [Member] | Parent [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Non-trade amounts receivable, net | 0 | 0 | ||
Intercompany receivables | 300.8 | 11.9 | ||
Prepaid expenses and other current assets | 1.1 | 1.1 | ||
Total current assets | 301.9 | 13 | ||
Deferred income tax benefits, net | 33.4 | 142.7 | ||
Property, plant and equipment, net | 0 | 0 | ||
Long-term receivables, net | 0 | 0 | ||
Tradenames, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Investments in subsidiaries | 1,174.9 | 1,356.7 | ||
Intercompany notes receivable | 498.4 | 479.4 | ||
Other assets, net | 0.6 | 1.2 | ||
Total assets | 2,009.2 | 1,993 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 0 | 0 | ||
Short-term borrowings and current portion of long-term debt and capital lease obligations | 131.1 | 104 | ||
Intercompany payables | 1,013.4 | 858.9 | ||
Accrued liabilities | 287 | 130.9 | ||
Total current liabilities | 1,431.5 | 1,093.8 | ||
Long-term debt and capital lease obligations | 599.5 | 599.4 | ||
Intercompany notes payable | 88.5 | 77 | ||
Other liabilities | 9.1 | 10 | ||
Total shareholders' equity | (119.4) | 212.8 | ||
Total liabilities and shareholders' equity | 2,009.2 | 1,993 | ||
Reportable Legal Entities [Member] | Guarantor [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0.1 | 0.5 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Non-trade amounts receivable, net | 179.2 | 50.5 | ||
Intercompany receivables | 1,101.9 | 935.8 | ||
Prepaid expenses and other current assets | 2.1 | 5.4 | ||
Total current assets | 1,283.3 | 992.2 | ||
Deferred income tax benefits, net | 72.6 | 193.2 | ||
Property, plant and equipment, net | 54.9 | 50.4 | ||
Long-term receivables, net | 0.2 | 0.1 | ||
Tradenames, net | 0 | 0 | ||
Goodwill | 2.9 | 2.9 | ||
Investments in subsidiaries | 1,371 | 1,321.3 | ||
Intercompany notes receivable | 100 | 95.6 | ||
Other assets, net | 0.7 | 1.2 | ||
Total assets | 2,885.6 | 2,656.9 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 3.1 | 5 | ||
Short-term borrowings and current portion of long-term debt and capital lease obligations | 0 | 0 | ||
Intercompany payables | 436.1 | 263.4 | ||
Accrued liabilities | 80.4 | 102.8 | ||
Total current liabilities | 519.6 | 371.2 | ||
Long-term debt and capital lease obligations | 0 | 0 | ||
Intercompany notes payable | 1,172 | 928 | ||
Other liabilities | 75.6 | 56.8 | ||
Total shareholders' equity | 1,118.4 | 1,300.9 | ||
Total liabilities and shareholders' equity | 2,885.6 | 2,656.9 | ||
Reportable Legal Entities [Member] | Non-Guarantors [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 144 | 92.7 | 79.8 | 77 |
Accounts receivable, net | 144.4 | 125.3 | ||
Inventories | 262.2 | 240.4 | ||
Non-trade amounts receivable, net | 79.4 | 85.1 | ||
Intercompany receivables | 255.4 | 270.3 | ||
Prepaid expenses and other current assets | 82.2 | 100.9 | ||
Total current assets | 967.6 | 914.7 | ||
Deferred income tax benefits, net | 172 | 203.8 | ||
Property, plant and equipment, net | 223.3 | 209.4 | ||
Long-term receivables, net | 19.1 | 13.1 | ||
Tradenames, net | 62.5 | 67.3 | ||
Goodwill | 76 | 129.7 | ||
Investments in subsidiaries | 0 | 0 | ||
Intercompany notes receivable | 968.9 | 725.6 | ||
Other assets, net | 69.8 | 57.8 | ||
Total assets | 2,559.2 | 2,321.4 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 121.3 | 112.7 | ||
Short-term borrowings and current portion of long-term debt and capital lease obligations | 1.9 | 1.9 | ||
Intercompany payables | 208.6 | 95.7 | ||
Accrued liabilities | 298.2 | 246.9 | ||
Total current liabilities | 630 | 457.2 | ||
Long-term debt and capital lease obligations | 5.6 | 6.6 | ||
Intercompany notes payable | 306.8 | 295.6 | ||
Other liabilities | 189.3 | 184.9 | ||
Total shareholders' equity | 1,427.5 | 1,377.1 | ||
Total liabilities and shareholders' equity | 2,559.2 | 2,321.4 | ||
Eliminations [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Accounts receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Non-trade amounts receivable, net | (200) | (70.7) | ||
Intercompany receivables | (1,658.1) | (1,218) | ||
Prepaid expenses and other current assets | (64.2) | (85.9) | ||
Total current assets | (1,922.3) | (1,374.6) | ||
Deferred income tax benefits, net | 0 | 0 | ||
Property, plant and equipment, net | 0 | 0 | ||
Long-term receivables, net | 0 | 0 | ||
Tradenames, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Investments in subsidiaries | (2,545.9) | (2,678) | ||
Intercompany notes receivable | (1,567.3) | (1,300.6) | ||
Other assets, net | (30.5) | (30.3) | ||
Total assets | (6,066) | (5,383.5) | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 0 | 0 | ||
Short-term borrowings and current portion of long-term debt and capital lease obligations | 0 | 0 | ||
Intercompany payables | (1,658.1) | (1,218) | ||
Accrued liabilities | (264.2) | (156.6) | ||
Total current liabilities | (1,922.3) | (1,374.6) | ||
Long-term debt and capital lease obligations | 0 | 0 | ||
Intercompany notes payable | (1,567.3) | (1,300.6) | ||
Other liabilities | (30.5) | (30.3) | ||
Total shareholders' equity | (2,545.9) | (2,678) | ||
Total liabilities and shareholders' equity | $ (6,066) | $ (5,383.5) |
Guarantor Information (Conden94
Guarantor Information (Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | |
Operating Activities: | |||
Net cash provided by (used in) operating activities | $ 217 | $ 238.6 | $ 225.7 |
Investing Activities: | |||
Capital expenditures | (72.3) | (61.6) | (61.1) |
Proceeds from disposal of property, plant and equipment | 14.7 | 35.9 | 18 |
Net intercompany loans | 0 | 0 | 0 |
Return of Capital | 0 | 0 | 0 |
Net cash used in investing activities | (57.6) | (25.7) | (43.1) |
Financing Activities: | |||
Dividend payments to shareholders | (139.5) | (138.8) | (138) |
Dividend payments to parent | 0 | 0 | 0 |
Proceeds from (Repayments of) Notes Payable | 0 | 0 | 0 |
Proceeds from exercise of stock options | 11.8 | 0.8 | 16.1 |
Repurchase of common stock | (2.5) | (1.7) | (1.5) |
Repayment of long-term debt and capital lease obligations | (2) | (2.2) | (2.6) |
Net change in short-term debt | 15.6 | (52) | (36.4) |
Debt issuance costs | 0 | 0 | (0.7) |
Excess tax benefits from share-based payment arrangements | 0 | 0.6 | 6 |
Net Intercompany Borrowings | 0 | 0 | 0 |
Proceeds from (Payments to) Noncontrolling Interests | 0 | 0 | 0 |
Net cash used in financing activities | (116.6) | (193.3) | (157.1) |
Effect of exchange rate changes on cash and cash equivalents | 8.1 | (6.2) | (22.7) |
Net change in cash and cash equivalents | 50.9 | 13.4 | 2.8 |
Cash and cash equivalents at beginning of year | 93.2 | 79.8 | 77 |
Cash and cash equivalents at end of year | 144.1 | 93.2 | 79.8 |
Reportable Legal Entities [Member] | Parent [Member] | |||
Operating Activities: | |||
Net cash provided by (used in) operating activities | (32.7) | (29.9) | 438.9 |
Investing Activities: | |||
Capital expenditures | 0 | 0 | 0 |
Proceeds from disposal of property, plant and equipment | 0 | 0 | 0 |
Net intercompany loans | (7.5) | (18.9) | (335.7) |
Return of Capital | 0 | 0 | 0 |
Net cash used in investing activities | (7.5) | (18.9) | (335.7) |
Financing Activities: | |||
Dividend payments to shareholders | (139.5) | (138.8) | (138) |
Dividend payments to parent | 0 | 0 | 0 |
Proceeds from (Repayments of) Notes Payable | 0 | (0.2) | 0.1 |
Proceeds from exercise of stock options | 11.8 | 0.8 | 16.1 |
Repurchase of common stock | (2.5) | (1.7) | (1.5) |
Repayment of long-term debt and capital lease obligations | 0 | 0 | 0 |
Net change in short-term debt | 15.8 | 17.5 | (9.5) |
Debt issuance costs | 0 | 0 | (0.7) |
Excess tax benefits from share-based payment arrangements | 0 | 0.6 | 6 |
Net Intercompany Borrowings | 154.6 | 170.6 | 24.3 |
Proceeds from (Payments to) Noncontrolling Interests | 0 | 0 | 0 |
Net cash used in financing activities | 40.2 | 48.8 | (103.2) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Net change in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | 0 | 0 | 0 |
Reportable Legal Entities [Member] | Guarantor [Member] | |||
Operating Activities: | |||
Net cash provided by (used in) operating activities | (40.1) | (0.8) | 230.6 |
Investing Activities: | |||
Capital expenditures | (18.1) | (16) | (14.7) |
Proceeds from disposal of property, plant and equipment | 0 | 0 | 0 |
Net intercompany loans | (174.1) | (186.4) | 296.3 |
Return of Capital | 0 | 0 | 105.5 |
Net cash used in investing activities | (192.2) | (202.4) | 387.1 |
Financing Activities: | |||
Dividend payments to shareholders | 0 | 0 | 0 |
Dividend payments to parent | 0 | 0 | (400) |
Proceeds from (Repayments of) Notes Payable | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Repurchase of common stock | 0 | 0 | 0 |
Repayment of long-term debt and capital lease obligations | 0 | 0 | 0 |
Net change in short-term debt | 0 | (1.2) | (2.3) |
Debt issuance costs | 0 | 0 | 0 |
Excess tax benefits from share-based payment arrangements | 0 | 0 | 0 |
Net Intercompany Borrowings | 231.9 | 204.9 | (215.3) |
Proceeds from (Payments to) Noncontrolling Interests | 0 | 0 | 0 |
Net cash used in financing activities | 231.9 | 203.7 | (617.6) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | (0.1) |
Net change in cash and cash equivalents | (0.4) | 0.5 | 0 |
Cash and cash equivalents at beginning of year | 0.5 | 0 | 0 |
Cash and cash equivalents at end of year | 0.1 | 0.5 | 0 |
Reportable Legal Entities [Member] | Non-Guarantors [Member] | |||
Operating Activities: | |||
Net cash provided by (used in) operating activities | 310.7 | 275.2 | 66.4 |
Investing Activities: | |||
Capital expenditures | (54.2) | (45.6) | (46.4) |
Proceeds from disposal of property, plant and equipment | 14.7 | 35.9 | 18 |
Net intercompany loans | (226.4) | (194.5) | 492 |
Return of Capital | 0 | 0 | 0 |
Net cash used in investing activities | (265.9) | (204.2) | 463.6 |
Financing Activities: | |||
Dividend payments to shareholders | 0 | 0 | 0 |
Dividend payments to parent | (21) | (21.2) | (103.1) |
Proceeds from (Repayments of) Notes Payable | 0 | 0.2 | (0.1) |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Repurchase of common stock | 0 | 0 | 0 |
Repayment of long-term debt and capital lease obligations | (2) | (2.2) | (2.6) |
Net change in short-term debt | (0.2) | (68.3) | (24.6) |
Debt issuance costs | 0 | 0 | 0 |
Excess tax benefits from share-based payment arrangements | 0 | 0 | 0 |
Net Intercompany Borrowings | 21.6 | 39.6 | (268.8) |
Proceeds from (Payments to) Noncontrolling Interests | 0 | 0 | (105.5) |
Net cash used in financing activities | (1.6) | (51.9) | (504.7) |
Effect of exchange rate changes on cash and cash equivalents | 8.1 | (6.2) | (22.5) |
Net change in cash and cash equivalents | 51.3 | 12.9 | 2.8 |
Cash and cash equivalents at beginning of year | 92.7 | 79.8 | 77 |
Cash and cash equivalents at end of year | 144 | 92.7 | 79.8 |
Eliminations [Member] | |||
Operating Activities: | |||
Net cash provided by (used in) operating activities | (20.9) | (5.9) | (510.2) |
Investing Activities: | |||
Capital expenditures | 0 | 0 | 0 |
Proceeds from disposal of property, plant and equipment | 0 | 0 | 0 |
Net intercompany loans | 408 | 399.8 | (452.6) |
Return of Capital | 0 | 0 | (105.5) |
Net cash used in investing activities | 408 | 399.8 | (558.1) |
Financing Activities: | |||
Dividend payments to shareholders | 0 | 0 | 0 |
Dividend payments to parent | 21 | 21.2 | 503.1 |
Proceeds from (Repayments of) Notes Payable | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Repurchase of common stock | 0 | 0 | 0 |
Repayment of long-term debt and capital lease obligations | 0 | 0 | 0 |
Net change in short-term debt | 0 | 0 | 0 |
Debt issuance costs | 0 | 0 | 0 |
Excess tax benefits from share-based payment arrangements | 0 | 0 | 0 |
Net Intercompany Borrowings | (408.1) | (415.1) | 459.8 |
Proceeds from (Payments to) Noncontrolling Interests | 0 | 105.5 | |
Net cash used in financing activities | (387.1) | (393.9) | 1,068.4 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | (0.1) |
Net change in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | $ 0 | $ 0 | $ 0 |
Quarterly Financial Summary (De
Quarterly Financial Summary (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 30, 2017USD ($)$ / shares | Sep. 30, 2017USD ($)$ / shares | Jul. 01, 2017USD ($)$ / shares | Apr. 01, 2017USD ($)$ / shares | Dec. 31, 2016USD ($)$ / shares | Sep. 24, 2016USD ($)$ / shares | Jun. 25, 2016USD ($)$ / shares | Mar. 26, 2016USD ($)$ / shares | Dec. 30, 2017USD ($)$ / shares | Dec. 31, 2016USD ($)$ / shares | Dec. 26, 2015USD ($)$ / shares | ||
Net sales | $ 588.6 | $ 539.5 | $ 572.9 | $ 554.8 | $ 600.9 | $ 521.8 | $ 564.7 | $ 525.7 | $ 2,255.8 | $ 2,213.1 | $ 2,283.8 | |
Gross margin | 387 | 356.8 | 390.3 | 377.1 | 404.2 | 353.4 | 380.8 | 359.7 | 1,511.2 | 1,498.1 | 1,539.4 | |
Net income (loss) | $ (326.5) | $ 31.4 | $ (17.7) | $ 47.4 | $ 79 | $ 48.8 | $ 52.4 | $ 43.4 | $ (265.4) | $ 223.6 | $ 185.8 | |
Basic earnings per share | $ / shares | $ (6.41) | $ 0.62 | $ (0.35) | $ 0.94 | $ 1.56 | $ 0.97 | $ 1.04 | $ 0.86 | $ (5.22) | $ 4.43 | $ 3.72 | |
Diluted earnings per share | $ / shares | (6.41) | 0.61 | (0.35) | 0.93 | 1.55 | 0.96 | 1.03 | 0.86 | (5.22) | 4.41 | 3.69 | |
Dividends declared per share | $ / shares | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 | 2.72 | 2.72 | $ 2.72 | |
Composite stock price, close | $ / shares | $ 62.70 | $ 61.82 | $ 70.23 | $ 62.72 | $ 52.62 | $ 64.31 | $ 53.15 | $ 55.39 | $ 62.70 | $ 52.62 | ||
Re-engineering and impairment charges | [1] | $ 66 | $ 7.6 | $ 20.3 | ||||||||
Goodwill impairment | $ 62.9 | $ 0 | ||||||||||
Gains (Losses) on Sales of Land | [2] | $ 1.8 | $ 4.1 | $ 3.1 | $ 0.1 | $ 2.2 | $ 24.2 | $ 0.8 | $ 0.1 | |||
Fiscal Period Duration | 91 days | 98 days | 364 days | 371 days | 364 days | |||||||
Maximum [Member] | ||||||||||||
Composite stock price range | $ / shares | 65.44 | 71.23 | 74.36 | 63 | 66.67 | 66.90 | 62.40 | 58.30 | ||||
Minimum [Member] | ||||||||||||
Composite stock price range | $ / shares | 56.30 | 56.45 | 61.44 | 53.17 | 52.32 | 50.43 | 52.64 | 42.60 | ||||
Goodwill [Member] | ||||||||||||
Goodwill impairment | $ 0 | $ 0 | ||||||||||
Venezuela | ||||||||||||
Foreign Currency Transaction Gain (Loss), before Tax | $ (3.3) | (2.4) | $ (1.5) | $ (0.2) | $ (0.2) | (0.3) | $ (3.6) | $ (0.2) | ||||
Fuller Mexico | Goodwill [Member] | ||||||||||||
Goodwill impairment | 62.9 | |||||||||||
Restructuring Charges [Member] | ||||||||||||
Re-engineering and impairment charges | $ 22.1 | $ 9 | $ 32.6 | $ 2.3 | $ 2.2 | $ 2.4 | $ 1.9 | $ 1.1 | ||||
[1] | See Note 2 for discussion of re-engineering and impairment charges. | |||||||||||
[2] | Gains on disposal of assets in 2017, 2016 and 2015 include $8.8 million, 26.5 million and 12.9 million from transactions related to land near the Orlando, FL headquarters. |
Schedule II - Valuation and Q96
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 30, 2017 | Dec. 31, 2016 | Dec. 26, 2015 | ||
Allowance for Doubtful Accounts, Current and Long-term [Member] | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at Beginning of Period | $ 44.9 | $ 45.2 | $ 48.4 | |
Charged to Cost and Expenses | 16.8 | 11.1 | 12.8 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Deductions - write-offs, less recoveries | [1] | (9) | (9) | (8) |
Translation Adjustments | [2] | 3.2 | (2.4) | (8) |
Balance at End of Period | 55.9 | 44.9 | 45.2 | |
Valuation Allowance of Deferred Tax Assets [Member] | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at Beginning of Period | 24.8 | 23.1 | 40.2 | |
Charged to Cost and Expenses | 209.8 | 0 | 0 | |
Charged to Other Accounts | 0 | 0 | 0 | |
Translation Adjustments | [2] | 0.9 | 1.8 | (7.1) |
Write off of Operating Loss | [3] | (0.1) | (10) | |
Balance at End of Period | $ 235.5 | $ 24.8 | $ 23.1 | |
[1] | Represents write-offs, less recoveries. | |||
[2] | Foreign currency translation adjustment. | |||
[3] | Represents write-offs of net operating losses for which a valuation allowance was already recorded. See Note 12 to the consolidated financial statements for additional information. |