Document and Entity Information
Document and Entity Information - $ / shares | 9 Months Ended | ||
Sep. 28, 2019 | Nov. 04, 2019 | Dec. 29, 2018 | |
Entity Information [Line Items] | |||
Entity Registrant Name | TUPPERWARE BRANDS CORPORATION | ||
Entity Central Index Key | 0001008654 | ||
Document Type | 10-Q | ||
Amendment Flag | false | ||
Document Quarterly Report | true | ||
Document Period End Date | Sep. 28, 2019 | ||
Current Fiscal Year End Date | --12-28 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | Q3 | ||
Document Transition Report | false | ||
Entity File Number | 1-11657 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 36-4062333 | ||
Entity Address, Address Line One | 14901 South Orange Blossom Trail, | ||
Entity Address, City or Town | Orlando, | ||
Entity Address, State or Province | FL | ||
Entity Address, Postal Zip Code | 32837 | ||
City Area Code | 407 | ||
Local Phone Number | 826-5050 | ||
Title of 12(b) Security | Common Stock, $0.01 par value | ||
Trading Symbol | TUP | ||
Security Exchange Name | NYSE | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 48,899,186 | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Net sales | $ 418.1 | $ 485.8 | $ 1,380.7 | $ 1,563.8 | ||||
Cost of Products Sold | 141.5 | 164.1 | 457.3 | 516.6 | ||||
Gross margin | 276.6 | 321.7 | 923.4 | 1,047.2 | ||||
Delivery, sales and administrative expense | 241.6 | 253 | 752 | 815 | ||||
Re-engineering and impairment charges | 7.5 | 3 | 15.9 | 12.7 | ||||
Goodwill and Intangible Asset Impairment | 19.7 | 0 | 19.7 | 0 | ||||
Gain on disposal of assets | 12.1 | 1.5 | 11.1 | 16.1 | ||||
Operating income | 19.9 | 67.2 | 146.9 | 235.6 | ||||
Interest income | 0.6 | 0.6 | 1.6 | 2 | ||||
Interest expense | 10.4 | 11.3 | 31.4 | 34.3 | ||||
Other income | 3.8 | 0.6 | 10.5 | 0.8 | ||||
Income before income taxes | 13.9 | 57.1 | 127.6 | 204.1 | ||||
Provision for income taxes | 6.1 | 18 | 43.5 | 65.5 | ||||
Net income | $ 7.8 | $ 39.4 | $ 36.9 | $ 39.1 | $ 63.8 | $ 35.7 | $ 84.1 | $ 138.6 |
Earnings per share: | ||||||||
Basic | $ 0.16 | $ 0.79 | $ 1.73 | $ 2.75 | ||||
Diluted | $ 0.16 | $ 0.79 | $ 1.72 | $ 2.74 | ||||
Weighted-average shares outstanding: | ||||||||
Basic | 48.8 | 49.3 | 48.7 | 50.3 | ||||
Diluted | 48.9 | 49.4 | 48.9 | 50.5 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Net income | $ 7.8 | $ 39.1 | $ 84.1 | $ 138.6 |
Other comprehensive loss: | ||||
Foreign currency translation adjustments | (20.7) | (18) | (6.8) | (63) |
Deferred gain (loss) on cash flow hedges, net of tax (provision) benefit of ($0.1), ($0.2), $0.4, and ($0.5), respectively | 0.9 | (1.3) | ||
Deferred gain (loss) on cash flow hedges, net of tax (provision) benefit of ($0.1), ($0.2), $0.4, and ($0.5), respectively | (0.4) | 1.4 | ||
Pension and other post-retirement benefit, net of tax provision of ($0.2), $0, ($0.1), and $0, respectively | 0.5 | 0.4 | 0.1 | 1.2 |
Other comprehensive loss | (19.3) | (18) | (8) | (60.4) |
Total comprehensive (loss) income | $ (11.5) | $ 21.1 | $ 76.1 | $ 78.2 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Deferred gain (loss) on cash flow hedges tax (provision) benefit | $ (0.1) | $ 0.4 | ||
Deferred gain (loss) on cash flow hedges tax (provision) benefit | $ (0.2) | $ (0.5) | ||
Pension and other post-retirement benefit tax provision | $ (0.2) | $ 0 | $ (0.1) | $ 0 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 28, 2019 | Dec. 29, 2018 |
ASSETS | ||
Cash and cash equivalents | $ 122.1 | $ 149 |
Accounts receivable, less allowances of $61.3 and $45.3, respectively | 136.8 | 144.7 |
Inventories | 260.7 | 257.7 |
Non-trade amounts receivable, net | 40.5 | 49.9 |
Prepaid expenses and other current assets | 27.1 | 19.3 |
Total current assets | 587.2 | 620.6 |
Deferred income tax benefits, net | 214.5 | 217 |
Property, plant and equipment, net | 269.5 | 276 |
Long-term receivables, less allowances of $18.4 and $16.0, respectively | 16.1 | 18.7 |
Trademarks and tradenames, net | 46 | 52.9 |
Goodwill | 58.5 | 76.1 |
Operating Lease, Right-of-Use Asset | 79.3 | 0 |
Other assets, net | 64.8 | 47.5 |
Total assets | 1,335.9 | 1,308.8 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Accounts payable | 85.8 | 129.2 |
Short-term borrowings and current portion of long-term debt and finance lease obligations | 325 | 285.5 |
Accrued liabilities | 292.6 | 344.4 |
Total current liabilities | 703.4 | 759.1 |
Long-term debt and finance lease obligations | 602.4 | 603.4 |
Operating Lease, Liability, Noncurrent | 51.4 | 0 |
Other liabilities | 163.7 | 181.5 |
Shareholders' deficit: | ||
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 | 219.2 | 219.3 |
Retained earnings | 1,141.2 | 1,086.8 |
Treasury stock, 14,811,924 and 14,940,286 shares, respectively, at cost | (930.9) | (939.8) |
Accumulated other comprehensive loss | (615.1) | (602.1) |
Total shareholders' deficit | (185) | (235.2) |
Total liabilities and shareholders' deficit | $ 1,335.9 | $ 1,308.8 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Sep. 28, 2019 | Dec. 29, 2018 |
Accounts receivable, allowances | $ 61.3 | $ 45.3 |
Long-term receivables, allowances | $ 18.4 | $ 16 |
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 | 14,811,924 | 14,940,286 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] |
Common Stock, Dividends, Per Share, Declared | $ 0.68 | |||||
Beginning Balance at Dec. 30, 2017 | $ (119.4) | $ 0.6 | $ (851.5) | $ 217.8 | $ 1,043.1 | $ (529.4) |
Beginning Balance Shares, Issued at Dec. 30, 2017 | 63.6 | 12.6 | ||||
Net income | 35.7 | 35.7 | ||||
Other Comprehensive Income (Loss), Net of Tax | 7.7 | |||||
Dividends, Common Stock, Cash | (34.9) | (34.9) | ||||
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures | (0.1) | |||||
Stock Issued During Period, Value, Share-based Compensation, Net of Forfeitures | 2.5 | $ 4.4 | (2.8) | 0.9 | ||
Ending Balance at Mar. 31, 2018 | (108.4) | $ 0.6 | $ (847.1) | 215 | 1,044.8 | (521.7) |
Ending Balance Shares, Issued at Mar. 31, 2018 | 63.6 | 12.5 | ||||
Beginning Balance at Dec. 30, 2017 | (119.4) | $ 0.6 | $ (851.5) | 217.8 | 1,043.1 | (529.4) |
Beginning Balance Shares, Issued at Dec. 30, 2017 | 63.6 | 12.6 | ||||
Net income | 138.6 | |||||
Other Comprehensive Income (Loss), Net of Tax | (60.4) | |||||
Ending Balance at Sep. 29, 2018 | $ (234.6) | $ 0.6 | $ (945.5) | 220.9 | 1,079.2 | (589.8) |
Ending Balance Shares, Issued at Sep. 29, 2018 | 63.6 | 15 | ||||
Common Stock, Dividends, Per Share, Declared | $ 0.68 | |||||
Beginning Balance at Mar. 31, 2018 | $ (108.4) | $ 0.6 | $ (847.1) | 215 | 1,044.8 | (521.7) |
Beginning Balance Shares, Issued at Mar. 31, 2018 | 63.6 | 12.5 | ||||
Net income | 63.8 | 63.8 | ||||
Other Comprehensive Income (Loss), Net of Tax | (50.1) | |||||
Dividends, Common Stock, Cash | (34.4) | (34.4) | ||||
Treasury Stock, Shares, Acquired | (50) | |||||
Treasury Stock, Value, Acquired, Cost Method | (50) | $ (1.1) | ||||
Stock Issued During Period, Value, Share-based Compensation, Net of Forfeitures | 3.6 | 1.8 | 2.4 | (0.6) | ||
Ending Balance at Jun. 30, 2018 | $ (175.5) | $ 0.6 | $ (895.3) | 217.4 | 1,073.6 | (571.8) |
Ending Balance Shares, Issued at Jun. 30, 2018 | 63.6 | 13.6 | ||||
Common Stock, Dividends, Per Share, Declared | $ 0.68 | |||||
Net income | $ 39.1 | 39.1 | ||||
Other Comprehensive Income (Loss), Net of Tax | (18) | |||||
Dividends, Common Stock, Cash | (33.4) | (33.4) | ||||
Treasury Stock, Shares, Acquired | (50.2) | |||||
Treasury Stock, Value, Acquired, Cost Method | (50.2) | $ (1.4) | ||||
Stock Issued During Period, Value, Share-based Compensation, Net of Forfeitures | 3.4 | 3.5 | (0.1) | |||
Ending Balance at Sep. 29, 2018 | $ (234.6) | $ 0.6 | $ (945.5) | 220.9 | 1,079.2 | (589.8) |
Ending Balance Shares, Issued at Sep. 29, 2018 | 63.6 | 15 | ||||
Common Stock, Dividends, Per Share, Declared | $ 0.27 | |||||
Beginning Balance at Dec. 29, 2018 | $ (235.2) | $ 0.6 | $ (939.8) | 219.3 | 1,086.8 | (602.1) |
Beginning Balance Shares, Issued at Dec. 29, 2018 | 63.6 | 15 | ||||
Net income | 36.9 | 36.9 | ||||
Other Comprehensive Income (Loss), Net of Tax | 19 | |||||
Dividends, Common Stock, Cash | (12.9) | (12.9) | ||||
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures | (0.1) | |||||
Stock Issued During Period, Value, Share-based Compensation, Net of Forfeitures | 1.1 | $ 5 | (2.8) | (1.1) | ||
Ending Balance at Mar. 30, 2019 | (184) | $ 0.6 | $ (934.8) | 216.5 | 1,121.8 | (588.1) |
Ending Balance Shares, Issued at Mar. 30, 2019 | 63.6 | 14.9 | ||||
Beginning Balance at Dec. 29, 2018 | (235.2) | $ 0.6 | $ (939.8) | 219.3 | 1,086.8 | (602.1) |
Beginning Balance Shares, Issued at Dec. 29, 2018 | 63.6 | 15 | ||||
Net income | 84.1 | |||||
Other Comprehensive Income (Loss), Net of Tax | (8) | |||||
Ending Balance at Sep. 28, 2019 | (185) | $ 0.6 | $ (930.9) | 219.2 | 1,141.2 | (615.1) |
Ending Balance Shares, Issued at Sep. 28, 2019 | 63.6 | 14.8 | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 7.1 | 12.1 | (5) | |||
Common Stock, Dividends, Per Share, Declared | $ 0.27 | |||||
Beginning Balance at Mar. 30, 2019 | $ (184) | $ 0.6 | $ (934.8) | 216.5 | 1,121.8 | (588.1) |
Beginning Balance Shares, Issued at Mar. 30, 2019 | 63.6 | 14.9 | ||||
Net income | 39.4 | 39.4 | ||||
Other Comprehensive Income (Loss), Net of Tax | (7.7) | |||||
Dividends, Common Stock, Cash | (13.2) | (13.2) | ||||
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures | (0.1) | |||||
Stock Issued During Period, Value, Share-based Compensation, Net of Forfeitures | 2.4 | $ 3.7 | (0.2) | (1.1) | ||
Ending Balance at Jun. 29, 2019 | $ (163.1) | $ 0.6 | $ (931.1) | 216.3 | 1,146.9 | (595.8) |
Ending Balance Shares, Issued at Jun. 29, 2019 | 63.6 | 14.8 | ||||
Common Stock, Dividends, Per Share, Declared | $ 0.27 | |||||
Net income | $ 7.8 | 7.8 | ||||
Other Comprehensive Income (Loss), Net of Tax | (19.3) | |||||
Dividends, Common Stock, Cash | (13.3) | (13.3) | ||||
Stock Issued During Period, Value, Share-based Compensation, Net of Forfeitures | 2.9 | $ 0.2 | 2.9 | (0.2) | ||
Ending Balance at Sep. 28, 2019 | $ (185) | $ 0.6 | $ (930.9) | $ 219.2 | $ 1,141.2 | (615.1) |
Ending Balance Shares, Issued at Sep. 28, 2019 | 63.6 | 14.8 | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ (5) |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | |||||
Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | |
Statement of Stockholders' Equity (Parenthetical) [Abstract] | ||||||
Common Stock, Dividends, Per Share, Declared | $ 0.27 | $ 0.27 | $ 0.27 | $ 0.68 | $ 0.68 | $ 0.68 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
Document Period End Date | Sep. 28, 2019 | |
Operating Activities: | ||
Net income | $ 84.1 | $ 138.6 |
Depreciation and amortization | 41.4 | 44.2 |
Foreign Currency Transaction Gain (Loss), Unrealized | 0.6 | 0.4 |
Equity compensation | 7.5 | 10.7 |
Amortization of deferred debt costs | 0.5 | 0.4 |
Gain (Loss) on Disposition of Other Assets | 11.1 | 16.1 |
Provision for bad debts | 24 | 16.4 |
Write-down of inventories | 8.3 | 5 |
Restructuring Costs and Asset Impairment Charges | 19.7 | 0 |
Increase (Decrease) in Deferred Income Taxes | (3.6) | 24 |
Accounts and notes receivable | 15.4 | 40.1 |
Inventories | 16.5 | 44 |
Non-trade amounts receivable | 5.2 | 2.2 |
Prepaid expenses | 6.6 | 4.6 |
Other assets | 9 | (0.1) |
Accounts payable and accrued liabilities | (49.8) | (49.1) |
Income taxes payable | (50.5) | (20) |
Other liabilities | (3.4) | (4.7) |
Net cash impact from hedging activity | 1.5 | (3.5) |
Other | 0 | 0.1 |
Net cash provided by operating activities | 19.5 | 13.6 |
Investing Activities: | ||
Capital expenditures | (44) | (55.2) |
Proceeds from disposal of property, plant and equipment | 20.4 | 36.5 |
Net cash used in investing activities | (23.6) | (18.7) |
Financing Activities: | ||
Dividend payments to shareholders | (60.5) | (104.1) |
Proceeds from exercise of stock options | 0 | 0.3 |
Repurchase of common stock | (0.8) | (101.3) |
Repayment of finance lease obligations | (1.3) | (1.6) |
Net change in short-term debt | 46.7 | 200.7 |
Payments of Debt Issuance Costs | 2.2 | 0 |
Net cash used in financing activities | (18.1) | (6) |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (3.3) | (13.5) |
Net change in cash, cash equivalents and restricted cash | (25.5) | (24.6) |
Cash, cash equivalents and restricted cash at beginning of year | 151.9 | 147.2 |
Cash, cash equivalents and restricted cash at end of period | $ 126.4 | $ 122.6 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 28, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation: 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. These condensed consolidated financial statements are unaudited and have been prepared following the rules and regulations of the United States Securities and Exchange Commission and, in the Company's opinion, reflect all adjustments, including normal recurring items that are necessary for a fair statement of the results for the interim periods. Certain information and note disclosures normally included in the balance sheet, statements of income, comprehensive income, statements of shareholder’s equity and cash flows prepared in conformity with accounting principles generally accepted in the United States of America for complete financial statements have been condensed or omitted as permitted by such rules and regulations. As such, these condensed consolidated financial statements and related notes should be read in conjunction with the audited 2018 consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 29, 2018 . Operating results of any interim period presented herein are not necessarily indicative of the results that may be expected for a full fiscal year. 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. Hedging: On December 30, 2018, the Company adopted new guidance on hedge accounting, which required a cumulative-effect adjustment to the opening balance of retained earnings and accumulated other comprehensive income of $5.0 million , net of taxes. As part of the adoption, the Company elected to include forward points in the assessment of hedge effectiveness for net equity and cash flow hedges and exclude forward points in the assessment for fair value hedges. In addition, the Company now records the entire change in fair value of hedging instruments in the same income statement line item as the earnings effect of the hedged item. Prior to adoption, the impact from forward points was recorded as interest expense. Refer to Note 12 to the Consolidated Financial Statements for further discussion on impact from new hedge accounting guidance. Leases: On December 30, 2018, the Company adopted new guidance on lease accounting using the modified retrospective method, which required a cumulative-effect adjustment to the opening balance of retained earnings of $7.1 million , net of taxes. Prior periods have not been restated. The standard did not materially impact consolidated net income or liquidity, and did not have an impact on debt-covenant compliance under the Company's debt agreements. The new guidance was applied to all operating and capital leases at the date of initial application. Leases historically referred to as capital leases are now referred to as finance leases under the new guidance. The Company elected the package of practical expedients permitted under the transition guidance, and as a basis for its lease policies, which allowed the Company to carryforward its historical assessments of: (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. The Company also elected to not separate lease and non-lease components for all classes of underlying assets in which it is the lessee, and made an accounting policy election to not account for leases with an initial term of 12 months or less on the balance sheet. In addition, the Company did not elect the hindsight practical expedient to determine the reasonably certain lease term for existing leases. The Company recognizes payments on these leases on a straight-line basis over the lease term. Adoption of the new standard resulted in the recording of additional net lease assets and lease liabilities of $79.3 million and $80.3 million , respectively, as of September 28, 2019 related to the Company's operating leases. The standard did not materially impact the Company's consolidated net earnings or cash flows. Refer to Note 8 to the Consolidated Financial Statements for further information. |
Shipping and Handling Costs
Shipping and Handling Costs | 9 Months Ended |
Sep. 28, 2019 | |
Shipping and Handling Costs [Abstract] | |
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 delivery, sales and administrative expenses ("DS&A"). 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 were $30.1 million and $32.5 million for the third quarters of 2019 and 2018 , respectively, and $95.7 million and $103.8 million for the respective year-to-date periods. |
Promotional Costs
Promotional Costs | 9 Months Ended |
Sep. 28, 2019 | |
Promotional Costs [Abstract] | |
Promotional Costs | Promotional Costs The Company frequently makes promotional offers to members of its independent sales force to encourage them to fulfill specific goals or targets for other activities, ancillary to the Company's business, but considered separate and distinct services from sales, which are measured by defined group/team sales levels, 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. 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 $64.7 million and $73.0 million for the third quarters of 2019 and 2018 , respectively and $214.9 million and $244.1 million for the respective year-to-date periods. |
Inventories
Inventories | 9 Months Ended |
Sep. 28, 2019 | |
Inventory, Net [Abstract] | |
Inventories | Inventories (In millions) September 28, December 29, Finished goods $ 207.7 $ 203.9 Work in process 25.6 25.0 Raw materials and supplies 27.4 28.8 Total inventories $ 260.7 $ 257.7 |
Net Income Per Common Share
Net Income Per Common Share | 9 Months Ended |
Sep. 28, 2019 | |
Earnings Per Share [Abstract] | |
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 elements of the earnings per share computations were as follows: 13 weeks ended 39 weeks ended (In millions, except per share amounts) September 28, September 29, September 28, September 29, Net income $ 7.8 $ 39.1 $ 84.1 $ 138.6 Weighted-average shares of common stock outstanding 48.8 49.3 48.7 50.3 Common equivalent shares: Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units 0.1 0.1 0.2 0.2 Weighted-average common and common equivalent shares outstanding 48.9 49.4 48.9 50.5 Basic earnings per share $ 0.16 $ 0.79 $ 1.73 $ 2.75 Diluted earnings per share $ 0.16 $ 0.79 $ 1.72 $ 2.74 Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive 3.9 3.3 3.9 2.8 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 28, 2019 | |
Accumulated Other Comprehensive Loss [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 Balance at December 29, 2018 $ (579.1 ) $ 1.7 $ (24.7 ) $ (602.1 ) Cumulative effect of change in accounting principle (3.8 ) (1.2 ) — (5.0 ) Other comprehensive (loss) income before reclassifications (6.8 ) (2.8 ) 0.6 (9.0 ) Amounts reclassified from accumulated other comprehensive loss — 1.5 (0.5 ) 1.0 Net current-period other comprehensive (loss) income (6.8 ) (1.3 ) 0.1 (8.0 ) Balance at September 28, 2019 $ (589.7 ) $ (0.8 ) $ (24.6 ) $ (615.1 ) (In millions, net of tax) Foreign Currency Items Cash Flow Hedges Pension and Other Post-retirement Items Total Balance at December 30, 2017 $ (501.9 ) $ 1.6 $ (29.1 ) $ (529.4 ) Other comprehensive (loss) income before reclassifications (63.0 ) 4.5 0.8 (57.7 ) Amounts reclassified from accumulated other comprehensive (loss) income — (3.1 ) 0.4 (2.7 ) Net current-period other comprehensive (loss) income (63.0 ) 1.4 1.2 (60.4 ) Balance at September 29, 2018 $ (564.9 ) $ 3.0 $ (27.9 ) $ (589.8 ) Pretax amounts reclassified from accumulated other comprehensive loss that related to cash flow hedges consisted of net loss of $2.1 million and a gain of $4.2 million in the year-to-date periods ended September 28, 2019 and September 29, 2018 , respectively. Associated with these items were a tax benefit of $0.6 million and a provision of $1.1 million , respectively. See Note 12 for further discussion of derivatives. For the year-to-date periods ended September 28, 2019 and September 29, 2018 , pretax amounts reclassified from accumulated other comprehensive loss related to pension and other post-retirement items consisted of prior service benefits of $0.8 million and $0.6 million , and in 2018 , an actuarial loss of $0.3 million and pension settlement cost of $0.6 million . Associated with these items were a tax provision of $0.3 million in 2019 and $0.1 million in 2018 . See Note 14 to the Consolidated Financial Statements for further discussion of pension and other post-retirement benefit costs. |
Re-engineering and Impairment C
Re-engineering and Impairment Costs | 9 Months Ended |
Sep. 28, 2019 | |
Restructuring Charges [Abstract] | |
Re-engineering and Impairment Costs | Re-engineering and Impairment Costs The Company recorded $7.5 million and $3.0 million in re-engineering charges during the third quarters of 2019 and 2018 , respectively, and $15.9 million and $12.7 million for the respective year-to-date periods. These re-engineering costs were mainly related to the July 2017 revitalization program ("2017 program") and the transformation program announced in January 2019 ("2019 program"). In relation to the 2017 program, the Company incurred $1.1 million and $3.0 million of charges in the third quarters of 2019 and 2018 , respectively, and $3.3 million and $12.7 million of charges for the 2019 and 2018 year-to-date periods, respectively, 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 Company incurred $4.6 million and $10.0 million in the third quarter and year-to-date periods, respectively, in 2019 program costs, primarily related to outside consulting services, project team expenses, and distributor support. The re-engineering charges related to the 2019 program by segment during the third quarter and year-to-date periods ended September 28, 2019 were as follows: September 28, 2019 (In millions) 13 weeks ended 39 weeks ended Europe $ 3.2 $ 6.1 Asia Pacific 1.4 3.9 Total re-engineering charges $ 4.6 $ 10.0 The balances included in accrued liabilities related to re-engineering and impairment charges for the 2017 program as of September 28, 2019 and December 29, 2018 were as follows: (In millions) September 28, December 29, Beginning of the year balance $ 23.3 $ 45.4 Provision 3.3 15.9 Adjustments and other charges (0.4 ) 3.0 Cash expenditures: Severance (19.0 ) (27.1 ) Other (2.6 ) (12.8 ) Currency translation adjustment (0.7 ) (1.1 ) End of period balance $ 3.9 $ 23.3 The balances included in accrued liabilities related to re-engineering and impairment charges for the 2019 program as of September 28, 2019 were as follows: (In millions) September 28, Beginning of the year balance $ — Provision 10.0 Adjustments and other charges (1.1 ) Cash expenditures: Severance (0.2 ) Other (6.6 ) End of period balance $ 2.1 |
Leases
Leases | 9 Months Ended |
Sep. 28, 2019 | |
Leases [Abstract] | |
Leases Disclosure | Leases The Company leases certain equipment, vehicles, office space, and manufacturing and distribution facilities, and recognizes the associated lease expense on a straight-line basis over the lease term. Some leases include one or more options to renew, with renewal terms that can extend the lease term from one to five years, or more. The exercise of lease renewal options is at the Company's discretion and renewal options that are reasonably certain to be exercised have been included in the lease term. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. Certain lease agreements held by the Company include rental payments adjusted periodically for inflation. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants. The components of lease expense in the third quarter and year-to-date periods ended September 28, 2019 were as follows: September 28, 2019 (In millions) 13 weeks ended 39 weeks ended Operating lease cost (a) (c) $ 12.7 $ 38.3 Finance lease cost Amortization of right-of-use assets (a) 0.2 0.7 Interest on lease liabilities (b) 0.1 0.2 Total finance lease cost $ 0.3 $ 0.9 ____________________ (a) Included in DS&A and cost of products sold. (b) Included in interest expense. (c) Includes immaterial amounts related to short-term rent expense and variable rent expense. Supplemental cash flow information related to leases is as follows: 39 weeks ended (In millions) September 28, 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ (37.2 ) Operating cash flows from finance leases (0.2 ) Financing cash flows from finance leases (1.3 ) Leased assets obtained in exchange for new operating lease liabilities $ 11.0 Supplemental balance sheet information related to leases is as follows: (In millions, except lease term and discount rate) September 28, 2019 Operating Leases Operating lease right-of-use assets $ 79.3 Accrued liabilities $ 28.9 Operating lease liabilities 51.4 Total Operating lease liabilities $ 80.3 Finance Leases Property, plant and equipment, at cost $ 17.7 Accumulated amortization 10.0 Property, plant and equipment, net $ 7.7 Current portion of finance lease obligations $ 1.2 Long-term finance lease obligations 2.7 Total Finance lease liabilities $ 3.9 Weighted Average Remaining Lease Term Operating Leases 4.4 years Finance Leases 3.1 years Weighted Average Discount Rate (a) Operating Leases 5.5 % Finance Leases 5.1 % _________________________ (a) Calculated using Company's incremental borrowing rate. Maturities of lease liabilities as of September 28, 2019 were as follows: (In millions) Operating Leases Finance Leases 2019 $ 10.1 $ 0.3 2020 28.7 1.4 2021 19.1 1.4 2022 10.6 1.0 2023 5.3 — Thereafter 15.5 — Total lease payments $ 89.3 $ 4.1 Less imputed interest 9.0 0.2 Total $ 80.3 $ 3.9 Maturities of lease liabilities as of December 29, 2018 were as follows: (In millions) Operating Leases Finance Leases 2019 $ 28.3 $ 1.6 2020 19.2 1.3 2021 15.8 1.4 2022 8.3 1.0 2023 6.3 — Thereafter 25.3 — Total $ 103.2 $ 5.3 Rental expense for operating leases totaled $32.2 million and gross payments of financing leases totaled $2.5 million in fiscal year 2018. As of September 28, 2019 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 28, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure | 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. In the third quarters of 2019 and 2018, the Company completed the annual assessments for all of its reporting units and indefinite-lived intangible assets, concluding $19.7 million of impairment existed as of the third quarter 2019, mainly for the impairment of goodwill associated with the Fuller Mexico beauty and personal care products business in the amount of $17.5 million . The Nutrimetics tradename was also impaired by $2.2 million due to declining sales trends, leaving a $3.5 million carrying value as of September 28, 2019 . There were no impairments in 2018. The impairment evaluation of the goodwill associated with the Fuller Mexico reporting unit involved comparing the fair value of the reporting unit to its carrying value, including the goodwill balance, after consideration of impairment to its long-lived assets. There were no impairments of any long-lived assets. The fair value analysis for Fuller Mexico was completed using the income approach, which was considered a Level 3 measurement within the fair value hierarchy. The significant assumptions used in the income approach included estimates regarding future operations and the ability to generate cash flows, including projections of revenue, costs, utilization of assets and capital requirements. The income approach, or discounted cash flow approach, also requires an estimate as to the appropriate discount rate to be used. The most sensitive estimate in this valuation 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 used a forecast period of ten years with annual revenue growth rates ranging from negative eight percent to positive four percent, a compound average growth rate of 0.2 percent , and a 2.5 percent growth rate used in calculating the terminal value. The discount rate used was 14.9 percent . The growth rates were determined by reviewing historical results of the operating unit and the historical results of the Company’s other similar business units, along with the expected contribution from growth strategies being implemented. As the fair value of Fuller Mexico was less than the carrying value by more than the recorded goodwill balance, the remaining balance of goodwill recorded at Fuller Mexico was written off. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 28, 2019 | |
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 geography, consistency of economic substance, products, production process, class of customers and distribution method. The Company's reportable segments primarily sell design-centric preparation, storage and serving solutions for the kitchen and home through the Tupperware® brand. Europe 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 $60.5 million and $66.6 million in the third quarters of 2019 and 2018 , respectively, and $190.0 million and $214.9 million in the respective year-to-date periods. 13 weeks ended 39 weeks ended (In millions) September 28, September 29, September 28, September 29, Net sales: Europe $ 98.9 $ 112.3 $ 359.0 $ 388.9 Asia Pacific 148.8 170.0 460.4 522.2 North America 103.5 123.3 347.8 395.1 South America 66.9 80.2 213.5 257.6 Total net sales $ 418.1 $ 485.8 $ 1,380.7 $ 1,563.8 Segment profit: Europe $ (0.9 ) $ 1.0 $ 29.6 $ 28.5 Asia Pacific 32.7 43.7 99.9 127.0 North America 3.3 17.6 41.1 59.3 South America 11.3 15.6 33.3 50.7 Total segment profit $ 46.4 $ 77.9 $ 203.9 $ 265.5 Unallocated expenses (7.6 ) (8.6 ) (22.0 ) (32.5 ) Re-engineering and impairment charges (a) (7.5 ) (3.0 ) (15.9 ) (12.7 ) Impairment of goodwill and intangibles (19.7 ) — (19.7 ) — Gain on disposal of assets 12.1 1.5 11.1 16.1 Interest expense, net (9.8 ) (10.7 ) (29.8 ) (32.3 ) Income before taxes $ 13.9 $ 57.1 $ 127.6 $ 204.1 (In millions) September 28, December 29, Identifiable assets: Europe $ 299.9 $ 291.0 Asia Pacific 307.1 281.2 North America 270.3 250.9 South America 133.7 125.0 Corporate 324.9 360.7 Total identifiable assets $ 1,335.9 $ 1,308.8 _________________________ (a) See Note 7 |
Debt
Debt | 9 Months Ended |
Sep. 28, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt Obligations (In millions) September 28, December 29, 2018 Fixed rate senior notes due 2021 $ 599.8 $ 599.7 Five year Revolving Credit Agreement (a) 323.7 283.9 Belgium facility finance lease 3.9 5.3 Total debt obligations $ 927.4 $ 888.9 ____________________ (a) $173.7 million and $186.8 million denominated in euros as of September 28, 2019 and December 29, 2018 , respectively. Credit Agreement On March 29, 2019, the Company and its wholly owned subsidiaries Tupperware Nederland B.V., Administradora Dart, S. de R.L. de C.V., and Tupperware Brands Asia Pacific Pte. Ltd. (the “Subsidiary Borrowers”), amended and restated its multicurrency Credit Agreement, amended by Amendment No. 1 dated August 28, 2019 (so as amended, the "Credit Agreement"), with JPMorgan Chase Bank, N.A. as administrative agent (the “Administrative Agent”), swingline lender, joint lead arranger and joint bookrunner, and Credit Agricole Corporate and Investment Bank, HSBC Securities (USA) Inc., Mizuho Bank, Ltd. and Wells Fargo Securities, LLC, as syndication agents, joint lead arrangers and joint bookrunners. The Credit Agreement replaces the credit agreement dated September 11, 2013 and as amended (the “Old Credit Agreement”) and, other than an increased aggregate amount that may be borrowed, an improvement in the consolidated leverage ratio covenant and a slightly more favorable commitment fee rate, has terms and conditions similar to that of the Old Credit Agreement. The Credit Agreement makes available to the Company and the Subsidiary Borrowers a committed five-year credit facility in an aggregate amount of $650 million (the “Facility Amount”). The Credit Agreement provides (i) a revolving credit facility, available up to the full amount of the Facility Amount, (ii) a letter of credit facility, available up to $50 million of the Facility Amount, and (iii) a swingline facility, available up to $100 million of the Facility Amount. Each of such facilities is fully available to the Company and the Facility Amount is available to the Subsidiary Borrowers up to an aggregate amount not to exceed $325 million . With the agreement of its lenders, 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 $850 million ), subject to certain conditions. As of September 28, 2019 , the Company had total borrowings of $323.7 million outstanding under the Credit Agreement, with $173.7 million of that amount denominated in euros. Loans made under the Credit Agreement will be composed of (i) “Eurocurrency Borrowings”, bearing interest determined in reference to the London interbank offered rate ("LIBOR") for the applicable currency and interest period, plus a margin, and/or (ii) “ABR Borrowings”, bearing interest at the sum of (A) the greatest of (x) the rate of interest publicly announced from time to time by JPMorgan Chase Bank, N.A. as its prime rate, (y) the NYFRB rate plus 0.5 percent, and (z) adjusted LIBOR on such day (or if such day is not a business day, the immediately preceding business day) for a deposit in U.S. dollars with a maturity of one month plus 1 percent, and (B) a margin. The applicable margin in each case will be determined by reference to a pricing schedule and will be based upon the better for the Company of (a) the Consolidated Leverage Ratio (computed as 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) for the fiscal quarter referred to in the quarterly or annual financial statements most recently delivered, 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. Under the Credit Agreement, the applicable margin for ABR Borrowings ranges from 0.375 percent to 0.875 percent , the applicable margin for Eurocurrency Borrowings ranges from 1.375 percent to 1.875 percent , and the applicable margin for the commitment fee ranges from 0.150 percent to 0.275 percent . Loans made under the swingline facility will bear interest, if denominated in U.S. Dollars, at the same rate as an ABR Borrowing and, if denominated in another currency, at the same rate as a Eurocurrency Borrowing. As of September 28, 2019 , the Credit Agreement dictated a base rate spread of 150 basis points, which gave the Company a weighted average interest rate of 2.5 percent on LIBOR -based borrowings under the Credit Agreement that has a final maturity date of March 29, 2024. Similar to the Old 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 certain liquidations or dissolutions, engage in certain mergers or consolidations, or change lines of business. These covenants are subject to significant exceptions and qualifications. The financial covenants provide for a maximum Consolidated Leverage Ratio of 3.75 to 1.0 and a minimum interest coverage ratio of 3.0 to 1.0 (defined as consolidated EBITDA divided by consolidated total interest expense). For purposes of the Credit Agreement, consolidated EBITDA represents earnings before interest, income taxes, depreciation and amortization, as adjusted to exclude unusual, non-recurring gains as well as non-cash charges and certain other items. As of September 28, 2019 , and currently, the Company was in compliance with the financial covenants in the Credit Agreement. Under the Credit Agreement and consistent with the Old Credit Agreement, the Guarantor unconditionally guarantees all obligations and liabilities of the Company and the Subsidiary Borrowers relating to the Credit Agreement, supported by a security interest in certain "Tupperware" trademarks and service marks. The Credit Agreement includes a trigger whereby the Company would be required to provide additional collateral and subsidiary guarantees if Moody's Investors Services, Inc. downgrades its existing ratings two notes or more or S&P Global Ratings downgrades its existing ratings one or more notches. The Company had routinely increased its revolver borrowings under the Old Credit Agreement each quarter, and expects to continue to do so under the Credit Agreement, to fund operating, investing and other financing activities. It also has in the past and expects to in the future, use cash available at the end of each quarter to reduce borrowing levels. As a result, the Company has higher interest expense and foreign exchange exposure on the value of its cash during each quarter than would relate solely to the quarter end cash and debt balances. At September 28, 2019 , the Company had $406.1 million of unused lines of credit, including $324.9 million under the committed, secured Credit Agreement, and $81.2 million |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 9 Months Ended |
Sep. 28, 2019 | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities 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, 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 is designated as a fair value, cash flow or net equity hedge. 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, as of the beginning of 2019, the Company made the accounting policy election in accordance with ASU 2017-12 to exclude forward points and record their impact in the same income statement line item that is used to present the earnings effect of the hedged item for 2019, Other income, net . Prior to 2019, the forward points had been included as a component of interest expense. The forward points on fair value hedges resulted in pretax income of $5.1 million and $4.3 million in the third quarters of 2019 and 2018 , respectively, and $13.2 million and $15.1 million for the respective year-to-date periods. The Company also uses derivative financial instruments to hedge foreign currency exposures resulting from certain forecasted purchases and classifies these as cash flow hedges. The majority of cash flow hedge contracts that the Company enters into relate to inventory purchases. At initiation, the Company's cash flow hedge contracts are generally for periods ranging from one month to fifteen months . The effective portion of the gain or loss on the open hedging instrument is recorded in other comprehensive income and is reclassified into earnings when settled through the same line item as the transaction being hedged. 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 within the next twelve months . The associated asset or liability on the open hedges is recorded in other current assets or accrued liabilities, as applicable. In assessing hedge effectiveness, the Company made an accounting policy change as of December 30, 2018 to include forward points in the assessment of effectiveness for cash flow hedges causing the impact from forward points to be recorded as part of other comprehensive income compared to interest expense as it previously had been recorded. Based on the interest expense incurred for open cash flow hedges as of December 30, 2018, the Company recorded an adjustment of $1.2 million , net of taxes, to accumulated comprehensive income and retained earnings to reflect this accounting policy change. There was an immaterial impact from forward points recorded in other comprehensive income for activity related to the third quarter and year-to-date periods of 2019. The Company recognized $1.0 million and $3.1 million of manufacturing variances that will be capitalized and amortized over actual months of inventory turns related to the forward point impact from the settlement of cash flow hedges in the third quarter and year-to-date periods of 2019. The Company also uses financial instruments, such as forward contracts and certain euro denominated borrowings under its 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 gain of $5.3 million and a net loss of $1.1 million associated with these hedges in the third quarters of 2019 and 2018 , respectively, and net loss of $9.9 million and gain of $12.9 million for the respective year-to-date periods. 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 made an accounting policy change as of December 30, 2018 to include forward points in the assessment of effectiveness for net equity hedges causing the impact from forward points to be recorded as part of other comprehensive income compared to interest expense as it previously had been recorded. The impact of forward points is being recorded in other comprehensive income, and will remain there indefinitely since that is where the gains and losses on hedges of net equity are recorded. Based on the interest expense associated with forward points incurred for open net equity hedges as of December 30, 2018, the Company recorded an adjustment of $3.8 million , net of taxes, to accumulated comprehensive income to reflect this accounting policy change. The impact related to forward points on hedges of net equity recorded as a component of other comprehensive income in the third quarter and year-to-date periods of 2019 were losses of $5.2 million and $14.1 million , respectively. The net cash flow impact from hedging activity for the year-to-date periods ended September 28, 2019 and September 29, 2018 was an outflow of $1.5 million and an inflow of $3.5 million , respectively. The Company considers the total notional value of its forward contracts as the best measure of the volume of derivative transactions. As of September 28, 2019 and December 29, 2018 , the notional amounts of outstanding forward contracts to purchase currencies were $132.6 million and $186.8 million , respectively, and the notional amounts of outstanding forward contracts to sell currencies were $134.4 million and $184.6 million , respectively. As of September 28, 2019 , the notional values of the largest positions outstanding were to purchase $112.3 million of U.S. dollars and $15.0 million of euros, and to sell $53.4 million of Swiss francs and $33.2 million of Mexican pesos. 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 September 28, 2019 and December 29, 2018 . 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 Balance sheet Sep 28, Dec 29, Balance sheet Sep 28, Dec 29, Foreign exchange contracts Non-trade amounts receivable $ 12.3 $ 26.7 Accrued liabilities $ 13.1 $ 22.6 The following table summarizes the impact on the results of operations for the third quarters of 2019 and 2018 for the components included in the hedge effectiveness assessment of the Company's fair value hedging positions: Derivatives designated as fair value hedges (in millions) Location of (loss) gain recognized in income on derivatives Amount of (loss) gain recognized Location of gain (loss) recognized in income on related hedged items Amount of gain (loss) recognized 2019 2018 2019 2018 Foreign exchange contracts Other expense $ (8.8 ) $ 3.4 Other expense $ 9.0 $ (3.4 ) The following table summarizes the impact of the Company's hedging activities on comprehensive income for the third quarters of 2019 and 2018 : Derivatives designated Amount of (loss) gain recognized in Location of (loss) gain reclassified Amount of (loss) gain reclassified Location of loss recognized Amount of loss recognized Cash flow hedging relationships 2019 2018 2019 2018 2019 2018 Foreign exchange contracts $ (0.1 ) $ 2.0 Cost of products $ (1.0 ) $ 2.3 Interest expense $ — $ (1.1 ) Net equity hedging relationships Foreign exchange contracts 3.4 (0.6 ) Interest expense — (4.5 ) Euro denominated debt 3.3 (0.8 ) The following table summarizes the impact on the results of operations for the year-to-date periods ended September 28, 2019 and September 29, 2018 for the components included in the hedge effectiveness assessment of the Company's fair value hedging positions: Derivatives designated as fair Location of gain (loss) recognized in Amount of gain (loss) recognized Location of gain Amount of gain recognized 2019 2018 2019 2018 Foreign exchange contracts Other expense $ 0.2 $ (11.4 ) Other expense $ — $ 10.8 The following table summarizes the impact of the Company's hedging activities on comprehensive income for the year-to-date periods ended September 28, 2019 and September 29, 2018 : Derivatives designated Amount of (loss) gain recognized in Location of (loss) gain reclassified Amount of (loss) gain reclassified Location of loss recognized Amount of loss recognized Cash flow hedging relationships 2019 2018 2019 2018 2019 2018 Foreign exchange contracts $ (3.7 ) $ 6.1 Cost of products $ (2.1 ) $ 4.2 Interest expense $ — $ (2.9 ) Net equity hedging relationships Foreign exchange contracts (16.1 ) 15.6 Interest expense — (16.0 ) Euro denominated debt 3.2 0.8 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 28, 2019 | |
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, leased assets and liabilities and short-term borrowings approximated their fair values at September 28, 2019 and December 29, 2018 . The Company estimates that, based on current market conditions, the value of its 4.75% , 2021 senior notes was $613.3 million at September 28, 2019 , compared with the carrying value of $599.8 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 12 to the Consolidated Financial Statements for discussion of the Company's derivative instruments and related fair value measurements. |
Retirement Benefit Plans
Retirement Benefit Plans | 9 Months Ended |
Sep. 28, 2019 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Retirement Benefit Plans | Retirement Benefit Plans Components of net periodic benefit cost for the third quarters and year-to-date periods ended September 28, 2019 and September 29, 2018 were as follows: Third Quarter Year-to-Date Pension benefits Post-retirement benefits Pension benefits Post-retirement benefits (In millions) 2019 2018 2019 2018 2019 2018 2019 2018 Service cost $ 2.1 $ 1.4 $ — $ — $ 5.9 $ 6.4 $ 0.1 $ 0.1 Interest cost 1.9 1.4 0.1 0.1 4.9 4.2 0.4 0.3 Expected return on plan assets (1.0 ) (0.9 ) — — (3.2 ) (3.3 ) — — Settlement/curtailment 0.1 0.2 — — — 0.6 — — Net amortization 0.1 0.4 (0.3 ) (0.4 ) 0.1 0.7 (0.9 ) (1.0 ) Net periodic benefit cost $ 3.2 $ 2.5 $ (0.2 ) $ (0.3 ) $ 7.7 $ 8.6 $ (0.4 ) $ (0.6 ) During the year-to-date periods ended September 28, 2019 and September 29, 2018 , approximately $0.8 million of pretax gain and $0.3 million of pretax expense were reclassified from other comprehensive income to a component of net periodic benefit cost, respectively. As they relate to non-U.S. plans, the Company uses current exchange rates to make these reclassifications. The impact of exchange rate fluctuations is included on the net amortization line of the table above. The Company included $1.3 million and $1.5 million related to the components of net periodic benefit cost, excluding service cost, in other expense in the year-to-date periods ended September 28, 2019 and September 29, 2018 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 28, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The effective tax rates for the third quarter and year-to-date periods of 2019 were 44.2 percent and 33.9 percent , respectively, compared with 31.6 percent and 32.1 percent for the comparable 2018 periods. The tax rate for the second quarter of 2019 was 36.2 percent . The increase in the rate from the second quarter to the third quarter of 2019, was the result of a 2018 tax return to provision true-up related to the Tax Cuts and Jobs Act of 2017 ("Tax Act") and the impairment charges primarily related to Fuller Mexico's goodwill. As of September 28, 2019 and December 29, 2018 , the Company's accrual for uncertain tax positions was $11.8 million and $15.1 million , respectively. The decrease in the accrual for uncertain tax positions was primarily due to the settlement of audits in various jurisdictions. The Company estimates that as of September 28, 2019 , approximately $11.5 million of the unrecognized tax benefits, if recognized, will impact the effective tax rate. 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 $5.1 million and $5.5 million as of the periods ended September 28, 2019 and December 29, 2018 , respectively. The Company estimates that it may settle one or more audits in the next twelve months that may result in cash payments decreasing the amount of accrual for uncertain tax positions by up to $0.4 million . For the remaining balance as of September 28, 2019 , 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 or reversal of valuation allowances against certain existing deferred tax assets. These valuation allowances relate to tax assets in jurisdictions where it is management's best estimate that there is not a greater than 50 percent probability that the benefit of the assets will be realized in the associated tax returns. The likelihood of realizing the benefit of deferred tax assets is assessed on an ongoing basis. This assessment requires estimates as to future operating results, as well as an evaluation of the effectiveness of the Company's tax planning strategies. 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. |
Statement of Cash Flow Suppleme
Statement of Cash Flow Supplemental Disclosure | 9 Months Ended |
Sep. 28, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Statement of Cash Flow Supplemental Disclosure | Statement of Cash Flow Supplemental Disclosure Under the Company's stock incentive programs, in certain jurisdictions, employees are allowed to use shares retained by the Company to satisfy minimum statutorily required withholding taxes. In the year-to-date periods ended September 28, 2019 and September 29, 2018 , 25,947 and 22,494 shares, respectively, were retained to fund withholding taxes, with values totaling $0.8 million and $1.1 million , respectively, which were included as stock repurchases in the Consolidated Statements of Cash Flows. Restricted cash is recorded in prepaid and other current assets or in the long-term other assets balance sheet line items. |
Stock Based Compensation
Stock Based Compensation | 9 Months Ended |
Sep. 28, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Based Compensation | Stock Based Compensation Stock option activity for 2019 is summarized in the following table: Shares Weighted Aggregate intrinsic value (in millions) Outstanding at December 29, 2018 3,630,684 $ 55.66 Expired / Forfeited (95,924 ) 52.48 Outstanding at September 28, 2019 3,534,760 $ 55.75 $ — Exercisable at September 28, 2019 2,359,616 $ 59.23 $ — The Company also has time-vested, performance-vested and market-vested share awards. The activity for such awards in 2019 is summarized in the following table: Shares Weighted average December 29, 2018 684,184 $ 47.68 Time-vested shares granted 160,961 18.02 Market-vested shares granted 42,365 27.12 Performance shares granted 111,536 30.90 Performance share adjustments (99,101 ) 37.72 Vested (131,740 ) 48.23 Forfeited (151,771 ) 43.78 September 28, 2019 616,434 $ 37.93 Compensation expense related to the Company's stock-based compensation for the third quarter and year-to-date periods ended September 28, 2019 and September 29, 2018 were as follows: Third Quarter Year-to-Date (In millions) 2019 2018 2019 2018 Stock options $ 0.6 $ 0.9 $ 1.8 $ 2.6 Time, performance and market vested share awards 2.4 2.8 5.7 8.1 As of September 28, 2019 , total unrecognized stock-based compensation expense related to all stock based awards was $14.6 million , which is expected to be recognized over a weighted average period of 1.6 years |
Allowance for Long-Term Receiva
Allowance for Long-Term Receivables | 9 Months Ended |
Sep. 28, 2019 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Allowance For Long-Term Receivables | Allowance for Long-Term Receivables As of September 28, 2019 , $18.1 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 September 28, 2019 was as follows: (In millions) Balance at December 29, 2018 $ 16.0 Write-offs (0.2 ) Provision and reclassifications 3.1 Currency translation adjustment (0.5 ) Balance at September 28, 2019 $ 18.4 |
Guarantor Information
Guarantor Information | 9 Months Ended |
Sep. 28, 2019 | |
Guarantor Information [Abstract] | |
Guarantor Information | Guarantor Information The Company's payment obligations under its senior notes due in 2021 are fully and unconditionally guaranteed, on a senior secured basis, by Dart Industries Inc. (the "Guarantor"), as are the payment obligations under the Company's Credit Agreement. Both guarantees are secured by certain "Tupperware" trademarks and service marks owned by the Guarantor. Condensed consolidated financial information as of September 28, 2019 and December 29, 2018 , and for the quarter and year-to-date periods ended September 28, 2019 and September 29, 2018 , for the Company (the "Parent"), the 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 that the Parent owns directly. There are no significant restrictions on the ability of either the Parent or the Guarantor to obtain 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 13 weeks ended September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 419.6 $ (1.5 ) $ 418.1 Other revenue — 20.9 2.2 (23.1 ) — Cost of products sold — 2.2 164.0 (24.7 ) 141.5 Gross margin — 18.7 257.8 0.1 276.6 Delivery, sales and administrative expense 2.7 19.0 219.8 0.1 241.6 Re-engineering and impairment charges — 0.4 7.1 — 7.5 Impairment of goodwill and intangible assets — — 19.7 — 19.7 Gain on disposal of assets — — 12.1 — 12.1 Operating (loss) income (2.7 ) (0.7 ) 23.3 — 19.9 Interest income 4.8 0.7 8.3 (13.2 ) 0.6 Interest expense 9.9 11.8 1.9 (13.2 ) 10.4 Income (loss) from equity investments in subsidiaries 7.0 (1.2 ) — (5.8 ) — Other income (0.4 ) (2.1 ) (1.3 ) — (3.8 ) (Loss) income before income taxes (0.4 ) (10.9 ) 31.0 (5.8 ) 13.9 (Benefit) provision for income taxes (8.2 ) (12.5 ) 26.8 — 6.1 Net income $ 7.8 $ 1.6 $ 4.2 $ (5.8 ) $ 7.8 Comprehensive loss $ (11.5 ) $ (18.9 ) $ (17.1 ) $ 36.0 $ (11.5 ) Consolidating Statement of Income 13 weeks ended September 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 487.1 $ (1.3 ) $ 485.8 Other revenue — 24.4 1.3 (25.7 ) — Cost of products sold — 1.2 189.8 (26.9 ) 164.1 Gross margin — 23.2 298.6 (0.1 ) 321.7 Delivery, sales and administrative expense 3.3 18.7 231.1 (0.1 ) 253.0 Re-engineering and impairment charges — 0.8 2.2 — 3.0 Gain on disposal of assets — — 1.5 — 1.5 Operating (loss) income (3.3 ) 3.7 66.8 — 67.2 Interest income 5.2 0.4 10.6 (15.6 ) 0.6 Interest expense 9.2 15.4 2.3 (15.6 ) 11.3 Income from equity investments in subsidiaries 44.7 61.9 — (106.6 ) — Other (income) expense (0.3 ) 7.7 (8.0 ) — (0.6 ) Income before income taxes 37.7 42.9 83.1 (106.6 ) 57.1 (Benefit) provision for income taxes (1.4 ) 1.3 18.1 — 18.0 Net income $ 39.1 $ 41.6 $ 65.0 $ (106.6 ) $ 39.1 Comprehensive income $ 21.1 $ 25.3 $ 50.2 $ (75.5 ) $ 21.1 Consolidating Statement of Income 39 weeks ended September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 1,385.4 $ (4.7 ) $ 1,380.7 Other revenue — 72.7 15.8 (88.5 ) — Cost of products sold — 15.8 532.1 (90.6 ) 457.3 Gross margin — 56.9 869.1 (2.6 ) 923.4 Delivery, sales and administrative expense 6.4 55.5 692.7 (2.6 ) 752.0 Re-engineering and impairment charges — 1.2 14.7 — 15.9 Impairment of goodwill and intangible assets — — 19.7 — 19.7 Gain on disposal of assets — — 11.1 — 11.1 Operating (loss) income (6.4 ) 0.2 153.1 — 146.9 Interest income 15.1 1.9 27.9 (43.3 ) 1.6 Interest expense 29.7 37.6 7.4 (43.3 ) 31.4 Income from equity investments in subsidiaries 92.9 102.8 — (195.7 ) — Other income (1.5 ) (0.8 ) (8.2 ) — (10.5 ) Income before income taxes 73.4 68.1 181.8 (195.7 ) 127.6 (Benefit) provision for income taxes (10.7 ) (16.3 ) 70.5 — 43.5 Net income $ 84.1 $ 84.4 $ 111.3 $ (195.7 ) $ 84.1 Comprehensive income $ 76.1 $ 75.0 $ 117.9 $ (192.9 ) $ 76.1 Consolidating Statement of Income 39 weeks ended September 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 1,566.6 $ (2.8 ) $ 1,563.8 Other revenue — 65.7 13.3 (79.0 ) — Cost of products sold — 13.3 583.1 (79.8 ) 516.6 Gross margin — 52.4 996.8 (2.0 ) 1,047.2 Delivery, sales and administrative expense 9.6 64.1 743.3 (2.0 ) 815.0 Re-engineering and impairment charges — 1.8 10.9 — 12.7 Gain on disposal of assets — — 16.1 — 16.1 Operating (loss) income (9.6 ) (13.5 ) 258.7 — 235.6 Interest income 15.4 1.5 32.5 (47.4 ) 2.0 Interest expense 28.7 46.7 6.3 (47.4 ) 34.3 Income from equity investments in subsidiaries 155.8 203.6 — (359.4 ) — Other (income) expense (1.1 ) 5.2 (4.9 ) — (0.8 ) Income before income taxes 134.0 139.7 289.8 (359.4 ) 204.1 (Benefit) provision for income taxes (4.6 ) (7.5 ) 77.6 — 65.5 Net income $ 138.6 $ 147.2 $ 212.2 $ (359.4 ) $ 138.6 Comprehensive income $ 78.2 $ 91.2 $ 147.4 $ (238.6 ) $ 78.2 Condensed Consolidating Balance Sheet September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 1.8 $ 120.3 $ — $ 122.1 Accounts receivable, net — — 136.8 — 136.8 Inventories — — 260.7 — 260.7 Non-trade amounts receivable, net — 164.1 112.2 (235.8 ) 40.5 Intercompany receivables 321.0 1,442.7 219.8 (1,983.5 ) — Prepaid expenses and other current assets 1.6 17.5 16.4 (8.4 ) 27.1 Total current assets 322.6 1,626.1 866.2 (2,227.7 ) 587.2 Deferred income tax benefits, net 41.7 42.2 131.1 (0.5 ) 214.5 Property, plant and equipment, net — 81.3 188.2 — 269.5 Operating lease assets — 0.4 79.0 (0.1 ) 79.3 Long-term receivables, net — 0.1 16.0 — 16.1 Trademarks and tradenames, net — — 46.0 — 46.0 Goodwill — 2.9 55.6 — 58.5 Investments in subsidiaries 1,395.9 1,298.2 — (2,694.1 ) — Intercompany loan receivables 504.9 93.5 995.4 (1,593.8 ) — Other assets, net 2.0 1.2 106.6 (45.0 ) 64.8 Total assets $ 2,267.1 $ 3,145.9 $ 2,484.1 $ (6,561.2 ) $ 1,335.9 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 6.8 $ 79.0 $ — $ 85.8 Short-term borrowings and current portion of long-term debt and finance lease obligations 239.1 — 85.9 — 325.0 Intercompany payables 1,345.9 418.0 219.6 (1,983.5 ) — Accrued liabilities 265.4 32.0 239.4 (244.2 ) 292.6 Total current liabilities 1,850.4 456.8 623.9 (2,227.7 ) 703.4 Long-term debt and finance lease obligations 599.8 — 2.6 — 602.4 Intercompany notes payable — 1,308.4 285.4 (1,593.8 ) — Operating lease liabilities — 0.2 51.3 (0.1 ) 51.4 Other liabilities 1.9 62.7 144.6 (45.5 ) 163.7 Shareholders' (deficit) equity (185.0 ) 1,317.8 1,376.3 (2,694.1 ) (185.0 ) Total liabilities and shareholders' equity $ 2,267.1 $ 3,145.9 $ 2,484.1 $ (6,561.2 ) $ 1,335.9 Condensed Consolidating Balance Sheet December 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 0.3 $ 148.7 $ — $ 149.0 Accounts receivable, net — — 144.7 — 144.7 Inventories — — 257.7 — 257.7 Non-trade amounts receivable, net — 169.0 71.0 (190.1 ) 49.9 Intercompany receivables 309.2 1,430.1 230.5 (1,969.8 ) — Prepaid expenses and other current assets 1.1 3.7 48.2 (33.7 ) 19.3 Total current assets 310.3 1,603.1 900.8 (2,193.6 ) 620.6 Deferred income tax benefits, net 41.7 42.2 133.1 — 217.0 Property, plant and equipment, net — 71.3 204.7 — 276.0 Long-term receivables, net — 0.1 18.6 — 18.7 Trademarks and tradenames, net — — 52.9 — 52.9 Goodwill — 2.9 73.2 — 76.1 Investments in subsidiaries 1,305.3 1,346.8 — (2,652.1 ) — Intercompany loan receivables 515.3 95.4 1,069.4 (1,680.1 ) — Other assets, net 0.3 0.5 75.3 (28.6 ) 47.5 Total assets $ 2,172.9 $ 3,162.3 $ 2,528.0 $ (6,554.4 ) $ 1,308.8 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 5.7 $ 123.5 $ — $ 129.2 Short-term borrowings and current portion of long-term debt and finance lease obligations 189.4 — 96.1 — 285.5 Intercompany payables 1,330.9 436.3 202.6 (1,969.8 ) — Accrued liabilities 278.6 69.2 220.4 (223.8 ) 344.4 Total current liabilities 1,798.9 511.2 642.6 (2,193.6 ) 759.1 Long-term debt and finance lease obligations 599.7 — 3.7 — 603.4 Intercompany notes payable 6.6 1,366.7 306.8 (1,680.1 ) — Other liabilities 2.9 48.1 159.1 (28.6 ) 181.5 Shareholders' (deficit) equity (235.2 ) 1,236.3 1,415.8 (2,652.1 ) (235.2 ) Total liabilities and shareholders' equity $ 2,172.9 $ 3,162.3 $ 2,528.0 $ (6,554.4 ) $ 1,308.8 Condensed Consolidating Statement of Cash Flows 39 weeks ended September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash (used in) provided by operating activities $ (8.1 ) $ 86.7 $ 164.8 $ (223.9 ) $ 19.5 Investing Activities: Capital expenditures — (23.4 ) (20.6 ) — (44.0 ) Proceeds from disposal of property, plant and equipment — — 20.4 — 20.4 Net intercompany loans 3.8 (11.4 ) 67.9 (60.3 ) — Net cash provided by (used in) investing activities 3.8 (34.8 ) 67.7 (60.3 ) (23.6 ) Financing Activities: Dividend payments to shareholders (60.5 ) — — — (60.5 ) Dividend payments to parent — — (226.2 ) 226.2 — Repurchase of common stock (0.8 ) — — — (0.8 ) Repayment of finance lease obligations — — (1.3 ) — (1.3 ) Net change in short-term debt 52.9 — (6.2 ) — 46.7 Debt issuance costs (2.2 ) — — — (2.2 ) Net intercompany borrowings 14.9 (50.1 ) (22.8 ) 58.0 — Net cash provided by (used in) financing activities 4.3 (50.1 ) (256.5 ) 284.2 (18.1 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash — (0.3 ) (3.0 ) — (3.3 ) Net change in cash, cash equivalents and restricted cash — 1.5 (27.0 ) — (25.5 ) Cash, cash equivalents and restricted cash at beginning of year — 0.3 151.6 — 151.9 Cash, cash equivalents and restricted cash at end of period $ — $ 1.8 $ 124.6 $ — $ 126.4 Condensed Consolidating Statement of Cash Flows 39 weeks ended September 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash (used in) provided by operating activities $ (27.9 ) $ 96.7 $ 225.5 $ (280.7 ) $ 13.6 Investing Activities: Capital expenditures — (19.3 ) (35.9 ) — (55.2 ) Proceeds from disposal of property, plant and equipment — — 36.5 — 36.5 Net intercompany loans (64.9 ) (247.7 ) (173.0 ) 485.6 — Net cash used in investing activities (64.9 ) (267.0 ) (172.4 ) 485.6 (18.7 ) Financing Activities: Dividend payments to shareholders (104.1 ) — — — (104.1 ) Dividend payments to parent — — (272.5 ) 272.5 — Proceeds from exercise of stock options 0.3 — — — 0.3 Repurchase of common stock (101.3 ) — — — (101.3 ) Repayment of finance lease obligations — — (1.6 ) — (1.6 ) Net change in short-term debt 45.0 — 155.7 — 200.7 Net intercompany borrowings 252.9 173.5 51.0 (477.4 ) — Net cash provided by (used in) financing activities 92.8 173.5 (67.4 ) (204.9 ) (6.0 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — (13.5 ) — (13.5 ) Net change in cash, cash equivalents and restricted cash — 3.2 (27.8 ) — (24.6 ) Cash, cash equivalents and restricted cash at beginning of year — 0.1 147.1 — 147.2 Cash, cash equivalents and restricted cash at end of period $ — $ 3.3 $ 119.3 $ — $ 122.6 |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Sep. 28, 2019 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements In August 2018, the FASB issued an amendment to existing guidance on the accounting for implementation, setup, and other upfront costs incurred in a cloud computing arrangement that is hosted by the vendor that is a service contract. Under the amendment, the requirement for capitalizing implementation costs incurred in a hosting environment that is a service contract is aligned with the requirements for capitalizing implementation costs incurred for an internal-use software license. This guidance is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted. The Company does not expect the adoption of this amendment to have a material impact on the Company’s Consolidated Financial Statements. In August 2018, the FASB issued an amendment to existing guidance on disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. Under the amendment, the entity is required to disclose the weighted-average interest crediting rates used, reasons for significant gains and losses affecting the benefit obligation and an explanation of any other significant changes in the benefit obligation or plan assets. The amendment also removed certain required disclosures that no longer are considered cost beneficial. This guidance is effective for fiscal years beginning after December 15, 2020. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this amendment on its disclosure, and does not expect any impact on its basic financial statements. In August 2018, the FASB issued an amendment to existing guidance on disclosure requirements on fair value measurement as part of its broader disclosure framework project, which aims to improve the effectiveness of disclosures in the notes to the financial statements. Under this amendment, certain disclosure requirements for fair value measurement were eliminated, modified and added. This guidance is effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption of either the entire standard or only the provisions that eliminate or modify requirements is permitted. The Company is currently evaluating the impact of the adoption of this amendment on its Consolidated Financial Statements. In June 2016, the FASB issued an amendment to existing guidance for the measurement of credit losses on financial instruments and subsequent updates to that amendment. This guidance replaces the incurred loss impairment methodology in current U.S. GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information when recording credit loss estimates. The new standard is effective for fiscal years and interim periods beginning after December 15, 2019. The Company does not expect the adoption of this amendment to have a material impact on the Company’s Consolidated Financial Statements. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 28, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation: 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. These condensed consolidated financial statements are unaudited and have been prepared following the rules and regulations of the United States Securities and Exchange Commission and, in the Company's opinion, reflect all adjustments, including normal recurring items that are necessary for a fair statement of the results for the interim periods. Certain information and note disclosures normally included in the balance sheet, statements of income, comprehensive income, statements of shareholder’s equity and cash flows prepared in conformity with accounting principles generally accepted in the United States of America for complete financial statements have been condensed or omitted as permitted by such rules and regulations. As such, these condensed consolidated financial statements and related notes should be read in conjunction with the audited 2018 consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 29, 2018 . Operating results of any interim period presented herein are not necessarily indicative of the results that may be expected for a full fiscal year. |
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. |
Derivatives | Hedging: On December 30, 2018, the Company adopted new guidance on hedge accounting, which required a cumulative-effect adjustment to the opening balance of retained earnings and accumulated other comprehensive income of $5.0 million , net of taxes. As part of the adoption, the Company elected to include forward points in the assessment of hedge effectiveness for net equity and cash flow hedges and exclude forward points in the assessment for fair value hedges. In addition, the Company now records the entire change in fair value of hedging instruments in the same income statement line item as the earnings effect of the hedged item. Prior to adoption, the impact from forward points was recorded as interest expense. Refer to Note 12 to the Consolidated Financial Statements for further discussion on impact from new hedge accounting guidance. |
Leases | Leases: On December 30, 2018, the Company adopted new guidance on lease accounting using the modified retrospective method, which required a cumulative-effect adjustment to the opening balance of retained earnings of $7.1 million , net of taxes. Prior periods have not been restated. The standard did not materially impact consolidated net income or liquidity, and did not have an impact on debt-covenant compliance under the Company's debt agreements. The new guidance was applied to all operating and capital leases at the date of initial application. Leases historically referred to as capital leases are now referred to as finance leases under the new guidance. The Company elected the package of practical expedients permitted under the transition guidance, and as a basis for its lease policies, which allowed the Company to carryforward its historical assessments of: (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. The Company also elected to not separate lease and non-lease components for all classes of underlying assets in which it is the lessee, and made an accounting policy election to not account for leases with an initial term of 12 months or less on the balance sheet. In addition, the Company did not elect the hindsight practical expedient to determine the reasonably certain lease term for existing leases. The Company recognizes payments on these leases on a straight-line basis over the lease term. Adoption of the new standard resulted in the recording of additional net lease assets and lease liabilities of $79.3 million and $80.3 million , respectively, as of September 28, 2019 related to the Company's operating leases. The standard did not materially impact the Company's consolidated net earnings or cash flows. Refer to Note 8 to the Consolidated Financial Statements for further information. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Inventory, Net [Abstract] | |
Components of Inventories | Inventories (In millions) September 28, December 29, Finished goods $ 207.7 $ 203.9 Work in process 25.6 25.0 Raw materials and supplies 27.4 28.8 Total inventories $ 260.7 $ 257.7 |
Net Income Per Common Share (Ta
Net Income Per Common Share (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Earnings Per Share [Abstract] | |
Elements of Earnings per Share Computations | The elements of the earnings per share computations were as follows: 13 weeks ended 39 weeks ended (In millions, except per share amounts) September 28, September 29, September 28, September 29, Net income $ 7.8 $ 39.1 $ 84.1 $ 138.6 Weighted-average shares of common stock outstanding 48.8 49.3 48.7 50.3 Common equivalent shares: Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units 0.1 0.1 0.2 0.2 Weighted-average common and common equivalent shares outstanding 48.9 49.4 48.9 50.5 Basic earnings per share $ 0.16 $ 0.79 $ 1.73 $ 2.75 Diluted earnings per share $ 0.16 $ 0.79 $ 1.72 $ 2.74 Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive 3.9 3.3 3.9 2.8 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Rollforward of 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 Balance at December 29, 2018 $ (579.1 ) $ 1.7 $ (24.7 ) $ (602.1 ) Cumulative effect of change in accounting principle (3.8 ) (1.2 ) — (5.0 ) Other comprehensive (loss) income before reclassifications (6.8 ) (2.8 ) 0.6 (9.0 ) Amounts reclassified from accumulated other comprehensive loss — 1.5 (0.5 ) 1.0 Net current-period other comprehensive (loss) income (6.8 ) (1.3 ) 0.1 (8.0 ) Balance at September 28, 2019 $ (589.7 ) $ (0.8 ) $ (24.6 ) $ (615.1 ) (In millions, net of tax) Foreign Currency Items Cash Flow Hedges Pension and Other Post-retirement Items Total Balance at December 30, 2017 $ (501.9 ) $ 1.6 $ (29.1 ) $ (529.4 ) Other comprehensive (loss) income before reclassifications (63.0 ) 4.5 0.8 (57.7 ) Amounts reclassified from accumulated other comprehensive (loss) income — (3.1 ) 0.4 (2.7 ) Net current-period other comprehensive (loss) income (63.0 ) 1.4 1.2 (60.4 ) Balance at September 29, 2018 $ (564.9 ) $ 3.0 $ (27.9 ) $ (589.8 ) |
Re-engineering and Impairment_2
Re-engineering and Impairment Costs (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Restructuring Charges [Abstract] | |
Restructuring and Related Costs | The re-engineering charges related to the 2019 program by segment during the third quarter and year-to-date periods ended September 28, 2019 were as follows: September 28, 2019 (In millions) 13 weeks ended 39 weeks ended Europe $ 3.2 $ 6.1 Asia Pacific 1.4 3.9 Total re-engineering charges $ 4.6 $ 10.0 |
Accrued Liabilities, Re-engineering and Impairment Charges Rollforward | The balances included in accrued liabilities related to re-engineering and impairment charges for the 2017 program as of September 28, 2019 and December 29, 2018 were as follows: (In millions) September 28, December 29, Beginning of the year balance $ 23.3 $ 45.4 Provision 3.3 15.9 Adjustments and other charges (0.4 ) 3.0 Cash expenditures: Severance (19.0 ) (27.1 ) Other (2.6 ) (12.8 ) Currency translation adjustment (0.7 ) (1.1 ) End of period balance $ 3.9 $ 23.3 The balances included in accrued liabilities related to re-engineering and impairment charges for the 2019 program as of September 28, 2019 were as follows: (In millions) September 28, Beginning of the year balance $ — Provision 10.0 Adjustments and other charges (1.1 ) Cash expenditures: Severance (0.2 ) Other (6.6 ) End of period balance $ 2.1 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Leases [Abstract] | |
Lease, Expense | The components of lease expense in the third quarter and year-to-date periods ended September 28, 2019 were as follows: September 28, 2019 (In millions) 13 weeks ended 39 weeks ended Operating lease cost (a) (c) $ 12.7 $ 38.3 Finance lease cost Amortization of right-of-use assets (a) 0.2 0.7 Interest on lease liabilities (b) 0.1 0.2 Total finance lease cost $ 0.3 $ 0.9 ____________________ (a) Included in DS&A and cost of products sold. (b) Included in interest expense. (c) Includes immaterial amounts related to short-term rent expense and variable rent expense. |
Schedule of Supplemental Cash Flow information related to Leases | Supplemental cash flow information related to leases is as follows: 39 weeks ended (In millions) September 28, 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ (37.2 ) Operating cash flows from finance leases (0.2 ) Financing cash flows from finance leases (1.3 ) Leased assets obtained in exchange for new operating lease liabilities $ 11.0 |
Supplemental Balance Sheet information related to Leases | Supplemental balance sheet information related to leases is as follows: (In millions, except lease term and discount rate) September 28, 2019 Operating Leases Operating lease right-of-use assets $ 79.3 Accrued liabilities $ 28.9 Operating lease liabilities 51.4 Total Operating lease liabilities $ 80.3 Finance Leases Property, plant and equipment, at cost $ 17.7 Accumulated amortization 10.0 Property, plant and equipment, net $ 7.7 Current portion of finance lease obligations $ 1.2 Long-term finance lease obligations 2.7 Total Finance lease liabilities $ 3.9 Weighted Average Remaining Lease Term Operating Leases 4.4 years Finance Leases 3.1 years Weighted Average Discount Rate (a) Operating Leases 5.5 % Finance Leases 5.1 % _________________________ (a) Calculated using Company's incremental borrowing rate. |
Schedule of Maturities of Lease Liabilities [Table Text Block] | Maturities of lease liabilities as of September 28, 2019 were as follows: (In millions) Operating Leases Finance Leases 2019 $ 10.1 $ 0.3 2020 28.7 1.4 2021 19.1 1.4 2022 10.6 1.0 2023 5.3 — Thereafter 15.5 — Total lease payments $ 89.3 $ 4.1 Less imputed interest 9.0 0.2 Total $ 80.3 $ 3.9 Maturities of lease liabilities as of December 29, 2018 were as follows: (In millions) Operating Leases Finance Leases 2019 $ 28.3 $ 1.6 2020 19.2 1.3 2021 15.8 1.4 2022 8.3 1.0 2023 6.3 — Thereafter 25.3 — Total $ 103.2 $ 5.3 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | 13 weeks ended 39 weeks ended (In millions) September 28, September 29, September 28, September 29, Net sales: Europe $ 98.9 $ 112.3 $ 359.0 $ 388.9 Asia Pacific 148.8 170.0 460.4 522.2 North America 103.5 123.3 347.8 395.1 South America 66.9 80.2 213.5 257.6 Total net sales $ 418.1 $ 485.8 $ 1,380.7 $ 1,563.8 Segment profit: Europe $ (0.9 ) $ 1.0 $ 29.6 $ 28.5 Asia Pacific 32.7 43.7 99.9 127.0 North America 3.3 17.6 41.1 59.3 South America 11.3 15.6 33.3 50.7 Total segment profit $ 46.4 $ 77.9 $ 203.9 $ 265.5 Unallocated expenses (7.6 ) (8.6 ) (22.0 ) (32.5 ) Re-engineering and impairment charges (a) (7.5 ) (3.0 ) (15.9 ) (12.7 ) Impairment of goodwill and intangibles (19.7 ) — (19.7 ) — Gain on disposal of assets 12.1 1.5 11.1 16.1 Interest expense, net (9.8 ) (10.7 ) (29.8 ) (32.3 ) Income before taxes $ 13.9 $ 57.1 $ 127.6 $ 204.1 (In millions) September 28, December 29, Identifiable assets: Europe $ 299.9 $ 291.0 Asia Pacific 307.1 281.2 North America 270.3 250.9 South America 133.7 125.0 Corporate 324.9 360.7 Total identifiable assets $ 1,335.9 $ 1,308.8 _________________________ (a) See Note 7 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Total Debt Obligations | (In millions) September 28, December 29, 2018 Fixed rate senior notes due 2021 $ 599.8 $ 599.7 Five year Revolving Credit Agreement (a) 323.7 283.9 Belgium facility finance lease 3.9 5.3 Total debt obligations $ 927.4 $ 888.9 ____________________ (a) $173.7 million and $186.8 million denominated in euros as of September 28, 2019 and December 29, 2018 , respectively. |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Schedule Of Company's Derivative Position And Its Impact On Company Table | 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 September 28, 2019 and December 29, 2018 . 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 Balance sheet Sep 28, Dec 29, Balance sheet Sep 28, Dec 29, Foreign exchange contracts Non-trade amounts receivable $ 12.3 $ 26.7 Accrued liabilities $ 13.1 $ 22.6 The following table summarizes the impact on the results of operations for the third quarters of 2019 and 2018 for the components included in the hedge effectiveness assessment of the Company's fair value hedging positions: Derivatives designated as fair value hedges (in millions) Location of (loss) gain recognized in income on derivatives Amount of (loss) gain recognized Location of gain (loss) recognized in income on related hedged items Amount of gain (loss) recognized 2019 2018 2019 2018 Foreign exchange contracts Other expense $ (8.8 ) $ 3.4 Other expense $ 9.0 $ (3.4 ) The following table summarizes the impact of the Company's hedging activities on comprehensive income for the third quarters of 2019 and 2018 : Derivatives designated Amount of (loss) gain recognized in Location of (loss) gain reclassified Amount of (loss) gain reclassified Location of loss recognized Amount of loss recognized Cash flow hedging relationships 2019 2018 2019 2018 2019 2018 Foreign exchange contracts $ (0.1 ) $ 2.0 Cost of products $ (1.0 ) $ 2.3 Interest expense $ — $ (1.1 ) Net equity hedging relationships Foreign exchange contracts 3.4 (0.6 ) Interest expense — (4.5 ) Euro denominated debt 3.3 (0.8 ) The following table summarizes the impact on the results of operations for the year-to-date periods ended September 28, 2019 and September 29, 2018 for the components included in the hedge effectiveness assessment of the Company's fair value hedging positions: Derivatives designated as fair Location of gain (loss) recognized in Amount of gain (loss) recognized Location of gain Amount of gain recognized 2019 2018 2019 2018 Foreign exchange contracts Other expense $ 0.2 $ (11.4 ) Other expense $ — $ 10.8 The following table summarizes the impact of the Company's hedging activities on comprehensive income for the year-to-date periods ended September 28, 2019 and September 29, 2018 : Derivatives designated Amount of (loss) gain recognized in Location of (loss) gain reclassified Amount of (loss) gain reclassified Location of loss recognized Amount of loss recognized Cash flow hedging relationships 2019 2018 2019 2018 2019 2018 Foreign exchange contracts $ (3.7 ) $ 6.1 Cost of products $ (2.1 ) $ 4.2 Interest expense $ — $ (2.9 ) Net equity hedging relationships Foreign exchange contracts (16.1 ) 15.6 Interest expense — (16.0 ) Euro denominated debt 3.2 0.8 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | |
Components of Net Periodic Benefit Cost | Components of net periodic benefit cost for the third quarters and year-to-date periods ended September 28, 2019 and September 29, 2018 were as follows: Third Quarter Year-to-Date Pension benefits Post-retirement benefits Pension benefits Post-retirement benefits (In millions) 2019 2018 2019 2018 2019 2018 2019 2018 Service cost $ 2.1 $ 1.4 $ — $ — $ 5.9 $ 6.4 $ 0.1 $ 0.1 Interest cost 1.9 1.4 0.1 0.1 4.9 4.2 0.4 0.3 Expected return on plan assets (1.0 ) (0.9 ) — — (3.2 ) (3.3 ) — — Settlement/curtailment 0.1 0.2 — — — 0.6 — — Net amortization 0.1 0.4 (0.3 ) (0.4 ) 0.1 0.7 (0.9 ) (1.0 ) Net periodic benefit cost $ 3.2 $ 2.5 $ (0.2 ) $ (0.3 ) $ 7.7 $ 8.6 $ (0.4 ) $ (0.6 ) |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Option Activity | Stock option activity for 2019 is summarized in the following table: Shares Weighted Aggregate intrinsic value (in millions) Outstanding at December 29, 2018 3,630,684 $ 55.66 Expired / Forfeited (95,924 ) 52.48 Outstanding at September 28, 2019 3,534,760 $ 55.75 $ — Exercisable at September 28, 2019 2,359,616 $ 59.23 $ — |
Time Vested, Performance Vested and Market Vested Share Awards Activity | The Company also has time-vested, performance-vested and market-vested share awards. The activity for such awards in 2019 is summarized in the following table: Shares Weighted average December 29, 2018 684,184 $ 47.68 Time-vested shares granted 160,961 18.02 Market-vested shares granted 42,365 27.12 Performance shares granted 111,536 30.90 Performance share adjustments (99,101 ) 37.72 Vested (131,740 ) 48.23 Forfeited (151,771 ) 43.78 September 28, 2019 616,434 $ 37.93 |
Schedule of Compensation Expense | Compensation expense related to the Company's stock-based compensation for the third quarter and year-to-date periods ended September 28, 2019 and September 29, 2018 were as follows: Third Quarter Year-to-Date (In millions) 2019 2018 2019 2018 Stock options $ 0.6 $ 0.9 $ 1.8 $ 2.6 Time, performance and market vested share awards 2.4 2.8 5.7 8.1 |
Allowance for Long-Term Recei_2
Allowance for Long-Term Receivables (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Allowance for Long-Term Receivables Rollforward | The balance of the allowance for long-term receivables as of September 28, 2019 was as follows: (In millions) Balance at December 29, 2018 $ 16.0 Write-offs (0.2 ) Provision and reclassifications 3.1 Currency translation adjustment (0.5 ) Balance at September 28, 2019 $ 18.4 |
Guarantor Information (Tables)
Guarantor Information (Tables) | 9 Months Ended |
Sep. 28, 2019 | |
Guarantor Information [Abstract] | |
Consolidating Statement of Income | Consolidating Statement of Income 13 weeks ended September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 419.6 $ (1.5 ) $ 418.1 Other revenue — 20.9 2.2 (23.1 ) — Cost of products sold — 2.2 164.0 (24.7 ) 141.5 Gross margin — 18.7 257.8 0.1 276.6 Delivery, sales and administrative expense 2.7 19.0 219.8 0.1 241.6 Re-engineering and impairment charges — 0.4 7.1 — 7.5 Impairment of goodwill and intangible assets — — 19.7 — 19.7 Gain on disposal of assets — — 12.1 — 12.1 Operating (loss) income (2.7 ) (0.7 ) 23.3 — 19.9 Interest income 4.8 0.7 8.3 (13.2 ) 0.6 Interest expense 9.9 11.8 1.9 (13.2 ) 10.4 Income (loss) from equity investments in subsidiaries 7.0 (1.2 ) — (5.8 ) — Other income (0.4 ) (2.1 ) (1.3 ) — (3.8 ) (Loss) income before income taxes (0.4 ) (10.9 ) 31.0 (5.8 ) 13.9 (Benefit) provision for income taxes (8.2 ) (12.5 ) 26.8 — 6.1 Net income $ 7.8 $ 1.6 $ 4.2 $ (5.8 ) $ 7.8 Comprehensive loss $ (11.5 ) $ (18.9 ) $ (17.1 ) $ 36.0 $ (11.5 ) Consolidating Statement of Income 13 weeks ended September 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 487.1 $ (1.3 ) $ 485.8 Other revenue — 24.4 1.3 (25.7 ) — Cost of products sold — 1.2 189.8 (26.9 ) 164.1 Gross margin — 23.2 298.6 (0.1 ) 321.7 Delivery, sales and administrative expense 3.3 18.7 231.1 (0.1 ) 253.0 Re-engineering and impairment charges — 0.8 2.2 — 3.0 Gain on disposal of assets — — 1.5 — 1.5 Operating (loss) income (3.3 ) 3.7 66.8 — 67.2 Interest income 5.2 0.4 10.6 (15.6 ) 0.6 Interest expense 9.2 15.4 2.3 (15.6 ) 11.3 Income from equity investments in subsidiaries 44.7 61.9 — (106.6 ) — Other (income) expense (0.3 ) 7.7 (8.0 ) — (0.6 ) Income before income taxes 37.7 42.9 83.1 (106.6 ) 57.1 (Benefit) provision for income taxes (1.4 ) 1.3 18.1 — 18.0 Net income $ 39.1 $ 41.6 $ 65.0 $ (106.6 ) $ 39.1 Comprehensive income $ 21.1 $ 25.3 $ 50.2 $ (75.5 ) $ 21.1 Consolidating Statement of Income 39 weeks ended September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 1,385.4 $ (4.7 ) $ 1,380.7 Other revenue — 72.7 15.8 (88.5 ) — Cost of products sold — 15.8 532.1 (90.6 ) 457.3 Gross margin — 56.9 869.1 (2.6 ) 923.4 Delivery, sales and administrative expense 6.4 55.5 692.7 (2.6 ) 752.0 Re-engineering and impairment charges — 1.2 14.7 — 15.9 Impairment of goodwill and intangible assets — — 19.7 — 19.7 Gain on disposal of assets — — 11.1 — 11.1 Operating (loss) income (6.4 ) 0.2 153.1 — 146.9 Interest income 15.1 1.9 27.9 (43.3 ) 1.6 Interest expense 29.7 37.6 7.4 (43.3 ) 31.4 Income from equity investments in subsidiaries 92.9 102.8 — (195.7 ) — Other income (1.5 ) (0.8 ) (8.2 ) — (10.5 ) Income before income taxes 73.4 68.1 181.8 (195.7 ) 127.6 (Benefit) provision for income taxes (10.7 ) (16.3 ) 70.5 — 43.5 Net income $ 84.1 $ 84.4 $ 111.3 $ (195.7 ) $ 84.1 Comprehensive income $ 76.1 $ 75.0 $ 117.9 $ (192.9 ) $ 76.1 Consolidating Statement of Income 39 weeks ended September 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Net sales $ — $ — $ 1,566.6 $ (2.8 ) $ 1,563.8 Other revenue — 65.7 13.3 (79.0 ) — Cost of products sold — 13.3 583.1 (79.8 ) 516.6 Gross margin — 52.4 996.8 (2.0 ) 1,047.2 Delivery, sales and administrative expense 9.6 64.1 743.3 (2.0 ) 815.0 Re-engineering and impairment charges — 1.8 10.9 — 12.7 Gain on disposal of assets — — 16.1 — 16.1 Operating (loss) income (9.6 ) (13.5 ) 258.7 — 235.6 Interest income 15.4 1.5 32.5 (47.4 ) 2.0 Interest expense 28.7 46.7 6.3 (47.4 ) 34.3 Income from equity investments in subsidiaries 155.8 203.6 — (359.4 ) — Other (income) expense (1.1 ) 5.2 (4.9 ) — (0.8 ) Income before income taxes 134.0 139.7 289.8 (359.4 ) 204.1 (Benefit) provision for income taxes (4.6 ) (7.5 ) 77.6 — 65.5 Net income $ 138.6 $ 147.2 $ 212.2 $ (359.4 ) $ 138.6 Comprehensive income $ 78.2 $ 91.2 $ 147.4 $ (238.6 ) $ 78.2 |
Condensed Consolidating Balance Sheet | Condensed Consolidating Balance Sheet September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 1.8 $ 120.3 $ — $ 122.1 Accounts receivable, net — — 136.8 — 136.8 Inventories — — 260.7 — 260.7 Non-trade amounts receivable, net — 164.1 112.2 (235.8 ) 40.5 Intercompany receivables 321.0 1,442.7 219.8 (1,983.5 ) — Prepaid expenses and other current assets 1.6 17.5 16.4 (8.4 ) 27.1 Total current assets 322.6 1,626.1 866.2 (2,227.7 ) 587.2 Deferred income tax benefits, net 41.7 42.2 131.1 (0.5 ) 214.5 Property, plant and equipment, net — 81.3 188.2 — 269.5 Operating lease assets — 0.4 79.0 (0.1 ) 79.3 Long-term receivables, net — 0.1 16.0 — 16.1 Trademarks and tradenames, net — — 46.0 — 46.0 Goodwill — 2.9 55.6 — 58.5 Investments in subsidiaries 1,395.9 1,298.2 — (2,694.1 ) — Intercompany loan receivables 504.9 93.5 995.4 (1,593.8 ) — Other assets, net 2.0 1.2 106.6 (45.0 ) 64.8 Total assets $ 2,267.1 $ 3,145.9 $ 2,484.1 $ (6,561.2 ) $ 1,335.9 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 6.8 $ 79.0 $ — $ 85.8 Short-term borrowings and current portion of long-term debt and finance lease obligations 239.1 — 85.9 — 325.0 Intercompany payables 1,345.9 418.0 219.6 (1,983.5 ) — Accrued liabilities 265.4 32.0 239.4 (244.2 ) 292.6 Total current liabilities 1,850.4 456.8 623.9 (2,227.7 ) 703.4 Long-term debt and finance lease obligations 599.8 — 2.6 — 602.4 Intercompany notes payable — 1,308.4 285.4 (1,593.8 ) — Operating lease liabilities — 0.2 51.3 (0.1 ) 51.4 Other liabilities 1.9 62.7 144.6 (45.5 ) 163.7 Shareholders' (deficit) equity (185.0 ) 1,317.8 1,376.3 (2,694.1 ) (185.0 ) Total liabilities and shareholders' equity $ 2,267.1 $ 3,145.9 $ 2,484.1 $ (6,561.2 ) $ 1,335.9 Condensed Consolidating Balance Sheet December 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total ASSETS Cash and cash equivalents $ — $ 0.3 $ 148.7 $ — $ 149.0 Accounts receivable, net — — 144.7 — 144.7 Inventories — — 257.7 — 257.7 Non-trade amounts receivable, net — 169.0 71.0 (190.1 ) 49.9 Intercompany receivables 309.2 1,430.1 230.5 (1,969.8 ) — Prepaid expenses and other current assets 1.1 3.7 48.2 (33.7 ) 19.3 Total current assets 310.3 1,603.1 900.8 (2,193.6 ) 620.6 Deferred income tax benefits, net 41.7 42.2 133.1 — 217.0 Property, plant and equipment, net — 71.3 204.7 — 276.0 Long-term receivables, net — 0.1 18.6 — 18.7 Trademarks and tradenames, net — — 52.9 — 52.9 Goodwill — 2.9 73.2 — 76.1 Investments in subsidiaries 1,305.3 1,346.8 — (2,652.1 ) — Intercompany loan receivables 515.3 95.4 1,069.4 (1,680.1 ) — Other assets, net 0.3 0.5 75.3 (28.6 ) 47.5 Total assets $ 2,172.9 $ 3,162.3 $ 2,528.0 $ (6,554.4 ) $ 1,308.8 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ — $ 5.7 $ 123.5 $ — $ 129.2 Short-term borrowings and current portion of long-term debt and finance lease obligations 189.4 — 96.1 — 285.5 Intercompany payables 1,330.9 436.3 202.6 (1,969.8 ) — Accrued liabilities 278.6 69.2 220.4 (223.8 ) 344.4 Total current liabilities 1,798.9 511.2 642.6 (2,193.6 ) 759.1 Long-term debt and finance lease obligations 599.7 — 3.7 — 603.4 Intercompany notes payable 6.6 1,366.7 306.8 (1,680.1 ) — Other liabilities 2.9 48.1 159.1 (28.6 ) 181.5 Shareholders' (deficit) equity (235.2 ) 1,236.3 1,415.8 (2,652.1 ) (235.2 ) Total liabilities and shareholders' equity $ 2,172.9 $ 3,162.3 $ 2,528.0 $ (6,554.4 ) $ 1,308.8 |
Condensed Consolidating Statement of Cash Flows | Condensed Consolidating Statement of Cash Flows 39 weeks ended September 28, 2019 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash (used in) provided by operating activities $ (8.1 ) $ 86.7 $ 164.8 $ (223.9 ) $ 19.5 Investing Activities: Capital expenditures — (23.4 ) (20.6 ) — (44.0 ) Proceeds from disposal of property, plant and equipment — — 20.4 — 20.4 Net intercompany loans 3.8 (11.4 ) 67.9 (60.3 ) — Net cash provided by (used in) investing activities 3.8 (34.8 ) 67.7 (60.3 ) (23.6 ) Financing Activities: Dividend payments to shareholders (60.5 ) — — — (60.5 ) Dividend payments to parent — — (226.2 ) 226.2 — Repurchase of common stock (0.8 ) — — — (0.8 ) Repayment of finance lease obligations — — (1.3 ) — (1.3 ) Net change in short-term debt 52.9 — (6.2 ) — 46.7 Debt issuance costs (2.2 ) — — — (2.2 ) Net intercompany borrowings 14.9 (50.1 ) (22.8 ) 58.0 — Net cash provided by (used in) financing activities 4.3 (50.1 ) (256.5 ) 284.2 (18.1 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash — (0.3 ) (3.0 ) — (3.3 ) Net change in cash, cash equivalents and restricted cash — 1.5 (27.0 ) — (25.5 ) Cash, cash equivalents and restricted cash at beginning of year — 0.3 151.6 — 151.9 Cash, cash equivalents and restricted cash at end of period $ — $ 1.8 $ 124.6 $ — $ 126.4 Condensed Consolidating Statement of Cash Flows 39 weeks ended September 29, 2018 (In millions) Parent Guarantor Non-Guarantors Eliminations Total Operating Activities: Net cash (used in) provided by operating activities $ (27.9 ) $ 96.7 $ 225.5 $ (280.7 ) $ 13.6 Investing Activities: Capital expenditures — (19.3 ) (35.9 ) — (55.2 ) Proceeds from disposal of property, plant and equipment — — 36.5 — 36.5 Net intercompany loans (64.9 ) (247.7 ) (173.0 ) 485.6 — Net cash used in investing activities (64.9 ) (267.0 ) (172.4 ) 485.6 (18.7 ) Financing Activities: Dividend payments to shareholders (104.1 ) — — — (104.1 ) Dividend payments to parent — — (272.5 ) 272.5 — Proceeds from exercise of stock options 0.3 — — — 0.3 Repurchase of common stock (101.3 ) — — — (101.3 ) Repayment of finance lease obligations — — (1.6 ) — (1.6 ) Net change in short-term debt 45.0 — 155.7 — 200.7 Net intercompany borrowings 252.9 173.5 51.0 (477.4 ) — Net cash provided by (used in) financing activities 92.8 173.5 (67.4 ) (204.9 ) (6.0 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — (13.5 ) — (13.5 ) Net change in cash, cash equivalents and restricted cash — 3.2 (27.8 ) — (24.6 ) Cash, cash equivalents and restricted cash at beginning of year — 0.1 147.1 — 147.2 Cash, cash equivalents and restricted cash at end of period $ — $ 3.3 $ 119.3 $ — $ 122.6 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Summary of Significant Accounting Policies) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 28, 2019 | Dec. 29, 2018 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating Lease, Right-of-Use Asset | $ 79.3 | $ 0 |
Operating Lease, Liability | 80.3 | |
Accounting Standards Update 2016-02 [Member] | Retained Earnings [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 7.1 | |
Accounting Standards Update 2017-12 [Member] | Retained Earnings [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 5 |
Shipping and Handling Costs (De
Shipping and Handling Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Shipping and Handling [Line Items] | ||||
Delivery, sales and administrative expense | $ 241.6 | $ 253 | $ 752 | $ 815 |
Shipping and Handling | ||||
Shipping and Handling [Line Items] | ||||
Delivery, sales and administrative expense | $ 30.1 | $ 32.5 | $ 95.7 | $ 103.8 |
Promotional Costs (Details)
Promotional Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Promotional Costs [Abstract] | ||||
Promotional and other sales force compensation expenses | $ 64.7 | $ 73 | $ 214.9 | $ 244.1 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Sep. 28, 2019 | Dec. 29, 2018 |
Inventory, Net [Abstract] | ||
Finished goods | $ 207.7 | $ 203.9 |
Work in process | 25.6 | 25 |
Raw materials and supplies | 27.4 | 28.8 |
Total inventories | $ 260.7 | $ 257.7 |
Net Income Per Common Share (De
Net Income Per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Net Income Per Common Share [Line Items] | ||||||||
Net income | $ 7.8 | $ 39.4 | $ 36.9 | $ 39.1 | $ 63.8 | $ 35.7 | $ 84.1 | $ 138.6 |
Weighted-average shares of common stock outstanding | 48.8 | 49.3 | 48.7 | 50.3 | ||||
Common equivalent shares: | ||||||||
Assumed exercise of dilutive options, restricted shares, restricted stock units and performance share units | 0.1 | 0.1 | 0.2 | 0.2 | ||||
Weighted-average common and common equivalent shares outstanding | 48.9 | 49.4 | 48.9 | 50.5 | ||||
Basic earnings per share | $ 0.16 | $ 0.79 | $ 1.73 | $ 2.75 | ||||
Diluted earnings per share | $ 0.16 | $ 0.79 | $ 1.72 | $ 2.74 | ||||
Shares excluded from the determination of potential common stock because inclusion would have been anti-dilutive | 3.9 | 3.3 | 3.9 | 2.8 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | Dec. 29, 2018 | Dec. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Accumulated other comprehensive loss | $ (615.1) | $ (589.8) | $ (615.1) | $ (589.8) | $ (602.1) | $ (529.4) | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 7.1 | |||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (9) | (57.7) | ||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 1 | (2.7) | ||||||||
Other Comprehensive Income (Loss), Net of Tax | (19.3) | $ (7.7) | 19 | (18) | $ (50.1) | $ 7.7 | (8) | (60.4) | ||
Gain (Loss) Reclassification Adjustment From AOCI On Derivatives Before Tax | (2.1) | 4.2 | ||||||||
Gain (Loss) Reclassification Adjustment From AOCI On Derivatives, Tax | (0.6) | 1.1 | ||||||||
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, prior service benefit, before tax | 0.8 | 0.6 | ||||||||
Amounts reclassified from accumulated other comprehenesive loss, pension and other post-retirement items, settlement or curtailment, before tax | (0.6) | |||||||||
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, actuarial losses, before tax | (0.3) | |||||||||
Amounts reclassified from accumulated other comprehensive loss, pension and other post-retirement items, tax | (0.3) | (0.1) | ||||||||
Foreign Currency Items | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Accumulated other comprehensive loss | (589.7) | (564.9) | (589.7) | (564.9) | (579.1) | (501.9) | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | (3.8) | (3.8) | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (6.8) | (63) | ||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | (6.8) | (63) | ||||||||
Cash Flow Hedges | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Accumulated other comprehensive loss | (0.8) | 3 | (0.8) | 3 | 1.7 | 1.6 | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | (1.2) | (1.2) | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (2.8) | 4.5 | ||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 1.5 | (3.1) | ||||||||
Other Comprehensive Income (Loss), Net of Tax | (1.3) | 1.4 | ||||||||
Pension and Other Post-retirement Items | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Accumulated other comprehensive loss | (24.6) | $ (27.9) | (24.6) | (27.9) | $ (24.7) | $ (29.1) | ||||
Cumulative Effect of New Accounting Principle in Period of Adoption | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | 0.6 | 0.8 | ||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (0.5) | 0.4 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | 0.1 | $ 1.2 | ||||||||
AOCI Attributable to Parent [Member] | ||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ (5) | $ (5) | $ (5) |
Re-engineering and Impairment_3
Re-engineering and Impairment Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | Dec. 29, 2018 | |
Restructuring Reserve [Roll Forward] | |||||
Re-engineering and impairment charges | $ 7.5 | $ 3 | $ 15.9 | $ 12.7 | |
Revitalization Plan July 2017 [Member] | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning of the year balance | 23.3 | 45.4 | $ 45.4 | ||
Re-engineering and impairment charges | 1.1 | $ 3 | 3.3 | $ 12.7 | 15.9 |
Restructuring Reserve, Accrual Adjustment | (0.4) | 3 | |||
Restructuring Reserve, Foreign Currency Translation Gain (Loss) | (0.7) | (1.1) | |||
End of period balance | 3.9 | 3.9 | 23.3 | ||
Transformation Plan 2019 [Member] | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning of the year balance | 0 | ||||
Re-engineering and impairment charges | 4.6 | 10 | |||
Restructuring Reserve, Accrual Adjustment | (1.1) | ||||
End of period balance | 2.1 | 2.1 | 0 | ||
Transformation Plan 2019 [Member] | Asia Pacific | |||||
Restructuring Reserve [Roll Forward] | |||||
Re-engineering and impairment charges | 1.4 | 3.9 | |||
Transformation Plan 2019 [Member] | Europe | |||||
Restructuring Reserve [Roll Forward] | |||||
Re-engineering and impairment charges | $ 3.2 | 6.1 | |||
Severance | Revitalization Plan July 2017 [Member] | |||||
Restructuring Reserve [Roll Forward] | |||||
Cash expenditures | (19) | (27.1) | |||
Severance | Transformation Plan 2019 [Member] | |||||
Restructuring Reserve [Roll Forward] | |||||
Cash expenditures | (0.2) | ||||
Other | Revitalization Plan July 2017 [Member] | |||||
Restructuring Reserve [Roll Forward] | |||||
Cash expenditures | (2.6) | $ (12.8) | |||
Other | Transformation Plan 2019 [Member] | |||||
Restructuring Reserve [Roll Forward] | |||||
Cash expenditures | $ (6.6) |
Leases (Details)
Leases (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 28, 2019 | Sep. 28, 2019 | Dec. 29, 2018 | |
Lease Expense Disclosure [Abstract] | |||
Operating Lease, Expense | $ 12.7 | $ 38.3 | |
Finance Lease, Right-of-Use Asset, Amortization | 0.2 | 0.7 | |
Finance Lease, Interest Expense | 0.1 | 0.2 | |
Leases Supplemental Cash Flow Disclosure [Abstract] | |||
Operating Lease, Payments | (37.2) | ||
Finance Lease, Interest Payment on Liability | (0.2) | ||
Finance Lease, Principal Payments | (1.3) | ||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 11 | ||
Lease Balance Sheet Disclosure [Abstract] | |||
Operating Lease, Right-of-Use Asset | 79.3 | 79.3 | $ 0 |
Operating Lease, Liability, Current | 28.9 | 28.9 | |
Operating Lease, Liability, Noncurrent | 51.4 | 51.4 | 0 |
Operating Lease, Liability | 80.3 | 80.3 | |
Property, Plant and Equipment, Net | 269.5 | 269.5 | 276 |
Finance Lease, Liability, Current | 1.2 | 1.2 | |
Finance Lease, Liability, Noncurrent | 2.7 | 2.7 | |
Finance Lease, Liability | $ 3.9 | $ 3.9 | |
Operating Lease, Weighted Average Remaining Lease Term | 4 years 4 months 24 days | 4 years 4 months 24 days | |
Finance Lease, Weighted Average Remaining Lease Term | 3 years 1 month 6 days | 3 years 1 month 6 days | |
Operating Lease, Weighted Average Discount Rate, Percent | 5.50% | 5.50% | |
Finance Lease, Weighted Average Discount Rate, Percent | 5.10% | 5.10% | |
Lease Liability Maturity Schedule | |||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | $ 10.1 | $ 10.1 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 28.7 | 28.7 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 19.1 | 19.1 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 10.6 | 10.6 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 5.3 | 5.3 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 15.5 | 15.5 | |
Lessee, Operating Lease, Liability, Payments, Due | 89.3 | 89.3 | |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 9 | 9 | |
Finance Lease, Liability, Payments, Due Next Twelve Months | 0.3 | 0.3 | |
Finance Lease, Liability, Payments, Due Year Two | 1.4 | 1.4 | |
Finance Lease, Liability, Payments, Due Year Three | 1.4 | 1.4 | |
Finance Lease, Liability, Payments, Due Year Four | 1 | 1 | |
Finance Lease, Liability, Payments, Due Year Five | 0 | 0 | |
Finance Lease, Liability, Payments, Due after Year Five | 0 | 0 | |
Finance Lease, Liability, Payments, Due | 4.1 | 4.1 | |
Finance Lease, Liability, Undiscounted Excess Amount | 0.2 | 0.2 | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 28.3 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 19.2 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 15.8 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 8.3 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 6.3 | ||
Operating Leases, Future Minimum Payments, Due Thereafter | 25.3 | ||
Operating Leases, Future Minimum Payments Due | 103.2 | ||
Capital Leases, Future Minimum Payments Due, Next Twelve Months | 1.6 | ||
Capital Leases, Future Minimum Payments Due in Two Years | 1.3 | ||
Capital Leases, Future Minimum Payments Due in Three Years | 1.4 | ||
Capital Leases, Future Minimum Payments Due in Four Years | 1 | ||
Capital Leases, Future Minimum Payments Due in Five Years | 0 | ||
Capital Leases, Future Minimum Payments Due Thereafter | 0 | ||
Capital Leases, Future Minimum Payments Due | 5.3 | ||
Operating Leases, Rent Expense | 32.2 | ||
Capital Lease Payments, Gross | $ 2.5 | ||
Finance Lease [Member] | |||
Lease Expense Disclosure [Abstract] | |||
Lease, Cost | 0.3 | 0.9 | |
Lease Balance Sheet Disclosure [Abstract] | |||
Property, Plant and Equipment, Gross | 17.7 | 17.7 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 10 | 10 | |
Property, Plant and Equipment, Net | $ 7.7 | $ 7.7 | |
Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Renewal Term | 1 year | 1 year | |
Lessee, Finance Lease, Renewal Term | 1 year | 1 year | |
Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Renewal Term | 5 years | 5 years | |
Lessee, Finance Lease, Renewal Term | 5 years | 5 years |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 28, 2019USD ($) | Sep. 29, 2018USD ($) | Sep. 28, 2019USD ($) | Sep. 29, 2018USD ($) | Dec. 29, 2018USD ($) | |
Goodwill and Intangible Assets [Line Items] | |||||
Goodwill, Impairment Loss | $ 0 | ||||
Goodwill and Intangible Asset Impairment | $ 19,700,000 | $ 0 | $ 19,700,000 | $ 0 | |
Goodwill | 58,500,000 | 58,500,000 | $ 76,100,000 | ||
FullerMexico [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Goodwill, Impairment Loss | 17,500,000 | ||||
Impairment of Long-Lived Assets Held-for-use | $ 0 | ||||
Valuation Technique, Discounted Cash Flow [Member] | FullerMexico [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Fair Value Measurement Input, Terminal Growth Rate | 0.025 | ||||
Measurement Input, Long-term Revenue Growth Rate [Member] | Valuation Technique, Discounted Cash Flow [Member] | FullerMexico [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Fair Value Measurement, Input | 0.002 | ||||
Measurement Input, Discount Rate [Member] | Valuation Technique, Discounted Cash Flow [Member] | FullerMexico [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Fair Value Measurement, Input | 0.149 | ||||
Minimum [Member] | Measurement Input, Long-term Revenue Growth Rate [Member] | Valuation Technique, Discounted Cash Flow [Member] | FullerMexico [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Fair Value Measurement, Input | (0.08) | ||||
Maximum [Member] | Measurement Input, Long-term Revenue Growth Rate [Member] | Valuation Technique, Discounted Cash Flow [Member] | FullerMexico [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Fair Value Measurement, Input | 0.04 | ||||
Trademarks and Trade Names [Member] | Nutrimetics [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Goodwill and Intangible Asset Impairment | $ 2,200,000 | ||||
Indefinite-lived Intangible Assets (Excluding Goodwill) | $ 3,500,000 | $ 3,500,000 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | Dec. 29, 2018 | |
Segment Reporting Information [Line Items] | |||||
Net sales | $ 418.1 | $ 485.8 | $ 1,380.7 | $ 1,563.8 | |
Segment profit | 46.4 | 77.9 | 203.9 | 265.5 | |
Unallocated expenses | (7.6) | (8.6) | (22) | (32.5) | |
Re-engineering and impairment charges (a) | (7.5) | (3) | (15.9) | (12.7) | |
Goodwill and Intangible Asset Impairment | (19.7) | 0 | (19.7) | 0 | |
Gain on disposal of assets | 12.1 | 1.5 | 11.1 | 16.1 | |
Interest expense, net | (9.8) | (10.7) | (29.8) | (32.3) | |
Income before income taxes | 13.9 | 57.1 | 127.6 | 204.1 | |
Total identifiable assets | 1,335.9 | 1,335.9 | $ 1,308.8 | ||
Europe | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 98.9 | 112.3 | 359 | 388.9 | |
Segment profit | (0.9) | 1 | 29.6 | 28.5 | |
Total identifiable assets | 299.9 | 299.9 | 291 | ||
Asia Pacific | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 148.8 | 170 | 460.4 | 522.2 | |
Segment profit | 32.7 | 43.7 | 99.9 | 127 | |
Total identifiable assets | 307.1 | 307.1 | 281.2 | ||
North America | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 103.5 | 123.3 | 347.8 | 395.1 | |
Segment profit | 3.3 | 17.6 | 41.1 | 59.3 | |
Total identifiable assets | 270.3 | 270.3 | 250.9 | ||
South America | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | 66.9 | 80.2 | 213.5 | 257.6 | |
Segment profit | 11.3 | 15.6 | 33.3 | 50.7 | |
Total identifiable assets | 133.7 | 133.7 | 125 | ||
Corporate | |||||
Segment Reporting Information [Line Items] | |||||
Total identifiable assets | 324.9 | 324.9 | $ 360.7 | ||
Beauty and Personal Care Products [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net sales | $ 60.5 | $ 66.6 | $ 190 | $ 214.9 |
Debt (Details)
Debt (Details) $ in Millions | 9 Months Ended | ||
Sep. 28, 2019USD ($) | Dec. 29, 2018USD ($) | ||
Debt Instrument [Line Items] | |||
Finance Lease, Liability | $ 3.9 | ||
Debt and Capital Lease Obligations | $ 927.4 | $ 888.9 | |
Line of Credit Facility, Interest Rate Description | Loans made under the Credit Agreement will be composed of (i) “Eurocurrency Borrowings”, bearing interest determined in reference to the London interbank offered rate ("LIBOR") for the applicable currency and interest period, plus a margin, and/or (ii) “ABR Borrowings”, bearing interest at the sum of (A) the greatest of (x) the rate of interest publicly announced from time to time by JPMorgan Chase Bank, N.A. as its prime rate, (y) the NYFRB rate plus 0.5 percent, and (z) adjusted LIBOR on such day (or if such day is not a business day, the immediately preceding business day) for a deposit in U.S. dollars with a maturity of one month plus 1 percent, and (B) a margin. | ||
Debt Instrument, Covenant Description | maximum Consolidated Leverage Ratio of 3.75 to 1.0 and a minimum interest coverage ratio of 3.0 to 1.0 | ||
Unused lines of credit | $ 406.1 | ||
Senior Notes Due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | 599.8 | 599.7 | |
Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Amount Outstanding | [1] | 323.7 | 283.9 |
Line of Credit Facility, Current Borrowing Capacity | 650 | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 850 | ||
Line of Credit Facility, Number of Occasions Permitted to Increase Borrowing Capacity | 3 | ||
Line of Credit Facility, Additional Borrowing Capacity | $ 200 | ||
Variable rate basis | LIBOR | ||
Unused lines of credit | $ 324.9 | ||
Five-Year Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Debt Instrument [Line Items] | |||
Weighted average interest rate on LIBOR-based borrowings | 2.50% | ||
Belgium Facility Capital Lease [Member] | |||
Debt Instrument [Line Items] | |||
Finance Lease, Liability | $ 3.9 | 5.3 | |
Uncommitted Lines of credit [Member] | |||
Debt Instrument [Line Items] | |||
Unused lines of credit | 81.2 | ||
Letter of Credit [Member] | Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | 50 | ||
Swingline [Member] | Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | 100 | ||
Subsidiaries [Member] | Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 325 | ||
Minimum [Member] | Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 0.375% | ||
Line of Credit Facility, Commitment Fee Percentage | 0.15% | ||
Minimum [Member] | Five-Year Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.375% | ||
Maximum [Member] | Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 0.875% | ||
Line of Credit Facility, Commitment Fee Percentage | 0.275% | ||
Maximum [Member] | Five-Year Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 1.875% | ||
Euro | Five-Year Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Amount Outstanding | $ 173.7 | $ 186.8 | |
[1] | (a) $173.7 million and $186.8 million denominated in euros as of September 28, 2019 and December 29, 2018 , respectively. |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net cash impact from hedging activity | $ (1.5) | $ 3.5 | ||
Document Period End Date | Sep. 28, 2019 | |||
Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) from Components Excluded from Assessment of Fair Value Hedge Effectiveness, Net | $ 5.1 | $ 4.3 | $ 13.2 | 15.1 |
Cash Flow Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimate of Time to Transfer | 12 months | |||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | 0.1 | (2) | $ 3.7 | (6.1) |
Cash Flow Hedging [Member] | Foreign exchange contracts | Cost of products sold | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount Before Tax reclassification from AOCI | 1 | 2.1 | ||
Cash Flow Hedging [Member] | Foreign exchange contracts | Interest expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amount excluded from effectiveness testing) | 0 | (1.1) | 0 | (2.9) |
Net Equity Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivatives used in Net Investment Hedge, Net of Tax, Period Increase (Decrease) | 5.3 | (1.1) | (9.9) | 12.9 |
Net Equity Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Net Investment Hedge, Gain (Loss), before Reclassification and Tax | 3.4 | (0.6) | (16.1) | 15.6 |
Net Equity Hedging [Member] | Foreign exchange contracts | Interest expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amount excluded from effectiveness testing) | 0 | $ (4.5) | $ 0 | $ (16) |
Minimum [Member] | Cash Flow Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Remaining Maturity Range | 1 month | |||
Maximum [Member] | Cash Flow Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, Remaining Maturity Range | 15 months | |||
Other Comprehensive Income (Loss) [Member] | Cash Flow Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 1.2 | |||
Other Comprehensive Income (Loss) [Member] | Net Equity Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | 3.8 | |||
Forward Points [Member] | Cash Flow Hedging [Member] | Foreign exchange contracts | Cost of products sold | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount Before Tax reclassification from AOCI | (1) | (3.1) | ||
Forward Points [Member] | Net Equity Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Net Investment Hedge, Gain (Loss), before Reclassification and Tax | $ (5.2) | $ (14.1) |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities (Outstanding Derivative Financial Instruments at Notional Value) (Details) - Forward Contracts [Member] - USD ($) $ in Millions | Sep. 28, 2019 | Dec. 29, 2018 |
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | $ 132.6 | $ 186.8 |
Derivative Liability, Notional Amount | 134.4 | $ 184.6 |
U.S. dollars | Long [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 112.3 | |
Euro | Long [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 15 | |
Switzerland, Francs | Short [Member] | ||
Derivative [Line Items] | ||
Derivative Liability, Notional Amount | 53.4 | |
Mexico, Pesos | Short [Member] | ||
Derivative [Line Items] | ||
Derivative Liability, Notional Amount | $ 33.2 |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities (Company's Derivative Positions and Their Impact on Financial Position) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 28, 2019 | Dec. 29, 2018 | |
Derivatives, Fair Value [Line Items] | ||
Document Period End Date | Sep. 28, 2019 | |
Significant Other Observable Inputs (Level 2) | Designated as Hedging Instrument [Member] | Non-Trade Amounts Receivable [Member] | Foreign Exchange Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | $ 12.3 | $ 26.7 |
Significant Other Observable Inputs (Level 2) | Designated as Hedging Instrument [Member] | Accrued Liabilities [Member] | Foreign Exchange Contract [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability | $ 13.1 | $ 22.6 |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities (Company's Derivative Positions and Their Impact on Company's Operations) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Fair Value Hedging [Member] | Other expense | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain or (loss) recognized in income on derivatives | $ (8.8) | $ 3.4 | $ 0.2 | $ (11.4) |
Amount of gain or (loss) recognized in income on related hedged items | 9 | (3.4) | 0 | 10.8 |
Cash Flow Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, before Tax | (0.1) | 2 | (3.7) | 6.1 |
Cash Flow Hedging [Member] | 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) | 2.3 | 4.2 | ||
Amount Before Tax reclassification from AOCI | (1) | (2.1) | ||
Cash Flow Hedging [Member] | Interest expense | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amount excluded from effectiveness testing) | 0 | (1.1) | 0 | (2.9) |
Net Equity Hedging [Member] | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Net Investment Hedge, Gain (Loss), before Reclassification and Tax | 3.4 | (0.6) | (16.1) | 15.6 |
Net Equity Hedging [Member] | Euro Denominated Debt | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Net Investment Hedge, Gain (Loss), before Reclassification and Tax | 3.3 | (0.8) | 3.2 | 0.8 |
Net Equity Hedging [Member] | Interest expense | Foreign exchange contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain or (loss) recognized in income on derivatives (ineffective portion and amount excluded from effectiveness testing) | $ 0 | $ (4.5) | $ 0 | $ (16) |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - Senior Notes Due 2021 [Member] - USD ($) $ in Millions | Sep. 28, 2019 | Dec. 29, 2018 | Jun. 02, 2011 |
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items] | |||
Stated interest rate | 4.75% | ||
Long-term Debt | $ 599.8 | $ 599.7 | |
Significant Other Observable Inputs (Level 2) | |||
Fair Value, Assets Measured on Recurring Basis, Financial Statement Captions [Line Items] | |||
Long-term Debt, Fair Value | $ 613.3 |
Retirement Benefit Plans (Detai
Retirement Benefit Plans (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Amortization | $ (0.8) | $ 0.3 | ||
Pension benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 2.1 | $ 1.4 | 5.9 | 6.4 |
Interest cost | 1.9 | 1.4 | 4.9 | 4.2 |
Expected return on plan assets | (1) | (0.9) | (3.2) | (3.3) |
Settlements and Curtailments | 0.1 | 0.2 | 0 | 0.6 |
Net amortization | 0.1 | 0.4 | 0.1 | 0.7 |
Net periodic benefit cost | 3.2 | 2.5 | 7.7 | 8.6 |
Post-retirement benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0 | 0 | 0.1 | 0.1 |
Interest cost | 0.1 | 0.1 | 0.4 | 0.3 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Settlements and Curtailments | 0 | 0 | 0 | 0 |
Net amortization | (0.3) | (0.4) | (0.9) | (1) |
Net periodic benefit cost | $ (0.2) | $ (0.3) | (0.4) | (0.6) |
Other Nonoperating Income (Expense) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net periodic benefit cost | $ 1.3 | $ 1.5 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 28, 2019 | Jun. 29, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | Dec. 29, 2018 | |
Income Taxes [Line Items] | ||||||
Effective tax rate | 44.20% | 36.20% | 31.60% | 33.90% | 32.10% | |
Gross unrecognized tax benefit | $ 11.8 | $ 11.8 | $ 15.1 | |||
Unrecognized tax benefits that would impact effective tax rate, if recognized | 11.5 | 11.5 | ||||
Accrued interest and penalties related to uncertain tax positions | 5.1 | 5.1 | $ 5.5 | |||
Decrease in Unrecognized Tax Benefits Reasonably Possible, Amount of Unrecorded Benefit | $ 0.4 | $ 0.4 |
Statement of Cash Flow Supple_2
Statement of Cash Flow Supplemental Disclosure (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 28, 2019 | Sep. 29, 2018 | |
Other Significant Noncash Transactions [Line Items] | ||
Shares Paid for Tax Withholding for Share Based Compensation | 25,947 | 22,494 |
Shares Paid For Tax Withholding For Share Based Compensation, Value | $ 0.8 | $ 1.1 |
Stock Based Compensation (Detai
Stock Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2019 | Sep. 29, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 14.6 | $ 14.6 | ||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 1 year 7 months 6 days | |||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Outstanding at December 29, 2018 | 3,630,684 | |||
Weighted Average Exercise Price Per Share Outstanding, Beginning of Period | $ 55.66 | |||
Expired / Forfeited | (95,924) | |||
Weighted Average Exercise Price Per Share Outstanding, Expired/Forfeited | $ 52.48 | |||
Outstanding at September 28, 2019 | 3,534,760 | 3,534,760 | ||
Weighted Average Exercise Price Per Share Outstanding, End of Period | $ 55.75 | $ 55.75 | ||
Outstanding Shares Subject to Option, Aggregate Intrinsic Value | $ 0 | $ 0 | ||
Exercisable at September 28, 2019 | 2,359,616 | 2,359,616 | ||
Weighted Average Exercise Price Per Share Exercisable, End of Period | $ 59.23 | $ 59.23 | ||
Options Exercisable at End of Period, Aggregate Intrinsic Value | $ 0 | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Stock Option Expense | $ 0.6 | $ 0.9 | $ 1.8 | $ 2.6 |
Time Vested, Performance Vested and Market Vested Share Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Shares Outstanding, Beginning of Period | 684,184 | |||
Weighted Average Grant Date Fair Value, Beginning of Period | $ 47.68 | |||
Shares Outstanding, Vested | (131,740) | |||
Weighted Average Grant Date Fair Value, Vested | $ 48.23 | |||
Shares Outstanding, Forfeited | (151,771) | |||
Weighted Average Grant Date Fair Value, Forfeited | $ 43.78 | |||
Shares Outstanding, End of Period | 616,434 | 616,434 | ||
Weighted Average Grant Date Fair Value, End of Period | $ 37.93 | $ 37.93 | ||
Time, Performance and Market Vested Share Awards Expense | $ 2.4 | $ 2.8 | $ 5.7 | $ 8.1 |
Time Vested Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Shares Outstanding, Granted | 160,961 | |||
Weighted Average Grant Date Fair Value, Granted | $ 18.02 | |||
Market Vested Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Shares Outstanding, Granted | 42,365 | |||
Weighted Average Grant Date Fair Value, Granted | $ 27.12 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Shares Outstanding, Granted | 111,536 | |||
Weighted Average Grant Date Fair Value, Granted | $ 30.90 | |||
Shares Outstanding, Performance Share Adjustments | (99,101) | |||
Weighted Average Grant Date Fair Value, Performance Share Adjustments | $ 37.72 |
Allowance for Long-Term Recei_3
Allowance for Long-Term Receivables (Details) $ in Millions | 9 Months Ended |
Sep. 28, 2019USD ($) | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |
Financing Receivable, Recorded Investment, Past Due | $ 18.1 |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |
Balance at December 29, 2018 | 16 |
Write-offs | (0.2) |
Provision and reclassifications | 3.1 |
Currency translation adjustment | (0.5) |
Balance at September 28, 2019 | $ 18.4 |
Guarantor Information (Details)
Guarantor Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Sep. 28, 2019 | Jun. 29, 2019 | Mar. 30, 2019 | Sep. 29, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Sep. 28, 2019 | Sep. 29, 2018 | Dec. 29, 2018 | Dec. 30, 2017 | |
Net sales | $ 418.1 | $ 485.8 | $ 1,380.7 | $ 1,563.8 | ||||||
Other revenue | 0 | 0 | 0 | 0 | ||||||
Cost of Products Sold | 141.5 | 164.1 | 457.3 | 516.6 | ||||||
Gross margin | 276.6 | 321.7 | 923.4 | 1,047.2 | ||||||
Delivery, sales and administrative expense | 241.6 | 253 | 752 | 815 | ||||||
Re-engineering and impairment charges | 7.5 | 3 | 15.9 | 12.7 | ||||||
Goodwill and Intangible Asset Impairment | 19.7 | 0 | 19.7 | 0 | ||||||
Gain on disposal of assets | 12.1 | 1.5 | 11.1 | 16.1 | ||||||
Operating income | 19.9 | 67.2 | 146.9 | 235.6 | ||||||
Interest income | 0.6 | 0.6 | 1.6 | 2 | ||||||
Interest expense | 10.4 | 11.3 | 31.4 | 34.3 | ||||||
Income from equity investments in subsidiaries | 0 | 0 | 0 | 0 | ||||||
Other income | (3.8) | (0.6) | (10.5) | (0.8) | ||||||
Income before income taxes | 13.9 | 57.1 | 127.6 | 204.1 | ||||||
Provision (benefit) for income taxes | 6.1 | 18 | 43.5 | 65.5 | ||||||
Net income | 7.8 | $ 39.4 | $ 36.9 | 39.1 | $ 63.8 | $ 35.7 | 84.1 | 138.6 | ||
Comprehensive income | (11.5) | 21.1 | 76.1 | 78.2 | ||||||
ASSETS | ||||||||||
Cash and cash equivalents | 122.1 | 122.1 | $ 149 | |||||||
Accounts receivable, net | 136.8 | 136.8 | 144.7 | |||||||
Inventories | 260.7 | 260.7 | 257.7 | |||||||
Non-trade amounts receivable, net | 40.5 | 40.5 | 49.9 | |||||||
Intercompany receivables | 0 | 0 | 0 | |||||||
Prepaid expenses and other current assets | 27.1 | 27.1 | 19.3 | |||||||
Total current assets | 587.2 | 587.2 | 620.6 | |||||||
Deferred income tax benefits, net | 214.5 | 214.5 | 217 | |||||||
Property, plant and equipment, net | 269.5 | 269.5 | 276 | |||||||
Operating Lease, Right-of-Use Asset | 79.3 | 79.3 | 0 | |||||||
Long-term receivables, net | 16.1 | 16.1 | 18.7 | |||||||
Trademarks and tradenames, net | 46 | 46 | 52.9 | |||||||
Goodwill | 58.5 | 58.5 | 76.1 | |||||||
Investments in subsidiaries | 0 | 0 | 0 | |||||||
Intercompany loan receivables | 0 | 0 | 0 | |||||||
Other assets, net | 64.8 | 64.8 | 47.5 | |||||||
Total assets | 1,335.9 | 1,335.9 | 1,308.8 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||
Accounts payable | 85.8 | 85.8 | 129.2 | |||||||
Short-term borrowings and current portion of long-term debt and finance lease obligations | 325 | 325 | 285.5 | |||||||
Intercompany payables | 0 | 0 | 0 | |||||||
Accrued liabilities | 292.6 | 292.6 | 344.4 | |||||||
Total current liabilities | 703.4 | 703.4 | 759.1 | |||||||
Long-term debt and finance lease obligations | 602.4 | 602.4 | 603.4 | |||||||
Intercompany notes payable | 0 | 0 | 0 | |||||||
Operating Lease, Liability, Noncurrent | 51.4 | 51.4 | 0 | |||||||
Other liabilities | 163.7 | 163.7 | 181.5 | |||||||
Total shareholders' deficit | (185) | $ (163.1) | (184) | (234.6) | $ (175.5) | (108.4) | (185) | (234.6) | (235.2) | $ (119.4) |
Total liabilities and shareholders' deficit | 1,335.9 | 1,335.9 | 1,308.8 | |||||||
Operating Activities: | ||||||||||
Net cash used in operating activities | 19.5 | 13.6 | ||||||||
Investing Activities: | ||||||||||
Capital expenditures | (44) | (55.2) | ||||||||
Proceeds from disposal of property, plant and equipment | 20.4 | 36.5 | ||||||||
Net intercompany loans | 0 | 0 | ||||||||
Net cash used in investing activities | (23.6) | (18.7) | ||||||||
Financing Activities: | ||||||||||
Dividend payments to shareholders | (60.5) | (104.1) | ||||||||
SEC Schedule, 12-04, Cash Dividends Paid to Registrant, Subsidiaries and Equity Method Investees | 0 | 0 | ||||||||
Proceeds from exercise of stock options | 0 | 0.3 | ||||||||
Repurchase of common stock | (0.8) | (101.3) | ||||||||
Repayment of finance lease obligations | (1.3) | (1.6) | ||||||||
Net change in short-term debt | 46.7 | 200.7 | ||||||||
Payments of Debt Issuance Costs | (2.2) | 0 | ||||||||
Net intercompany borrowings | 0 | 0 | ||||||||
Net cash used in financing activities | (18.1) | (6) | ||||||||
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (3.3) | (13.5) | ||||||||
Net change in cash, cash equivalents and restricted cash | (25.5) | (24.6) | ||||||||
Cash, cash equivalents and restricted cash at beginning of year | 151.9 | 147.2 | 151.9 | 147.2 | 147.2 | |||||
Cash, cash equivalents and restricted cash at end of period | 126.4 | 122.6 | 126.4 | 122.6 | 151.9 | |||||
Parent | ||||||||||
Net sales | 0 | 0 | 0 | 0 | ||||||
Other revenue | 0 | 0 | 0 | 0 | ||||||
Cost of Products Sold | 0 | 0 | 0 | 0 | ||||||
Gross margin | 0 | 0 | 0 | 0 | ||||||
Delivery, sales and administrative expense | 2.7 | 3.3 | 6.4 | 9.6 | ||||||
Re-engineering and impairment charges | 0 | 0 | 0 | 0 | ||||||
Goodwill and Intangible Asset Impairment | 0 | 0 | ||||||||
Gain on disposal of assets | 0 | 0 | 0 | 0 | ||||||
Operating income | (2.7) | (3.3) | (6.4) | (9.6) | ||||||
Interest income | 4.8 | 5.2 | 15.1 | 15.4 | ||||||
Interest expense | 9.9 | 9.2 | 29.7 | 28.7 | ||||||
Income from equity investments in subsidiaries | 7 | 44.7 | 92.9 | 155.8 | ||||||
Other income | (0.4) | (0.3) | (1.5) | (1.1) | ||||||
Income before income taxes | (0.4) | 37.7 | 73.4 | 134 | ||||||
Provision (benefit) for income taxes | (8.2) | (1.4) | (10.7) | (4.6) | ||||||
Net income | 7.8 | 39.1 | 84.1 | 138.6 | ||||||
Comprehensive income | (11.5) | 21.1 | 76.1 | 78.2 | ||||||
ASSETS | ||||||||||
Cash and cash equivalents | 0 | 0 | 0 | |||||||
Accounts receivable, net | 0 | 0 | 0 | |||||||
Inventories | 0 | 0 | 0 | |||||||
Non-trade amounts receivable, net | 0 | 0 | 0 | |||||||
Intercompany receivables | 321 | 321 | 309.2 | |||||||
Prepaid expenses and other current assets | 1.6 | 1.6 | 1.1 | |||||||
Total current assets | 322.6 | 322.6 | 310.3 | |||||||
Deferred income tax benefits, net | 41.7 | 41.7 | 41.7 | |||||||
Property, plant and equipment, net | 0 | 0 | 0 | |||||||
Operating Lease, Right-of-Use Asset | 0 | 0 | ||||||||
Long-term receivables, net | 0 | 0 | 0 | |||||||
Trademarks and tradenames, net | 0 | 0 | 0 | |||||||
Goodwill | 0 | 0 | 0 | |||||||
Investments in subsidiaries | 1,395.9 | 1,395.9 | 1,305.3 | |||||||
Intercompany loan receivables | 504.9 | 504.9 | 515.3 | |||||||
Other assets, net | 2 | 2 | 0.3 | |||||||
Total assets | 2,267.1 | 2,267.1 | 2,172.9 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||
Accounts payable | 0 | 0 | 0 | |||||||
Short-term borrowings and current portion of long-term debt and finance lease obligations | 239.1 | 239.1 | 189.4 | |||||||
Intercompany payables | 1,345.9 | 1,345.9 | 1,330.9 | |||||||
Accrued liabilities | 265.4 | 265.4 | 278.6 | |||||||
Total current liabilities | 1,850.4 | 1,850.4 | 1,798.9 | |||||||
Long-term debt and finance lease obligations | 599.8 | 599.8 | 599.7 | |||||||
Intercompany notes payable | 0 | 0 | 6.6 | |||||||
Operating Lease, Liability, Noncurrent | 0 | 0 | ||||||||
Other liabilities | 1.9 | 1.9 | 2.9 | |||||||
Total shareholders' deficit | (185) | (185) | (235.2) | |||||||
Total liabilities and shareholders' deficit | 2,267.1 | 2,267.1 | 2,172.9 | |||||||
Operating Activities: | ||||||||||
Net cash used in operating activities | (8.1) | (27.9) | ||||||||
Investing Activities: | ||||||||||
Capital expenditures | 0 | 0 | ||||||||
Proceeds from disposal of property, plant and equipment | 0 | 0 | ||||||||
Net intercompany loans | 3.8 | (64.9) | ||||||||
Net cash used in investing activities | 3.8 | (64.9) | ||||||||
Financing Activities: | ||||||||||
Dividend payments to shareholders | (60.5) | (104.1) | ||||||||
SEC Schedule, 12-04, Cash Dividends Paid to Registrant, Subsidiaries and Equity Method Investees | 0 | 0 | ||||||||
Proceeds from exercise of stock options | 0.3 | |||||||||
Repurchase of common stock | (0.8) | (101.3) | ||||||||
Repayment of finance lease obligations | 0 | 0 | ||||||||
Net change in short-term debt | 52.9 | 45 | ||||||||
Payments of Debt Issuance Costs | (2.2) | |||||||||
Net intercompany borrowings | 14.9 | 252.9 | ||||||||
Net cash used in financing activities | 4.3 | 92.8 | ||||||||
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 0 | 0 | ||||||||
Net change in cash, cash equivalents and restricted cash | 0 | 0 | ||||||||
Cash, cash equivalents and restricted cash at beginning of year | 0 | 0 | 0 | 0 | 0 | |||||
Cash, cash equivalents and restricted cash at end of period | $ 0 | 0 | $ 0 | 0 | 0 | |||||
Guarantor | ||||||||||
Equity Method Investment, Ownership Percentage | 100.00% | 100.00% | ||||||||
Net sales | $ 0 | 0 | $ 0 | 0 | ||||||
Other revenue | 20.9 | 24.4 | 72.7 | 65.7 | ||||||
Cost of Products Sold | 2.2 | 1.2 | 15.8 | 13.3 | ||||||
Gross margin | 18.7 | 23.2 | 56.9 | 52.4 | ||||||
Delivery, sales and administrative expense | 19 | 18.7 | 55.5 | 64.1 | ||||||
Re-engineering and impairment charges | 0.4 | 0.8 | 1.2 | 1.8 | ||||||
Goodwill and Intangible Asset Impairment | 0 | 0 | ||||||||
Gain on disposal of assets | 0 | 0 | 0 | 0 | ||||||
Operating income | (0.7) | 3.7 | 0.2 | (13.5) | ||||||
Interest income | 0.7 | 0.4 | 1.9 | 1.5 | ||||||
Interest expense | 11.8 | 15.4 | 37.6 | 46.7 | ||||||
Income from equity investments in subsidiaries | (1.2) | 61.9 | 102.8 | 203.6 | ||||||
Other income | (2.1) | 7.7 | (0.8) | 5.2 | ||||||
Income before income taxes | (10.9) | 42.9 | 68.1 | 139.7 | ||||||
Provision (benefit) for income taxes | (12.5) | 1.3 | (16.3) | (7.5) | ||||||
Net income | 1.6 | 41.6 | 84.4 | 147.2 | ||||||
Comprehensive income | (18.9) | 25.3 | 75 | 91.2 | ||||||
ASSETS | ||||||||||
Cash and cash equivalents | 1.8 | 1.8 | 0.3 | |||||||
Accounts receivable, net | 0 | 0 | 0 | |||||||
Inventories | 0 | 0 | 0 | |||||||
Non-trade amounts receivable, net | 164.1 | 164.1 | 169 | |||||||
Intercompany receivables | 1,442.7 | 1,442.7 | 1,430.1 | |||||||
Prepaid expenses and other current assets | 17.5 | 17.5 | 3.7 | |||||||
Total current assets | 1,626.1 | 1,626.1 | 1,603.1 | |||||||
Deferred income tax benefits, net | 42.2 | 42.2 | 42.2 | |||||||
Property, plant and equipment, net | 81.3 | 81.3 | 71.3 | |||||||
Operating Lease, Right-of-Use Asset | 0.4 | 0.4 | ||||||||
Long-term receivables, net | 0.1 | 0.1 | 0.1 | |||||||
Trademarks and tradenames, net | 0 | 0 | 0 | |||||||
Goodwill | 2.9 | 2.9 | 2.9 | |||||||
Investments in subsidiaries | 1,298.2 | 1,298.2 | 1,346.8 | |||||||
Intercompany loan receivables | 93.5 | 93.5 | 95.4 | |||||||
Other assets, net | 1.2 | 1.2 | 0.5 | |||||||
Total assets | 3,145.9 | 3,145.9 | 3,162.3 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||
Accounts payable | 6.8 | 6.8 | 5.7 | |||||||
Short-term borrowings and current portion of long-term debt and finance lease obligations | 0 | 0 | 0 | |||||||
Intercompany payables | 418 | 418 | 436.3 | |||||||
Accrued liabilities | 32 | 32 | 69.2 | |||||||
Total current liabilities | 456.8 | 456.8 | 511.2 | |||||||
Long-term debt and finance lease obligations | 0 | 0 | 0 | |||||||
Intercompany notes payable | 1,308.4 | 1,308.4 | 1,366.7 | |||||||
Operating Lease, Liability, Noncurrent | 0.2 | 0.2 | ||||||||
Other liabilities | 62.7 | 62.7 | 48.1 | |||||||
Total shareholders' deficit | 1,317.8 | 1,317.8 | 1,236.3 | |||||||
Total liabilities and shareholders' deficit | 3,145.9 | 3,145.9 | 3,162.3 | |||||||
Operating Activities: | ||||||||||
Net cash used in operating activities | 86.7 | 96.7 | ||||||||
Investing Activities: | ||||||||||
Capital expenditures | (23.4) | (19.3) | ||||||||
Proceeds from disposal of property, plant and equipment | 0 | 0 | ||||||||
Net intercompany loans | (11.4) | (247.7) | ||||||||
Net cash used in investing activities | (34.8) | (267) | ||||||||
Financing Activities: | ||||||||||
Dividend payments to shareholders | 0 | 0 | ||||||||
SEC Schedule, 12-04, Cash Dividends Paid to Registrant, Subsidiaries and Equity Method Investees | 0 | 0 | ||||||||
Proceeds from exercise of stock options | 0 | |||||||||
Repurchase of common stock | 0 | 0 | ||||||||
Repayment of finance lease obligations | 0 | 0 | ||||||||
Net change in short-term debt | 0 | 0 | ||||||||
Payments of Debt Issuance Costs | 0 | |||||||||
Net intercompany borrowings | (50.1) | 173.5 | ||||||||
Net cash used in financing activities | (50.1) | 173.5 | ||||||||
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (0.3) | 0 | ||||||||
Net change in cash, cash equivalents and restricted cash | 1.5 | 3.2 | ||||||||
Cash, cash equivalents and restricted cash at beginning of year | 0.3 | 0.1 | 0.3 | 0.1 | 0.1 | |||||
Cash, cash equivalents and restricted cash at end of period | 1.8 | 3.3 | 1.8 | 3.3 | 0.3 | |||||
Non-Guarantors | ||||||||||
Net sales | 419.6 | 487.1 | 1,385.4 | 1,566.6 | ||||||
Other revenue | 2.2 | 1.3 | 15.8 | 13.3 | ||||||
Cost of Products Sold | 164 | 189.8 | 532.1 | 583.1 | ||||||
Gross margin | 257.8 | 298.6 | 869.1 | 996.8 | ||||||
Delivery, sales and administrative expense | 219.8 | 231.1 | 692.7 | 743.3 | ||||||
Re-engineering and impairment charges | 7.1 | 2.2 | 14.7 | 10.9 | ||||||
Goodwill and Intangible Asset Impairment | 19.7 | 19.7 | ||||||||
Gain on disposal of assets | 12.1 | 1.5 | 11.1 | 16.1 | ||||||
Operating income | 23.3 | 66.8 | 153.1 | 258.7 | ||||||
Interest income | 8.3 | 10.6 | 27.9 | 32.5 | ||||||
Interest expense | 1.9 | 2.3 | 7.4 | 6.3 | ||||||
Income from equity investments in subsidiaries | 0 | 0 | 0 | 0 | ||||||
Other income | (1.3) | (8) | (8.2) | (4.9) | ||||||
Income before income taxes | 31 | 83.1 | 181.8 | 289.8 | ||||||
Provision (benefit) for income taxes | 26.8 | 18.1 | 70.5 | 77.6 | ||||||
Net income | 4.2 | 65 | 111.3 | 212.2 | ||||||
Comprehensive income | (17.1) | 50.2 | 117.9 | 147.4 | ||||||
ASSETS | ||||||||||
Cash and cash equivalents | 120.3 | 120.3 | 148.7 | |||||||
Accounts receivable, net | 136.8 | 136.8 | 144.7 | |||||||
Inventories | 260.7 | 260.7 | 257.7 | |||||||
Non-trade amounts receivable, net | 112.2 | 112.2 | 71 | |||||||
Intercompany receivables | 219.8 | 219.8 | 230.5 | |||||||
Prepaid expenses and other current assets | 16.4 | 16.4 | 48.2 | |||||||
Total current assets | 866.2 | 866.2 | 900.8 | |||||||
Deferred income tax benefits, net | 131.1 | 131.1 | 133.1 | |||||||
Property, plant and equipment, net | 188.2 | 188.2 | 204.7 | |||||||
Operating Lease, Right-of-Use Asset | 79 | 79 | ||||||||
Long-term receivables, net | 16 | 16 | 18.6 | |||||||
Trademarks and tradenames, net | 46 | 46 | 52.9 | |||||||
Goodwill | 55.6 | 55.6 | 73.2 | |||||||
Investments in subsidiaries | 0 | 0 | 0 | |||||||
Intercompany loan receivables | 995.4 | 995.4 | 1,069.4 | |||||||
Other assets, net | 106.6 | 106.6 | 75.3 | |||||||
Total assets | 2,484.1 | 2,484.1 | 2,528 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||
Accounts payable | 79 | 79 | 123.5 | |||||||
Short-term borrowings and current portion of long-term debt and finance lease obligations | 85.9 | 85.9 | 96.1 | |||||||
Intercompany payables | 219.6 | 219.6 | 202.6 | |||||||
Accrued liabilities | 239.4 | 239.4 | 220.4 | |||||||
Total current liabilities | 623.9 | 623.9 | 642.6 | |||||||
Long-term debt and finance lease obligations | 2.6 | 2.6 | 3.7 | |||||||
Intercompany notes payable | 285.4 | 285.4 | 306.8 | |||||||
Operating Lease, Liability, Noncurrent | 51.3 | 51.3 | ||||||||
Other liabilities | 144.6 | 144.6 | 159.1 | |||||||
Total shareholders' deficit | 1,376.3 | 1,376.3 | 1,415.8 | |||||||
Total liabilities and shareholders' deficit | 2,484.1 | 2,484.1 | 2,528 | |||||||
Operating Activities: | ||||||||||
Net cash used in operating activities | 164.8 | 225.5 | ||||||||
Investing Activities: | ||||||||||
Capital expenditures | (20.6) | (35.9) | ||||||||
Proceeds from disposal of property, plant and equipment | 20.4 | 36.5 | ||||||||
Net intercompany loans | 67.9 | (173) | ||||||||
Net cash used in investing activities | 67.7 | (172.4) | ||||||||
Financing Activities: | ||||||||||
Dividend payments to shareholders | 0 | 0 | ||||||||
SEC Schedule, 12-04, Cash Dividends Paid to Registrant, Subsidiaries and Equity Method Investees | (226.2) | (272.5) | ||||||||
Proceeds from exercise of stock options | 0 | |||||||||
Repurchase of common stock | 0 | 0 | ||||||||
Repayment of finance lease obligations | (1.3) | (1.6) | ||||||||
Net change in short-term debt | (6.2) | 155.7 | ||||||||
Payments of Debt Issuance Costs | 0 | |||||||||
Net intercompany borrowings | (22.8) | 51 | ||||||||
Net cash used in financing activities | (256.5) | (67.4) | ||||||||
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (3) | (13.5) | ||||||||
Net change in cash, cash equivalents and restricted cash | (27) | (27.8) | ||||||||
Cash, cash equivalents and restricted cash at beginning of year | 151.6 | 147.1 | 151.6 | 147.1 | 147.1 | |||||
Cash, cash equivalents and restricted cash at end of period | 124.6 | 119.3 | 124.6 | 119.3 | 151.6 | |||||
Eliminations | ||||||||||
Net sales | (1.5) | (1.3) | (4.7) | (2.8) | ||||||
Other revenue | (23.1) | (25.7) | (88.5) | (79) | ||||||
Cost of Products Sold | (24.7) | (26.9) | (90.6) | (79.8) | ||||||
Gross margin | 0.1 | (0.1) | (2.6) | (2) | ||||||
Delivery, sales and administrative expense | 0.1 | (0.1) | (2.6) | (2) | ||||||
Re-engineering and impairment charges | 0 | 0 | 0 | 0 | ||||||
Goodwill and Intangible Asset Impairment | 0 | 0 | ||||||||
Gain on disposal of assets | 0 | 0 | 0 | 0 | ||||||
Operating income | 0 | 0 | 0 | 0 | ||||||
Interest income | (13.2) | (15.6) | (43.3) | (47.4) | ||||||
Interest expense | (13.2) | (15.6) | (43.3) | (47.4) | ||||||
Income from equity investments in subsidiaries | (5.8) | (106.6) | (195.7) | (359.4) | ||||||
Other income | 0 | 0 | 0 | 0 | ||||||
Income before income taxes | (5.8) | (106.6) | (195.7) | (359.4) | ||||||
Provision (benefit) for income taxes | 0 | 0 | 0 | 0 | ||||||
Net income | (5.8) | (106.6) | (195.7) | (359.4) | ||||||
Comprehensive income | 36 | (75.5) | (192.9) | (238.6) | ||||||
ASSETS | ||||||||||
Cash and cash equivalents | 0 | 0 | 0 | |||||||
Accounts receivable, net | 0 | 0 | 0 | |||||||
Inventories | 0 | 0 | 0 | |||||||
Non-trade amounts receivable, net | (235.8) | (235.8) | (190.1) | |||||||
Intercompany receivables | (1,983.5) | (1,983.5) | (1,969.8) | |||||||
Prepaid expenses and other current assets | (8.4) | (8.4) | (33.7) | |||||||
Total current assets | (2,227.7) | (2,227.7) | (2,193.6) | |||||||
Deferred income tax benefits, net | (0.5) | (0.5) | 0 | |||||||
Property, plant and equipment, net | 0 | 0 | 0 | |||||||
Operating Lease, Right-of-Use Asset | (0.1) | (0.1) | ||||||||
Long-term receivables, net | 0 | 0 | 0 | |||||||
Trademarks and tradenames, net | 0 | 0 | 0 | |||||||
Goodwill | 0 | 0 | 0 | |||||||
Investments in subsidiaries | (2,694.1) | (2,694.1) | (2,652.1) | |||||||
Intercompany loan receivables | (1,593.8) | (1,593.8) | (1,680.1) | |||||||
Other assets, net | (45) | (45) | (28.6) | |||||||
Total assets | (6,561.2) | (6,561.2) | (6,554.4) | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||
Accounts payable | 0 | 0 | 0 | |||||||
Short-term borrowings and current portion of long-term debt and finance lease obligations | 0 | 0 | 0 | |||||||
Intercompany payables | (1,983.5) | (1,983.5) | (1,969.8) | |||||||
Accrued liabilities | (244.2) | (244.2) | (223.8) | |||||||
Total current liabilities | (2,227.7) | (2,227.7) | (2,193.6) | |||||||
Long-term debt and finance lease obligations | 0 | 0 | 0 | |||||||
Intercompany notes payable | (1,593.8) | (1,593.8) | (1,680.1) | |||||||
Operating Lease, Liability, Noncurrent | (0.1) | (0.1) | ||||||||
Other liabilities | (45.5) | (45.5) | (28.6) | |||||||
Total shareholders' deficit | (2,694.1) | (2,694.1) | (2,652.1) | |||||||
Total liabilities and shareholders' deficit | (6,561.2) | (6,561.2) | (6,554.4) | |||||||
Operating Activities: | ||||||||||
Net cash used in operating activities | (223.9) | (280.7) | ||||||||
Investing Activities: | ||||||||||
Capital expenditures | 0 | 0 | ||||||||
Proceeds from disposal of property, plant and equipment | 0 | 0 | ||||||||
Net intercompany loans | (60.3) | 485.6 | ||||||||
Net cash used in investing activities | (60.3) | 485.6 | ||||||||
Financing Activities: | ||||||||||
Dividend payments to shareholders | 0 | 0 | ||||||||
SEC Schedule, 12-04, Cash Dividends Paid to Registrant, Subsidiaries and Equity Method Investees | 226.2 | 272.5 | ||||||||
Proceeds from exercise of stock options | 0 | |||||||||
Repurchase of common stock | 0 | 0 | ||||||||
Repayment of finance lease obligations | 0 | 0 | ||||||||
Net change in short-term debt | 0 | 0 | ||||||||
Payments of Debt Issuance Costs | 0 | |||||||||
Net intercompany borrowings | 58 | (477.4) | ||||||||
Net cash used in financing activities | 284.2 | (204.9) | ||||||||
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 0 | 0 | ||||||||
Net change in cash, cash equivalents and restricted cash | 0 | 0 | ||||||||
Cash, cash equivalents and restricted cash at beginning of year | $ 0 | $ 0 | 0 | 0 | 0 | |||||
Cash, cash equivalents and restricted cash at end of period | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |