Document_and_Entity_Informatio
Document and Entity Information Document | 3 Months Ended |
Mar. 31, 2015 | |
Entity Information [Line Items] | |
Entity Registrant Name | CONVERGYS CORP. |
Entity Central Index Key | 1062047 |
Current Fiscal Year End Date | -19 |
Entity Filer Category | Large Accelerated Filer |
Document Type | 10-Q |
Document Period End Date | 31-Mar-15 |
Document Fiscal Year Focus | 2015 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | FALSE |
Entity Common Stock, Shares Outstanding | 98,831,838 |
Trading symbol | cvg |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement [Abstract] | ||
Revenues | $740.50 | $605.70 |
Costs and Expenses: | ||
Cost of providing services and products sold | 472.4 | 380.1 |
Selling, general and administrative | 170 | 145 |
Research and development costs | 1.8 | 1.9 |
Depreciation | 36.6 | 26.5 |
Amortization | 7 | 3.4 |
Restructuring Charges | 1 | 1.7 |
Transaction and integration costs | 2.5 | 25.1 |
Total costs and expenses | 691.3 | 583.7 |
Operating Income (Loss) | 49.2 | 22 |
Other income (expense), net | 2.8 | -1.9 |
Interest expense | -4.6 | -4 |
Income (Loss) before Income Taxes | 47.4 | 16.1 |
Income tax (benefit) expense | 8.1 | 2.4 |
Income (Loss) from continuing operations | 39.3 | 13.7 |
Income (Loss) from Discontinued Operations, net of tax | 0.1 | 0.5 |
Net Income | $39.40 | $14.20 |
Basic Earnings Per Common Share: | ||
Continuing operations | $0.40 | $0.14 |
Discontinued operations | $0 | $0 |
Basic Earnings per Common Share | $0.40 | $0.14 |
Diluted Earnings Per Common Share: | ||
Continuing operations | $0.37 | $0.13 |
Discontinued operations | $0 | $0 |
Diluted Earnings per Common Share | $0.37 | $0.13 |
Weighted Average Common Shares Outstanding | ||
Basic | 99 | 101.1 |
Diluted | 105 | 107.3 |
Common Stock, Dividends, Per Share, Declared | $0.07 | $0.06 |
Consolidated_Statements_Of_Com
Consolidated Statements Of Comprehensive Income (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net Income | $39.40 | $14.20 |
Foreign currency translation adjustments | -28.9 | 0.5 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 1.6 | 1.1 |
Unrealized gain/(loss) on hedging activities | 4.7 | -0.2 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | -22.6 | 1.4 |
Total Comprehensive Income | $16.80 | $15.60 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
ASSETS | ||
Cash and cash equivalents | $232.20 | $198.90 |
Short-term Investments | 12.4 | 13 |
Receivables, net of allowances of $5.1 and $8.1 | 525.3 | 511.1 |
Deferred income tax assets | 103.4 | 107.2 |
Prepaid expenses | 31.4 | 28.9 |
Other current assets | 34.8 | 31.8 |
Total Current Assets | 939.5 | 890.9 |
Property and equipment, net | 354.8 | 367.8 |
Goodwill | 836.1 | 850.7 |
Other intangibles, net | 339.2 | 355.2 |
Deferred income tax assets | 7.2 | 8.2 |
Other assets | 42.8 | 43.7 |
Total Assets | 2,519.60 | 2,516.50 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Debt and capital lease obligations maturing within one year | 6.3 | 7.5 |
Payables and other current liabilities | 368.9 | 361 |
Total Current Liabilities | 375.2 | 368.5 |
Long-term debt and capital lease obligations | 390.7 | 368.4 |
Deferred income tax liabilities | 275.5 | 275.6 |
Accrued pension liabilities | 96.8 | 116.9 |
Other long-term liabilities | 96.2 | 95.6 |
Total Liabilities | 1,234.40 | 1,225 |
Temporary Equity, Par Value | 64 | 64.3 |
Shareholders' Equity | ||
Preferred shares - without par value, 5.0 authorized; none outstanding | 0 | 0 |
Common shares - without par value, 500.0 authorized; 190.1 and 189.8 issued, 98.8 and 99.4 outstanding, as of March 31, 2015 and December 31, 2014, respectively | 1,079.70 | 1,077.50 |
Treasury Stock - 91.3 and 90.4 as of March 31, 2015 and December 31, 2014, respectively | -1,509.30 | -1,491.20 |
Retained earnings | 1,740.10 | 1,707.60 |
Accumulated other comprehensive loss | -89.3 | -66.7 |
Total Shareholders' Equity | 1,221.20 | 1,227.20 |
Total Liabilities and Shareholders' Equity | $2,519.60 | $2,516.50 |
Balance_Sheet_Parenthetical_Pa
Balance Sheet Parenthetical (Parentheticals) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, except Per Share data, unless otherwise specified | ||
Allowance for doubtful accounts | $5.10 | $8.10 |
Preferred stock, par value | $0 | $0 |
Preferred stock, shares authorized | 5 | 5 |
Preferred stock, shares outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $0 | $0 |
Common stock, shares authorized | 500 | 500 |
Common stock, shares issued | 190.1 | 189.8 |
Common stock, shares outstanding | 98.8 | 99.4 |
Treasury stock - shares | 91.3 | 90.4 |
Consolidated_Statements_Of_Cas
Consolidated Statements Of Cash Flows (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net Income | $39.40 | $14.20 |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 0.1 | 0.5 |
Income (Loss) from continuing operations | 39.3 | 13.7 |
Adjustments to reconcile net income from continuing operations to net cash provided by operating activities of continuing operations: | ||
Depreciation and amortization | 43.6 | 29.9 |
Deferred income tax expense (benefit) | 5.3 | -29.5 |
Stock compensation expense | 3.6 | 3 |
Changes in assets and liabilities: | ||
Change in receivables | -24.7 | -1.3 |
Change in other current assets | -4.7 | -5.9 |
Change in deferred charges, net | 0.6 | 1.1 |
Change in other assets and liabilities | -14.7 | -4.5 |
Change in payables and other current liabilities | 16.8 | 9.2 |
Net cash provided by operating activities | 65.1 | 15.7 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Capital expenditures | -28.6 | -18.3 |
Proceeds from maturity of short-term investments | 0 | 61.9 |
Acquisitions, net of cash acquired | 0 | 804.5 |
Net cash provided by (used in) investing activities | -28.6 | -760.9 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Repayments of credit facilities and other debt, net | 0 | 344.9 |
Repayments of Long-term Debt | -2.3 | -2.3 |
Proceeds from Accounts Receivable Securitization | 178 | 100 |
Repayments of Accounts Receivable Securitization | -155 | -90 |
Repurchase of common shares | -18.1 | 0 |
Proceeds from exercise of stock options | 0.8 | 0.1 |
Payments of Dividends | -7 | -6 |
Cash paid for debt issuance costs | 0 | -2 |
Excess tax benefits from share-based payment arrangements | 0.4 | 1.9 |
Net cash used in financing activities | -3.2 | 346.6 |
Net increase (decrease) in cash and cash equivalents | 33.3 | -398.6 |
Cash and cash equivalents at beginning of period | 198.9 | 580.8 |
Cash and cash equivalents at end of period | $232.20 | $182.20 |
Background_And_Basis_Of_Presen
Background And Basis Of Presentation | 3 Months Ended |
Mar. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure | BACKGROUND AND BASIS OF PRESENTATION |
Convergys Corporation (the Company or Convergys) is a global leader in customer management, focused on bringing value to its clients through every customer interaction. | |
On March 3, 2014, Convergys completed its acquisition of SGS Holdings, Inc. (Stream), a global customer management leader, providing technical support, customer care and sales for Fortune 1000 companies. This acquisition expanded the Company's geographic footprint and capabilities, adding approximately 40,000 employees in 22 countries. Combined, Convergys now has 125,000 employees working in more than 150 locations in 31 countries, interacting with our clients' customers in 47 languages. Stream's complementary client portfolio diversified Convergys' client base through the addition of leading technology, communications and other clients. Stream operating results are included in Convergys' Consolidated Statements of Income beginning March 3, 2014. Stream contributed revenue of $239.4 and $85.6 during the first quarter of 2015 and 2014, respectively. | |
The accompanying Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial reporting (U.S. GAAP) and U.S. Securities and Exchange Commission (SEC) regulations, and, in the opinion of management, include all adjustments necessary for a fair presentation of the results of operations, financial position and cash flows for each period shown. All adjustments are of a normal and recurring nature. Certain information and footnote disclosures normally included in Financial Statements prepared in accordance with generally accepted accounting principles in the United States have been condensed or omitted. Interim Consolidated Financial Statements are not necessarily indicative of the financial position or operating results for an entire year. These interim Consolidated Financial Statements should be read in conjunction with the audited Financial Statements and the Notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, filed on February 18, 2015. |
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements (Notes) | 3 Months Ended |
Mar. 31, 2015 | |
New Accounting Pronouncements [Abstract] | |
New Accounting Pronouncements, Policy [Policy Text Block] | RECENT ACCOUNTING PRONOUNCEMENTS |
In April 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2015-03, "Simplifying the Presentation of Debt Issuance Costs." This ASU requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. This update is effective for interim and annual periods beginning after December 15, 2015 and is required to be applied retrospectively. This standard is not expected to have a material effect on the Company's consolidated financial statements. | |
In June 2014, the FASB issued ASU 2014-12, "Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (Topic 718)." This ASU requires a reporting entity to treat a performance target that affects vesting and that could be achieved after the requisite service period as a performance condition, and apply existing guidance under the Stock Compensation Topic 718 as it relates to awards with performance conditions that affect vesting to account for such awards. This update will be applied prospectively and is effective for interim and annual periods beginning after December 15, 2015. This standard is not expected to have a material effect on the Company’s consolidated financial statements. | |
In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers (Topic 606)." The standard will apply one comprehensive revenue recognition model across all contracts, entities and sectors. The core principal of the new standard is that revenue should be recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Once effective, this ASU will replace most of the existing revenue recognition requirements in U.S. GAAP. This update is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. However, in April 2015, the FASB proposed a one-year deferral of the effective date, which is currently going through the comment period process. The Company is currently assessing the effect that adoption of the new standard, including possible adoption alternatives, will have on its consolidated financial statements. | |
In April 2014, the FASB issued ASU 2014-08, "Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity." This ASU changes the criteria for a disposal to qualify as discontinued operations and requires new disclosures for individually material disposal transactions that do not meet the definition of a discontinued operation. Under the new standard, companies report discontinued operations when they have a disposal that represents a strategic shift that has or will have a major impact on operations or financial results. This update will be applied prospectively and is effective for annual periods, and interim periods within those years, beginning after December 15, 2014. This standard is not expected to have a material effect on the Company's consolidated financial statements, but will impact the reporting of any future dispositions. |
Business_Combinations_Business
Business Combinations Business Combinations | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Business Combinations [Abstract] | |||||||
Business Combination Disclosure [Text Block] | BUSINESS COMBINATION | ||||||
Stream Acquisition | |||||||
Background and Financing | |||||||
On January 6, 2014, the Company and its wholly-owned subsidiary (Merger Sub) entered into an Agreement and Plan of Merger (the Merger Agreement) with Stream and, for limited purposes, other Sellers listed in the Merger Agreement. On March 3, 2014, Merger Sub was merged with and into Stream (the Merger), with Stream continuing as the surviving corporation and as a wholly owned subsidiary of Convergys. At the time of the Merger, each share of Stream common stock was converted into the right to receive an amount in cash, without interest. | |||||||
The total purchase price, net of cash acquired, was $802.6, which was funded using available cash, borrowings under the Accounts Receivable Securitization Facility and proceeds from a term loan under the February 28, 2014 Credit Agreement (the Credit Agreement). The Credit Agreement consisted of a term loan in the amount of $350.0 and a revolving credit facility in the amount of $300.0 (see Note 9, "Debt and Capital Lease Obligations" for the definition of these terms and further discussion). | |||||||
The purchase price of Stream consisted of the following items: | |||||||
Cash consideration for Stream stock (1) | $ | 481 | |||||
Cash consideration for Stream stock options (2) | 16.1 | ||||||
Cash consideration for repayment of Stream 11.25% Senior Secured Notes (3) | 243 | ||||||
Cash consideration for repayment of Stream 10.0% Promissory Notes (4) | 19.3 | ||||||
Cash consideration for repayment of Stream Revolving Credit Facility (5) | 63.4 | ||||||
Cash consideration for transaction expenses of Stream (6) | 7.8 | ||||||
Total cash consideration | 830.6 | ||||||
Cash acquired (7) | (28.0 | ) | |||||
Net consideration transferred | $ | 802.6 | |||||
-1 | The cash consideration for the outstanding shares of Stream's common stock, which includes final settlement for working capital. Stream outstanding common shares totaled 0.7 as of March 3, 2014. | ||||||
-2 | The cash consideration paid per share of "in the money" stock option awards. | ||||||
-3 | The cash consideration to repay Stream's 11.25% Senior Secured Notes due 2014, which reflects the aggregate principal and interest amounts of $230.0 and $13.0, respectively, as of March 3, 2014. | ||||||
-4 | The cash consideration to repay Stream's 10.0% Promissory Notes, which reflects the aggregate principal and interest amounts of $16.1 and $3.2, respectively, as of March 3, 2014. | ||||||
-5 | The cash consideration to repay Stream's Revolving Credit Facility, which reflects the aggregate principal and interest amounts of $63.1 and $0.3, respectively, as of March 3, 2014. | ||||||
-6 | Pursuant to the Merger Agreement, Convergys reimbursed the holders of Stream common stock for expenses incurred by Stream in connection with the merger. These expenses primarily related to third-party consulting services. | ||||||
-7 | Represents the Stream cash balance acquired at acquisition. | ||||||
The Company incurred $14.7 of direct transaction costs during 2014. These costs are included in Transaction and integration costs in the accompanying Consolidated Statements of Income. | |||||||
Purchase Price Allocation | |||||||
The Company accounted for Stream using the acquisition method of accounting in accordance with applicable U.S. GAAP whereby the total purchase price was allocated to tangible and intangible assets acquired and liabilities assumed based on respective fair values. The following table summarizes the assets acquired and liabilities assumed at the date of acquisition: | |||||||
Purchase price allocation | At March 3, 2014 | ||||||
Assets: | |||||||
Receivables | $ | 197.9 | |||||
Other current assets | 13.5 | ||||||
Property and equipment | 159.3 | ||||||
Goodwill | 276.5 | ||||||
Intangible assets | 370.4 | ||||||
Other assets | 7.9 | ||||||
Liabilities: | |||||||
Accounts payable | (12.3 | ) | |||||
Accrued expenses | (100.3 | ) | |||||
Other current liabilities | (3.6 | ) | |||||
Debt | (34.6 | ) | |||||
Deferred tax - net | (59.4 | ) | |||||
Other long-term liabilities | (12.7 | ) | |||||
Total purchase price | $ | 802.6 | |||||
As of March 31, 2015, the purchase price allocation for the acquisition was final. Goodwill was calculated as the excess of the consideration transferred over the net assets recognized and represents the estimated future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. The factors contributing to the recognition of goodwill were based on several strategic and synergistic benefits that are expected to be realized from the Stream acquisition. The benefits include an enhanced global footprint and expanded language capabilities. None of the goodwill is expected to be deductible for income tax purposes and was entirely allocated to the Customer Management - Agent Services reporting unit for purposes of the evaluation for any future goodwill impairment. The Company evaluated whether any adjustments in the prior period purchase price allocation were material and concluded no retrospective adjustments to prior period financial statements were required. | |||||||
Intangible Assets Identified | |||||||
The following details the total intangible assets identified: | |||||||
Intangible asset type | Value | Life (years) | |||||
Customer relationship | $ | 352 | 17 | ||||
Trade name | 17 | 4 | |||||
Favorable lease contract | 1.4 | 1 | - | 7 | |||
Total | $ | 370.4 | |||||
The fair value of the customer relationship asset was determined using the income approach through an excess earnings analysis, with projected earnings discounted at a rate of 11.0%. The customer relationship intangible asset represents relationships between Stream and its customers. Convergys applied the income approach through a relief-from-royalty analysis to determine the fair value of the Stream trade name asset. The determination of the useful lives was based upon consideration of market participant assumptions and transaction specific factors. | |||||||
Impact on Operating Results | |||||||
The results of Stream's operations have been included in Convergys' Consolidated Financial Statements since the March 3, 2014 date of acquisition. The following table provides revenue and results of operations from the acquired Stream business included in Convergys' results: | |||||||
Stream results of operations | March 3, 2014 - March 31, 2014 | ||||||
Revenues | $ | 85.6 | |||||
Income before income taxes | $ | (6.4 | ) | ||||
The following unaudited pro forma information assumes the acquisition of Stream occurred at the beginning of the Company's prior year, January 1, 2014. The unaudited pro forma information presented below is for illustrative purposes only and does not reflect future events that may occur or any operating efficiencies or inefficiencies that may result from the Stream acquisition and related financing. Additionally, this unaudited pro forma information for the three months ended March 31, 2014 includes certain one-time costs associated with the Company's integration of the acquired Stream operations. Therefore, the information is not necessarily indicative of results that would have been achieved had the business been combined during the periods presented or the results that the Company will experience going forward. | |||||||
Three Months Ended March 31, 2014 | |||||||
Unaudited pro forma information | |||||||
Revenues | $ | 777.1 | |||||
Income from Continuing Operations, net of tax | $ | 7.9 | |||||
Earnings from Continuing Operations per share | |||||||
Basic | $ | 0.08 | |||||
Diluted | $ | 0.07 | |||||
Weighted average common shares outstanding | |||||||
Basic | 101.1 | ||||||
Diluted | 107.3 | ||||||
Divestitures
Divestitures | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||
Divestitures | DIVESTITURES AND DISCONTINUED OPERATIONS | |||||||
On May 16, 2012, the Company completed the sale of its Information Management line of business to NEC Corporation. During the three months ended March 31, 2015 and 2014, the Company recorded an additional gain of $0.1 and $0.5, respectively, net of tax, as certain contingencies and tax positions related to Information Management were settled or adjusted. | ||||||||
The results of the Information Management business have been classified as discontinued operations for all periods presented. During the three months ended March 31, 2014, the Company earned $4.0 in revenue under these transition services agreements. All transition services agreements expired by the end of the June 2014 quarter, and the Company has substantially eliminated the related costs. | ||||||||
The results of the Information Management business included in discontinued operations for the three months ended March 31, 2015 and 2014 are summarized as follows: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Revenue | $ | — | $ | — | ||||
Gain on disposition | 0.2 | 0.7 | ||||||
Income before income taxes | 0.2 | 0.7 | ||||||
Income tax expense: | ||||||||
Expense related to gain on disposition | 0.1 | 0.2 | ||||||
Income from discontinued operations, net of tax | $ | 0.1 | $ | 0.5 | ||||
Earnings_Per_Share_And_Shareho
Earnings Per Share And Shareholders' Equity | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||
Earnings Per Share And Shareholders' Equity | EARNINGS PER SHARE AND SHAREHOLDERS’ EQUITY | |||||||||||||||||||||||
Earnings per Share | ||||||||||||||||||||||||
The following is a reconciliation of the numerator and denominator of the basic and diluted earnings per share (EPS) computations: | ||||||||||||||||||||||||
Continuing Operations | Discontinued Operations | Total | ||||||||||||||||||||||
Three Months Ended March 31, 2015 | Shares | Income | Per Share | Income | Per Share | Per Share | ||||||||||||||||||
Amount | Amount | Amount | ||||||||||||||||||||||
Basic EPS | 99 | $ | 39.3 | $ | 0.4 | $ | 0.1 | $ | — | $ | 0.4 | |||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||
Stock-based compensation arrangements | 0.7 | — | (0.01 | ) | — | — | (0.01 | ) | ||||||||||||||||
Convertible Debt | 5.3 | — | (0.02 | ) | — | — | (0.02 | ) | ||||||||||||||||
Diluted EPS | 105 | $ | 39.3 | $ | 0.37 | $ | 0.1 | $ | — | $ | 0.37 | |||||||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
Basic EPS | 101.1 | $ | 13.7 | $ | 0.14 | $ | 0.5 | $ | — | $ | 0.14 | |||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||
Stock-based compensation arrangements | 1.3 | — | — | — | — | — | ||||||||||||||||||
Convertible Debt | 4.9 | — | (0.01 | ) | — | — | (0.01 | ) | ||||||||||||||||
Diluted EPS | 107.3 | $ | 13.7 | $ | 0.13 | $ | 0.5 | $ | — | $ | 0.13 | |||||||||||||
The diluted EPS calculation at March 31, 2015 excludes 0.3 of performance-based restricted stock units as the minimum performance criteria has not yet been achieved, as well as 0.7 performance-based restricted stock units (0.4 and 0.3 granted in 2015 and 2014, respectively) as the performance criteria for the third year of the 2014 grants and the second and third years of the 2015 grants have not yet been fully defined, thereby precluding a mutual understanding of the terms of the stock-based awards pursuant to ASC 718. | ||||||||||||||||||||||||
As described more fully in Note 9, during 2009 the Company issued approximately $125.0 aggregate principal amount of 5.75% Junior Subordinated Convertible Debentures due 2029 (2029 Convertible Debentures). The 2029 Convertible Debentures were initially convertible, subject to certain conditions, into common shares of the Company at an initial conversion price of approximately $12.07 per share, or eighty-two and eighty-two hundredths shares per one thousand in principal amount of debentures. The conversion rate is subject to adjustment for certain events outlined in the indenture governing the debentures (the Indenture), including payment of dividends. As of March 31, 2015, the implied conversion rate for the 2029 Convertible Debentures was $11.62 per share, or eighty-six and seven hundredths shares per one thousand in principal amount of debentures. There were 5.3 dilutive shares related to the 2029 Convertible Debentures for the three months ended March 31, 2015. | ||||||||||||||||||||||||
Shareholders’ Equity | ||||||||||||||||||||||||
The Company repurchased 0.9 of its common shares during the three months ended March 31, 2015 at an average price of $21.04 per share for a total of $18.0 under current authorizations approved by the Company's Board of Directors. Based upon timing of the transactions, $0.8 of shares repurchased had not settled as of March 31, 2015. These shares are excluded from outstanding shares at the end of the current quarter and will be settled in cash during the second quarter of 2015. As of March 31, 2015, the Company had the authority to repurchase an additional $69.1 of outstanding common shares pursuant to current authorizations. | ||||||||||||||||||||||||
The Company also repurchased 0.3 shares at an average price of $23.01 for aggregate proceeds of $6.6 subsequent to March 31, 2015, through May 5, 2015. | ||||||||||||||||||||||||
Dividends | ||||||||||||||||||||||||
During 2014 and 2015, the Company's Board of Directors approved, and the Company has paid, the following dividends per common share: | ||||||||||||||||||||||||
Announcement Date | Record Date | Dividend Amount | Payment Date | |||||||||||||||||||||
November 6, 2013 | December 27, 2013 | $0.06 | January 10, 2014 | |||||||||||||||||||||
February 5, 2014 | March 21, 2014 | $0.06 | April 4, 2014 | |||||||||||||||||||||
May 12, 2014 | June 19, 2014 | $0.07 | July 3, 2014 | |||||||||||||||||||||
August 11, 2014 | September 19, 2014 | $0.07 | October 3, 2014 | |||||||||||||||||||||
November 5, 2014 | December 26, 2014 | $0.07 | January 9, 2015 | |||||||||||||||||||||
February 18, 2015 | March 20, 2015 | $0.07 | April 3, 2015 | |||||||||||||||||||||
On May 5, 2015, the Company announced that its Board of Directors declared a quarterly cash dividend of $0.08 per common share to be paid on July 2, 2015 to shareholders of record as of June 18, 2015. | ||||||||||||||||||||||||
The Board expects that future cash dividends will be paid on a quarterly basis. However, any decision to pay future cash dividends will be subject to Board approval, and will depend on the Company's future earnings, cash flow, financial condition, financial covenants and other relevant factors. |
Employee_Benefit_Plans
Employee Benefit Plans | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||
Employee Benefit Plans | EMPLOYEE BENEFIT PLANS | |||||||
The Company sponsors a frozen defined benefit pension plan, which includes both a qualified and non-qualified portion, for eligible employees in the U.S. (the Cash Balance Plan). The Company recorded a net liability of $48.8 and $69.1 as of March 31, 2015 and December 31, 2014, respectively, for the Cash Balance Plan. The Company contributed $20.0 to fund the Cash Balance Plan during the three months ended March 31, 2015. In addition, the Company sponsors unfunded defined benefit plans for certain eligible employees in the Philippines and France. The Company recorded a liability of $40.1 and $40.0 as of March 31, 2015 and December 31, 2014, respectively, for these non-U.S. pension plans. Components of pension cost for the Cash Balance and the non-U.S. pension plans are as follows: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Interest cost on projected benefit obligation | $ | 2.7 | $ | 2.7 | ||||
Service cost | 1.9 | 1.4 | ||||||
Expected return on plan assets | (2.6 | ) | (2.3 | ) | ||||
Amortization and deferrals, net | 2.7 | 2.1 | ||||||
Total cost | $ | 4.7 | $ | 3.9 | ||||
On July 25, 2013, the Company's Board of Directors authorized the Company to reinstate the Executive Deferred Compensation Plan (the EDCP), effective January 1, 2014, for eligible participants, including executive officers. This plan was previously frozen as of December 31, 2011. Under this authorization, the Company matches up to 100% of the first 3% of a participant's deferred amounts and 50% of a participant's next 2% of deferred amounts. The Company match under the EDCP is reduced by the Company match available under the Company's Retirement and Savings Plan. | ||||||||
Components of pension cost for the EDCP are as follows: | ||||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Interest cost on projected benefit obligation | $ | 0.1 | $ | 0.1 | ||||
Service cost | 0.4 | — | ||||||
Total cost | $ | 0.5 | $ | 0.1 | ||||
Restructuring_Notes
Restructuring (Notes) | 3 Months Ended |
Mar. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Activities Disclosure [Text Block] | RESTRUCTURING |
2015 Restructuring | |
During 2015, the Company recorded a severance charge of $1.0. This charge was related to actions initiated to continue the Company's efforts to refine its operating model and reduce costs. The severance charges are included in Restructuring charges on the Consolidated Statements of Income and are expected to be substantially paid in cash by March 31, 2016. The total remaining liability under these severance-related actions, which is included in Payables and other current liabilities on the Company's Consolidated Balance Sheet, was $1.0 as of March 31, 2015. | |
The Company also recorded restructuring expenses of $0.3 during the quarter related to the integration of Stream. These amounts are included in Transaction and integration costs in the Consolidated Statements of Income and are expected to be substantially paid in cash by March 31, 2016. The total remaining liability under these severance-related actions, which is included in Payables and other current liabilities on the Company's Consolidated Balance Sheets, was $0.3 as of March 31, 2015. | |
2014 Restructuring | |
During 2014, the Company recorded severance charges of $11.0 related to the elimination of certain redundant executive and non-executive positions as a result of the Company's integration of the Stream business. These amounts are included in Transaction and integration costs in the Consolidated Statements of Income and are expected to be substantially paid in cash by June 30, 2015. The total remaining liability under these severance-related actions, which is included in Payables and other current liabilities on the Company's Consolidated Balance Sheets, was $1.3 as of March 31, 2015 compared to $2.6 as of December 31, 2014. | |
During 2014, the Company also recorded a severance charge of $1.7 related to restructuring actions impacting approximately 400 employees. These actions were initiated to continue the Company's efforts to refine its operating model and reduce costs. The severance charges are included in Restructuring charges on the Consolidated Statement of Income and are expected to be substantially paid in cash by June 30, 2015. The total remaining liability under this severance-related restructuring plan, which is included in Payables and other current liabilities in the Consolidated Balance Sheets, was $0.8 as of March 31, 2015 compared to $1.3 as of December 31, 2014. |
StockBased_Compensation_Plans
Stock-Based Compensation Plans | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Share-based Compensation, Allocation and Classification in Financial Statements [Abstract] | |||||||||||||
Stock-Based Compensation Plans | STOCK-BASED COMPENSATION PLANS | ||||||||||||
The Company’s operating results for the three months ended March 31, 2015 included stock compensation expense of $4.1 compared to $3.0 for the same period in 2014. Expense in 2015 included $0.5 related to awards classified as liabilities that will ultimately settle in cash. | |||||||||||||
Stock Options | |||||||||||||
A summary of stock option activity for the three months ended March 31, 2015 is presented below: | |||||||||||||
Shares in Millions Except Per Share Amounts | Shares | Weighted | Weighted | Weighted | |||||||||
Average | Average | Average | |||||||||||
Exercise Price | Remaining | Fair Value at | |||||||||||
Contractual Term | Date of Grant | ||||||||||||
(in years) | (per share) | ||||||||||||
Options outstanding at January 1, 2015 | 0.7 | $ | 13.24 | 6.6 | $ | 3.72 | |||||||
Options exercisable at January 1, 2015 | 0.5 | $ | 13.41 | 6.5 | $ | 3.84 | |||||||
Granted | — | — | |||||||||||
Exercised | (0.1 | ) | 12.98 | ||||||||||
Forfeited | — | — | |||||||||||
Options outstanding at March 31, 2015 | 0.6 | $ | 13.27 | 6.4 | $ | 3.74 | |||||||
Options exercisable at March 31, 2015 | 0.6 | $ | 13.27 | 6.4 | $ | 3.74 | |||||||
Time-based Restricted Stock Units | |||||||||||||
During the three months ended March 31, 2015 and 2014, the Company granted 0.7 shares and 0.6 shares, respectively, of time-based restricted stock units. The weighted-average fair values of these grants were $22.10 and $20.03 per share, respectively. The 2015, 2014 and 2013 time-based grants are scheduled to vest 25% at the completion of year one after the grant date, 25% after year two and 50% after year three. | |||||||||||||
The total compensation cost related to non-vested time-based restricted stock units not yet recognized as of March 31, 2015 was approximately $25.5, which is expected to be recognized over a weighted average of 1.3 years. Changes to non-vested time-based restricted stock and restricted stock units for the three months ended March 31, 2015 were as follows: | |||||||||||||
Shares in Millions Except Per Share Amounts | Number of | Weighted | |||||||||||
Shares | Average Fair | ||||||||||||
Value at Date | |||||||||||||
of Grant | |||||||||||||
Non-vested at December 31, 2014 | 1.3 | $ | 17.66 | ||||||||||
Granted | 0.7 | 22.1 | |||||||||||
Vested | (0.4 | ) | 15.83 | ||||||||||
Forfeited | — | — | |||||||||||
Non-vested at March 31, 2015 | 1.6 | $ | 19.98 | ||||||||||
Performance-based Restricted Stock Units | |||||||||||||
During the three months ended March 31, 2015 and 2014, the Company granted 0.4 shares and 0.3 shares, respectively, of performance-based restricted stock units. The 2015 and 2014 grants provide for payout based upon the extent to which the Company achieves certain EPS targets, as determined by the Compensation and Benefits Committee of the Board of Directors, over three-year periods. Payout levels range from 50% to 200% of award shares earned. No payout can be earned if performance is below the minimum threshold level. As the targets for the third year of 2014 grants and second and third years of 2015 grants have not yet been set, the key terms have not been effectively communicated to the recipients, and as such the expense related to these grants cannot be recognized until the key terms are established. These grants have been excluded from the table below. | |||||||||||||
During the three months ended March 31, 2015, the Company established and communicated to participants the final key terms of the 2013 grant, resulting in a grant for accounting purposes with a grant date fair value of $21.84 per share. The total compensation cost related to non-vested performance-based restricted stock units not yet recognized as of March 31, 2015 was approximately $5.2, which is expected to be recognized ratably over the remaining vesting period ending in February 2016. Changes to non-vested performance-based restricted stock and restricted stock units for the three months ended March 31, 2015 were as follows: | |||||||||||||
Shares in Millions Except Per Share Amounts | Number of | Weighted | |||||||||||
Shares | Average Fair | ||||||||||||
Value at Date | |||||||||||||
of Grant | |||||||||||||
Non-vested at December 31, 2014 | — | $ | — | ||||||||||
Granted | 0.3 | 21.84 | |||||||||||
Vested | — | — | |||||||||||
Forfeited | — | — | |||||||||||
Non-vested at March 31, 2015 | 0.3 | $ | 21.84 | ||||||||||
Debt_And_Capital_Lease_Obligat
Debt And Capital Lease Obligations | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Long-term Debt and Capital Lease Obligations [Abstract] | ||||||||
Debt And Capital Lease Obligations | DEBT AND CAPITAL LEASE OBLIGATIONS | |||||||
Debt and capital lease obligations consist of the following: | ||||||||
March 31, 2015 | December 31, 2014 | |||||||
2014 Term Loan, due 2019 | $ | 261.1 | $ | 261 | ||||
2009 Convertible Debentures, due 2029 | 61 | 60.7 | ||||||
Capital Lease Obligations | 11.9 | 14.2 | ||||||
Accounts Receivable Securitization | 63 | 40 | ||||||
Total debt | 397 | 375.9 | ||||||
Less current maturities | 6.3 | 7.5 | ||||||
Long-term debt | $ | 390.7 | $ | 368.4 | ||||
Credit Facility | ||||||||
On February 28, 2014, the Company entered into a Credit Agreement establishing an unsecured credit facility in the aggregate amount of $650.0 (Credit Agreement). In connection with entering into the Credit Agreement, Convergys terminated its $300.0 Four-Year Competitive Advance and Revolving Credit Facility Agreement dated March 11, 2011 (the 2011 Credit Facility). The Credit Agreement consists of term loans (the Term Loan) in the aggregate amount of $350.0, and a revolving credit facility (the Revolving Credit Facility) in the amount of $300.0. The Company recorded the initial carrying amount of the Term Loan at $344.9, reflecting a discount of $5.1 resulting from fees paid directly to the lender at issuance. The discount will be amortized over the life of the Term Loan using the effective interest rate method (2.3% as of March 31, 2015), and is included in interest expense in the Consolidated Statements of Income. The conditions for the funding of the Term Loan and the Revolving Credit Facility were satisfied on March 3, 2014. Both mature on March 3, 2019, unless extended pursuant to the terms of the Credit Agreement. Outstanding amounts bear interest at one of the rates described in the Credit Agreement. During 2014, voluntary Term Loan principal payments of $85.0 were made by the Company. The next required principal payment is due September 30, 2017. While amounts borrowed and repaid under the Revolving Credit Facility may be re-borrowed, amounts repaid under the Term Loan may not be borrowed again under the Credit Agreement. Total borrowing capacity remaining under the Revolving Credit Facility was $300.0, with $265.0 outstanding principal on the Term Loan, as of March 31, 2015. The Credit Agreement contains certain affirmative and negative covenants, as well as other terms and conditions that are customary for credit facilities of this type, including financial covenants for leverage and interest coverage ratios. The Company was in compliance with all covenants at March 31, 2015. | ||||||||
Convertible Debentures | ||||||||
During 2009, Convergys issued a total of $125.0 aggregate principal amount of 5.75% Junior Subordinated Convertible Debentures due September 2029 (2029 Convertible Debentures) in exchange for $122.5 of 4.875% Unsecured Senior Notes (4.875% Senior Notes) due December 15, 2009, pursuant to an exchange offer. At the date of issuance, the Company recognized the liability component of the 2029 Convertible Debenture at its fair value of $56.3. The liability component is recognized as the fair value of a similar instrument that does not have a conversion feature at issuance. The equity component, which is the value of the conversion feature at issuance, was recognized as the difference between the proceeds from the issuance of the debentures and the fair value of the liability component, after adjusting for the deferred tax impact of $32.7. The 2029 Convertible Debentures were issued at a coupon rate of 5.75%, which was below that of a similar instrument that does not have a conversion feature. Therefore, the valuation of the debt component, using the income approach, resulted in a debt discount. The debt discount is being amortized over the life of a similar debt instrument without a conversion feature, which the Company determined to equal the contractual maturity of the 2029 Convertible Debentures. Amortization is based upon the effective interest rate method and is included in interest expense in the Consolidated Statements of Income. | ||||||||
The 2029 Convertible Debentures, which pay a fixed rate of interest semi-annually, have a contingent interest component that will require the Company to pay interest based on the trading price of the Debentures exceeding a specified threshold at specified times, commencing on September 15, 2019, as outlined in the Indenture. The maximum amount of contingent interest that will accrue is 0.75% per annum of the average trading price of the Debentures during the periods specified in the Indenture. The fair value of this embedded derivative was not significant at March 31, 2015 or December 31, 2014. | ||||||||
The Company is not entitled to redeem the 2029 Convertible Debentures prior to September 15, 2019. On or after September 15, 2019, the Company may redeem for cash all or part of the 2029 Convertible Debentures at par value plus accrued but unpaid interest if certain trading conditions of the Company’s common stock are satisfied. The holders of the 2029 Convertible Debentures have the option to require redemption at par value plus accrued but unpaid interest upon the occurrence of a fundamental change, a defined term in the Indenture. | ||||||||
The 2029 Convertible Debentures are convertible at the option of the holders on or after September 15, 2028 and prior to that date only under the following circumstances: (1) during any calendar quarter commencing after December 31, 2009, if the last reported sales price of the Company’s common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the preceding calendar quarter is greater than or equal to 130% of the applicable conversion price (currently $15.10) for the 2029 Convertible Debentures on each applicable trading day (hereinafter referred to as the Sales Price Condition); (2) during the five business day period after any five consecutive trading day period (the Measurement Period) in which, as determined following a request by a holder of 2029 Convertible Debentures as provided in the Indenture, the trading price per $1,000 principal amount of 2029 Convertible Debentures for each trading day of such Measurement Period was less than 98% of the product of the last reported sale price of the Company’s common shares and the applicable conversion rate for the 2029 Convertible Debentures on each such trading day; (3) if the Company elects to redeem any or all of the 2029 Convertible Debentures; or (4) upon the occurrence of specified corporate events pursuant to the terms of the Indenture. Upon conversion, the Company will pay cash up to the aggregate principal amount of the 2029 Convertible Debentures to be converted and pay or deliver, as the case may be, cash, common shares of the Company or a combination of cash and common shares of the Company, at the Company’s election, in respect of the remainder, if any, of the Company’s conversion obligation in excess of the aggregate principal amount of the 2029 Convertible Debentures being converted. | ||||||||
The 2029 Convertible Debentures were initially convertible, subject to certain conditions, into common shares of the Company at an initial conversion price of approximately $12.07 per share, or eighty-two and eighty-two hundredths shares per one thousand dollars in principal amount of debentures. As of March 31, 2015, the implied conversion rate for the 2029 Convertible Debentures was $11.62 per share, or eighty-six and seven hundredths shares per one thousand in principal amount of debentures. The conversion rate will be subject to adjustment for certain events outlined in the indenture governing the Debentures (the Indenture), including payment of dividends. The conversion rate will increase for a holder who elects to convert this Debenture in connection with certain share exchanges, mergers or consolidations involving the Company, as described in the Indenture. | ||||||||
As of April 1, 2015 and 2014, the 2029 Convertible Debentures were convertible at the option of the holders. This conversion right was triggered upon satisfaction of the Sales Price Condition (the closing price of the Company’s common shares was greater than or equal to $15.10, 130% of the conversion price of the 2029 Convertible Debentures at March 31, 2015, for at least 20 of the last 30 consecutive trading days ending on March 31, 2015). As a result, the equity component of the 2029 Convertible Debentures equal to $64.0 (the difference between the par value and carrying value of the 2029 Convertible Debentures at March 31, 2015), has been classified as temporary equity within the March 31, 2015 Consolidated Balance Sheet since this amount was considered redeemable. The Company will reassess the convertibility of the 2029 Convertible Debentures and the related balance sheet classification on a prospective basis. There have been no conversions of the 2029 Convertible Debentures through the date of this filing. | ||||||||
Based on quoted market prices at March 31, 2015, the fair value of the $125.0 aggregate principal amount of the Company’s 2029 Convertible Debentures is $269.7. | ||||||||
Asset Securitization Facility | ||||||||
During January 2014, the Company extended the terms of an asset securitization facility collateralized by accounts receivable of certain of the Company's subsidiaries, with a purchase limit of $150.0 expiring in January 2017. The asset securitization program is conducted through Convergys Funding Inc., a wholly-owned bankruptcy remote subsidiary of the Company. On March 13, 2015, the Company entered into an amendment to the Company's existing asset securitization facility to adjust the maximum Debt-to-EBITDA ratio permitted under the terms of the facility. As of March 31, 2015 and December 31, 2014, Convergys had drawn $63.0 and $40.0, respectively, in available funding from qualified receivables. Amounts have been classified under this facility as long-term debt within the Consolidated Balance Sheets. | ||||||||
At March 31, 2015, future minimum payments of the Company’s debt and capital lease arrangements (exclusive of any debt discounts) are as follows: | ||||||||
2015 | $ | 5.5 | ||||||
2016 | 3.6 | |||||||
2017 | 75.6 | |||||||
2018 | 35.6 | |||||||
2019 | 219.2 | |||||||
2020 | 0.4 | |||||||
Thereafter | 125 | |||||||
Total | $ | 464.9 | ||||||
Commitments_And_Contingencies
Commitments And Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES |
Commitments | |
At March 31, 2015, the Company had outstanding letters of credit of $25.6 and other bond obligations of $2.7 related to performance and payment guarantees. The Company believes that any guarantee obligation that may arise will not be material. The Company also has purchase commitments with telecommunications providers of $11.5 for the remainder of 2015. | |
At March 31, 2015, the Company had an outstanding performance bond obligation of $30.0 related to a performance and payment guarantee for the Company’s former HR Management line of business which was sold in 2010 to NorthgateArinso. Subsequent to completion of the sale of the HR Management business, the Company continues to be responsible for this bond obligation. As part of the gain on disposition, the Company recognized a liability equal to the present value of probability weighted cash flows of potential outcomes, a Level 3 fair value measurement. Although the buyer is obligated to indemnify the Company for any and all losses, costs, liabilities and expenses incurred related to this performance bond, as of March 31, 2015, the Company maintains a liability of $0.4 for this obligation. The Company's guarantee for this bond obligation expires in August 2016. | |
Contingencies | |
The Company from time to time is involved in various loss contingencies, including tax and legal contingencies that arise in the ordinary course of business. The Company accrues for a loss contingency when it is probable that a liability has been incurred and the amount of such loss can be reasonably estimated. At this time, the Company believes that the results of any such contingencies, either individually or in the aggregate, will not have a materially adverse effect on the Company’s results of operations or financial condition. However, the outcome of any litigation cannot be predicted with certainty. An unfavorable resolution of one or more pending matters could have a materially adverse impact on the Company’s results of operations or financial condition in the future. | |
In November 2011, one of the Company's call center clients, Hyundai Motor America (Hyundai), tendered a contractual indemnity claim to Convergys Customer Management Group Inc., a subsidiary of the Company, relating to a putative class action captioned Brandon Wheelock, individually and on behalf of a class and subclass of similarly situated individuals, v. Hyundai Motor America, Orange County Superior Court, California, Case No. 30-2011-00522293-CU-BT-CJC. The lawsuit alleges that Hyundai violated California's telephone recording laws by recording telephone calls with customer service representatives without providing a disclosure that the calls might be recorded. | |
Convergys Customer Management Group Inc. is not named as a defendant in the lawsuit, and there has been no determination as to whether Convergys Customer Management Group Inc. will be required to indemnify Hyundai. The Company believes Convergys Customer Management Group Inc. has meritorious defenses to Hyundai's demand for indemnification and also believes there are meritorious defenses to Plaintiff's claims in the lawsuit. Pursuant to a Memorandum of Understanding dated April 29, 2014, Hyundai, Plaintiff and Convergys Customer Management Group Inc. agreed in principle to settle the lawsuit. As contemplated under the agreement in principle, the three parties executed a formal settlement agreement in 2014 that is subject to approval by the Court. As a result of the agreement in principle to settle the lawsuit, the Company's accrued liability at March 31, 2015 is representative of the best estimate of the loss expected to be incurred with the resolution of Hyundai’s contractual indemnity claim. The ultimate resolution of the indemnity claim is not expected to have a material impact on the Company’s liquidity, results of operations or financial condition. |
Fair_Value_Disclosures
Fair Value Disclosures | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Disclosures | FAIR VALUE MEASUREMENTS | |||||||||||||||
U.S. GAAP defines a hierarchy which prioritizes the inputs in measuring fair value. The three levels of the fair value hierarchy are as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument; and Level 3 inputs are unobservable inputs based on the Company’s assumptions used to measure assets and liabilities at fair value. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. | ||||||||||||||||
At March 31, 2015 and December 31, 2014, the Company had foreign currency forward contracts measured at fair value on a recurring basis. The fair values of these instruments were measured using valuations based upon quoted prices for similar assets and liabilities in active markets (Level 2) and are valued by reference to similar financial instruments, adjusted for terms specific to the contracts. There were no transfers between the three levels of the fair value hierarchy during the three months ended March 31, 2015 and 2014. The assets and liabilities measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014 were as follows: | ||||||||||||||||
March 31, 2015 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Derivatives: | ||||||||||||||||
Foreign currency forward contracts (asset position) | $ | 4.7 | $ | — | $ | 4.7 | $ | — | ||||||||
Foreign currency forward contracts (liability position) | $ | 25.9 | $ | — | $ | 25.9 | $ | — | ||||||||
December 31, 2014 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Derivatives: | ||||||||||||||||
Foreign currency forward contracts (asset position) | $ | 3.3 | $ | — | $ | 3.3 | $ | — | ||||||||
Foreign currency forward contracts (liability position) | $ | 32.7 | $ | — | $ | 32.7 | $ | — | ||||||||
The Company also had investment securities held in a grantor trust for the benefit of participants of the executive deferred compensation plan measured at fair value at March 31, 2015 and December 31, 2014. The fair value of these instruments was measured using the quoted prices in active markets for identical assets (Level 1). There were no transfers between the three levels of the fair value hierarchy during the three months ended March 31, 2015 and 2014. The assets measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014 were as follows: | ||||||||||||||||
March 31, 2015 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Investment securities: | ||||||||||||||||
Mutual funds | $ | 10.1 | $ | 10.1 | $ | — | $ | — | ||||||||
Convergys common stock | 1.7 | 1.7 | — | — | ||||||||||||
Money market accounts | 0.6 | 0.6 | — | — | ||||||||||||
Total | $ | 12.4 | $ | 12.4 | $ | — | $ | — | ||||||||
December 31, 2014 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Investment securities: | ||||||||||||||||
Mutual funds | $ | 10.3 | $ | 10.3 | $ | — | $ | — | ||||||||
Convergys common stock | 2.1 | 2.1 | — | — | ||||||||||||
Money market accounts | 0.6 | 0.6 | — | — | ||||||||||||
Total | $ | 13 | $ | 13 | $ | — | $ | — | ||||||||
Financial_Instruments
Financial Instruments | 3 Months Ended | |||||||||
Mar. 31, 2015 | ||||||||||
Financial Instruments, Owned, at Fair Value [Abstract] | ||||||||||
Financial Instruments Disclosure [Text Block] | FINANCIAL INSTRUMENTS | |||||||||
Derivative Instruments | ||||||||||
The Company is exposed to a variety of market risks, including the effects of changes in foreign currency exchange rates and interest rates. Market risk is the potential loss arising from adverse changes in market rates and prices. The Company’s risk management strategy includes the use of derivative instruments to reduce the effects on its operating results and cash flows from fluctuations caused by volatility in currency exchange rates. | ||||||||||
The Company serves many of its U.S.-based clients using contact center capacity in various countries such as the Philippines, India, Canada, China, Malaysia, Costa Rica, Colombia, Dominican Republic, El Salvador, Nicaragua and Honduras. Although the contracts with these clients are typically priced in U.S. dollars, a substantial portion of the costs incurred to deliver services under these contracts are denominated in the local currency of the country where services are provided, which represents a foreign exchange exposure. The Company has hedged a portion of its exposure related to the anticipated cash flow requirements denominated in these foreign currencies by entering into forward exchange contracts and options with several financial institutions to acquire a total of PHP 39,036.0 at a fixed price of $883.2 at various dates through December 2017, INR 9,731.0 at a fixed price of $146.3 at various dates through December 2017 and CAD 32.9 at a fixed price of $27.4 at various dates through December 2016. These instruments mature within the next 33 months and had a notional value of $1,056.9 at March 31, 2015 and $1,131.7 at December 31, 2014. The derivative instruments discussed above are designated and effective as cash flow hedges. The following table reflects the fair values of these derivative instruments: | ||||||||||
March 31, 2015 | December 31, 2014 | |||||||||
Forward exchange contracts and options designated as hedging instruments: | ||||||||||
Included within other current assets | $ | 2.6 | $ | 1.7 | ||||||
Included within other non-current assets | 1.3 | 1.3 | ||||||||
Included within other current liabilities | 17.7 | 21.4 | ||||||||
Included within other long-term liabilities | 8.2 | 11.3 | ||||||||
The Company recorded a deferred tax benefit of $8.4 and $11.3 related to these derivatives at March 31, 2015 and December 31, 2014, respectively. A total of $13.6 and $18.3 of deferred losses, net of tax, related to these cash flow hedges at March 31, 2015 and December 31, 2014, respectively, were included in accumulated other comprehensive income (loss) (OCI). As of March 31, 2015, deferred losses of $15.1 ($9.3 net of tax), on derivative instruments included in accumulated OCI are expected to be reclassified into earnings during the next twelve months. The following table provides the effect of these derivative instruments on the Company’s Consolidated Financial Statements for the three months ended March 31, 2015 and 2014: | ||||||||||
Gain (Loss) | (Loss) Gain | Location of (Loss) Gain Reclassified | ||||||||
Recognized in OCI | Reclassified from | from Accumulated OCI into Income | ||||||||
on Derivative | Accumulated OCI | (Effective Portion) | ||||||||
(Effective Portion) | into Income | |||||||||
(Effective Portion) | ||||||||||
Three Months Ended March 31, 2015 | ||||||||||
Foreign exchange contracts | $ | 3.9 | $ | (3.7 | ) | - Cost of providing services and products sold and Selling, general and administrative | ||||
Three Months Ended March 31, 2014 | ||||||||||
Foreign exchange contracts | $ | (5.9 | ) | $ | (5.8 | ) | - Cost of providing services and products sold and Selling, general and administrative | |||
The amount recognized related to the ineffective portion of the derivative instruments was not material for the three months ended March 31, 2015 and 2014. | ||||||||||
The Company also enters into derivative instruments (forwards) to economically hedge the foreign currency impact of assets and liabilities denominated in nonfunctional currencies. The Company recorded a net gain of $2.4 and a net loss of $1.8 during the three months ended March 31, 2015 and 2014, respectively, related to changes in fair value of these derivative instruments not designated as hedges. The gains and losses largely offset the currency gains and losses that resulted from changes in the assets and liabilities denominated in nonfunctional currencies. These gains and losses are classified within other income (expense), net in the accompanying Consolidated Statements of Income. The fair value of these derivative instruments not designated as hedges at March 31, 2015 was a $0.8 receivable. | ||||||||||
The aggregate fair value of derivative instruments designated as hedges in a liability position on March 31, 2015 is $25.9. | ||||||||||
Short-Term Investments | ||||||||||
In December 2011, the Company made investments in certain securities, included within Short-term investments in the Consolidated Balance Sheets, which are held in a grantor trust for the benefit of participants of the executive deferred compensation plan. This investment reflects the hypothetical investment balances of plan participants. As of March 31, 2015, the Company maintained investment securities with a fair value of $12.4 classified as trading securities. The investment securities include exchange-traded mutual funds, common stock of the Company and money market accounts. These securities are carried at fair value, with gains and losses, both realized and unrealized, reported in other income, net in the Consolidated Statements of Income. The cost of securities sold is based upon the specific identification method. Interest and dividends on securities classified as trading are included in other income, net. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Components of Income Tax Expense (Benefit), Continuing Operations [Abstract] | |
Income Taxes | INCOME TAXES |
The effective tax rate on net income from continuing operations was 17.1% for the three months ended March 31, 2015 compared to 14.9% in the same period last year. The change in the effective tax rate for the period ended March 31, 2015 is primarily due to a shift in the geographic mix of worldwide income and certain discrete items, primarily driven by transaction costs incurred during the three months ended March 31, 2014, that did not recur during 2015. | |
The effective tax rate for the three months ended March 31, 2014 was impacted by a $1.5 net tax benefit associated with the repatriation of certain foreign earnings. This included $4.8 of tax benefit for the difference between tax previously accrued on foreign earnings and estimated taxes payable on the ultimate repatriation of such earnings, along with an additional $3.3 of income tax expense related to 2014 foreign earnings that contributed to the funding of the Stream acquisition. | |
The liability for unrecognized tax benefits was $59.0 and $59.9 at March 31, 2015 and December 31, 2014, respectively, and is included in other long-term liabilities in the accompanying Consolidated Balance Sheets. As of March 31, 2015, the total amount of unrecognized tax benefits that would affect income tax expense if recognized in the Consolidated Financial Statements is $51.2. This amount includes interest and penalties of $22.3. It is reasonably possible that the total amount of unrecognized tax benefits will decrease between approximately $15.0 and $30.0 in the next twelve months; however, actual developments in this area could differ from those currently expected. |
Goodwill_And_Other_Intangible_
Goodwill And Other Intangible Assets | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||
Goodwill And Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE AND LONG-LIVED ASSETS | |||||||||||
Goodwill and Intangible Assets | ||||||||||||
Goodwill was $836.1 at March 31, 2015 compared to $850.7 at December 31, 2014. This decrease was primarily due to foreign currency translation. The Company tests goodwill for impairment annually as of October 1 and at other times if events have occurred or circumstances exist that indicate the carrying value of goodwill may no longer be recoverable. Goodwill impairment testing is performed at the reporting unit level. The Company's reporting units are Customer Management - Agent Services and Customer Management - Customer Interaction Technology (CIT). As of March 31, 2015 and December 31, 2014, all goodwill was held by the Customer Management - Agent Services reporting unit. | ||||||||||||
The impairment test for goodwill involves a two-step process. The first step compares the fair value of a reporting unit with its carrying amount, including the goodwill allocated to each reporting unit. If the carrying amount is in excess of the fair value, the second step requires the comparison of the implied fair value of the reporting unit goodwill with the carrying amount of the reporting unit goodwill. Any excess of the carrying value of the reporting unit goodwill over the implied fair value of the reporting unit goodwill will be recorded as an impairment loss. Fair value of the reporting units is determined using a combination of the market approach and the income approach. Under the market approach, fair value is based on actual stock price or transaction prices of comparable companies. Under the income approach, value is dependent on the present value of net cash flows to be derived from the ownership. | ||||||||||||
Intangible assets decreased to $344.8 at March 31, 2015 from $361.7 at December 31, 2014, primarily due to amortization and foreign currency translation. As of March 31, 2015, the Company’s total identifiable intangible assets consisted of the following: | ||||||||||||
Gross Carrying | Accumulated | Net | ||||||||||
Value | Amortization | |||||||||||
Software (classified with Property and Equipment, net) | $ | 41.3 | $ | (35.7 | ) | $ | 5.6 | |||||
Trademarks | 26.1 | (14.3 | ) | 11.8 | ||||||||
Customer relationships and other intangibles | 459.5 | (132.1 | ) | 327.4 | ||||||||
Total | $ | 526.9 | $ | (182.1 | ) | $ | 344.8 | |||||
The intangible assets are being amortized using the following amortizable lives: 4 years for trademarks, 8 years for software and 1 to 17 years for customer relationships and other intangibles. The remaining weighted average depreciation period for software is approximately 1 year. The remaining weighted average amortization period for trademarks, customer relationships and other intangibles is approximately 15 years. Amortization of software is included within depreciation expense as the underlying assets are classified within property, plant and equipment. | ||||||||||||
Trademarks, customer relationships, and other intangibles amortization expense was $7.0 and $3.4 for the three months ended March 31, 2015 and 2014, respectively, and is estimated to be approximately $27.5 for the year ended December 31, 2015. The related estimated expense for the five subsequent years ended December 31 is as follows: | ||||||||||||
2016 | $ | 27 | ||||||||||
2017 | 27 | |||||||||||
2018 | 23 | |||||||||||
2019 | 22 | |||||||||||
2020 | 21 | |||||||||||
Thereafter | 199 | |||||||||||
Payables_And_Other_Current_Lia
Payables And Other Current Liabilities | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Accounts Payable and Accrued Liabilities, Current [Abstract] | ||||||||
Payables And Other Current Liabilities | PAYABLES AND OTHER CURRENT LIABILITIES | |||||||
At March 31, 2015 | At December 31, 2014 | |||||||
Accounts payable | $ | 55.1 | $ | 40.1 | ||||
Deferred tax liability | 0.6 | 0.6 | ||||||
Accrued income and other taxes | 45.8 | 34.6 | ||||||
Accrued payroll-related expenses | 148.7 | 156.4 | ||||||
Derivative liabilities | 17.7 | 21.4 | ||||||
Accrued expenses, other | 80.1 | 84.5 | ||||||
Deferred revenue and government grants | 17.5 | 19.5 | ||||||
Restructuring and severance costs | 3.4 | 3.9 | ||||||
$ | 368.9 | $ | 361 | |||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income/(Loss) (Notes) | 3 Months Ended | |||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Text Block] | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||
The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive income (loss): | ||||||||||||||||||
Changes in Accumulated Other Comprehensive Income (Loss) by Component | ||||||||||||||||||
Foreign Currency | Derivative Financial Instruments | Pension Liability | Total | |||||||||||||||
Balance at December 31, 2013 | $ | 35.1 | $ | (22.5 | ) | $ | (32.1 | ) | $ | (19.5 | ) | |||||||
Other comprehensive income (loss) before reclassifications, net of tax | 0.5 | (3.8 | ) | — | (3.3 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 3.6 | 1.1 | 4.7 | ||||||||||||||
Net current-period other comprehensive income (loss) | 0.5 | (0.2 | ) | 1.1 | 1.4 | |||||||||||||
Balance at March 31, 2014 | $ | 35.6 | $ | (22.7 | ) | $ | (31.0 | ) | $ | (18.1 | ) | |||||||
Balance at December 31, 2014 | $ | (1.1 | ) | $ | (18.3 | ) | $ | (47.3 | ) | $ | (66.7 | ) | ||||||
Other comprehensive (loss) income before reclassifications, net of tax | (28.9 | ) | 2.4 | — | (26.5 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 2.3 | 1.6 | 3.9 | ||||||||||||||
Net current-period other comprehensive (loss) income | (28.9 | ) | 4.7 | 1.6 | (22.6 | ) | ||||||||||||
Balance at March 31, 2015 | $ | (30.0 | ) | $ | (13.6 | ) | $ | (45.7 | ) | $ | (89.3 | ) | ||||||
The following table summarizes the reclassifications out of accumulated other comprehensive income (loss): | ||||||||||||||||||
Reclassifications from Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||
Details about Accumulated Other Comprehensive Income (Loss) Components | Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | Affected Line Item in the Consolidated Statements of Income | ||||||||||||||||
Three Months Ended March 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||
Loss on derivative instruments | $ | (3.7 | ) | $ | (5.8 | ) | Cost of providing services and products sold and Selling, general and administrative | |||||||||||
Tax benefit | 1.4 | 2.2 | Income tax expense | |||||||||||||||
Loss on derivative instruments, net of tax | (2.3 | ) | (3.6 | ) | Income from Continuing Operations, net of tax | |||||||||||||
Adjustment of pension and other post employment obligations | (2.5 | ) | (1.8 | ) | Selling, general and administrative | |||||||||||||
Tax benefit | 0.9 | 0.7 | Income tax expense | |||||||||||||||
Adjustment of pension and other post employment obligations, net of tax | (1.6 | ) | (1.1 | ) | Income from Continuing Operations, net of tax | |||||||||||||
Total reclassifications for the period | $ | (3.9 | ) | $ | (4.7 | ) |
Business_Combinations_Business1
Business Combinations Business Combinations (Tables) | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Business Combinations [Abstract] | |||||||
Business Combination, Purchase Price Consideration [Table Text Block] | The purchase price of Stream consisted of the following items: | ||||||
Cash consideration for Stream stock (1) | $ | 481 | |||||
Cash consideration for Stream stock options (2) | 16.1 | ||||||
Cash consideration for repayment of Stream 11.25% Senior Secured Notes (3) | 243 | ||||||
Cash consideration for repayment of Stream 10.0% Promissory Notes (4) | 19.3 | ||||||
Cash consideration for repayment of Stream Revolving Credit Facility (5) | 63.4 | ||||||
Cash consideration for transaction expenses of Stream (6) | 7.8 | ||||||
Total cash consideration | 830.6 | ||||||
Cash acquired (7) | (28.0 | ) | |||||
Net consideration transferred | $ | 802.6 | |||||
-1 | The cash consideration for the outstanding shares of Stream's common stock, which includes final settlement for working capital. Stream outstanding common shares totaled 0.7 as of March 3, 2014. | ||||||
-2 | The cash consideration paid per share of "in the money" stock option awards. | ||||||
-3 | The cash consideration to repay Stream's 11.25% Senior Secured Notes due 2014, which reflects the aggregate principal and interest amounts of $230.0 and $13.0, respectively, as of March 3, 2014. | ||||||
-4 | The cash consideration to repay Stream's 10.0% Promissory Notes, which reflects the aggregate principal and interest amounts of $16.1 and $3.2, respectively, as of March 3, 2014. | ||||||
-5 | The cash consideration to repay Stream's Revolving Credit Facility, which reflects the aggregate principal and interest amounts of $63.1 and $0.3, respectively, as of March 3, 2014. | ||||||
-6 | Pursuant to the Merger Agreement, Convergys reimbursed the holders of Stream common stock for expenses incurred by Stream in connection with the merger. These expenses primarily related to third-party consulting services. | ||||||
-7 | Represents the Stream cash balance acquired at acquisition. | ||||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | The following table summarizes the assets acquired and liabilities assumed at the date of acquisition: | ||||||
Purchase price allocation | At March 3, 2014 | ||||||
Assets: | |||||||
Receivables | $ | 197.9 | |||||
Other current assets | 13.5 | ||||||
Property and equipment | 159.3 | ||||||
Goodwill | 276.5 | ||||||
Intangible assets | 370.4 | ||||||
Other assets | 7.9 | ||||||
Liabilities: | |||||||
Accounts payable | (12.3 | ) | |||||
Accrued expenses | (100.3 | ) | |||||
Other current liabilities | (3.6 | ) | |||||
Debt | (34.6 | ) | |||||
Deferred tax - net | (59.4 | ) | |||||
Other long-term liabilities | (12.7 | ) | |||||
Total purchase price | $ | 802.6 | |||||
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | The following details the total intangible assets identified: | ||||||
Intangible asset type | Value | Life (years) | |||||
Customer relationship | $ | 352 | 17 | ||||
Trade name | 17 | 4 | |||||
Favorable lease contract | 1.4 | 1 | - | 7 | |||
Total | $ | 370.4 | |||||
Results of Stream Operations [Table Text Block] | The following table provides revenue and results of operations from the acquired Stream business included in Convergys' results: | ||||||
Stream results of operations | March 3, 2014 - March 31, 2014 | ||||||
Revenues | $ | 85.6 | |||||
Income before income taxes | $ | (6.4 | ) | ||||
Business Acquisition, Pro Forma Information [Table Text Block] | The following unaudited pro forma information assumes the acquisition of Stream occurred at the beginning of the Company's prior year, January 1, 2014. The unaudited pro forma information presented below is for illustrative purposes only and does not reflect future events that may occur or any operating efficiencies or inefficiencies that may result from the Stream acquisition and related financing. Additionally, this unaudited pro forma information for the three months ended March 31, 2014 includes certain one-time costs associated with the Company's integration of the acquired Stream operations. Therefore, the information is not necessarily indicative of results that would have been achieved had the business been combined during the periods presented or the results that the Company will experience going forward. | ||||||
Three Months Ended March 31, 2014 | |||||||
Unaudited pro forma information | |||||||
Revenues | $ | 777.1 | |||||
Income from Continuing Operations, net of tax | $ | 7.9 | |||||
Earnings from Continuing Operations per share | |||||||
Basic | $ | 0.08 | |||||
Diluted | $ | 0.07 | |||||
Weighted average common shares outstanding | |||||||
Basic | 101.1 | ||||||
Diluted | 107.3 | ||||||
The following unaudited pro forma information assumes the acquisition of Stream occurred at the beginning of the Company's prior year, January 1, 2014. The unaudited pro forma information presented below is for illustrative purposes only and does not reflect future events that may occur or any operating efficiencies or inefficiencies that may result from the Stream acquisition and related financing. Additionally, this unaudited pro forma information for the three months ended March 31, 2014 includes certain one-time costs associated with the Company's integration of the acquired Stream operations. Therefore, the information is not necessarily indicative of results that would have been achieved had the business been combined during the periods presented or the results that the Company will experience going forward. | |||||||
Three Months Ended March 31, 2014 | |||||||
Unaudited pro forma information | |||||||
Revenues | $ | 777.1 | |||||
Income from Continuing Operations, net of tax | $ | 7.9 | |||||
Earnings from Continuing Operations per share | |||||||
Basic | $ | 0.08 | |||||
Diluted | $ | 0.07 | |||||
Weighted average common shares outstanding | |||||||
Basic | 101.1 | ||||||
Diluted | 107.3 | ||||||
Divestitures_Tables
Divestitures (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||
Schedule Of Results Included In Discontinued Operations | The results of the Information Management business included in discontinued operations for the three months ended March 31, 2015 and 2014 are summarized as follows: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Revenue | $ | — | $ | — | ||||
Gain on disposition | 0.2 | 0.7 | ||||||
Income before income taxes | 0.2 | 0.7 | ||||||
Income tax expense: | ||||||||
Expense related to gain on disposition | 0.1 | 0.2 | ||||||
Income from discontinued operations, net of tax | $ | 0.1 | $ | 0.5 | ||||
Earnings_Per_Share_And_Shareho1
Earnings Per Share And Shareholders' Equity (Tables) | 3 Months Ended | |||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||
Schedule Of Reconciliation Of The Numerator And Denominator Of The Basic And Diluted Earnings (Loss) Per Share (EPS) Computations | The following is a reconciliation of the numerator and denominator of the basic and diluted earnings per share (EPS) computations: | |||||||||||||||||||||||
Continuing Operations | Discontinued Operations | Total | ||||||||||||||||||||||
Three Months Ended March 31, 2015 | Shares | Income | Per Share | Income | Per Share | Per Share | ||||||||||||||||||
Amount | Amount | Amount | ||||||||||||||||||||||
Basic EPS | 99 | $ | 39.3 | $ | 0.4 | $ | 0.1 | $ | — | $ | 0.4 | |||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||
Stock-based compensation arrangements | 0.7 | — | (0.01 | ) | — | — | (0.01 | ) | ||||||||||||||||
Convertible Debt | 5.3 | — | (0.02 | ) | — | — | (0.02 | ) | ||||||||||||||||
Diluted EPS | 105 | $ | 39.3 | $ | 0.37 | $ | 0.1 | $ | — | $ | 0.37 | |||||||||||||
Three Months Ended March 31, 2014 | ||||||||||||||||||||||||
Basic EPS | 101.1 | $ | 13.7 | $ | 0.14 | $ | 0.5 | $ | — | $ | 0.14 | |||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||
Stock-based compensation arrangements | 1.3 | — | — | — | — | — | ||||||||||||||||||
Convertible Debt | 4.9 | — | (0.01 | ) | — | — | (0.01 | ) | ||||||||||||||||
Diluted EPS | 107.3 | $ | 13.7 | $ | 0.13 | $ | 0.5 | $ | — | $ | 0.13 | |||||||||||||
Schedule of Dividends Declared and Paid [Table Text Block] | During 2014 and 2015, the Company's Board of Directors approved, and the Company has paid, the following dividends per common share: | |||||||||||||||||||||||
Announcement Date | Record Date | Dividend Amount | Payment Date | |||||||||||||||||||||
November 6, 2013 | December 27, 2013 | $0.06 | January 10, 2014 | |||||||||||||||||||||
February 5, 2014 | March 21, 2014 | $0.06 | April 4, 2014 | |||||||||||||||||||||
May 12, 2014 | June 19, 2014 | $0.07 | July 3, 2014 | |||||||||||||||||||||
August 11, 2014 | September 19, 2014 | $0.07 | October 3, 2014 | |||||||||||||||||||||
November 5, 2014 | December 26, 2014 | $0.07 | January 9, 2015 | |||||||||||||||||||||
February 18, 2015 | March 20, 2015 | $0.07 | April 3, 2015 |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Pension Plan [Member] | ||||||||
Schedule Of Components Of Pension Cost | Components of pension cost for the Cash Balance and the non-U.S. pension plans are as follows: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Interest cost on projected benefit obligation | $ | 2.7 | $ | 2.7 | ||||
Service cost | 1.9 | 1.4 | ||||||
Expected return on plan assets | (2.6 | ) | (2.3 | ) | ||||
Amortization and deferrals, net | 2.7 | 2.1 | ||||||
Total cost | $ | 4.7 | $ | 3.9 | ||||
Unfunded Executive Pension Plans [Member] | ||||||||
Schedule Of Components Of Pension Cost | Components of pension cost for the EDCP are as follows: | |||||||
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Interest cost on projected benefit obligation | $ | 0.1 | $ | 0.1 | ||||
Service cost | 0.4 | — | ||||||
Total cost | $ | 0.5 | $ | 0.1 | ||||
StockBased_Compensation_Plans_
Stock-Based Compensation Plans (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of stock option activity for the three months ended March 31, 2015 is presented below: | ||||||||||||
Shares in Millions Except Per Share Amounts | Shares | Weighted | Weighted | Weighted | |||||||||
Average | Average | Average | |||||||||||
Exercise Price | Remaining | Fair Value at | |||||||||||
Contractual Term | Date of Grant | ||||||||||||
(in years) | (per share) | ||||||||||||
Options outstanding at January 1, 2015 | 0.7 | $ | 13.24 | 6.6 | $ | 3.72 | |||||||
Options exercisable at January 1, 2015 | 0.5 | $ | 13.41 | 6.5 | $ | 3.84 | |||||||
Granted | — | — | |||||||||||
Exercised | (0.1 | ) | 12.98 | ||||||||||
Forfeited | — | — | |||||||||||
Options outstanding at March 31, 2015 | 0.6 | $ | 13.27 | 6.4 | $ | 3.74 | |||||||
Options exercisable at March 31, 2015 | 0.6 | $ | 13.27 | 6.4 | $ | 3.74 | |||||||
Time-Based Restricted Stock [Member] | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | Changes to non-vested time-based restricted stock and restricted stock units for the three months ended March 31, 2015 were as follows: | ||||||||||||
Shares in Millions Except Per Share Amounts | Number of | Weighted | |||||||||||
Shares | Average Fair | ||||||||||||
Value at Date | |||||||||||||
of Grant | |||||||||||||
Non-vested at December 31, 2014 | 1.3 | $ | 17.66 | ||||||||||
Granted | 0.7 | 22.1 | |||||||||||
Vested | (0.4 | ) | 15.83 | ||||||||||
Forfeited | — | — | |||||||||||
Non-vested at March 31, 2015 | 1.6 | $ | 19.98 | ||||||||||
Performance Shares [Member] | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | Changes to non-vested performance-based restricted stock and restricted stock units for the three months ended March 31, 2015 were as follows: | ||||||||||||
Shares in Millions Except Per Share Amounts | Number of | Weighted | |||||||||||
Shares | Average Fair | ||||||||||||
Value at Date | |||||||||||||
of Grant | |||||||||||||
Non-vested at December 31, 2014 | — | $ | — | ||||||||||
Granted | 0.3 | 21.84 | |||||||||||
Vested | — | — | |||||||||||
Forfeited | — | — | |||||||||||
Non-vested at March 31, 2015 | 0.3 | $ | 21.84 | ||||||||||
StockBased_Compensation_Plans_1
Stock-Based Compensation Plans Schedule of Nonvested Restricted Stock Units Activity (Tables) | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Time-Based Restricted Stock [Member] | |||||||
Schedule of Nonvested Restricted Stock Units Activity [Abstract] | |||||||
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | Changes to non-vested time-based restricted stock and restricted stock units for the three months ended March 31, 2015 were as follows: | ||||||
Shares in Millions Except Per Share Amounts | Number of | Weighted | |||||
Shares | Average Fair | ||||||
Value at Date | |||||||
of Grant | |||||||
Non-vested at December 31, 2014 | 1.3 | $ | 17.66 | ||||
Granted | 0.7 | 22.1 | |||||
Vested | (0.4 | ) | 15.83 | ||||
Forfeited | — | — | |||||
Non-vested at March 31, 2015 | 1.6 | $ | 19.98 | ||||
Performance Shares [Member] | |||||||
Schedule of Nonvested Restricted Stock Units Activity [Abstract] | |||||||
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | Changes to non-vested performance-based restricted stock and restricted stock units for the three months ended March 31, 2015 were as follows: | ||||||
Shares in Millions Except Per Share Amounts | Number of | Weighted | |||||
Shares | Average Fair | ||||||
Value at Date | |||||||
of Grant | |||||||
Non-vested at December 31, 2014 | — | $ | — | ||||
Granted | 0.3 | 21.84 | |||||
Vested | — | — | |||||
Forfeited | — | — | |||||
Non-vested at March 31, 2015 | 0.3 | $ | 21.84 | ||||
Debt_And_Capital_Lease_Obligat1
Debt And Capital Lease Obligations (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Instruments [Abstract] | ||||||||
Schedule Of Debt And Capital Lease Obligations | Debt and capital lease obligations consist of the following: | |||||||
March 31, 2015 | December 31, 2014 | |||||||
2014 Term Loan, due 2019 | $ | 261.1 | $ | 261 | ||||
2009 Convertible Debentures, due 2029 | 61 | 60.7 | ||||||
Capital Lease Obligations | 11.9 | 14.2 | ||||||
Accounts Receivable Securitization | 63 | 40 | ||||||
Total debt | 397 | 375.9 | ||||||
Less current maturities | 6.3 | 7.5 | ||||||
Long-term debt | $ | 390.7 | $ | 368.4 | ||||
Schedule of Maturities of Long-term Debt [Table Text Block] | At March 31, 2015, future minimum payments of the Company’s debt and capital lease arrangements (exclusive of any debt discounts) are as follows: | |||||||
2015 | $ | 5.5 | ||||||
2016 | 3.6 | |||||||
2017 | 75.6 | |||||||
2018 | 35.6 | |||||||
2019 | 219.2 | |||||||
2020 | 0.4 | |||||||
Thereafter | 125 | |||||||
Total | $ | 464.9 | ||||||
Fair_Value_Disclosures_Tables
Fair Value Disclosures (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The assets and liabilities measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014 were as follows: | |||||||||||||||
March 31, 2015 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Derivatives: | ||||||||||||||||
Foreign currency forward contracts (asset position) | $ | 4.7 | $ | — | $ | 4.7 | $ | — | ||||||||
Foreign currency forward contracts (liability position) | $ | 25.9 | $ | — | $ | 25.9 | $ | — | ||||||||
December 31, 2014 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Derivatives: | ||||||||||||||||
Foreign currency forward contracts (asset position) | $ | 3.3 | $ | — | $ | 3.3 | $ | — | ||||||||
Foreign currency forward contracts (liability position) | $ | 32.7 | $ | — | $ | 32.7 | $ | — | ||||||||
Investments [Member] | ||||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The assets measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014 were as follows: | |||||||||||||||
March 31, 2015 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Investment securities: | ||||||||||||||||
Mutual funds | $ | 10.1 | $ | 10.1 | $ | — | $ | — | ||||||||
Convergys common stock | 1.7 | 1.7 | — | — | ||||||||||||
Money market accounts | 0.6 | 0.6 | — | — | ||||||||||||
Total | $ | 12.4 | $ | 12.4 | $ | — | $ | — | ||||||||
December 31, 2014 | Quoted Prices | Significant | Significant | |||||||||||||
In Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | (Level 3) | ||||||||||||||
(Level 1) | (Level 2) | |||||||||||||||
Investment securities: | ||||||||||||||||
Mutual funds | $ | 10.3 | $ | 10.3 | $ | — | $ | — | ||||||||
Convergys common stock | 2.1 | 2.1 | — | — | ||||||||||||
Money market accounts | 0.6 | 0.6 | — | — | ||||||||||||
Total | $ | 13 | $ | 13 | $ | — | $ | — | ||||||||
Financial_Instruments_Tables
Financial Instruments (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Financial Instruments, Owned, at Fair Value [Abstract] | ||||||||
Fair Value Of Derivative Instruments | The following table reflects the fair values of these derivative instruments: | |||||||
March 31, 2015 | December 31, 2014 | |||||||
Forward exchange contracts and options designated as hedging instruments: | ||||||||
Included within other current assets | $ | 2.6 | $ | 1.7 | ||||
Included within other non-current assets | 1.3 | 1.3 | ||||||
Included within other current liabilities | 17.7 | 21.4 | ||||||
Included within other long-term liabilities | 8.2 | 11.3 | ||||||
Financial_Instruments_Derivati
Financial Instruments Derivative Instruments Gain (Loss) (Tables) | 3 Months Ended | |||||||||
Mar. 31, 2015 | ||||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||||||
Derivative Instruments, Gain (Loss) [Table Text Block] | The following table provides the effect of these derivative instruments on the Company’s Consolidated Financial Statements for the three months ended March 31, 2015 and 2014: | |||||||||
Gain (Loss) | (Loss) Gain | Location of (Loss) Gain Reclassified | ||||||||
Recognized in OCI | Reclassified from | from Accumulated OCI into Income | ||||||||
on Derivative | Accumulated OCI | (Effective Portion) | ||||||||
(Effective Portion) | into Income | |||||||||
(Effective Portion) | ||||||||||
Three Months Ended March 31, 2015 | ||||||||||
Foreign exchange contracts | $ | 3.9 | $ | (3.7 | ) | - Cost of providing services and products sold and Selling, general and administrative | ||||
Three Months Ended March 31, 2014 | ||||||||||
Foreign exchange contracts | $ | (5.9 | ) | $ | (5.8 | ) | - Cost of providing services and products sold and Selling, general and administrative |
Goodwill_And_Other_Intangible_1
Goodwill And Other Intangible Assets (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||
Schedule Of Total Intangible Assets Primarily Acquired Through Business Combinations | As of March 31, 2015, the Company’s total identifiable intangible assets consisted of the following: | |||||||||||
Gross Carrying | Accumulated | Net | ||||||||||
Value | Amortization | |||||||||||
Software (classified with Property and Equipment, net) | $ | 41.3 | $ | (35.7 | ) | $ | 5.6 | |||||
Trademarks | 26.1 | (14.3 | ) | 11.8 | ||||||||
Customer relationships and other intangibles | 459.5 | (132.1 | ) | 327.4 | ||||||||
Total | $ | 526.9 | $ | (182.1 | ) | $ | 344.8 | |||||
Schedule Of Estimated Amortization Expense | The related estimated expense for the five subsequent years ended December 31 is as follows: | |||||||||||
2016 | $ | 27 | ||||||||||
2017 | 27 | |||||||||||
2018 | 23 | |||||||||||
2019 | 22 | |||||||||||
2020 | 21 | |||||||||||
Thereafter | 199 | |||||||||||
Payables_And_Other_Current_Lia1
Payables And Other Current Liabilities (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Accounts Payable and Accrued Liabilities, Current [Abstract] | ||||||||
Schedule Of Payables And Other Current Liabilities | ||||||||
At March 31, 2015 | At December 31, 2014 | |||||||
Accounts payable | $ | 55.1 | $ | 40.1 | ||||
Deferred tax liability | 0.6 | 0.6 | ||||||
Accrued income and other taxes | 45.8 | 34.6 | ||||||
Accrued payroll-related expenses | 148.7 | 156.4 | ||||||
Derivative liabilities | 17.7 | 21.4 | ||||||
Accrued expenses, other | 80.1 | 84.5 | ||||||
Deferred revenue and government grants | 17.5 | 19.5 | ||||||
Restructuring and severance costs | 3.4 | 3.9 | ||||||
$ | 368.9 | $ | 361 | |||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income/(Loss) (Tables) | 3 Months Ended | |||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive income (loss): | |||||||||||||||||
Changes in Accumulated Other Comprehensive Income (Loss) by Component | ||||||||||||||||||
Foreign Currency | Derivative Financial Instruments | Pension Liability | Total | |||||||||||||||
Balance at December 31, 2013 | $ | 35.1 | $ | (22.5 | ) | $ | (32.1 | ) | $ | (19.5 | ) | |||||||
Other comprehensive income (loss) before reclassifications, net of tax | 0.5 | (3.8 | ) | — | (3.3 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 3.6 | 1.1 | 4.7 | ||||||||||||||
Net current-period other comprehensive income (loss) | 0.5 | (0.2 | ) | 1.1 | 1.4 | |||||||||||||
Balance at March 31, 2014 | $ | 35.6 | $ | (22.7 | ) | $ | (31.0 | ) | $ | (18.1 | ) | |||||||
Balance at December 31, 2014 | $ | (1.1 | ) | $ | (18.3 | ) | $ | (47.3 | ) | $ | (66.7 | ) | ||||||
Other comprehensive (loss) income before reclassifications, net of tax | (28.9 | ) | 2.4 | — | (26.5 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 2.3 | 1.6 | 3.9 | ||||||||||||||
Net current-period other comprehensive (loss) income | (28.9 | ) | 4.7 | 1.6 | (22.6 | ) | ||||||||||||
Balance at March 31, 2015 | $ | (30.0 | ) | $ | (13.6 | ) | $ | (45.7 | ) | $ | (89.3 | ) | ||||||
The following table summarizes the reclassifications out of accumulated other comprehensive income (loss): | ||||||||||||||||||
Reclassifications from Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||
Details about Accumulated Other Comprehensive Income (Loss) Components | Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | Affected Line Item in the Consolidated Statements of Income | ||||||||||||||||
Three Months Ended March 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||
Loss on derivative instruments | $ | (3.7 | ) | $ | (5.8 | ) | Cost of providing services and products sold and Selling, general and administrative | |||||||||||
Tax benefit | 1.4 | 2.2 | Income tax expense | |||||||||||||||
Loss on derivative instruments, net of tax | (2.3 | ) | (3.6 | ) | Income from Continuing Operations, net of tax | |||||||||||||
Adjustment of pension and other post employment obligations | (2.5 | ) | (1.8 | ) | Selling, general and administrative | |||||||||||||
Tax benefit | 0.9 | 0.7 | Income tax expense | |||||||||||||||
Adjustment of pension and other post employment obligations, net of tax | (1.6 | ) | (1.1 | ) | Income from Continuing Operations, net of tax | |||||||||||||
Total reclassifications for the period | $ | (3.9 | ) | $ | (4.7 | ) |
Background_And_Basis_Of_Presen1
Background And Basis Of Presentation (Details) (USD $) | 1 Months Ended | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 03, 2014 |
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | $0.20 | $0.70 | ||
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 0.1 | 0.5 | ||
Business Acquisition, Transaction Costs | 14.7 | |||
Number of Countries in which Entity Operates | 31 | |||
Payments to Acquire Businesses, Net of Cash Acquired | 802.6 | 0 | -804.5 | |
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $85.60 | $239.40 | $85.60 | |
Number of Employees, Total [Member] | ||||
Number of employees added in business acquisition | 125,000 | 40,000 | ||
Geographical [Domain] | ||||
Number of Countries in which Entity Operates | 22 |
Business_Combinations_Business2
Business Combinations Business Combinations (Narrative) (Details) (USD $) | 1 Months Ended | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 03, 2014 |
Business Acquisition [Line Items] | ||||
Fair Value Inputs, Discount Rate | 11.00% | |||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 0.7 | |||
Payments to Acquire Businesses, Net of Cash Acquired | $802.60 | $0 | ($804.50) | |
Senior Notes | 230 | |||
Interest Payable, Current | 13 | |||
Business Acquisition, Transaction Costs | 14.7 | |||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 85.6 | 239.4 | 85.6 | |
Business Acquisition, Effective Date of Acquisition | 3-Mar-14 | |||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | -6.4 | |||
2014 Term Loan [Member] | ||||
Business Acquisition [Line Items] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | 350 | |||
2014 Revolving Credit Facility [Member] | ||||
Business Acquisition [Line Items] | ||||
Line of Credit Facility, Maximum Borrowing Capacity | 300 | 300 | ||
Convertible Debt [Member] | ||||
Business Acquisition [Line Items] | ||||
Repayments of Convertible Debt | 16.1 | |||
Interest Paid | 3.2 | |||
Revolving Credit Facility [Member] | ||||
Business Acquisition [Line Items] | ||||
Interest Paid | 0.3 | |||
Repayments of Lines of Credit | $63.10 |
Business_Combinations_Business3
Business Combinations Business Combinations (Purchase Price Allocation Table) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 03, 2014 |
In Millions, unless otherwise specified | |||
Preliminary Purchase Price Allocation [Abstract] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Receivables | $197.90 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other | 13.5 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 159.3 | ||
Goodwill | 836.1 | 850.7 | 276.5 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 370.4 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets | 7.9 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable | -12.3 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities | -100.3 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | -3.6 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Long-term Debt | -34.6 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities Noncurrent | -59.4 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | -12.7 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $802.60 |
Business_Combinations_Business4
Business Combinations Business Combinations (Intangible Assets Identified) (Details) (USD $) | 1 Months Ended | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 03, 2014 |
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value Inputs, Discount Rate | 11.00% | ||
Finite-Lived Intangible Assets, Gross | $526.90 | ||
Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 459.5 | ||
Finite-Lived Customer Relationships, Gross | 352 | ||
Trade Names [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Trade Names, Gross | 17 | ||
Trademarks [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 26.1 | ||
Finite-Lived Intangible Asset, Useful Life | 4 years | ||
Off-Market Favorable Lease [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Off-market Lease, Favorable, Gross | 1.4 | ||
Stream Acquisition [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | $370.40 | ||
Minimum [Member] | Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Minimum [Member] | Contract-Based Intangible Assets [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Maximum [Member] | Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 17 years | ||
Maximum [Member] | Trademarks [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 4 years | ||
Maximum [Member] | Contract-Based Intangible Assets [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 7 years |
Business_Combinations_Business5
Business Combinations Business Combinations (Unaudited Pro forma Information) (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Unaudited Pro forma Information [Abstract] | ||
Business Acquisition, Pro Forma Information [Abstract] | $777.10 | |
Business Acquisition, Pro Forma Net Income (Loss) | $7.90 | |
Business Acquisition, Pro Forma Earnings Per Share, Basic | $0.08 | |
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $0.07 | |
Weighted Average Number of Shares Outstanding, Basic | 99 | 101.1 |
Weighted Average Number of Shares Outstanding, Diluted | 105 | 107.3 |
Business_Combinations_Business6
Business Combinations Business Combinations (Consideration Transferred) (Details) (USD $) | 1 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | |
Business Combination, Purchase Price Consideration [Line Items] | ||
Payments to Acquire Businesses, Gross | $830.60 | |
Cash Acquired from Acquisition | -28 | [1] |
Business Combination, Consideration Transferred, Including Equity Interest in Acquiree Held Prior to Combination | 802.6 | |
Common Class A [Member] | ||
Business Combination, Purchase Price Consideration [Line Items] | ||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | 481 | [2] |
Stock Option Awards [Member] | ||
Business Combination, Purchase Price Consideration [Line Items] | ||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | 16.1 | [3] |
Senior Notes [Member] | ||
Business Combination, Purchase Price Consideration [Line Items] | ||
Business Combination, Consideration Transferred, Liabilities Incurred | 243 | [4] |
Convertible Debt [Member] | ||
Business Combination, Purchase Price Consideration [Line Items] | ||
Business Combination, Consideration Transferred, Liabilities Incurred | 19.3 | [5] |
Revolving Credit Facility [Member] | ||
Business Combination, Purchase Price Consideration [Line Items] | ||
Business Combination, Consideration Transferred, Liabilities Incurred | 63.4 | [6] |
Acquisition-related Costs [Member] | ||
Business Combination, Purchase Price Consideration [Line Items] | ||
Business Combination, Consideration Transferred, Liabilities Incurred | $7.80 | [7] |
[1] | Represents the Stream cash balance acquired at acquisition. | |
[2] | The cash consideration for the outstanding shares of Stream's common stock, which includes final settlement for working capital. Stream outstanding common shares totaled 0.7 as of March 3, 2014. | |
[3] | The cash consideration paid per share of "in the money" stock option awards. | |
[4] | The cash consideration to repay Stream's 11.25% Senior Secured Notes due 2014, which reflects the aggregate principal and interest amounts of $230.0 and $13.0, respectively, as of March 3, 2014. | |
[5] | The cash consideration to repay Stream's 10.0% Promissory Notes, which reflects the aggregate principal and interest amounts of $16.1 and $3.2, respectively, as of March 3, 2014. | |
[6] | The cash consideration to repay Stream's Revolving Credit Facility, which reflects the aggregate principal and interest amounts of $63.1 and $0.3, respectively, as of March 3, 2014. | |
[7] | Pursuant to the Merger Agreement, Convergys reimbursed the holders of Stream common stock for expenses incurred by Stream in connection with the merger. These expenses primarily related to third-party consulting services. |
Divestitures_Narrative_Details
Divestitures (Narrative) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | $0.20 | $0.70 |
Federal, state and foreign income tax obligation | 0.1 | 0.2 |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 0.1 | 0.5 |
Transition Services Revenue | $4 |
Divestitures_Schedule_Of_Resul
Divestitures (Schedule Of Results Included In Discontinued Operations) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Revenue | $0 | $0 |
Gain on disposition, before tax | 0.2 | 0.7 |
Income before income taxes | 0.2 | 0.7 |
Tax expense related to gain on disposition | 0.1 | 0.2 |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | $0.10 | $0.50 |
Earnings_Per_Share_And_Shareho2
Earnings Per Share And Shareholders' Equity (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2009 |
Incremental Common Shares Attributable to Conversion of Debt Securities | 5.3 | 4.9 | ||
Stock Repurchased During Period, Shares | 0.3 | 0.9 | ||
Repurchase of shares, average price per share | $23.01 | $21.04 | ||
Stock Repurchased During Period, Value | $6.60 | $18 | ||
Stock repurchased but not settled in cash | 0.8 | |||
Remaining Authorized Repurchase Amount | 69.1 | |||
Common Stock, Dividends, Per Share, Declared | $0.08 | $0.07 | $0.06 | |
Restricted Stock Units (RSUs) [Member] | 2014 Performance grants [Domain] | ||||
Antidilutive securities excluded from diluted EPS | 0.3 | |||
Restricted Stock Units (RSUs) [Member] | 2013 Performance grants [Domain] | ||||
Antidilutive securities excluded from diluted EPS | 0.3 | |||
Restricted Stock Units (RSUs) [Member] | 2015 Performance grants [Domain] | ||||
Antidilutive securities excluded from diluted EPS | 0.4 | |||
5.75% Junior Subordinated Convertible Debentures [Member] | ||||
Aggregate principal amount convertible debentures | $125 | |||
Interest rate on unsecured senior notes | 5.75% | |||
Junior subordinated convertible debentures convertible conversion price | $11.62 | $12.07 | ||
Maturity date | 15-Sep-29 | |||
Junior subordinated convertible debentures convertible equity instruments in conversion | 86.07 | 82.82 | ||
Debt Instrument, Convertible, Terms of Conversion Feature | 1000 | 1000 | ||
Performance Shares [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Antidilutive securities excluded from diluted EPS | 0.7 |
Earnings_Per_Share_And_Shareho3
Earnings Per Share And Shareholders' Equity (Schedule Of Reconciliation Of The Numerator And Denominator Of The Basic And Diluted Earnings (Loss) Per Share (EPS) Computations) (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share | ||
Basic | 99 | 101.1 |
Stock-based compensation arrangements | 0.7 | 1.3 |
Convertible Debt, Share | 5.3 | 4.9 |
Diluted EPS | 105 | 107.3 |
Income (Loss) from continuing operations | $39.30 | $13.70 |
Income from continuing operations, Diluted EPS | 39.3 | 13.7 |
Income (loss) from continuing operations, per basic share | $0.40 | $0.14 |
Stock-based compensation arrangements continuing operations, per share | ($0.01) | $0 |
Convertible debt, continuing operations, per share | ($0.02) | ($0.01) |
Income (loss) from continuing operations, per diluted share | $0.37 | $0.13 |
Income (Loss) from Discontinued Operations, net of tax | 0.1 | 0.5 |
Income (loss) from discontinued operations, Diluted EPS | $0.10 | $0.50 |
Income (loss) from discontinued operations, per basic share | $0 | $0 |
Stock-based compensation arrangements discontinued operations, per share | $0 | $0 |
Convertible Debt, Discontinued Operations, Per Share | $0 | $0 |
Income (loss) from discontinued operations, per diluted share | $0 | $0 |
Basic Earnings per Common Share | $0.40 | $0.14 |
Stock-based compensation arrangements, per share | ($0.01) | $0 |
Convertible debt, per share | ($0.02) | ($0.01) |
Diluted Earnings per Common Share | $0.37 | $0.13 |
Earnings_Per_Share_And_Shareho4
Earnings Per Share And Shareholders' Equity Earnings Per Share And Shareholders' Equity (Schedule of Dividends Declared and Paid) (Details) (USD $) | 3 Months Ended | |||||
Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | |
Schedule of Dividends Declared and Paid [Line Items] | ||||||
Common Stock, Dividends, Per Share, Cash Paid | $0.07 | $0.07 | $0.07 | $0.07 | $0.06 | $0.06 |
Employee_Benefit_Plans_Narrati
Employee Benefit Plans (Narrative) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Trading Securities, Fair Value Disclosure | $12.40 | |
Defined Benefit Plan, Contributions by Employer | 20 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | ||
Liabilities related to defined benefit pension plan | 48.8 | 69.1 |
Foreign Pension Plans, Defined Benefit [Member] | ||
Liabilities related to defined benefit pension plan | $40.10 | $40 |
100% [Domain] | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 100.00% | |
50% [Domain] | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 50.00% | |
3% [Domain] | ||
Defined Contribution Plan, Contributions by Employee | 3.00% | |
2% [Domain] | ||
Defined Contribution Plan, Contributions by Employee | 2.00% |
Employee_Benefit_Plans_Schedul
Employee Benefit Plans (Schedule Of Components Of Pension Cost) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Pension Plan [Member] | ||
Interest cost on projected benefit obligation | $2.70 | $2.70 |
Service cost | 1.9 | 1.4 |
Expected return on plan assets | -2.6 | -2.3 |
Amortization and deferrals - net | 2.7 | 2.1 |
Pension cost | 4.7 | 3.9 |
Unfunded Executive Pension Plans [Member] | ||
Interest cost on projected benefit obligation | 0.1 | 0.1 |
Service cost | 0.4 | 0 |
Pension cost | $0.50 | $0.10 |
Restructuring_Details
Restructuring (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Dec. 31, 2014 |
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | $11 | ||
Restructuring Reserve | 1.3 | 2.6 | |
2015 Restructure Plan [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 1 | ||
Restructuring Reserve | 1 | ||
2014 Restructuring Plan [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 1.7 | ||
Employees affected | 400 | ||
Restructuring Reserve | 0.8 | 1.3 | |
Business Acquisition, Acquiree 2015 [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance Costs | 0.3 | ||
Business Acquisition, Acquiree 2015 [Member] | 2013 Restructuring Plan [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | $0.30 |
StockBased_Compensation_Plans_2
Stock-Based Compensation Plans (Narrative) (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Stock compensation expense | $4.10 | $3 |
Awards settled in cash [Member] | ||
Stock compensation expense | 0.5 | |
Performance Shares [Member] | ||
Granted, shares | 0.4 | 0.3 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $21.84 | |
Performance Shares [Member] | Maximum [Member] | ||
Payout range | 200.00% | |
Performance Shares [Member] | Minimum [Member] | ||
Payout range | 50.00% | |
Performance Based Restricted Stock [Member] | ||
Total unrecognized compensation cost related to non-vested restricted stock and restricted stock units | 5.2 | |
Time-Based Restricted Stock [Member] | ||
Granted, shares | 0.7 | 0.6 |
Total unrecognized compensation cost related to non-vested restricted stock and restricted stock units | $25.50 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $22.10 | $20.03 |
Weighted average recognition period (in years) | 1 year 3 months 18 days | |
2013 Performance grants [Domain] | Performance Based Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $21.84 | |
Performance-based grants that provide for payout contingent upon certain EPS targets [Member] | 2013 Performance grants [Domain] | ||
Granted, shares | 0.3 |
StockBased_Compensation_Plans_3
Stock-Based Compensation Plans (Summary Of Stock Option Activity) (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Outstanding, beginning balance, shares | 0.7 | |
Outstanding, beginning balance, weighted average exercise price | $13.24 | |
Outstanding, beginning balance weighted average remaining contractual term | 6 years 4 months 24 days | 6 years 7 months 6 days |
Outstanding, beginning balance, weighted average fair value at date of grant | $3.74 | $3.72 |
Exercisable, beginning balance, shares | 0.5 | |
Exercisable, beginning balance, weighted average exercise price | $13.41 | |
Exercisable, beginning balance, weighted average remaining contractual term | 6 years 4 months 24 days | 6 years 6 months |
Exercisable, beginning balance, weighted average fair value at grant date | $3.84 | |
Granted, shares | 0 | |
Exercised, shares | -0.1 | |
Forfeited/cancelled, shares | 0 | |
Outstanding, ending balance, shares | 0.6 | 0.7 |
Outstanding, ending balance, weighted average exercise price | $13.27 | $13.24 |
Outstanding, ending balance weighted average remaining contractual term | 6 years 4 months 24 days | 6 years 7 months 6 days |
Outstanding, ending balance, weighted average fair value at date of grant | $3.74 | $3.72 |
Exercisable, ending balance, shares | 0.6 | 0.5 |
Exercisable, ending balance, weighted average exercise price | $13.27 | $13.41 |
Exercisable, ending balance, weighted average remaining contractual term | 6 years 4 months 24 days | 6 years 6 months |
Exercisable, ending balance, weighted average fair value at grant date | $3.74 | $3.84 |
Share Based Compensation Arrangements by Share Based Payment Award Options Exercised in Period Weighted Average Exercise Price | $12.98 |
StockBased_Compensation_Plans_4
Stock-Based Compensation Plans (Time-Based Restricted Stock Units) (Details) (Time-Based Restricted Stock [Member], USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Time-Based Restricted Stock [Member] | ||
Non-vested, beginning balance, shares | 1.3 | |
Granted, shares | 0.7 | 0.6 |
Vested, shares | -0.4 | |
Forfeited, shares | 0 | |
Non-vested, ending balance, shares | 1.6 | |
Non-vested, beginning balance, weighted average fair value at date of grant | $17.66 | |
Granted, weighted average fair value at date of grant | $22.10 | $20.03 |
Vested, weighted average fair value at date of grant | $15.83 | |
Forfeited, weighted average fair value at date of grant | $0 | |
Non-vested, ending balance, weighted average fair value at date of grant | $19.98 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $25.50 |
StockBased_Compensation_Plans_5
Stock-Based Compensation Plans (Performance-Based Restricted Stock-Units) (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Performance Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 0.4 | 0.3 |
Non-vested, beginning balance, shares | 0 | |
Granted, shares | 0.3 | |
Vested, shares | 0 | |
Forfeited, shares | 0 | |
Non-vested, ending balance, shares | 0.3 | |
Non-vested, beginning balance, weighted average fair value at date of grant | $0 | |
Granted, weighted average fair value at date of grant | $21.84 | |
Vested, weighted average fair value at date of grant | $0 | |
Forfeited, weighted average fair value at date of grant | $0 | |
Non-vested, ending balance, weighted average fair value at date of grant | $21.84 | |
Performance Based Restricted Stock [Member] | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $5.20 | |
Minimum [Member] | Performance Shares [Member] | ||
Share Based Compensation Award Target Percentage Rate | 50.00% | |
Maximum [Member] | Performance Shares [Member] | ||
Share Based Compensation Award Target Percentage Rate | 200.00% |
Debt_And_Capital_Lease_Obligat2
Debt And Capital Lease Obligations (Revolving Credit Facility) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Mar. 03, 2014 | Mar. 11, 2013 |
Senior Notes | $230 | ||||
Line of Credit Facility, Amount Outstanding | 261.1 | 261 | |||
Interest Payable, Current | 13 | ||||
Repayments of Debt | 85 | ||||
Proceeds from (Repayments of) Debt | 0 | 344.9 | 344.9 | ||
Debt Instrument, Unamortized Discount | 5.1 | ||||
2011 Credit Facility [Member] | |||||
Line of credit, maximum borrowing capacity | 300 | ||||
2014 Term Loan [Member] | |||||
Line of Credit Facility, Amount Outstanding | 265 | ||||
Line of credit, maximum borrowing capacity | 350 | ||||
2014 Revolving Credit Facility [Member] | |||||
Line of credit, maximum borrowing capacity | 300 | 300 | |||
2014 Credit Facility [Member] | |||||
Line of Credit Facility, Expiration Date | 3-Mar-19 | ||||
Line of credit, maximum borrowing capacity | $650 |
Debt_And_Capital_Lease_Obligat3
Debt And Capital Lease Obligations Debt And Captial Lease Obligations (Convertible Debentures) (Details) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2009 | Mar. 31, 2014 | Dec. 31, 2014 |
Debt Instrument | ||||
Accounts Receivable Securitization | $63 | $40 | ||
Debt Instrument, Interest Rate, Basis for Effective Rate | 0.023 | |||
Temporary Equity, Par Value | 64 | 64.3 | ||
Debt Instrument, Convertible, Threshold Trading Days | 20 | |||
Debt Instrument, Convertible, Threshold Consecutive Trading Days | 30 days | |||
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger | 130.00% | |||
Debt Instrument, Convertible, Stock Price Trigger | $15.10 | |||
Maximum percentage of debenture trading price | 98.00% | |||
Contingent Interest | 0.0075 | |||
Deferred tax impact on convertible debt | 275.5 | 275.6 | ||
Convertible Debt [Member] | ||||
Debt Instrument | ||||
Debt Instrument, Convertible, Conversion Price | $11.62 | $12.07 | ||
Debt Instrument, Convertible, Conversion Ratio | 86.07 | 82.82 | ||
Debt Instrument, Convertible, Terms of Conversion Feature | 1000 | 1000 | ||
Debt Instrument, Face Amount | 125 | |||
Debt Instrument, Interest Rate, Stated Percentage | 5.75% | |||
Debt Instrument, Maturity Date | 15-Sep-29 | |||
5.75% Junior Subordinated Convertible Debentures [Member] | ||||
Debt Instrument | ||||
Debt Instrument, Convertible, Conversion Price | $12.07 | |||
Debt Instrument, Convertible, Conversion Ratio | 82.82 | |||
Debt Instrument, Convertible, Terms of Conversion Feature | 1000 | |||
Debt Instrument, Face Amount | 125 | |||
Debt Instrument, Interest Rate, Stated Percentage | 5.75% | |||
Debt Instrument, Maturity Date | 15-Sep-29 | |||
Liability component of convertible debt recognized at issuance | 0 | 56.3 | ||
Deferred tax impact on convertible debt | 32.7 | |||
4.875% Unsecured Senior Notes [Member] | ||||
Debt Instrument | ||||
Extinguishment of Debt, Amount | $122.50 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.88% | |||
Debt Instrument, Maturity Date | 15-Dec-09 |
Debt_And_Capital_Lease_Obligat4
Debt And Capital Lease Obligations Debt And Capital Lease Obligations (Other) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Debt Instrument | ||
Asset Securitization Facility | $150 | |
Asset Securitization Facility, Expiration Date | Jan-17 | |
Accounts Receivable Securitization | $63 | $40 |
Debt_And_Capital_Lease_Obligat5
Debt And Capital Lease Obligations (Schedule Of Debt And Capital Lease Obligations) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 03, 2014 |
In Millions, unless otherwise specified | |||
Debt Instrument | |||
Senior Notes | $230 | ||
Line of Credit Facility, Amount Outstanding | 261.1 | 261 | |
2029 Convertible debt | 61 | 60.7 | |
Capital Lease Obligations | 11.9 | 14.2 | |
Asset Securitization Facility | 63 | 40 | |
Debt and Capital Lease Obligations | 397 | 375.9 | |
Less current maturities | 6.3 | 7.5 | |
Long-term debt | $390.70 | $368.40 |
Debt_And_Capital_Lease_Obligat6
Debt And Capital Lease Obligations (Schedule Of Future Minimum Payments) (Details) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Long-term Debt and Capital Lease Obligations [Abstract] | |
Remainder of 2015 | $5.50 |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months 2016 | 3.6 |
Long-term Debt, Maturities, Repayments of Principal in Year Two 2017 | 75.6 |
Long-term Debt, Maturities, Repayments of Principal in Year Three 2018 | 35.6 |
Long-term Debt, Maturities, Repayments of Principal in Year Four 2019 | 219.2 |
Long-term Debt, Maturities, Repayments of Principal in Year Four 2020 | 0.4 |
Long-term Debt, Maturities, Repayments of Principal after Year Five | 125 |
Total | $464.90 |
Commitments_And_Contingencies_
Commitments And Contingencies (Details) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Letters of credit outstanding amount | $25.60 |
Guarantee | 2.7 |
Purchase Commitments | 11.5 |
HRM Performance Bond Obligations [Member] | |
Guarantee | 30 |
Liability of obligations | $0.40 |
Fair_Value_Disclosures_Details
Fair Value Disclosures (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Estimate Of Fair Value, Fair Value Disclosure [Member] | ||
Foreign currency forward contracts (asset position) | $4.70 | $3.30 |
Foreign currency forward contracts (liability position) | 25.9 | 32.7 |
Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | ||
Foreign currency forward contracts (asset position) | 0 | 0 |
Foreign currency forward contracts (liability position) | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Foreign currency forward contracts (asset position) | 4.7 | 3.3 |
Foreign currency forward contracts (liability position) | 25.9 | 32.7 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Foreign currency forward contracts (asset position) | 0 | 0 |
Foreign currency forward contracts (liability position) | 0 | 0 |
Equity Funds [Member] | ||
Assets, Fair Value Disclosure | 10.1 | 10.3 |
Equity Funds [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | ||
Assets, Fair Value Disclosure | 10.1 | 10.3 |
Equity Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Equity Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Common Stock [Member] | ||
Assets, Fair Value Disclosure | 1.7 | 2.1 |
Common Stock [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | ||
Assets, Fair Value Disclosure | 1.7 | 2.1 |
Common Stock [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Common Stock [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Money Market Funds [Member] | ||
Assets, Fair Value Disclosure | 0.6 | 0.6 |
Money Market Funds [Member] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | ||
Assets, Fair Value Disclosure | 0.6 | 0.6 |
Money Market Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Money Market Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Investment Securities Class [Domain] | ||
Assets, Fair Value Disclosure | 12.4 | 13 |
Investment Securities Class [Domain] | Quoted Prices In Active Markets For Identical Assets (Level 1) [Member] | ||
Assets, Fair Value Disclosure | 12.4 | 13 |
Investment Securities Class [Domain] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Investment Securities Class [Domain] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets, Fair Value Disclosure | $0 | $0 |
Financial_Instruments_Narrativ
Financial Instruments (Narrative) (Details) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 |
Derivatives | ||||
Derivative instruments maturity period (in months) | 33 months | |||
Derivative, Notional Amount | $1,056.90 | $1,131.70 | ||
Deferred tax expense (benefit) | -8.4 | -11.3 | ||
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | -13.6 | -22.7 | -18.3 | -22.5 |
Other Comprehensive Income (Loss), Reclassification Adjustment on Derivatives Included in Net Income, before Tax | -15.1 | |||
Deferred gain on derivative instruments reclassified from OCI to earnings during next twelve months, net of tax | -9.3 | |||
Derivative Instruments Not Designated as Hedging Instruments, Loss | 2.4 | -1.8 | ||
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments at Fair Value, Net | 0.8 | |||
Aggregate fair value of derivative instruments in liability positions | 25.9 | |||
Trading Securities | 12.4 | |||
Interest-bearing deposits, fair value | 12.4 | 13 | ||
Foreign Currency Derivative Purchase Contract [Domain] | Forward Contracts PHP [Member] | ||||
Derivatives | ||||
Derivative, Notional Amount | 39,036 | |||
Foreign Currency Derivative Purchase Contract [Domain] | Forward Contracts INR [Member] | ||||
Derivatives | ||||
Derivative, Notional Amount | 9,731 | |||
Foreign Currency Derivative Purchase Contract [Domain] | Forward Contracts CAD [Member] | ||||
Derivatives | ||||
Derivative, Notional Amount | 32.9 | |||
Cash Flow Hedging [Member] | Forward Contracts PHP [Member] | ||||
Derivatives | ||||
Derivative, Notional Amount | 883.2 | |||
Cash Flow Hedging [Member] | Forward Contracts INR [Member] | ||||
Derivatives | ||||
Derivative, Notional Amount | 146.3 | |||
Cash Flow Hedging [Member] | Forward Contracts CAD [Member] | ||||
Derivatives | ||||
Derivative, Notional Amount | $27.40 |
Financial_Instruments_Fair_Val
Financial Instruments (Fair Value of Derivative Instruments) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Other Current Assets [Member] | ||
Forward exchange contracts and options designated as hedging instruments, assets | $2.60 | $1.70 |
Other Assets [Member] | ||
Forward exchange contracts and options designated as hedging instruments, assets | 1.3 | 1.3 |
Other Current Liabilities [Member] | ||
Forward exchange contracts and options designated as hedging instruments, liabilities | 17.7 | 21.4 |
Other Liabilities [Member] | ||
Forward exchange contracts and options designated as hedging instruments, liabilities | $8.20 | $11.30 |
Financial_Instruments_Effect_O
Financial Instruments (Effect Of Derivative Instruments On Consolidated Financial Statements) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments, Gain (Loss) | ||
Derivative Instruments, Gain Reclassified from Accumulated OCI into Income, Effective Portion | ($5.80) | |
Operating Expense [Member] | ||
Derivative Instruments, Gain (Loss) | ||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 3.9 | -5.9 |
Derivative Instruments, Gain Reclassified from Accumulated OCI into Income, Effective Portion | ($3.70) | ($5.80) |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Liability for unrecognized tax benefits | $59 | $59.90 | |
Unrecognized tax benefits that would affect income tax expense | 51.2 | ||
Interest and penalties share in unrecognized tax benefits | 22.3 | ||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Lower Bound | 15 | ||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Upper Bound | 30 | ||
Effective tax rate on net income from continuing operations | 17.10% | 14.90% | |
Income tax expense | 8.1 | 2.4 | |
Income (loss) from continuing opations before income taxes | 47.4 | 16.1 | |
Net tax benefit on foreign earnings [Member] | |||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | 1.5 | ||
Tax benefit on foreign earnings [Member] | |||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | 4.8 | ||
Income tax expense on foreign earnings [Member] | |||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | $3.30 |
Goodwill_And_Other_Intangible_2
Goodwill And Other Intangible Assets (Narrative) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Mar. 03, 2014 |
Business Acquisition, Transaction Costs | $14.70 | |||||
Payments to Acquire Businesses, Net of Cash Acquired | 802.6 | 0 | -804.5 | |||
Goodwill, net | 836.1 | 850.7 | 276.5 | |||
Intangible assets, net | 344.8 | 361.7 | ||||
Amortization | 7 | 3.4 | 27.5 | |||
Software [Member] | ||||||
Intangible assets, net | 5.6 | |||||
Intangible assets, useful life | 8 years | |||||
Weighted average depreciation period | 1 year | |||||
Trademarks [Member] | ||||||
Intangible assets, net | 11.8 | |||||
Intangible assets, useful life | 4 years | |||||
Customer Relationships And Other Intangibles [Member] | ||||||
Intangible assets, net | $327.40 | |||||
Other Intangible Assets [Member] | ||||||
Weighted average amortization period | 15 years | |||||
Minimum [Member] | Customer Relationships And Other Intangibles [Member] | ||||||
Intangible assets, useful life | 1 year | |||||
Maximum [Member] | Trademarks [Member] | ||||||
Intangible assets, useful life | 4 years | |||||
Maximum [Member] | Customer Relationships And Other Intangibles [Member] | ||||||
Intangible assets, useful life | 17 years |
Goodwill_And_Other_Intangible_3
Goodwill And Other Intangible Assets (Schedule Of Total Intangible Assets Primarily Acquired Through Business Combinations) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Gross Carrying Value | $526.90 | |
Accumulated Amortization | -182.1 | |
Intangible assets, net | 344.8 | 361.7 |
Software [Member] | ||
Gross Carrying Value | 41.3 | |
Accumulated Amortization | -35.7 | |
Intangible assets, net | 5.6 | |
Trademarks [Member] | ||
Gross Carrying Value | 26.1 | |
Accumulated Amortization | -14.3 | |
Intangible assets, net | 11.8 | |
Customer Relationships And Other Intangibles [Member] | ||
Gross Carrying Value | 459.5 | |
Accumulated Amortization | -132.1 | |
Intangible assets, net | $327.40 |
Goodwill_And_Other_Intangible_4
Goodwill And Other Intangible Assets (Schedule Of Estimated Amortization Expense) (Details) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2016 | $27 |
2017 | 27 |
2018 | 23 |
2019 | 22 |
2020 | 21 |
Thereafter | $199 |
Payables_And_Other_Current_Lia2
Payables And Other Current Liabilities (Schedule Of Payables And Other Current Liabilities) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Accounts Payable and Accrued Liabilities, Current [Abstract] | ||
Accounts payable | $55.10 | $40.10 |
Deferred Tax Liabilities, Net, Current | 0.6 | 0.6 |
Accrued income and other taxes | 45.8 | 34.6 |
Accrued payroll-related expenses | 148.7 | 156.4 |
Derivative liabilities | 17.7 | 21.4 |
Accrued expenses, other | 80.1 | 84.5 |
Deferred revenue and government grants | 17.5 | 19.5 |
Restructuring and exit costs | 3.4 | 3.9 |
Payables and other current liabilities | $368.90 | $361 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income/(Loss) (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | ($1.10) | $35.10 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | -28.9 | 0.5 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment Realized upon Sale or Liquidation, Net of Tax | 0 | 0 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent | -28.9 | 0.5 |
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | -30 | 35.6 |
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | -18.3 | -22.5 |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 2.4 | -3.8 |
Other Comprehensive Income (Loss), Reclassification Adjustment on Derivatives Included in Net Income, Net of Tax | 2.3 | 3.6 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 4.7 | -0.2 |
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | -13.6 | -22.7 |
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | -47.3 | -32.1 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, before Reclassification Adjustments, Net of Tax | 0 | 0 |
Other Comprehensive Income (Loss), Reclassification Adjustment on Pension and Other Post Retirement Obligations included in Net Income, Net of Tax | 1.1 | |
Other Comprehensive Income (Loss), Reclassification, Pension and Other Postretirement Benefit Plans, Net Gain (Loss) Recognized in Net Periodic Benefit Cost, Net of Tax | 1.6 | 1.1 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 1.6 | 1.1 |
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | -45.7 | -31 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | -66.7 | -19.5 |
Other comprehensive income (loss) before relclassification | -26.5 | -3.3 |
Amounts reclassified from accumulated other comprehensive income | 3.9 | 4.7 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | -22.6 | 1.4 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | ($89.30) | ($18.10) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income/(Loss) Reclassifications out of Accumulated Other Comprehensive Income (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Other Comprehensive Income (Loss), Reclassification Adjustment on Derivatives Included in Net Income, before Tax | $5.80 | |
Other Comprehensive Income (Loss), Reclassification Adjustment on Derivatives Included in Net Income, Tax | -2.2 | |
Other Comprehensive Income (Loss), Reclassification Adjustment on Derivatives Included in Net Income, Net of Tax | -2.3 | -3.6 |
Other Comprehensive Income (Loss), Reclassification Adjustment on Pension and Other Post Retirement Obligations included in Net Income, before Tax | -1.8 | |
Other Comprehensive Income (Loss), Reclassification Adjustment on Pension and Other Post Retirement Obligations included in Net Income, Tax | 0.7 | |
Other Comprehensive Income (Loss), Reclassification Adjustment on Pension and Other Post Retirement Obligations included in Net Income, Net of Tax | -1.1 | |
Amounts Reclassified from Accumulated Other Comprehensive Income, Net of Tax | ($4.70) |