Document and Entity Information
Document and Entity Information | 6 Months Ended |
Mar. 31, 2016shares | |
Document and Entity Information [Abstract] | |
Entity Registrant Name | EDGEWELL PERSONAL CARE COMPANY |
Entity Central Index Key | 1,096,752 |
Current Fiscal Year End Date | --09-30 |
Entity Filer Category | Large Accelerated Filer |
Trading Symbol | EPC |
Document Type | 10-Q |
Document Period End Date | Mar. 31, 2016 |
Document Fiscal Year Focus | 2,016 |
Document Fiscal Period Focus | Q2 |
Amendment Flag | false |
Entity Common Stock, Shares Outstanding | 59,358,529 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Earnings and Comprehensive Income (Loss) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement [Abstract] | ||||
Net sales | $ 611.2 | $ 651.1 | $ 1,106.3 | $ 1,188.2 |
Cost of products sold | 300.1 | 316.8 | 567.7 | 597.1 |
Gross profit | 311.1 | 334.3 | 538.6 | 591.1 |
Selling, general and administrative expense | 99.7 | 149.2 | 200.1 | 282.7 |
Advertising and sales promotion expense | 85 | 78.4 | 131.6 | 129.1 |
Research and development expense | 16.7 | 16 | 32.7 | 31.7 |
Venezuela deconsolidation charge | 0 | 79.3 | 0 | 79.3 |
Spin restructuring charges | 0 | 22.8 | 0 | 24 |
2013 restructuring charges | 5 | 6.6 | 23.5 | 15.8 |
Industrial sale charges | 0.2 | 0 | 0.2 | 0 |
Interest expense | 17.8 | 28.1 | 35.5 | 55.9 |
Other income, net | (4.6) | (1.3) | (7) | (1.7) |
Earnings (loss) from continuing operations before income taxes | 91.3 | (44.8) | 122 | (25.7) |
Income tax provision | 25.2 | 9.8 | 32.2 | 9 |
Earnings (loss) from continuing operations | 66.1 | (54.6) | 89.8 | (34.7) |
(Loss) earnings from discontinued operations, net of tax | 0 | (33.8) | 0 | 51.4 |
Net earnings (loss) | $ 66.1 | $ (88.4) | $ 89.8 | $ 16.7 |
Basic earnings (loss) per share from continuing operations (in usd per share) | $ 1.11 | $ (0.88) | $ 1.51 | $ (0.56) |
Basic (loss) earnings per share from discontinued operations, net of tax (in usd per share) | 0 | (0.54) | 0 | 0.83 |
Basic earnings (loss) per share (in usd per share) | 1.11 | (1.42) | 1.51 | 0.27 |
Diluted earnings (loss) per share from continuing operations (in usd per share) | 1.10 | (0.88) | 1.49 | (0.56) |
Diluted (loss) earnings per share from discontinued operations, net of tax (in usd per share) | 0 | (0.54) | 0 | 0.82 |
Diluted earnings (loss) per share (in usd per share) | $ 1.10 | $ (1.42) | $ 1.49 | $ 0.27 |
Condensed Consolidated Statements of Comprehensive Income (Loss) | ||||
Net earnings (loss) | $ 66.1 | $ (88.4) | $ 89.8 | $ 16.7 |
Other comprehensive income (loss), net of tax | ||||
Foreign currency translation adjustments | 17.8 | (77.1) | 7.3 | (139.4) |
Pension and postretirement activity, net of tax | (6.5) | 6.1 | (6) | 10.4 |
Deferred (loss) gain on hedging activity, net of tax | (4.3) | 4.6 | (6.2) | 9.2 |
Total other comprehensive income (loss), net of tax | 7 | (66.4) | (4.9) | (119.8) |
Total comprehensive income (loss) | $ 73.1 | $ (154.8) | $ 84.9 | $ (103.1) |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Earnings and Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement [Abstract] | ||||
Pension and postretirement activity, tax | $ 0.3 | $ 3 | $ 0.7 | $ 5 |
Deferred (loss) gain on hedging activity, tax | $ 2 | $ 1.3 | $ 2.9 | $ 3.2 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 |
Current assets | ||
Cash and cash equivalents | $ 660.5 | $ 712.1 |
Trade receivables, less allowance for doubtful accounts | 291.5 | 279.8 |
Inventories | 382.7 | 332.8 |
Other current assets | 180.8 | 311.9 |
Total current assets | 1,515.5 | 1,636.6 |
Property, plant and equipment, net | 482 | 476.1 |
Goodwill | 1,423.9 | 1,421.8 |
Other intangible assets, net | 1,401.6 | 1,408.5 |
Other assets | 126.4 | 48.7 |
Total assets | 4,949.4 | 4,991.7 |
Current liabilities | ||
Notes payable | 17 | 17.5 |
Accounts payable | 235.2 | 236.9 |
Other current liabilities | 349.2 | 412.4 |
Total current liabilities | 601.4 | 666.8 |
Long-term debt | 1,843.4 | 1,704 |
Deferred income tax liabilities | 344.6 | 335.8 |
Other liabilities | 287.2 | 421 |
Total liabilities | 3,076.6 | 3,127.6 |
Shareholders' equity | ||
Preferred shares | 0 | 0 |
Common shares | 0.7 | 0.7 |
Additional paid-in capital | 1,634.5 | 1,644.2 |
Retained earnings | 862.7 | 772.9 |
Common shares in treasury at cost | (448.7) | (382.2) |
Accumulated other comprehensive loss | (176.4) | (171.5) |
Total shareholders' equity | 1,872.8 | 1,864.1 |
Total liabilities and shareholders' equity | $ 4,949.4 | $ 4,991.7 |
Condensed Consolidated Balance5
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 5.9 | $ 5.4 |
Preferred shares, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred shares, authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred shares, issued (in shares) | 0 | 0 |
Preferred shares, outstanding (in shares) | 0 | 0 |
Common shares, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common shares, authorized (in shares) | 300,000,000 | 300,000,000 |
Common shares, issued (in shares) | 65,251,989 | 65,251,989 |
Common shares, outstanding (in shares) | 59,358,529 | 60,176,237 |
Treasury shares (in shares) | 5,893,460 | 5,075,752 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Cash Flow from Operating Activities | ||
Net earnings | $ 89.8 | $ 16.7 |
Non-cash restructuring costs | 1.2 | 11.1 |
Depreciation and amortization | 44.6 | 64.6 |
Venezuela deconsolidation charge | 0 | 144.5 |
Non-cash items included in income, net | 23.6 | 18.2 |
International pension funding | (100.5) | 0 |
Other, net | (27.7) | (14.4) |
Changes in current assets and liabilities used in operations | (103.6) | (160.9) |
Net cash (used by) from operating activities | (72.6) | 79.8 |
Cash Flow from Investing Activities | ||
Capital expenditures | (34.5) | (37) |
Change related to Venezuelan operations | 0 | (93.8) |
Acquisitions, net of cash acquired | 0 | (11.1) |
Proceeds from sale of assets | 0 | 13.8 |
Change in restricted cash | 0 | 13.9 |
Net cash used by investing activities | (34.5) | (114.2) |
Cash Flow from Financing Activities | ||
Cash proceeds from debt with original maturities greater than 90 days | 395.3 | 0 |
Cash payments on debt with original maturities greater than 90 days | (261) | (80.2) |
Net (decrease) increase in debt with original maturities of 90 days or less | (5.6) | 224.1 |
Common shares purchased | (78.9) | 0 |
Cash dividends paid | 0 | (62.1) |
Proceeds from issuance of common shares, net | 0 | 4.3 |
Excess tax benefits from share-based payments | 0 | 9.2 |
Net cash from financing activities | 49.8 | 95.3 |
Effect of exchange rate changes on cash | 5.7 | (75.6) |
Net decrease in cash and cash equivalents | (51.6) | (14.7) |
Cash and cash equivalents, beginning of period | 712.1 | 1,129 |
Cash and cash equivalents, end of period | $ 660.5 | $ 1,114.3 |
Background and Basis of Present
Background and Basis of Presentation | 6 Months Ended |
Mar. 31, 2016 | |
Background and Basis of Presentation [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation Background Edgewell Personal Care Company and its subsidiaries (collectively, "Edgewell" or the "Company"), is one of the world's largest manufacturers and marketers of personal care products in the wet shave, sun and skin care, feminine care and infant care categories. Edgewell has a portfolio of over 25 brands and a global footprint in more than 50 countries. The Company conducts its business in the following four segments: • Wet Shave consists of products sold under the Schick®, Wilkinson Sword®, Edge®, Skintimate®, Shave Guard and Personna® brands, as well as non-branded products. The Company's wet shave products include razor handles and refillable blades, disposable shave products and shaving gels and creams. • Sun and Skin Care consists of Banana Boat® and Hawaiian Tropic® sun care products, as well as Wet Ones® hand and face wipes and Playtex® household gloves. • Feminine Care includes tampons, pads and liners sold under the Playtex®, Stayfree®, Carefree® and o.b.® brands, as well as personal cleansing wipes under the Playtex® brand. • All Other includes infant care products, such as bottles, cups and pacifiers, under the Playtex®, OrthoPro® and Binky® brand names, as well as the Diaper Genie® and Litter Genie® disposal systems. Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its controlled subsidiaries and have been prepared in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP"), under the rules and regulations of the U.S. Securities and Exchange Commission (the "SEC"). The preparation of the unaudited condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. Actual results may differ materially from those estimates. All intercompany balances and transactions have been eliminated in consolidation and, in the opinion of management, all normal recurring adjustments considered necessary for a fair presentation have been included in the interim results reported. The fiscal year-end balance sheet data was derived from audited consolidated financial statements, but do not include all of the annual disclosures required by GAAP; accordingly, these unaudited condensed consolidated financial statements should be read in conjunction with the Company's audited annual consolidated financial statements included in its Annual Report on Form 10-K filed with the SEC on November 30, 2015. Separation. On July 1, 2015, the Company completed the separation of its Household Products business into a separate publicly-traded company (the "Spin" or the "Separation"). The historical financial results of the Company's Household Products business, which assumed the name Energizer Holdings, Inc. ("New Energizer"), are presented as discontinued operations on the Condensed Consolidated Statements of Earnings and, as such, have been excluded from both continuing operations and segment results for all periods presented. The prior year Condensed Consolidated Statements of Comprehensive Loss and Cash Flows have not been adjusted to reflect the effect of the Separation, as the Company had not adopted the Financial Accounting Standards Board's ("FASB") updated guidance on the presentation of discontinued operations at the time of Separation. Unless indicated otherwise, the information in Notes to Condensed Consolidated Financial Statements relates to the Company's continuing operations. Prior periods have been recast to reflect the Company's current segment reporting. See Note 2 of Notes to Condensed Consolidated Financial Statements for more information on the Separation. Statement of Cash Flows Presentation. The net presentation of borrowings and repayments under the Company's U.S revolving credit facility in the Condensed Consolidated Statement of Cash Flows for the three months ended December 31, 2015 has been revised in order to properly reflect borrowings and repayments on a gross basis, resulting in $203.0 of repayments presented gross that were previously netted against borrowings. Net cash from financing activities reported in the Condensed Consolidated Statement of Cash Flows for the three months ended December 31, 2015 was not impacted, and the Company has concluded that the correction was not material to its financial statements and that the error was not material to any prior period. Venezuela Deconsolidation. Venezuelan exchange control regulations have resulted in an other-than-temporary lack of exchangeability between the Venezuelan bolivar and U.S. dollar, resulting in a lack of control over the Company's Venezuelan subsidiaries for accounting purposes. As the Company expects this condition will continue for the foreseeable future, it deconsolidated its Venezuelan subsidiaries on March 31, 2015, and began accounting for the investment in its Venezuelan operations using the cost method of accounting. As a result of deconsolidating its Venezuelan subsidiaries, the Company recorded a charge of $144.5 during the three months ended March 31, 2015 , of which $79.3 was included within continuing operations and had no accompanying tax benefit. This charge included the write-off of the investment in the Company's Venezuelan subsidiaries, foreign currency translation losses of $18.5 previously recorded in accumulated other comprehensive loss and the write-off of $18.5 of intercompany receivables. Since March 31, 2015, the Company's financial results have not included the operating results of its Venezuelan operations. Recently Adopted Accounting Pronouncements. In November 2015, the FASB issued a new Accounting Standards Update ("ASU"), which simplifies the presentation of deferred income taxes. Under the new guidance, an entity is required to classify deferred tax assets and liabilities as noncurrent in a classified statement of financial position. The current requirement that deferred tax assets and liabilities of a tax-paying component of an entity be offset and presented as a single amount is not affected by the amendments in this ASU. The Company has chosen to early adopt this guidance during the first quarter of fiscal 2016. The Company adopted this guidance prospectively, resulting in a reclassification of $85.1 deferred tax assets and $0.7 deferred tax liabilities from current to non-current as of March 31, 2016 . Recently Issued Accounting Pronouncements. In February 2016, the FASB issued an ASU which amends existing lease accounting guidance to require recognition of lease assets and lease liabilities on the balance sheet for leases previously classified as operating leases. Additionally, this update requires qualitative disclosure along with specific quantitative disclosures. Lessees and lessors will be required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The update will be effective for the Company beginning October 1, 2019, with early adoption permitted. The Company does not expect to early adopt this guidance and is in the process of evaluating its impact on the financial statements. In March 2016, the FASB issued an ASU designed to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. The amendments in this update will be effective for the Company beginning October 1, 2017. The Company is in the process of evaluating the impact the guidance will have on its financial statements. In March and April 2016, the FASB issued two ASUs which clarify the revenue recognition implementation guidance on principal versus agent considerations, identifying performance obligations and determining whether an entity's promise to grant a license provides a customer with either a right to use or a right to access the entity's intellectual property. The amendments in these ASUs affect the guidance in ASU 2014-09, Revenue from Contracts with Customers , and the effective date and transition requirements are the same as those for ASU 2014-09 which, for the Company, will be October 1, 2018. The Company is in the process of evaluating the impact the guidance will have on its financial statements. |
Discontinued Operations
Discontinued Operations | 6 Months Ended |
Mar. 31, 2016 | |
Discontinued Operations [Abstract] | |
Discontinued Operations | Discontinued Operations On July 1, 2015, the Company completed the Separation; therefore, the Household Products business has been reclassified to discontinued operations on the Condensed Consolidated Statement of Earnings for the three and six months ended March 31, 2015 . Discontinued operations includes the results of the Household Products business, except for certain corporate overhead and other allocations, which remain in continuing operations. The costs to separate New Energizer are primarily reflected in continuing operations; however, certain costs specifically related to New Energizer are included in discontinued operations. The prior year Condensed Consolidated Statements of Comprehensive Loss and Cash Flows has not been adjusted to reflect the impact of the Separation. Net sales and (loss) income from New Energizer's operations were as follows: Three Months Ended March 31, 2015 Six Months Ended March 31, 2015 Net sales $ 357.0 $ 858.3 (Loss) earnings before income taxes from discontinued operations (28.3 ) 88.7 Income tax provision for discontinued operations 5.5 37.3 Net (loss) earnings from discontinued operations, net of tax $ (33.8 ) $ 51.4 The Company incurred incremental costs to evaluate, plan and execute the Separation. The Company also initiated certain restructuring activities in order to prepare both businesses to operate as stand-alone entities. These pre-tax charges related to the Spin and Spin restructuring initiatives were included in continuing operations as follows: • $1.7 for the three months ended March 31, 2016 (included in Selling, general and administrative expense ("SG&A")); • $9.2 for the six months ended March 31, 2016 ( $9.0 included in SG&A and $0.2 included in Cost of products sold); • $55.0 for the three months ended March 31, 2015 ( $31.5 included in SG&A, $0.7 included in Cost of products sold and $22.8 included in Spin restructuring charges); • $80.0 for the six months ended March 31, 2015 ( $55.3 included in SG&A, $0.7 included in Cost of products sold and $24.0 included in Spin restructuring charges); and • $203.9 for the project-to-date ( $171.2 included in SG&A, $4.4 included in Cost of products sold and $28.3 included in Spin restructuring charges). Of the total Spin and Spin restructuring costs included in continuing operations for the project-to-date, $9.7 were non-cash, primarily related to asset impairments and incremental costs associated with the modification of equity awards. The Company expects to incur approximately $10.0 to $12.0 total Spin costs in fiscal 2016. In addition to the above costs included in continuing operations, $16.1 and $33.1 of pre-tax Spin and $22.7 and $24.3 of pre-tax Spin restructuring costs during the three and six months ended March 31, 2015 , respectively, were included in discontinued operations. |
Restructuring Charges
Restructuring Charges | 6 Months Ended |
Mar. 31, 2016 | |
Restructuring Charges [Abstract] | |
Restructuring Charges | Restructuring Charges Spin Restructuring As mentioned in Note 2 of Notes to Condensed Consolidated Financial Statements, the Company initiated certain restructuring activities related to the Separation in order to prepare both businesses to operate as stand-alone entities. The restructuring activities included efforts to adapt the global go-to-market footprint to adjust to the future strategies and scale of each stand-alone business; centralize certain back-office functions to increase efficiencies; outsource certain non-core transactional activities; and reduce headcount to optimize the cost structures of each stand-alone business. The Company incurred $22.8 and $24.0 of pre-tax Spin restructuring costs during the three and six months ended March 31, 2015 . These charges consisted primarily of severance and related benefit costs, non-cash asset write-downs, as well as other exit-related costs. As of March 31, 2016 , $7.7 of accrued Spin restructuring charges were included in Other current liabilities. The Company does not expect to incur significant additional Spin restructuring charges. The Company does not include restructuring costs in the results of its reportable segments. The estimated impact of allocating such charges to segment results for the three and six months ended March 31, 2015 would have been as follows: Three Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total Spin Restructuring Severance and related benefit costs $ 11.0 $ 3.2 $ 1.2 $ 0.3 $ 1.0 $ 16.7 Other exit costs 1.8 0.4 2.5 1.4 — 6.1 Total Spin Restructuring $ 12.8 $ 3.6 $ 3.7 $ 1.7 $ 1.0 $ 22.8 Six Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total Spin Restructuring Severance and related benefit costs $ 11.3 $ 3.1 $ 1.3 $ 0.3 $ 1.3 $ 17.3 Other exit costs 1.9 0.6 2.7 1.5 — 6.7 Total Spin Restructuring $ 13.2 $ 3.7 $ 4.0 $ 1.8 $ 1.3 $ 24.0 The following table summarizes the Spin restructuring activities and the related accruals which were included in Other current liabilities as of the dates below: Utilized October 1, 2015 Charge to Income Other (1) Cash Non-Cash March 31, 2016 Spin Restructuring Severance and related benefit costs $ 10.8 $ — $ 0.1 $ (3.2 ) $ — $ 7.7 Non-cash asset write-down — — — — — — Other exit costs 0.3 — — (0.3 ) — — Total Spin restructuring $ 11.1 $ — $ 0.1 $ (3.5 ) $ — $ 7.7 (1) Includes the impact of currency translation. Utilized October 1, 2014 Charge to Income (1) Other (2) Cash Non-Cash September 30, 2015 Spin Restructuring Severance and related benefit costs $ — $ 54.9 $ (15.6 ) $ (28.5 ) $ — $ 10.8 Non-cash asset write-down — 7.4 (0.1 ) — (7.3 ) — Other exit costs — 4.6 1.8 (6.1 ) — 0.3 Total Spin restructuring $ — $ 66.9 $ (13.9 ) $ (34.6 ) $ (7.3 ) $ 11.1 (1) Includes $38.6 of pre-tax costs that are now reflected in discontinued operations. (2) Includes the impact of currency translation and the transfer of liabilities to New Energizer. 2013 Restructuring In November 2012, the Company's Board of Directors (the "Board") authorized an enterprise-wide restructuring plan (the "2013 Restructuring"). The 2013 Restructuring originally included several initiatives focused on reducing costs in general and administrative functions, as well as reducing manufacturing and operating costs associated with our discontinued operations. In January 2014, the Board authorized an expansion of scope of the previously announced 2013 Restructuring, which included rationalization and streamlining of the Edgewell operating facilities and other cost saving initiatives. Restructuring charges specific to Edgewell have primarily related to plant closure and accelerated depreciation charges and severance and related benefit costs. The Company continues to expect full year restructuring costs to total $40.0 to $45.0 in 2016 and $5.0 to $10.0 for 2017. Expense incurred under the 2013 Restructuring plan are reflected below, including the estimated impact of allocating such charges to segment results. The Company does not include restructuring costs in the results of its reportable segments. Three Months Ended March 31, 2016 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ (1.4 ) $ 0.2 $ 1.4 $ — $ — $ 0.2 Accelerated depreciation — — 0.5 — — 0.5 Consulting, program management and other exit costs 1.3 0.1 2.9 — — 4.3 Total 2013 Restructuring $ (0.1 ) $ 0.3 $ 4.8 $ — $ — $ 5.0 Six Months Ended March 31, 2016 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ 9.1 $ 0.2 $ 4.5 $ — $ — $ 13.8 Accelerated depreciation — — 1.2 — — 1.2 Consulting, program management and other exit costs 2.0 0.1 6.4 — — 8.5 Total 2013 Restructuring $ 11.1 $ 0.3 $ 12.1 $ — $ — $ 23.5 Three Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ — $ 0.4 $ 0.7 $ — $ — $ 1.1 Accelerated depreciation — — 1.6 — — 1.6 Consulting, program management and other exit costs 0.8 0.7 2.5 — (0.1 ) 3.9 Total 2013 Restructuring $ 0.8 $ 1.1 $ 4.8 $ — $ (0.1 ) $ 6.6 Six Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ 0.6 $ 0.7 $ 2.9 $ — $ — $ 4.2 Accelerated depreciation — — 3.0 — — 3.0 Consulting, program management and other exit costs 1.4 1.2 5.2 — 0.8 8.6 Total 2013 Restructuring $ 2.0 $ 1.9 $ 11.1 $ — $ 0.8 $ 15.8 In addition, the Company incurred costs of $0.1 for the three and six months ended March 31, 2016 associated with obsolescence charges related to the exit of certain non-core product lines as part of the restructuring, which were recorded in Cost of products sold. The non-core inventory obsolescence charges are considered part of the total project costs incurred for the restructuring project. There were no non-core inventory obsolescence charges during the three and six months ended March 31, 2015 . The following table summarizes the 2013 Restructuring activities and related accrual for the first six months of fiscal 2016: Utilized October 1, 2015 Charge to Income Other (1) Cash Non-Cash March 31, 2016 2013 Restructuring Severance and termination related costs $ 13.7 $ 13.8 $ 0.8 $ (5.6 ) $ — $ 22.7 Asset impairment and accelerated depreciation — 1.2 — — (1.2 ) — Other related costs — 8.5 — (8.5 ) — — Total 2013 Restructuring $ 13.7 $ 23.5 $ 0.8 $ (14.1 ) $ (1.2 ) $ 22.7 (1) Includes the impact of currency translation. The following table summarizes the 2013 Restructuring activities and related accrual for fiscal 2015: Utilized October 1, 2014 Charge to Income (1) Other (2) Cash Non-Cash September 30, 2015 2013 Restructuring Severance and termination related costs $ 22.1 $ 13.0 $ (8.3 ) $ (13.1 ) $ — $ 13.7 Asset impairment and accelerated depreciation — 14.2 (0.5 ) — (13.7 ) — Other related costs 4.3 18.8 (1.2 ) (21.9 ) — — Net (gain) loss on asset sales — (11.0 ) 0.5 13.9 (3.4 ) — Total 2013 Restructuring $ 26.4 $ 35.0 $ (9.5 ) $ (21.1 ) $ (17.1 ) $ 13.7 (1) Includes $8.3 of pre-tax costs that are now reflected in discontinued operations. (2) Includes the impact of currency translation and the transfer of liabilities to New Energizer. |
Income Taxes
Income Taxes | 6 Months Ended |
Mar. 31, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | Income Taxes For the three and six months ended March 31, 2016 , the Company had income tax expense of $25.2 and $32.2 , respectively, on earnings from continuing operations before income taxes of $91.3 and $122.0 , respectively. The effective tax rate for the three and six months ended March 31, 2016 was 27.6% and 26.4% , respectively. The difference between the federal statutory rate and the effective rate for both periods is primarily due to a higher mix of earnings in lower tax rate jurisdictions. The rate is also favorably impacted by Separation and restructuring charges in higher tax rate jurisdictions. For the three and six months ended March 31, 2015 , the Company had income tax expense of $9.8 and $9.0 , respectively, on loss before income taxes of $44.8 and $25.7 , respectively. The effective tax rate for the three and six months ended March 31, 2015 , was (21.9)% and (35.0)% , respectively. The negative tax rates in fiscal 2015 were the result of having incurred income tax expense on a net loss. The difference between the federal statutory rate and the effective rate in both periods is largely driven by the Venezuela deconsolidation charge of $79.3 recorded in the second quarter of fiscal 2015, which had no accompanying tax benefit. As of March 31, 2016 , the Company's Condensed Consolidated Balance Sheet reflects a liability for unrecognized tax benefits of approximately $28.9 . The decrease from the September 30, 2015 balance of $47.1 was primarily due to audit settlements and statute expirations in various tax jurisdictions. |
Earnings (Loss) per Share
Earnings (Loss) per Share | 6 Months Ended |
Mar. 31, 2016 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) per Share | Earnings (Loss) per Share Basic earnings (loss) per share is based on the average number of common shares outstanding during the period. Diluted earnings (loss) per share is based on the average number of shares used for the basic earnings (loss) per share calculation, adjusted for the dilutive effect of share options and restricted share equivalent ("RSE") awards. Following is the reconciliation between the number of weighted-average shares used in the basic and diluted earnings (loss) per share calculation: Three Months Ended Six Months Ended 2016 2015 2016 2015 Basic weighted-average shares outstanding 59.4 62.2 59.6 62.1 Effect of dilutive securities: Share options — — — — RSE awards 0.5 — 0.5 0.4 Total dilutive securities 0.5 — 0.5 0.4 Diluted weighted-average shares outstanding 59.9 62.2 60.1 62.5 For the three and six months ended March 31, 2016 , the calculation of diluted weighted-average shares outstanding excludes 0.4 of share options and 0.1 of RSE awards because the effect of including these awards was anti-dilutive. For the three months ended March 31, 2015 , the calculation of diluted weighted-average shares outstanding excludes 0.9 of RSE awards that would have otherwise been dilutive, because the Company reported a net loss. For the six months ended March 31, 2015 , the number of shares considered anti-dilutive was immaterial. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 6 Months Ended |
Mar. 31, 2016 | |
Goodwill and Intangibles [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The following table sets forth goodwill by segment: Wet Shave Sun and Skin Care Feminine All Other Total Balance at October 1, 2015 $ 967.4 $ 178.0 $ 206.8 $ 69.6 $ 1,421.8 Cumulative translation adjustment 1.2 — 0.9 — 2.1 Balance at March 31, 2016 $ 968.6 $ 178.0 $ 207.7 $ 69.6 $ 1,423.9 Total amortizable intangible assets were as follows: March 31, 2016 September 30, 2015 Gross Accumulated Net Gross Carrying Amount Accumulated Amortization Net Tradenames and brands $ 14.7 $ 12.1 $ 2.6 $ 14.6 $ 11.9 $ 2.7 Technology and patents 76.9 67.7 9.2 76.8 65.5 11.3 Customer-related and other 146.4 77.3 69.1 147.8 72.8 75.0 Total amortizable intangible assets $ 238.0 $ 157.1 $ 80.9 $ 239.2 $ 150.2 $ 89.0 Amortization expense was $3.6 and $7.2 for the three and six months ended March 31, 2016 , respectively, and $3.6 and $7.7 for the three and six months ended March 31, 2015 , respectively. Estimated amortization expense for amortizable intangible assets for the remainder of fiscal 2016 and the fiscal years ending September 30, 2017 , 2018 , 2019 , 2020 and 2021 is approximately $7.2 , $14.2 , $6.8 , $5.5 , $4.8 and $4.2 , respectively, and $38.2 thereafter. The Company had indefinite-lived intangible assets of $1,320.7 ( $265.9 in Wet Shave, $491.4 in Sun and Skin Care, $299.9 in Feminine Care and $263.5 in All Other) at March 31, 2016 , an increase of $1.2 from September 30, 2015 , due to changes in foreign currency translation rates. Goodwill and intangible assets deemed to have an indefinite life are not amortized, but reviewed annually during the fourth fiscal quarter for impairment of value or when indicators of a potential impairment are present. The Company continuously monitors changing business conditions, which may indicate that the remaining useful life of goodwill and other intangible assets may warrant revision or carrying amounts may require adjustment. During fiscal 2015, the Company recorded impairment charges of $318.2 on its Playtex®, Wet Ones® and Skintimate® brand names. Given that the carrying value of these brand names has been reduced to their determined fair value, these intangible assets will be sensitive in the future to changes in forecasted cash flow, as well as other assumptions used in an impairment analysis, including discount rates. |
Supplemental Balance Sheet Info
Supplemental Balance Sheet Information | 6 Months Ended |
Mar. 31, 2016 | |
Supplemental Financial Statement Information [Abstract] | |
Supplemental Balance Sheet Information | Supplemental Balance Sheet Information March 31, September 30, Inventories Raw materials and supplies $ 57.3 $ 57.8 Work in process 54.9 50.1 Finished products 270.5 224.9 Total inventories $ 382.7 $ 332.8 Other Current Assets Miscellaneous receivables $ 51.9 $ 53.8 Deferred income tax benefits — 85.1 Prepaid expenses 69.0 56.9 Value added tax collectible from customers 21.6 19.9 Income taxes receivable 27.1 80.8 Other 11.2 15.4 Total other current assets $ 180.8 $ 311.9 Property, Plant and Equipment Land $ 27.9 $ 27.7 Buildings 132.7 131.1 Machinery and equipment 866.8 848.4 Construction in progress 73.9 54.3 Total gross property 1,101.3 1,061.5 Accumulated depreciation (619.3 ) (585.4 ) Total property, plant and equipment, net $ 482.0 $ 476.1 Other Current Liabilities Accrued advertising, sales promotion and allowances $ 66.0 $ 74.5 Accrued trade allowances 27.9 45.3 Accrued salaries, vacations and incentive compensation 39.4 46.8 Income taxes payable 27.9 25.3 Returns reserve 27.2 50.3 2013 restructuring reserve 22.7 13.7 Spin restructuring reserve 7.7 11.1 Separation accrual 2.0 11.3 Other 128.4 134.1 Total other current liabilities $ 349.2 $ 412.4 Other Liabilities Pensions and other retirement benefits $ 141.3 $ 242.7 Deferred compensation 85.1 90.6 Other non-current liabilities 60.8 87.7 Total other liabilities $ 287.2 $ 421.0 |
Debt
Debt | 6 Months Ended |
Mar. 31, 2016 | |
Debt [Abstract] | |
Debt | Debt The detail of long-term debt was as follows: March 31, September 30, Senior Notes, fixed interest rate of 4.7%, due 2021 $ 600.0 $ 600.0 Senior Notes, fixed interest rate of 4.7%, due 2022, net of discount (1) 499.1 499.1 Netherlands revolving credit facility due 2017 279.3 269.9 U.S. revolving credit facility due 2020 465.0 335.0 Total long-term debt, including current maturities 1,843.4 1,704.0 Less current portion — — Total long-term debt $ 1,843.4 $ 1,704.0 (1) At March 31, 2016 , balances for the Senior Notes due 2022 are reflected net of discount of approximately $0.9 . The Company had outstanding international borrowings, recorded in Notes payable, of $17.0 and $17.5 as of March 31, 2016 and September 30, 2015 , respectively. See Note 16 of Notes to Condensed Consolidated Financial Statements for information on subsequent events impacting the credit agreement governing the Company's U.S. revolving credit facility. |
Retirement Plans
Retirement Plans | 6 Months Ended |
Mar. 31, 2016 | |
Pension and Other Postretirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans The Company has several defined benefit pension plans covering employees in the U.S. and certain employees in other countries. The plans provide retirement benefits based on years of service and earnings. The Company also sponsors or participates in a number of other non-U.S. pension and postretirement arrangements, including various retirement and termination benefit plans, some of which are required by local law or coordinated with government-sponsored plans, which are not significant in the aggregate and, therefore, are not included in the information presented below. As part of the Separation, and in accordance with an employee matters agreement entered into with New Energizer, certain combined plans were split between Edgewell and New Energizer. Accordingly, the Company transferred to New Energizer pension obligations associated with their active, retired and other former employees for those impacted defined benefit pension plans. The allocation of plan assets was determined in accordance with applicable ERISA (The Employee Retirement Income Security Act of 1974), Internal Revenue Service and other jurisdictional requirements. As of March 31, 2016 , certain international defined benefit plans retained by Edgewell are unfunded. The Company funds its pension plans in compliance with ERISA or local funding requirements. The Company has evaluated the discretionary funding of certain international defined benefit plans and contributed €92.8 (approximately $100.5 ) to one of its plans during the three months ended March 31, 2016. Additionally, the Company remeasured the pension benefit obligation and unrecognized loss in accumulated other comprehensive income for the funded plan, using an updated discount rate of 2.40% as of January 31, 2016, increasing the liability and decreasing accumulated other comprehensive income by approximately $7.7 . The Company's net periodic pension benefit cost for these plans was as follows: Three Months Ended March 31, Six Months Ended March 31, 2016 2015 2016 2015 Service cost $ 1.3 $ 2.1 $ 2.6 $ 4.4 Interest cost 5.6 11.8 11.1 24.0 Expected return on plan assets (7.7 ) (17.6 ) (14.6 ) (35.4 ) Amortization of unrecognized prior service cost — — — 0.1 Recognized net actuarial loss (gain) 1.0 2.3 2.0 4.8 Net periodic benefit cost 0.2 (1.4 ) 1.1 (2.1 ) Net periodic benefit cost associated with New Energizer — (2.0 ) — (4.0 ) Net periodic benefit cost included in continuing operations $ 0.2 $ 0.6 $ 1.1 $ 1.9 |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Mar. 31, 2016 | |
Shareholders' Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity In May 2015, the Board approved an authorization to repurchase up to 10.0 shares of the Company's common stock. This authorization replaced a prior share repurchase authorization. During the six months ended March 31, 2016 , the Company repurchased 1.0 shares of its common stock for $78.9 , all of which were purchased under this authorization. The Company has 7.0 shares remaining under the Board authorization to repurchase its common shares in the future. Future share repurchases, if any, would be made in the open market, privately negotiated transactions or otherwise, in such amounts and at such times as the Company deems appropriate based upon prevailing market conditions, business needs and other factors. During the six months ended March 31, 2016 , 0.1 shares were purchased related to the surrender of shares of common stock to satisfy tax withholding obligations in connection with the vesting of restricted stock equivalents. On May 21, 2015, the Board declared a dividend of one preferred share purchase right (a "Right") for each outstanding share of common stock of the Company. The Rights were issued on June 1, 2015 to the shareholders of record on such date, and accompanied each new share of common stock issued between that date and the date of the Separation. Each Right allowed the holder to purchase from the Company one one-hundredth of a share of Series A Junior Participating Preferred Stock which would have given the shareholder approximately the same dividend, voting and liquidation rights as would one share of the Company common stock. The Rights expired on December 31, 2015. The Company did not declare or pay any dividends during the first two quarters of fiscal 2016. During the first quarter of fiscal 2015, the Company declared cash dividends of $31.1 , or $0.50 per share. During the second quarter of fiscal 2015, the Company declared cash dividends of $31.1 , or $0.50 per share. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Mar. 31, 2016 | |
Accumulated Other Comprehensive (Loss) Income [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The following table presents the changes in accumulated other comprehensive loss ("AOCI"), net of tax, by component: Foreign Currency Translation Adjustments Pension and Post-retirement Activity Hedging Activity Total Balance at October 1, 2015 $ (69.1 ) $ (105.7 ) $ 3.3 $ (171.5 ) OCI before reclassifications (1) 7.3 (7.3 ) (9.4 ) (9.4 ) Reclassifications to earnings — 1.3 3.2 4.5 Balance at March 31, 2016 $ (61.8 ) $ (111.7 ) $ (2.9 ) $ (176.4 ) Foreign Currency Translation Adjustments Pension and Post-retirement Activity Hedging Activity Total Balance at October 1, 2014 (2) $ (78.2 ) $ (202.8 ) $ 9.9 $ (271.1 ) OCI before reclassifications (1) (173.1 ) 7.5 (1.0 ) (166.6 ) Venezuela deconsolidation charge 33.7 — — 33.7 Reclassifications to earnings — 2.9 10.2 13.1 Balance at March 31, 2015 (2) $ (217.6 ) $ (192.4 ) $ 19.1 $ (390.9 ) (1) OCI is defined as Other comprehensive loss. (2) Includes balances related to New Energizer. The following table presents the reclassifications out of AOCI: For the Three Months Ended March 31, For the Six Months Ended March 31, Affected Line Item in the Condensed Consolidated Statements of Earnings Details of AOCI Components 2016 2015 2016 2015 Gains and losses on cash flow hedges Foreign exchange contracts $ 1.0 $ 8.9 $ 4.6 $ 14.5 Other income, net 1.0 8.9 4.6 14.5 Total before tax (0.3 ) (2.6 ) (1.4 ) (4.3 ) Tax expense $ 0.7 $ 6.3 $ 3.2 $ 10.2 Net of tax Amortization of defined benefit pension and postretirement items Prior service costs $ — $ (0.1 ) $ — $ — (1) Actuarial losses 1.0 2.1 2.0 4.4 (1) 1.0 2.0 2.0 4.4 Total before tax (0.3 ) (0.7 ) (0.7 ) (1.5 ) Tax expense $ 0.7 $ 1.3 $ 1.3 $ 2.9 Net of tax Foreign currency translation adjustments Venezuela deconsolidation charge $ — $ 33.7 $ — $ 33.7 Venezuela deconsolidation charge $ — $ 33.7 $ — $ 33.7 Total reclassifications for the period $ 1.4 $ 41.3 $ 4.5 $ 46.8 Net of tax (1) These AOCI components are included in the computation of net periodic benefit cost (see Note 9 of Notes to Condensed Consolidated Financial Statements for further details). |
Financial Instruments and Risk
Financial Instruments and Risk Management | 6 Months Ended |
Mar. 31, 2016 | |
Financial Instruments and Risk Management [Abstract] | |
Financial Instruments and Risk Management | Financial Instruments and Risk Management At times, the Company enters into contractual arrangements (derivatives) to reduce its exposure to foreign currency and interest rate risks. The section below outlines the types of derivatives that existed at March 31, 2016 and September 30, 2015 , as well as the Company's objectives and strategies for holding derivative instruments. Foreign Currency Risk A significant share of the Company's sales are tied to currencies other than the U.S. dollar, the Company's reporting currency. As such, a weakening of currencies relative to the U.S. dollar can have a negative impact to reported earnings. Conversely, strengthening of currencies relative to the U.S. dollar can improve reported results. The primary currencies to which the Company is exposed include the Euro, the Japanese Yen, the British Pound, the Canadian Dollar and the Australian Dollar. Additionally, the Company's foreign subsidiaries enter into internal and external transactions that create non-functional currency balance sheet positions at the foreign subsidiary level. These exposures are generally the result of intercompany purchases, intercompany loans and, to a lesser extent, external purchases, and are revalued in the foreign subsidiary's local currency at the end of each period. Changes in the value of the non-functional currency balance sheet positions in relation to the foreign subsidiary's local currency results in an exchange gain or loss recorded in Other income, net. The primary currency to which the Company's foreign subsidiaries are exposed is the U.S. dollar. Interest Rate Risk The Company has interest rate risk with respect to interest expense on variable rate debt. At March 31, 2016 , the Company had $744.3 of variable rate debt outstanding, which consisted primarily of outstanding borrowings under the Company's revolving credit facilities in the U.S. and the Netherlands. Cash Flow Hedges At March 31, 2016 , the Company maintained a cash flow hedging program related to foreign currency risk. These derivative instruments have a high correlation to the underlying exposure being hedged and have been deemed highly effective for accounting purposes in offsetting the associated risk. The Company entered into a series of forward currency contracts to hedge cash flow uncertainty associated with currency fluctuations. These transactions are accounted for as cash flow hedges. The Company had an unrealized pre-tax loss of $4.5 at March 31, 2016 and a pre-tax gain of $4.6 at September 30, 2015 on these forward currency contracts accounted for as cash flow hedges included in Accumulated other comprehensive loss. Assuming foreign exchange rates versus the U.S. dollar remain at March 31, 2016 levels over the next twelve months, the majority of the pre-tax loss included in Accumulated other comprehensive loss at March 31, 2016 is expected to be included in Other income, net. Contract maturities for these hedges extend into fiscal 2017. There were 69 open foreign currency contracts at March 31, 2016 with a total notional value of $136.2 . Derivatives not Designated in Hedging Relationships The Company held a share option with a major financial institution to mitigate the impact of changes in certain of the Company's deferred compensation liabilities, which were tied to the Company's common share price. The contract matured in November 2014 and was subsequently not renewed. Period activity related to the share option is classified in the same category in the cash flow statement as the period activity associated with the Company's deferred compensation liability, which is cash flow from operations. The Company entered into foreign currency derivative contracts which are not designated as cash flow hedges for accounting purposes to hedge balance sheet exposures. Any gains or losses on these contracts are expected to be offset by exchange gains or losses on the underlying exposures, thus they are not subject to significant market risk. The change in estimated fair value of the foreign currency contracts for the three and six months ended March 31, 2016 resulted in a loss of $4.3 and for the three and six months ended March 31, 2015 resulted in income of $0.3 and $5.4 , respectively, and was recorded in Other income, net. There were five open foreign currency derivative contracts, which were not designated as cash flow hedges at March 31, 2016 , with a total notional value of $116.3 . The following table provides estimated fair values and the amounts of gains and losses on derivative instruments classified as cash flow hedges: At March 31, 2016 For the Three Months Ended March 31, 2016 For the Six Months Ended March 31, 2016 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value, Liability (1) (2) Loss Recognized in OCI (3) Gain Reclassified From OCI into Income(Effective Portion) (4) (5) Loss Recognized in OCI (3) Gain Reclassified From OCI into Income(Effective Portion) (4) (5) Foreign currency contracts $ (4.5 ) $ (5.3 ) $ 1.0 $ (4.5 ) $ 4.6 At September 30, 2015 For the Three Months Ended March 31, 2015 For the Six Months Ended March 31, 2015 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value, Asset (1) (2) Gain Recognized (3) Gain Reclassified From OCI into Income(Effective (4) (5) Gain Recognized in OCI (3) Gain Reclassified From OCI into Income(Effective Portion) (4) (5) Foreign currency contracts $ 4.6 $ 14.8 $ 8.9 $ 26.9 $ 14.5 (1) All derivative assets are presented in Other current assets or Other assets. (2) All derivative liabilities are presented in Other current liabilities or Other liabilities. (3) OCI is defined as Other comprehensive loss. (4) Gain reclassified to income was recorded in Other income, net. (5) Each of these derivative instruments had a high correlation to the underlying exposure being hedged for the periods indicated and had been deemed highly effective in offsetting associated risk. The following table provides estimated fair values and the amounts of gains and losses on derivative instruments not classified as cash flow hedges: At March 31, 2016 For the Three Months Ended March 31, 2016 For the Six Months Ended March 31, 2016 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value, Liability Loss Recognized in Income (1) Loss Recognized in Income (1) Foreign currency contracts $ (1.5 ) $ (4.3 ) $ (4.3 ) At September 30, 2015 For the Three Months Ended March 31, 2015 For the Six Months Ended March 31, 2015 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value, Asset Gain Recognized in Income (1) Gain Recognized in Income (1) Share option (2) $ — $ — $ 0.5 Foreign currency contracts 1.3 0.3 5.4 Total $ 1.3 $ 0.3 $ 5.9 (1) Gain (loss) recognized in income was recorded as follows: share option in SG&A and foreign currency contracts in Other income, net. (2) The Company held a share option with a major financial institution, which matured in November 2014 and was subsequently not renewed. The following table provides financial assets and liabilities as required by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At March 31, 2016 At September 30, 2015 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 0.8 $ (0.1 ) $ 0.7 $ 6.6 $ (0.5 ) $ 6.1 Offsetting of derivative liabilities At March 31, 2016 At September 30, 2015 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ (6.8 ) $ 0.1 $ (6.7 ) $ (0.2 ) $ — $ (0.2 ) Fair Value Hierarchy Accounting guidance on fair value measurements for certain financial assets and liabilities requires that assets and liabilities carried at fair value be classified in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs reflecting the reporting entity's own assumptions or external inputs from inactive markets. Under the fair value accounting guidance hierarchy, an entity is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The following table sets forth the Company's financial assets and liabilities, which are carried at fair value that are measured on a recurring basis during the period, segregated by level within the fair value hierarchy: Level 2 March 31, September 30, Assets (Liabilities) at estimated fair value: Deferred compensation $ (84.5 ) $ (90.0 ) Derivatives - foreign currency contracts (6.0 ) 5.9 Net liabilities at estimated fair value $ (90.5 ) $ (84.1 ) At March 31, 2016 and September 30, 2015 , the Company had no level 1 or level 3 financial assets or liabilities, other than pension plan assets. At March 31, 2016 and September 30, 2015 , the fair market value of fixed rate long-term debt was $1,062.8 and $1,059.8 , respectively, compared to its carrying value of $1,099.1 at each date. The estimated fair value of the long-term debt is estimated using yields obtained from independent pricing sources for similar types of borrowing arrangements. The estimated fair value of fixed rate long-term debt has been determined based on level 2 inputs. Due to the nature of cash and cash equivalents and short-term borrowings, including notes payable, carrying amounts on the balance sheets approximate fair value. The estimated fair value of cash and cash equivalents and short-term borrowings have been determined based on level 2 inputs. At March 31, 2016 , the estimated fair value of foreign currency contracts is the amount that the Company would receive or pay to terminate the contracts, considering first the quoted market prices of comparable agreements or, in the absence of quoted market prices, factors such as interest rates, currency exchange rates and remaining maturities. The estimated fair value of the deferred compensation liability is determined based upon the quoted market prices of the investment options that are offered under the plan. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Mar. 31, 2016 | |
Legal Proceedings and Contingencies [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company and its affiliates are subject to a number of legal proceedings in various jurisdictions arising out of its operations during the ordinary course of business. Many of these legal matters are in preliminary stages and involve complex issues of law and fact, and may proceed for protracted periods of time. The amount of liability, if any, from these proceedings cannot be determined with certainty. The Company reviews its legal proceedings and claims, regulatory reviews and inspections and other legal proceedings on an ongoing basis and follows appropriate accounting guidance when making accrual and disclosure decisions. The Company establishes accruals for those contingencies when the incurrence of a loss is probable and can be reasonably estimated, and discloses the amount accrued and the amount of a reasonably possible loss in excess of the amount accrued, if such disclosure is necessary for its financial statements to not be misleading. The Company does not record liabilities when the likelihood that the liability has been incurred is probable, if the amount cannot be reasonably estimated. Based upon present information, the Company believes that its liability, if any, arising from such pending legal proceedings, asserted legal claims and known potential legal claims, which are likely to be asserted, is not reasonably likely to be material to the Company's financial position, results of operations or cash flows, taking into account established accruals for estimated liabilities. |
Segment Data
Segment Data | 6 Months Ended |
Mar. 31, 2016 | |
Segments [Abstract] | |
Segment Data | Segment Data The Company conducts its business in the following four segments: • Wet Shave consists of products sold under the Schick®, Wilkinson Sword®, Edge®, Skintimate®, Shave Guard and Personna® brands, as well as non-branded products. The Company's wet shave products include razor handles and refillable blades, disposable shave products and shaving gels and creams. • Sun and Skin Care consists of Banana Boat® and Hawaiian Tropic® sun care products, as well as Wet Ones® hand and face wipes and Playtex® household gloves. • Feminine Care includes tampons, pads and liners sold under the Playtex®, Stayfree®, Carefree® and o.b.® brands, as well as personal cleansing wipes under the Playtex® brand. • All Other includes infant care products, such as bottles, cups and pacifiers, under the Playtex®, OrthoPro® and Binky® brand names, as well as the Diaper Genie® and Litter Genie® disposal systems. Segment performance is evaluated based on segment profit, exclusive of general corporate expenses, share-based compensation costs, costs associated with most restructuring initiatives (including the Spin restructuring and the 2013 Restructuring), the Venezuela deconsolidation charge, the sale of the industrial blade business and the amortization of intangible assets. Financial items, such as interest income and expense, are managed on a global basis at the corporate level. The exclusion of such charges from segment results reflects management's view on how it evaluates segment performance. The Company's operating model includes some shared business functions across the segments, including product warehousing and distribution, transaction processing functions, and in most cases a combined sales force and management teams. The Company applies a fully allocated cost basis, in which shared business functions are allocated between the segments. Such allocations are estimates, and do not represent the costs of such services if performed on a stand-alone basis. Prior periods have been recast to reflect the Company's current segment reporting. Segment net sales and profitability are presented below: Three Months Ended March 31, Six Months Ended March 31, 2016 2015 2016 2015 Net Sales Wet Shave $ 353.4 $ 372.2 $ 669.7 $ 713.6 Sun and Skin Care 132.5 130.2 186.0 184.5 Feminine Care 91.6 101.6 184.1 197.4 All Other 33.7 47.1 66.5 92.7 Total net sales $ 611.2 $ 651.1 $ 1,106.3 $ 1,188.2 Segment Profit Wet Shave $ 77.7 $ 99.8 $ 144.5 $ 190.3 Sun and Skin Care 39.2 37.3 40.9 41.0 Feminine Care 10.5 20.9 28.1 36.1 All Other 8.0 7.1 15.2 13.9 Total segment profit 135.4 165.1 228.7 281.3 General corporate and other expenses (20.3 ) (38.6 ) (38.0 ) (70.0 ) Venezuela deconsolidation charge — (79.3 ) — (79.3 ) Spin costs (1) (1.7 ) (32.2 ) (9.2 ) (56.0 ) Spin restructuring charges — (22.8 ) — (24.0 ) 2013 Restructuring and related costs (2) (5.1 ) (6.6 ) (23.6 ) (15.8 ) Industrial sale charges (0.2 ) — (0.2 ) — Amortization of intangibles (3.6 ) (3.6 ) (7.2 ) (7.7 ) Interest and other expense, net (13.2 ) (26.8 ) (28.5 ) (54.2 ) Total earnings (loss) before income taxes $ 91.3 $ (44.8 ) $ 122.0 $ (25.7 ) (1) Includes pre-tax SG&A of $1.7 and $9.0 for the three and six months ended March 31, 2016 , respectively, and $31.5 and $55.3 for the three and six months ended March 31, 2015 , respectively, and pre-tax Cost of products sold of $0.2 for the six months ended March 31, 2016 and $0.7 for the three and six months ended March 31, 2015 . (2) Includes pre-tax Cost of products sold of $0.1 for the three and six months ended March 31, 2016 associated with obsolescence charges related to the exit of certain non-core product lines as part of the restructuring. The non-core inventory obsolescence charges are considered part of the total project costs incurred for the restructuring project. There were no non-core inventory obsolescence charges during the three and six months ended March 31, 2015 . Supplemental product information is presented below for net sales: Three Months Ended Six Months Ended 2016 2015 2016 2015 Razors and blades $ 315.7 $ 332.8 $ 589.8 $ 636.4 Tampons, pads and liners 91.6 101.6 184.1 197.4 Sun care products 114.9 111.4 151.8 145.2 Infant care and other 33.7 47.1 66.5 92.7 Shaving gels and creams 37.7 39.4 79.9 77.2 Skin care products 17.6 18.8 34.2 39.3 Total net sales $ 611.2 $ 651.1 $ 1,106.3 $ 1,188.2 |
Guarantor and Non-Guarantor Fin
Guarantor and Non-Guarantor Financial Information | 6 Months Ended |
Mar. 31, 2016 | |
Guarantor and Non-Guarantor Financial Information [Abstract] | |
Guarantor and Non-Guarantor Financial Information | Guarantor and Non-Guarantor Financial Information The Company's Senior Notes issued in May 2011 and May 2012 (collectively, the "Notes") are fully and unconditionally guaranteed on a joint and several basis by the Company's existing and future direct and indirect domestic subsidiaries that are guarantors of any of the Company's credit agreements or other indebtedness for borrowed money (the "Guarantors"). The Guarantors are 100% owned either directly or indirectly by the Company and jointly and severally guarantee the Company's obligations under the Notes and substantially all of the Company's other outstanding indebtedness. The Company's subsidiaries organized outside of the U.S. and certain domestic subsidiaries which are not guarantors of any of the Company's other indebtedness (collectively, the "Non-Guarantors"), do not guarantee the Notes. The subsidiary guarantee with respect to the Notes is subject to release upon sale of all of the capital stock of the Subsidiary Guarantor; if the guarantee under the Company's credit agreements and other indebtedness for borrowed money is released or discharged (other than due to payment under such guarantee); or when the requirements for legal defeasance are satisfied or the obligations are discharged in accordance with the indenture. Set forth below are the condensed consolidating financial statements presenting the results of operations, financial position and cash flows of the Parent Company, Edgewell Personal Care Company, the Guarantors on a combined basis, the Non-Guarantors on a combined basis and eliminations necessary to arrive at the information for the Company, as reported on a consolidated basis. Eliminations represent adjustments to eliminate investments in subsidiaries and intercompany balances and transactions between or among the Parent Company, the Guarantors and the Non-Guarantors. As described in Note 2 of Notes to Condensed Consolidated Financial Statements, the Company completed the Separation of its Household Products business into a separate publicly-traded company on July 1, 2015. Certain legal entities that are now part of New Energizer were subsidiary guarantors under the terms of the Company's credit agreements. As a result of the Separation, those entities have been released as Guarantors. The financial statements below reflect those entities as Guarantors through the date of the Separation. On the Condensed Consolidating Statements of Earnings, results related to the entities that are now a part of New Energizer are reflected in (Loss) earnings from discontinued operations, net of tax. EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME Three Months Ended March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 440.1 $ 289.2 $ (118.1 ) $ 611.2 Cost of products sold — 246.4 171.4 (117.7 ) 300.1 Gross profit — 193.7 117.8 (0.4 ) 311.1 Selling, general and administrative expense 0.8 67.0 31.9 — 99.7 Advertising and sales promotion expense — 56.1 29.0 (0.1 ) 85.0 Research and development expense — 16.3 0.4 — 16.7 2013 restructuring charges — 3.9 1.1 — 5.0 Industrial sale charges — 0.2 — — 0.2 Interest expense 11.3 4.7 1.8 — 17.8 Other income, net — (2.8 ) (1.8 ) — (4.6 ) Intercompany service fees — (3.9 ) 3.9 — — Equity in earnings of subsidiaries (73.7 ) (37.4 ) — 111.1 — Earnings before income taxes 61.6 89.6 51.5 (111.4 ) 91.3 Income tax (benefit) provision (4.5 ) 19.6 10.4 (0.3 ) 25.2 Net earnings $ 66.1 $ 70.0 $ 41.1 $ (111.1 ) $ 66.1 Statement of Comprehensive Income: Net earnings $ 66.1 $ 70.0 $ 41.1 $ (111.1 ) $ 66.1 Other comprehensive income (loss), net of tax 7.0 (9.8 ) 7.3 2.5 7.0 Total comprehensive income $ 73.1 $ 60.2 $ 48.4 $ (108.6 ) $ 73.1 EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME Six Months Ended March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 776.9 $ 558.7 $ (229.3 ) $ 1,106.3 Cost of products sold — 451.3 346.2 (229.8 ) 567.7 Gross profit — 325.6 212.5 0.5 538.6 Selling, general and administrative expense 3.9 127.7 68.5 — 200.1 Advertising and sales promotion expense — 83.6 48.2 (0.2 ) 131.6 Research and development expense — 31.9 0.8 — 32.7 2013 restructuring charges — 8.6 14.9 — 23.5 Industrial sale charges — 0.2 — — 0.2 Interest expense 27.5 4.7 3.3 — 35.5 Other income, net — (5.2 ) (1.8 ) — (7.0 ) Intercompany service fees — (9.4 ) 9.4 — — Equity in earnings of subsidiaries (109.5 ) (49.8 ) — 159.3 — Earnings before income taxes 78.1 133.3 69.2 (158.6 ) 122.0 Income tax (benefit) provision (11.7 ) 29.6 13.6 0.7 32.2 Net earnings $ 89.8 $ 103.7 $ 55.6 $ (159.3 ) $ 89.8 Statement of Comprehensive Income: Net earnings $ 89.8 $ 103.7 $ 55.6 $ (159.3 ) $ 89.8 Other comprehensive loss, net of tax (4.9 ) (11.7 ) (4.2 ) 15.9 (4.9 ) Total comprehensive income $ 84.9 $ 92.0 $ 51.4 $ (143.4 ) $ 84.9 EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE LOSS Three Months Ended March 31, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 468.7 $ 235.7 $ (53.3 ) $ 651.1 Cost of products sold — 264.3 104.5 (52.0 ) 316.8 Gross profit — 204.4 131.2 (1.3 ) 334.3 Selling, general and administrative expense 22.5 77.7 49.0 — 149.2 Advertising and sales promotion expense — 46.9 31.6 (0.1 ) 78.4 Research and development expense — 15.6 0.4 — 16.0 Venezuela deconsolidation charge — 66.7 12.6 — 79.3 Spin restructuring charges — 3.1 19.7 — 22.8 2013 restructuring charges — (8.6 ) 15.2 — 6.6 Interest expense 27.3 — 0.8 — 28.1 Intercompany interest (income) expense (26.7 ) 26.7 — — — Other income, net — — (1.3 ) — (1.3 ) Intercompany service fees — 7.0 (7.0 ) — — Equity in earnings of subsidiaries 54.4 (32.4 ) — (22.0 ) — (Loss) earnings from continuing operations before income taxes (77.5 ) 1.7 10.2 20.8 (44.8 ) Income tax (benefit) provision (3.0 ) 10.9 3.1 (1.2 ) 9.8 (Loss) earnings from continuing operations (74.5 ) (9.2 ) 7.1 22.0 (54.6 ) (Loss) earnings from discontinued operations, net of tax (13.9 ) (47.3 ) 27.4 — (33.8 ) Net (loss) earnings $ (88.4 ) $ (56.5 ) $ 34.5 $ 22.0 $ (88.4 ) Statement of Comprehensive Loss: Net (loss) earnings $ (88.4 ) $ (56.5 ) $ 34.5 $ 22.0 $ (88.4 ) Other comprehensive loss, net of tax (66.4 ) (23.8 ) (67.3 ) 91.1 (66.4 ) Total comprehensive loss $ (154.8 ) $ (80.3 ) $ (32.8 ) $ 113.1 $ (154.8 ) EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE (LOSS) INCOME Six Months Ended March 31, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 817.7 $ 451.5 $ (81.0 ) $ 1,188.2 Cost of products sold — 475.6 199.6 (78.1 ) 597.1 Gross profit — 342.1 251.9 (2.9 ) 591.1 Selling, general and administrative expense 39.7 144.6 98.4 — 282.7 Advertising and sales promotion expense — 73.2 56.1 (0.2 ) 129.1 Research and development expense — 30.7 1.0 — 31.7 Venezuela deconsolidation charge — 66.7 12.6 — 79.3 Spin restructuring charges — 2.6 21.4 — 24.0 2013 restructuring charges — 6.7 9.1 — 15.8 Interest expense 54.3 — 1.6 — 55.9 Intercompany interest (income) expense (53.2 ) 53.2 — — — Other expense (income), net — 0.2 (1.9 ) — (1.7 ) Intercompany service fees — 12.8 (12.8 ) — — Equity in earnings of subsidiaries (70.6 ) (133.7 ) — 204.3 — Earnings from continuing operations before income taxes 29.8 85.1 66.4 (207.0 ) (25.7 ) Income tax (benefit) provision (5.2 ) 4.1 12.8 (2.7 ) 9.0 Earnings from continuing operations 35.0 81.0 53.6 (204.3 ) (34.7 ) (Loss) earnings from discontinued operations, net of tax (18.3 ) (15.4 ) 85.1 — 51.4 Net earnings $ 16.7 $ 65.6 $ 138.7 $ (204.3 ) $ 16.7 Statement of Comprehensive (Loss) Income: Net earnings $ 16.7 $ 65.6 $ 138.7 $ (204.3 ) $ 16.7 Other comprehensive loss, net of tax (119.8 ) (58.3 ) (121.4 ) 179.7 (119.8 ) Total comprehensive (loss) income $ (103.1 ) $ 7.3 $ 17.3 $ (24.6 ) $ (103.1 ) EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING BALANCE SHEETS March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Assets Current assets Cash and cash equivalents $ — $ 21.9 $ 638.6 $ — $ 660.5 Trade receivables, net — 144.2 147.3 — 291.5 Inventories — 245.7 156.6 (19.6 ) 382.7 Other current assets — 52.1 122.4 6.3 180.8 Total current assets — 463.9 1,064.9 (13.3 ) 1,515.5 Investment in subsidiaries 3,404.6 820.1 — (4,224.7 ) — Intercompany receivables, net (1) — 352.0 66.5 (418.5 ) — Intercompany notes receivable (1) — 1.9 — (1.9 ) — Property, plant and equipment, net — 324.4 157.6 — 482.0 Goodwill — 1,061.9 362.0 — 1,423.9 Other intangible assets, net — 1,248.0 153.6 — 1,401.6 Other assets 7.6 86.5 32.3 — 126.4 Total assets $ 3,412.2 $ 4,358.7 $ 1,836.9 $ (4,658.4 ) $ 4,949.4 Liabilities and Shareholders' Equity Current liabilities $ 21.8 $ 296.2 $ 283.4 $ — $ 601.4 Intercompany payables, net (1) 418.5 — — (418.5 ) — Intercompany notes payable (1) — — 1.9 (1.9 ) — Long-term debt 1,099.1 465.0 279.3 — 1,843.4 Deferred income tax liabilities — 314.1 30.5 — 344.6 Other liabilities — 252.6 34.6 — 287.2 Total liabilities 1,539.4 1,327.9 629.7 (420.4 ) 3,076.6 Total shareholders' equity 1,872.8 3,030.8 1,207.2 (4,238.0 ) 1,872.8 Total liabilities and shareholders' equity $ 3,412.2 $ 4,358.7 $ 1,836.9 $ (4,658.4 ) $ 4,949.4 (1) Intercompany activities include product purchases between Guarantors and Non-Guarantors, charges for services provided by the Parent Company and various subsidiaries to other affiliates within the consolidated entity and other intercompany activities in the normal course of business. EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING BALANCE SHEETS September 30, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Assets Current assets Cash and cash equivalents $ — $ 2.9 $ 709.2 $ — $ 712.1 Trade receivables, net — 113.7 166.1 — 279.8 Inventories — 200.3 174.0 (41.5 ) 332.8 Other current assets — 171.9 132.9 7.1 311.9 Total current assets — 488.8 1,182.2 (34.4 ) 1,636.6 Investment in subsidiaries 3,409.8 793.6 — (4,203.4 ) — Intercompany receivables, net (1) — 230.9 53.4 (284.3 ) — Intercompany notes receivable (1) 189.1 1.9 — (191.0 ) — Property, plant and equipment, net — 303.6 172.5 — 476.1 Goodwill — 1,061.9 359.9 — 1,421.8 Other intangible assets, net — 1,254.4 154.1 — 1,408.5 Other assets 8.2 21.9 18.6 — 48.7 Total assets $ 3,607.1 $ 4,157.0 $ 1,940.7 $ (4,713.1 ) $ 4,991.7 Liabilities and Shareholders' Equity Current liabilities $ 22.0 $ 313.0 $ 331.8 $ — $ 666.8 Intercompany payables, net (1) 284.3 — — (284.3 ) — Intercompany notes payable (1) — 189.1 1.9 (191.0 ) — Long-term debt 1,434.1 — 269.9 — 1,704.0 Deferred income tax liabilities — 304.4 31.4 — 335.8 Other liabilities 2.6 315.5 137.3 (34.4 ) 421.0 Total liabilities 1,743.0 1,122.0 772.3 (509.7 ) 3,127.6 Total shareholders' equity 1,864.1 3,035.0 1,168.4 (4,203.4 ) 1,864.1 Total liabilities and shareholders' equity $ 3,607.1 $ 4,157.0 $ 1,940.7 $ (4,713.1 ) $ 4,991.7 (1) Intercompany activities include product purchases between Guarantors and Non-Guarantors, charges for services provided by the Parent Company and various subsidiaries to other affiliates within the consolidated entity and other intercompany activities in the normal course of business. EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Six Months Ended March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Net cash flow from (used by) operations $ 78.9 $ (74.5 ) $ (77.0 ) $ — $ (72.6 ) Cash Flow from Investing Activities Capital expenditures — (30.7 ) (3.8 ) — (34.5 ) Payment for equity contributions — (0.5 ) — 0.5 — Net cash used by investing activities — (31.2 ) (3.8 ) 0.5 (34.5 ) Cash Flow from Financing Activities Cash proceeds from debt with original maturities greater than 90 days — 391.0 4.3 — 395.3 Cash payments on debt with original maturities greater than 90 days — (261.0 ) — — (261.0 ) Net decrease in debt with original maturities of 90 days or less — (5.3 ) (0.3 ) — (5.6 ) Common shares purchased (78.9 ) — — — (78.9 ) Proceeds for equity contributions — — 0.5 (0.5 ) — Net cash (used by) from financing activities (78.9 ) 124.7 4.5 (0.5 ) 49.8 Effect of exchange rate changes on cash — — 5.7 — 5.7 Net increase (decrease) in cash and cash equivalents — 19.0 (70.6 ) — (51.6 ) Cash and cash equivalents, beginning of period — 2.9 709.2 — 712.1 Cash and cash equivalents, end of period $ — $ 21.9 $ 638.6 $ — $ 660.5 EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Six Months Ended March 31, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Net cash flow (used by) from operations $ (9.2 ) $ (35.1 ) $ 124.1 $ — $ 79.8 Cash Flow from Investing Activities Capital expenditures — (27.3 ) (9.7 ) — (37.0 ) Change related to Venezuelan operations — — (93.8 ) — (93.8 ) Acquisitions, net of cash acquired — (11.1 ) — — (11.1 ) Proceeds from sale of assets — — 13.8 — 13.8 Proceeds from intercompany notes 80.0 — — (80.0 ) — Intercompany receivables and payables, net (205.0 ) (58.0 ) (19.4 ) 282.4 — Payment for equity contributions — (0.6 ) — 0.6 — Change in restricted cash — — 13.9 — 13.9 Net cash used by investing activities (125.0 ) (97.0 ) (95.2 ) 203.0 (114.2 ) Cash Flow from Financing Activities Cash payments on debt with original maturities greater than 90 days (80.2 ) — — — (80.2 ) Net increase (decrease) in debt with original maturities of 90 days or less 205.0 (0.3 ) 19.4 — 224.1 Payments for intercompany notes — (80.0 ) — 80.0 — Cash dividends paid (62.1 ) — — — (62.1 ) Proceeds from issuance of common shares, net 4.3 — — — 4.3 Excess tax benefits from share based payments 9.2 — — — 9.2 Intercompany receivables and payables, net 58.0 224.4 — (282.4 ) — Proceeds for equity contributions — — 0.6 (0.6 ) — Net cash from financing activities 134.2 144.1 20.0 (203.0 ) 95.3 Effect of exchange rate changes on cash — — (75.6 ) — (75.6 ) Net increase (decrease) in cash and cash equivalents — 12.0 (26.7 ) — (14.7 ) Cash and cash equivalents, beginning of period — 3.3 1,125.7 — 1,129.0 Cash and cash equivalents, end of period $ — $ 15.3 $ 1,099.0 $ — $ 1,114.3 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Mar. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On April 26, 2016 , the Company, Edgewell Personal Care Brands, LLC, a wholly-owned subsidiary of the Company ("Brands"), and certain other subsidiaries of the Company entered into Amendment No. 2 to Credit Agreement (the "Amendment"), amending the Credit Agreement dated June 1, 2015, as amended (the "Credit Agreement"), by and among the Company, Brands, JPMorgan Chase Bank, N.A., as administrative agent, and the various lenders who are a party thereto. The Amendment provides for an increase of $50.0 (from $600.0 to $650.0 ) in the revolving loans available to the Company and Brands pursuant to the Credit Agreement and the availability of a $185.0 term loan to Brands pursuant to the Credit Agreement. On April 26, 2016 , Brands borrowed $185.0 in a term loan under the Credit Agreement. The term loan matures on the third anniversary of the date of the Amendment, and bears interest at an annual rate equal to LIBOR plus the applicable margin of 1.075% - 1.575% based on total leverage, or the Alternate Base Rate plus the applicable margin, which will be 1.0% lower than for LIBOR loans (as such terms are defined in the Credit Agreement). The proceeds of the term loan borrowing were used to repay existing indebtedness of the Company and its subsidiaries. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Discontinued Operations [Abstract] | |
Schedule of Income Statement Information of Discontinued Operations | Net sales and (loss) income from New Energizer's operations were as follows: Three Months Ended March 31, 2015 Six Months Ended March 31, 2015 Net sales $ 357.0 $ 858.3 (Loss) earnings before income taxes from discontinued operations (28.3 ) 88.7 Income tax provision for discontinued operations 5.5 37.3 Net (loss) earnings from discontinued operations, net of tax $ (33.8 ) $ 51.4 |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Spin Restructuring | |
Restructuring Cost and Reserve [Line Items] | |
Schedule of Charges Related to Restructuring Activities | The Company does not include restructuring costs in the results of its reportable segments. The estimated impact of allocating such charges to segment results for the three and six months ended March 31, 2015 would have been as follows: Three Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total Spin Restructuring Severance and related benefit costs $ 11.0 $ 3.2 $ 1.2 $ 0.3 $ 1.0 $ 16.7 Other exit costs 1.8 0.4 2.5 1.4 — 6.1 Total Spin Restructuring $ 12.8 $ 3.6 $ 3.7 $ 1.7 $ 1.0 $ 22.8 Six Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total Spin Restructuring Severance and related benefit costs $ 11.3 $ 3.1 $ 1.3 $ 0.3 $ 1.3 $ 17.3 Other exit costs 1.9 0.6 2.7 1.5 — 6.7 Total Spin Restructuring $ 13.2 $ 3.7 $ 4.0 $ 1.8 $ 1.3 $ 24.0 |
Schedule of Restructuring Activities and Related Accruals | The following table summarizes the Spin restructuring activities and the related accruals which were included in Other current liabilities as of the dates below: Utilized October 1, 2015 Charge to Income Other (1) Cash Non-Cash March 31, 2016 Spin Restructuring Severance and related benefit costs $ 10.8 $ — $ 0.1 $ (3.2 ) $ — $ 7.7 Non-cash asset write-down — — — — — — Other exit costs 0.3 — — (0.3 ) — — Total Spin restructuring $ 11.1 $ — $ 0.1 $ (3.5 ) $ — $ 7.7 (1) Includes the impact of currency translation. Utilized October 1, 2014 Charge to Income (1) Other (2) Cash Non-Cash September 30, 2015 Spin Restructuring Severance and related benefit costs $ — $ 54.9 $ (15.6 ) $ (28.5 ) $ — $ 10.8 Non-cash asset write-down — 7.4 (0.1 ) — (7.3 ) — Other exit costs — 4.6 1.8 (6.1 ) — 0.3 Total Spin restructuring $ — $ 66.9 $ (13.9 ) $ (34.6 ) $ (7.3 ) $ 11.1 (1) Includes $38.6 of pre-tax costs that are now reflected in discontinued operations. (2) Includes the impact of currency translation and the transfer of liabilities to New Energizer. |
Restructuring Plan 2013 | |
Restructuring Cost and Reserve [Line Items] | |
Schedule of Charges Related to Restructuring Activities | Expense incurred under the 2013 Restructuring plan are reflected below, including the estimated impact of allocating such charges to segment results. The Company does not include restructuring costs in the results of its reportable segments. Three Months Ended March 31, 2016 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ (1.4 ) $ 0.2 $ 1.4 $ — $ — $ 0.2 Accelerated depreciation — — 0.5 — — 0.5 Consulting, program management and other exit costs 1.3 0.1 2.9 — — 4.3 Total 2013 Restructuring $ (0.1 ) $ 0.3 $ 4.8 $ — $ — $ 5.0 Six Months Ended March 31, 2016 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ 9.1 $ 0.2 $ 4.5 $ — $ — $ 13.8 Accelerated depreciation — — 1.2 — — 1.2 Consulting, program management and other exit costs 2.0 0.1 6.4 — — 8.5 Total 2013 Restructuring $ 11.1 $ 0.3 $ 12.1 $ — $ — $ 23.5 Three Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ — $ 0.4 $ 0.7 $ — $ — $ 1.1 Accelerated depreciation — — 1.6 — — 1.6 Consulting, program management and other exit costs 0.8 0.7 2.5 — (0.1 ) 3.9 Total 2013 Restructuring $ 0.8 $ 1.1 $ 4.8 $ — $ (0.1 ) $ 6.6 Six Months Ended March 31, 2015 Wet Shave Sun and Skin Care Feminine Care All Other Corporate Total 2013 Restructuring Severance and related benefit costs $ 0.6 $ 0.7 $ 2.9 $ — $ — $ 4.2 Accelerated depreciation — — 3.0 — — 3.0 Consulting, program management and other exit costs 1.4 1.2 5.2 — 0.8 8.6 Total 2013 Restructuring $ 2.0 $ 1.9 $ 11.1 $ — $ 0.8 $ 15.8 |
Schedule of Restructuring Activities and Related Accruals | The following table summarizes the 2013 Restructuring activities and related accrual for the first six months of fiscal 2016: Utilized October 1, 2015 Charge to Income Other (1) Cash Non-Cash March 31, 2016 2013 Restructuring Severance and termination related costs $ 13.7 $ 13.8 $ 0.8 $ (5.6 ) $ — $ 22.7 Asset impairment and accelerated depreciation — 1.2 — — (1.2 ) — Other related costs — 8.5 — (8.5 ) — — Total 2013 Restructuring $ 13.7 $ 23.5 $ 0.8 $ (14.1 ) $ (1.2 ) $ 22.7 (1) Includes the impact of currency translation. The following table summarizes the 2013 Restructuring activities and related accrual for fiscal 2015: Utilized October 1, 2014 Charge to Income (1) Other (2) Cash Non-Cash September 30, 2015 2013 Restructuring Severance and termination related costs $ 22.1 $ 13.0 $ (8.3 ) $ (13.1 ) $ — $ 13.7 Asset impairment and accelerated depreciation — 14.2 (0.5 ) — (13.7 ) — Other related costs 4.3 18.8 (1.2 ) (21.9 ) — — Net (gain) loss on asset sales — (11.0 ) 0.5 13.9 (3.4 ) — Total 2013 Restructuring $ 26.4 $ 35.0 $ (9.5 ) $ (21.1 ) $ (17.1 ) $ 13.7 (1) Includes $8.3 of pre-tax costs that are now reflected in discontinued operations. (2) Includes the impact of currency translation and the transfer of liabilities to New Energizer. |
Earnings (Loss) per Share (Tabl
Earnings (Loss) per Share (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings (Loss) per Share | Following is the reconciliation between the number of weighted-average shares used in the basic and diluted earnings (loss) per share calculation: Three Months Ended Six Months Ended 2016 2015 2016 2015 Basic weighted-average shares outstanding 59.4 62.2 59.6 62.1 Effect of dilutive securities: Share options — — — — RSE awards 0.5 — 0.5 0.4 Total dilutive securities 0.5 — 0.5 0.4 Diluted weighted-average shares outstanding 59.9 62.2 60.1 62.5 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Goodwill and Intangibles [Abstract] | |
Schedule of Goodwill | The following table sets forth goodwill by segment: Wet Shave Sun and Skin Care Feminine All Other Total Balance at October 1, 2015 $ 967.4 $ 178.0 $ 206.8 $ 69.6 $ 1,421.8 Cumulative translation adjustment 1.2 — 0.9 — 2.1 Balance at March 31, 2016 $ 968.6 $ 178.0 $ 207.7 $ 69.6 $ 1,423.9 |
Schedule of Amortizable Intangible Assets | Total amortizable intangible assets were as follows: March 31, 2016 September 30, 2015 Gross Accumulated Net Gross Carrying Amount Accumulated Amortization Net Tradenames and brands $ 14.7 $ 12.1 $ 2.6 $ 14.6 $ 11.9 $ 2.7 Technology and patents 76.9 67.7 9.2 76.8 65.5 11.3 Customer-related and other 146.4 77.3 69.1 147.8 72.8 75.0 Total amortizable intangible assets $ 238.0 $ 157.1 $ 80.9 $ 239.2 $ 150.2 $ 89.0 |
Supplemental Balance Sheet In27
Supplemental Balance Sheet Information (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Supplemental Financial Statement Information [Abstract] | |
Supplement Balance Sheet Information | March 31, September 30, Inventories Raw materials and supplies $ 57.3 $ 57.8 Work in process 54.9 50.1 Finished products 270.5 224.9 Total inventories $ 382.7 $ 332.8 Other Current Assets Miscellaneous receivables $ 51.9 $ 53.8 Deferred income tax benefits — 85.1 Prepaid expenses 69.0 56.9 Value added tax collectible from customers 21.6 19.9 Income taxes receivable 27.1 80.8 Other 11.2 15.4 Total other current assets $ 180.8 $ 311.9 Property, Plant and Equipment Land $ 27.9 $ 27.7 Buildings 132.7 131.1 Machinery and equipment 866.8 848.4 Construction in progress 73.9 54.3 Total gross property 1,101.3 1,061.5 Accumulated depreciation (619.3 ) (585.4 ) Total property, plant and equipment, net $ 482.0 $ 476.1 Other Current Liabilities Accrued advertising, sales promotion and allowances $ 66.0 $ 74.5 Accrued trade allowances 27.9 45.3 Accrued salaries, vacations and incentive compensation 39.4 46.8 Income taxes payable 27.9 25.3 Returns reserve 27.2 50.3 2013 restructuring reserve 22.7 13.7 Spin restructuring reserve 7.7 11.1 Separation accrual 2.0 11.3 Other 128.4 134.1 Total other current liabilities $ 349.2 $ 412.4 Other Liabilities Pensions and other retirement benefits $ 141.3 $ 242.7 Deferred compensation 85.1 90.6 Other non-current liabilities 60.8 87.7 Total other liabilities $ 287.2 $ 421.0 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Debt [Abstract] | |
Schedule of Long-term Debt | The detail of long-term debt was as follows: March 31, September 30, Senior Notes, fixed interest rate of 4.7%, due 2021 $ 600.0 $ 600.0 Senior Notes, fixed interest rate of 4.7%, due 2022, net of discount (1) 499.1 499.1 Netherlands revolving credit facility due 2017 279.3 269.9 U.S. revolving credit facility due 2020 465.0 335.0 Total long-term debt, including current maturities 1,843.4 1,704.0 Less current portion — — Total long-term debt $ 1,843.4 $ 1,704.0 (1) At March 31, 2016 , balances for the Senior Notes due 2022 are reflected net of discount of approximately $0.9 . |
Retirement Plans (Tables)
Retirement Plans (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Pension and Other Postretirement Benefits [Abstract] | |
Schedule of Net Periodic Pension Benefit Cost | The Company's net periodic pension benefit cost for these plans was as follows: Three Months Ended March 31, Six Months Ended March 31, 2016 2015 2016 2015 Service cost $ 1.3 $ 2.1 $ 2.6 $ 4.4 Interest cost 5.6 11.8 11.1 24.0 Expected return on plan assets (7.7 ) (17.6 ) (14.6 ) (35.4 ) Amortization of unrecognized prior service cost — — — 0.1 Recognized net actuarial loss (gain) 1.0 2.3 2.0 4.8 Net periodic benefit cost 0.2 (1.4 ) 1.1 (2.1 ) Net periodic benefit cost associated with New Energizer — (2.0 ) — (4.0 ) Net periodic benefit cost included in continuing operations $ 0.2 $ 0.6 $ 1.1 $ 1.9 |
Accumulated Other Comprehensi30
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Accumulated Other Comprehensive (Loss) Income [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | The following table presents the changes in accumulated other comprehensive loss ("AOCI"), net of tax, by component: Foreign Currency Translation Adjustments Pension and Post-retirement Activity Hedging Activity Total Balance at October 1, 2015 $ (69.1 ) $ (105.7 ) $ 3.3 $ (171.5 ) OCI before reclassifications (1) 7.3 (7.3 ) (9.4 ) (9.4 ) Reclassifications to earnings — 1.3 3.2 4.5 Balance at March 31, 2016 $ (61.8 ) $ (111.7 ) $ (2.9 ) $ (176.4 ) Foreign Currency Translation Adjustments Pension and Post-retirement Activity Hedging Activity Total Balance at October 1, 2014 (2) $ (78.2 ) $ (202.8 ) $ 9.9 $ (271.1 ) OCI before reclassifications (1) (173.1 ) 7.5 (1.0 ) (166.6 ) Venezuela deconsolidation charge 33.7 — — 33.7 Reclassifications to earnings — 2.9 10.2 13.1 Balance at March 31, 2015 (2) $ (217.6 ) $ (192.4 ) $ 19.1 $ (390.9 ) (1) OCI is defined as Other comprehensive loss. (2) Includes balances related to New Energizer. |
Schedule of Reclassifications out of Accumulated Other Comprehensive Loss | The following table presents the reclassifications out of AOCI: For the Three Months Ended March 31, For the Six Months Ended March 31, Affected Line Item in the Condensed Consolidated Statements of Earnings Details of AOCI Components 2016 2015 2016 2015 Gains and losses on cash flow hedges Foreign exchange contracts $ 1.0 $ 8.9 $ 4.6 $ 14.5 Other income, net 1.0 8.9 4.6 14.5 Total before tax (0.3 ) (2.6 ) (1.4 ) (4.3 ) Tax expense $ 0.7 $ 6.3 $ 3.2 $ 10.2 Net of tax Amortization of defined benefit pension and postretirement items Prior service costs $ — $ (0.1 ) $ — $ — (1) Actuarial losses 1.0 2.1 2.0 4.4 (1) 1.0 2.0 2.0 4.4 Total before tax (0.3 ) (0.7 ) (0.7 ) (1.5 ) Tax expense $ 0.7 $ 1.3 $ 1.3 $ 2.9 Net of tax Foreign currency translation adjustments Venezuela deconsolidation charge $ — $ 33.7 $ — $ 33.7 Venezuela deconsolidation charge $ — $ 33.7 $ — $ 33.7 Total reclassifications for the period $ 1.4 $ 41.3 $ 4.5 $ 46.8 Net of tax (1) These AOCI components are included in the computation of net periodic benefit cost (see Note 9 of Notes to Condensed Consolidated Financial Statements for further details). |
Financial Instruments and Ris31
Financial Instruments and Risk Management (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Financial Instruments and Risk Management [Abstract] | |
Schedule of Derivative Instruments Designated as Cash Flow Hedges | The following table provides estimated fair values and the amounts of gains and losses on derivative instruments classified as cash flow hedges: At March 31, 2016 For the Three Months Ended March 31, 2016 For the Six Months Ended March 31, 2016 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value, Liability (1) (2) Loss Recognized in OCI (3) Gain Reclassified From OCI into Income(Effective Portion) (4) (5) Loss Recognized in OCI (3) Gain Reclassified From OCI into Income(Effective Portion) (4) (5) Foreign currency contracts $ (4.5 ) $ (5.3 ) $ 1.0 $ (4.5 ) $ 4.6 At September 30, 2015 For the Three Months Ended March 31, 2015 For the Six Months Ended March 31, 2015 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value, Asset (1) (2) Gain Recognized (3) Gain Reclassified From OCI into Income(Effective (4) (5) Gain Recognized in OCI (3) Gain Reclassified From OCI into Income(Effective Portion) (4) (5) Foreign currency contracts $ 4.6 $ 14.8 $ 8.9 $ 26.9 $ 14.5 (1) All derivative assets are presented in Other current assets or Other assets. (2) All derivative liabilities are presented in Other current liabilities or Other liabilities. (3) OCI is defined as Other comprehensive loss. (4) Gain reclassified to income was recorded in Other income, net. (5) Each of these derivative instruments had a high correlation to the underlying exposure being hedged for the periods indicated and had been deemed highly effective in offsetting associated risk. |
Schedule of Derivative Instruments Not Designated as Cash Flow Hedges | The following table provides estimated fair values and the amounts of gains and losses on derivative instruments not classified as cash flow hedges: At March 31, 2016 For the Three Months Ended March 31, 2016 For the Six Months Ended March 31, 2016 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value, Liability Loss Recognized in Income (1) Loss Recognized in Income (1) Foreign currency contracts $ (1.5 ) $ (4.3 ) $ (4.3 ) At September 30, 2015 For the Three Months Ended March 31, 2015 For the Six Months Ended March 31, 2015 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value, Asset Gain Recognized in Income (1) Gain Recognized in Income (1) Share option (2) $ — $ — $ 0.5 Foreign currency contracts 1.3 0.3 5.4 Total $ 1.3 $ 0.3 $ 5.9 (1) Gain (loss) recognized in income was recorded as follows: share option in SG&A and foreign currency contracts in Other income, net. (2) The Company held a share option with a major financial institution, which matured in November 2014 and was subsequently not renewed. |
Schedule of Offsetting Assets and Liabilities | The following table provides financial assets and liabilities as required by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At March 31, 2016 At September 30, 2015 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 0.8 $ (0.1 ) $ 0.7 $ 6.6 $ (0.5 ) $ 6.1 Offsetting of derivative liabilities At March 31, 2016 At September 30, 2015 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ (6.8 ) $ 0.1 $ (6.7 ) $ (0.2 ) $ — $ (0.2 ) |
Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis | The following table sets forth the Company's financial assets and liabilities, which are carried at fair value that are measured on a recurring basis during the period, segregated by level within the fair value hierarchy: Level 2 March 31, September 30, Assets (Liabilities) at estimated fair value: Deferred compensation $ (84.5 ) $ (90.0 ) Derivatives - foreign currency contracts (6.0 ) 5.9 Net liabilities at estimated fair value $ (90.5 ) $ (84.1 ) |
Segment Data (Tables)
Segment Data (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Segments [Abstract] | |
Schedule of Segment Sales and Profitability | Segment net sales and profitability are presented below: Three Months Ended March 31, Six Months Ended March 31, 2016 2015 2016 2015 Net Sales Wet Shave $ 353.4 $ 372.2 $ 669.7 $ 713.6 Sun and Skin Care 132.5 130.2 186.0 184.5 Feminine Care 91.6 101.6 184.1 197.4 All Other 33.7 47.1 66.5 92.7 Total net sales $ 611.2 $ 651.1 $ 1,106.3 $ 1,188.2 Segment Profit Wet Shave $ 77.7 $ 99.8 $ 144.5 $ 190.3 Sun and Skin Care 39.2 37.3 40.9 41.0 Feminine Care 10.5 20.9 28.1 36.1 All Other 8.0 7.1 15.2 13.9 Total segment profit 135.4 165.1 228.7 281.3 General corporate and other expenses (20.3 ) (38.6 ) (38.0 ) (70.0 ) Venezuela deconsolidation charge — (79.3 ) — (79.3 ) Spin costs (1) (1.7 ) (32.2 ) (9.2 ) (56.0 ) Spin restructuring charges — (22.8 ) — (24.0 ) 2013 Restructuring and related costs (2) (5.1 ) (6.6 ) (23.6 ) (15.8 ) Industrial sale charges (0.2 ) — (0.2 ) — Amortization of intangibles (3.6 ) (3.6 ) (7.2 ) (7.7 ) Interest and other expense, net (13.2 ) (26.8 ) (28.5 ) (54.2 ) Total earnings (loss) before income taxes $ 91.3 $ (44.8 ) $ 122.0 $ (25.7 ) (1) Includes pre-tax SG&A of $1.7 and $9.0 for the three and six months ended March 31, 2016 , respectively, and $31.5 and $55.3 for the three and six months ended March 31, 2015 , respectively, and pre-tax Cost of products sold of $0.2 for the six months ended March 31, 2016 and $0.7 for the three and six months ended March 31, 2015 . (2) Includes pre-tax Cost of products sold of $0.1 for the three and six months ended March 31, 2016 associated with obsolescence charges related to the exit of certain non-core product lines as part of the restructuring. The non-core inventory obsolescence charges are considered part of the total project costs incurred for the restructuring project. There were no non-core inventory obsolescence charges during the three and six months ended March 31, 2015 . |
Schedule of Supplemental Product Information | Supplemental product information is presented below for net sales: Three Months Ended Six Months Ended 2016 2015 2016 2015 Razors and blades $ 315.7 $ 332.8 $ 589.8 $ 636.4 Tampons, pads and liners 91.6 101.6 184.1 197.4 Sun care products 114.9 111.4 151.8 145.2 Infant care and other 33.7 47.1 66.5 92.7 Shaving gels and creams 37.7 39.4 79.9 77.2 Skin care products 17.6 18.8 34.2 39.3 Total net sales $ 611.2 $ 651.1 $ 1,106.3 $ 1,188.2 |
Guarantor and Non-Guarantor F33
Guarantor and Non-Guarantor Financial Information (Tables) | 6 Months Ended |
Mar. 31, 2016 | |
Guarantor and Non-Guarantor Financial Information [Abstract] | |
Schedule of Condensed Consolidating Statements of Earnings and Comprehensive Income (Loss) | EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME Three Months Ended March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 440.1 $ 289.2 $ (118.1 ) $ 611.2 Cost of products sold — 246.4 171.4 (117.7 ) 300.1 Gross profit — 193.7 117.8 (0.4 ) 311.1 Selling, general and administrative expense 0.8 67.0 31.9 — 99.7 Advertising and sales promotion expense — 56.1 29.0 (0.1 ) 85.0 Research and development expense — 16.3 0.4 — 16.7 2013 restructuring charges — 3.9 1.1 — 5.0 Industrial sale charges — 0.2 — — 0.2 Interest expense 11.3 4.7 1.8 — 17.8 Other income, net — (2.8 ) (1.8 ) — (4.6 ) Intercompany service fees — (3.9 ) 3.9 — — Equity in earnings of subsidiaries (73.7 ) (37.4 ) — 111.1 — Earnings before income taxes 61.6 89.6 51.5 (111.4 ) 91.3 Income tax (benefit) provision (4.5 ) 19.6 10.4 (0.3 ) 25.2 Net earnings $ 66.1 $ 70.0 $ 41.1 $ (111.1 ) $ 66.1 Statement of Comprehensive Income: Net earnings $ 66.1 $ 70.0 $ 41.1 $ (111.1 ) $ 66.1 Other comprehensive income (loss), net of tax 7.0 (9.8 ) 7.3 2.5 7.0 Total comprehensive income $ 73.1 $ 60.2 $ 48.4 $ (108.6 ) $ 73.1 EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME Six Months Ended March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 776.9 $ 558.7 $ (229.3 ) $ 1,106.3 Cost of products sold — 451.3 346.2 (229.8 ) 567.7 Gross profit — 325.6 212.5 0.5 538.6 Selling, general and administrative expense 3.9 127.7 68.5 — 200.1 Advertising and sales promotion expense — 83.6 48.2 (0.2 ) 131.6 Research and development expense — 31.9 0.8 — 32.7 2013 restructuring charges — 8.6 14.9 — 23.5 Industrial sale charges — 0.2 — — 0.2 Interest expense 27.5 4.7 3.3 — 35.5 Other income, net — (5.2 ) (1.8 ) — (7.0 ) Intercompany service fees — (9.4 ) 9.4 — — Equity in earnings of subsidiaries (109.5 ) (49.8 ) — 159.3 — Earnings before income taxes 78.1 133.3 69.2 (158.6 ) 122.0 Income tax (benefit) provision (11.7 ) 29.6 13.6 0.7 32.2 Net earnings $ 89.8 $ 103.7 $ 55.6 $ (159.3 ) $ 89.8 Statement of Comprehensive Income: Net earnings $ 89.8 $ 103.7 $ 55.6 $ (159.3 ) $ 89.8 Other comprehensive loss, net of tax (4.9 ) (11.7 ) (4.2 ) 15.9 (4.9 ) Total comprehensive income $ 84.9 $ 92.0 $ 51.4 $ (143.4 ) $ 84.9 EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE LOSS Three Months Ended March 31, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 468.7 $ 235.7 $ (53.3 ) $ 651.1 Cost of products sold — 264.3 104.5 (52.0 ) 316.8 Gross profit — 204.4 131.2 (1.3 ) 334.3 Selling, general and administrative expense 22.5 77.7 49.0 — 149.2 Advertising and sales promotion expense — 46.9 31.6 (0.1 ) 78.4 Research and development expense — 15.6 0.4 — 16.0 Venezuela deconsolidation charge — 66.7 12.6 — 79.3 Spin restructuring charges — 3.1 19.7 — 22.8 2013 restructuring charges — (8.6 ) 15.2 — 6.6 Interest expense 27.3 — 0.8 — 28.1 Intercompany interest (income) expense (26.7 ) 26.7 — — — Other income, net — — (1.3 ) — (1.3 ) Intercompany service fees — 7.0 (7.0 ) — — Equity in earnings of subsidiaries 54.4 (32.4 ) — (22.0 ) — (Loss) earnings from continuing operations before income taxes (77.5 ) 1.7 10.2 20.8 (44.8 ) Income tax (benefit) provision (3.0 ) 10.9 3.1 (1.2 ) 9.8 (Loss) earnings from continuing operations (74.5 ) (9.2 ) 7.1 22.0 (54.6 ) (Loss) earnings from discontinued operations, net of tax (13.9 ) (47.3 ) 27.4 — (33.8 ) Net (loss) earnings $ (88.4 ) $ (56.5 ) $ 34.5 $ 22.0 $ (88.4 ) Statement of Comprehensive Loss: Net (loss) earnings $ (88.4 ) $ (56.5 ) $ 34.5 $ 22.0 $ (88.4 ) Other comprehensive loss, net of tax (66.4 ) (23.8 ) (67.3 ) 91.1 (66.4 ) Total comprehensive loss $ (154.8 ) $ (80.3 ) $ (32.8 ) $ 113.1 $ (154.8 ) EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF EARNINGS AND COMPREHENSIVE (LOSS) INCOME Six Months Ended March 31, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Net sales $ — $ 817.7 $ 451.5 $ (81.0 ) $ 1,188.2 Cost of products sold — 475.6 199.6 (78.1 ) 597.1 Gross profit — 342.1 251.9 (2.9 ) 591.1 Selling, general and administrative expense 39.7 144.6 98.4 — 282.7 Advertising and sales promotion expense — 73.2 56.1 (0.2 ) 129.1 Research and development expense — 30.7 1.0 — 31.7 Venezuela deconsolidation charge — 66.7 12.6 — 79.3 Spin restructuring charges — 2.6 21.4 — 24.0 2013 restructuring charges — 6.7 9.1 — 15.8 Interest expense 54.3 — 1.6 — 55.9 Intercompany interest (income) expense (53.2 ) 53.2 — — — Other expense (income), net — 0.2 (1.9 ) — (1.7 ) Intercompany service fees — 12.8 (12.8 ) — — Equity in earnings of subsidiaries (70.6 ) (133.7 ) — 204.3 — Earnings from continuing operations before income taxes 29.8 85.1 66.4 (207.0 ) (25.7 ) Income tax (benefit) provision (5.2 ) 4.1 12.8 (2.7 ) 9.0 Earnings from continuing operations 35.0 81.0 53.6 (204.3 ) (34.7 ) (Loss) earnings from discontinued operations, net of tax (18.3 ) (15.4 ) 85.1 — 51.4 Net earnings $ 16.7 $ 65.6 $ 138.7 $ (204.3 ) $ 16.7 Statement of Comprehensive (Loss) Income: Net earnings $ 16.7 $ 65.6 $ 138.7 $ (204.3 ) $ 16.7 Other comprehensive loss, net of tax (119.8 ) (58.3 ) (121.4 ) 179.7 (119.8 ) Total comprehensive (loss) income $ (103.1 ) $ 7.3 $ 17.3 $ (24.6 ) $ (103.1 ) |
Schedule of Condensed Consolidating Balance Sheets | EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING BALANCE SHEETS March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Assets Current assets Cash and cash equivalents $ — $ 21.9 $ 638.6 $ — $ 660.5 Trade receivables, net — 144.2 147.3 — 291.5 Inventories — 245.7 156.6 (19.6 ) 382.7 Other current assets — 52.1 122.4 6.3 180.8 Total current assets — 463.9 1,064.9 (13.3 ) 1,515.5 Investment in subsidiaries 3,404.6 820.1 — (4,224.7 ) — Intercompany receivables, net (1) — 352.0 66.5 (418.5 ) — Intercompany notes receivable (1) — 1.9 — (1.9 ) — Property, plant and equipment, net — 324.4 157.6 — 482.0 Goodwill — 1,061.9 362.0 — 1,423.9 Other intangible assets, net — 1,248.0 153.6 — 1,401.6 Other assets 7.6 86.5 32.3 — 126.4 Total assets $ 3,412.2 $ 4,358.7 $ 1,836.9 $ (4,658.4 ) $ 4,949.4 Liabilities and Shareholders' Equity Current liabilities $ 21.8 $ 296.2 $ 283.4 $ — $ 601.4 Intercompany payables, net (1) 418.5 — — (418.5 ) — Intercompany notes payable (1) — — 1.9 (1.9 ) — Long-term debt 1,099.1 465.0 279.3 — 1,843.4 Deferred income tax liabilities — 314.1 30.5 — 344.6 Other liabilities — 252.6 34.6 — 287.2 Total liabilities 1,539.4 1,327.9 629.7 (420.4 ) 3,076.6 Total shareholders' equity 1,872.8 3,030.8 1,207.2 (4,238.0 ) 1,872.8 Total liabilities and shareholders' equity $ 3,412.2 $ 4,358.7 $ 1,836.9 $ (4,658.4 ) $ 4,949.4 (1) Intercompany activities include product purchases between Guarantors and Non-Guarantors, charges for services provided by the Parent Company and various subsidiaries to other affiliates within the consolidated entity and other intercompany activities in the normal course of business. EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING BALANCE SHEETS September 30, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Assets Current assets Cash and cash equivalents $ — $ 2.9 $ 709.2 $ — $ 712.1 Trade receivables, net — 113.7 166.1 — 279.8 Inventories — 200.3 174.0 (41.5 ) 332.8 Other current assets — 171.9 132.9 7.1 311.9 Total current assets — 488.8 1,182.2 (34.4 ) 1,636.6 Investment in subsidiaries 3,409.8 793.6 — (4,203.4 ) — Intercompany receivables, net (1) — 230.9 53.4 (284.3 ) — Intercompany notes receivable (1) 189.1 1.9 — (191.0 ) — Property, plant and equipment, net — 303.6 172.5 — 476.1 Goodwill — 1,061.9 359.9 — 1,421.8 Other intangible assets, net — 1,254.4 154.1 — 1,408.5 Other assets 8.2 21.9 18.6 — 48.7 Total assets $ 3,607.1 $ 4,157.0 $ 1,940.7 $ (4,713.1 ) $ 4,991.7 Liabilities and Shareholders' Equity Current liabilities $ 22.0 $ 313.0 $ 331.8 $ — $ 666.8 Intercompany payables, net (1) 284.3 — — (284.3 ) — Intercompany notes payable (1) — 189.1 1.9 (191.0 ) — Long-term debt 1,434.1 — 269.9 — 1,704.0 Deferred income tax liabilities — 304.4 31.4 — 335.8 Other liabilities 2.6 315.5 137.3 (34.4 ) 421.0 Total liabilities 1,743.0 1,122.0 772.3 (509.7 ) 3,127.6 Total shareholders' equity 1,864.1 3,035.0 1,168.4 (4,203.4 ) 1,864.1 Total liabilities and shareholders' equity $ 3,607.1 $ 4,157.0 $ 1,940.7 $ (4,713.1 ) $ 4,991.7 (1) Intercompany activities include product purchases between Guarantors and Non-Guarantors, charges for services provided by the Parent Company and various subsidiaries to other affiliates within the consolidated entity and other intercompany activities in the normal course of business. |
Schedule of Condensed Consolidating Statements of Cash Flows | EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Six Months Ended March 31, 2016 Parent Company Guarantors Non-Guarantors Eliminations Total Net cash flow from (used by) operations $ 78.9 $ (74.5 ) $ (77.0 ) $ — $ (72.6 ) Cash Flow from Investing Activities Capital expenditures — (30.7 ) (3.8 ) — (34.5 ) Payment for equity contributions — (0.5 ) — 0.5 — Net cash used by investing activities — (31.2 ) (3.8 ) 0.5 (34.5 ) Cash Flow from Financing Activities Cash proceeds from debt with original maturities greater than 90 days — 391.0 4.3 — 395.3 Cash payments on debt with original maturities greater than 90 days — (261.0 ) — — (261.0 ) Net decrease in debt with original maturities of 90 days or less — (5.3 ) (0.3 ) — (5.6 ) Common shares purchased (78.9 ) — — — (78.9 ) Proceeds for equity contributions — — 0.5 (0.5 ) — Net cash (used by) from financing activities (78.9 ) 124.7 4.5 (0.5 ) 49.8 Effect of exchange rate changes on cash — — 5.7 — 5.7 Net increase (decrease) in cash and cash equivalents — 19.0 (70.6 ) — (51.6 ) Cash and cash equivalents, beginning of period — 2.9 709.2 — 712.1 Cash and cash equivalents, end of period $ — $ 21.9 $ 638.6 $ — $ 660.5 EDGEWELL PERSONAL CARE COMPANY CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Six Months Ended March 31, 2015 Parent Company Guarantors Non-Guarantors Eliminations Total Net cash flow (used by) from operations $ (9.2 ) $ (35.1 ) $ 124.1 $ — $ 79.8 Cash Flow from Investing Activities Capital expenditures — (27.3 ) (9.7 ) — (37.0 ) Change related to Venezuelan operations — — (93.8 ) — (93.8 ) Acquisitions, net of cash acquired — (11.1 ) — — (11.1 ) Proceeds from sale of assets — — 13.8 — 13.8 Proceeds from intercompany notes 80.0 — — (80.0 ) — Intercompany receivables and payables, net (205.0 ) (58.0 ) (19.4 ) 282.4 — Payment for equity contributions — (0.6 ) — 0.6 — Change in restricted cash — — 13.9 — 13.9 Net cash used by investing activities (125.0 ) (97.0 ) (95.2 ) 203.0 (114.2 ) Cash Flow from Financing Activities Cash payments on debt with original maturities greater than 90 days (80.2 ) — — — (80.2 ) Net increase (decrease) in debt with original maturities of 90 days or less 205.0 (0.3 ) 19.4 — 224.1 Payments for intercompany notes — (80.0 ) — 80.0 — Cash dividends paid (62.1 ) — — — (62.1 ) Proceeds from issuance of common shares, net 4.3 — — — 4.3 Excess tax benefits from share based payments 9.2 — — — 9.2 Intercompany receivables and payables, net 58.0 224.4 — (282.4 ) — Proceeds for equity contributions — — 0.6 (0.6 ) — Net cash from financing activities 134.2 144.1 20.0 (203.0 ) 95.3 Effect of exchange rate changes on cash — — (75.6 ) — (75.6 ) Net increase (decrease) in cash and cash equivalents — 12.0 (26.7 ) — (14.7 ) Cash and cash equivalents, beginning of period — 3.3 1,125.7 — 1,129.0 Cash and cash equivalents, end of period $ — $ 15.3 $ 1,099.0 $ — $ 1,114.3 |
Background and Basis of Prese34
Background and Basis of Presentation (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2016USD ($)brandscountry | Dec. 31, 2015USD ($) | Mar. 31, 2015USD ($) | Mar. 31, 2016USD ($)brandscountry | Mar. 31, 2015USD ($) | |
Background and Basis of Presentation [Abstract] | |||||
Number of brands | brands | 25 | 25 | |||
Number of countries in which Edgewell operates | country | 50 | 50 | |||
Repayments of long-term debt presented gross that were previously presented net | $ 203 | ||||
Venezuela deconsolidation charge, including amount attributable to discontinued operations | $ 144.5 | $ 0 | $ 144.5 | ||
Venezuela deconsolidation charge | $ 0 | 79.3 | 0 | 79.3 | |
Foreign currency translation losses recorded in accumulated other comprehensive income | 18.5 | ||||
Venezuela intercompany receivables written off | $ 18.5 | $ 18.5 | |||
Deferred income tax assets reclassified to non-current | 85.1 | 85.1 | |||
Deferred income tax liabilities reclassified to non-current | $ 0.7 | $ 0.7 |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | 23 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Sep. 30, 2015 | Mar. 31, 2016 | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Incremental costs to evaluate, plan and execute the Separation | [1] | $ 1.7 | $ 32.2 | $ 9.2 | $ 56 | ||
Spin restructuring charges | 0 | 22.8 | 0 | 24 | |||
New Energizer | Spinoff | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Charges related to spin and spin restructuring | 55 | 9.2 | 80 | $ 203.9 | |||
Spin restructuring charges | 22.8 | 24 | 28.3 | ||||
New Energizer | Spinoff | Selling, general and administrative expense | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Incremental costs to evaluate, plan and execute the Separation | 1.7 | 31.5 | 9 | 55.3 | 171.2 | ||
New Energizer | Spinoff | Cost of products sold | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Incremental costs to evaluate, plan and execute the Separation | 0.7 | 0.2 | 0.7 | 4.4 | |||
New Energizer | Spinoff | Discontinued operations | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Incremental costs to evaluate, plan and execute the Separation | 16.1 | 33.1 | |||||
Spin restructuring charges | $ 22.7 | $ 24.3 | $ 38.6 | ||||
Non-Cash | New Energizer | Spinoff | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Charges related to spin and spin restructuring | 9.7 | ||||||
Minimum | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Incremental costs to evaluate, plan and execute the Separation, total for fiscal 2016 | 10 | 10 | 10 | ||||
Maximum | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||
Incremental costs to evaluate, plan and execute the Separation, total for fiscal 2016 | $ 12 | $ 12 | $ 12 | ||||
[1] | Includes pre-tax SG&A of $1.7 and $9.0 for the three and six months ended March 31, 2016, respectively, and $31.5 and $55.3 for the three and six months ended March 31, 2015, respectively, and pre-tax Cost of products sold of $0.2 for the six months ended March 31, 2016 and $0.7 for the three and six months ended March 31, 2015. |
Discontinued Operations (Schedu
Discontinued Operations (Schedule of Income Statement Information of Discontinued Operations) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Net (loss) earnings from discontinued operations, net of tax | $ 0 | $ (33.8) | $ 0 | $ 51.4 |
New Energizer | Spinoff | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Net sales | 357 | 858.3 | ||
(Loss) earnings before income taxes from discontinued operations | (28.3) | 88.7 | ||
Income tax provision for discontinued operations | 5.5 | 37.3 | ||
Net (loss) earnings from discontinued operations, net of tax | $ (33.8) | $ 51.4 |
Restructuring Charges (Narrativ
Restructuring Charges (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 23 Months Ended | |||||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Restructuring Cost and Reserve [Line Items] | ||||||||
Spin restructuring charges | $ 0 | $ 22.8 | $ 0 | $ 24 | ||||
Inventory obsolescence charges | [1] | 5.1 | 6.6 | 23.6 | 15.8 | |||
Restructuring Plan 2013 | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Spin restructuring reserve | 22.7 | 22.7 | $ 22.7 | $ 13.7 | $ 26.4 | |||
Minimum | Restructuring Plan 2013 | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
2013 Restructuring, expected costs, 2016 | 40 | 40 | 40 | |||||
2013 Restructuring, expected costs, 2017 | 5 | 5 | 5 | |||||
Maximum | Restructuring Plan 2013 | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
2013 Restructuring, expected costs, 2016 | 45 | 45 | 45 | |||||
2013 Restructuring, expected costs, 2017 | 10 | 10 | 10 | |||||
Spinoff | New Energizer | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Spin restructuring charges | 22.8 | 24 | 28.3 | |||||
Spinoff | New Energizer | Spin Restructuring | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Spin restructuring reserve | 7.7 | 7.7 | $ 7.7 | $ 11.1 | $ 0 | |||
Cost of products sold | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Inventory obsolescence charges | $ 0.1 | $ 0 | $ 0.1 | $ 0 | ||||
[1] | Includes pre-tax Cost of products sold of $0.1 for the three and six months ended March 31, 2016 associated with obsolescence charges related to the exit of certain non-core product lines as part of the restructuring. The non-core inventory obsolescence charges are considered part of the total project costs incurred for the restructuring project. There were no non-core inventory obsolescence charges during the three and six months ended March 31, 2015. |
Restructuring Charges (Schedule
Restructuring Charges (Schedule of Charges Related to Restructuring Activities) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 23 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | $ 0 | $ 22.8 | $ 0 | $ 24 | |
2013 restructuring charges | 5 | 6.6 | 23.5 | 15.8 | |
Restructuring Plan 2013 | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 5 | 6.6 | 23.5 | 15.8 | |
Restructuring Plan 2013 | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0.2 | 1.1 | 13.8 | 4.2 | |
Restructuring Plan 2013 | Accelerated depreciation | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0.5 | 1.6 | 1.2 | 3 | |
Restructuring Plan 2013 | Consulting, program management and other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 4.3 | 3.9 | 8.5 | 8.6 | |
Restructuring Plan 2013 | Wet Shave | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | (0.1) | 0.8 | 11.1 | 2 | |
Restructuring Plan 2013 | Wet Shave | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | (1.4) | 0 | 9.1 | 0.6 | |
Restructuring Plan 2013 | Wet Shave | Accelerated depreciation | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | Wet Shave | Consulting, program management and other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 1.3 | 0.8 | 2 | 1.4 | |
Restructuring Plan 2013 | Sun and Skin Care | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0.3 | 1.1 | 0.3 | 1.9 | |
Restructuring Plan 2013 | Sun and Skin Care | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0.2 | 0.4 | 0.2 | 0.7 | |
Restructuring Plan 2013 | Sun and Skin Care | Accelerated depreciation | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | Sun and Skin Care | Consulting, program management and other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0.1 | 0.7 | 0.1 | 1.2 | |
Restructuring Plan 2013 | Feminine Care | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 4.8 | 4.8 | 12.1 | 11.1 | |
Restructuring Plan 2013 | Feminine Care | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 1.4 | 0.7 | 4.5 | 2.9 | |
Restructuring Plan 2013 | Feminine Care | Accelerated depreciation | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0.5 | 1.6 | 1.2 | 3 | |
Restructuring Plan 2013 | Feminine Care | Consulting, program management and other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 2.9 | 2.5 | 6.4 | 5.2 | |
Restructuring Plan 2013 | All Other | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | All Other | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | All Other | Accelerated depreciation | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | All Other | Consulting, program management and other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | Corporate | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | (0.1) | 0 | 0.8 | |
Restructuring Plan 2013 | Corporate | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | Corporate | Accelerated depreciation | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | 0 | 0 | 0 | 0 | |
Restructuring Plan 2013 | Corporate | Consulting, program management and other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
2013 restructuring charges | $ 0 | (0.1) | $ 0 | 0.8 | |
Spinoff | New Energizer | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 22.8 | 24 | $ 28.3 | ||
Spinoff | New Energizer | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 16.7 | 17.3 | |||
Spinoff | New Energizer | Other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 6.1 | 6.7 | |||
Spinoff | New Energizer | Wet Shave | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 12.8 | 13.2 | |||
Spinoff | New Energizer | Wet Shave | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 11 | 11.3 | |||
Spinoff | New Energizer | Wet Shave | Other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 1.8 | 1.9 | |||
Spinoff | New Energizer | Sun and Skin Care | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 3.6 | 3.7 | |||
Spinoff | New Energizer | Sun and Skin Care | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 3.2 | 3.1 | |||
Spinoff | New Energizer | Sun and Skin Care | Other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 0.4 | 0.6 | |||
Spinoff | New Energizer | Feminine Care | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 3.7 | 4 | |||
Spinoff | New Energizer | Feminine Care | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 1.2 | 1.3 | |||
Spinoff | New Energizer | Feminine Care | Other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 2.5 | 2.7 | |||
Spinoff | New Energizer | All Other | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 1.7 | 1.8 | |||
Spinoff | New Energizer | All Other | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 0.3 | 0.3 | |||
Spinoff | New Energizer | All Other | Other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 1.4 | 1.5 | |||
Spinoff | New Energizer | Corporate | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 1 | 1.3 | |||
Spinoff | New Energizer | Corporate | Severance and related benefit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | 1 | 1.3 | |||
Spinoff | New Energizer | Corporate | Other exit costs | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Spin restructuring charges | $ 0 | $ 0 |
Restructuring Charges (Schedu39
Restructuring Charges (Schedule of Restructuring Activities and Related Accruals) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | 23 Months Ended | |||||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Sep. 30, 2015 | Mar. 31, 2016 | ||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Spin restructuring charges | $ 0 | $ 22.8 | $ 0 | $ 24 | |||||
2013 restructuring charges | 5 | 6.6 | 23.5 | 15.8 | |||||
Restructuring Plan 2013 | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
2013 restructuring charges | 5 | 6.6 | 23.5 | 15.8 | |||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 13.7 | 26.4 | $ 26.4 | ||||||
Charge to Income | 23.5 | 35 | [1] | ||||||
Other | 0.8 | [2] | (9.5) | [3] | |||||
Utilized - Cash | (14.1) | (21.1) | |||||||
Utilized - Non-Cash | (1.2) | (17.1) | |||||||
Ending Balance | 22.7 | 22.7 | 13.7 | $ 22.7 | |||||
Severance and related benefit costs | Restructuring Plan 2013 | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
2013 restructuring charges | 0.2 | 1.1 | 13.8 | 4.2 | |||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 13.7 | 22.1 | 22.1 | ||||||
Charge to Income | 13.8 | 13 | [1] | ||||||
Other | 0.8 | [2] | (8.3) | [3] | |||||
Utilized - Cash | (5.6) | (13.1) | |||||||
Utilized - Non-Cash | 0 | 0 | |||||||
Ending Balance | 22.7 | 22.7 | 13.7 | 22.7 | |||||
Asset impairment and accelerated depreciation | Restructuring Plan 2013 | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 0 | 0 | 0 | ||||||
Charge to Income | 1.2 | 14.2 | [1] | ||||||
Other | 0 | [2] | (0.5) | [3] | |||||
Utilized - Cash | 0 | 0 | |||||||
Utilized - Non-Cash | (1.2) | (13.7) | |||||||
Ending Balance | 0 | 0 | 0 | 0 | |||||
Other exit costs | Restructuring Plan 2013 | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 0 | 4.3 | 4.3 | ||||||
Charge to Income | 8.5 | 18.8 | [1] | ||||||
Other | 0 | [2] | (1.2) | [3] | |||||
Utilized - Cash | (8.5) | (21.9) | |||||||
Utilized - Non-Cash | 0 | 0 | |||||||
Ending Balance | 0 | 0 | 0 | 0 | |||||
Net (gain) loss on asset sales | Restructuring Plan 2013 | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 0 | 0 | 0 | ||||||
Charge to Income | [1] | (11) | |||||||
Other | [3] | 0.5 | |||||||
Utilized - Cash | 13.9 | ||||||||
Utilized - Non-Cash | (3.4) | ||||||||
Ending Balance | 0 | ||||||||
Spinoff | New Energizer | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Spin restructuring charges | 22.8 | 24 | 28.3 | ||||||
Spinoff | New Energizer | Spin Restructuring | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 11.1 | 0 | 0 | ||||||
Charge to Income | 0 | 66.9 | [4] | ||||||
Other | 0.1 | [5] | (13.9) | [6] | |||||
Utilized - Cash | (3.5) | (34.6) | |||||||
Utilized - Non-Cash | 0 | (7.3) | |||||||
Ending Balance | 7.7 | 7.7 | 11.1 | 7.7 | |||||
Spinoff | New Energizer | Severance and related benefit costs | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Spin restructuring charges | 16.7 | 17.3 | |||||||
Spinoff | New Energizer | Severance and related benefit costs | Spin Restructuring | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 10.8 | 0 | 0 | ||||||
Charge to Income | 0 | 54.9 | [4] | ||||||
Other | 0.1 | [5] | (15.6) | [6] | |||||
Utilized - Cash | (3.2) | (28.5) | |||||||
Utilized - Non-Cash | 0 | 0 | |||||||
Ending Balance | 7.7 | 7.7 | 10.8 | 7.7 | |||||
Spinoff | New Energizer | Non-cash asset write-down | Spin Restructuring | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 0 | 0 | 0 | ||||||
Charge to Income | 0 | 7.4 | [4] | ||||||
Other | 0 | [5] | (0.1) | [6] | |||||
Utilized - Cash | 0 | 0 | |||||||
Utilized - Non-Cash | 0 | (7.3) | |||||||
Ending Balance | 0 | 0 | 0 | 0 | |||||
Spinoff | New Energizer | Other exit costs | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Spin restructuring charges | 6.1 | 6.7 | |||||||
Spinoff | New Energizer | Other exit costs | Spin Restructuring | |||||||||
Restructuring Reserve [Roll Forward] | |||||||||
Beginning Balance | 0.3 | 0 | 0 | ||||||
Charge to Income | 0 | 4.6 | [4] | ||||||
Other | 0 | [5] | 1.8 | [6] | |||||
Utilized - Cash | (0.3) | (6.1) | |||||||
Utilized - Non-Cash | 0 | 0 | |||||||
Ending Balance | $ 0 | $ 0 | 0.3 | $ 0 | |||||
Discontinued operations | Spinoff | New Energizer | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Spin restructuring charges | $ 22.7 | $ 24.3 | 38.6 | ||||||
2013 restructuring charges | $ 8.3 | ||||||||
[1] | Includes $8.3 of pre-tax costs that are now reflected in discontinued operations. | ||||||||
[2] | Includes the impact of currency translation. | ||||||||
[3] | Includes the impact of currency translation and the transfer of liabilities to New Energizer. | ||||||||
[4] | Includes $38.6 of pre-tax costs that are now reflected in discontinued operations. | ||||||||
[5] | Includes the impact of currency translation. | ||||||||
[6] | Includes the impact of currency translation and the transfer of liabilities to New Energizer. |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Sep. 30, 2015 | |
Income Taxes [Abstract] | |||||
Income tax provision | $ 25.2 | $ 9.8 | $ 32.2 | $ 9 | |
Earnings (loss) from continuing operations before income taxes | $ 91.3 | $ (44.8) | $ 122 | $ (25.7) | |
Effective tax rate | 27.60% | (21.90%) | 26.40% | (35.00%) | |
Venezuela deconsolidation charge | $ 0 | $ (79.3) | $ 0 | $ (79.3) | |
Unrecognized tax benefits | $ 28.9 | $ 28.9 | $ 47.1 |
Earnings (Loss) per Share (Sche
Earnings (Loss) per Share (Schedule of Earnings (Loss) per Share) (Details) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Earnings Per Share [Abstract] | ||||
Basic weighted-average shares outstanding (in shares) | 59.4 | 62.2 | 59.6 | 62.1 |
Effective of dilutive securities, share options (in shares) | 0 | 0 | 0 | 0 |
Effective of dilutive securities, RSEs (in shares) | 0.5 | 0 | 0.5 | 0.4 |
Total dilutive securities (in shares) | 0.5 | 0 | 0.5 | 0.4 |
Diluted weighted-average shares outstanding (in shares) | 59.9 | 62.2 | 60.1 | 62.5 |
Earnings (Loss) per Share (Narr
Earnings (Loss) per Share (Narrative) (Details) - shares shares in Millions | 3 Months Ended | 6 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | |
Share options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive awards excluded from the calculation of diluted weighted-average shares outstanding (in shares) | 0.4 | 0.4 | |
RSE awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive awards excluded from the calculation of diluted weighted-average shares outstanding (in shares) | 0.1 | 0.9 | 0.1 |
Goodwill and Intangible Asset43
Goodwill and Intangible Assets (Narrative) (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Mar. 31, 2016 | Sep. 30, 2015 | |
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | $ 1,320.7 | |
Indefinite-lived intangible assets, increase | 1.2 | |
Wet Shave | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 265.9 | |
Sun and Skin Care | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 491.4 | |
Feminine Care | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 299.9 | |
All Other | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | $ 263.5 | |
Trade Names | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Impairment charge | $ 318.2 |
Goodwill and Intangible Asset44
Goodwill and Intangible Assets (Schedule of Goodwill) (Details) $ in Millions | 6 Months Ended |
Mar. 31, 2016USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 1,421.8 |
Cumulative translation adjustment | 2.1 |
Ending balance | 1,423.9 |
Wet Shave | |
Goodwill [Roll Forward] | |
Beginning balance | 967.4 |
Cumulative translation adjustment | 1.2 |
Ending balance | 968.6 |
Sun and Skin Care | |
Goodwill [Roll Forward] | |
Beginning balance | 178 |
Cumulative translation adjustment | 0 |
Ending balance | 178 |
Feminine Care | |
Goodwill [Roll Forward] | |
Beginning balance | 206.8 |
Cumulative translation adjustment | 0.9 |
Ending balance | 207.7 |
All Other | |
Goodwill [Roll Forward] | |
Beginning balance | 69.6 |
Cumulative translation adjustment | 0 |
Ending balance | $ 69.6 |
Goodwill and Intangible Asset45
Goodwill and Intangible Assets (Schedule of Amortizable Intangible Assets) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Sep. 30, 2015 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Amortizable intangible assets, gross carrying amount | $ 238 | $ 238 | $ 239.2 | ||
Amortizable intangible assets, accumulated amortization | 157.1 | 157.1 | 150.2 | ||
Amortizable intangible assets, net | 80.9 | 80.9 | 89 | ||
Amortization of intangibles | 3.6 | $ 3.6 | 7.2 | $ 7.7 | |
Amortizable intangible assets, amortization expense, remainder of 2016 | 7.2 | 7.2 | |||
Amortizable intangible assets, amortization expense, fiscal 2017 | 14.2 | 14.2 | |||
Amortizable intangible assets, amortization expense, fiscal 2018 | 6.8 | 6.8 | |||
Amortizable intangible assets, amortization expense, fiscal 2019 | 5.5 | 5.5 | |||
Amortizable intangible assets, amortization expense, fiscal 2020 | 4.8 | 4.8 | |||
Amortizable intangible assets, amortization expense, fiscal 2021 | 4.2 | 4.2 | |||
Amortizable intangible assets, amortization expense, thereafter | 38.2 | 38.2 | |||
Trade Names | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortizable intangible assets, gross carrying amount | 14.7 | 14.7 | 14.6 | ||
Amortizable intangible assets, accumulated amortization | 12.1 | 12.1 | 11.9 | ||
Amortizable intangible assets, net | 2.6 | 2.6 | 2.7 | ||
Technology and Patents | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortizable intangible assets, gross carrying amount | 76.9 | 76.9 | 76.8 | ||
Amortizable intangible assets, accumulated amortization | 67.7 | 67.7 | 65.5 | ||
Amortizable intangible assets, net | 9.2 | 9.2 | 11.3 | ||
Customer Relationships | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortizable intangible assets, gross carrying amount | 146.4 | 146.4 | 147.8 | ||
Amortizable intangible assets, accumulated amortization | 77.3 | 77.3 | 72.8 | ||
Amortizable intangible assets, net | $ 69.1 | $ 69.1 | $ 75 |
Supplemental Balance Sheet In46
Supplemental Balance Sheet Information (Details) - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 |
Inventories | ||
Raw materials and supplies | $ 57.3 | $ 57.8 |
Work in process | 54.9 | 50.1 |
Finished products | 270.5 | 224.9 |
Inventories | 382.7 | 332.8 |
Other Current Assets | ||
Miscellaneous receivables | 51.9 | 53.8 |
Deferred income tax benefits | 0 | 85.1 |
Prepaid expenses | 69 | 56.9 |
Value added tax collectible from customers | 21.6 | 19.9 |
Income taxes receivable | 27.1 | 80.8 |
Other | 11.2 | 15.4 |
Other current assets | 180.8 | 311.9 |
Property, Plant and Equipment | ||
Land | 27.9 | 27.7 |
Buildings | 132.7 | 131.1 |
Machinery and equipment | 866.8 | 848.4 |
Construction in progress | 73.9 | 54.3 |
Total gross property | 1,101.3 | 1,061.5 |
Accumulated depreciation | (619.3) | (585.4) |
Property, plant and equipment, net | 482 | 476.1 |
Other Current Liabilities | ||
Accrued advertising, sales promotion and allowances | 66 | 74.5 |
Accrued trade allowances | 27.9 | 45.3 |
Accrued salaries, vacations and incentive compensation | 39.4 | 46.8 |
Income taxes payable | 27.9 | 25.3 |
Returns reserve | 27.2 | 50.3 |
2013 restructuring reserve | 22.7 | 13.7 |
Spin restructuring reserve | 7.7 | 11.1 |
Separation accrual | 2 | 11.3 |
Other | 128.4 | 134.1 |
Other current liabilities | 349.2 | 412.4 |
Other Liabilities | ||
Pensions and other retirement benefits | 141.3 | 242.7 |
Deferred compensation | 85.1 | 90.6 |
Other non-current liabilities | 60.8 | 87.7 |
Other liabilities | $ 287.2 | $ 421 |
Debt (Details)
Debt (Details) - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 | |
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | $ 1,843.4 | $ 1,704 | |
Current maturities of long-term debt | 0 | 0 | |
Long-term debt | 1,843.4 | 1,704 | |
Notes payable | 17 | 17.5 | |
Senior Notes Due 2022 | |||
Debt Instrument [Line Items] | |||
Unamortized discount | 0.9 | ||
Senior Notes | Senior Notes Due 2021 | |||
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | 600 | 600 | |
Senior Notes | Senior Notes Due 2022 | |||
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | [1] | 499.1 | 499.1 |
Foreign Line of Credit | Netherlands Credit Facility | |||
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | 279.3 | 269.9 | |
Domestic Line of Credit | Revolving Facility | |||
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | $ 465 | $ 335 | |
[1] | At March 31, 2016, balances for the Senior Notes due 2022 are reflected net of discount of approximately $0.9. |
Retirement Plans (Details)
Retirement Plans (Details) € in Millions, $ in Millions | Jan. 31, 2016 | Mar. 31, 2016USD ($) | Mar. 31, 2016EUR (€) | Mar. 31, 2015USD ($) | Mar. 31, 2016USD ($) | Mar. 31, 2015USD ($) |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Pension contribution to unfunded international plan | $ 100.5 | € 92.8 | ||||
Discount rate used to remeasure plan | 2.40% | |||||
Change in liability and OCI due to remeasurement | $ 7.7 | |||||
Pension Plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Service cost | 1.3 | $ 2.1 | 2.6 | $ 4.4 | ||
Interest cost | 5.6 | 11.8 | 11.1 | 24 | ||
Expected return on plan assets | (7.7) | (17.6) | (14.6) | (35.4) | ||
Amortization of prior service cost | 0 | 0 | 0 | 0.1 | ||
Amortization of unrecognized net loss | 1 | 2.3 | 2 | 4.8 | ||
Net periodic benefit cost | 0.2 | (1.4) | 1.1 | (2.1) | ||
Discontinued operations | Pension Plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Net periodic benefit cost | 0 | (2) | 0 | (4) | ||
Continuing operations | Pension Plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Net periodic benefit cost | $ 0.2 | $ 0.6 | $ 1.1 | $ 1.9 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2016 | May. 31, 2015 | |
Shareholders' Equity [Abstract] | ||||
Shares authorized for repurchase (in shares) | 10 | |||
Repurchase of shares (in shares) | 1 | |||
Repurchase of shares (in usd) | $ 78.9 | |||
Remaining shares authorized for repurchase (in shares) | 7 | |||
Shares withheld for taxes on equity based compensation (in shares) | 0.1 | |||
Dividends declared (in usd) | $ 31.1 | $ 31.1 | ||
Dividends declared (in usd per share) | $ 0.50 | $ 0.50 |
Accumulated Other Comprehensi50
Accumulated Other Comprehensive Loss (Schedule of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ (171.5) | $ (271.1) | [1] | |
OCI before reclassifications (1) | [2] | (9.4) | (166.6) | |
Venezuela deconsolidation charge | 33.7 | |||
Reclassifications to earnings | 4.5 | 13.1 | ||
Ending balance | (176.4) | (390.9) | [1] | |
Foreign Currency Translation Adjustments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (69.1) | (78.2) | [1] | |
OCI before reclassifications (1) | [2] | 7.3 | (173.1) | |
Venezuela deconsolidation charge | 33.7 | |||
Reclassifications to earnings | 0 | 0 | ||
Ending balance | (61.8) | (217.6) | [1] | |
Pension and Post-retirement Activity | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (105.7) | (202.8) | [1] | |
OCI before reclassifications (1) | [2] | (7.3) | 7.5 | |
Venezuela deconsolidation charge | 0 | |||
Reclassifications to earnings | 1.3 | 2.9 | ||
Ending balance | (111.7) | (192.4) | [1] | |
Hedging Activity | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | 3.3 | 9.9 | [1] | |
OCI before reclassifications (1) | [2] | (9.4) | (1) | |
Venezuela deconsolidation charge | 0 | |||
Reclassifications to earnings | 3.2 | 10.2 | ||
Ending balance | $ (2.9) | $ 19.1 | [1] | |
[1] | Includes balances related to New Energizer. | |||
[2] | OCI is defined as Other comprehensive loss. |
Accumulated Other Comprehensi51
Accumulated Other Comprehensive Loss (Schedule of Reclassifications out of Accumulated Other Comprehensive (Loss) Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Venezuela deconsolidation charge | $ (33.7) | ||||
Reclassifications to earnings | $ (4.5) | (13.1) | |||
Reclassification out of Accumulated Other Comprehensive Income | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Gains and losses on cash flow hedges, foreign exchange contracts, before tax | $ 1 | $ 8.9 | 4.6 | 14.5 | |
Gains and losses on cash flow hedges, foreign exchange contracts, tax | (0.3) | (2.6) | (1.4) | (4.3) | |
Gains and losses on cash flow hedges, foreign exchange contracts, after tax | 0.7 | 6.3 | 3.2 | 10.2 | |
Amortization of defined benefit pension and postretirement items, prior service cost, before tax | [1] | 0 | (0.1) | 0 | 0 |
Amortization of defined benefit pension and postretirement items, actuarial losses, before tax | [1] | 1 | 2.1 | 2 | 4.4 |
Amortization of defined benefit pension and postretirement items, before tax | 1 | 2 | 2 | 4.4 | |
Amortization of defined benefit pension and postretirement items, tax | (0.3) | (0.7) | (0.7) | (1.5) | |
Amortization of defined benefit pension and postretirement items, after tax | 0.7 | 1.3 | 1.3 | 2.9 | |
Venezuela deconsolidation charge | 0 | 33.7 | 0 | 33.7 | |
Reclassifications to earnings | 1.4 | 41.3 | 4.5 | 46.8 | |
Other income, net | Reclassification out of Accumulated Other Comprehensive Income | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Gains and losses on cash flow hedges, foreign exchange contracts, before tax | $ 1 | $ 8.9 | $ 4.6 | $ 14.5 | |
[1] | These AOCI components are included in the computation of net periodic benefit cost (see Note 9 of Notes to Condensed Consolidated Financial Statements for further details). |
Financial Instruments and Ris52
Financial Instruments and Risk Management (Narrative) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2016USD ($)contracts | Mar. 31, 2015USD ($) | Mar. 31, 2016USD ($)contracts | Mar. 31, 2015USD ($) | Sep. 30, 2015USD ($) | ||
Derivative [Line Items] | ||||||
Carrying value of long-term debt | $ 1,843.4 | $ 1,843.4 | $ 1,704 | |||
Variable Rate | ||||||
Derivative [Line Items] | ||||||
Variable rate debt outstanding | 744.3 | 744.3 | ||||
Not designated as hedge | ||||||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | (1.3) | |||||
Change in estimate fair value of foreign currency contracts | [1] | $ (0.3) | $ (5.9) | |||
Not designated as hedge | FX Contract | ||||||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | $ 1.5 | $ 1.5 | (1.3) | |||
Open foreign currency contracts | contracts | 5 | 5 | ||||
Notional value | $ 116.3 | $ 116.3 | ||||
Cash flow hedge | Designated as hedge | FX Contract | ||||||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | [2],[3] | $ 4.5 | $ 4.5 | (4.6) | ||
Open foreign currency contracts | contracts | 69 | 69 | ||||
Notional value | $ 136.2 | $ 136.2 | ||||
Other income, net | Not designated as hedge | FX Contract | ||||||
Derivative [Line Items] | ||||||
Change in estimate fair value of foreign currency contracts | [1] | 4.3 | $ (0.3) | 4.3 | $ (5.4) | |
Fixed Rate | ||||||
Derivative [Line Items] | ||||||
Fair value of long-term debt | 1,062.8 | 1,062.8 | 1,059.8 | |||
Carrying value of long-term debt | $ 1,099.1 | $ 1,099.1 | $ 1,099.1 | |||
[1] | Gain (loss) recognized in income was recorded as follows: share option in SG&A and foreign currency contracts in Other income, net. | |||||
[2] | All derivative assets are presented in Other current assets or Other assets. | |||||
[3] | All derivative liabilities are presented in Other current liabilities or Other liabilities. |
Financial Instruments and Ris53
Financial Instruments and Risk Management (Schedule of Derivative Instruments Designated as Cash Flow Hedges) (Details) - Designated as hedge - Cash flow hedge - FX Contract - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Sep. 30, 2015 | ||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | [1],[2] | $ (4.5) | $ (4.5) | $ 4.6 | ||
Gain recognized in OCI | [3] | (5.3) | $ 14.8 | (4.5) | $ 26.9 | |
Other income, net | ||||||
Derivative [Line Items] | ||||||
Gain reclassified from OCI into income | [4],[5] | $ 1 | $ 8.9 | $ 4.6 | $ 14.5 | |
[1] | All derivative assets are presented in Other current assets or Other assets. | |||||
[2] | All derivative liabilities are presented in Other current liabilities or Other liabilities. | |||||
[3] | OCI is defined as Other comprehensive loss. | |||||
[4] | Each of these derivative instruments had a high correlation to the underlying exposure being hedged for the periods indicated and had been deemed highly effective in offsetting associated risk. | |||||
[5] | Gain reclassified to income was recorded in Other income, net. |
Financial Instruments and Ris54
Financial Instruments and Risk Management (Schedule of Derivative Instruments Not Designated as Cash Flow Hedges) (Details) - Not designated as hedge - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Sep. 30, 2015 | ||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | $ 1.3 | |||||
Gain recognized in income | [1] | $ 0.3 | $ 5.9 | |||
Share Option | ||||||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | [2] | 0 | ||||
FX Contract | ||||||
Derivative [Line Items] | ||||||
Estimated fair value of derivative | $ (1.5) | $ (1.5) | $ 1.3 | |||
Other income, net | FX Contract | ||||||
Derivative [Line Items] | ||||||
Gain recognized in income | [1] | $ (4.3) | 0.3 | $ (4.3) | 5.4 | |
Selling, general and administrative expense | Share Option | ||||||
Derivative [Line Items] | ||||||
Gain recognized in income | [1],[2] | $ 0 | $ 0.5 | |||
[1] | Gain (loss) recognized in income was recorded as follows: share option in SG&A and foreign currency contracts in Other income, net. | |||||
[2] | The Company held a share option with a major financial institution, which matured in November 2014 and was subsequently not renewed. |
Financial Instruments and Ris55
Financial Instruments and Risk Management (Schedule of Offsetting Assets and Liabilities) (Details) - FX Contract - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 |
Other current assets | ||
Derivative [Line Items] | ||
Gross amounts of recognized assets | $ 0.8 | $ 6.6 |
Gross amounts of recognized assets offset in the Balance Sheet | (0.1) | (0.5) |
Net amounts of assets presented in the Balance Sheet | 0.7 | 6.1 |
Other current liabilities | ||
Derivative [Line Items] | ||
Gross amounts of recognized liabilities | (6.8) | (0.2) |
Gross amounts of recognized liabilities offset in the Balance Sheet | 0.1 | 0 |
Net amounts of liabilities presented in the Balance Sheet | $ (6.7) | $ (0.2) |
Financial Instruments and Ris56
Financial Instruments and Risk Management (Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 |
Derivative [Line Items] | ||
Deferred compensation | $ (85.1) | $ (90.6) |
Recurring Fair Value Measurement | Level 2 | ||
Derivative [Line Items] | ||
Deferred compensation | (84.5) | (90) |
Net liabilities at estimated fair value | 90.5 | 84.1 |
FX Contract | Recurring Fair Value Measurement | Level 2 | ||
Derivative [Line Items] | ||
Estimated fair value of derivative | $ (6) | $ 5.9 |
Segment Data (Schedule of Segme
Segment Data (Schedule of Segment Sales and Profitability) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 23 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | ||
Segment Reporting Information [Line Items] | ||||||
Net sales | $ 611.2 | $ 651.1 | $ 1,106.3 | $ 1,188.2 | ||
Gross profit | 311.1 | 334.3 | 538.6 | 591.1 | ||
Venezuela deconsolidation charge | 0 | (79.3) | 0 | (79.3) | ||
Spin costs | [1] | (1.7) | (32.2) | (9.2) | (56) | |
Spin restructuring charges | 0 | (22.8) | 0 | (24) | ||
2013 Restructuring and related costs | [2] | 5.1 | 6.6 | 23.6 | 15.8 | |
Industrial sale charges | (0.2) | 0 | (0.2) | 0 | ||
Amortization of intangibles | (3.6) | (3.6) | (7.2) | (7.7) | ||
Interest and other expense, net | (13.2) | (26.8) | (28.5) | (54.2) | ||
Earnings (loss) from continuing operations before income taxes | 91.3 | (44.8) | 122 | (25.7) | ||
Wet Shave | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 353.4 | 372.2 | 669.7 | 713.6 | ||
Gross profit | 77.7 | 99.8 | 144.5 | 190.3 | ||
Sun and Skin Care | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 132.5 | 130.2 | 186 | 184.5 | ||
Gross profit | 39.2 | 37.3 | 40.9 | 41 | ||
Feminine Care | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 91.6 | 101.6 | 184.1 | 197.4 | ||
Gross profit | 10.5 | 20.9 | 28.1 | 36.1 | ||
All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 33.7 | 47.1 | 66.5 | 92.7 | ||
Gross profit | 8 | 7.1 | 15.2 | 13.9 | ||
Operating Segments | ||||||
Segment Reporting Information [Line Items] | ||||||
Gross profit | 135.4 | 165.1 | 228.7 | 281.3 | ||
Corporate | ||||||
Segment Reporting Information [Line Items] | ||||||
General corporate and other expenses | (20.3) | (38.6) | (38) | (70) | ||
Cost of products sold | ||||||
Segment Reporting Information [Line Items] | ||||||
2013 Restructuring and related costs | 0.1 | 0 | 0.1 | 0 | ||
Spinoff | New Energizer | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin restructuring charges | (22.8) | (24) | $ (28.3) | |||
Spinoff | New Energizer | Wet Shave | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin restructuring charges | (12.8) | (13.2) | ||||
Spinoff | New Energizer | Sun and Skin Care | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin restructuring charges | (3.6) | (3.7) | ||||
Spinoff | New Energizer | Feminine Care | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin restructuring charges | (3.7) | (4) | ||||
Spinoff | New Energizer | All Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin restructuring charges | (1.7) | (1.8) | ||||
Spinoff | Selling, general and administrative expense | New Energizer | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin costs | $ (1.7) | (31.5) | (9) | (55.3) | (171.2) | |
Spinoff | Cost of products sold | New Energizer | ||||||
Segment Reporting Information [Line Items] | ||||||
Spin costs | $ (0.7) | $ (0.2) | $ (0.7) | $ (4.4) | ||
[1] | Includes pre-tax SG&A of $1.7 and $9.0 for the three and six months ended March 31, 2016, respectively, and $31.5 and $55.3 for the three and six months ended March 31, 2015, respectively, and pre-tax Cost of products sold of $0.2 for the six months ended March 31, 2016 and $0.7 for the three and six months ended March 31, 2015. | |||||
[2] | Includes pre-tax Cost of products sold of $0.1 for the three and six months ended March 31, 2016 associated with obsolescence charges related to the exit of certain non-core product lines as part of the restructuring. The non-core inventory obsolescence charges are considered part of the total project costs incurred for the restructuring project. There were no non-core inventory obsolescence charges during the three and six months ended March 31, 2015. |
Segment Data (Schedule of Suppl
Segment Data (Schedule of Supplemental Product Information) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Revenue from External Customer [Line Items] | ||||
Net sales | $ 611.2 | $ 651.1 | $ 1,106.3 | $ 1,188.2 |
Razors and blades | ||||
Revenue from External Customer [Line Items] | ||||
Net sales | 315.7 | 332.8 | 589.8 | 636.4 |
Tampons, pads and liners | ||||
Revenue from External Customer [Line Items] | ||||
Net sales | 91.6 | 101.6 | 184.1 | 197.4 |
Sun care products | ||||
Revenue from External Customer [Line Items] | ||||
Net sales | 114.9 | 111.4 | 151.8 | 145.2 |
Infant care and other | ||||
Revenue from External Customer [Line Items] | ||||
Net sales | 33.7 | 47.1 | 66.5 | 92.7 |
Shaving gels and creams | ||||
Revenue from External Customer [Line Items] | ||||
Net sales | 37.7 | 39.4 | 79.9 | 77.2 |
Skin care products | ||||
Revenue from External Customer [Line Items] | ||||
Net sales | $ 17.6 | $ 18.8 | $ 34.2 | $ 39.3 |
Guarantor and Non-Guarantor F59
Guarantor and Non-Guarantor Financial Information (Schedule of Condensed Consolidating Statements of Earnings and Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement [Abstract] | ||||
Net sales | $ 611.2 | $ 651.1 | $ 1,106.3 | $ 1,188.2 |
Cost of products sold | 300.1 | 316.8 | 567.7 | 597.1 |
Gross profit | 311.1 | 334.3 | 538.6 | 591.1 |
Selling, general and administrative expense | 99.7 | 149.2 | 200.1 | 282.7 |
Advertising and sales promotion expense | 85 | 78.4 | 131.6 | 129.1 |
Research and development expense | 16.7 | 16 | 32.7 | 31.7 |
Venezuela deconsolidation charge | 0 | 79.3 | 0 | 79.3 |
Spin restructuring charges | 0 | 22.8 | 0 | 24 |
2013 restructuring charges | 5 | 6.6 | 23.5 | 15.8 |
Industrial sale charges | 0.2 | 0 | 0.2 | 0 |
Interest expense | 17.8 | 28.1 | 35.5 | 55.9 |
Intercompany interest (income) expense | 0 | 0 | ||
Other expense (income), net | (4.6) | (1.3) | (7) | (1.7) |
Intercompany service fees | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
(Loss) earnings from continuing operations before income taxes | 91.3 | (44.8) | 122 | (25.7) |
Income tax (benefit) provision | 25.2 | 9.8 | 32.2 | 9 |
(Loss) earnings from continuing operations | 66.1 | (54.6) | 89.8 | (34.7) |
(Loss) earnings from discontinued operations, net of tax | 0 | (33.8) | 0 | 51.4 |
Net earnings (loss) | 66.1 | (88.4) | 89.8 | 16.7 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net earnings (loss) | 66.1 | (88.4) | 89.8 | 16.7 |
Other comprehensive income (loss), net of tax | 7 | (66.4) | (4.9) | (119.8) |
Total comprehensive income (loss) | 73.1 | (154.8) | 84.9 | (103.1) |
Parent | ||||
Income Statement [Abstract] | ||||
Net sales | 0 | 0 | 0 | 0 |
Cost of products sold | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Selling, general and administrative expense | 0.8 | 22.5 | 3.9 | 39.7 |
Advertising and sales promotion expense | 0 | 0 | 0 | 0 |
Research and development expense | 0 | 0 | 0 | 0 |
Venezuela deconsolidation charge | 0 | 0 | ||
Spin restructuring charges | 0 | 0 | ||
2013 restructuring charges | 0 | 0 | 0 | 0 |
Industrial sale charges | 0 | 0 | ||
Interest expense | 11.3 | 27.3 | 27.5 | 54.3 |
Intercompany interest (income) expense | (26.7) | (53.2) | ||
Other expense (income), net | 0 | 0 | 0 | 0 |
Intercompany service fees | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | (73.7) | 54.4 | (109.5) | (70.6) |
(Loss) earnings from continuing operations before income taxes | 61.6 | (77.5) | 78.1 | 29.8 |
Income tax (benefit) provision | (4.5) | (3) | (11.7) | (5.2) |
(Loss) earnings from continuing operations | (74.5) | 35 | ||
(Loss) earnings from discontinued operations, net of tax | (13.9) | (18.3) | ||
Net earnings (loss) | 66.1 | (88.4) | 89.8 | 16.7 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net earnings (loss) | 66.1 | (88.4) | 89.8 | 16.7 |
Other comprehensive income (loss), net of tax | 7 | (66.4) | (4.9) | (119.8) |
Total comprehensive income (loss) | 73.1 | (154.8) | 84.9 | (103.1) |
Guarantors | ||||
Income Statement [Abstract] | ||||
Net sales | 440.1 | 468.7 | 776.9 | 817.7 |
Cost of products sold | 246.4 | 264.3 | 451.3 | 475.6 |
Gross profit | 193.7 | 204.4 | 325.6 | 342.1 |
Selling, general and administrative expense | 67 | 77.7 | 127.7 | 144.6 |
Advertising and sales promotion expense | 56.1 | 46.9 | 83.6 | 73.2 |
Research and development expense | 16.3 | 15.6 | 31.9 | 30.7 |
Venezuela deconsolidation charge | 66.7 | 66.7 | ||
Spin restructuring charges | 3.1 | 2.6 | ||
2013 restructuring charges | 3.9 | (8.6) | 8.6 | 6.7 |
Industrial sale charges | 0.2 | 0.2 | ||
Interest expense | 4.7 | 0 | 4.7 | 0 |
Intercompany interest (income) expense | 26.7 | 53.2 | ||
Other expense (income), net | (2.8) | 0 | (5.2) | 0.2 |
Intercompany service fees | (3.9) | 7 | (9.4) | 12.8 |
Equity in earnings of subsidiaries | (37.4) | (32.4) | (49.8) | (133.7) |
(Loss) earnings from continuing operations before income taxes | 89.6 | 1.7 | 133.3 | 85.1 |
Income tax (benefit) provision | 19.6 | 10.9 | 29.6 | 4.1 |
(Loss) earnings from continuing operations | (9.2) | 81 | ||
(Loss) earnings from discontinued operations, net of tax | (47.3) | (15.4) | ||
Net earnings (loss) | 70 | (56.5) | 103.7 | 65.6 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net earnings (loss) | 70 | (56.5) | 103.7 | 65.6 |
Other comprehensive income (loss), net of tax | (9.8) | (23.8) | (11.7) | (58.3) |
Total comprehensive income (loss) | 60.2 | (80.3) | 92 | 7.3 |
Non-Guarantors | ||||
Income Statement [Abstract] | ||||
Net sales | 289.2 | 235.7 | 558.7 | 451.5 |
Cost of products sold | 171.4 | 104.5 | 346.2 | 199.6 |
Gross profit | 117.8 | 131.2 | 212.5 | 251.9 |
Selling, general and administrative expense | 31.9 | 49 | 68.5 | 98.4 |
Advertising and sales promotion expense | 29 | 31.6 | 48.2 | 56.1 |
Research and development expense | 0.4 | 0.4 | 0.8 | 1 |
Venezuela deconsolidation charge | 12.6 | 12.6 | ||
Spin restructuring charges | 19.7 | 21.4 | ||
2013 restructuring charges | 1.1 | 15.2 | 14.9 | 9.1 |
Industrial sale charges | 0 | 0 | ||
Interest expense | 1.8 | 0.8 | 3.3 | 1.6 |
Intercompany interest (income) expense | 0 | 0 | ||
Other expense (income), net | (1.8) | (1.3) | (1.8) | (1.9) |
Intercompany service fees | 3.9 | (7) | 9.4 | (12.8) |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
(Loss) earnings from continuing operations before income taxes | 51.5 | 10.2 | 69.2 | 66.4 |
Income tax (benefit) provision | 10.4 | 3.1 | 13.6 | 12.8 |
(Loss) earnings from continuing operations | 7.1 | 53.6 | ||
(Loss) earnings from discontinued operations, net of tax | 27.4 | 85.1 | ||
Net earnings (loss) | 41.1 | 34.5 | 55.6 | 138.7 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net earnings (loss) | 41.1 | 34.5 | 55.6 | 138.7 |
Other comprehensive income (loss), net of tax | 7.3 | (67.3) | (4.2) | (121.4) |
Total comprehensive income (loss) | 48.4 | (32.8) | 51.4 | 17.3 |
Eliminations | ||||
Income Statement [Abstract] | ||||
Net sales | (118.1) | (53.3) | (229.3) | (81) |
Cost of products sold | (117.7) | (52) | (229.8) | (78.1) |
Gross profit | (0.4) | (1.3) | 0.5 | (2.9) |
Selling, general and administrative expense | 0 | 0 | 0 | 0 |
Advertising and sales promotion expense | (0.1) | (0.1) | (0.2) | (0.2) |
Research and development expense | 0 | 0 | 0 | 0 |
Venezuela deconsolidation charge | 0 | 0 | ||
Spin restructuring charges | 0 | 0 | ||
2013 restructuring charges | 0 | 0 | 0 | 0 |
Industrial sale charges | 0 | 0 | ||
Interest expense | 0 | 0 | 0 | 0 |
Intercompany interest (income) expense | 0 | 0 | ||
Other expense (income), net | 0 | 0 | 0 | 0 |
Intercompany service fees | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | 111.1 | (22) | 159.3 | 204.3 |
(Loss) earnings from continuing operations before income taxes | (111.4) | 20.8 | (158.6) | (207) |
Income tax (benefit) provision | (0.3) | (1.2) | 0.7 | (2.7) |
(Loss) earnings from continuing operations | 22 | (204.3) | ||
(Loss) earnings from discontinued operations, net of tax | 0 | 0 | ||
Net earnings (loss) | (111.1) | 22 | (159.3) | (204.3) |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net earnings (loss) | (111.1) | 22 | (159.3) | (204.3) |
Other comprehensive income (loss), net of tax | 2.5 | 91.1 | 15.9 | 179.7 |
Total comprehensive income (loss) | $ (108.6) | $ 113.1 | $ (143.4) | $ (24.6) |
Guarantor and Non-Guarantor F60
Guarantor and Non-Guarantor Financial Information (Schedule of Condensed Consolidating Balance Sheets) (Details) - USD ($) $ in Millions | Mar. 31, 2016 | Sep. 30, 2015 | Mar. 31, 2015 | Sep. 30, 2014 | ||
Current assets | ||||||
Cash and cash equivalents | $ 660.5 | $ 712.1 | $ 1,114.3 | $ 1,129 | ||
Trade receivables, net | 291.5 | 279.8 | ||||
Inventories | 382.7 | 332.8 | ||||
Other current assets | 180.8 | 311.9 | ||||
Total current assets | 1,515.5 | 1,636.6 | ||||
Investment in subsidiaries | 0 | 0 | ||||
Intercompany receivables, net | 0 | [1] | 0 | [2] | ||
Intercompany notes receivable | 0 | [1] | 0 | [2] | ||
Property, plant and equipment, net | 482 | 476.1 | ||||
Goodwill | 1,423.9 | 1,421.8 | ||||
Other intangible assets, net | 1,401.6 | 1,408.5 | ||||
Other assets | 126.4 | 48.7 | ||||
Total assets | 4,949.4 | 4,991.7 | ||||
Liabilities [Abstract] | ||||||
Current liabilities | 601.4 | 666.8 | ||||
Intercompany payables, net | 0 | [1] | 0 | [2] | ||
Intercompany notes payable | 0 | [1] | 0 | [2] | ||
Long-term debt | 1,843.4 | 1,704 | ||||
Deferred income tax liabilities | 344.6 | 335.8 | ||||
Other liabilities | 287.2 | 421 | ||||
Total liabilities | 3,076.6 | 3,127.6 | ||||
Shareholders' equity | ||||||
Total shareholders' equity | 1,872.8 | 1,864.1 | ||||
Total liabilities and shareholders' equity | 4,949.4 | 4,991.7 | ||||
Parent | ||||||
Current assets | ||||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | ||
Trade receivables, net | 0 | 0 | ||||
Inventories | 0 | 0 | ||||
Other current assets | 0 | 0 | ||||
Total current assets | 0 | 0 | ||||
Investment in subsidiaries | 3,404.6 | 3,409.8 | ||||
Intercompany receivables, net | 0 | [1] | 0 | [2] | ||
Intercompany notes receivable | 0 | [1] | 189.1 | [2] | ||
Property, plant and equipment, net | 0 | 0 | ||||
Goodwill | 0 | 0 | ||||
Other intangible assets, net | 0 | 0 | ||||
Other assets | 7.6 | 8.2 | ||||
Total assets | 3,412.2 | 3,607.1 | ||||
Liabilities [Abstract] | ||||||
Current liabilities | 21.8 | 22 | ||||
Intercompany payables, net | 418.5 | [1] | 284.3 | [2] | ||
Intercompany notes payable | 0 | [1] | 0 | [2] | ||
Long-term debt | 1,099.1 | 1,434.1 | ||||
Deferred income tax liabilities | 0 | 0 | ||||
Other liabilities | 0 | 2.6 | ||||
Total liabilities | 1,539.4 | 1,743 | ||||
Shareholders' equity | ||||||
Total shareholders' equity | 1,872.8 | 1,864.1 | ||||
Total liabilities and shareholders' equity | 3,412.2 | 3,607.1 | ||||
Guarantors | ||||||
Current assets | ||||||
Cash and cash equivalents | 21.9 | 2.9 | 15.3 | 3.3 | ||
Trade receivables, net | 144.2 | 113.7 | ||||
Inventories | 245.7 | 200.3 | ||||
Other current assets | 52.1 | 171.9 | ||||
Total current assets | 463.9 | 488.8 | ||||
Investment in subsidiaries | 820.1 | 793.6 | ||||
Intercompany receivables, net | 352 | [1] | 230.9 | [2] | ||
Intercompany notes receivable | 1.9 | [1] | 1.9 | [2] | ||
Property, plant and equipment, net | 324.4 | 303.6 | ||||
Goodwill | 1,061.9 | 1,061.9 | ||||
Other intangible assets, net | 1,248 | 1,254.4 | ||||
Other assets | 86.5 | 21.9 | ||||
Total assets | 4,358.7 | 4,157 | ||||
Liabilities [Abstract] | ||||||
Current liabilities | 296.2 | 313 | ||||
Intercompany payables, net | 0 | [1] | 0 | [2] | ||
Intercompany notes payable | 0 | [1] | 189.1 | [2] | ||
Long-term debt | 465 | 0 | ||||
Deferred income tax liabilities | 314.1 | 304.4 | ||||
Other liabilities | 252.6 | 315.5 | ||||
Total liabilities | 1,327.9 | 1,122 | ||||
Shareholders' equity | ||||||
Total shareholders' equity | 3,030.8 | 3,035 | ||||
Total liabilities and shareholders' equity | 4,358.7 | 4,157 | ||||
Non-Guarantors | ||||||
Current assets | ||||||
Cash and cash equivalents | 638.6 | 709.2 | 1,099 | 1,125.7 | ||
Trade receivables, net | 147.3 | 166.1 | ||||
Inventories | 156.6 | 174 | ||||
Other current assets | 122.4 | 132.9 | ||||
Total current assets | 1,064.9 | 1,182.2 | ||||
Investment in subsidiaries | 0 | 0 | ||||
Intercompany receivables, net | 66.5 | [1] | 53.4 | [2] | ||
Intercompany notes receivable | 0 | [1] | 0 | [2] | ||
Property, plant and equipment, net | 157.6 | 172.5 | ||||
Goodwill | 362 | 359.9 | ||||
Other intangible assets, net | 153.6 | 154.1 | ||||
Other assets | 32.3 | 18.6 | ||||
Total assets | 1,836.9 | 1,940.7 | ||||
Liabilities [Abstract] | ||||||
Current liabilities | 283.4 | 331.8 | ||||
Intercompany payables, net | 0 | [1] | 0 | [2] | ||
Intercompany notes payable | 1.9 | [1] | 1.9 | [2] | ||
Long-term debt | 279.3 | 269.9 | ||||
Deferred income tax liabilities | 30.5 | 31.4 | ||||
Other liabilities | 34.6 | 137.3 | ||||
Total liabilities | 629.7 | 772.3 | ||||
Shareholders' equity | ||||||
Total shareholders' equity | 1,207.2 | 1,168.4 | ||||
Total liabilities and shareholders' equity | 1,836.9 | 1,940.7 | ||||
Eliminations | ||||||
Current assets | ||||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 | ||
Trade receivables, net | 0 | 0 | ||||
Inventories | (19.6) | (41.5) | ||||
Other current assets | 6.3 | 7.1 | ||||
Total current assets | (13.3) | (34.4) | ||||
Investment in subsidiaries | (4,224.7) | (4,203.4) | ||||
Intercompany receivables, net | (418.5) | [1] | (284.3) | [2] | ||
Intercompany notes receivable | (1.9) | [1] | (191) | [2] | ||
Property, plant and equipment, net | 0 | 0 | ||||
Goodwill | 0 | 0 | ||||
Other intangible assets, net | 0 | 0 | ||||
Other assets | 0 | 0 | ||||
Total assets | (4,658.4) | (4,713.1) | ||||
Liabilities [Abstract] | ||||||
Current liabilities | 0 | 0 | ||||
Intercompany payables, net | (418.5) | [1] | (284.3) | [2] | ||
Intercompany notes payable | (1.9) | [1] | (191) | [2] | ||
Long-term debt | 0 | 0 | ||||
Deferred income tax liabilities | 0 | 0 | ||||
Other liabilities | 0 | (34.4) | ||||
Total liabilities | (420.4) | (509.7) | ||||
Shareholders' equity | ||||||
Total shareholders' equity | (4,238) | (4,203.4) | ||||
Total liabilities and shareholders' equity | $ (4,658.4) | $ (4,713.1) | ||||
[1] | Intercompany activities include product purchases between Guarantors and Non-Guarantors, charges for services provided by the Parent Company and various subsidiaries to other affiliates within the consolidated entity and other intercompany activities in the normal course of business. | |||||
[2] | Intercompany activities include product purchases between Guarantors and Non-Guarantors, charges for services provided by the Parent Company and various subsidiaries to other affiliates within the consolidated entity and other intercompany activities in the normal course of business. |
Guarantor and Non-Guarantor F61
Guarantor and Non-Guarantor Financial Information (Schedule of Condensed Consolidating Statements of Cash Flows) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Cash Flow from Operating Activities | ||
Net cash flow from (used by) operations | $ (72.6) | $ 79.8 |
Cash Flow from Investing Activities | ||
Capital expenditures | (34.5) | (37) |
Change related to Venezuelan operations | 0 | (93.8) |
Acquisitions, net of cash acquired | 0 | (11.1) |
Proceeds from sale of assets | 0 | 13.8 |
Proceeds from intercompany notes | 0 | |
Intercompany receivables and payables, net | 0 | |
Payment for equity contributions | 0 | 0 |
Change in restricted cash | 0 | 13.9 |
Net cash used by investing activities | (34.5) | (114.2) |
Cash Flow from Financing Activities | ||
Cash proceeds from debt with original maturities greater than 90 days | 395.3 | 0 |
Cash payments on debt with original maturities greater than 90 days | (261) | (80.2) |
Net (decrease) increase in debt with original maturities of 90 days or less | (5.6) | 224.1 |
Payments for intercompany notes | 0 | |
Common shares purchased | (78.9) | 0 |
Cash dividends paid | 0 | (62.1) |
Proceeds from issuance of common shares, net | 0 | 4.3 |
Excess tax benefits from share-based payments | 0 | 9.2 |
Intercompany receivables and payables, net | 0 | |
Proceeds for equity contributions | 0 | 0 |
Net cash (used by) from financing activities | 49.8 | 95.3 |
Effect of exchange rate changes on cash | 5.7 | (75.6) |
Net increase (decrease) in cash and cash equivalents | (51.6) | (14.7) |
Cash and cash equivalents, beginning of period | 712.1 | 1,129 |
Cash and cash equivalents, end of period | 660.5 | 1,114.3 |
Parent | ||
Cash Flow from Operating Activities | ||
Net cash flow from (used by) operations | 78.9 | (9.2) |
Cash Flow from Investing Activities | ||
Capital expenditures | 0 | 0 |
Change related to Venezuelan operations | 0 | |
Acquisitions, net of cash acquired | 0 | |
Proceeds from sale of assets | 0 | |
Proceeds from intercompany notes | 80 | |
Intercompany receivables and payables, net | (205) | |
Payment for equity contributions | 0 | 0 |
Change in restricted cash | 0 | |
Net cash used by investing activities | 0 | (125) |
Cash Flow from Financing Activities | ||
Cash proceeds from debt with original maturities greater than 90 days | 0 | |
Cash payments on debt with original maturities greater than 90 days | 0 | (80.2) |
Net (decrease) increase in debt with original maturities of 90 days or less | 0 | 205 |
Payments for intercompany notes | 0 | |
Common shares purchased | (78.9) | |
Cash dividends paid | (62.1) | |
Proceeds from issuance of common shares, net | 4.3 | |
Excess tax benefits from share-based payments | 9.2 | |
Intercompany receivables and payables, net | 58 | |
Proceeds for equity contributions | 0 | 0 |
Net cash (used by) from financing activities | (78.9) | 134.2 |
Effect of exchange rate changes on cash | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents, beginning of period | 0 | 0 |
Cash and cash equivalents, end of period | 0 | 0 |
Guarantors | ||
Cash Flow from Operating Activities | ||
Net cash flow from (used by) operations | (74.5) | (35.1) |
Cash Flow from Investing Activities | ||
Capital expenditures | (30.7) | (27.3) |
Change related to Venezuelan operations | 0 | |
Acquisitions, net of cash acquired | (11.1) | |
Proceeds from sale of assets | 0 | |
Proceeds from intercompany notes | 0 | |
Intercompany receivables and payables, net | (58) | |
Payment for equity contributions | (0.5) | (0.6) |
Change in restricted cash | 0 | |
Net cash used by investing activities | (31.2) | (97) |
Cash Flow from Financing Activities | ||
Cash proceeds from debt with original maturities greater than 90 days | 391 | |
Cash payments on debt with original maturities greater than 90 days | (261) | 0 |
Net (decrease) increase in debt with original maturities of 90 days or less | (5.3) | (0.3) |
Payments for intercompany notes | (80) | |
Common shares purchased | 0 | |
Cash dividends paid | 0 | |
Proceeds from issuance of common shares, net | 0 | |
Excess tax benefits from share-based payments | 0 | |
Intercompany receivables and payables, net | 224.4 | |
Proceeds for equity contributions | 0 | 0 |
Net cash (used by) from financing activities | 124.7 | 144.1 |
Effect of exchange rate changes on cash | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 19 | 12 |
Cash and cash equivalents, beginning of period | 2.9 | 3.3 |
Cash and cash equivalents, end of period | 21.9 | 15.3 |
Non-Guarantors | ||
Cash Flow from Operating Activities | ||
Net cash flow from (used by) operations | (77) | 124.1 |
Cash Flow from Investing Activities | ||
Capital expenditures | (3.8) | (9.7) |
Change related to Venezuelan operations | (93.8) | |
Acquisitions, net of cash acquired | 0 | |
Proceeds from sale of assets | 13.8 | |
Proceeds from intercompany notes | 0 | |
Intercompany receivables and payables, net | (19.4) | |
Payment for equity contributions | 0 | 0 |
Change in restricted cash | 13.9 | |
Net cash used by investing activities | (3.8) | (95.2) |
Cash Flow from Financing Activities | ||
Cash proceeds from debt with original maturities greater than 90 days | 4.3 | |
Cash payments on debt with original maturities greater than 90 days | 0 | 0 |
Net (decrease) increase in debt with original maturities of 90 days or less | (0.3) | 19.4 |
Payments for intercompany notes | 0 | |
Common shares purchased | 0 | |
Cash dividends paid | 0 | |
Proceeds from issuance of common shares, net | 0 | |
Excess tax benefits from share-based payments | 0 | |
Intercompany receivables and payables, net | 0 | |
Proceeds for equity contributions | 0.5 | 0.6 |
Net cash (used by) from financing activities | 4.5 | 20 |
Effect of exchange rate changes on cash | 5.7 | (75.6) |
Net increase (decrease) in cash and cash equivalents | (70.6) | (26.7) |
Cash and cash equivalents, beginning of period | 709.2 | 1,125.7 |
Cash and cash equivalents, end of period | 638.6 | 1,099 |
Eliminations | ||
Cash Flow from Operating Activities | ||
Net cash flow from (used by) operations | 0 | 0 |
Cash Flow from Investing Activities | ||
Capital expenditures | 0 | 0 |
Change related to Venezuelan operations | 0 | |
Acquisitions, net of cash acquired | 0 | |
Proceeds from sale of assets | 0 | |
Proceeds from intercompany notes | (80) | |
Intercompany receivables and payables, net | 282.4 | |
Payment for equity contributions | 0.5 | 0.6 |
Change in restricted cash | 0 | |
Net cash used by investing activities | 0.5 | 203 |
Cash Flow from Financing Activities | ||
Cash proceeds from debt with original maturities greater than 90 days | 0 | |
Cash payments on debt with original maturities greater than 90 days | 0 | 0 |
Net (decrease) increase in debt with original maturities of 90 days or less | 0 | 0 |
Payments for intercompany notes | 80 | |
Common shares purchased | 0 | |
Cash dividends paid | 0 | |
Proceeds from issuance of common shares, net | 0 | |
Excess tax benefits from share-based payments | 0 | |
Intercompany receivables and payables, net | (282.4) | |
Proceeds for equity contributions | (0.5) | (0.6) |
Net cash (used by) from financing activities | (0.5) | (203) |
Effect of exchange rate changes on cash | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents, beginning of period | 0 | 0 |
Cash and cash equivalents, end of period | $ 0 | $ 0 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ in Millions | Apr. 26, 2016 | Jun. 01, 2015 |
Subsequent Event [Line Items] | ||
Revolving credit facility maximum borrowing capacity | $ 600 | |
Credit Agreement Amendment | ||
Subsequent Event [Line Items] | ||
Date of subsequent event | Apr. 26, 2016 | |
Increase in revolving credit facility capacity | $ 50 | |
Revolving credit facility maximum borrowing capacity | 650 | |
Term loan borrowing | $ 185 | |
Term Loan Borrowing | ||
Subsequent Event [Line Items] | ||
Date of subsequent event | Apr. 26, 2016 | |
Term loan borrowing | $ 185 | |
Term Loan | Term Loan Borrowing | ||
Subsequent Event [Line Items] | ||
Variable interest rate, basis spread | 1.00% | |
LIBOR | Minimum | Term Loan | Term Loan Borrowing | ||
Subsequent Event [Line Items] | ||
Variable interest rate, basis spread | 1.075% | |
LIBOR | Maximum | Term Loan | Term Loan Borrowing | ||
Subsequent Event [Line Items] | ||
Variable interest rate, basis spread | 1.575% |