Document_And_Entity_Informatio
Document And Entity Information | 9 Months Ended |
Sep. 30, 2014 | |
Document And Entity Information [Abstract] | ' |
Entity Registrant Name | 'POLYONE CORP |
Entity Central Index Key | '0001122976 |
Document Type | '10-Q |
Document Period End Date | 30-Sep-14 |
Amendment Flag | 'false |
Document Fiscal Year Focus | '2014 |
Document Fiscal Period Focus | 'Q3 |
Current Fiscal Year End Date | '--12-31 |
Entity Filer Category | 'Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 90,910,556 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements Of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Sales | $958.40 | $1,008.90 | $2,966.20 | $2,847.60 |
Cost of sales | 775.8 | 827.6 | 2,410.90 | 2,300.30 |
Gross margin | 182.6 | 181.3 | 555.3 | 547.3 |
Selling and administrative expense | 119 | 119.7 | 385.9 | 364.6 |
Income related to previously owned equity affiliates | 0 | 0 | 0 | 0.1 |
Operating income | 63.6 | 61.6 | 169.4 | 182.8 |
Interest expense, net | -15.4 | -16 | -46.6 | -48.2 |
Debt Extinguishment Costs | 0 | -5.2 | 0 | -15.8 |
Other expense, net | -1.8 | -1.6 | -3.2 | -1.4 |
Income from continuing operations before Income Taxes | 46.4 | 38.8 | 119.6 | 117.4 |
Income tax expense | -14.1 | -15.8 | -27.4 | -45.1 |
Net income from continuing operations | 32.3 | 23 | 92.2 | 72.3 |
Income (loss) from discontinued operations, net of income taxes | 0.4 | -0.2 | 1.2 | 146.2 |
Net Income | 32.7 | 22.8 | 93.4 | 218.5 |
Net loss attributable to noncontrolling interests | 0 | 0.2 | 0.4 | 0.7 |
Net income attributable to PolyOne common shareholders | $32.70 | $23 | $93.80 | $219.20 |
Earnings per common share attributable to PolyOne common shareholders - Basic: | ' | ' | ' | ' |
Continuing operations | $0.35 | $0.24 | $0.99 | $0.77 |
Discontinued operations | $0.01 | $0 | $0.02 | $1.53 |
Total | $0.36 | $0.24 | $1.01 | $2.30 |
Earnings per common share attributable to PolyOne common shareholders - Diluted: | ' | ' | ' | ' |
Continuing operations | $0.35 | $0.24 | $0.98 | $0.76 |
Discontinued operations | $0 | $0 | $0.01 | $1.51 |
Total | $0.35 | $0.24 | $0.99 | $2.27 |
Weighted-average shares used to compute earnings per share: | ' | ' | ' | ' |
Basic | 91.8 | 96.7 | 93.1 | 95.4 |
Diluted | 93.1 | 98.1 | 94.3 | 96.4 |
Cash dividends declared per common stock | $0.08 | $0.06 | $0.24 | $0.18 |
Consolidated_Statements_Of_Com
Consolidated Statements Of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $32.70 | $22.80 | $93.40 | $218.50 |
Other comprehensive income | ' | ' | ' | ' |
Translation adjustments | -16 | 7.7 | -15.6 | -3 |
Total comprehensive income | 16.7 | 30.5 | 77.8 | 215.5 |
Comprehensive loss attributable to noncontrolling interests | 0 | 0.2 | 0.4 | 0.7 |
Comprehensive income attributable to PolyOne common shareholders | $16.70 | $30.70 | $78.20 | $216.20 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $263.60 | $365.20 |
Accounts receivable, net | 459 | 428 |
Inventories, net | 305.6 | 342.5 |
Other current assets | 88.7 | 117.9 |
Total current assets | 1,116.90 | 1,253.60 |
Property, net | 595.6 | 646.2 |
Goodwill | 568.4 | 559 |
Intangible assets, net | 349.8 | 365.8 |
Other non-current assets | 125.1 | 119.5 |
Total assets | 2,755.80 | 2,944.10 |
Current liabilities: | ' | ' |
Short-term and current portion of long-term debt | 13.1 | 12.7 |
Accounts payable | 408 | 386.9 |
Accrued expenses and other liabilities | 153.8 | 209.3 |
Total current liabilities | 574.9 | 608.9 |
Non-current liabilities: | ' | ' |
Long-term debt | 965.8 | 976.2 |
Pension and other post-retirement benefits | 62.1 | 77.3 |
Deferred income taxes | 104.2 | 133.8 |
Other non-current liabilities | 180.8 | 169.4 |
Total non-current liabilities | 1,312.90 | 1,356.70 |
Shareholders' equity | ' | ' |
PolyOne shareholders’ equity | 866.7 | 976.8 |
Noncontrolling interests | 1.3 | 1.7 |
Total equity | 868 | 978.5 |
Total liabilities and shareholders’ equity | $2,755.80 | $2,944.10 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements Of Cash Flows (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Operating Activities | ' | ' |
Net income | $93.40 | $218.50 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | ' | ' |
Depreciation and amortization | 98.9 | 76.1 |
Debt extinguishment costs | 0 | 15.8 |
Provision for doubtful accounts | 0.2 | 0.5 |
Stock based compensation expense | 11.4 | 13.2 |
Gain on sale of business | -1.2 | -223.7 |
Change in assets and liabilities, net of effect of acquisitions and divestitures: | ' | ' |
Increase in accounts receivable | -37.9 | -50.8 |
Decrease in inventories | 30.3 | 21.5 |
Increase (decrease) in accounts payable | 26.3 | -2.8 |
Decrease in pension and other post-retirement benefits | -24.3 | -76.9 |
(Decrease) increase in accrued expenses and other assets and liabilities - net | -65.3 | 3.8 |
Net cash provided (used) by operating activities | 131.8 | -4.8 |
Investing Activities | ' | ' |
Capital expenditures | -60.7 | -41.8 |
Business acquisitions, net of cash acquired | 0 | -259.4 |
Proceeds from sale of equity affiliate and other assets | 28.2 | 274.7 |
Net cash used by investing activities | -32.5 | -26.5 |
Financing Activities | ' | ' |
Repayment of long-term debt | -8 | -341.7 |
Premium on early extinguishment of debt | 0 | -4.6 |
Proceeds from long-term debt | 0 | 600 |
Debt financing costs | 0 | -13 |
Borrowings under credit facilities | 21.7 | 126.2 |
Repayments under credit facilities | -20.9 | -117.5 |
Purchase of common shares | -175 | -95.7 |
Exercise of stock awards | 6.8 | 5.2 |
Cash dividends paid | -22.5 | -15.7 |
Net cash (used) provided by financing activities | -197.9 | 143.2 |
Effect of exchange rate changes on cash | -3 | 0.9 |
(Decrease) increase in cash and cash equivalents | -101.6 | 112.8 |
Cash and cash equivalents at beginning of period | 365.2 | 210 |
Cash and cash equivalents at end of period | $263.60 | $322.80 |
Basis_Of_Presentation
Basis Of Presentation | 9 Months Ended |
Sep. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Basis Of Presentation | ' |
Note 1 — BASIS OF PRESENTATION | |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with Form 10-Q instructions and in the opinion of management contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods presented. The preparation of financial statements in conformity with generally accepted accounting principles, requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from these estimates. These interim financial statements should be read in conjunction with the financial statements and accompanying notes included in the annual report on Form 10-K for the year ended December 31, 2013 of PolyOne Corporation. | |
Operating results for the three and nine months ended September 30, 2014 are not necessarily indicative of the results that may be attained in subsequent periods or for the year ending December 31, 2014. | |
Adoption of Accounting Standards | |
Effective January 1, 2014, the Company adopted Accounting Standards Update No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (ASU 2013-11). ASU 2013-11 requires that an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, if such settlement is required or expected in the event the uncertain tax position is disallowed. The adoption of ASU 2013-11 did not have a material impact to the Company's financial statements. | |
Accounting Standards Not Yet Adopted | |
In May 2014, the Financial Accounting Standards Board issued Auditing Standards Update 2014-09, "Revenue from Contracts with Customers" (ASU 2014-09), which clarifies existing accounting literature relating to how and when a company recognizes revenue. Under ASU 2014-09, a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods and services. ASU 2014-09 will be effective for the Company January 1, 2017. The Company is in the process of determining what impact, if any, the adoption of ASU 2014-09 will have on its financial position, results of operations and cash flows. |
Business_Combinations
Business Combinations | 9 Months Ended | |||
Sep. 30, 2014 | ||||
Business Combinations [Abstract] | ' | |||
Business Combinations | ' | |||
Note 2 — BUSINESS COMBINATIONS | ||||
On March 13, 2013, PolyOne acquired Spartech Corporation (Spartech), a supplier of sustainable plastic sheet, color and engineered materials, and packaging solutions, based in Clayton, Missouri. PolyOne's management believes that the acquisition of Spartech will expand PolyOne's specialty portfolio and provide substantial synergies through enhanced operational efficiencies. By combining Spartech's leading market positions in sheet, rigid barrier packaging and specialty cast acrylics with PolyOne's capabilities, we believe that we can better serve our customers and accelerate growth. | ||||
At the effective time of the merger, each issued and outstanding share of Spartech common stock was canceled and converted into the right to receive consideration equal to $2.67 in cash and 0.3167 shares of PolyOne common stock. PolyOne paid $83.4 million in cash and issued approximately 10.0 million shares of its common stock to Spartech's stockholders. PolyOne funded the cash portion of the consideration, and the repayment of certain portions of Spartech's debt, with a portion of the net proceeds of its issuance of 5.25% senior notes due 2023, discussed in Note 11, Financing Arrangements. | ||||
The Spartech purchase price was comprised of the following: | ||||
(In millions, except stock price and share data) | ||||
Spartech shares outstanding | 31.2 | |||
Spartech restricted stock units | 0.2 | |||
Spartech shares converted | 31.4 | |||
Exchange ratio | 0.3167 | |||
PolyOne shares issued | 10 | |||
PolyOne closing stock price on March 13, 2013 | $ | 25.05 | ||
Total value of PolyOne shares issued | $ | 249.9 | ||
Cash consideration transferred to Spartech shareholders | 83.4 | |||
Fair value of Spartech equity awards, net of deferred tax benefits (1) | 2.4 | |||
Total consideration transferred to Spartech equity holders | 335.7 | |||
Spartech revolving credit facilities repaid at close (2) | 77.2 | |||
Spartech senior notes repaid at close (2) | 102.3 | |||
Total consideration transferred to debt and equity holders | 515.2 | |||
Cash acquired | (4.1 | ) | ||
Total consideration transferred to debt and equity holders, net of cash acquired | $ | 511.1 | ||
(1) In accordance with ASC 718, Compensation — Stock Compensation, the fair value of replacement awards attributable to pre-combination service is recognized as part of the purchase consideration. The $2.4 million represents the fair value of Spartech replacement equity awards of $3.9 million net of deferred tax benefits of $1.5 million. The fair value of awards attributable to post-combination service amounted to $2.7 million and is being recognized as stock compensation expense over their requisite service periods within PolyOne's Condensed Consolidated Statements of Income. | ||||
(2) In accordance with the provisions of Spartech's 7.08% senior notes due 2016 and revolving credit facilities, at the time of closing, PolyOne repaid all borrowings under Spartech's revolving credit facilities, which amounted to $77.2 million. Additionally, PolyOne repaid $102.3 million related to Spartech's 7.08% senior notes due 2016, including $88.9 million of aggregate principal, $10.3 million of make-whole provisions and $3.1 million of interest payable. | ||||
The following table summarizes the final Spartech purchase price allocation: | ||||
(In millions) | ||||
Accounts receivable | $ | 139.7 | ||
Inventories | 114.4 | |||
Other current assets | 18.6 | |||
Property | 280.3 | |||
Other non-current assets | 19.6 | |||
Intangible assets | 44.6 | |||
Goodwill | 162.6 | |||
Total assets acquired | 779.8 | |||
Short-term and current portion of long-term debt | 0.5 | |||
Accounts payable | 105 | |||
Accrued expenses and other liabilities | 43.1 | |||
Long-term debt | 11 | |||
Other non-current liabilities | 109.1 | |||
Total liabilities assumed | 268.7 | |||
Net assets acquired | $ | 511.1 | ||
During the first quarter of 2014, we adjusted Goodwill by $9.4 million primarily related to our finalization of the assessment of income taxes. The 2013 Condensed Consolidated Financial Statements have not been retroactively adjusted as these measurement period adjustments did not have a material impact on such statements. | ||||
Goodwill is calculated as the excess of the consideration transferred over the assets acquired, and represents the estimated future economic benefits arising from other assets acquired that could not be individually identified and separately recognized. Goodwill has been allocated to the Designed Structures and Solutions, Global Color, Additives and Inks, and Performance Products and Solutions segments. Goodwill recognized as a result of the acquisition is not deductible for tax purposes. See Note 4, Goodwill and Intangible Assets for further information. | ||||
The following unaudited pro forma information presents a summary of PolyOne's Combined Statements of Income for the nine months ended September 30, 2013 as if the Spartech acquisition and related financing occurred on January 1, 2013. The following pro forma financial information is not necessarily indicative of the results of operations as they would have been had the transaction occurred on the assumed date, nor is it necessarily an indication of trends in future results for a number of reasons, including, but not limited to, differences between the assumptions used to prepare the pro forma information, cost savings from operating efficiencies, potential synergies and the impact of incremental costs incurred in integrating the businesses: | ||||
(In millions) | Nine Months Ended September 30, 2013 | |||
Sales | $ | 3,065.60 | ||
Net income from continuing operations attributable to PolyOne common shareholders | $ | 73.8 | ||
The unaudited pro forma financial information presented in the table above has been adjusted to give effect to adjustments that are: (1) directly related to the business combination; (2) factually supportable; and (3) expected to have a continuing impact. | ||||
During the nine months ended 2013, we incurred $7.2 million of acquisition-related costs primarily associated with the Spartech acquisition, which are included within the Selling and administrative expense line in our Condensed Consolidated Statements of Income. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||||||
Discontinued Operations | ' | |||||||||||||||
Note 3 — DISCONTINUED OPERATIONS | ||||||||||||||||
On May 30, 2013, PolyOne sold its vinyl dispersion, blending and suspension resin assets (Resin Business) to Mexichem Specialty Resins Inc. (Mexichem) for $250.0 million cash consideration. This sale resulted in the recognition of a pre-tax gain of $223.7 million ($139.7 million, net of tax) that was primarily recognized during the second quarter of 2013. | ||||||||||||||||
The table below summarizes results for the Resin Business for the three and nine months ended September 30, 2014 and 2013, which are reflected in our Condensed Consolidated Statements of Income as a discontinued operation. | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013* | ||||||||||||
Sales | $ | — | $ | — | $ | — | $ | 55.3 | ||||||||
Gain on sale | — | 0.1 | — | 223.7 | ||||||||||||
Income from operations | — | — | — | 12.2 | ||||||||||||
Income before taxes | — | 0.1 | — | 235.9 | ||||||||||||
Income tax benefit (expense) | 0.4 | (0.3 | ) | 1.2 | (89.7 | ) | ||||||||||
Income (loss) from discontinued operations, net of income taxes | $ | 0.4 | $ | (0.2 | ) | $ | 1.2 | $ | 146.2 | |||||||
* Includes the Resin Business' operating results through May 29, 2013. |
Goodwill_And_Intangible_Assets
Goodwill And Intangible Assets | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||||||||||
Goodwill And Intangible Assets | ' | |||||||||||||||||||||||
Note 4 — GOODWILL AND INTANGIBLE ASSETS | ||||||||||||||||||||||||
Goodwill as of September 30, 2014 and December 31, 2013, and changes in the carrying amount of goodwill by segment were as follows: | ||||||||||||||||||||||||
(In millions) | Global Specialty | Global Color, | Designed Structures and Solutions | Performance | PolyOne | Total | ||||||||||||||||||
Engineered | Additives and | Products and | Distribution | |||||||||||||||||||||
Materials | Inks | Solutions | ||||||||||||||||||||||
Balance December 31, 2012 | $ | 98.6 | $ | 297.9 | $ | — | $ | 7.4 | $ | 1.6 | $ | 405.5 | ||||||||||||
Acquisitions of businesses | 1.8 | 12.4 | 136.3 | 3.6 | — | 154.1 | ||||||||||||||||||
Currency translation and other adjustments | (0.5 | ) | (0.1 | ) | — | — | — | (0.6 | ) | |||||||||||||||
Balance December 31, 2013 | 99.9 | 310.2 | 136.3 | 11 | 1.6 | 559 | ||||||||||||||||||
Currency translation and other adjustments | (0.1 | ) | 0.9 | 8.4 | 0.2 | — | 9.4 | |||||||||||||||||
Balance September 30, 2014 | $ | 99.8 | $ | 311.1 | $ | 144.7 | $ | 11.2 | $ | 1.6 | $ | 568.4 | ||||||||||||
Indefinite and finite-lived intangible assets consisted of the following: | ||||||||||||||||||||||||
As of September 30, 2014 | ||||||||||||||||||||||||
(In millions) | Acquisition | Accumulated | Currency | Impairment | Net | |||||||||||||||||||
Cost | Amortization | Translation | ||||||||||||||||||||||
Customer relationships | $ | 190.4 | $ | (40.6 | ) | $ | 0.3 | $ | (1.3 | ) | $ | 148.8 | ||||||||||||
Patents, technology and other | 139.9 | (38.2 | ) | 0.1 | — | 101.8 | ||||||||||||||||||
Indefinite-lived trade names | 96.3 | — | — | (0.5 | ) | 95.8 | ||||||||||||||||||
In-process research and development | 3.4 | — | — | — | 3.4 | |||||||||||||||||||
Total | $ | 430 | $ | (78.8 | ) | $ | 0.4 | $ | (1.8 | ) | $ | 349.8 | ||||||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
(In millions) | Acquisition | Accumulated | Currency | Impairment | Net | |||||||||||||||||||
Cost | Amortization | Translation | ||||||||||||||||||||||
Customer relationships | $ | 190.4 | $ | (34.1 | ) | $ | 0.1 | $ | — | $ | 156.4 | |||||||||||||
Patents, technology and other | 139.9 | (30.3 | ) | 0.1 | — | 109.7 | ||||||||||||||||||
Indefinite-lived trade names | 96.3 | — | — | — | 96.3 | |||||||||||||||||||
In-process research and development | 3.4 | — | — | — | 3.4 | |||||||||||||||||||
Total | $ | 430 | $ | (64.4 | ) | $ | 0.2 | $ | — | $ | 365.8 | |||||||||||||
Employee_Separation_and_Plant_
Employee Separation and Plant Phase-out Costs | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||
Employee Separation and Plant Phase-out Costs | ' | |||||||||||||||
Note 5 — EMPLOYEE SEPARATION AND PLANT PHASE-OUT COSTS | ||||||||||||||||
In 2013, PolyOne determined it would close six former Spartech North American manufacturing facilities and one administrative office in Washington, Pennsylvania and relocate production to other PolyOne facilities. Further, in 2013, PolyOne determined it would also close the former Spartech Donchery, France manufacturing facility. These actions are expected to be completed by the end of 2014. The manufacturing facilities’ closings are part of the Company’s ongoing integration of Spartech, which are designed to enable the Company to better serve customers, improve efficiency, and deliver a portion of the anticipated synergy-related cost savings in connection with the Spartech acquisition. In addition to these actions, PolyOne incurred severance costs related to former Spartech executives and other employees, as well as asset-related charges and other ongoing costs associated with restructuring actions that were underway prior to PolyOne's acquisition of Spartech. Finally, the Company has also incurred charges at other Spartech locations primarily related to further asset rationalization. | ||||||||||||||||
The Company has incurred $89.7 million of charges in connection with the Spartech actions noted above. These costs include $27.0 million of severance, $35.2 million of asset-related charges, including accelerated depreciation, and $27.5 million of other ongoing costs. We do not expect the remaining charges for the announced Spartech actions noted above to have a material impact on our financial statements going forward. | ||||||||||||||||
The table below summarizes restructuring activity related to Spartech since the date of acquisition. | ||||||||||||||||
(In millions) | Long-Lived Asset Charges | Employee Separation | Other Costs | Total | ||||||||||||
Accrual balance at January 1, 2013 | $ | — | $ | — | $ | — | $ | — | ||||||||
Charged to expense | 13.6 | 21.1 | 9.4 | 44.1 | ||||||||||||
Cash payments | — | (6.0 | ) | (9.4 | ) | (15.4 | ) | |||||||||
Non-cash utilization | (13.6 | ) | — | — | (13.6 | ) | ||||||||||
Accrual balance at December 31, 2013 | $ | — | $ | 15.1 | $ | — | $ | 15.1 | ||||||||
Charged to expense | 7.7 | 2.6 | 5.5 | 15.8 | ||||||||||||
Cash payments | — | (3.4 | ) | (5.5 | ) | (8.9 | ) | |||||||||
Non-cash utilization | (7.7 | ) | — | — | (7.7 | ) | ||||||||||
Accrual balance at March 31, 2014 | $ | — | $ | 14.3 | $ | — | $ | 14.3 | ||||||||
Charged to expense | 8.9 | 2.2 | 8.5 | 19.6 | ||||||||||||
Cash payments | — | (4.5 | ) | (8.5 | ) | (13.0 | ) | |||||||||
Non-cash utilization | (8.9 | ) | — | — | (8.9 | ) | ||||||||||
Accrual balance at June 30, 2014 | $ | — | $ | 12 | $ | — | $ | 12 | ||||||||
Charged to expense | 5 | 1.1 | 4.1 | 10.2 | ||||||||||||
Cash payments | — | (5.1 | ) | (4.1 | ) | (9.2 | ) | |||||||||
Non-cash utilization | (5.0 | ) | — | — | (5.0 | ) | ||||||||||
Accrual balance at September 30, 2014 | $ | — | $ | 8 | $ | — | $ | 8 | ||||||||
In June 2014, PolyOne determined it would close its Diadema and Joinville Brazil facilities that were acquired in 2011 with the acquisition of Uniplen Industria de Polimeros Ltda. (Uniplen). These actions are expected to accelerate our specialty strategy in Brazil, streamline operations and improve our financial performance in the region. The Company recognized $2.9 million of charges related to these actions during the three months ended September 30, 2014 and $17.2 million for the nine months ended September 30, 2014. The total charges of $17.2 million include fixed asset related charges of $5.3 million, intangible asset impairment of $1.8 million, other asset write downs of $5.3 million, plant closure costs of $1.5 million and severance charges of $3.3 million. We do not expect the remaining charges related to these actions to have a material impact to our financial statements going forward. | ||||||||||||||||
In addition to the Spartech and Brazil actions noted above, during the three and nine months ended September 30, 2014, we recognized $4.8 million and $8.1 million of other severance and plant phase-out charges, respectively. These charges were primarily related to European severance for certain position eliminations. | ||||||||||||||||
During the three months ended September 30, 2014, we recognized total employee separation and plant phase-out charges of $17.9 million, which included $7.8 million recognized within Cost of goods sold and $10.1 million recognized in Selling and administrative expenses. During the three months ended September 30, 2013, we recognized total employee separation and plant phase-out charges of $10.9 million, which included $4.8 million recognized within Cost of goods sold and $6.1 million recognized in Selling and administrative expenses. | ||||||||||||||||
During the nine months ended September 30, 2014, we recognized total employee separation and plant phase-out charges of $70.9 million, which included $40.9 million recognized within Cost of goods sold and $30.0 million recognized in Selling and administrative expenses. During the nine months ended September 30, 2013, we recognized total employee separation and plant phase-out charges of $23.7 million, which included $4.8 million recognized within Cost of goods sold and $18.9 million recognized in Selling and administrative expenses. |
Inventories_Net
Inventories, Net | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Inventory, Net [Abstract] | ' | |||||||
Inventories, Net | ' | |||||||
Note 6 — INVENTORIES, NET | ||||||||
Components of Inventories, net are as follows: | ||||||||
(In millions) | September 30, 2014 | December 31, 2013 | ||||||
At FIFO cost: | ||||||||
Finished products | $ | 181.2 | $ | 203.6 | ||||
Work in process | 4.9 | 3.9 | ||||||
Raw materials and supplies | 119.5 | 135 | ||||||
Inventories, net | $ | 305.6 | $ | 342.5 | ||||
Property_Net
Property, Net | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Net | ' | |||||||
Note 7 — PROPERTY, NET | ||||||||
Components of Property, net are as follows: | ||||||||
(In millions) | September 30, 2014 | December 31, 2013 | ||||||
Land and land improvements | $ | 50.5 | $ | 52.5 | ||||
Buildings | 307 | 315.4 | ||||||
Machinery and equipment | 1,073.30 | 1,079.20 | ||||||
Property, gross | 1,430.80 | 1,447.10 | ||||||
Less accumulated depreciation and amortization | (835.2 | ) | (800.9 | ) | ||||
Property, net | $ | 595.6 | $ | 646.2 | ||||
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Note 8 — INCOME TAXES | |
Income tax expense from continuing operations was $14.1 million, an effective rate of 30.4%, for the third quarter of 2014 compared to $15.8 million, an effective rate of 40.7%, for the third quarter of 2013. The lower effective rate for the third quarter of 2014 was driven primarily by a $5.1 million tax benefit associated with our investments in certain foreign affiliates. | |
Income tax expense from continuing operations was $27.4 million, an effective rate of 22.9%, for the nine months ended September 30, 2014 compared to $45.1 million, an effective rate of 38.4%, for the nine months ended September 30, 2013. The lower effective rate for the nine months ended September 30, 2014 was driven by a $10.5 million tax benefit associated with our investments in certain foreign affiliates in addition to favorable settlements with U.S. and foreign tax authorities of $4.0 million that were recognized in the first quarter of 2014. |
WeightedAverage_Shares_Used_In
Weighted-Average Shares Used In Computing Earnings Per Share | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Weighted-Average Shares Used In Computing Earnings Per Share | ' | |||||||||||
Note 9 — WEIGHTED-AVERAGE SHARES USED IN COMPUTING EARNINGS PER SHARE | ||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013 | ||||||||
Weighted-average shares outstanding – basic | 91.8 | 96.7 | 93.1 | 95.4 | ||||||||
Plus dilutive impact of stock options and awards | 1.3 | 1.4 | 1.2 | 1 | ||||||||
Weighted-average shares – diluted | 93.1 | 98.1 | 94.3 | 96.4 | ||||||||
For the three months ended September 30, 2014 and 2013, 0.3 million and 0.2 million of equity-based awards, respectively, were excluded from the computation of diluted earnings per share because their effect would have been anti-dilutive. | ||||||||||||
For the nine months ended September 30, 2014 and 2013, 0.4 million and 0.6 million of equity-based awards, respectively, were excluded from the computation of diluted earnings per share because their effect would have been anti-dilutive. |
Employee_Benefit_Plans
Employee Benefit Plans | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | |||||||||||||||
Employee Benefit Plans | ' | |||||||||||||||
Note 10 — EMPLOYEE BENEFIT PLANS | ||||||||||||||||
Components of defined benefit pension plan net periodic gains are as follows: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Service cost | $ | 0.5 | $ | 0.4 | $ | 1.4 | $ | 1.2 | ||||||||
Interest cost | 6.3 | 5.9 | 18.8 | 17.7 | ||||||||||||
Expected return on plan assets | (8.1 | ) | (9.3 | ) | (24.2 | ) | (27.9 | ) | ||||||||
Net periodic benefit gains | $ | (1.3 | ) | $ | (3.0 | ) | $ | (4.0 | ) | $ | (9.0 | ) | ||||
Components of post-retirement health care plan benefit costs are as follows: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Interest cost | $ | 0.2 | $ | 0.2 | $ | 0.5 | $ | 0.6 | ||||||||
Net periodic benefit costs | $ | 0.2 | $ | 0.2 | $ | 0.5 | $ | 0.6 | ||||||||
Financing_Arrangements
Financing Arrangements | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Financing Arrangements | ' | |||||||
Note 11 — FINANCING ARRANGEMENTS | ||||||||
Debt consists of the following instruments: | ||||||||
(Dollars in millions) | 30-Sep-14 | 31-Dec-13 | ||||||
7.500% debentures due 2015 | $ | 48.7 | $ | 48.7 | ||||
7.375% senior notes due 2020 | 316.6 | 316.6 | ||||||
5.250% senior notes due 2023 | 600 | 600 | ||||||
Other debt | 13.6 | 23.6 | ||||||
Total long-term debt | 978.9 | 988.9 | ||||||
Less current portion | 13.1 | 12.7 | ||||||
Total long-term debt, net of current portion | $ | 965.8 | $ | 976.2 | ||||
During the first quarter of 2014, we repaid an $8.0 million industrial revenue bond that was assumed as a result of the Spartech acquisition. | ||||||||
During the third quarter of 2013, we repurchased $43.4 million aggregate principal amount of our 7.375% senior notes due 2020 and $1.3 million aggregate principal amount of our 7.50% debentures due 2015. We recognized $5.2 million of debt extinguishment costs within the Debt extinguishment costs line in our Condensed Consolidated Statements of Income in the third quarter of 2013 in connection with such repurchases. | ||||||||
On February 28, 2013, PolyOne issued $600.0 million aggregate principal amount of senior notes, which mature on March 15, 2023. The senior notes bear an interest rate of 5.25% per year, payable semi-annually, in arrears, on March 15 and September 15 of each year, which commenced on September 15, 2013. We used a portion of the net proceeds of the offering to pay the cash portion of the Spartech acquisition and to repay certain Spartech debt. During the first quarter of 2013, we also used a portion of these net proceeds to make a voluntary $50.0 million contribution to our U.S. qualified defined benefit plan and to repay the outstanding principal amount of $297.0 million under our senior secured term loan. | ||||||||
In the second quarter of 2013, we incurred debt extinguishment costs of $10.6 million related to the early retirement of our senior secured term loan, which included $8.2 million of deferred financing cost write-offs and $2.4 million of discount write-offs. These costs are presented within the Debt extinguishment costs line in our Condensed Consolidated Statements of Income. As a result of the issuance of our 2023 senior notes in February 2013, the bridge financing commitment that provided for borrowings of $250.0 million obtained at the time of the announced acquisition of Spartech expired. We recognized $1.9 million of deferred financing costs within Interest expense, net within the Condensed Consolidated Statements of Income in the first quarter of 2013 related to this committed financing arrangement. | ||||||||
On March 1, 2013, the agreement, dated December 21, 2011, governing our $300.0 million five-year senior secured revolving credit facility was amended and restated. The amendment and restatement resulted in an increase in commitments of $100.0 million for a maximum borrowing facility size of $400.0 million, subject to a borrowing base with advances against certain U.S. and Canadian accounts receivable and inventory. We have the option to increase the availability under the facility to $450.0 million, subject to meeting certain requirements and obtaining commitments for such increase. In connection with the amendment and restatement, we also extended the maturity date to March 1, 2018. As of September 30, 2014, we were in compliance with all covenants, had no outstanding borrowings and had availability of $296.8 million under this facility. | ||||||||
On October 2, 2012, the Company entered into a credit line with Saudi Hollandi Bank with an interest rate equal to the Saudi Arabia Interbank Offered Rate (SAIBOR) plus a fixed rate of 0.85%. The credit line is being used to fund capital expenditures related to the manufacturing facility in Jeddah, Saudi Arabia and is subject to an annual renewal. In 2013, the Company renewed the credit line with Saudi Hollandi Bank and increased the facility size to $16.0 million. As of September 30, 2014, borrowings under the credit line were $13.1 million with an interest rate of 1.85%. | ||||||||
The estimated fair value of PolyOne’s debt instruments at September 30, 2014 and December 31, 2013 was $983.8 million and $1,010.3 million, respectively, compared to carrying values of $978.9 million and $988.9 million as of September 30, 2014 and December 31, 2013, respectively. The fair value of PolyOne’s debt instruments was estimated using prevailing market interest rates on debt with similar creditworthiness, terms and maturities and represent Level 2 measurements within the fair value hierarchy. |
Segment_Information
Segment Information | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||
Segment Information | ' | |||||||||||||||||||||||
Note 12 — SEGMENT INFORMATION | ||||||||||||||||||||||||
Operating income is the primary financial measure that is reported to the chief operating decision maker for purposes of allocating resources to segments and assessing segment performance. Operating income at the segment level does not include: corporate general and administrative costs that are not allocated to segments; intersegment sales and profit eliminations; charges related to specific strategic initiatives, such as the consolidation of operations; restructuring activities, including employee separation costs resulting from personnel reduction programs, plant closure and phase-out costs; executive separation agreements; stock-based compensation costs; asset and goodwill impairments; environmental remediation costs for facilities no longer owned or closed in prior years; gains and losses on the divestiture of joint ventures and equity investments; and certain other items that are not included in the measure of segment profit or loss that is reported to and reviewed by the chief operating decision maker. These costs are included in Corporate and eliminations. | ||||||||||||||||||||||||
PolyOne has five reportable segments: (1) Global Color, Additives and Inks; (2) Global Specialty Engineered Materials; (3) Designed Structures and Solutions; (4) Performance Products and Solutions; and (5) PolyOne Distribution. | ||||||||||||||||||||||||
Segment information for the three and nine months ended September 30, 2014 and 2013 is as follows: | ||||||||||||||||||||||||
Three Months Ended September 30, 2014 | Three Months Ended September 30, 2013 | |||||||||||||||||||||||
(In millions) | Sales to | Total | Operating | Sales to | Total Sales | Operating | ||||||||||||||||||
External | Sales | Income | External | Income | ||||||||||||||||||||
Customers | Customers | |||||||||||||||||||||||
Global Color, Additives and Inks | $ | 207.4 | $ | 212 | $ | 30.1 | $ | 216.4 | $ | 219 | $ | 28.9 | ||||||||||||
Global Specialty Engineered Materials | 135.3 | 145.8 | 18.4 | 139.8 | 157.6 | 14.6 | ||||||||||||||||||
Designed Structures and Solutions | 152.1 | 152.3 | 13.1 | 187.8 | 187.8 | 10.9 | ||||||||||||||||||
Performance Products and Solutions | 187.2 | 213 | 17.8 | 192.2 | 207.4 | 15.1 | ||||||||||||||||||
PolyOne Distribution | 276.4 | 280.5 | 18.7 | 272.7 | 275 | 16.6 | ||||||||||||||||||
Corporate and eliminations | — | (45.2 | ) | (34.5 | ) | — | (37.9 | ) | (24.5 | ) | ||||||||||||||
Total | $ | 958.4 | $ | 958.4 | $ | 63.6 | $ | 1,008.90 | $ | 1,008.90 | $ | 61.6 | ||||||||||||
Nine Months Ended September 30, 2014 | Nine Months Ended September 30, 2013 | |||||||||||||||||||||||
(In millions) | Sales to | Total | Sales to | Total Sales | ||||||||||||||||||||
External | Sales | Operating | External | Operating | ||||||||||||||||||||
Customers | Income | Customers | Income | |||||||||||||||||||||
Global Color, Additives and Inks | $ | 647.3 | $ | 660.3 | $ | 98.2 | $ | 648.9 | $ | 653.7 | $ | 84 | ||||||||||||
Global Specialty Engineered Materials | 428 | 461 | 55.6 | 436.2 | 469.3 | 45.4 | ||||||||||||||||||
Designed Structures and Solutions | 489.3 | 489.9 | 37.2 | 428.2 | 428.2 | 21.4 | ||||||||||||||||||
Performance Products and Solutions | 560.2 | 631.8 | 51.4 | 522.6 | 584.3 | 44 | ||||||||||||||||||
PolyOne Distribution | 841.4 | 851.6 | 53.2 | 811.7 | 818.1 | 49.7 | ||||||||||||||||||
Corporate and eliminations | — | (128.4 | ) | (126.2 | ) | — | (106.0 | ) | (61.7 | ) | ||||||||||||||
Total | $ | 2,966.20 | $ | 2,966.20 | $ | 169.4 | $ | 2,847.60 | $ | 2,847.60 | $ | 182.8 | ||||||||||||
Total Assets | ||||||||||||||||||||||||
(In millions) | September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||
Global Color, Additives and Inks | $ | 912.6 | $ | 962 | ||||||||||||||||||||
Global Specialty Engineered Materials | 369.9 | 379.6 | ||||||||||||||||||||||
Designed Structures and Solutions | 522.5 | 549.4 | ||||||||||||||||||||||
Performance Products and Solutions | 263.7 | 278.7 | ||||||||||||||||||||||
PolyOne Distribution | 221.5 | 216.7 | ||||||||||||||||||||||
Corporate and eliminations | 465.6 | 557.7 | ||||||||||||||||||||||
Total assets | $ | 2,755.80 | $ | 2,944.10 | ||||||||||||||||||||
Commitments_And_Contingencies
Commitments And Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Note 13 — COMMITMENTS AND CONTINGENCIES | |
Environmental — We or our subsidiaries have been notified by federal and state environmental agencies and by private parties that we may be a potentially responsible party (PRP) in connection with the investigation and remediation of certain environmental sites. While government agencies frequently assert that PRPs are jointly and severally liable at these sites, in our experience, the interim and final allocations of liability costs are generally made based on the relative contribution of waste. We initiate corrective and preventive environmental projects of our own to ensure safe and lawful activities at our operations. We believe that compliance with current governmental regulations at all levels will not have a material adverse effect on our financial condition. | |
In September 2007, we were informed of rulings by the United States District Court for the Western District of Kentucky on several pending motions in the case of Westlake Vinyls, Inc. v. Goodrich Corporation, et al., which had been pending since 2003. The Court held that PolyOne must pay the remediation costs at the former Goodrich Corporation (now Westlake Vinyls, Inc.) Calvert City facility, together with certain defense costs of Goodrich Corporation. The rulings also provided that PolyOne can seek indemnification for contamination attributable to Westlake Vinyls. | |
The environmental obligation at the site arose as a result of an agreement between The B.F.Goodrich Company (n/k/a Goodrich Corporation) and our predecessor, The Geon Company, at the time of the initial public offering in 1993, by which the Geon Company became a public company, to indemnify Goodrich Corporation for environmental costs at the site. At the time, neither PolyOne nor The Geon Company ever owned or operated the facility. Following the Court rulings, the parties to the litigation entered into settlement negotiations and agreed to settle all claims regarding past environmental costs incurred at the site. The settlement agreement provides a mechanism to pursue allocations of future remediation costs at the Calvert City site to Westlake Vinyls, Inc. While we do not currently assume any allocation of costs in our current reserve, we will adjust our reserve, in the future, consistent with any such future allocation of costs. | |
A remedial investigation and feasibility study (RIFS) is underway at Calvert City. During the third quarter of 2013, we submitted a remedial investigation report to the United States Environmental Protection Agency (USEPA). The USEPA has required certain changes to the remedial investigation report, and development of a final report by the USEPA is ongoing. Further, we have undertaken steps to develop a feasibility study, including engaging a third party to perform ground water modeling at this site. Based upon preliminary results of this study, obtained in the fourth quarter of 2013, we adjusted our reserve $47.0 million for this location. We expect the remedial investigation to be finalized in 2014 and the feasibility study in 2015, and we continue to pursue available insurance coverage. | |
On March 13, 2013, PolyOne acquired Spartech. One of Spartech's subsidiaries, Franklin-Burlington Plastics, Inc. (Franklin-Burlington), operated a plastic resin compounding facility in Kearny, New Jersey, located adjacent to the lower Passaic River. The USEPA has requested that companies located in the area of the lower Passaic River, including Franklin-Burlington, cooperate in an investigation of contamination of the lower Passaic River. In response, Franklin-Burlington and approximately 70 other companies (collectively, the Cooperating Parties) agreed, pursuant to an Administrative Order of Consent with the USEPA, to assume responsibility for development of a RIFS of the lower Passaic River. The RIFS costs are exclusive of any costs that may ultimately be required to remediate the lower Passaic River area being studied or costs associated with natural resource damages that may be assessed. By agreeing to bear a portion of the cost of the RIFS, Franklin-Burlington did not admit to or agree to bear any such remediation or natural resource damage costs. In April 2014, the USEPA released a Focused Feasibility Study for public comment for a portion of the Lower Passaic River. The Cooperating Parties, along with other interested parties, have submitted comments, and the USEPA is currently reviewing the comments. | |
Given the uncertainties related to the lower Passaic River, including the fact that the final remedial actions and scope, and the ultimate allocation to Franklin-Burlington, have not yet been determined, we are not able to assess or estimate our remedial liability, if any, related to this matter. | |
During the nine months ended September 30, 2014 and 2013, PolyOne recognized $7.7 million and $8.6 million, respectively, of expense related to environmental activities at our active and inactive sites. During the nine months ended September 30, 2014 and 2013 we received $1.6 million and $20.1 million, respectively, of insurance recoveries related to previously incurred environmental costs. These expenses and gains associated with these reimbursements are included within Cost of sales within our Condensed Consolidated Statements of Income. | |
Based on estimates that were prepared by our environmental engineers and consultants, our reserve balance was $121.7 million at September 30, 2014 and $125.9 million at December 31, 2013, for probable future environmental expenditures related to previously contaminated sites. The accruals represent our best estimate of the remaining probable remediation costs, based upon information and technology that is currently available and our view of the most likely remedy. Depending upon the results of future testing, the ultimate remediation alternatives undertaken, changes in regulations, new information, newly discovered conditions and other factors, it is reasonably possible that we could incur additional costs in excess of the amount accrued at September 30, 2014. However, such additional costs, if any, cannot presently be estimated. | |
Guarantee — On February 28, 2011, we sold our 50% equity interest in SunBelt Chlor Alkali Partnership (SunBelt) to Olin Corporation (Olin) for $132.3 million in cash and the assumption by Olin of the obligations under our guarantee of senior secured notes issued by SunBelt. The remaining guarantee is $24.4 million as of September 30, 2014. Unless the guarantee is formally assigned to Olin, we remain obligated under the guarantee, although Olin has agreed to indemnify us for amounts that we may be obligated to pay under the guarantee. |
Derivative_Instruments
Derivative Instruments | 9 Months Ended | |||||||||
Sep. 30, 2014 | ||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||
Derivative Instruments | ' | |||||||||
Note 14 — DERIVATIVE INSTRUMENTS | ||||||||||
When translating results from foreign operations into U.S. dollars, we are subject to foreign exchange related risks in our operating results. We are also exposed to foreign exchange risk arising from intercompany lending transactions denominated in various foreign currencies that are subject to foreign exchange rate movement over the term of the loans. To mitigate these risks, we enter into forward contracts. The counterparties to these instruments are financial institutions with strong credit ratings. PolyOne maintains control over the size of positions entered into with any one counterparty and regularly monitors the credit ratings of these institutions. | ||||||||||
Derivative financial instruments are accounted for at fair value and recognized as assets or liabilities in the Condensed Consolidated Balance Sheets. These instruments are not designated as a hedge, and therefore, any gain or loss is immediately recognized in income. | ||||||||||
The fair value of derivative financial instruments recorded in the Condensed Consolidated Balance Sheets are as follows: | ||||||||||
September 30, 2014 | ||||||||||
(In millions) | Notional | Other current assets | ||||||||
Foreign currency forwards | $ | 12.1 | $ | 0.1 | ||||||
December 31, 2013 | ||||||||||
(In millions) | Notional | Other current assets | ||||||||
Foreign currency forwards | $ | 12.8 | $ | — | ||||||
The effects of derivative instruments on our Condensed Consolidated Statements of Income are as follows: | ||||||||||
Three Months Ended September 30, | ||||||||||
(In millions) | 2014 | 2013 | Location | |||||||
Foreign currency options - (losses) | $ | — | $ | (0.2 | ) | Selling and administrative expense | ||||
Foreign currency forwards - gains (losses) | 0.9 | (0.5 | ) | Other expense, net | ||||||
Nine Months Ended September 30, | ||||||||||
(In millions) | 2014 | 2013 | Location | |||||||
Foreign currency options - (losses) | $ | — | $ | (0.4 | ) | Selling and administrative expense | ||||
Foreign currency forwards - gains | 0.8 | 0.1 | Other expense, net | |||||||
Equity
Equity | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||
Equity | ' | |||||||||||||||
Note 15 — EQUITY | ||||||||||||||||
Changes in equity for the nine months ended September 30, 2014 and September 30, 2013 are as follows: | ||||||||||||||||
(In millions) | PolyOne | Noncontrolling | Total | |||||||||||||
Shareholders' | Interests | Equity | ||||||||||||||
Equity | ||||||||||||||||
Balance at December 31, 2013 | $ | 976.8 | $ | 1.7 | $ | 978.5 | ||||||||||
Net income | 93.8 | (0.4 | ) | 93.4 | ||||||||||||
Other comprehensive income | ||||||||||||||||
Translation adjustments | (15.6 | ) | — | (15.6 | ) | |||||||||||
Total comprehensive income | 78.2 | (0.4 | ) | 77.8 | ||||||||||||
Cash dividend declared | (22.3 | ) | — | (22.3 | ) | |||||||||||
Repurchase of common shares | (175.0 | ) | — | (175.0 | ) | |||||||||||
Stock incentive plan activity | 9 | — | 9 | |||||||||||||
Balance at September 30, 2014 | $ | 866.7 | $ | 1.3 | $ | 868 | ||||||||||
Balance at December 31, 2012 | $ | 629.1 | $ | 2.3 | $ | 631.4 | ||||||||||
Net income | 219.2 | (0.7 | ) | 218.5 | ||||||||||||
Other comprehensive income | ||||||||||||||||
Translation adjustments | (3.0 | ) | — | (3.0 | ) | |||||||||||
Total comprehensive income | 216.2 | (0.7 | ) | 215.5 | ||||||||||||
Cash dividend declared | (16.9 | ) | — | (16.9 | ) | |||||||||||
Issuance of common shares in connection to the Spartech acquisition | 253.8 | — | 253.8 | |||||||||||||
Repurchase of common shares | (95.7 | ) | — | (95.7 | ) | |||||||||||
Stock incentive plan activity | 8.1 | — | 8.1 | |||||||||||||
Noncontrolling interest activity | — | 0.4 | 0.4 | |||||||||||||
Balance at September 30, 2013 | $ | 994.6 | $ | 2 | $ | 996.6 | ||||||||||
Changes in accumulated other comprehensive loss year-to-date as of September 30, 2014 and 2013 were as follows: | ||||||||||||||||
(In millions) | Cumulative Translation Adjustment | Pension and Other Post-Retirement Benefits | Unrealized Gain in Available-for-Sale Securities | Total | ||||||||||||
Balance at January 1, 2014 | $ | (20.2 | ) | $ | 5.2 | $ | 0.2 | $ | (14.8 | ) | ||||||
Translation adjustments | (15.6 | ) | — | — | (15.6 | ) | ||||||||||
Balance at September 30, 2014 | $ | (35.8 | ) | $ | 5.2 | $ | 0.2 | $ | (30.4 | ) | ||||||
Balance at January 1, 2013 | $ | (16.5 | ) | $ | 5.2 | $ | 0.2 | $ | (11.1 | ) | ||||||
Translation adjustments | (3.0 | ) | — | — | (3.0 | ) | ||||||||||
Balance at September 30, 2013 | $ | (19.5 | ) | $ | 5.2 | $ | 0.2 | $ | (14.1 | ) | ||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Note 1 — BASIS OF PRESENTATION | |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with Form 10-Q instructions and in the opinion of management contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods presented. The preparation of financial statements in conformity with generally accepted accounting principles, requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from these estimates. These interim financial statements should be read in conjunction with the financial statements and accompanying notes included in the annual report on Form 10-K for the year ended December 31, 2013 of PolyOne Corporation. | |
Operating results for the three and nine months ended September 30, 2014 are not necessarily indicative of the results that may be attained in subsequent periods or for the year ending December 31, 2014. | |
Adoption of Accounting Standards | |
Effective January 1, 2014, the Company adopted Accounting Standards Update No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (ASU 2013-11). ASU 2013-11 requires that an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, if such settlement is required or expected in the event the uncertain tax position is disallowed. The adoption of ASU 2013-11 did not have a material impact to the Company's financial statements. | |
Accounting Standards Not Yet Adopted | |
In May 2014, the Financial Accounting Standards Board issued Auditing Standards Update 2014-09, "Revenue from Contracts with Customers" (ASU 2014-09), which clarifies existing accounting literature relating to how and when a company recognizes revenue. Under ASU 2014-09, a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods and services. ASU 2014-09 will be effective for the Company January 1, 2017. The Company is in the process of determining what impact, if any, the adoption of ASU 2014-09 will have on its financial position, results of operations and cash flows. |
Business_Combinations_Tables
Business Combinations (Tables) | 9 Months Ended | |||
Sep. 30, 2014 | ||||
Business Acquisition [Line Items] | ' | |||
Business Acquisition, Pro Forma Information | ' | |||
(In millions) | Nine Months Ended September 30, 2013 | |||
Sales | $ | 3,065.60 | ||
Net income from continuing operations attributable to PolyOne common shareholders | $ | 73.8 | ||
Spartech [Member] | ' | |||
Business Acquisition [Line Items] | ' | |||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | ' | |||
The Spartech purchase price was comprised of the following: | ||||
(In millions, except stock price and share data) | ||||
Spartech shares outstanding | 31.2 | |||
Spartech restricted stock units | 0.2 | |||
Spartech shares converted | 31.4 | |||
Exchange ratio | 0.3167 | |||
PolyOne shares issued | 10 | |||
PolyOne closing stock price on March 13, 2013 | $ | 25.05 | ||
Total value of PolyOne shares issued | $ | 249.9 | ||
Cash consideration transferred to Spartech shareholders | 83.4 | |||
Fair value of Spartech equity awards, net of deferred tax benefits (1) | 2.4 | |||
Total consideration transferred to Spartech equity holders | 335.7 | |||
Spartech revolving credit facilities repaid at close (2) | 77.2 | |||
Spartech senior notes repaid at close (2) | 102.3 | |||
Total consideration transferred to debt and equity holders | 515.2 | |||
Cash acquired | (4.1 | ) | ||
Total consideration transferred to debt and equity holders, net of cash acquired | $ | 511.1 | ||
(1) In accordance with ASC 718, Compensation — Stock Compensation, the fair value of replacement awards attributable to pre-combination service is recognized as part of the purchase consideration. The $2.4 million represents the fair value of Spartech replacement equity awards of $3.9 million net of deferred tax benefits of $1.5 million. The fair value of awards attributable to post-combination service amounted to $2.7 million and is being recognized as stock compensation expense over their requisite service periods within PolyOne's Condensed Consolidated Statements of Income. | ||||
(2) In accordance with the provisions of Spartech's 7.08% senior notes due 2016 and revolving credit facilities, at the time of closing, PolyOne repaid all borrowings under Spartech's revolving credit facilities, which amounted to $77.2 million. Additionally, PolyOne repaid $102.3 million related to Spartech's 7.08% senior notes due 2016, including $88.9 million of aggregate principal, $10.3 million of make-whole provisions and $3.1 million of interest payable. | ||||
The following table summarizes the final Spartech purchase price allocation: | ||||
(In millions) | ||||
Accounts receivable | $ | 139.7 | ||
Inventories | 114.4 | |||
Other current assets | 18.6 | |||
Property | 280.3 | |||
Other non-current assets | 19.6 | |||
Intangible assets | 44.6 | |||
Goodwill | 162.6 | |||
Total assets acquired | 779.8 | |||
Short-term and current portion of long-term debt | 0.5 | |||
Accounts payable | 105 | |||
Accrued expenses and other liabilities | 43.1 | |||
Long-term debt | 11 | |||
Other non-current liabilities | 109.1 | |||
Total liabilities assumed | 268.7 | |||
Net assets acquired | $ | 511.1 | ||
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||||||
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures | ' | |||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013* | ||||||||||||
Sales | $ | — | $ | — | $ | — | $ | 55.3 | ||||||||
Gain on sale | — | 0.1 | — | 223.7 | ||||||||||||
Income from operations | — | — | — | 12.2 | ||||||||||||
Income before taxes | — | 0.1 | — | 235.9 | ||||||||||||
Income tax benefit (expense) | 0.4 | (0.3 | ) | 1.2 | (89.7 | ) | ||||||||||
Income (loss) from discontinued operations, net of income taxes | $ | 0.4 | $ | (0.2 | ) | $ | 1.2 | $ | 146.2 | |||||||
* Includes the Resin Business' operating results through May 29, 2013. |
Goodwill_And_Intangible_Assets1
Goodwill And Intangible Assets (Tables) | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||||||||||
Goodwill And Changes In Carrying Amount Of Goodwill By Operating Segment | ' | |||||||||||||||||||||||
Goodwill as of September 30, 2014 and December 31, 2013, and changes in the carrying amount of goodwill by segment were as follows: | ||||||||||||||||||||||||
(In millions) | Global Specialty | Global Color, | Designed Structures and Solutions | Performance | PolyOne | Total | ||||||||||||||||||
Engineered | Additives and | Products and | Distribution | |||||||||||||||||||||
Materials | Inks | Solutions | ||||||||||||||||||||||
Balance December 31, 2012 | $ | 98.6 | $ | 297.9 | $ | — | $ | 7.4 | $ | 1.6 | $ | 405.5 | ||||||||||||
Acquisitions of businesses | 1.8 | 12.4 | 136.3 | 3.6 | — | 154.1 | ||||||||||||||||||
Currency translation and other adjustments | (0.5 | ) | (0.1 | ) | — | — | — | (0.6 | ) | |||||||||||||||
Balance December 31, 2013 | 99.9 | 310.2 | 136.3 | 11 | 1.6 | 559 | ||||||||||||||||||
Currency translation and other adjustments | (0.1 | ) | 0.9 | 8.4 | 0.2 | — | 9.4 | |||||||||||||||||
Balance September 30, 2014 | $ | 99.8 | $ | 311.1 | $ | 144.7 | $ | 11.2 | $ | 1.6 | $ | 568.4 | ||||||||||||
Schedule Of Indefinite And Finite-Lived Intangible Assets | ' | |||||||||||||||||||||||
Indefinite and finite-lived intangible assets consisted of the following: | ||||||||||||||||||||||||
As of September 30, 2014 | ||||||||||||||||||||||||
(In millions) | Acquisition | Accumulated | Currency | Impairment | Net | |||||||||||||||||||
Cost | Amortization | Translation | ||||||||||||||||||||||
Customer relationships | $ | 190.4 | $ | (40.6 | ) | $ | 0.3 | $ | (1.3 | ) | $ | 148.8 | ||||||||||||
Patents, technology and other | 139.9 | (38.2 | ) | 0.1 | — | 101.8 | ||||||||||||||||||
Indefinite-lived trade names | 96.3 | — | — | (0.5 | ) | 95.8 | ||||||||||||||||||
In-process research and development | 3.4 | — | — | — | 3.4 | |||||||||||||||||||
Total | $ | 430 | $ | (78.8 | ) | $ | 0.4 | $ | (1.8 | ) | $ | 349.8 | ||||||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
(In millions) | Acquisition | Accumulated | Currency | Impairment | Net | |||||||||||||||||||
Cost | Amortization | Translation | ||||||||||||||||||||||
Customer relationships | $ | 190.4 | $ | (34.1 | ) | $ | 0.1 | $ | — | $ | 156.4 | |||||||||||||
Patents, technology and other | 139.9 | (30.3 | ) | 0.1 | — | 109.7 | ||||||||||||||||||
Indefinite-lived trade names | 96.3 | — | — | — | 96.3 | |||||||||||||||||||
In-process research and development | 3.4 | — | — | — | 3.4 | |||||||||||||||||||
Total | $ | 430 | $ | (64.4 | ) | $ | 0.2 | $ | — | $ | 365.8 | |||||||||||||
Employee_Separation_and_Plant_1
Employee Separation and Plant Phase-out Costs Restructuring and related activities (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||
Schedule of Restructuring and Related Costs | ' | |||||||||||||||
The table below summarizes restructuring activity related to Spartech since the date of acquisition. | ||||||||||||||||
(In millions) | Long-Lived Asset Charges | Employee Separation | Other Costs | Total | ||||||||||||
Accrual balance at January 1, 2013 | $ | — | $ | — | $ | — | $ | — | ||||||||
Charged to expense | 13.6 | 21.1 | 9.4 | 44.1 | ||||||||||||
Cash payments | — | (6.0 | ) | (9.4 | ) | (15.4 | ) | |||||||||
Non-cash utilization | (13.6 | ) | — | — | (13.6 | ) | ||||||||||
Accrual balance at December 31, 2013 | $ | — | $ | 15.1 | $ | — | $ | 15.1 | ||||||||
Charged to expense | 7.7 | 2.6 | 5.5 | 15.8 | ||||||||||||
Cash payments | — | (3.4 | ) | (5.5 | ) | (8.9 | ) | |||||||||
Non-cash utilization | (7.7 | ) | — | — | (7.7 | ) | ||||||||||
Accrual balance at March 31, 2014 | $ | — | $ | 14.3 | $ | — | $ | 14.3 | ||||||||
Charged to expense | 8.9 | 2.2 | 8.5 | 19.6 | ||||||||||||
Cash payments | — | (4.5 | ) | (8.5 | ) | (13.0 | ) | |||||||||
Non-cash utilization | (8.9 | ) | — | — | (8.9 | ) | ||||||||||
Accrual balance at June 30, 2014 | $ | — | $ | 12 | $ | — | $ | 12 | ||||||||
Charged to expense | 5 | 1.1 | 4.1 | 10.2 | ||||||||||||
Cash payments | — | (5.1 | ) | (4.1 | ) | (9.2 | ) | |||||||||
Non-cash utilization | (5.0 | ) | — | — | (5.0 | ) | ||||||||||
Accrual balance at September 30, 2014 | $ | — | $ | 8 | $ | — | $ | 8 | ||||||||
Inventories_Net_Tables
Inventories, Net (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Inventory, Net [Abstract] | ' | |||||||
Components Of Inventories | ' | |||||||
Components of Inventories, net are as follows: | ||||||||
(In millions) | September 30, 2014 | December 31, 2013 | ||||||
At FIFO cost: | ||||||||
Finished products | $ | 181.2 | $ | 203.6 | ||||
Work in process | 4.9 | 3.9 | ||||||
Raw materials and supplies | 119.5 | 135 | ||||||
Inventories, net | $ | 305.6 | $ | 342.5 | ||||
Property_Net_Tables
Property, Net (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Components Of Property, Net | ' | |||||||
Components of Property, net are as follows: | ||||||||
(In millions) | September 30, 2014 | December 31, 2013 | ||||||
Land and land improvements | $ | 50.5 | $ | 52.5 | ||||
Buildings | 307 | 315.4 | ||||||
Machinery and equipment | 1,073.30 | 1,079.20 | ||||||
Property, gross | 1,430.80 | 1,447.10 | ||||||
Less accumulated depreciation and amortization | (835.2 | ) | (800.9 | ) | ||||
Property, net | $ | 595.6 | $ | 646.2 | ||||
WeightedAverage_Shares_Used_In1
Weighted-Average Shares Used In Computing Earnings Per Share (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Schedule Of Weighted-Average Shares Used In Computing Earnings Per Share | ' | |||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013 | ||||||||
Weighted-average shares outstanding – basic | 91.8 | 96.7 | 93.1 | 95.4 | ||||||||
Plus dilutive impact of stock options and awards | 1.3 | 1.4 | 1.2 | 1 | ||||||||
Weighted-average shares – diluted | 93.1 | 98.1 | 94.3 | 96.4 | ||||||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Defined Benefit Pension Plan [Member] | ' | |||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | |||||||||||||||
Components Of Net Period Benefit Costs | ' | |||||||||||||||
Components of defined benefit pension plan net periodic gains are as follows: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Service cost | $ | 0.5 | $ | 0.4 | $ | 1.4 | $ | 1.2 | ||||||||
Interest cost | 6.3 | 5.9 | 18.8 | 17.7 | ||||||||||||
Expected return on plan assets | (8.1 | ) | (9.3 | ) | (24.2 | ) | (27.9 | ) | ||||||||
Net periodic benefit gains | $ | (1.3 | ) | $ | (3.0 | ) | $ | (4.0 | ) | $ | (9.0 | ) | ||||
Postretirement Health Care Plan Benefit [Member] | ' | |||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ' | |||||||||||||||
Components Of Net Period Benefit Costs | ' | |||||||||||||||
Components of post-retirement health care plan benefit costs are as follows: | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
(In millions) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Interest cost | $ | 0.2 | $ | 0.2 | $ | 0.5 | $ | 0.6 | ||||||||
Net periodic benefit costs | $ | 0.2 | $ | 0.2 | $ | 0.5 | $ | 0.6 | ||||||||
Financing_Arrangements_Tables
Financing Arrangements (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Components Of Debt | ' | |||||||
Debt consists of the following instruments: | ||||||||
(Dollars in millions) | 30-Sep-14 | 31-Dec-13 | ||||||
7.500% debentures due 2015 | $ | 48.7 | $ | 48.7 | ||||
7.375% senior notes due 2020 | 316.6 | 316.6 | ||||||
5.250% senior notes due 2023 | 600 | 600 | ||||||
Other debt | 13.6 | 23.6 | ||||||
Total long-term debt | 978.9 | 988.9 | ||||||
Less current portion | 13.1 | 12.7 | ||||||
Total long-term debt, net of current portion | $ | 965.8 | $ | 976.2 | ||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||
Schedule Of Segment Information | ' | |||||||||||||||||||||||
Segment information for the three and nine months ended September 30, 2014 and 2013 is as follows: | ||||||||||||||||||||||||
Three Months Ended September 30, 2014 | Three Months Ended September 30, 2013 | |||||||||||||||||||||||
(In millions) | Sales to | Total | Operating | Sales to | Total Sales | Operating | ||||||||||||||||||
External | Sales | Income | External | Income | ||||||||||||||||||||
Customers | Customers | |||||||||||||||||||||||
Global Color, Additives and Inks | $ | 207.4 | $ | 212 | $ | 30.1 | $ | 216.4 | $ | 219 | $ | 28.9 | ||||||||||||
Global Specialty Engineered Materials | 135.3 | 145.8 | 18.4 | 139.8 | 157.6 | 14.6 | ||||||||||||||||||
Designed Structures and Solutions | 152.1 | 152.3 | 13.1 | 187.8 | 187.8 | 10.9 | ||||||||||||||||||
Performance Products and Solutions | 187.2 | 213 | 17.8 | 192.2 | 207.4 | 15.1 | ||||||||||||||||||
PolyOne Distribution | 276.4 | 280.5 | 18.7 | 272.7 | 275 | 16.6 | ||||||||||||||||||
Corporate and eliminations | — | (45.2 | ) | (34.5 | ) | — | (37.9 | ) | (24.5 | ) | ||||||||||||||
Total | $ | 958.4 | $ | 958.4 | $ | 63.6 | $ | 1,008.90 | $ | 1,008.90 | $ | 61.6 | ||||||||||||
Nine Months Ended September 30, 2014 | Nine Months Ended September 30, 2013 | |||||||||||||||||||||||
(In millions) | Sales to | Total | Sales to | Total Sales | ||||||||||||||||||||
External | Sales | Operating | External | Operating | ||||||||||||||||||||
Customers | Income | Customers | Income | |||||||||||||||||||||
Global Color, Additives and Inks | $ | 647.3 | $ | 660.3 | $ | 98.2 | $ | 648.9 | $ | 653.7 | $ | 84 | ||||||||||||
Global Specialty Engineered Materials | 428 | 461 | 55.6 | 436.2 | 469.3 | 45.4 | ||||||||||||||||||
Designed Structures and Solutions | 489.3 | 489.9 | 37.2 | 428.2 | 428.2 | 21.4 | ||||||||||||||||||
Performance Products and Solutions | 560.2 | 631.8 | 51.4 | 522.6 | 584.3 | 44 | ||||||||||||||||||
PolyOne Distribution | 841.4 | 851.6 | 53.2 | 811.7 | 818.1 | 49.7 | ||||||||||||||||||
Corporate and eliminations | — | (128.4 | ) | (126.2 | ) | — | (106.0 | ) | (61.7 | ) | ||||||||||||||
Total | $ | 2,966.20 | $ | 2,966.20 | $ | 169.4 | $ | 2,847.60 | $ | 2,847.60 | $ | 182.8 | ||||||||||||
Total Assets | ||||||||||||||||||||||||
(In millions) | September 30, 2014 | December 31, 2013 | ||||||||||||||||||||||
Global Color, Additives and Inks | $ | 912.6 | $ | 962 | ||||||||||||||||||||
Global Specialty Engineered Materials | 369.9 | 379.6 | ||||||||||||||||||||||
Designed Structures and Solutions | 522.5 | 549.4 | ||||||||||||||||||||||
Performance Products and Solutions | 263.7 | 278.7 | ||||||||||||||||||||||
PolyOne Distribution | 221.5 | 216.7 | ||||||||||||||||||||||
Corporate and eliminations | 465.6 | 557.7 | ||||||||||||||||||||||
Total assets | $ | 2,755.80 | $ | 2,944.10 | ||||||||||||||||||||
Derivative_Instruments_Tables
Derivative Instruments (Tables) | 9 Months Ended | |||||||||
Sep. 30, 2014 | ||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||
Fair Value Of Derivative Financial Instruments Recorded In Condensed Consolidated Balance Sheets | ' | |||||||||
The fair value of derivative financial instruments recorded in the Condensed Consolidated Balance Sheets are as follows: | ||||||||||
September 30, 2014 | ||||||||||
(In millions) | Notional | Other current assets | ||||||||
Foreign currency forwards | $ | 12.1 | $ | 0.1 | ||||||
December 31, 2013 | ||||||||||
(In millions) | Notional | Other current assets | ||||||||
Foreign currency forwards | $ | 12.8 | $ | — | ||||||
Effects Of Derivative Instruments On Consolidated Statements Of Comprehensive Income | ' | |||||||||
The effects of derivative instruments on our Condensed Consolidated Statements of Income are as follows: | ||||||||||
Three Months Ended September 30, | ||||||||||
(In millions) | 2014 | 2013 | Location | |||||||
Foreign currency options - (losses) | $ | — | $ | (0.2 | ) | Selling and administrative expense | ||||
Foreign currency forwards - gains (losses) | 0.9 | (0.5 | ) | Other expense, net | ||||||
Nine Months Ended September 30, | ||||||||||
(In millions) | 2014 | 2013 | Location | |||||||
Foreign currency options - (losses) | $ | — | $ | (0.4 | ) | Selling and administrative expense | ||||
Foreign currency forwards - gains | 0.8 | 0.1 | Other expense, net | |||||||
Equity_Tables
Equity (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||
Schedule Of Changes In Equity | ' | |||||||||||||||
Changes in equity for the nine months ended September 30, 2014 and September 30, 2013 are as follows: | ||||||||||||||||
(In millions) | PolyOne | Noncontrolling | Total | |||||||||||||
Shareholders' | Interests | Equity | ||||||||||||||
Equity | ||||||||||||||||
Balance at December 31, 2013 | $ | 976.8 | $ | 1.7 | $ | 978.5 | ||||||||||
Net income | 93.8 | (0.4 | ) | 93.4 | ||||||||||||
Other comprehensive income | ||||||||||||||||
Translation adjustments | (15.6 | ) | — | (15.6 | ) | |||||||||||
Total comprehensive income | 78.2 | (0.4 | ) | 77.8 | ||||||||||||
Cash dividend declared | (22.3 | ) | — | (22.3 | ) | |||||||||||
Repurchase of common shares | (175.0 | ) | — | (175.0 | ) | |||||||||||
Stock incentive plan activity | 9 | — | 9 | |||||||||||||
Balance at September 30, 2014 | $ | 866.7 | $ | 1.3 | $ | 868 | ||||||||||
Balance at December 31, 2012 | $ | 629.1 | $ | 2.3 | $ | 631.4 | ||||||||||
Net income | 219.2 | (0.7 | ) | 218.5 | ||||||||||||
Other comprehensive income | ||||||||||||||||
Translation adjustments | (3.0 | ) | — | (3.0 | ) | |||||||||||
Total comprehensive income | 216.2 | (0.7 | ) | 215.5 | ||||||||||||
Cash dividend declared | (16.9 | ) | — | (16.9 | ) | |||||||||||
Issuance of common shares in connection to the Spartech acquisition | 253.8 | — | 253.8 | |||||||||||||
Repurchase of common shares | (95.7 | ) | — | (95.7 | ) | |||||||||||
Stock incentive plan activity | 8.1 | — | 8.1 | |||||||||||||
Noncontrolling interest activity | — | 0.4 | 0.4 | |||||||||||||
Balance at September 30, 2013 | $ | 994.6 | $ | 2 | $ | 996.6 | ||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||
Changes in accumulated other comprehensive loss year-to-date as of September 30, 2014 and 2013 were as follows: | ||||||||||||||||
(In millions) | Cumulative Translation Adjustment | Pension and Other Post-Retirement Benefits | Unrealized Gain in Available-for-Sale Securities | Total | ||||||||||||
Balance at January 1, 2014 | $ | (20.2 | ) | $ | 5.2 | $ | 0.2 | $ | (14.8 | ) | ||||||
Translation adjustments | (15.6 | ) | — | — | (15.6 | ) | ||||||||||
Balance at September 30, 2014 | $ | (35.8 | ) | $ | 5.2 | $ | 0.2 | $ | (30.4 | ) | ||||||
Balance at January 1, 2013 | $ | (16.5 | ) | $ | 5.2 | $ | 0.2 | $ | (11.1 | ) | ||||||
Translation adjustments | (3.0 | ) | — | — | (3.0 | ) | ||||||||||
Balance at September 30, 2013 | $ | (19.5 | ) | $ | 5.2 | $ | 0.2 | $ | (14.1 | ) | ||||||
Business_Combinations_Narrativ
Business Combinations Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 0 Months Ended | 9 Months Ended | ||||
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Mar. 13, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Feb. 28, 2013 | Mar. 13, 2013 | Sep. 30, 2013 |
Spartech [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Selling, General and Administrative Expenses [Member] | ||||
5.250% Senior Notes Due 2023 [Member] | 5.250% Senior Notes Due 2023 [Member] | 5.250% Senior Notes Due 2023 [Member] | Spartech's 7.08% Senior Notes due 2016 [Member] | ||||||
Spartech [Member] | |||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Purchase Accounting Adjustments | $9.40 | ' | ' | ' | ' | ' | ' | ' | ' |
Payments to Acquire Businesses, Gross | ' | ' | ' | 83.4 | ' | ' | ' | ' | ' |
Business acquisition, aggregate consideration transferred for each common share | ' | ' | ' | $2.67 | ' | ' | ' | ' | ' |
Exchange ratio | ' | ' | ' | 0.3167 | ' | ' | ' | ' | ' |
PolyOne shares issued | ' | ' | ' | 10 | ' | ' | ' | ' | ' |
Stated interest rate | ' | ' | ' | ' | 5.25% | 5.25% | 5.25% | 7.08% | ' |
Fair value of Spartech equity awards, net of deferred tax benefits | ' | ' | ' | 2.4 | ' | ' | ' | ' | ' |
Fair Value of Spartech Equity Awards, before deferred tax benefits | ' | ' | ' | 3.9 | ' | ' | ' | ' | ' |
Deferred tax benefit | ' | ' | ' | 1.5 | ' | ' | ' | ' | ' |
Vested in period, total fair value | ' | ' | ' | 2.7 | ' | ' | ' | ' | ' |
Line of Credit Facility, Decrease, Repayments | ' | 20.9 | 117.5 | 77.2 | ' | ' | ' | ' | ' |
Early repayment of senior debt | ' | ' | ' | 102.3 | ' | ' | ' | 102.3 | ' |
Business acquisition, principal repayment of senior notes. | ' | ' | ' | ' | ' | ' | ' | 88.9 | ' |
Make-whole provision | ' | ' | ' | ' | ' | ' | ' | 10.3 | ' |
Interest payable | ' | ' | ' | ' | ' | ' | ' | 3.1 | ' |
Acquisition related costs | ' | ' | ' | ' | ' | ' | ' | ' | $7.20 |
Business_Combinations_Purchase
Business Combinations (Purchase Price Allocation) (Details) (USD $) | 9 Months Ended | 0 Months Ended | |
In Millions, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Mar. 13, 2013 |
Spartech [Member] | |||
Business Acquisition [Line Items] | ' | ' | ' |
Spartech shares outstanding | ' | ' | 31,200,000 |
Spartech restricted stock units | ' | ' | 200,000 |
Spartech shares converted | ' | ' | 31,400,000 |
Exchange ratio | ' | ' | 0.3167 |
PolyOne shares issued | ' | ' | 10,000,000 |
PolyOne closing stock price on March 13, 2013 | ' | ' | $25.05 |
Total value of PolyOne shares issued | ' | $253.80 | $249.90 |
Cash consideration transferred to Spartech Shareholders | ' | ' | 83.4 |
Fair value of Spartech equity awards, net of deferred tax benefits (1) | ' | ' | 2.4 |
Total consideration transferred to Spartech equity holders | ' | ' | 335.7 |
Revolving credit facilities repaid at close | 20.9 | 117.5 | 77.2 |
Spartech senior notes repaid at close (including make-whole provisions and interest payable) | ' | ' | 102.3 |
Total consideration transferred to debt and equity holders | ' | ' | 515.2 |
Cash acquired | ' | ' | -4.1 |
Total consideration transferred to debt and equity holders, net of cash acquired | $0 | $259.40 | $511.10 |
Business_Combinations_PolyOnes
Business Combinations PolyOne's preliminary estimates of the fair value (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 13, 2013 |
In Millions, unless otherwise specified | Spartech [Member] | |||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Accounts receivable, net | ' | ' | ' | $139.70 |
Inventories, net | ' | ' | ' | 114.4 |
Other current assets | ' | ' | ' | 18.6 |
Property, net | ' | ' | ' | 280.3 |
Other non-current assets | ' | ' | ' | 19.6 |
Intangible assets, net | ' | ' | ' | 44.6 |
Goodwill | 568.4 | 559 | 405.5 | 162.6 |
Total assets acquired | ' | ' | ' | 779.8 |
Short-term and current portion of long-term debt | ' | ' | ' | 0.5 |
Accounts payable | ' | ' | ' | 105 |
Accrued expenses and other liabilities | ' | ' | ' | 43.1 |
Long-term debt | ' | ' | ' | 11 |
Other non-current liabilities | ' | ' | ' | 109.1 |
Total liabilities assumed | ' | ' | ' | 268.7 |
Net assets acquired | ' | ' | ' | $511.10 |
Business_Combinations_Business
Business Combinations Business Acquisition, Pro Forma (Details) (Spartech [Member], USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Spartech [Member] | ' |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ' |
Sales | $3,065.60 |
Net income attributable to PolyOne common shareholders | $73.80 |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | 30-May-13 |
Resin Business [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' |
Proceeds from divestiture of business | ' | ' | ' | ' | $250 |
Gain on sale | 0 | 0.1 | 0 | 223.7 | 223.7 |
Gain on sale, net of tax | ' | ' | ' | ' | 139.7 |
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | ' | ' | ' | ' | ' |
Sales | 0 | 0 | 0 | 55.3 | ' |
Income from operations | 0 | 0 | 0 | 12.2 | ' |
Income before taxes | 0 | 0.1 | 0 | 235.9 | ' |
Income tax benefit (expense) | 0.4 | -0.3 | 1.2 | -89.7 | ' |
Income (loss) from discontinued operations, net of income taxes | $0.40 | ($0.20) | $1.20 | $146.20 | ' |
Goodwill_And_Intangible_Assets2
Goodwill And Intangible Assets (Goodwill And Changes In Carrying Amount Of Goodwill By Operating Segment) (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Goodwill [Roll Forward] | ' | ' |
Balance, beginning of period | $559 | $405.50 |
Acquisitions of businesses | ' | 154.1 |
Currency translation and other | 9.4 | -0.6 |
Balance, end of period | 568.4 | 559 |
Global Specialty Engineered Materials [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Balance, beginning of period | 99.9 | 98.6 |
Acquisitions of businesses | ' | 1.8 |
Currency translation and other | -0.1 | -0.5 |
Balance, end of period | 99.8 | 99.9 |
Global Color, Additives And Inks [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Balance, beginning of period | 310.2 | 297.9 |
Acquisitions of businesses | ' | 12.4 |
Currency translation and other | 0.9 | -0.1 |
Balance, end of period | 311.1 | 310.2 |
Designed Structures and Solutions [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Balance, beginning of period | 136.3 | 0 |
Acquisitions of businesses | ' | 136.3 |
Currency translation and other | 8.4 | 0 |
Balance, end of period | 144.7 | 136.3 |
Performance Products And Solutions [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Balance, beginning of period | 11 | 7.4 |
Acquisitions of businesses | ' | 3.6 |
Currency translation and other | 0.2 | 0 |
Balance, end of period | 11.2 | 11 |
PolyOne Distribution [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Balance, beginning of period | 1.6 | 1.6 |
Acquisitions of businesses | ' | 0 |
Currency translation and other | 0 | 0 |
Balance, end of period | $1.60 | $1.60 |
Goodwill_And_Intangible_Assets3
Goodwill And Intangible Assets (Schedule Of Indefinite And Finite-Lived Intangible Assets) (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Indefinite And Finite-Lived Intangible Assets [Line Items] | ' | ' |
Acquisition Cost | $430 | $430 |
Accumulated Amortization | -78.8 | -64.4 |
Currency Translation | 0.4 | 0.2 |
Impairment | -1.8 | 0 |
Net | 349.8 | 365.8 |
Customer relationships [Member] | ' | ' |
Indefinite And Finite-Lived Intangible Assets [Line Items] | ' | ' |
Acquisition Cost | 190.4 | 190.4 |
Accumulated Amortization | -40.6 | -34.1 |
Currency Translation | 0.3 | 0.1 |
Impairment | -1.3 | 0 |
Net | 148.8 | 156.4 |
Patents, technology And other [Member] | ' | ' |
Indefinite And Finite-Lived Intangible Assets [Line Items] | ' | ' |
Acquisition Cost | 139.9 | 139.9 |
Accumulated Amortization | -38.2 | -30.3 |
Currency Translation | 0.1 | 0.1 |
Impairment | 0 | 0 |
Net | 101.8 | 109.7 |
Indefinite-lived trade names [Member] | ' | ' |
Indefinite And Finite-Lived Intangible Assets [Line Items] | ' | ' |
Acquisition Cost | 96.3 | 96.3 |
Currency Translation | 0 | 0 |
Impairment | -0.5 | 0 |
Net | 95.8 | 96.3 |
In-process research and development [Member] | ' | ' |
Indefinite And Finite-Lived Intangible Assets [Line Items] | ' | ' |
Acquisition Cost | 3.4 | 3.4 |
Currency Translation | 0 | 0 |
Impairment | 0 | 0 |
Net | $3.40 | $3.40 |
Employee_Separation_and_Plant_2
Employee Separation and Plant Phaseout Costs (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | 21 Months Ended | 3 Months Ended | 12 Months Ended | 21 Months Ended | 3 Months Ended | 12 Months Ended | 21 Months Ended | 3 Months Ended | 12 Months Ended | 21 Months Ended | ||||||||||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2012 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2012 |
Cost of Sales [Member] | Cost of Sales [Member] | Cost of Sales [Member] | Cost of Sales [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Facility Closing [Member] | Administrative Office Closing [Member] | BRAZIL | BRAZIL | BRAZIL | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | Spartech [Member] | |||||
facility | facility | Assets [Member] | Assets [Member] | Assets [Member] | Assets [Member] | Assets [Member] | Assets [Member] | Assets [Member] | Employee Severance [Member] | Employee Severance [Member] | Employee Severance [Member] | Employee Severance [Member] | Employee Severance [Member] | Employee Severance [Member] | Other Restructuring [Member] | Other Restructuring [Member] | Other Restructuring [Member] | Other Restructuring [Member] | Other Restructuring [Member] | Other Restructuring [Member] | |||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring And Related Cost, Number Of Facilities Closed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6 | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Severance Costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3.30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Disposal Group, Not Discontinued Operation, Loss (Gain) on Write-down | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other Restructuring Costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments for Restructuring | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -9.2 | -13 | -8.9 | -15.4 | ' | ' | 0 | 0 | 0 | 0 | ' | ' | -5.1 | -4.5 | -3.4 | -6 | ' | ' | -4.1 | -8.5 | -5.5 | -9.4 | ' | ' |
Restructuring Reserve, Settled without Cash | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -5 | -8.9 | -7.7 | -13.6 | ' | ' | -5 | -8.9 | -7.7 | -13.6 | ' | ' | 0 | 0 | 0 | 0 | ' | ' | 0 | 0 | 0 | 0 | ' | ' |
Restructuring Charges | 17.9 | 10.9 | 70.9 | 23.7 | 7.8 | 4.8 | 40.9 | 4.8 | 10.1 | 6.1 | 30 | 18.9 | ' | ' | 2.9 | 17.2 | 5.3 | 10.2 | 19.6 | 15.8 | 44.1 | 89.7 | ' | 5 | 8.9 | 7.7 | 13.6 | 35.2 | ' | 1.1 | 2.2 | 2.6 | 21.1 | 27 | ' | 4.1 | 8.5 | 5.5 | 9.4 | 27.5 | ' |
Impairment of Intangible Assets (Excluding Goodwill) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring and Related Cost, Incurred Cost | 4.8 | ' | 8.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Reserve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $8 | $12 | $14.30 | $15.10 | $8 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $8 | $12 | $14.30 | $15.10 | $8 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Inventories_Net_Components_Of_
Inventories, Net (Components Of Inventories) (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory, Net [Abstract] | ' | ' |
Finished products | $181.20 | $203.60 |
Work in process | 4.9 | 3.9 |
Raw materials and supplies | 119.5 | 135 |
Inventories, net | $305.60 | $342.50 |
Property_Net_Details
Property, Net (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property, gross | $1,430.80 | $1,447.10 |
Less accumulated depreciation and amortization | -835.2 | -800.9 |
Property, net | 595.6 | 646.2 |
Land and Land Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, gross | 50.5 | 52.5 |
Buildings [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, gross | 307 | 315.4 |
Machinery and Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, gross | $1,073.30 | $1,079.20 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' |
Income tax expense, continuing operations | $14.10 | ' | $15.80 | $27.40 | $45.10 |
Effective income tax rate | 30.40% | ' | 40.70% | 22.90% | 38.40% |
Investments in foreign affiliates | 5.1 | ' | ' | 10.5 | ' |
Settlements with US and foreign tax authorities | ' | $4 | ' | ' | ' |
WeightedAverage_Shares_Used_In2
Weighted-Average Shares Used In Computing Earnings Per Share (Schedule Of Weighted-Average Shares Used In Computing Earnings Per Share) (Details) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Weighted-average shares outstanding - basic | 91.8 | 96.7 | 93.1 | 95.4 |
Plus dilutive impact of stock options and awards | 1.3 | 1.4 | 1.2 | 1 |
Weighted-average shares - diluted | 93.1 | 98.1 | 94.3 | 96.4 |
WeightedAverage_Shares_Used_In3
Weighted-Average Shares Used In Computing Earnings Per Share (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Weighted-Average Shares Used In Computing Earnings Per Share[Line Items] | ' | ' | ' | ' |
Equity-based awards excluded | 0.3 | 0.2 | 0.4 | 0.6 |
Employee_Benefit_Plans_Compone
Employee Benefit Plans (Components Of Net Period Benefit Costs) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Defined Benefit Pension Plan [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | $0.50 | $0.40 | $1.40 | $1.20 |
Interest cost | 6.3 | 5.9 | 18.8 | 17.7 |
Expected return on plan assets | -8.1 | -9.3 | -24.2 | -27.9 |
Net periodic benefit gains | -1.3 | -3 | -4 | -9 |
Postretirement Health Care Plan Benefit [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Interest cost | 0.2 | 0.2 | 0.5 | 0.6 |
Net periodic benefit gains | $0.20 | $0.20 | $0.50 | $0.60 |
Financing_Arrangements_Compone
Financing Arrangements (Components Of Long-Term Debt) (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ' | ' |
Total long-term debt | $978.90 | $988.90 |
Other Long-term Debt | 13.6 | 23.6 |
Less current portion | 13.1 | 12.7 |
Total long-term debt, net of current portion | 965.8 | 976.2 |
7.500% Debentures Due 2015 [Member] | Senior Notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long-term debt | 48.7 | 48.7 |
Maturity date of debt instrument | '2015 | ' |
Senior Secured Term Loan Due 2017 [Member] | Senior Notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Maturity date of debt instrument | '2013 | ' |
7.375% Senior Notes Due 2020 [Member] | Senior Notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long-term debt | 316.6 | 316.6 |
Maturity date of debt instrument | '2020 | ' |
5.250% Senior Notes Due 2023 [Member] | Senior Notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long-term debt | $600 | $600 |
Maturity date of debt instrument | '2023 | ' |
Financing_Arrangements_Narrati
Financing Arrangements (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 0 Months Ended | 3 Months Ended | |||||||||||||||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Nov. 14, 2013 | Oct. 02, 2012 | Oct. 23, 2012 | Mar. 01, 2013 | Sep. 30, 2014 | Dec. 21, 2011 | Mar. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Feb. 28, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | |
Saudi Hollandi Bank [Member] | Saudi Hollandi Bank [Member] | SAIBOR [Member] | Bank of America, NA, Merrill Lunch, Pierce, Fenner and Smith Incorporated, Wells Fargo Securities, LLC and WF Investment Holdings, LLC [Member] | Various Banks [Member] | Various Banks [Member] | Various Banks [Member] | Other Debt [Member] | Debentures Due December Two Thousand And Fifteen [Member] | Debentures Due December Two Thousand And Fifteen [Member] | Debentures Due December Two Thousand And Fifteen [Member] | Senior Notes Due September Two Thousand And Twenty [Member] | Senior Notes Due September Two Thousand And Twenty [Member] | Senior Notes Due September Two Thousand And Twenty [Member] | Senior Notes Due September Two Thousand And Twenty [Member] | senior notes due two thousand and fifteen [Member] | 5.250% Senior Notes Due 2023 [Member] | 5.250% Senior Notes Due 2023 [Member] | 5.250% Senior Notes Due 2023 [Member] | Senior Secured Term Loan Due 2017 [Member] | Senior Secured Term Loan Due 2017 [Member] | Senior Secured Term Loan Due 2017 [Member] | |||||||
Saudi Hollandi Bank [Member] | Bridge Loan [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Interest Expense, Net [Member] | ||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Repurchased Face Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $8,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Repurchase Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 43,400,000 | ' | ' | ' | 1,300,000 | ' | ' | ' | ' | ' | ' |
Short-term Debt, Percentage Bearing Fixed Interest Rate | ' | ' | ' | ' | ' | ' | ' | ' | 0.85% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Face amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 600,000,000 | ' | ' | ' |
Stated interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7.50% | 7.50% | 7.50% | ' | 7.38% | 7.38% | 7.38% | ' | 5.25% | 5.25% | 5.25% | ' | ' | ' |
Contributions by employer | ' | ' | 50,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Early repayment of senior debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 297,000,000 | ' |
Payments of Debt Extinguishment Costs | 0 | 5,200,000 | ' | 0 | 15,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,600,000 | ' | ' |
Write off of deferred debt issuance cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,200,000 | ' | 1,900,000 |
Write-off of deferred financing costs and debt discounts | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,400,000 | ' | ' |
Line of credit facility, maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | 16,000,000 | ' | 250,000,000 | 400,000,000 | ' | 300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Potential maximum Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 450,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current borrowing availability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 296,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount outstanding | ' | ' | ' | ' | ' | ' | 13,100,000 | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Interest Rate at Period End | ' | ' | ' | ' | ' | ' | 1.85% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase (decrease), other, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Debt, Fair Value | 983,800,000 | ' | ' | 983,800,000 | ' | 1,010,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Debt | $978,900,000 | ' | ' | $978,900,000 | ' | $988,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | $48,700,000 | $48,700,000 | ' | ' | $316,600,000 | $316,600,000 | ' | ' | $600,000,000 | $600,000,000 | ' | ' | ' | ' |
Segment_Information_Schedule_O
Segment Information (Schedule Of Segment Information) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Sales to External Customers | $958.40 | $1,008.90 | $2,966.20 | $2,847.60 | ' |
Operating Income | 63.6 | 61.6 | 169.4 | 182.8 | ' |
Total Assets | 2,755.80 | ' | 2,755.80 | ' | 2,944.10 |
Global Color Additives And Inks [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Revenue, Net | 207.4 | 216.4 | 647.3 | 648.9 | ' |
Segment reporting Information, revenue for reportable segment | 212 | 219 | 660.3 | 653.7 | ' |
Operating Income | 30.1 | 28.9 | 98.2 | 84 | ' |
Total Assets | 912.6 | ' | 912.6 | ' | 962 |
Global Specialty Engineered Materials [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Revenue, Net | 135.3 | 139.8 | 428 | 436.2 | ' |
Segment reporting Information, revenue for reportable segment | 145.8 | 157.6 | 461 | 469.3 | ' |
Operating Income | 18.4 | 14.6 | 55.6 | 45.4 | ' |
Total Assets | 369.9 | ' | 369.9 | ' | 379.6 |
Intersegment Eliminations [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Revenue, Net | 0 | 0 | 0 | 0 | ' |
Segment reporting Information, revenue for reportable segment | -45.2 | -37.9 | -128.4 | -106 | ' |
Operating Income | -34.5 | -24.5 | -126.2 | -61.7 | ' |
Total Assets | 465.6 | ' | 465.6 | ' | 557.7 |
Designed Structures and Solutions [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Revenue, Net | 152.1 | 187.8 | 489.3 | 428.2 | ' |
Segment reporting Information, revenue for reportable segment | 152.3 | 187.8 | 489.9 | 428.2 | ' |
Operating Income | 13.1 | 10.9 | 37.2 | 21.4 | ' |
Total Assets | 522.5 | ' | 522.5 | ' | 549.4 |
Performance Products And Solutions [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Revenue, Net | 187.2 | 192.2 | 560.2 | 522.6 | ' |
Segment reporting Information, revenue for reportable segment | 213 | 207.4 | 631.8 | 584.3 | ' |
Operating Income | 17.8 | 15.1 | 51.4 | 44 | ' |
Total Assets | 263.7 | ' | 263.7 | ' | 278.7 |
PolyOne Distribution [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Revenue, Net | 276.4 | 272.7 | 841.4 | 811.7 | ' |
Segment reporting Information, revenue for reportable segment | 280.5 | 275 | 851.6 | 818.1 | ' |
Operating Income | 18.7 | 16.6 | 53.2 | 49.7 | ' |
Total Assets | $221.50 | ' | $221.50 | ' | $216.70 |
Commitments_And_Contingencies_
Commitments And Contingencies (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 1 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Feb. 28, 2011 | Feb. 28, 2011 | Sep. 30, 2014 |
Sunbelt [Member] | Sunbelt [Member] | Sunbelt [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' |
Adjusted environmental remediation reserve | $47 | ' | ' | ' | ' | ' |
Expense related to environmental activities | ' | 7.7 | 8.6 | ' | ' | ' |
Proceeds from insurance recoveries | ' | 1.6 | 20.1 | ' | ' | ' |
Accrued probable future environmental expenditures | 125.9 | 121.7 | ' | ' | ' | ' |
Equity interest sold, percentage | ' | ' | ' | ' | 50.00% | ' |
Consideration received on transaction | ' | ' | ' | 132.3 | ' | ' |
Guarantee assumed By acquirer | ' | ' | ' | ' | ' | $24.40 |
Derivative_Instruments_Fair_Va
Derivative Instruments (Fair Value Of Derivative Financial Instruments Recorded In Condensed Consolidated Balance Sheets) (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Foreign currency options [Member] | Foreign currency options [Member] | Foreign currency options [Member] | Foreign currency options [Member] | Foreign currency forwards [Member] | Foreign currency forwards [Member] | Foreign currency forwards [Member] | Foreign currency forwards [Member] | Foreign currency forwards [Member] | Foreign currency forwards [Member] | |
Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Selling, General and Administrative Expenses [Member] | Other Expense Net [Member] | Other Expense Net [Member] | Other Expense Net [Member] | Other Expense Net [Member] | |||
Derivatives, Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Notional | ' | ' | ' | ' | $12.10 | $12.80 | ' | ' | ' | ' |
Other current assets | ' | ' | ' | ' | 0.1 | 0 | ' | ' | ' | ' |
Gain/(loss) recognized in income | $0 | ($0.20) | $0 | ($0.40) | ' | ' | $0.90 | ($0.50) | $0.80 | $0.10 |
Equity_Rollforward_Details
Equity Rollforward (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Statement, Equity Component [Roll Forward] | ' | ' | ' | ' |
Balance at the beginning | ' | ' | $976.80 | ' |
Balance at the beginning | ' | ' | 1.7 | ' |
Balance at the beginning | ' | ' | 978.5 | 631.4 |
Net Income | 32.7 | 23 | 93.8 | 219.2 |
Net Income | 0 | -0.2 | -0.4 | -0.7 |
Net income | 32.7 | 22.8 | 93.4 | 218.5 |
Translation adjustments | -16 | 7.7 | -15.6 | -3 |
Total comprehensive income | 16.7 | 30.5 | 77.8 | 215.5 |
Total comprehensive income | 16.7 | 30.7 | 78.2 | 216.2 |
Total comprehensive income | 0 | -0.2 | -0.4 | -0.7 |
Cash dividend declared | ' | ' | -22.3 | -16.9 |
Issuance of common shares in connection to the Spartech acquisition | ' | 253.8 | ' | 253.8 |
Repurchase of common shares | ' | ' | -175 | -95.7 |
Stock incentive plan activity | ' | ' | 9 | 8.1 |
Noncontrolling interest activity | ' | ' | ' | 0.4 |
Balance at the ending | 866.7 | ' | 866.7 | ' |
Balance at the ending | 1.3 | ' | 1.3 | ' |
Balance at the ending | 868 | 996.6 | 868 | 996.6 |
PolyOne Shareholders' Equity [Member] | ' | ' | ' | ' |
Statement, Equity Component [Roll Forward] | ' | ' | ' | ' |
Balance at the beginning | ' | ' | 976.8 | 629.1 |
Net Income | ' | ' | ' | 219.2 |
Translation adjustments | ' | ' | -15.6 | -3 |
Total comprehensive income | ' | ' | 78.2 | 216.2 |
Cash dividend declared | ' | ' | -22.3 | -16.9 |
Issuance of common shares in connection to the Spartech acquisition | ' | 253.8 | ' | 253.8 |
Repurchase of common shares | ' | ' | -175 | -95.7 |
Stock incentive plan activity | ' | ' | 9 | 8.1 |
Noncontrolling interest activity | ' | ' | ' | 0 |
Balance at the ending | 866.7 | 994.6 | 866.7 | 994.6 |
Noncontrolling Interests [Member] | ' | ' | ' | ' |
Statement, Equity Component [Roll Forward] | ' | ' | ' | ' |
Balance at the beginning | ' | ' | 1.7 | 2.3 |
Net Income | ' | ' | -0.4 | -0.7 |
Translation adjustments | ' | ' | 0 | 0 |
Total comprehensive income | ' | ' | -0.4 | -0.7 |
Cash dividend declared | ' | ' | 0 | 0 |
Issuance of common shares in connection to the Spartech acquisition | ' | 0 | ' | 0 |
Repurchase of common shares | ' | ' | 0 | 0 |
Stock incentive plan activity | ' | ' | 0 | 0 |
Noncontrolling interest activity | ' | ' | ' | 0.4 |
Balance at the ending | $1.30 | $2 | $1.30 | $2 |
Rollforward_of_Accumulated_Oth
Rollforward of Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ' | ' | ' | ' |
Total, Balance at beginning of period | ' | ' | ($14.80) | ($11.10) |
Translation adjustments | -16 | 7.7 | -15.6 | -3 |
Total, Balance at end of period | -30.4 | -14.1 | -30.4 | -14.1 |
Cumulative Translation Adjustment [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ' | ' | ' | ' |
Total, Balance at beginning of period | ' | ' | -20.2 | -16.5 |
Translation adjustments | ' | ' | -15.6 | -3 |
Total, Balance at end of period | -35.8 | -19.5 | -35.8 | -19.5 |
Pension and Other Post-Retirement Benefits [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ' | ' | ' | ' |
Total, Balance at beginning of period | ' | ' | 5.2 | 5.2 |
Translation adjustments | ' | ' | 0 | 0 |
Total, Balance at end of period | 5.2 | 5.2 | 5.2 | 5.2 |
Unrealized Gain in Available-for-Sale Securities [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ' | ' | ' | ' |
Total, Balance at beginning of period | ' | ' | 0.2 | 0.2 |
Translation adjustments | ' | ' | 0 | 0 |
Total, Balance at end of period | $0.20 | $0.20 | $0.20 | $0.20 |