Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 31, 2017 | Jun. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | KOP | ||
Entity Registrant Name | Koppers Holdings Inc. | ||
Entity Central Index Key | 1,315,257 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 20,664,898 | ||
Entity Public Float | $ 617.9 |
Consolidated Statement of Opera
Consolidated Statement of Operations - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | |||
Net sales | $ 1,416.2 | $ 1,626.9 | $ 1,555 |
Cost of sales (excluding items below) | 1,127.9 | 1,366.7 | 1,343.7 |
Depreciation and amortization | 52.9 | 59 | 44 |
Gain on sale of business | (2.1) | (3.2) | 0 |
Impairment and restructuring charges | 20.1 | 42.2 | 17.9 |
Goodwill impairment | 0 | 67.2 | 0 |
Selling, general and administrative expenses | 131 | 124.6 | 116.2 |
Operating profit (loss) | 86.4 | (29.6) | 33.2 |
Other income, net | 2.9 | 0.2 | 0 |
Interest expense | 50.8 | 50.7 | 39.1 |
Income (loss) before income taxes | 38.5 | (80.1) | (5.9) |
Income tax provision (benefit) | 11.4 | (4.2) | 34.1 |
Income (loss) from continuing operations | 27.1 | (75.9) | (40) |
Income (loss) from discontinued operations, net of tax (expense) benefit of $(0.3), $0.1 and $(1.0) | 0.6 | (0.1) | 0.6 |
Net income (loss) | 27.7 | (76) | (39.4) |
Net loss attributable to noncontrolling interests | (1.6) | (4) | (7) |
Net income (loss) attributable to Koppers | $ 29.3 | $ (72) | $ (32.4) |
Basic - | |||
Continuing operations | $ 1.39 | $ (3.50) | $ (1.61) |
Discontinued operations | 0.03 | (0.01) | 0.03 |
Earnings (loss) per basic common share | 1.42 | (3.51) | (1.58) |
Diluted - | |||
Continuing operations | 1.36 | (3.50) | (1.61) |
Discontinued operations | 0.03 | (0.01) | 0.03 |
Earnings (loss) per diluted common share | $ 1.39 | $ (3.51) | $ (1.58) |
Weighted average shares outstanding (in thousands): | |||
Basic | 20,636 | 20,541 | 20,463 |
Diluted | 21,055 | 20,541 | 20,463 |
Dividends declared per common share | $ 0 | $ 0 | $ 1 |
Consolidated Statement of Oper3
Consolidated Statement of Operations (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | |||
Income (loss) from discontinued operations, tax benefit | $ (0.3) | $ 0.1 | $ (1) |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net income (loss) | $ 27.7 | $ (76) | $ (39.4) |
Changes in other comprehensive income (loss): | |||
Currency translation adjustment | (4.3) | (20.6) | (26) |
Foreign currency transactions of long-term subsidiary investments | 0 | 0 | (4.6) |
Derivative financial instrument net gain (loss), net of tax (expense) benefit of $(8.0), $1.2 and $2.6 | 12.9 | (2.2) | (3.8) |
Unrecognized pension prior service benefit, net of tax benefit of $0.0, $0.4 and $0.1 | 0 | (0.7) | (0.2) |
Unrecognized pension net gain (loss), net of tax (expense) benefit of $(2.0), $(1.0) and $8.0 | 2.3 | 3.7 | (15.9) |
Total comprehensive income (loss) | 38.6 | (95.8) | (89.9) |
Comprehensive loss attributable to noncontrolling interests | (1.9) | (4.3) | (7.4) |
Comprehensive income (loss) attributable to Koppers | $ 40.5 | $ (91.5) | $ (82.5) |
Consolidated Statement of Comp5
Consolidated Statement of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Tax (expense), derivative financial instrument | $ (8) | $ 1.2 | $ 2.6 |
Unrecognized pension prior service benefit, tax benefit | 0 | 0.4 | 0.1 |
Unrecognized pension net gain (loss), tax (expense) benefit | $ (2) | $ (1) | $ 8 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | ||
Cash and cash equivalents | $ 20.8 | $ 21.8 |
Accounts receivable, net of allowance of $3.8 and $6.5 | 136.8 | 155 |
Income tax receivable | 3.8 | 4.6 |
Inventories, net | 228.7 | 226.4 |
Loan to related party | 8.9 | 9.5 |
Other current assets | 39.1 | 27 |
Total current assets | 438.1 | 444.3 |
Property, plant and equipment, net | 280.8 | 277.8 |
Goodwill | 186.4 | 186.6 |
Intangible assets, net | 141.9 | 156.1 |
Deferred tax assets | 27.1 | 36.6 |
Other assets | 13.2 | 11.5 |
Total assets | 1,087.5 | 1,112.9 |
Liabilities | ||
Accounts payable | 144.2 | 140.8 |
Accrued liabilities | 106.3 | 99.8 |
Current maturities of long-term debt | 42.6 | 39.9 |
Total current liabilities | 293.1 | 280.5 |
Long-term debt | 619.8 | 682.4 |
Accrued postretirement benefits | 51.6 | 53.6 |
Deferred tax liabilities | 6.3 | 5.7 |
Other long-term liabilities | 82.1 | 103.1 |
Total liabilities | 1,052.9 | 1,125.3 |
Commitments and contingent liabilities (Note 20) | ||
Equity | ||
Senior Convertible Preferred Stock, $0.01 par value per share; 10,000,000 shares authorized; no shares issued | 0 | 0 |
Common Stock, $0.01 par value per share; 80,000,000 shares authorized; 22,140,680 and 22,015,994 shares issued | 0.2 | 0.2 |
Additional paid-in capital | 176.5 | 167.8 |
Accumulated deficit | (24.7) | (54) |
Accumulated other comprehensive loss | (68.6) | (79.8) |
Treasury stock, at cost, 1,475,792 and 1,459,164 shares | (53) | (52.7) |
Total Koppers shareholders’ equity (deficit) | 30.4 | (18.5) |
Noncontrolling interests | 4.2 | 6.1 |
Total equity (deficit) | 34.6 | (12.4) |
Total liabilities and equity (deficit) | $ 1,087.5 | $ 1,112.9 |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance | $ 3.8 | $ 6.5 |
Senior Convertible Preferred Stock, par value | $ 0.01 | $ 0.01 |
Senior Convertible Preferred Stock, shares authorized | 10,000,000 | 10,000,000 |
Senior Convertible Preferred Stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 80,000,000 | 80,000,000 |
Common Stock, shares issued | 22,140,680 | 22,015,994 |
Treasury stock, shares | 1,475,792 | 1,459,164 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash provided by (used in) operating activities: | |||
Net income (loss) | $ 27.7 | $ (76) | $ (39.4) |
Adjustments to reconcile net cash provided by operating activities: | |||
Depreciation and amortization | 52.9 | 59 | 44 |
Impairment of long-lived assets | 3.5 | 14.7 | 4.7 |
Goodwill impairment | 0 | 67.2 | 0 |
Gain on sale of business | (2.1) | (3.2) | 0 |
Deferred income taxes | (0.1) | (16) | 2.5 |
Equity loss, net of dividends received | 1 | 3.1 | 1.6 |
Change in other liabilities | (5) | (5.5) | (10.3) |
Non-cash interest expense | 5.7 | 3.6 | 4.2 |
Stock-based compensation | 8.9 | 3.8 | 4.7 |
Deferred revenue | (2.9) | 27.6 | (0.7) |
Other | 8.2 | 5.2 | 1 |
Changes in working capital: | |||
Accounts receivable | 12.7 | 34.1 | 13.4 |
Inventories | (3.3) | (4.3) | (14) |
Accounts payable | 5 | 25 | (10.6) |
Accrued liabilities | 8.4 | (19.6) | 29.9 |
Other working capital | (1.1) | 9 | 4.5 |
Net cash provided by operating activities | 119.5 | 127.7 | 35.5 |
Cash (used in) provided by investing activities: | |||
Capital expenditures | (49.9) | (40.7) | (83.8) |
Acquisitions, net of cash acquired | 0 | (15.3) | (496.5) |
Net cash (used in) provided by divestitures and asset sales | (3.8) | 14.9 | 0.3 |
Net cash used in investing activities | (53.7) | (41.1) | (580) |
Cash provided by (used in) financing activities: | |||
Borrowings of revolving credit | 595.7 | 612.1 | 572.5 |
Repayments of revolving credit | (625.4) | (685.9) | (368) |
Borrowings of long-term debt | 0 | 1.1 | 343 |
Repayments of long-term debt | (31.7) | (40.7) | 0 |
Issuances of Common Stock | 0.4 | 0 | 0.7 |
Proceeds from issuance of noncontrolling interest | 0 | 0 | 1.4 |
Repurchases of Common Stock | (0.3) | (0.3) | (2) |
Payment of deferred financing costs | (1.4) | (1) | (11.1) |
Dividends paid | 0 | (8.7) | (20.4) |
Net cash (used in) provided by financing activities | (62.7) | (123.4) | 516.1 |
Effect of exchange rate changes on cash | (4.1) | 7.5 | (2.7) |
Net increase (decrease) in cash and cash equivalents | (1) | (29.3) | (31.1) |
Cash and cash equivalents at beginning of period | 21.8 | 51.1 | 82.2 |
Cash and cash equivalents at end of period | 20.8 | 21.8 | 51.1 |
Cash paid during the year for: | |||
Interest | 42.7 | 43.9 | 32.9 |
Income taxes, net | $ 11.6 | $ 26.3 | $ 16.1 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) $ in Millions | Total | Senior Convertible Preferred Stock [Member] | Common Stock [Member] | Noncontrolling Interests [Member] | (Accumulated Deficit) Retained Earnings [Member] | Currency Translation Adjustment [Member] | Unrecognized (Losses) Gains on Cash Flow Hedges [Member] | Unrecognized Pension Prior Service Cost [Member] | Unrecognized Pension Net Loss [Member] | Additional Paid-in Capital [Member] | Treasury Stock | Accumulated Other Comprehensive Loss [Member] | Koppers Shareholder's Equity (Deficit) [Member] |
Balance at Dec. 31, 2013 | $ 0 | $ 0.2 | $ 20 | $ 71.3 | $ 24 | $ 0 | $ 0.8 | $ (35) | $ 158.9 | $ (50.4) | |||
Net loss attributable to noncontrolling interests | $ (7) | (7) | |||||||||||
Net income (loss) attributable to Koppers | (32.4) | (32.4) | |||||||||||
Common Stock dividends | (20.9) | ||||||||||||
Purchases | (2) | ||||||||||||
Change in currency translation adjustment excluding foreign currency transactions of long-term subsidiary investments | (26) | (0.4) | (25.7) | ||||||||||
Foreign currency transactions of long-term subsidiary investments | (4.6) | (4.6) | |||||||||||
Reclassification of unrealized losses on cash flow hedges to expense, net of tax expense of $3.7, $3.5 and $0.2 | 0.3 | ||||||||||||
Change in cash flow hedges, net of tax (expense) benefit of $(4.3), $4.7 and $2.8 | (4.1) | ||||||||||||
Reclassification of unrecognized prior service benefit to income,net of tax benefit of $0.0, $0.4 and $0.1 | (0.1) | ||||||||||||
Reclassification of unrecognized pension net loss to expense, net of tax benefit of $2.3, $2.2 and $1.4 | 2.4 | ||||||||||||
Revaluation of unrecognized pension net loss, net of tax benefit of $(0.3), $(1.2) and $(9.4) | (18.3) | ||||||||||||
Investment in noncontrolling interests | 1.3 | ||||||||||||
Dividends to noncontrolling interests | 0 | ||||||||||||
Employee stock plans | 5.6 | ||||||||||||
Balance at Dec. 31, 2014 | 83.9 | 0 | 0.2 | 13.9 | 18 | (6.3) | (3.8) | 0.7 | (50.9) | 164.5 | (52.4) | $ (60.3) | $ 70 |
Net loss attributable to noncontrolling interests | (4) | (4) | |||||||||||
Net income (loss) attributable to Koppers | (72) | (72) | |||||||||||
Common Stock dividends | 0 | ||||||||||||
Purchases | (0.3) | ||||||||||||
Change in currency translation adjustment excluding foreign currency transactions of long-term subsidiary investments | (20.6) | (0.3) | (20.3) | ||||||||||
Foreign currency transactions of long-term subsidiary investments | 0 | 0 | |||||||||||
Reclassification of unrealized losses on cash flow hedges to expense, net of tax expense of $3.7, $3.5 and $0.2 | 5.4 | ||||||||||||
Change in cash flow hedges, net of tax (expense) benefit of $(4.3), $4.7 and $2.8 | (7.6) | ||||||||||||
Reclassification of unrecognized prior service benefit to income,net of tax benefit of $0.0, $0.4 and $0.1 | (0.7) | ||||||||||||
Reclassification of unrecognized pension net loss to expense, net of tax benefit of $2.3, $2.2 and $1.4 | 4 | ||||||||||||
Revaluation of unrecognized pension net loss, net of tax benefit of $(0.3), $(1.2) and $(9.4) | (0.3) | ||||||||||||
Investment in noncontrolling interests | 0 | ||||||||||||
Dividends to noncontrolling interests | (3.5) | ||||||||||||
Employee stock plans | 3.3 | ||||||||||||
Balance at Dec. 31, 2015 | (12.4) | $ 0 | $ 0.2 | 6.1 | (54) | (26.6) | (6) | 0 | (47.2) | 167.8 | (52.7) | (79.8) | (18.5) |
Net loss attributable to noncontrolling interests | (1.6) | (1.6) | |||||||||||
Net income (loss) attributable to Koppers | 29.3 | 29.3 | |||||||||||
Common Stock dividends | 0 | ||||||||||||
Purchases | (0.3) | ||||||||||||
Change in currency translation adjustment excluding foreign currency transactions of long-term subsidiary investments | (4.3) | (0.3) | (4) | ||||||||||
Foreign currency transactions of long-term subsidiary investments | 0 | 0 | |||||||||||
Reclassification of unrealized losses on cash flow hedges to expense, net of tax expense of $3.7, $3.5 and $0.2 | 5.6 | ||||||||||||
Change in cash flow hedges, net of tax (expense) benefit of $(4.3), $4.7 and $2.8 | 7.3 | ||||||||||||
Reclassification of unrecognized prior service benefit to income,net of tax benefit of $0.0, $0.4 and $0.1 | 0 | ||||||||||||
Reclassification of unrecognized pension net loss to expense, net of tax benefit of $2.3, $2.2 and $1.4 | 3.9 | ||||||||||||
Revaluation of unrecognized pension net loss, net of tax benefit of $(0.3), $(1.2) and $(9.4) | (1.6) | ||||||||||||
Investment in noncontrolling interests | 0 | ||||||||||||
Dividends to noncontrolling interests | 0 | ||||||||||||
Employee stock plans | 8.7 | ||||||||||||
Balance at Dec. 31, 2016 | $ 34.6 | $ 4.2 | $ (24.7) | $ (30.6) | $ 6.9 | $ 0 | $ (44.9) | $ 176.5 | $ (53) | $ (68.6) | $ 30.4 |
Consolidated Statement of Sha10
Consolidated Statement of Shareholders' Equity (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Unrecognized (Losses) Gains on Cash Flow Hedges [Member] | |||
Unrealized losses on cash flow hedges to expense, tax expense | $ 3.7 | $ 3.5 | $ 0.2 |
Deferred losses on cash flow hedges, tax (expense) benefit | (4.3) | 4.7 | 2.8 |
Unrecognized Pension Prior Service Cost [Member] | |||
Reclassification of unrecognized pension prior service benefit, tax benefit | 0 | 0.4 | 0.1 |
Unrecognized Pension Net Loss [Member] | |||
Reclassification of unrecognized pension net loss, tax expense | 2.3 | 2.2 | 1.4 |
Revaluation of unrecognized pension net loss, tax benefit | $ (0.3) | $ (1.2) | $ (9.4) |
Description of Business
Description of Business | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Description of Business | 1. Description of Business Parent company of Koppers Inc. – In these financial statements, unless otherwise indicated or the context requires otherwise, when the terms “Koppers,” the “Company,” “we,” “our” or “us,” are used, they mean Koppers Holdings Inc. (“Koppers Holdings”) and its subsidiaries on a consolidated basis. The use of these terms is not intended to imply that Koppers Holdings and Koppers Inc. are not separate and distinct legal entities from each other and from their respective subsidiaries. Koppers Holdings has no direct operations and no significant assets other than the stock of Koppers Inc. It depends on the dividends from the earnings of Koppers Inc. and its subsidiaries to generate the funds necessary to meet its financial obligations. The terms of Koppers Inc.’s revolving credit facility prohibit Koppers Inc. from paying dividends and otherwise transferring assets except for certain limited dividends. Further, the terms of the indenture governing Koppers Inc.’s Senior Notes due 2025 significantly restrict Koppers Inc. from paying dividends and otherwise transferring assets to Koppers Holdings. Business description – The Company is a global integrated provider of treated wood products, wood treatment chemicals and carbon compounds for use in a variety of markets including the railroad, specialty chemical, utility, residential lumber, agriculture, aluminum, steel, rubber and construction industries. The Company’s business is operated through three business segments, Railroad and Utility Products and Services (“RUPS”), Performance Chemicals (“PC”) and Carbon Materials and Chemicals (“CMC”). The Company’s Railroad and Utility Products and Services segment sells treated and untreated wood products, rail joint bars and services primarily to the railroad industry and treated wood products to the utility industry. Railroad products include procuring and treating items such as crossties, switch ties and various types of lumber used for railroad bridges and crossings and the manufacture of rail joint bars. Utility products include transmission and distribution poles and pilings. The Company’s Performance Chemicals segment develops, manufactures, and markets wood preservation chemicals and wood treatment technologies and services a diverse range of end-markets including infrastructure, residential and commercial construction and agriculture. The Company’s Carbon Materials and Chemicals segment is primarily a manufacturer of creosote, carbon pitch, naphthalene, phthalic anhydride and carbon black feedstock. Creosote is used in the treatment of wood and carbon black feedstock is used in the production of carbon black. Carbon pitch is a critical raw material used in the production of aluminum and for the production of steel in electric arc furnaces. Naphthalene is used for the production of phthalic anhydride and as a surfactant in the production of concrete. Phthalic anhydride is used in the production of plasticizers, polyester resins and alkyd paints. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of presentation – The consolidated financial statements include the accounts of the Company and all majority-owned subsidiaries for which the Company is deemed to exercise control over its operations. All significant intercompany transactions have been eliminated in consolidation. The Company’s investments in 20 percent to 30 percent-owned companies in which it has the ability to exercise significant influence over operating and financial policies are accounted for using the equity method of accounting. Accordingly, the Company’s share of the earnings of these companies is included in the accompanying consolidated statement of operations. Certain prior period amounts in the notes to the consolidated financial statements have been reclassified to conform to the current period’s presentation. Use of estimates – Accounting principles generally accepted in the U.S. require management to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingencies on the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates have been prepared on the basis of the most current and best available information and actual results could differ materially from these estimates. Foreign currency translation – For consolidated entities outside of the U.S. that prepare financial statements in currencies other than the U.S. dollar, results of operations and cash flows are translated at average exchange rates during the period, and assets and liabilities are translated at end-of-period exchange rates. Cumulative translation adjustments are included as a separate component of accumulated other comprehensive loss in shareholders’ equity. Foreign currency transaction gains and losses result from transactions denominated in a currency which is different than the currency used by the entity to prepare its financial statements. Foreign currency transaction (losses) gains were $(1.3) million, $(10.4) million and $0.6 million for the years ended December 31, 2016, 2015 and 2014, respectively. Revenue recognition – The Company recognizes revenue when the risks and rewards of ownership and title to the product have transferred to the customer. Revenue recognition generally occurs at the point of shipment; however in certain circumstances as shipping terms dictate, revenue is recognized at the point of destination. Shipping and handling costs are included as a component of cost of sales. The Company recognizes revenue related to the procurement of certain untreated railroad crossties upon transfer of title to the customer, which occurs upon delivery to the Company’s plant and acceptance by the customer. Service revenue, consisting primarily of wood treating services, is recognized at the time the service is provided. Payment on sales of untreated railroad crossties and wood treating services are generally due within 30 days of the invoice date. The Company’s recognition of revenue with respect to untreated crossties meets all the recognition criteria of Securities and Exchange Commission Staff Accounting Bulletin Topic 13.A.3., including transfer of title and risk of ownership, the existence of fixed purchase commitments and delivery schedules established by the customer, and the completion of all performance obligations by the Company. Revenue recognized for untreated crosstie sales for the years ended December 31, 2016, 2015 and 2014 amounted to $129.2 million, $129.8 million and $93.4 million, respectively. Research and development – Research and development costs are expensed as incurred and are included in selling, general and administrative expenses. These costs totaled $6.6 million in 2016, $5.2 million in 2015 and $3.4 million in 2014. Cash and cash equivalents – Cash and cash equivalents include cash on hand and on deposit and investments in highly liquid investments with an original maturity of 90 days or less. Accounts receivable – The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. In circumstances where the Company becomes aware of a specific customer’s inability to meet its financial obligations to Koppers, a specific reserve for bad debts is recorded against amounts due. If the financial condition of the Company’s customers were to deteriorate, resulting in an inability to make payments, additional allowances may be required. Inventories – In the United States, CMC and RUPS inventories are valued at the lower of cost, utilizing the last-in, first-out (“LIFO”) basis, or market. PC inventories and all other inventories outside of the United States are valued at the lower of cost, utilizing the first-in, first-out (“FIFO”) basis, or market. Market represents replacement cost for raw materials and net realizable value for work in process and finished goods. LIFO inventories constituted approximately 65 percent and 66 percent of the FIFO inventory value at December 31, 2016 and 2015, respectively. In 2016, 2015 and 2014, we recorded inventory write-downs of $0.6 million, $1.4 million and $2.4 million, respectively, related to lower of cost or market conditions for our subsidiaries that value inventory on the FIFO basis. Property, plant and equipment – Property, plant and equipment are recorded at purchased cost and include improvements which significantly increase capacities or extend useful lives of existing plant and equipment. Depreciation expense is calculated by applying the straight-line method over estimated useful lives. Estimated useful lives for buildings generally range from 10 to 20 years and depreciable lives for machinery and equipment generally range from 3 to 15 years. Net gains and losses related to asset disposals are recognized in earnings in the period in which the disposal occurs. Routine repairs, replacements and maintenance are expensed as incurred. The Company periodically evaluates whether current facts and circumstances indicate that the carrying value of its depreciable long-lived assets may not be recoverable. If an asset, or logical grouping of assets, is determined to be impaired, the asset is written down to its fair value using discounted future cash flows and, if available, quoted market prices. Refer to Note 4 “Plant Closures and Discontinued Operations” for additional information. Goodwill and other intangible assets – Goodwill and other purchased intangible assets are included in the identifiable assets of the business segment to which they have been assigned. The Company performs impairment tests annually for goodwill, and more often as circumstances require. When it is determined that impairment has occurred, an appropriate charge to earnings is recorded. The Company performed its annual impairment test in the fourth quarters of 2016 and 2015. Refer to Note 14, "Goodwill and Other Identifiable Intangible Assets," for a discussion of goodwill impairment recorded during the year ended December 31, 2015. Identifiable intangible assets, other than goodwill, are recorded at cost. Identifiable intangible assets that do not have indefinite lives are amortized on a straight-line basis over their estimated useful lives. Deferred income taxes – Deferred tax assets and liabilities are recognized for future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax laws is recognized in earnings in the period the new laws are enacted. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that such assets will be realized. Deferred tax liabilities have not been recognized for the undistributed earnings of certain foreign subsidiaries because management intends to permanently reinvest such earnings in foreign operations. Self-insured liabilities – The Company is self-insured for property, casualty and workers’ compensation exposures up to various stop-loss coverage amounts. Losses are accrued based upon the Company’s estimates of the liability for the related deductibles of claims incurred. Such estimates utilize actuarial methods based on various assumptions, which include but are not limited to, the Company’s historical loss experience and projected loss development factors. In 2016 and 2015, reversals of self-insured liabilities occurred as a result of favorable loss trends related to self-insured claims. 2016 2015 (Dollars in millions) Self-insured liabilities at beginning of year $ 8.0 $ 8.2 Expense 5.1 2.6 Reserves recoverable from insurance 2.4 0.0 Reversal of self-insured liabilities (1.7 ) (1.0 ) Cash expenditures (2.9 ) (1.8 ) Self-insured liabilities at end of year $ 10.9 $ 8.0 Derivative financial instruments – The Company uses swap contracts to manage copper price risk associated with forecasted purchases of materials used in the Company’s manufacturing processes. The Company uses forward exchange contracts to hedge exposure to currency exchange rate changes on transactions and other commitments denominated in a foreign currency. Contracts are not held for trading or speculative purposes. The Company recognizes the fair value of the swap contracts and forward contracts as an asset or liability at each reporting date. The Company designates certain of the swap contracts as cash flow hedges and the effective portion of the gain or loss on the derivative is reported as a component of other comprehensive (loss) earnings until it is reclassified into earnings when the hedged transaction affects earnings. Gains and losses from hedge ineffectiveness are recognized in current earnings. For swap contracts that are not designated as cash flow hedges, changes in the fair value of those forward contracts are recognized immediately in earnings. Because the Company has not elected to designate the forward exchange contracts for hedge accounting treatment, changes in the fair value of the forward exchange contracts are recognized immediately in earnings. Asset retirement obligations – Asset retirement obligations are initially recorded at fair value and are capitalized as part of the cost of the related long-lived asset when sufficient information is available to estimate fair value. The capitalized costs are subsequently charged to depreciation expense over the estimated useful life of the related long-lived asset. The fair value of the obligation is determined by calculating the discounted value of expected future cash flows and accretion expense is recorded each month to ultimately increase this obligation to full value. The Company recognizes asset retirement obligations for the removal and disposal of residues; dismantling of certain tanks required by governmental authorities; cleaning and dismantling costs for owned rail cars; cleaning costs for leased rail cars and barges; and site demolition, when required by governmental authorities or by contract. The following table describes changes to the Company’s asset retirement obligation liabilities at December 31, 2016 and 2015: 2016 2015 (Dollars in millions) Asset retirement obligation at beginning of year $ 46.5 $ 30.5 (Divestiture) acquisition (8.0 ) 0.7 Accretion expense 7.1 3.7 Revision in estimated cash flows (a) 2.7 24.4 Cash expenditures (11.4 ) (12.1 ) Currency translation (0.9 ) (0.7 ) Balance at end of period $ 36.0 $ 46.5 (a) Revision in estimated cash flows for 2016 and 2015 includes $2.7 and $23.4 million of charges related to restructuring activities, respectively. See Note 4. “Plant Closures and Discontinued Operations” for additional information. Litigation and contingencies – Amounts associated with litigation and contingencies are accrued when management, after taking into consideration the facts and circumstances of each matter including any settlement offers, has determined that it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. Legal costs for litigation are expensed as incurred with the exception of legal fees relating to the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) sites. Other current assets – Included in other current assets are prepaid expenses totaling $17.0 million and $17.0 million at December 31, 2016 and 2015, respectively. Environmental liabilities – The Company accrues for remediation costs and penalties when the responsibility to remediate is probable and the amount of related cost is reasonably estimable. If only a range of potential liability can be estimated and no amount within the range is more probable than another, the accrual is recorded at the low end of that range. Remediation liabilities are discounted if the amount and timing of the cash disbursements are readily determinable. Deferred revenue – The Company defers revenues associated with extended product warranty liabilities based on historical loss experience and sales of extended warranties on certain products. In addition, the Company received an advance payment of $30.0 million in 2015 related to an amendment to a 50-year supply agreement with a customer in China. The deferred revenue associated with this amendment will be amortized over the life of the underlying contract. The following table describes changes to the Company’s deferred revenue at December 31, 2016 and 2015: 2016 2015 (Dollars in millions) Deferred revenue at beginning of year $ 30.1 $ 2.5 Advance payment 0.0 30.0 Revenue earned (0.8 ) (1.0 ) Currency translation (2.1 ) (1.4 ) Deferred revenue at end of year $ 27.2 $ 30.1 Stock-based compensation – The Company records compensation expense for non-vested stock options over the vesting period based on the fair value at the date of grant. No compensation cost is recognized for any stock awards that are forfeited in the event the recipient fails to meet the vesting requirements. |
New Accounting Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Changes And Error Corrections [Abstract] | |
New Accounting Pronouncements | 3. New Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. In March 2016, the FASB issued ASU No. 2016-08, “Principal versus Agent Considerations (Reporting Revenue Gross versus Net),” that amends the principal versus agent guidance in ASU 2014-09. ASU 2016-08 clarifies that the analysis must focus on whether the entity has control of the goods or services before they are transferred to the customer. Collectively, the revenue recognition ASC updates are effective for annual reporting periods beginning after December 15, 2017 with early adoption permitted and allows for the use of either the retrospective or cumulative effect transition method. The Company intends to adopt these standards effective January 1, 2018 but has not yet determined which transition method will be used. The Company has a project team analyzing significant contracts with customers to determine the impact of the adoption of the ASU updates on the Company’s financial statements and disclosures. The Company will continue to assess the impact the ASC updates will have on its revenue arrangements with a final evaluation of the impact of adopting these ASC updates expected to be completed during the third quarter of 2017. In August 2016, the FASB In March 2016, the FASB In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842).” ASU 2016-02 requires an entity to recognize a right-of-use asset and lease liability for all leases with terms of more than one year. Recognition, measurement and presentation of expenses will depend on classification as a finance or operating lease. The standard is effective January 1, 2019 and early adoption is permitted. The guidance requires a modified retrospective adoption. The Company is currently evaluating the impact the adoption of ASU 2016-02 will have on its consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires companies to present debt issuance costs associated with a debt liability as a deduction from the carrying amount of that debt liability on the balance sheet rather than being capitalized as an asset. The standard is effective for interim and annual periods beginning after December 15, 2015, and retrospective presentation is required. The Company adopted this guidance as of January 1, 2016 and the consolidated financial statements have been revised to reflect the retrospective presentation requirement. As a result, $12.5 million and $14.6 million of debt issuance costs have been reclassified from other assets to long-term debt as of December 31, 2015 and December 31, 2014, retrospectively. This reclassification has also been reflected within the notes to the consolidated financial statements as applicable. In August 2014, the FASB issued ASU No. 2014-15, “Disclosure of Uncertainties About an Entity’s Ability to Continue as a Going Concern”, which requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and provides guidance on determining when and how to disclose going concern uncertainties in the financial statements. The Company adopted this ASU for the year ended December 31, 2016 and the adoption did not have a material effect on the Company’s consolidated financial statements. |
Plant Closures and Discontinued
Plant Closures and Discontinued Operations | 12 Months Ended |
Dec. 31, 2016 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Plant Closures and Discontinued Operations | 4. Plant Closures and Discontinued Operations On October 24, 2016, the Company agreed to a long-term lease of its wood treatment facility in Houston, Texas to a third party. This facility, owned by the Company’s wholly-owned subsidiary, Wood Protection L.P., is engaged in the manufacturing and sale of pressure-treated dimensional lumber and had revenue of approximately $8 million for the year ended December 31, 2016 and $14 million for the year ended December 31, 2015. In March 2016, the Company discontinued production at its 60-percent owned CMC plant located in Tangshan, China. The Company’s 60-percent owned subsidiary, Koppers (China) Carbon & Chemical Company Limited (“KCCC”) is located adjacent to a metallurgical coke facility owned by KCCC’s minority partner, which also closed. The KCCC plant relied on the coke facility for a significant portion of raw material supply, utilities and other shared services. In 2015, the Company recorded a severance charge of $0.9 million. For the year ended December 31, 2016, the Company has recorded inventory write-down charges of $0.7 million in connection with the facility. In February 2016, the Company announced plans, which were approved by management and the board in December 2015, to cease coal tar distillation operations at both of its United Kingdom CMC facilities. Accordingly, the Company recorded environmental charges, asset retirement obligations and fixed asset impairment charges totaling $13.9 million during the year ended December 31, 2015. For the year ended December 31, 2016, the Company recorded severance charges of $1.5 million. In July 2016, the Company sold substantially all of its tar distillation properties and assets in the United Kingdom. In exchange, the Company transferred cash to the buyer and the buyer assumed historical environmental and asset retirement obligations. The Company recognized a gain of $2.1 million on this transaction. This gain is reported in “Gain on sale of business” on the Condensed Consolidated Statement of Operations and Comprehensive Income (Loss). In January 2016, the Company announced its decision, which was approved by management and the board in December 2015, to discontinue coal tar distillation activities at its CMC plant located in Clairton, Pennsylvania. Accordingly, the Company recorded severance, inventory write-down, asset retirement obligation and fixed asset impairment charges totaling $18.8 million during the year ended December 31, 2015. For the year ended December 31, 2016, the Company recorded additional plant closure costs and fixed asset impairment charges totaling $6.4 million in connection with the closure of the facility. Coal tar distillation activities at Clairton were substantially discontinued at the end of July 2016. As of December 31, 2016, all depreciable fixed assets directly related to the facility have been impaired. In August 2015, the Company closed its RUPS plant located in Green Spring, West Virginia. Accordingly, the Company recorded severance, asset retirement obligation and fixed asset impairment charges of $5.7 million during the year ended December 31, 2015. For the year ended December 31, 2016, the Company has recorded additional plant closure costs of $3.0 million in connection with the closure of the facility. In January 2015, Koppers Inc. sold its RUPS North American utility pole business for cash of $12.3 million and a promissory note of $1.6 million. The Company recognized a gain of $3.2 million on this transaction. The promissory note is repayable in three remaining equal annual installments. This gain is reported in “Gain on sale of business” on the Condensed Consolidated Statement of Operations and Comprehensive Income (Loss). The proceeds of the sale are reported within “Net cash proceeds from divestitures and asset sales” on the Condensed Consolidated Statement of Cash Flows. For the year ended December 31, 2016, the Company has recorded additional plant closure costs of $2.7 million in connection with assets that were associated with this business line. In April 2014, the Company ceased its coal tar distillation activities at its CMC facility located in Uithoorn, the Netherlands. In the second quarter of 2016, the Company recorded a $3.7 million net present value accrual related to future real estate lease obligations, net of estimated sublease revenue, at the closed site. The Company determined that it met the cease-use criteria required for the accrual of these costs upon the completion of site demolition in April 2016. Details of the restructuring activities and related reserves are as follows: Severance employee Environmental remediation Asset retirement Other Total (Dollars in millions) Reserve at December 31, 2014 $ 0.0 $ 4.1 $ 3.9 $ 0.1 $ 8.1 Accrual 2.2 0.6 23.4 1.3 27.5 Costs charged against assets 0.0 0.0 0.0 (1.3 ) (1.3 ) Reversal of accrued charges 0.0 0.0 (0.3 ) 0.0 (0.3 ) Cash paid (0.2 ) 0.0 (4.8 ) (0.1 ) (5.1 ) Currency translation 0.0 (0.4 ) (0.3 ) 0.0 (0.7 ) Reserve at December 31, 2015 $ 2.0 $ 4.3 $ 21.9 $ 0.0 $ 28.2 Accrual 2.4 0.1 5.6 5.6 13.7 Costs charged against assets 0.0 0.0 0.0 (1.9 ) (1.9 ) Reversal of accrued charges (1.9 ) (0.5 ) (8.7 ) (0.1 ) (11.2 ) Cash paid (1.0 ) (2.4 ) (8.1 ) (0.2 ) (11.7 ) Currency translation (0.1 ) 0.0 (0.7 ) (0.2 ) (1.0 ) Reserve at December 31, 2016 $ 1.4 $ 1.5 $ 10.0 $ 3.2 $ 16.1 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 5. Related Party Transactions As of December 31, 2016, the Company has loaned $9.5 million to Tangshan Koppers Kailuan Carbon Chemical Company Limited (“TKK”), a 30-percent owned tar distillation facility in the Hebei Province of China. The amount reported in the consolidated balance sheet is net of accumulated equity losses in TKK of $1.1 million and interest receivable of $0.5 million. In 2015, TKK defaulted on the first installment payment on the loan and each installment payment thereafter. In November 2016, the Company sold its 30-percent equity interest in TKK to TKK’s controlling shareholder and agreed to a revised installment payment plan which is guaranteed by TKK’s controlling shareholder. The first two installment payments totaling $5.2 million, inclusive of accrued interest, under the revised payment plan were received in January and February 2017. The remaining installment payments are expected to be received by June 30, 2017. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 6. Fair Value Measurements Carrying amounts and the related estimated fair values of the Company’s financial instruments as of December 31, 2016 and 2015 are as follows: December 31, 2016 December 31, 2015 Fair Value Carrying Value Fair Value Carrying Value (Dollars in millions) Financial assets: Cash and cash equivalents, including restricted cash $ 20.8 $ 20.8 $ 21.8 $ 21.8 Investments and other assets (a) 1.1 1.1 1.1 1.1 Financial liabilities: Long-term debt (including current portion) $ 669.6 $ 662.4 $ 724.6 $ 722.3 (a) Excludes equity method investments. Cash and cash equivalents – The carrying amount approximates fair value because of the short maturity of those instruments. Investments and other assets – Represents the broker-quoted cash surrender value on universal life insurance policies. This asset is classified as Level 2 in the valuation hierarchy and is measured from values received from financial institutions. Debt – The fair value of the Company’s long-term debt is estimated based on the market prices for the same or similar issues or on the current rates offered to the Company for debt of the same remaining maturities (Level 2). The fair values of the revolving credit facility approximate carrying value due to the variable rate nature of these instruments. |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | 7. Earnings per Common Share The computation of basic earnings per common share for the periods presented is based upon the weighted average number of common shares outstanding during the periods. The computation of diluted earnings per common share includes the effect of non-vested nonqualified stock options and restricted stock units assuming such options and stock units were outstanding common shares at the beginning of the period. The effect of antidilutive securities and performance restricted stock units that have not met vesting criteria are excluded from the computation of diluted earnings per common share. The following table sets forth the computation of basic and diluted earnings per common share: Year Ended December 31, 2016 2015 2014 (Dollars in millions, except share amounts, in thousands, and per share amounts) Net income (loss) attributable to Koppers $ 29.3 $ (72.0 ) $ (32.4 ) Less: Income (loss) from discontinued operations 0.6 (0.1 ) 0.6 Income (loss) from continuing operations attributable to Koppers $ 28.7 $ (71.9 ) $ (33.0 ) Weighted average common shares outstanding: Basic 20,636 20,541 20,463 Effect of dilutive securities 419 0 0 Diluted 21,055 20,541 20,463 Earnings (loss) per common share – continuing operations: Basic earnings (loss) per common share $ 1.39 $ (3.50 ) $ (1.61 ) Diluted earnings (loss) per common share 1.36 (3.50 ) (1.61 ) Other data: Antidilutive securities excluded from computation of diluted earnings per common share 415 688 362 |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-based Compensation | 8. Stock-based Compensation The amended and restated 2005 Long-Term Incentive Plan (the “LTIP”) provides for the grant to eligible persons of stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance awards, dividend equivalents and other stock-based awards, which are collectively referred to as the awards. Restricted Stock Units and Performance Stock Units Under the LTIP, the board of directors granted restricted stock units and performance stock units to certain employee participants (collectively, the “stock units”). For grants to employees prior to 2015, restricted stock units vest on the third anniversary of the grant date, assuming continued employment by the participant. For the March 2015 and 2016 grants to employees, the restricted stock units vest in four equal annual installments. Restricted stock units that have one-year vesting periods are also issued under the LTIP to members of the board of directors in connection with annual director compensation and, from time to time, are issued to members of management in connection with employee compensation with varying vesting periods. Compensation expense for non-vested stock units is recorded over the vesting period based on the fair value at the date of grant. The fair value of restricted stock units and performance stock units with a performance condition is the market price of the underlying common stock on the date of grant. Performance stock units granted prior to 2016 vest based upon a performance condition. These performance stock units generally have three-year performance objectives and all performance stock units have a three-year period for vesting (if the applicable performance objective is achieved). For awards granted prior to 2016, the applicable performance objective is based upon a multi-year cumulative value creation calculation that considers the Company’s financial performance commencing on the first day of each grant year. The number of performance stock units granted represents the target award and participants have the ability to earn between zero and 150 percent or 200 percent (depending on the grant date) of the target award based upon actual performance. If minimum performance criteria are not achieved, no performance stock units will vest. Performance stock units granted in 2016 vest based upon a market condition. These performance stock units have a three-year performance objective and a three-year period for vesting (if the applicable performance objective is achieved). The applicable performance objective is based on the Company’s total shareholder return (“TSR”) relative to the Standard & Poors SmallCap 600 Materials Index. The number of performance stock units granted represents the target award and participants have the ability to earn between zero and 200 percent of the target award based upon actual performance. If minimum performance criteria are not achieved, no performance stock units will vest. The Company has the discretion to settle the award in cash rather than shares, although the Company currently expects that all awards will be settled by the issuance of shares. Compensation expense for non-vested performance stock units with a market condition is recorded over the vesting period based on the fair value at the date of grant. The Company calculated the fair value of the awards on the date of grant using the Monte Carlo valuation model and the assumptions listed below: March Grant date price per share of performance award $ 18.11 Expected dividend yield per share 0.00 % Expected volatility 40.86 % Risk-free interest rate 0.96 % Look-back period in years 2.84 Grant date fair value per share of performance award $ 23.70 Dividends declared, if any, on the Company’s common stock during the period prior to vesting of the stock units are credited at equivalent value as additional stock units and become payable as additional common shares upon vesting. In the event of termination of employment, other than retirement, death or disability, any non-vested stock units are forfeited, including additional stock units credited from dividends. In the event of termination of employment due to retirement, death or disability, pro-rata vesting of the stock units over the service period will result. There are special vesting provisions for the stock units related to a change in control. The following table shows a summary of the performance stock units as of December 31, 2016: Performance Period Minimum Shares Target Shares Maximum Shares 2014 – 2016 0 87,262 130,893 2015 – 2017 0 203,953 407,906 2016 – 2018 0 260,588 521,176 The following table shows a summary of the status and activity of non-vested stock awards for the year ended December 31, 2016: Restricted Stock Units Performance Stock Units Total Stock Units Weighted Grant Date Fair Value per Unit Non-vested at January 1, 2016 213,208 397,399 610,607 $ 27.29 Granted 178,282 264,981 443,263 $ 22.25 Credited from dividends 950 1,712 2,662 $ 25.47 Vested (100,281 ) 0 (100,281 ) $ 28.77 Forfeited (12,352 ) (109,704 ) (122,056 ) $ 36.46 Non-vested at December 31, 2016 279,807 554,388 834,195 $ 23.09 Compensation expense for non-vested performance stock units with a market condition is recorded over the vesting period based on the fair value at the date of grant. Stock Options Prior to 2015, stock options to most executive officers vest and become exercisable upon the completion of a three-year service period commencing on the grant date. For the 2015 and 2016 grants, the stock options vest in four equal annual installments. The stock options have a term of 10 years. In the event of termination of employment, other than retirement, death or disability, any non-vested options are forfeited. In the event of termination of employment due to retirement, death or disability, pro-rata vesting of the options over the service period will result. There are special vesting provisions for the stock options related to a change in control. Compensation expense for non-vested stock options is recorded over the vesting period based on the fair value at the date of grant. The Company calculated the fair value of stock options on the date of grant using the Black-Scholes-Merton model and the assumptions listed below: March March 2015 Grant February 2014 Grant Grant date price per share of stock option award $ 18.11 $ 17.57 $ 37.93 Expected dividend yield per share 0.00 % 3.40 % 2.75 % Expected life in years 5.96 5.75 6.5 Expected volatility 40.86 % 42.27 % 52.14 % Risk-free interest rate 1.45 % 1.73 % 1.98 % Grant date fair value per share of option awards $ 7.41 $ 5.20 $ 15.26 The dividend yield is based on the Company’s current and prospective dividend rate which calculates a continuous dividend yield based upon the market price of the underlying common stock. The Company suspended its dividend in February 2015 and does not expect to declare any dividends for the foreseeable future. The expected life in years for the March 2016 and 2015 grants is based on historical exercise data of options previously granted by the Company. The expected life in years for grants prior to 2015 are based on the simplified method permitted under Securities and Exchange Commission Staff Accounting Bulletin Topic 14 which calculates the average of the weighted vesting term and the contractual term of the option. This method was selected due to the lack of historical exercise data with respect to the Company at the time of those grants. Expected volatility is based on the historical volatility of the Company’s common stock and the historical volatility of certain other similar public companies. The risk-free interest rate is based on U.S. Treasury bill rates for the expected life of the option. The following table shows a summary of the status and activity of stock options for the year ended December 31, 2016: Options Weighted Exercise Price per Option Weighted Average Remaining Contractual Term (in years) Aggregate Value (in millions) Outstanding at December 31, 2015 774,249 $ 28.46 Granted 211,193 $ 18.11 Exercised (15,901 ) $ 24.94 Expired (14,548 ) $ 40.38 Forfeited (19,539 ) $ 23.70 Outstanding at December 31, 2016 935,454 $ 26.10 6.46 $ 6.0 Exercisable at December 31, 2016 436,582 $ 33.07 4.14 $ 3.3 Total stock-based compensation expense recognized and cash received from the exercise of stock options for the three years ended December 31, 2016, 2015 and 2014 are as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Stock-based compensation expense recognized: Selling, general and administrative expenses $ 8.9 $ 3.8 $ 4.7 Less related income tax benefit 3.6 1.5 1.9 Decrease in net income attributable to Koppers $ 5.3 $ 2.3 $ 2.8 Intrinsic value of exercised stock options $ 0.1 $ 0.0 $ 0.3 Cash received from the exercise of stock options $ 0.4 $ 0.0 $ 0.7 As of December 31, 2016 total future compensation expense related to non-vested stock-based compensation arrangements totaled $12.0 million and the weighted-average period over which this expense is expected to be recognized is approximately 25 months. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Information | 9. Segment Information The Company has three reportable segments: Railroad and Utility Products and Services, Carbon Materials and Chemicals, and Performance Chemicals. The Company’s reportable segments contain multiple business units since management believes the long-term financial performance of these business units is affected by similar economic conditions. The reportable segments are each managed separately because they manufacture and distribute distinct products with different production processes. The Company’s Railroad and Utility Products and Services segment sells treated and untreated wood products, manufactured products and services primarily to the railroad and public utility markets. Railroad products and services include procuring and treating items such as crossties, switch ties and various types of lumber used for railroad bridges and crossings and the manufacture of rail joint bars. We also operate a railroad services business that conducts engineering, design, repair and inspection services for railroad bridges. Utility products include transmission and distribution poles and pilings. The Company’s Carbon Materials and Chemicals segment is primarily a manufacturer of creosote, carbon pitch, naphthalene, phthalic anhydride and carbon black feedstock. Creosote is used in the treatment of wood and carbon black feedstock is used in the production of carbon black. Carbon pitch is a critical raw material used in the production of aluminum and for the production of steel in electric arc furnaces. Naphthalene is used for the production of phthalic anhydride and as a surfactant in the production of concrete. Phthalic anhydride is used in the production of plasticizers, polyester resins and alkyd paints. The Company’s Performance Chemicals segment develops, manufactures, and markets wood preservation chemicals and wood treatment technologies and services a diverse range of end-markets including infrastructure, residential and commercial construction, and agriculture. The Company evaluates performance and determines resource allocations based on a number of factors, the primary measure being operating profit or loss from operations. Operating profit does not include equity in earnings of affiliates, other income, interest expense or income taxes. Operating profit also excludes the operating costs of Koppers Holdings Inc., the parent company of Koppers Inc. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies. Intersegment transactions are eliminated in consolidation. The following table sets forth certain sales and operating data, net of all intersegment transactions, for the Company’s segments for the periods indicated: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Revenues from external customers: Railroad and Utility Products and Services $ 586.5 $ 657.0 $ 597.8 Carbon Materials and Chemicals 436.3 613.4 833.7 Performance Chemicals 393.4 356.5 123.5 Total $ 1,416.2 $ 1,626.9 $ 1,555.0 Intersegment revenues: Carbon Materials and Chemicals $ 90.2 $ 86.7 $ 84.8 Performance Chemicals 8.1 8.7 3.0 Total $ 98.3 $ 95.4 $ 87.8 Depreciation and amortization expense: Railroad and Utility Products and Services (a) $ 13.0 $ 14.2 $ 11.9 Carbon Materials and Chemicals (b) 21.2 25.8 25.0 Performance Chemicals 18.7 19.0 7.1 Total $ 52.9 $ 59.0 $ 44.0 Operating profit (loss): Railroad and Utility Products and Services (c) $ 51.1 $ 62.2 $ 53.6 Carbon Materials and Chemicals (d) (25.1 ) (125.0 ) (5.3 ) Performance Chemicals 62.0 39.0 1.6 Corporate (e) (1.6 ) (5.8 ) (16.7 ) Total $ 86.4 $ (29.6 ) $ 33.2 Capital expenditures (including acquisitions): Railroad and Utility Products and Services $ 11.2 $ 11.1 $ 44.5 Carbon Materials and Chemicals 29.5 37.6 63.7 Performance Chemicals 7.9 5.8 471.1 Corporate 1.3 1.5 0.7 Total $ 49.9 $ 56.0 $ 580.0 (a) Excludes impairment charges of $1.9 million in 2015 for a wood treating facility in the United States. (b) Excludes impairment charges of $3.5, $12.8 and $4.7 million in 2016, 2015 and 2014, respectively, for CMC. (c) Includes asset retirement obligation and other restructuring costs of $6.9 million for the restructuring of three facilities in the United States in 2016. Includes gain on sale of the Company’s North American utility pole business of $3.2 million and restructuring costs of $5.7 million for a wood treating facility in the United States in 2015. (d) Includes plant closure costs of $13.2, $36.5 and $18.1 million in 2016, 2015 and 2014, respectively, for CMC. In the fourth quarter of 2015, the Company also recorded goodwill impairment charges of $67.2 million related to this business unit. (e) Operating loss for Corporate includes general and administrative costs for Koppers Holdings Inc., the parent company of Koppers Inc., foreign exchange revaluation related to intercompany loans in connection with a legal reorganization of the Company and acquisition and acquisition-related integration costs. The following table sets forth tangible and intangible assets allocated to each of the Company’s segments as of the dates indicated: December 31, 2016 December 31, 2015 (Dollars in millions) Segment assets: Railroad and Utility Products and Services $ 264.2 $ 254.1 Carbon Materials and Chemicals 333.0 368.4 Performance Chemicals 442.9 441.3 Segment assets 1,040.1 1,063.8 Cash and cash equivalents 0.0 0.1 Income tax receivable 3.8 4.6 Deferred taxes 32.5 32.6 Property, plant and equipment, net 4.9 4.7 Deferred charges 0.7 1.6 Other 5.5 5.4 Total $ 1,087.5 $ 1,112.9 Goodwill: Railroad and Utility Products and Services $ 9.9 $ 9.9 Performance Chemicals 176.5 176.7 Total $ 186.4 $ 186.6 Revenues and Long-lived Assets by Geographic Area Year Revenue Long-lived assets (Dollars in millions) United States 2016 $ 929.3 $ 446.6 2015 991.2 460.3 2014 833.0 518.8 Australasia 2016 228.4 124.3 2015 280.9 132.9 2014 349.0 160.3 Europe 2016 140.2 31.9 2015 144.0 32.9 2014 201.1 47.5 Other countries 2016 118.3 19.5 2015 210.8 18.3 2014 171.9 18.3 Total 2016 $ 1,416.2 $ 622.3 2015 $ 1,626.9 $ 644.5 2014 $ 1,555.0 $ 744.9 Revenues by geographic area in the above table are attributed by the destination country of the sale. Revenues from non-U.S. countries totaled $486.9 million in 2016, $635.7 million in 2015 and $722.0 million in 2014. Segment Revenues for Significant Product Lines Year Ended December 31, 2016 2015 2014 (Dollars in millions) Railroad and Utility Products and Services: Railroad crossties $ 374.0 $ 422.0 $ 371.4 Utility poles 34.5 52.4 96.1 Creosote 49.6 45.7 51.2 Rail joints 24.4 28.1 27.2 Railroad infrastructure services 43.4 42.7 14.8 Other products 60.6 66.1 37.1 586.5 657.0 597.8 Carbon Materials and Chemicals: Carbon pitch 191.0 283.4 330.2 Phthalic anhydride 75.6 65.1 91.4 Creosote and carbon black feedstock 71.3 119.6 213.7 Other products 98.4 145.3 198.4 436.3 613.4 833.7 Performance Chemicals: Wood preservative products 365.5 318.6 107.0 Other products 27.9 37.9 16.5 393.4 356.5 123.5 Total $ 1,416.2 $ 1,626.9 $ 1,555.0 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes Income Tax Provision Components of the Company’s income tax provision from continuing operations are as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Current: Federal $ (1.9 ) $ (4.2 ) $ 17.5 State 1.3 0.2 0.3 Foreign 13.3 16.0 14.6 Total current tax provision 12.7 12.0 32.4 Deferred: Federal (1.6 ) (19.2 ) 3.1 State 0.5 3.0 0.0 Foreign (0.2 ) 0.0 (1.4 ) Total deferred tax (benefit) provision (1.3 ) (16.2 ) 1.7 Total income tax (benefit) provision $ 11.4 $ (4.2 ) $ 34.1 Income (loss) before income taxes for 2016, 2015 and 2014 included $48.2 million, $(15.2) million and $(1.5) million, respectively, from foreign operations. The provision for income taxes is reconciled with the federal statutory rate as follows: Year Ended December 31, 2016 2015 2014 Federal income tax rate 35.0 % 35.0 % 35.0 % State income taxes, net of federal tax benefit (0.8 ) 2.3 (4.8 ) Foreign earnings taxed at different rates (10.1 ) (8.3 ) (347.6 ) Domestic production activities deduction 0.0 (0.6 ) 40.8 Deferred tax adjustments (0.2 ) 0.4 3.2 Change in tax contingency reserves 6.5 1.5 (15.2 ) Legal entity tax restructuring project 0.0 0.0 (1,503.2 ) Foreign tax credits 0.0 0.0 1,203.4 Changes to foreign repatriation plans 0.0 0.0 104.0 Valuation allowance charges (1.9 ) (13.0 ) (92.4 ) Goodwill impairment 0.0 (10.9 ) 0.0 Other 1.1 (1.1 ) (1.2 ) 29.6 % 5.3 % (578.0 %) The Company has not provided a U.S. deferred tax liability on the difference between the financial reporting and tax basis of its investments in its foreign subsidiaries, except for an immaterial amount of unremitted foreign earnings that are expected to be remitted as a dividend. Where the tax basis of these investments exceeds the financial reporting basis, the Company does not anticipate it will dispose of these foreign subsidiaries in the foreseeable future and, as such, has not recognized a U.S. deferred tax asset for this excess tax basis. To the extent such foreign subsidiaries may also have unremitted earnings, such earnings have either been previously taxed in the U.S. or are considered to be indefinitely reinvested. Where the financial reporting basis of these investments exceeds its tax basis, substantially all of the basis difference is attributable to unremitted earnings that are considered to be indefinitely reinvested. At December 31, 2016, there was approximately $85 million of such unremitted earnings which would be taxed if they were remitted as a dividend. To estimate the amount of taxes that may be payable when these earnings are remitted in the future, many assumptions, such as the tax profile of the Company at that time and the availability of potential U.S. foreign tax credits that may reduce the ultimate amount of tax, are required. Therefore, it is not practicable to estimate the amount of taxes that may be payable when these earnings are remitted in the future. Taxes Excluded from Net Income Attributable to Koppers The amount of income tax expense (benefit) included in comprehensive income (loss) but excluded from net income attributable to Koppers relating to adjustments to copper swap contracts is $8.0 million, $(1.2) million, and $(2.6) million for the years ended December 31, 2016, 2015, and 2014, respectively. The amount of income tax expense (benefit) included in comprehensive income (loss) but excluded from net income attributable to Koppers relating to adjustments to reflect the unfunded status of employee post-retirement benefit plans is $2.0 million, $0.6 million, and $(8.1) million for the years ended December 31, 2016, 2015, and 2014, respectively. The amount of income tax expense included in shareholders’ equity but excluded from net income attributable to Koppers relating to the expense for restricted stock and employee stock options recognized differently for financial and tax reporting purposes is $0.4 million, $0.5 million and $0.3 million for the years ended December 31, 2016, 2015, and 2014, respectively. Deferred Tax Assets and Liabilities Deferred income taxes reflect the net tax effects of differences between the carrying amounts of assets and liabilities for financial reporting purposes and for income tax purposes. Significant components of the Company’s deferred tax assets and liabilities are as follows: Year Ended December 31, 2016 2015 (Dollars in millions) Deferred tax assets: Reserves, including insurance, environmental and deferred revenue $ 22.3 $ 19.9 Pension and other postretirement benefits obligations 19.2 19.4 Tax credits 15.4 16.8 Asset retirement obligations 12.0 12.0 State tax losses carryforwards (expiring from 2017-2036) 11.3 10.2 Foreign tax loss carryforwards (expiring beginning in 2018) 10.1 9.3 Accrued employee compensation 8.9 6.9 Book/tax inventory accounting differences 3.5 3.2 Capital loss benefit 0.0 0.9 Book over tax depreciation and amortization 0.0 3.6 Other 6.6 10.0 Valuation allowance (40.2 ) (41.9 ) Total deferred tax assets 69.1 70.3 Deferred tax liabilities: Tax over book depreciation and amortization 42.7 38.4 Gain on derivative contracts 4.2 0.0 Tax/book inventory accounting differences 0.0 0.3 Other 1.4 0.7 Total deferred tax liabilities 48.3 39.4 Net deferred tax assets $ 20.8 $ 30.9 A valuation allowance is necessary when it is more likely than not that a deferred tax asset will not be realized. Certain deferred tax assets reflected above are not expected to be realized and a valuation allowance has been provided for them. Valuation allowances are recorded to offset the following deferred tax assets: Year Ended December 31, 2016 2015 Federal foreign tax credits $ 14.3 $ 14.9 State temporary differences, net operating losses and tax credits 13.2 11.6 Foreign temporary differences, net operating losses and capital losses 12.7 15.4 Total valuation allowances $ 40.2 $ 41.9 During 2016, the Company generated additional net operating losses in certain states which require each legal entity to file a separate return. As it is not expected that certain entities will generate future taxable income to realize the benefit of these losses, the related valuation allowance was increased by $1.6 million. Also, a valuation allowance of $2.1 million provided in 2015 on certain United Kingdom deferred tax assets associated with the closure of manufacturing facilities was released during 2016. After the sale of assets and transfer of liabilities to a third party in 2016, it became apparent that remaining future deductions will be available to offset taxable income generated by other of our United Kingdom entities. Management evaluated the ability to realize remaining deferred tax assets, particularly in light of the financial reporting losses reported over the preceding three years. As discussed in Note 14, “Goodwill and Other Identifiable Intangible Assets,” the Company incurred a goodwill impairment charge in 2015 of $67.2 million, of which $25.1 million related to nondeductible goodwill which was the primary factor contributing to the three-year cumulative loss. Excluding these nonrecurring charges, Management has concluded that the Company will generate sufficient future taxable income in periods when these deferred tax assets become deductible. Unrecognized Tax Benefits A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Balance at beginning of year $ 7.7 $ 7.2 $ 6.1 Additions based on tax provisions related to the current year 0.9 1.4 0.6 Additions for tax provisions of prior years 1.5 0.0 0.1 Additions as a result of acquisitions 0.0 0.0 1.6 Reductions of tax provisions of prior years 0.0 (0.7 ) (0.6 ) Reductions as a result of a lapse of the applicable statute of limitations (0.4 ) (0.2 ) (0.6 ) Balance at end of year $ 9.7 $ 7.7 $ 7.2 As of December 31, 2016 and 2015, the total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate, was approximately $5.7 million and $4.1 million, respectively. The Company recognizes interest expense (income) and any related penalties from unrecognized tax benefits in income tax expense. For the years ended December 31, 2016, 2015, and 2014, the Company recognized $1.2 million, $(1.5) million and $1.5 million, respectively, in interest and penalties. As of December 31, 2016 and 2015, the Company had accrued interest and penalties of approximately $4.2 million and $1.2 million, respectively. The Company believes that it is reasonably possible that the amount of unrecognized tax benefits will decrease in the next twelve months by approximately $3 million due to the expirations of certain foreign and state statutes of limitations and potential audit resolutions. the next twelve months. The Company and its subsidiaries file income tax returns in U.S. federal jurisdiction, individual U.S. state jurisdictions and non-U.S. jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, U.S. state, or non-U.S. income tax examinations by tax authorities for years before 2011. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2016 | |
Inventory Disclosure [Abstract] | |
Inventories | 11. Inventories Inventories as of December 31, 2016 and 2015 were as follows: December 31, 2016 December 31, 2015 (Dollars in millions) Raw materials $ 157.7 $ 169.8 Work in process 14.2 15.5 Finished goods 103.6 97.4 275.5 282.7 Less revaluation to LIFO 46.8 56.3 Net $ 228.7 $ 226.4 |
Equity Investments
Equity Investments | 12 Months Ended |
Dec. 31, 2016 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Equity Investments | 12. Equity Investments The Company has no remaining investments in unconsolidated companies as of December 31, 2016. During 2016, the Company sold its 30 percent interest in TKK. Equity loss (Dollars in millions) 2016 $ (1.0 ) 2015 (2.2 ) 2014 (1.6 ) |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | 13. Property, Plant and Equipment Property, plant and equipment as of December 31, 2016 and 2015 were as follows: December 31, 2016 December 31, 2015 (Dollars in millions) Land $ 17.0 $ 17.6 Buildings 58.2 61.8 Machinery and equipment 716.0 669.0 $ 791.2 $ 748.4 Less accumulated depreciation 510.4 470.6 Net $ 280.8 $ 277.8 Depreciation expense, including impairment charges, for the years ended December 31, 2016, 2015 and 2014 amounted to $41.6 million, $58.4 million and $38.8 million, respectively. Impairments – Impairment charges for 2016, 2015 and 2014 were $3.5 million, $14.7 million and $4.7 million, respectively. In 2016, impairment charges primarily related to the decision to discontinue coal tar distillation activities at a CMC plant located in the United States. The 2015 impairment charges primarily related to the decision to discontinue coal tar distillation activities at CMC plants located in the United Kingdom and the United States. The remaining 2015 impairment charges were related to the RUPS wood treating plant in Green Spring, West Virginia. The 2014 impairment charges primarily related to the CMC plant in Tangshan, China ($2.8 million, net of non-controlling interest). These impairment charges were calculated using a probability-weighted discounted cash flow model. |
Goodwill and Other Identifiable
Goodwill and Other Identifiable Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Identifiable Intangible Assets | 14. Goodwill and Other Identifiable Intangible Assets The change in the carrying amount of goodwill attributable to each business segment for the years ended December 31, 2016 and December 31, 2015 was as follows: Carbon Materials and Chemicals Railroad and Utility Products and Services Performance Chemicals Total (Dollars in millions) Balance at December 31, 2014 $ 65.5 $ 9.3 $ 172.4 $ 247.2 Acquisitions 4.1 0.0 0.0 4.1 Purchase price allocation adjustments 0.0 1.2 8.3 9.5 Impairment (67.2 ) 0.0 0.0 (67.2 ) Currency translation (2.4 ) (0.6 ) (4.0 ) (7.0 ) Balance at December 31, 2015 $ 0.0 $ 9.9 $ 176.7 $ 186.6 Currency translation 0.0 0.0 (0.2 ) (0.2 ) Balance at December 31, 2016 $ 0.0 $ 9.9 $ 176.5 $ 186.4 Goodwill represents the excess of the cost over the fair value of acquired identifiable tangible and intangible assets and liabilities assumed from businesses acquired. Goodwill is tested for impairment at the reporting unit level annually in the fourth quarter and whenever events or circumstances indicate the carrying value may not be recoverable. The evaluation of goodwill impairment involves using either a qualitative or quantitative approach as outlined in ASC Topic 350. In the fourth quarter of 2016 and 2014, the Company determined that the estimated fair values substantially exceeded the carrying values of all the reporting units, and accordingly, there was no impairment of goodwill for the year ended December 31, 2016 and for the year ended December 31, 2014. During the fourth quarter of 2015, the Company completed its annual goodwill impairment evaluation using the two-step quantitative analysis. In the first step of the analysis, the Company compared the estimated fair value of each reporting unit to its carrying value, including goodwill. The fair value of the reporting units was determined based on a weighting of income and market approaches. Since the carrying value of the CMC reporting unit exceeded the fair value, the Company performed the second step of the impairment analysis in order to determine the implied fair value of the reporting unit’s goodwill. The implied fair value of goodwill represents the excess of fair value of the reporting unit over the fair value amounts assigned to all of the assets and liabilities of the reporting unit as if it were to be acquired in a business combination and the current fair value of the reporting unit (as calculated in the first step) was the purchase price. Any amount remaining after this allocation represents the implied fair value of goodwill. The implied fair value of the respective reporting unit’s goodwill was then compared to the carrying value of the goodwill and any excess of carrying value over the implied fair value represents the non-cash impairment charge. The results of the second step analysis showed that the implied fair value of goodwill was zero for the CMC reporting unit. Therefore, in 2015, the Company recorded a goodwill impairment charge of $67.2 million for the CMC reporting unit. During the fourth quarter of 2015, the Company observed certain negative factors including a declining market capitalization, downsizing of the global aluminum markets and continued decline in spot and forward oil pricing. As noted elsewhere in this Form 10-K, the Company and its board of directors approved certain strategic changes for the CMC reporting unit during the fourth quarter of 2015 reflecting the current market environment. The aforementioned negative factors all severely impact the outlook and corresponding fair value for the Company’s CMC reporting unit and were the primary factors for the goodwill impairment charge recorded during the fourth quarter of 2015. As a result of the goodwill impairment charge, there is no goodwill remaining for the CMC reporting unit as of December 31, 2015. For purposes of the income approach, fair value was determined based on the present value of estimated future cash flows, discounted at an appropriate risk-adjusted rate (DCF analysis). The Company made assumptions about the amount and timing of future expected cash flows, terminal value growth rates and appropriate discount rates. The amount and timing of future cash flows within the Company’s DCF analysis was based on its most recent operational budgets, long range strategic plans and other estimates. A one half of one percent perpetual growth rate was used to calculate the value of cash flows beyond the last projected period in the Company’s DCF analysis for the CMC reporting unit and reflects its best estimates for stable, perpetual growth of its reporting unit. Actual results may differ from those assumed in the Company’s forecasts. The Company used estimates of market participant weighted average cost of capital as a basis for determining the discount rate of 14 percent applied to the CMC reporting unit’s future expected cash flows, adjusted for risks and uncertainties inherent in the chemical industry and in its internally developed forecasts. The market approach is based upon an analysis of valuation metrics for companies comparable to the reporting unit. The fair value for the CMC reporting unit was estimated using an appropriate valuation multiple, as well as estimated normalized earnings and an estimated control premium. In order to further validate the reasonableness of the estimated fair values of the reporting units as of the valuation date in the fourth quarter of 2015, a reconciliation of the aggregate fair values of all reporting units to the Company’s market capitalization was performed using a reasonable control premium. Goodwill impairment tests in years prior to December 31, 2015 indicated that goodwill was not impaired for any of the Company’s reporting units. Accumulated impairment losses totaled $67.2 million as of December 31, 2016 and 2015. The Company’s identifiable intangible assets with finite lives are being amortized over their estimated useful lives and are summarized below: December 31, 2016 2015 Estimated life in years Weighted average remaining life in years Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net (Dollars in millions) Customer contracts 9 to 18 13.2 $ 152.5 $ 33.6 $ 118.9 $ 153.0 $ 24.3 $ 128.7 Technology 4 to 12 5.0 26.7 8.8 17.9 26.6 5.1 21.5 Trademarks 4 to 7 4.6 6.1 1.9 4.2 5.9 1.1 4.8 Supply contracts 10 3.2 2.2 1.5 0.7 2.3 1.4 0.9 Non-compete agreements 12 7.8 1.3 1.1 0.2 1.4 1.2 0.2 Favorable lease agreements 3 0.0 0.6 0.6 0.0 0.7 0.7 0.0 Total 11.9 $ 189.4 $ 47.5 $ 141.9 $ 189.9 $ 33.8 $ 156.1 In 2016, the gross carrying value of identifiable intangible assets decreased by $0.5 million due to foreign currency translation. Total amortization expense related to these identifiable intangible assets was $14.8 million, $15.3 million and $8.4 million for the years ended December 31, 2016, 2015 and 2014, respectively. Estimated amortization expense for the next five years is summarized below: Estimated annual amortization (Dollars in millions) 2017 $ 14.3 2018 14.3 2019 14.3 2020 14.0 2021 12.1 |
Pensions and Post-Retirement Be
Pensions and Post-Retirement Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Compensation And Retirement Disclosure [Abstract] | |
Pensions and Post-Retirement Benefit Plans | 15. Pensions and Post-Retirement Benefit Plans The Company and its subsidiaries maintain a number of defined benefit and defined contribution plans to provide retirement benefits for employees in the U.S., as well as employees outside the U.S. These plans are maintained and contributions are made in accordance with the Employee Retirement Income Security Act of 1974 (“ERISA”), local statutory law or as determined by the board of directors. The defined benefit pension plans generally provide benefits based upon years of service and compensation. Pension plans are funded except for three domestic non-qualified defined benefit pension plans for certain key executives. In the U.S., all qualified defined benefit pension plans for salaried and hourly employees have been closed to new participants and have been frozen. Accordingly, these pension plans no longer accrue additional years of service or recognize future increases in compensation for benefit purposes. The defined contribution plans generally provide retirement assets to employee participants based upon employer and employee contributions to the participant’s individual investment account. The Company also provides retiree medical insurance coverage to certain U.S. employees and a life insurance benefit to most U.S. employees. For salaried employees, the retiree medical and retiree insurance plans have been closed to new participants. In the third quarter of 2016, the Company offered a cash lump sum or annuity buyout to its terminated deferred vested participants in its U.S. defined benefit pension plan. Approximately 375 participants elected either a lump sum payout or annuity from a third party provider. The total dollar amount paid out of our defined benefit plan assets was $13.9 million and the Company recorded a pension settlement charge of $4.4 million for the year ended December 31, 2016. Expense related to defined contribution plans totaled $7.8 million, $6.0 million and $6.9 million for the years ended December 31, 2016, 2015 and 2014, respectively. Net periodic pension costs for 2016, 2015 and 2014 were as follows: December 31, Pension Benefits Other Benefits 2016 2015 2014 2016 2015 2014 (Dollars in millions) Service cost $ 1.7 $ 2.0 $ 2.7 $ 0.1 $ 0.1 $ 0.1 Interest cost 11.0 10.9 11.8 0.4 0.4 0.5 Expected return on plan assets (10.5 ) (12.0 ) (13.9 ) 0.0 0.0 0.0 Amortization of prior service cost 0.0 (0.3 ) (0.2 ) 0.0 (0.1 ) (0.2 ) Amortization of net loss 2.2 6.6 4.0 (0.4 ) (0.3 ) 0.0 Settlements and curtailments 4.4 (0.8 ) 0.0 0.0 0.0 0.0 Net periodic benefit cost $ 8.8 $ 6.4 $ 4.4 $ 0.1 $ 0.1 $ 0.4 Net periodic pension cost is expected to be recognized from the amortization of net loss and is estimated to total $2.0 million for all plans in 2017. The change in the funded status of the pension and postretirement plans as of December 31, 2016 and December 31, 2015 is as follows: December 31, Pension Benefits Other Benefits 2016 2015 2016 2015 (Dollars in millions) Change in benefit obligation: Benefit obligation at beginning of year $ 257.5 $ 275.7 $ 9.4 $ 9.8 Service cost 1.7 2.0 0.1 0.1 Interest cost 11.0 10.9 0.4 0.4 Plan participants’ contributions 0.1 0.2 0.0 0.0 Actuarial losses (gains) 10.7 (14.9 ) 1.0 (0.3 ) Plan amendments (0.1 ) 0.0 0.0 0.0 Settlements (13.9 ) 0.0 0.0 0.0 Currency translation (9.9 ) (3.4 ) 0.0 0.0 Benefits paid (13.5 ) (13.0 ) (0.9 ) (0.6 ) Benefit obligation at end of year 243.6 257.5 10.0 9.4 Change in plan assets: Fair value of plan assets at beginning of year 212.4 229.5 0.0 0.0 Actual return on plan assets 20.8 (4.6 ) 0.0 0.0 Employer contribution 4.4 3.4 0.9 0.6 Plan participants’ contributions 0.1 0.2 0.0 0.0 Settlements (13.9 ) 0.0 0.0 0.0 Currency translation (9.4 ) (3.1 ) 0.0 0.0 Benefits paid (13.5 ) (13.0 ) (0.9 ) (0.6 ) Fair value of plan assets at end of year 200.9 212.4 0.0 0.0 Funded status of the plan $ (42.7 ) $ (45.1 ) $ (10.0 ) $ (9.4 ) Amounts recognized in the balance sheet consist of: Noncurrent assets $ 0.8 $ 0.8 $ 0.0 $ 0.0 Current liabilities 1.1 0.9 0.8 0.8 Noncurrent liabilities 42.4 45.0 9.2 8.6 Pension plans with projected benefit obligations in excess of plan assets: Benefit obligation $ 238.7 $ 252.7 Fair value of plan assets 195.3 206.9 Pension plans with accumulated benefit obligations in excess of plan assets: Accumulated benefit obligation $ 238.5 $ 251.2 Fair value of plan assets 195.3 206.9 The measurement date for all pension and postretirement assets and obligations is December 31 for each respective year. The accumulated benefit obligation for all defined benefit pension plans as of December 31, 2016 and 2015 was $243.3 million and $255.8 million, respectively. Expected Contributions for the 2017 Fiscal Year The expected contributions by the Company for 2017 are estimated to be $4.2 million for pension plans and $0.8 million for other benefit plans. Projected Benefit Payments Benefit payments for pension benefits, which are primarily funded by the pension plan assets, and other benefits, which are funded by general corporate assets and reflecting future expected service as appropriate, are expected to be paid as follows: Pension Benefits Other Benefits (Dollars in millions) 2017 $ 13.0 $ 0.9 2018 12.9 0.9 2019 13.2 0.8 2020 13.5 0.8 2021 13.8 0.7 Next five years 75.0 3.1 Weighted-Average Assumptions as of December 31 December 31, Pension Benefits Other Benefits 2016 2015 2016 2015 Discount rate 4.09 % 4.52 % 4.53 % 4.73 % Expected return on plan assets 5.10 5.16 Rate of compensation increase 3.50 3.82 Initial medical trend rate 6.30 6.50 Basis for the Selection of the Long-Term Rate of Return on Assets The long-term rate of return on assets assumption was determined by using the plan’s asset allocation as described in the plan’s investment policy and modeling a distribution of compound average returns over a time horizon. The model uses asset class return, variance, and correlation assumptions to produce the expected return. The return assumptions used forward looking gross returns influenced by the current bond yields, corporate bond spreads and equity risk premiums based on current market conditions. In general, the long-term rate of return is the sum of the portion of total assets in each asset class multiplied by the expected return for that class, adjusted for expected expenses to be paid from the assets. To develop the expected long-term rate of return on assets assumption, the Company considered the historical returns and the future expectations for returns for each asset class, as well as the target asset allocation of the pension portfolio. Investment Strategy The weighted average asset allocation for the Company’s pension plans at December 31 by asset category is as follows: December 31, 2016 2015 Debt securities 71 % 70 % Equity securities 24 26 Other 5 4 100 % 100 % The Company’s investment strategy for its pension plans is to maintain an adequate level of diversification, to reduce interest rate and market risk and to provide adequate liquidity to meet immediate and future benefit payment requirements. The The investment valuation policy of the Company is to value investments at fair value. Most of the assets are invested in pooled or commingled investment vehicles. The Company’s interest in these investment vehicles is expressed as a unit of account with a value per unit that is the result of the accumulated values of the underlying investments. Equity securities held within these investment vehicles are typically priced on a daily basis using the closing market price from the exchange through which the security is traded. Debt securities held within these investment vehicles are typically priced on a daily basis by independent pricing services. The fair value of real estate investments is either priced through a listing on an exchange or are subject to periodic appraisals. The following table sets forth by level, the Company’s pension plan assets at fair value, within the fair value hierarchy, as of December 31, 2016 and December 31, 2015: As of December 31, 2016 Quoted prices in active Significant Significant markets for observable unobservable identical assets inputs inputs (Level 1) (Level 2) (Level 3) Total (Dollars in millions) U.S. equity securities $ 12.3 $ 13.2 0.0 $ 25.5 International equity securities 12.6 10.9 0.0 23.5 U.S. debt securities 29.7 75.2 3.2 108.1 International debt securities 8.3 24.3 1.1 33.7 Real estate and other investments 0.0 0.5 5.7 6.2 Cash and cash equivalents 0.0 3.9 0.0 3.9 $ 62.9 $ 128.0 $ 10.0 $ 200.9 As of December 31, 2015 Quoted prices in active Significant Significant markets for observable unobservable identical assets inputs inputs (Level 1) (Level 2) (Level 3) Total (Dollars in millions) U.S. equity securities $ 15.0 $ 10.2 $ 0.0 $ 25.2 International equity securities 12.1 18.6 0.0 30.7 U.S. debt securities 32.3 84.8 0.0 117.1 International debt securities 7.0 25.5 0.0 32.5 Real estate and other investments 0.0 1.4 0.0 1.4 Cash and cash equivalents 0.0 5.5 0.0 5.5 $ 66.4 $ 146.0 $ 0.0 $ 212.4 The table below sets forth a summary of changes in the fair value of the Level 3 pension plans’ assets for the year ended December 31, 2016: As of December 31, 2016 Other Investments Debt Securities (Dollars in millions) Balance at beginning of year $ 0.0 $ 0.0 Purchases, sales, issuances and settlements 4.4 6.0 Realized and unrealized gains 0.2 0.1 Foreign currency translation loss (0.3 ) (0.4 ) Balance at the end of year $ 4.3 $ 5.7 The amount of total gains during the period attributable to the change in unrealized gains relating to Level 3 net assets still held at the reporting date $ 0.2 $ 0.1 Health Care Cost Trend Rates The 2017 initial health care cost trend rate is assumed to be 6.3 percent and is assumed to decrease gradually to 4.5 percent in 2037 and remain at that level thereafter. The assumed health care cost trend rate has a significant effect on the amounts reported for other postretirement benefit liability. A one-percentage-point change in the assumed health care cost trend rate would have the following effects: 1% Increase 1% Decrease (Dollars in millions) Increase (decrease) from change in health care cost trend rates: Postretirement benefit expense $ 0.0 $ 0.0 Postretirement benefit liability 0.2 (0.1 ) Incentive Plan The Company has short-term management incentive plans that pay cash bonuses if certain Company performance goals are met. The charge to operating expense for these plans was $10.4 million in 2016, $9.2 million in 2015 and $3.8 million in 2014. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | 16. Debt Debt at December 31, 2016 and December 31, 2015 was as follows: Weighted Average Interest Rate Maturity December 31, 2016 December 31, 2015 (Dollars in millions) Term Loan 4.57 % 2019 $ 232.5 $ 262.5 Revolving Credit Facility 4.57 % 2019 100.1 130.0 Construction and other loans 4.87 % 2020 40.4 44.8 Senior Notes due 2019 7.88 % 2019 298.1 297.5 Total debt 671.1 734.8 Less short term debt and current maturities of long-term debt 42.6 39.9 Less unamortized debt issuance costs 8.7 12.5 Long-term debt $ 619.8 $ 682.4 Events Subsequent to December 31, 2016 As of December 31, 2016, Koppers Inc. had a $300.0 million senior secured revolving credit facility and a $232.5 million senior secured term loan (the “Prior Senior Secured Credit Facilities”) and $298.1 million principal value outstanding of senior notes due 2019 (the “2019 Notes”). In January 2017, Koppers Inc. completed a private placement offering of $500.0 million 6.00 percent Senior Notes due 2025 (the “2025 Notes”). The 2025 Notes will pay interest semi-annually in arrears on February 15 and August 15 beginning on August 15, 2017 and will mature on February 15, 2025 unless earlier redeemed or repurchased. The 2025 Notes are unsecured and are guaranteed by Koppers Holdings Inc. and certain of Koppers Inc.’s domestic subsidiaries. Koppers Inc. used the proceeds from the offering of the 2025 Notes to repay its outstanding term loan under the Prior Senior Secured Credit Facilities and to fund a tender offer to repurchase the 2019 Notes. The tender offer for the 2019 Notes was completed in early February 2017. Any 2019 Notes remaining outstanding following the tender offer were called for redemption and Koppers Inc. concurrently satisfied and discharged its remaining obligations under the indenture governing the 2019 Notes. In February 2017, the Company entered into a new $400.0 million senior secured revolving credit facility (“New Senior Secured Credit Facility”) which replaced the Prior Senior Secured Credit Facilities. The maturity date of the New Senior Secured Credit Facility is February 2022. The interest rate on the New Senior Secured Credit Facility is variable and is based on LIBOR. Terms under the New Senior Secured Credit Facility are substantially consistent with the Prior Senior Secured Credit Facilities. Prior Senior Secured Credit Facilities The interest rates on the Prior Senior Secured Credit Facilities’ borrowings were variable and based on LIBOR. Borrowings under the revolving credit facility and term loan were secured by a first priority lien on substantially all of the assets of Koppers Inc., Koppers Holdings and their material domestic subsidiaries. The revolving credit facility and term loan contained certain covenants for Koppers Inc. and its restricted subsidiaries that would limit capital expenditures, additional indebtedness, liens, dividends, investments or acquisitions. In addition, such covenants would give rise to events of default upon the failure by Koppers Inc. and its restricted subsidiaries to meet certain financial ratios. The Company entered into an amendment of the Prior Senior Secured Credit Facilities in April 2016 which reduced the borrowing capacity of its senior secured revolving credit facility to $300.0 million and also amended the leverage ratio covenant requirements. In connection with the amendment, $2.0 million of prior deferred financing costs were required to be written off through interest expense for the year ended December 31, 2016. As of December 31, 2016, the Company had $159.6 million of unused revolving credit availability for working capital purposes after restrictions from certain letter of credit commitments and other covenants. As of December 31, 2016, $43.5 million of commitments were utilized by outstanding letters of credit. Construction Loans On November 18, 2013, the Company’s 75-percent owned subsidiary, Koppers (Jiangsu) Carbon Chemical Company Limited (“KJCC”) entered into two committed loan facility agreements for a combined commitment of RMB 265 million or approximately $44 million. The third party bank provided facility has a commitment amount of RMB 198.8 million and the other committed facility of RMB 66.2 million is provided by the 25-percent non-controlling shareholder in KJCC. Borrowings under the third party bank facility are secured by a letter of credit issued by a bank under the Koppers Inc. revolving credit facility. The committed facilities were used to finance the costs related to the construction of the coal tar distillation plant in Pizhou, Jiangsu province in China. KJCC will repay the construction loan portion of the third party commitment in six installments every six months starting in June 2018 with a final repayment on December 21, 2020, the maturity date of the loans. Senior Notes due 2019 The Koppers Inc. 7.88 Debt Maturities and Deferred Financing Costs At December 31, 2016 the aggregate debt maturities for the next five years are as follows: (Dollars in millions) 2017 $ 42.6 2018 37.0 2019 (1) 575.3 2020 18.1 Total maturities 673.0 Future accretion on 2019 Notes (1.9 ) Total debt $ 671.1 (1) Consists primarily of the maturity of the 2019 Notes and Prior Senior Secured Credit Facilities. The $500.0 million Senior Notes offered in January 2017 mature in 2025. The $400.0 million New Senior Secured Credit Facility entered in February 2017 will mature in 2022. Unamortized debt issuance costs (net of accumulated amortization of $12.0 million and $6.9 million at December 31, 2016 and 2015, respectively) were $8.7 million and $12.5 million at December 31, 2016 and 2015, respectively, and are included as a deduction from the carrying amount of long-term debt. These costs will be written off in the first quarter of 2017 due to the refinancing of our Prior Senior Secured Credit Facilities and our 2019 Notes. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2016 | |
Leases [Abstract] | |
Leases | 17. Leases Future minimum commitments for operating leases having non-cancelable lease terms in excess of one year are as follows: (Dollars in millions) 2017 $ 43.9 2018 34.0 2019 17.3 2020 13.6 2021 11.7 Thereafter 46.8 Total $ 167.3 Operating lease expense for 2016, 2015 and 2014 was $50.3 million, $46.4 million and $36.7 million, respectively. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | 18. Derivative Financial Instruments The Company utilizes derivative instruments to manage exposures to risks that have been identified and measured and are capable of being controlled. The primary risks managed by the company by using derivative instruments are commodity price risk associated with copper and foreign currency exchange risk associated with a number of currencies, principally the U.S. dollar, the Canadian dollar, the New Zealand dollar, the Euro and British pounds. Swap contracts on copper are used to manage the price risk associated with forecasted purchases of materials used in the Company’s manufacturing processes. Generally, the Company will not hedge cash flow exposures for durations longer than 30 months and the Company has hedged certain volumes of copper through December 2019. The Company enters into foreign currency forward contracts to manage foreign currency risk associated with the Company’s receivable and payable balances. Generally, the Company enters into master netting arrangements with the counterparties and offsets net derivative positions with the same counterparties. Currently, the Company’s agreements do not require cash collateral. ASC Topic 815-10, “Derivatives and Hedging,” requires companies to recognize all derivative instruments as either assets or liabilities at fair value in the balance sheet. Derivative instruments’ fair value is determined using significant other observable inputs, or Level 2 in the fair value hierarchy. In accordance with ASC Topic 815-10, the Company designates certain of its commodity swaps as cash flow hedges of forecasted purchases of commodities. For derivative instruments that are designated and qualify as cash flow hedges, the effective portion of the gain or loss on the derivative is reported as a component of other comprehensive (loss) income and is reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative instruments representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. The amount of hedge ineffectiveness charged to profit and loss is not material for any period presented. For those commodity swaps which are not designated as cash flow hedges, the fair value of the commodity swap is recognized as an asset or liability in the consolidated balance sheet and the related gain or loss on the derivative is reported in current earnings. As of December 31, 2016 and December 31, 2015, the Company had outstanding copper swap contracts of the following amounts: Units Outstanding (in Pounds) Net Fair Value - Asset (Liability) December 31, 2016 December 31, 2015 December 31, 2016 December 31, 2015 (Amounts in millions) Cash flow hedges 42.6 17.3 $ 10.6 $ (9.8 ) Not designated as hedges 6.5 4.0 1.0 (0.7 ) Total 49.1 21.3 $ 11.6 $ (10.5 ) As of December 31, 2016 and December 31, 2015, the fair value of the outstanding copper swap contracts is recorded in the balance sheet as follows: December 31, 2016 December 31, 2015 (Dollars in millions) Other current assets $ 12.5 $ 0.1 Accrued liabilities (0.9 ) (10.6 ) Net asset (liability) on balance sheet $ 11.6 $ (10.5 ) Accumulated other comprehensive gain (loss), net of tax $ 6.9 $ (6.1 ) In the next twelve months the Company estimates that $4.1 million of unrealized gains, net of tax, related to commodity price hedging will be reclassified from other comprehensive income (loss) into earnings. See the Consolidated Statement of Comprehensive Income and Consolidated Statement of Shareholders’ Equity for amounts recorded in other comprehensive income and for amounts reclassified from accumulated other comprehensive income into net income for the periods specified below. For the twelve months ended December 31, 2016 and 2015, the following amounts were recognized in earnings related to copper swap contracts: Twelve Months Ended December 31, 2016 2015 (Dollars in millions) Gain (loss) from ineffectiveness of cash flow hedges $ (0.4 ) $ (0.1 ) Gain (loss) from contracts not designated as hedges 1.7 (0.7 ) Net $ 1.3 $ (0.8 ) Forward contracts related to foreign currency are not designated as hedges and fair value changes in these contracts are immediately charged to earnings and are classified in cost of sales in the Condensed Consolidated Statement of Operations and Comprehensive Income (Loss). As of December 31, 2016, the Company has outstanding foreign currency forward contracts with a net fair value totaling $1.0 million, consisting of a gross derivative liability of $0.9 million (recognized in accrued liabilities in the balance sheet) and a gross derivative asset of $1.9 million (recognized in other current assets in the balance sheet.) As of December 31, 2015, the Company has outstanding currency forward contracts with a net fair value totaling $(1.9) million, recognized as a liability in accrued liabilities in the Consolidated Balance Sheet. As of December 31, 2016 and December 31 2015, the net currency units outstanding were: December 31, 2016 December 31, 2015 (In millions) British Pounds GBP 7.3 GBP 5.9 New Zealand Dollars NZD 15.5 NZD 22.5 United States Dollars USD 24.7 USD 40.0 Canadian Dollars CAD 0.3 CAD 0.0 |
Common Stock and Senior Convert
Common Stock and Senior Convertible Preferred Stock | 12 Months Ended |
Dec. 31, 2016 | |
Text Block [Abstract] | |
Common Stock And Senior Convertible Preferred Stock | 19. Common Stock and Senior Convertible Preferred Stock Changes in senior convertible preferred stock, common stock and treasury stock for the three years ended December 31, 2016 are as follows: Year Ended December 31, 2016 2015 2014 (Shares in thousands) Senior Convertible Preferred Stock: Balance at beginning and end of year 0 0 0 Common Stock: Balance at beginning of year 22,016 21,938 21,722 Issued for employee stock plans 125 78 216 Balance at end of year 22,141 22,016 21,938 Treasury Stock: Balance at beginning of year (1,459 ) (1,443 ) (1,390 ) Shares repurchased (17 ) (16 ) (53 ) Balance at end of year (1,476 ) (1,459 ) (1,443 ) |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingent Liabilities | 20. Commitments and Contingent Liabilities The Company and its subsidiaries are involved in litigation and various proceedings relating to environmental laws and regulations and toxic tort, product liability and other matters. Certain of these matters are discussed below. The ultimate resolution of these contingencies is subject to significant uncertainty and should the Company or its subsidiaries fail to prevail in any of these legal matters or should several of these legal matters be resolved against the Company or its subsidiaries in the same reporting period, these legal matters could, individually or in the aggregate, be material to the consolidated financial statements. Legal Proceedings Coal Tar Pitch Cases . Koppers Inc. is one of several defendants in lawsuits filed in two states in which the plaintiffs claim they suffered a variety of illnesses (including cancer) as a result of exposure to coal tar pitch sold by the defendants. There were 99 plaintiffs in 55 cases pending as of December 31, 2016 as compared to 110 plaintiffs in 59 cases pending as of December 31, 2015. As of December 31, 2016, there are a total of 54 cases pending in state court in Pennsylvania, and one case pending in state court in Tennessee. The plaintiffs in all 55 pending cases seek to recover compensatory damages. Plaintiffs in 50 of those cases also seek to recover punitive damages. The plaintiffs in the 54 cases filed in Pennsylvania state court seek unspecified damages in excess of the court’s minimum jurisdictional limit. The plaintiff in the Tennessee state court case seeks damages of $15.0 million. The other defendants in these lawsuits vary from case to case and include companies such as Beazer East, Inc. (“Beazer East”), Honeywell International Inc., Graftech International Holdings, Dow Chemical Company, UCAR Carbon Company, Inc., and SGL Carbon Corporation. Discovery is proceeding in these cases. No trial dates have been set in any of these cases. The Company has not provided a reserve for these lawsuits because, at this time, the Company cannot reasonably determine the probability of a loss, and the amount of loss, if any, cannot be reasonably estimated. The timing of resolution of these cases cannot be reasonably determined. Although Koppers Inc. is vigorously defending these cases, an unfavorable resolution of these matters may have a material adverse effect on the Company’s business, financial condition, cash flows and results of operations. Gainesville . Koppers Inc. operated a utility pole treatment plant in Gainesville from December 29, 1988 until its closure in 2009. The property upon which the utility pole treatment plant was located was sold by Koppers Inc. to Beazer East in 2010. In November 2010, a class action complaint was filed in the Circuit Court of the Eighth Judicial Circuit located in Alachua County, Florida by residential real property owners located in a neighborhood west of and immediately adjacent to the former utility pole treatment plant in Gainesville. The complaint named Koppers Holdings Inc., Koppers Inc., Beazer East and several other parties as defendants. In a second amended complaint, plaintiffs allege that chemicals and contaminants from the Gainesville plant have contaminated real properties, have caused property damage (diminution in value) and have placed residents and owners of the putative class properties at an elevated risk of exposure to and injury from the chemicals at issue. The plaintiffs presently seek a class comprised of all current property owners of single family residential properties with a polygon-shaped area extending approximately two miles from the former plant area (which area encompasses approximately 7,000 owners). This case was removed to the United States District court for the Northern District of Florida in December 2010. Koppers Holdings Inc. was dismissed from the case by the district court for lack of personal jurisdiction. Class factual discovery closed in May 2015 and expert witness discovery was completed in August 2015. Discovery on the merits is stayed until further order of the court. Motions were subsequently filed by each side to strike or limit the testimony of the other side’s experts. Plaintiffs filed a motion for class certification on September 30, 2015 and the response of Koppers Inc. was filed on October 30, 2015. A hearing on plaintiffs’ motions for class certification and the parties’ motions relating to experts was held in January 2016 and the parties await a ruling from the court. The Company has not provided a reserve for this matter because, at this time, it cannot reasonably determine the probability of a loss, and the amount of loss, if any, cannot be reasonably estimated. The timing of resolution of this case cannot be reasonably determined. Although the Company is vigorously defending this case, an unfavorable resolution of this matter may have a material adverse effect on the Company’s business, financial condition, cash flows and results of operations. Environmental and Other Litigation Matters The Company and its subsidiaries are subject to federal, state, local and foreign laws and regulations and potential liabilities relating to the protection of the environment and human health and safety including, among other things, the cleanup of contaminated sites, the treatment, storage and disposal of wastes, the discharge of effluent into waterways, the emission of substances into the air and various health and safety matters. The Company’s subsidiaries expect to incur substantial costs for ongoing compliance with such laws and regulations. The Company’s subsidiaries may also face governmental or third-party claims, or otherwise incur costs, relating to cleanup of, or for injuries resulting from, contamination at sites associated with past and present operations. The Company accrues for environmental liabilities when a determination can be made that a liability is probable and reasonably estimable. Environmental and Other Liabilities Retained or Assumed by Others. The Company’s subsidiaries have agreements with former owners of certain of their operating locations under which the former owners retained, assumed and/or agreed to indemnify such subsidiaries against certain environmental and other liabilities. The most significant of these agreements was entered into at Koppers Inc.’s formation on December 29, 1988 (the “Acquisition”). Under the related asset purchase agreement between Koppers Inc. and Beazer East, subject to certain limitations, Beazer East retained the responsibility for and agreed to indemnify Koppers Inc. against certain liabilities, damages, losses and costs, including, with certain limited exceptions, liabilities under and costs to comply with environmental laws to the extent attributable to acts or omissions occurring prior to the Acquisition and liabilities related to products sold by Beazer East prior to the Acquisition (the “Indemnity”). Beazer Limited, the parent company of Beazer East, unconditionally guaranteed Beazer East’s performance of the Indemnity pursuant to a guarantee (the “Guarantee”). The Indemnity provides different mechanisms, subject to certain limitations, by which Beazer East is obligated to indemnify Koppers Inc. with regard to certain environmental, product and other liabilities and imposes certain conditions on Koppers Inc. before receiving such indemnification, including, in some cases, certain limitations regarding the time period as to which claims for indemnification can be brought. In July 2004, Koppers Inc. and Beazer East agreed to amend the environmental indemnification provisions of the December 29, 1988 asset purchase agreement to extend the indemnification period for pre-closing environmental liabilities through July 2019. As consideration for the amendment, Koppers Inc. paid Beazer East a total of $7.0 million and agreed to share toxic tort litigation defense costs arising from any sites acquired from Beazer East. The July 2004 amendment did not change the provisions of the Indemnity with respect to indemnification for non-environmental claims, such as product liability claims, which claims may continue to be asserted after July 2019. Qualified expenditures under the Indemnity are not subject to a monetary limit. Qualified expenditures under the Indemnity include (i) environmental cleanup liabilities required by third parties, such as investigation, remediation and closure costs, relating to pre-December 29, 1988 (“Pre-Closing”) acts or omissions of Beazer East or its predecessors; (ii) environmental claims by third parties for personal injuries, property damages and natural resources damages relating to Pre-Closing acts or omissions of Beazer East or its predecessors; (iii) punitive damages for the acts or omissions of Beazer East and its predecessors without regard to the date of the alleged conduct and (iv) product liability claims for products sold by Beazer East or its predecessors without regard to the date of the alleged conduct. If the third party claims described in sections (i) and (ii) above are not made by July 2019, Beazer East will not be required to pay the costs arising from such claims under the Indemnity. However, with respect to any such claims which are made by July 2019, Beazer East will continue to be responsible for such claims under the Indemnity beyond July 2019. The Indemnity provides for the resolution of issues between Koppers Inc. and Beazer East by an arbitrator on an expedited basis upon the request of either party. The arbitrator could be asked, among other things, to make a determination regarding the allocation of environmental responsibilities between Koppers Inc. and Beazer East. Arbitration decisions under the Indemnity are final and binding on the parties. Contamination has been identified at most manufacturing and other sites of the Company’s subsidiaries. One site currently owned and operated by Koppers Inc. in the United States is listed on the National Priorities List promulgated under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended (“CERCLA”). Currently, at the properties acquired from Beazer East (which includes the National Priorities List site and all but one of the sites permitted under the Resource Conservation and Recovery Act (“RCRA”)), a significant portion of all investigative, cleanup and closure activities are being conducted and paid for by Beazer East pursuant to the terms of the Indemnity. In addition, other of Koppers Inc.’s sites are or have been operated under RCRA and various other environmental permits, and remedial and closure activities are being conducted at some of these sites. To date, the parties that retained, assumed and/or agreed to indemnify the Company against the liabilities referred to above, including Beazer East, have performed their obligations in all material respects. The Company believes that, for the last three years ended December 31, 2016, amounts paid by Beazer East as a result of its environmental remediation obligations under the Indemnity have averaged, in total, approximately $10 million per year. Periodically, issues have arisen between Koppers Inc. and Beazer East and/or other indemnitors that have been resolved without arbitration. Koppers Inc. and Beazer East engage in discussions from time to time that involve, among other things, the allocation of environmental costs related to certain operating and closed facilities. If for any reason (including disputed coverage or financial incapability) one or more of such parties fail to perform their obligations and the Company or its subsidiaries are held liable for or otherwise required to pay all or part of such liabilities without reimbursement, the imposition of such liabilities on the Company or its subsidiaries could have a material adverse effect on its business, financial condition, cash flows and results of operations. Furthermore, the Company could be required to record a contingent liability on its balance sheet with respect to such matters, which could result in a negative impact to the Company’s business, financial condition, cash flows and results of operations. Domestic Environmental Matters. Koppers Inc. has been named as one of the potentially responsible parties (“PRPs”) at the Portland Harbor CERCLA site located on the Willamette River in Oregon. Koppers Inc. operated a coal tar pitch terminal near the site. Koppers Inc. has responded to an Environmental Protection Agency (“EPA”) information request and has executed a PRP agreement which outlines the process to develop an allocation of past and future costs among more than 80 parties to the site. Koppers Inc. believes it is a de minimus contributor at the site. Additionally, a separate natural resources damages assessment (“NRDA”) is being conducted by a local trustee group. The NRDA is intended to identify further information necessary to estimate liabilities for settlements of national resource damages (“NRD”) claims. Koppers Inc. may also incur liabilities under the NRD process and has entered into a separate process to develop an allocation of NRDA costs. In January 2017, Koppers Inc. was served in an additional NRD action by a separate party and the Company is currently evaluating this new lawsuit. The EPA issued its Record of Decision (“ROD”) in January 2017 for the Portland Harbor CERCLA site. The selected remedy includes a combination of sediment removal, capping, enhanced and monitored natural recovery and riverbank improvements. The ROD does not determine who is responsible for remediation costs. The net present value and undiscounted costs of the selected remedy as estimated in the ROD are approximately $1.1 billion and $1.7 billion, respectively. Responsibility for implementing and funding that work will be decided in the separate allocation process. In September 2009, Koppers Inc. received a general notice letter notifying it that it may be a PRP at the Newark Bay CERCLA site. In January 2010, Koppers Inc. submitted a response to the general notice letter asserting that Koppers Inc. is a de minimus The Company has accrued the estimated costs of participating in the PRP group at the Portland Harbor and Newark Bay CERCLA sites and estimated de minimis In connection with Koppers Inc.’s acquisition of certain entities from Osmose, there are two plant sites in the United States where the Company has recorded an environmental remediation liability for soil and groundwater contamination which occurred prior to the acquisition. As of December 31, 2016, the Company’s estimated environmental remediation liability for these acquired sites totals $4.9 million. Foreign Environmental Matters. In connection with Koppers Inc.’s acquisition of certain entities from Osmose, there are three plant sites located in the United Kingdom and Australia where the Company has recorded an environmental remediation liability for soil and groundwater contamination which occurred prior to the acquisition. As of December 31, 2016, the Company’s estimated environmental remediation liability for these acquired sites totals $3.5 million. Osmose Holdings, Inc. has provided an indemnity of up to $5.0 million for certain environmental response costs incurred prior to August 15, 2017 (the “Osmose Indemnity”). In June 2016, the Company recorded an increase in the receivable under the Osmose Indemnity of $2.9 million related to expected indemnity recoveries associated with the acquired United Kingdom sites. As of December 31, 2016, the receivable with respect to the Osmose Indemnity totaled $1.9 million. In December 2011, the Company ceased manufacturing operations at its Continental Carbon facility located in Kurnell, Australia. The Company has accrued its expected cost of site remediation resulting from the closure of $1.5 million as of December 31, 2016. Environmental Reserves Rollforward . The following table reflects changes in the accrued liability for environmental matters, of which $5.2 million and $7.0 million are classified as current liabilities at December 31, 2016 and 2015, respectively: Year ended December 31, 2016 December 31, 2015 (Dollars in millions) Balance at beginning of year $ 19.8 $ 7.8 Expense 1.5 1.2 Reversal of reserves (1.0 ) (0.5 ) Cash expenditures (6.3 ) (1.4 ) Acquisition of Osmose Entities 0.0 13.7 Divestitures (0.3 ) 0.0 Currency translation (0.8 ) (1.0 ) Balance at end of period $ 12.9 $ 19.8 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | 21. Selected Quarterly Financial Data (Unaudited) The following is a summary of the quarterly results of operations for the years ended December 31, 2016 and 2015: Year Ended December 31, 2016 1 st 2 nd 3 rd 4 th Fiscal Year (Dollars in millions, except per share amounts) Statement of operations data: Net sales $ 346.8 $ 385.1 $ 371.1 $ 313.2 $ 1,416.2 Operating profit 7.8 32.0 27.7 18.9 86.4 Income (loss) from continuing operations (2.4 ) 11.3 12.0 6.2 27.1 Net income (loss) (1.8 ) 11.3 11.9 6.3 27.7 Net income (loss) attributable to Koppers (1.3 ) 12.1 12.1 6.4 29.3 Common stock data: Earnings (loss) per common share attributable to Koppers common shareholders: (b) Basic – Continuing operations $ (0.09 ) $ 0.58 $ 0.59 $ 0.31 $ 1.39 Discontinued operations 0.03 0.00 0.00 0.00 0.03 Earnings (loss) per basic common share $ (0.06 ) $ 0.58 $ 0.59 $ 0.31 $ 1.42 Diluted – Continuing operations $ (0.09 ) $ 0.57 $ 0.58 $ 0.30 $ 1.36 Discontinued operations 0.03 0.00 0.00 0.00 0.03 Earnings (loss) per diluted common share $ (0.06 ) $ 0.57 $ 0.58 $ 0.30 $ 1.39 Price range of common stock: High $ 23.43 $ 31.35 $ 33.71 $ 42.70 $ 42.70 Low 13.58 21.38 28.54 31.28 13.58 Year Ended December 31, 2015 1 st 2 nd 3 rd 4 th Fiscal Year (Dollars in millions, except per share amounts) Statement of operations data: Net sales $ 397.8 $ 431.6 $ 433.8 $ 363.7 $ 1,626.90 Operating (loss) profit (a) 8.0 26.0 27.0 (90.6 ) (29.6 ) (Loss) income from continuing operations (4.2 ) 7.9 9.2 (88.8 ) (75.9 ) Net (loss) income (4.2 ) 7.9 9.1 (88.8 ) (76.0 ) Net (loss) income attributable to Koppers (3.4 ) 9.0 10.1 (87.7 ) (72.0 ) Common stock data: (Loss) earnings per common share attributable to Koppers common shareholders: (b) Basic – Continuing operations $ (0.16 ) $ 0.44 $ 0.49 $ (4.27 ) $ (3.50 ) Discontinued operations 0.00 0.00 (0.01 ) 0.00 (0.01 ) (Loss) earnings per basic common share $ (0.16 ) $ 0.44 $ 0.48 $ (4.27 ) $ (3.51 ) Diluted – Continuing operations $ (0.16 ) $ 0.44 $ 0.49 $ (4.27 ) $ (3.50 ) Discontinued operations 0.00 0.00 (0.01 ) 0.00 (0.01 ) (Loss) earnings per diluted common share $ (0.16 ) $ 0.44 $ 0.48 $ (4.27 ) $ (3.51 ) Price range of common stock: High $ 26.44 $ 27.40 $ 24.86 $ 23.63 $ 27.40 Low 15.78 19.26 17.88 17.34 15.78 (a) In the fourth quarter of 2015, the Company recorded asset impairment, asset retirement and severance charges totaling $35.1 million primarily related to the decision to discontinue coal tar distillation activities at CMC plants located in the United Kingdom and the United States. In the fourth quarter of 2015, the Company also recorded goodwill impairment charges of $67.2 million related to our CMC business. (b) The cumulative sum of quarterly basic and diluted net income per share amounts may not equal total basic and diluted net income per share amounts for the year due to differences in weighted average and equivalent shares outstanding for each of the periods presented. |
Subsidiary Guarantor Informatio
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration | 22. Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration 2025 Notes On January 25, 2017, Koppers Inc. issued $500.0 million principal value of Senior Notes due 2025 (the “2025 Notes”). Koppers Holdings and each of Koppers Inc.’s 100 percent-owned material domestic subsidiaries other than Koppers Assurance, Inc. fully and unconditionally guarantee the payment of principal and interest on the 2025 Notes. The domestic guarantor subsidiaries include Koppers World-Wide Ventures Corporation, Koppers Delaware, Inc., Koppers Concrete Products, Inc., Concrete Partners, Inc., Koppers Performance Chemicals Inc., Koppers Railroad Structures Inc., Koppers NZ, LLC, Koppers-Nevada Limited Liability Company, Wood Protection LP, Wood Protection Management LLC and Koppers Asia LLC. Non-guarantor subsidiaries are owned directly or indirectly by Koppers Inc. or are owned directly or indirectly by Koppers World-Wide Ventures Corporation. The guarantee of a guarantor subsidiary will be automatically and unconditionally released and discharged in the event of: ¡ any sale of the capital stock or substantially all of the assets of the guarantor subsidiary; ¡ the designation of the guarantor subsidiary as an unrestricted subsidiary in accordance with the indenture governing the 2025 Notes; and ¡ the legal defeasance, covenant defeasance or satisfaction and discharge of the indenture governing the 2025 Notes. Shelf Registration Under a registration statement on Form S-3, Koppers Holdings may sell a combination of securities, including common stock, debt securities, preferred stock, depository shares, warrants, purchase contracts and units, from time to time in one or more offerings. In addition, Koppers Inc. may sell debt securities from time to time under the registration statement. Debt securities may be fully and unconditionally guaranteed, on a joint and several basis, by Koppers Holdings, Koppers Inc. and/or each of Koppers Inc.’s 100 percent-owned material domestic subsidiaries other than Koppers Assurance, Inc. The domestic guarantor subsidiaries are the same as those which guarantee the 2025 Notes. Non-guarantor subsidiaries are owned directly or indirectly by Koppers Inc. or are owned directly or indirectly by Koppers World-Wide Ventures Corporation. The guarantor subsidiaries that issue guarantees, if any, will be determined when a debt offering actually occurs under the registration statement and accordingly, the condensed consolidating financial information for subsidiary guarantors will be revised to identify the subsidiaries that actually provided guarantees. These guarantees will be governed pursuant to a supplement indenture which the trustee and the issuing company would enter into concurrent with the debt offering. Reliance of Koppers Holdings on Earnings of Koppers Inc. and its Subsidiaries Koppers Holdings depends on the dividends from the earnings of Koppers Inc. and its subsidiaries to generate the funds necessary to meet its financial obligations, including the payment of any declared dividend of Koppers Holdings. As with the Prior Senior Secured Credit Facilities, the New Senior Secured Credit Facility prohibits Koppers Inc. from making dividend payments to Koppers Holdings unless (1) such dividend payments are permitted by the indenture governing Koppers Inc.’s 2025 Notes, (2) no event of default or potential default has occurred or is continuing under the credit agreement, and (3) we are in pro forma compliance with our fixed charge coverage ratio covenant after giving effect to such dividend. The indenture governing the 2025 Notes restrict Koppers Inc.’s ability to finance our payment of dividends if (1) a default has occurred or would result from such financing, (2) Koppers Inc., or a restricted subsidiary of Koppers Inc. which is not a guarantor under the applicable indenture is not able to incur additional indebtedness (as defined in the applicable indenture), and (3) the sum of all restricted payments (as defined in the applicable indenture) have exceeded the permitted amount (which we refer to as the “basket”) at such point in time. The Koppers Inc. New Senior Secured Credit Facility agreement provides for a revolving credit facility of up to $400.0 million at variable rates. Borrowings under the revolving credit facility are secured by a first priority lien on substantially all of the assets of Koppers Inc. and its material domestic subsidiaries. The revolving credit facility agreement contains certain covenants for Koppers Inc. and its restricted subsidiaries that limit capital expenditures, additional indebtedness, liens, dividends, investments or acquisitions. In addition, such covenants give rise to events of default upon the failure by Koppers Inc. and its restricted subsidiaries to meet certain financial ratios. As of December 31, 2016, Koppers Inc.’s assets exceeded its liabilities by $29.8 million. There are no net assets unavailable for distribution to Koppers Holdings Inc. by Koppers Inc. as of December 31, 2016. Cash dividends paid to Koppers Holdings Inc. by its subsidiaries totaled $1.2 million, $6.5 million and $23.6 million for the years ended December 31, 2016, 2015 and 2014, respectively. Condensed Consolidating Statement of Comprehensive Income (Loss) For the Year Ended December 31, 2016 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Net sales $ 0.0 $ 660.7 $ 350.6 $ 504.7 $ (99.8 ) $ 1,416.2 Cost of sales including depreciation and amortization 0.0 637.4 252.3 412.4 (101.2 ) 1,200.9 Gain on sale of business 0.0 0.0 0.0 (2.1 ) 0.0 (2.1 ) Selling, general and administrative 1.9 47.7 38.2 43.2 0.0 131.0 Operating (loss) profit (1.9 ) (24.4 ) 60.1 51.2 1.4 86.4 Other income (loss) 0.0 0.3 4.1 0.3 (1.8 ) 2.9 Equity income of subsidiaries 30.6 79.1 35.9 0.0 (145.6 ) 0.0 Interest (income) expense 0.0 47.6 0.0 5.0 (1.8 ) 50.8 Income taxes (0.6 ) (23.2 ) 22.2 13.0 0.0 11.4 Income from continuing operations 29.3 30.6 77.9 33.5 (144.2 ) 27.1 Discontinued operations 0.0 0.0 0.0 0.6 0.0 0.6 Noncontrolling interests 0.0 0.0 0.0 (1.6 ) 0.0 (1.6 ) Net income attributable to Koppers $ 29.3 $ 30.6 $ 77.9 $ 35.7 $ (144.2 ) $ 29.3 Comprehensive income (loss) attributable to Koppers $ 40.5 $ 41.3 $ 85.0 $ 29.6 $ (155.9 ) $ 40.5 Condensed Consolidating Statement of Comprehensive (Loss) Income For the Year Ended December 31, 2015 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Net sales $ 0.0 $ 791.1 $ 335.6 $ 600.9 $ (100.7 ) $ 1,626.9 Cost of sales including depreciation and amortization 0.0 771.7 233.2 562.4 (99.4 ) 1,467.9 Gain on sale of business 0.0 (3.2 ) 0.0 0.0 0.0 (3.2 ) Goodwill impairment 0.0 43.1 24.1 0.0 0.0 67.2 Selling, general and administrative 1.9 41.3 37.8 43.6 0.0 124.6 Operating (loss) profit (1.9 ) (61.8 ) 40.5 (5.1 ) (1.3 ) (29.6 ) Other income (loss) 0.0 0.5 4.1 (2.4 ) (2.0 ) 0.2 Equity income of subsidiaries (70.8 ) 0.9 (27.9 ) 0.0 97.8 0.0 Interest expense 0.0 45.8 0.0 6.9 (2.0 ) 50.7 Income taxes (0.7 ) (35.4 ) 15.8 16.4 (0.3 ) (4.2 ) (Loss) income from continuing operations (72.0 ) (70.8 ) 0.9 (30.8 ) 96.8 (75.9 ) Discontinued operations 0.0 0.0 0.0 (0.1 ) 0.0 (0.1 ) Noncontrolling interests 0.0 0.0 0.0 (4.0 ) 0.0 (4.0 ) Net income attributable to Koppers $ (72.0 ) $ (70.8 ) $ 0.9 $ (26.9 ) $ 96.8 $ (72.0 ) Comprehensive income (loss) attributable to Koppers $ (91.5 ) $ (90.3 ) $ (18.1 ) $ (41.8 ) $ 150.2 $ (91.5 ) Condensed Consolidating Statement of Comprehensive (Loss) Income For the Year Ended December 31, 2014 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Net sales $ 0.0 $ 795.9 $ 143.0 $ 683.5 $ (67.4 ) $ 1,555.0 Cost of sales including depreciation and amortization 0.0 724.5 108.8 639.0 (66.7 ) 1,405.6 Selling, general and administrative 2.2 59.2 17.4 37.4 0.0 116.2 Operating (loss) profit (2.2 ) 12.2 16.8 7.1 (0.7 ) 33.2 Other income (loss) 0.0 0.2 4.7 (0.6 ) (4.3 ) 0.0 Equity income of subsidiaries (31.0 ) (15.9 ) (6.4 ) 0.0 53.3 0.0 Interest expense 0.0 36.5 0.0 6.9 (4.3 ) 39.1 Income taxes (0.8 ) (9.0 ) 30.5 13.4 0.0 34.1 Income from continuing operations (32.4 ) (31.0 ) (15.4 ) (13.8 ) 52.6 (40.0 ) Discontinued operations 0.0 0.0 (0.6 ) 1.2 0.0 0.6 Noncontrolling interests 0.0 0.0 0.0 (7.0 ) 0.0 (7.0 ) Net income attributable to Koppers $ (32.4 ) $ (31.0 ) $ (16.0 ) $ (5.6 ) $ 52.6 $ (32.4 ) Comprehensive income (loss) attributable to Koppers $ (82.5 ) $ (81.1 ) $ (54.4 ) $ (35.1 ) $ 170.6 $ (82.5 ) Condensed Consolidating Balance Sheet December 31, 2016 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) ASSETS Cash and cash equivalents $ 0.0 $ 0.0 $ 0.0 $ 20.8 $ 0.0 $ 20.8 Receivables, net 0.0 50.8 25.4 64.4 0.0 140.6 Affiliated receivables 0.7 34.8 32.2 15.4 (83.1 ) 0.0 Inventories, net 0.0 106.6 23.9 99.0 (0.8 ) 228.7 Other current assets 0.0 5.1 13.4 29.2 0.3 48.0 Total current assets 0.7 197.3 94.9 228.8 (83.6 ) 438.1 Equity investments 29.9 697.4 195.4 0.0 (922.7 ) 0.0 Property, plant and equipment, net 0.0 126.7 39.6 114.5 0.0 280.8 Goodwill 0.0 0.8 153.1 32.5 0.0 186.4 Intangible assets, net 0.0 7.9 107.1 26.9 0.0 141.9 Deferred tax assets 0.0 29.7 (8.4 ) 5.8 0.0 27.1 Affiliated loan receivables 0.0 36.9 205.3 21.9 (264.1 ) 0.0 Other assets 0.0 5.5 6.1 1.6 0.0 13.2 Total assets $ 30.6 $ 1,102.2 $ 793.1 $ 432.0 $ (1,270.4 ) $ 1,087.5 LIABILITIES AND EQUITY Accounts payable $ 0.2 $ 69.6 $ 38.9 $ 35.5 $ 0.0 $ 144.2 Affiliated payables 0.0 46.0 20.7 24.5 (91.2 ) 0.0 Accrued liabilities 0.0 49.5 18.9 37.9 0.0 106.3 Current maturities of long-term debt 0.0 30.2 0.0 12.4 0.0 42.6 Total current liabilities 0.2 195.3 78.5 110.3 (91.2 ) 293.1 Long-term debt 0.0 592.0 0.0 27.8 0.0 619.8 Affiliated debt 0.0 209.9 23.5 30.7 (264.1 ) 0.0 Other long-term liabilities 0.0 75.0 11.6 53.4 0.0 140.0 Total liabilities 0.2 1,072.2 113.6 222.2 (355.3 ) 1,052.9 Koppers shareholders’ equity 30.4 30.0 679.5 205.6 (915.1 ) 30.4 Noncontrolling interests 0.0 0.0 0.0 4.2 0.0 4.2 Total liabilities and equity $ 30.6 $ 1,102.2 $ 793.1 $ 432.0 $ (1,270.4 ) $ 1,087.5 Condensed Consolidating Balance Sheet December 31, 2015 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) ASSETS Cash and cash equivalents $ 0.0 $ 0.1 $ 0.7 $ 21.0 $ 0.0 $ 21.8 Receivables, net 0.0 60.4 23.7 75.5 0.0 159.6 Affiliated receivables 0.0 14.3 15.2 4.4 (33.9 ) 0.0 Inventories, net 0.0 111.9 24.9 91.8 (2.2 ) 226.4 Deferred tax assets 0.0 0.0 0.0 0.0 0.0 0.0 Other current assets 0.0 3.7 1.9 30.9 0.0 36.5 Total current assets 0.0 190.4 66.4 223.6 (36.1 ) 444.3 Equity investments (19.0 ) 703.2 165.7 0.0 (849.9 ) 0.0 Property, plant and equipment, net 0.0 117.5 41.2 119.1 0.0 277.8 Goodwill 0.0 0.8 153.1 32.7 0.0 186.6 Intangible assets, net 0.0 8.7 117.6 29.8 0.0 156.1 Deferred tax assets 0.0 29.8 0.8 5.7 0.3 36.6 Affiliated loan receivables 0.7 29.6 222.6 31.7 (284.6 ) 0.0 Other assets (0.2 ) 4.5 4.9 2.3 0.0 11.5 Total assets $ (18.5 ) $ 1,084.5 $ 772.3 $ 444.9 $ (1,170.3 ) $ 1,112.9 LIABILITIES AND EQUITY Accounts payable $ 0.0 $ 73.8 $ 18.9 $ 48.1 $ 0.0 $ 140.8 Affiliated payables 0.0 16.6 10.9 15.3 (42.8 ) 0.0 Accrued liabilities 0.0 35.6 23.4 40.8 0.0 99.8 Current maturities of long-term debt 0.0 30.2 0.0 9.7 0.0 39.9 Total current liabilities 0.0 156.2 53.2 113.9 (42.8 ) 280.5 Long-term debt 0.0 647.5 0.0 34.9 0.0 682.4 Affiliated debt 0.0 217.5 29.5 36.9 (283.9 ) 0.0 Other long-term liabilities 0.0 81.6 13.2 67.6 0.0 162.4 Total liabilities 0.0 1,102.8 95.9 253.3 (326.7 ) 1,125.3 Koppers shareholders’ equity (18.5 ) (18.3 ) 676.4 185.5 (843.6 ) (18.5 ) Noncontrolling interests 0.0 0.0 0.0 6.1 0.0 6.1 Total liabilities and equity $ (18.5 ) $ 1,084.5 $ 772.3 $ 444.9 $ (1,170.3 ) $ 1,112.9 Condensed Consolidating Statement of Cash Flows For the Year Ended December 31, 2016 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Cash provided by (used in) operating activities $ (0.1 ) $ 106.6 $ 77.0 $ 29.1 $ (93.1 ) $ 119.5 Cash provided by (used in) investing activities: Capital expenditures and acquisitions 0.0 (30.1 ) (7.1 ) (12.7 ) 0.0 (49.9 ) Repayments (loans to) from affiliates 0.0 (6.9 ) 16.9 9.8 (19.8 ) 0.0 Net cash proceeds (payments) from divestitures and asset sales 0.0 00.0 0.9 (4.7 ) 00.0 (3.8 ) Net cash (used in) provided by investing activities 0.0 (37.0 ) 10.7 (7.6 ) (19.8 ) (53.7 ) Cash provided by (used in) financing activities: (Repayments) borrowings of long-term debt 0.0 (59.9 ) 0.1 (1.6 ) 0.0 (61.4 ) Borrowings (repayments) of affiliated debt 0.0 (7.2 ) (6.5 ) (6.1 ) 19.8 00.0 Deferred financing costs 0.0 (1.4 ) 0.0 0.0 0.0 (1.4 ) Dividends paid (0.0 ) (1.2 ) (82.0 ) (9.9 ) 93.1 (0.0 ) Stock repurchased 0.1 0.0 0.0 0.0 0.0 0.1 Net cash used in financing activities 0.1 (69.7 ) (88.4 ) (17.6 ) 112.9 (62.7 ) Effect of exchange rates on cash 0.0 0.0 0.0 (4.1 ) 0.0 (4.1 ) Net increase (decrease) in cash and cash equivalents 0.0 (0.1 ) (0.7 ) (0.2 ) 0.0 (1.0 ) Cash and cash equivalents at beginning of year 0.0 0.1 0.7 21.0 0.0 21.8 Cash and cash equivalents at end of period $ 0.0 $ 0.0 $ 0.0 $ 20.8 $ 0.0 $ 20.8 Condensed Consolidating Statement of Cash Flows For the Year Ended December 31, 2015 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Cash provided by (used in) operating activities $ 5.4 $ 63.0 $ 55.9 $ 60.3 $ (56.9 ) $ 127.7 Cash provided by (used in) investing activities: Capital expenditures and acquisitions 0.0 (41.2 ) (5.3 ) (9.5 ) 0.0 (56.0 ) (Loans to) repayments from affiliates 0.0 6.3 (5.1 ) 9.2 (10.4 ) 0.0 Net cash proceeds from divestitures and asset sales 0.0 12.3 2.1 0.5 0.0 14.9 Net cash (used in) provided by investing activities 0.0 (22.6 ) (8.3 ) 0.2 (10.4 ) (41.1 ) Cash provided by (used in) financing activities: Borrowings (repayments) of long-term debt 0.0 (104.2 ) 0.1 (9.3 ) 0.0 (113.4 ) Borrowings (repayments) of affiliated debt 0.0 71.0 (6.4 ) (75.0 ) 10.4 0.0 Deferred financing costs 0.0 (1.0 ) 0.0 0.0 0.0 (1.0 ) Dividends paid (5.1 ) (6.2 ) (40.8 ) (13.5 ) 56.9 (8.7 ) Stock (repurchased) issued (0.3 ) 0.0 0.0 0.0 0.0 (0.3 ) Net cash (used in) provided by financing activities (5.4 ) (40.4 ) (47.1 ) (97.8 ) 67.3 (123.4 ) Effect of exchange rates on cash 0.0 0.1 (0.7 ) 8.1 0.0 7.5 Net (decrease) increase in cash and cash equivalents 0.0 0.1 (0.2 ) (29.2 ) 0.0 (29.3 ) Cash and cash equivalents at beginning of year 0.0 0.0 0.9 50.2 0.0 51.1 Cash and cash equivalents at end of period $ 0.0 $ 0.1 $ 0.7 $ 21.0 $ 0.0 $ 21.8 Condensed Consolidating Statement of Cash Flows For the Year Ended December 31, 2014 Parent Koppers Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Cash provided by (used in) operating activities $ 21.8 $ 23.8 $ 33.8 $ 10.4 $ (54.3 ) $ 35.5 Cash provided by (used in) investing activities: Capital expenditures and acquisitions 0.0 (518.5 ) (16.7 ) (59.9 ) 14.8 (580.3 ) (Loans to) repayments from affiliates 0.0 (32.2 ) (38.9 ) 0.0 71.1 0.0 Net cash proceeds (payments) from divestitures and asset sales 0.0 0.1 0.1 0.1 0.0 0.3 Net cash used in investing activities 0.0 (550.6 ) (55.5 ) (59.8 ) 85.9 (580.0 ) Cash provided by (used in) financing activities: Repayments of long-term debt 0.0 497.0 0.0 50.5 0.0 547.5 Borrowings of affiliated long- term debt 0.0 35.8 27.6 7.7 (71.1 ) 0.0 Deferred financing costs 0.0 (11.1 ) 0.0 0.0 0.0 (11.1 ) Other financing receipts 0.0 0.0 0.0 1.4 0.0 1.4 Dividends paid (20.5 ) (23.6 ) (6.1 ) (24.5 ) 54.3 (20.4 ) Stock issued and repurchased (1.3 ) 0.0 0.0 14.8 (14.8 ) (1.3 ) Net cash provided by (used in) financing activities (21.8 ) 498.1 21.5 49.9 (31.6 ) 516.1 Effect of exchange rates on cash 0.0 (1.2 ) 1.0 (2.5 ) 0.0 (2.7 ) Net increase in cash and cash equivalents 0.0 (29.9 ) 0.8 (2.0 ) 0.0 (31.1 ) Cash and cash equivalents at beginning of year 0.0 29.9 0.1 52.2 0.0 82.2 Cash and cash equivalents at end of period $ 0.0 $ 0.0 $ 0.9 $ 50.2 $ 0.0 $ 51.1 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS For the years ended December 31, 2016, 2015 and 2014 Net Balance at Increase (Write- Balance Beginning Business (Decrease) Offs) Currency at End of Year Acquisition to Expense Recoveries Translation of Year (Dollars in millions) 2016 Allowance for doubtful accounts $ 6.5 $ 0.0 $ 0.7 $ (3.4 ) $ 0.0 $ 3.8 Inventory obsolescence reserves $ 2.3 $ 0.0 $ (0.4 ) $ 0.0 $ 0.0 $ 1.9 Deferred tax valuation allowance $ 41.9 $ 0.0 $ 0.9 $ (1.5 ) $ (1.1 ) $ 40.2 2015 Allowance for doubtful accounts $ 5.6 $ 0.0 $ 1.3 $ 0.0 $ (0.4 ) $ 6.5 Inventory obsolescence reserves $ 3.4 $ 0.0 $ (1.0 ) $ 0.0 $ (0.1 ) $ 2.3 Deferred tax valuation allowance $ 32.4 $ 0.0 $ 10.1 $ 0.0 $ (0.6 ) $ 41.9 2014 Allowance for doubtful accounts $ 3.6 $ 2.6 $ (0.2 ) $ 0.0 $ (0.4 ) $ 5.6 Inventory obsolescence reserves $ 1.7 $ 0.8 $ 1.0 $ 0.0 $ (0.1 ) $ 3.4 Deferred tax valuation allowance $ 19.7 $ 1.5 $ 11.4 $ 0.0 $ (0.2 ) $ 32.4 |
Summary of Significant Accoun34
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of presentation – The consolidated financial statements include the accounts of the Company and all majority-owned subsidiaries for which the Company is deemed to exercise control over its operations. All significant intercompany transactions have been eliminated in consolidation. The Company’s investments in 20 percent to 30 percent-owned companies in which it has the ability to exercise significant influence over operating and financial policies are accounted for using the equity method of accounting. Accordingly, the Company’s share of the earnings of these companies is included in the accompanying consolidated statement of operations. Certain prior period amounts in the notes to the consolidated financial statements have been reclassified to conform to the current period’s presentation. |
Use of Estimates | Use of estimates – Accounting principles generally accepted in the U.S. require management to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingencies on the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates have been prepared on the basis of the most current and best available information and actual results could differ materially from these estimates. |
Foreign Currency Translation | Foreign currency translation – For consolidated entities outside of the U.S. that prepare financial statements in currencies other than the U.S. dollar, results of operations and cash flows are translated at average exchange rates during the period, and assets and liabilities are translated at end-of-period exchange rates. Cumulative translation adjustments are included as a separate component of accumulated other comprehensive loss in shareholders’ equity. Foreign currency transaction gains and losses result from transactions denominated in a currency which is different than the currency used by the entity to prepare its financial statements. Foreign currency transaction (losses) gains were $(1.3) million, $(10.4) million and $0.6 million for the years ended December 31, 2016, 2015 and 2014, respectively. |
Revenue Recognition | Revenue recognition – The Company recognizes revenue when the risks and rewards of ownership and title to the product have transferred to the customer. Revenue recognition generally occurs at the point of shipment; however in certain circumstances as shipping terms dictate, revenue is recognized at the point of destination. Shipping and handling costs are included as a component of cost of sales. The Company recognizes revenue related to the procurement of certain untreated railroad crossties upon transfer of title to the customer, which occurs upon delivery to the Company’s plant and acceptance by the customer. Service revenue, consisting primarily of wood treating services, is recognized at the time the service is provided. Payment on sales of untreated railroad crossties and wood treating services are generally due within 30 days of the invoice date. The Company’s recognition of revenue with respect to untreated crossties meets all the recognition criteria of Securities and Exchange Commission Staff Accounting Bulletin Topic 13.A.3., including transfer of title and risk of ownership, the existence of fixed purchase commitments and delivery schedules established by the customer, and the completion of all performance obligations by the Company. Revenue recognized for untreated crosstie sales for the years ended December 31, 2016, 2015 and 2014 amounted to $129.2 million, $129.8 million and $93.4 million, respectively. |
Research and Development | Research and development – Research and development costs are expensed as incurred and are included in selling, general and administrative expenses. These costs totaled $6.6 million in 2016, $5.2 million in 2015 and $3.4 million in 2014. |
Cash and Cash Equivalents | Cash and cash equivalents – Cash and cash equivalents include cash on hand and on deposit and investments in highly liquid investments with an original maturity of 90 days or less. |
Accounts Receivable | Accounts receivable – The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. In circumstances where the Company becomes aware of a specific customer’s inability to meet its financial obligations to Koppers, a specific reserve for bad debts is recorded against amounts due. If the financial condition of the Company’s customers were to deteriorate, resulting in an inability to make payments, additional allowances may be required. |
Inventories | Inventories – In the United States, CMC and RUPS inventories are valued at the lower of cost, utilizing the last-in, first-out (“LIFO”) basis, or market. PC inventories and all other inventories outside of the United States are valued at the lower of cost, utilizing the first-in, first-out (“FIFO”) basis, or market. Market represents replacement cost for raw materials and net realizable value for work in process and finished goods. LIFO inventories constituted approximately 65 percent and 66 percent of the FIFO inventory value at December 31, 2016 and 2015, respectively. In 2016, 2015 and 2014, we recorded inventory write-downs of $0.6 million, $1.4 million and $2.4 million, respectively, related to lower of cost or market conditions for our subsidiaries that value inventory on the FIFO basis. |
Property, Plant and Equipment | Property, plant and equipment – Property, plant and equipment are recorded at purchased cost and include improvements which significantly increase capacities or extend useful lives of existing plant and equipment. Depreciation expense is calculated by applying the straight-line method over estimated useful lives. Estimated useful lives for buildings generally range from 10 to 20 years and depreciable lives for machinery and equipment generally range from 3 to 15 years. Net gains and losses related to asset disposals are recognized in earnings in the period in which the disposal occurs. Routine repairs, replacements and maintenance are expensed as incurred. The Company periodically evaluates whether current facts and circumstances indicate that the carrying value of its depreciable long-lived assets may not be recoverable. If an asset, or logical grouping of assets, is determined to be impaired, the asset is written down to its fair value using discounted future cash flows and, if available, quoted market prices. Refer to Note 4 “Plant Closures and Discontinued Operations” for additional information. |
Goodwill and Other Intangible Assets | Goodwill and other intangible assets – Goodwill and other purchased intangible assets are included in the identifiable assets of the business segment to which they have been assigned. The Company performs impairment tests annually for goodwill, and more often as circumstances require. When it is determined that impairment has occurred, an appropriate charge to earnings is recorded. The Company performed its annual impairment test in the fourth quarters of 2016 and 2015. Refer to Note 14, "Goodwill and Other Identifiable Intangible Assets," for a discussion of goodwill impairment recorded during the year ended December 31, 2015. Identifiable intangible assets, other than goodwill, are recorded at cost. Identifiable intangible assets that do not have indefinite lives are amortized on a straight-line basis over their estimated useful lives. |
Deferred Income Taxes | Deferred income taxes – Deferred tax assets and liabilities are recognized for future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax laws is recognized in earnings in the period the new laws are enacted. A valuation allowance is recorded to reduce the carrying amounts of deferred tax assets unless it is more likely than not that such assets will be realized. Deferred tax liabilities have not been recognized for the undistributed earnings of certain foreign subsidiaries because management intends to permanently reinvest such earnings in foreign operations. |
Self-insured Liabilities | Self-insured liabilities – The Company is self-insured for property, casualty and workers’ compensation exposures up to various stop-loss coverage amounts. Losses are accrued based upon the Company’s estimates of the liability for the related deductibles of claims incurred. Such estimates utilize actuarial methods based on various assumptions, which include but are not limited to, the Company’s historical loss experience and projected loss development factors. In 2016 and 2015, reversals of self-insured liabilities occurred as a result of favorable loss trends related to self-insured claims. 2016 2015 (Dollars in millions) Self-insured liabilities at beginning of year $ 8.0 $ 8.2 Expense 5.1 2.6 Reserves recoverable from insurance 2.4 0.0 Reversal of self-insured liabilities (1.7 ) (1.0 ) Cash expenditures (2.9 ) (1.8 ) Self-insured liabilities at end of year $ 10.9 $ 8.0 |
Derivative Financial Instruments | Derivative financial instruments – The Company uses swap contracts to manage copper price risk associated with forecasted purchases of materials used in the Company’s manufacturing processes. The Company uses forward exchange contracts to hedge exposure to currency exchange rate changes on transactions and other commitments denominated in a foreign currency. Contracts are not held for trading or speculative purposes. The Company recognizes the fair value of the swap contracts and forward contracts as an asset or liability at each reporting date. The Company designates certain of the swap contracts as cash flow hedges and the effective portion of the gain or loss on the derivative is reported as a component of other comprehensive (loss) earnings until it is reclassified into earnings when the hedged transaction affects earnings. Gains and losses from hedge ineffectiveness are recognized in current earnings. For swap contracts that are not designated as cash flow hedges, changes in the fair value of those forward contracts are recognized immediately in earnings. Because the Company has not elected to designate the forward exchange contracts for hedge accounting treatment, changes in the fair value of the forward exchange contracts are recognized immediately in earnings. |
Asset Retirement Obligations | Asset retirement obligations – Asset retirement obligations are initially recorded at fair value and are capitalized as part of the cost of the related long-lived asset when sufficient information is available to estimate fair value. The capitalized costs are subsequently charged to depreciation expense over the estimated useful life of the related long-lived asset. The fair value of the obligation is determined by calculating the discounted value of expected future cash flows and accretion expense is recorded each month to ultimately increase this obligation to full value. The Company recognizes asset retirement obligations for the removal and disposal of residues; dismantling of certain tanks required by governmental authorities; cleaning and dismantling costs for owned rail cars; cleaning costs for leased rail cars and barges; and site demolition, when required by governmental authorities or by contract. The following table describes changes to the Company’s asset retirement obligation liabilities at December 31, 2016 and 2015: 2016 2015 (Dollars in millions) Asset retirement obligation at beginning of year $ 46.5 $ 30.5 (Divestiture) acquisition (8.0 ) 0.7 Accretion expense 7.1 3.7 Revision in estimated cash flows (a) 2.7 24.4 Cash expenditures (11.4 ) (12.1 ) Currency translation (0.9 ) (0.7 ) Balance at end of period $ 36.0 $ 46.5 (a) Revision in estimated cash flows for 2016 and 2015 includes $2.7 and $23.4 million of charges related to restructuring activities, respectively. See Note 4. “Plant Closures and Discontinued Operations” for additional information. |
Litigation and Contingencies | Litigation and contingencies – Amounts associated with litigation and contingencies are accrued when management, after taking into consideration the facts and circumstances of each matter including any settlement offers, has determined that it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. Legal costs for litigation are expensed as incurred with the exception of legal fees relating to the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) sites. |
Other Current Assets | Other current assets – Included in other current assets are prepaid expenses totaling $17.0 million and $17.0 million at December 31, 2016 and 2015, respectively. |
Environmental Liabilities | Environmental liabilities – The Company accrues for remediation costs and penalties when the responsibility to remediate is probable and the amount of related cost is reasonably estimable. If only a range of potential liability can be estimated and no amount within the range is more probable than another, the accrual is recorded at the low end of that range. Remediation liabilities are discounted if the amount and timing of the cash disbursements are readily determinable. |
Deferred Revenue from Extended Product Warranty Liabilities | Deferred revenue – The Company defers revenues associated with extended product warranty liabilities based on historical loss experience and sales of extended warranties on certain products. In addition, the Company received an advance payment of $30.0 million in 2015 related to an amendment to a 50-year supply agreement with a customer in China. The deferred revenue associated with this amendment will be amortized over the life of the underlying contract. The following table describes changes to the Company’s deferred revenue at December 31, 2016 and 2015: 2016 2015 (Dollars in millions) Deferred revenue at beginning of year $ 30.1 $ 2.5 Advance payment 0.0 30.0 Revenue earned (0.8 ) (1.0 ) Currency translation (2.1 ) (1.4 ) Deferred revenue at end of year $ 27.2 $ 30.1 |
Stock-based Compensation | Stock-based compensation – The Company records compensation expense for non-vested stock options over the vesting period based on the fair value at the date of grant. No compensation cost is recognized for any stock awards that are forfeited in the event the recipient fails to meet the vesting requirements. |
New Accounting Pronouncements | In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. In March 2016, the FASB issued ASU No. 2016-08, “Principal versus Agent Considerations (Reporting Revenue Gross versus Net),” that amends the principal versus agent guidance in ASU 2014-09. ASU 2016-08 clarifies that the analysis must focus on whether the entity has control of the goods or services before they are transferred to the customer. Collectively, the revenue recognition ASC updates are effective for annual reporting periods beginning after December 15, 2017 with early adoption permitted and allows for the use of either the retrospective or cumulative effect transition method. The Company intends to adopt these standards effective January 1, 2018 but has not yet determined which transition method will be used. The Company has a project team analyzing significant contracts with customers to determine the impact of the adoption of the ASU updates on the Company’s financial statements and disclosures. The Company will continue to assess the impact the ASC updates will have on its revenue arrangements with a final evaluation of the impact of adopting these ASC updates expected to be completed during the third quarter of 2017. In August 2016, the FASB In March 2016, the FASB In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842).” ASU 2016-02 requires an entity to recognize a right-of-use asset and lease liability for all leases with terms of more than one year. Recognition, measurement and presentation of expenses will depend on classification as a finance or operating lease. The standard is effective January 1, 2019 and early adoption is permitted. The guidance requires a modified retrospective adoption. The Company is currently evaluating the impact the adoption of ASU 2016-02 will have on its consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires companies to present debt issuance costs associated with a debt liability as a deduction from the carrying amount of that debt liability on the balance sheet rather than being capitalized as an asset. The standard is effective for interim and annual periods beginning after December 15, 2015, and retrospective presentation is required. The Company adopted this guidance as of January 1, 2016 and the consolidated financial statements have been revised to reflect the retrospective presentation requirement. As a result, $12.5 million and $14.6 million of debt issuance costs have been reclassified from other assets to long-term debt as of December 31, 2015 and December 31, 2014, retrospectively. This reclassification has also been reflected within the notes to the consolidated financial statements as applicable. In August 2014, the FASB issued ASU No. 2014-15, “Disclosure of Uncertainties About an Entity’s Ability to Continue as a Going Concern”, which requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and provides guidance on determining when and how to disclose going concern uncertainties in the financial statements. The Company adopted this ASU for the year ended December 31, 2016 and the adoption did not have a material effect on the Company’s consolidated financial statements. |
Summary of Significant Accoun35
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Self-Insured Liabilities | Company’s historical loss experience and projected loss development factors. In 2016 and 2015, reversals of self-insured liabilities occurred as a result of favorable loss trends related to self-insured claims. 2016 2015 (Dollars in millions) Self-insured liabilities at beginning of year $ 8.0 $ 8.2 Expense 5.1 2.6 Reserves recoverable from insurance 2.4 0.0 Reversal of self-insured liabilities (1.7 ) (1.0 ) Cash expenditures (2.9 ) (1.8 ) Self-insured liabilities at end of year $ 10.9 $ 8.0 |
Summary of Asset Retirement Obligation Liabilities | The following table describes changes to the Company’s asset retirement obligation liabilities at December 31, 2016 and 2015: 2016 2015 (Dollars in millions) Asset retirement obligation at beginning of year $ 46.5 $ 30.5 (Divestiture) acquisition (8.0 ) 0.7 Accretion expense 7.1 3.7 Revision in estimated cash flows (a) 2.7 24.4 Cash expenditures (11.4 ) (12.1 ) Currency translation (0.9 ) (0.7 ) Balance at end of period $ 36.0 $ 46.5 (a) Revision in estimated cash flows for 2016 and 2015 includes $2.7 and $23.4 million of charges related to restructuring activities, respectively. See Note 4. “Plant Closures and Discontinued Operations” for additional information. |
Deferred Revenue from Extended Product Warranty Liabilities | The following table describes changes to the Company’s deferred revenue at December 31, 2016 and 2015: 2016 2015 (Dollars in millions) Deferred revenue at beginning of year $ 30.1 $ 2.5 Advance payment 0.0 30.0 Revenue earned (0.8 ) (1.0 ) Currency translation (2.1 ) (1.4 ) Deferred revenue at end of year $ 27.2 $ 30.1 |
Plant Closures and Discontinu36
Plant Closures and Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Summary of Restructuring Activities and Related Reserves | Details of the restructuring activities and related reserves are as follows: Severance employee Environmental remediation Asset retirement Other Total (Dollars in millions) Reserve at December 31, 2014 $ 0.0 $ 4.1 $ 3.9 $ 0.1 $ 8.1 Accrual 2.2 0.6 23.4 1.3 27.5 Costs charged against assets 0.0 0.0 0.0 (1.3 ) (1.3 ) Reversal of accrued charges 0.0 0.0 (0.3 ) 0.0 (0.3 ) Cash paid (0.2 ) 0.0 (4.8 ) (0.1 ) (5.1 ) Currency translation 0.0 (0.4 ) (0.3 ) 0.0 (0.7 ) Reserve at December 31, 2015 $ 2.0 $ 4.3 $ 21.9 $ 0.0 $ 28.2 Accrual 2.4 0.1 5.6 5.6 13.7 Costs charged against assets 0.0 0.0 0.0 (1.9 ) (1.9 ) Reversal of accrued charges (1.9 ) (0.5 ) (8.7 ) (0.1 ) (11.2 ) Cash paid (1.0 ) (2.4 ) (8.1 ) (0.2 ) (11.7 ) Currency translation (0.1 ) 0.0 (0.7 ) (0.2 ) (1.0 ) Reserve at December 31, 2016 $ 1.4 $ 1.5 $ 10.0 $ 3.2 $ 16.1 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of Company's Financial Instruments | Carrying amounts and the related estimated fair values of the Company’s financial instruments as of December 31, 2016 and 2015 are as follows: December 31, 2016 December 31, 2015 Fair Value Carrying Value Fair Value Carrying Value (Dollars in millions) Financial assets: Cash and cash equivalents, including restricted cash $ 20.8 $ 20.8 $ 21.8 $ 21.8 Investments and other assets (a) 1.1 1.1 1.1 1.1 Financial liabilities: Long-term debt (including current portion) $ 669.6 $ 662.4 $ 724.6 $ 722.3 (a) Excludes equity method investments. |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings per Common Share | The following table sets forth the computation of basic and diluted earnings per common share: Year Ended December 31, 2016 2015 2014 (Dollars in millions, except share amounts, in thousands, and per share amounts) Net income (loss) attributable to Koppers $ 29.3 $ (72.0 ) $ (32.4 ) Less: Income (loss) from discontinued operations 0.6 (0.1 ) 0.6 Income (loss) from continuing operations attributable to Koppers $ 28.7 $ (71.9 ) $ (33.0 ) Weighted average common shares outstanding: Basic 20,636 20,541 20,463 Effect of dilutive securities 419 0 0 Diluted 21,055 20,541 20,463 Earnings (loss) per common share – continuing operations: Basic earnings (loss) per common share $ 1.39 $ (3.50 ) $ (1.61 ) Diluted earnings (loss) per common share 1.36 (3.50 ) (1.61 ) Other data: Antidilutive securities excluded from computation of diluted earnings per common share 415 688 362 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stock Options And Performance Award Fair Value Assumptions | The Company calculated the fair value of stock options on the date of grant using the Black-Scholes-Merton model and the assumptions listed below: March March 2015 Grant February 2014 Grant Grant date price per share of stock option award $ 18.11 $ 17.57 $ 37.93 Expected dividend yield per share 0.00 % 3.40 % 2.75 % Expected life in years 5.96 5.75 6.5 Expected volatility 40.86 % 42.27 % 52.14 % Risk-free interest rate 1.45 % 1.73 % 1.98 % Grant date fair value per share of option awards $ 7.41 $ 5.20 $ 15.26 |
Summary of Performance Stock Units | The following table shows a summary of the performance stock units as of December 31, 2016: Performance Period Minimum Shares Target Shares Maximum Shares 2014 – 2016 0 87,262 130,893 2015 – 2017 0 203,953 407,906 2016 – 2018 0 260,588 521,176 |
Summary of Status and Activity of Non-Vested Stock Awards | The following table shows a summary of the status and activity of non-vested stock awards for the year ended December 31, 2016: Restricted Stock Units Performance Stock Units Total Stock Units Weighted Grant Date Fair Value per Unit Non-vested at January 1, 2016 213,208 397,399 610,607 $ 27.29 Granted 178,282 264,981 443,263 $ 22.25 Credited from dividends 950 1,712 2,662 $ 25.47 Vested (100,281 ) 0 (100,281 ) $ 28.77 Forfeited (12,352 ) (109,704 ) (122,056 ) $ 36.46 Non-vested at December 31, 2016 279,807 554,388 834,195 $ 23.09 |
Summary of Status and Activity of Stock Options | The following table shows a summary of the status and activity of stock options for the year ended December 31, 2016: Options Weighted Exercise Price per Option Weighted Average Remaining Contractual Term (in years) Aggregate Value (in millions) Outstanding at December 31, 2015 774,249 $ 28.46 Granted 211,193 $ 18.11 Exercised (15,901 ) $ 24.94 Expired (14,548 ) $ 40.38 Forfeited (19,539 ) $ 23.70 Outstanding at December 31, 2016 935,454 $ 26.10 6.46 $ 6.0 Exercisable at December 31, 2016 436,582 $ 33.07 4.14 $ 3.3 |
Schedule of Stock-based Compensation Expense Recognized and Cash Received from Exercise of Stock Options | Total stock-based compensation expense recognized and cash received from the exercise of stock options for the three years ended December 31, 2016, 2015 and 2014 are as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Stock-based compensation expense recognized: Selling, general and administrative expenses $ 8.9 $ 3.8 $ 4.7 Less related income tax benefit 3.6 1.5 1.9 Decrease in net income attributable to Koppers $ 5.3 $ 2.3 $ 2.8 Intrinsic value of exercised stock options $ 0.1 $ 0.0 $ 0.3 Cash received from the exercise of stock options $ 0.4 $ 0.0 $ 0.7 |
Performance Stock Units [Member] | |
Stock Options And Performance Award Fair Value Assumptions | The Company calculated the fair value of the awards on the date of grant using the Monte Carlo valuation model and the assumptions listed below: March Grant date price per share of performance award $ 18.11 Expected dividend yield per share 0.00 % Expected volatility 40.86 % Risk-free interest rate 0.96 % Look-back period in years 2.84 Grant date fair value per share of performance award $ 23.70 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Summary of Results of Segment Operations | The following table sets forth certain sales and operating data, net of all intersegment transactions, for the Company’s segments for the periods indicated: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Revenues from external customers: Railroad and Utility Products and Services $ 586.5 $ 657.0 $ 597.8 Carbon Materials and Chemicals 436.3 613.4 833.7 Performance Chemicals 393.4 356.5 123.5 Total $ 1,416.2 $ 1,626.9 $ 1,555.0 Intersegment revenues: Carbon Materials and Chemicals $ 90.2 $ 86.7 $ 84.8 Performance Chemicals 8.1 8.7 3.0 Total $ 98.3 $ 95.4 $ 87.8 Depreciation and amortization expense: Railroad and Utility Products and Services (a) $ 13.0 $ 14.2 $ 11.9 Carbon Materials and Chemicals (b) 21.2 25.8 25.0 Performance Chemicals 18.7 19.0 7.1 Total $ 52.9 $ 59.0 $ 44.0 Operating profit (loss): Railroad and Utility Products and Services (c) $ 51.1 $ 62.2 $ 53.6 Carbon Materials and Chemicals (d) (25.1 ) (125.0 ) (5.3 ) Performance Chemicals 62.0 39.0 1.6 Corporate (e) (1.6 ) (5.8 ) (16.7 ) Total $ 86.4 $ (29.6 ) $ 33.2 Capital expenditures (including acquisitions): Railroad and Utility Products and Services $ 11.2 $ 11.1 $ 44.5 Carbon Materials and Chemicals 29.5 37.6 63.7 Performance Chemicals 7.9 5.8 471.1 Corporate 1.3 1.5 0.7 Total $ 49.9 $ 56.0 $ 580.0 (a) Excludes impairment charges of $1.9 million in 2015 for a wood treating facility in the United States. (b) Excludes impairment charges of $3.5, $12.8 and $4.7 million in 2016, 2015 and 2014, respectively, for CMC. (c) Includes asset retirement obligation and other restructuring costs of $6.9 million for the restructuring of three facilities in the United States in 2016. Includes gain on sale of the Company’s North American utility pole business of $3.2 million and restructuring costs of $5.7 million for a wood treating facility in the United States in 2015. (d) Includes plant closure costs of $13.2, $36.5 and $18.1 million in 2016, 2015 and 2014, respectively, for CMC. In the fourth quarter of 2015, the Company also recorded goodwill impairment charges of $67.2 million related to this business unit. (e) Operating loss for Corporate includes general and administrative costs for Koppers Holdings Inc., the parent company of Koppers Inc., foreign exchange revaluation related to intercompany loans in connection with a legal reorganization of the Company and acquisition and acquisition-related integration costs. |
Summary of Tangible and Intangible Assets by Segments | The following table sets forth tangible and intangible assets allocated to each of the Company’s segments as of the dates indicated: December 31, 2016 December 31, 2015 (Dollars in millions) Segment assets: Railroad and Utility Products and Services $ 264.2 $ 254.1 Carbon Materials and Chemicals 333.0 368.4 Performance Chemicals 442.9 441.3 Segment assets 1,040.1 1,063.8 Cash and cash equivalents 0.0 0.1 Income tax receivable 3.8 4.6 Deferred taxes 32.5 32.6 Property, plant and equipment, net 4.9 4.7 Deferred charges 0.7 1.6 Other 5.5 5.4 Total $ 1,087.5 $ 1,112.9 Goodwill: Railroad and Utility Products and Services $ 9.9 $ 9.9 Performance Chemicals 176.5 176.7 Total $ 186.4 $ 186.6 |
Schedule of Revenues and Long-Lived Assets by Geographic Area | Revenues and Long-lived Assets by Geographic Area Year Revenue Long-lived assets (Dollars in millions) United States 2016 $ 929.3 $ 446.6 2015 991.2 460.3 2014 833.0 518.8 Australasia 2016 228.4 124.3 2015 280.9 132.9 2014 349.0 160.3 Europe 2016 140.2 31.9 2015 144.0 32.9 2014 201.1 47.5 Other countries 2016 118.3 19.5 2015 210.8 18.3 2014 171.9 18.3 Total 2016 $ 1,416.2 $ 622.3 2015 $ 1,626.9 $ 644.5 2014 $ 1,555.0 $ 744.9 |
Schedule of Segment Revenues for Significant Product Lines | Segment Revenues for Significant Product Lines Year Ended December 31, 2016 2015 2014 (Dollars in millions) Railroad and Utility Products and Services: Railroad crossties $ 374.0 $ 422.0 $ 371.4 Utility poles 34.5 52.4 96.1 Creosote 49.6 45.7 51.2 Rail joints 24.4 28.1 27.2 Railroad infrastructure services 43.4 42.7 14.8 Other products 60.6 66.1 37.1 586.5 657.0 597.8 Carbon Materials and Chemicals: Carbon pitch 191.0 283.4 330.2 Phthalic anhydride 75.6 65.1 91.4 Creosote and carbon black feedstock 71.3 119.6 213.7 Other products 98.4 145.3 198.4 436.3 613.4 833.7 Performance Chemicals: Wood preservative products 365.5 318.6 107.0 Other products 27.9 37.9 16.5 393.4 356.5 123.5 Total $ 1,416.2 $ 1,626.9 $ 1,555.0 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Provision | Components of the Company’s income tax provision from continuing operations are as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Current: Federal $ (1.9 ) $ (4.2 ) $ 17.5 State 1.3 0.2 0.3 Foreign 13.3 16.0 14.6 Total current tax provision 12.7 12.0 32.4 Deferred: Federal (1.6 ) (19.2 ) 3.1 State 0.5 3.0 0.0 Foreign (0.2 ) 0.0 (1.4 ) Total deferred tax (benefit) provision (1.3 ) (16.2 ) 1.7 Total income tax (benefit) provision $ 11.4 $ (4.2 ) $ 34.1 |
Summary of Income Taxes Reconciled with Federal Statutory Rate | The provision for income taxes is reconciled with the federal statutory rate as follows: Year Ended December 31, 2016 2015 2014 Federal income tax rate 35.0 % 35.0 % 35.0 % State income taxes, net of federal tax benefit (0.8 ) 2.3 (4.8 ) Foreign earnings taxed at different rates (10.1 ) (8.3 ) (347.6 ) Domestic production activities deduction 0.0 (0.6 ) 40.8 Deferred tax adjustments (0.2 ) 0.4 3.2 Change in tax contingency reserves 6.5 1.5 (15.2 ) Legal entity tax restructuring project 0.0 0.0 (1,503.2 ) Foreign tax credits 0.0 0.0 1,203.4 Changes to foreign repatriation plans 0.0 0.0 104.0 Valuation allowance charges (1.9 ) (13.0 ) (92.4 ) Goodwill impairment 0.0 (10.9 ) 0.0 Other 1.1 (1.1 ) (1.2 ) 29.6 % 5.3 % (578.0 %) |
Summary of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and liabilities are as follows: Year Ended December 31, 2016 2015 (Dollars in millions) Deferred tax assets: Reserves, including insurance, environmental and deferred revenue $ 22.3 $ 19.9 Pension and other postretirement benefits obligations 19.2 19.4 Tax credits 15.4 16.8 Asset retirement obligations 12.0 12.0 State tax losses carryforwards (expiring from 2017-2036) 11.3 10.2 Foreign tax loss carryforwards (expiring beginning in 2018) 10.1 9.3 Accrued employee compensation 8.9 6.9 Book/tax inventory accounting differences 3.5 3.2 Capital loss benefit 0.0 0.9 Book over tax depreciation and amortization 0.0 3.6 Other 6.6 10.0 Valuation allowance (40.2 ) (41.9 ) Total deferred tax assets 69.1 70.3 Deferred tax liabilities: Tax over book depreciation and amortization 42.7 38.4 Gain on derivative contracts 4.2 0.0 Tax/book inventory accounting differences 0.0 0.3 Other 1.4 0.7 Total deferred tax liabilities 48.3 39.4 Net deferred tax assets $ 20.8 $ 30.9 |
Summary of Valuation Allowances Recorded to Offset Deferred Tax Assets | A valuation allowance is necessary when it is more likely than not that a deferred tax asset will not be realized. Certain deferred tax assets reflected above are not expected to be realized and a valuation allowance has been provided for them. Valuation allowances are recorded to offset the following deferred tax assets: Year Ended December 31, 2016 2015 Federal foreign tax credits $ 14.3 $ 14.9 State temporary differences, net operating losses and tax credits 13.2 11.6 Foreign temporary differences, net operating losses and capital losses 12.7 15.4 Total valuation allowances $ 40.2 $ 41.9 |
Summary of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Year Ended December 31, 2016 2015 2014 (Dollars in millions) Balance at beginning of year $ 7.7 $ 7.2 $ 6.1 Additions based on tax provisions related to the current year 0.9 1.4 0.6 Additions for tax provisions of prior years 1.5 0.0 0.1 Additions as a result of acquisitions 0.0 0.0 1.6 Reductions of tax provisions of prior years 0.0 (0.7 ) (0.6 ) Reductions as a result of a lapse of the applicable statute of limitations (0.4 ) (0.2 ) (0.6 ) Balance at end of year $ 9.7 $ 7.7 $ 7.2 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Inventory Disclosure [Abstract] | |
Components of Inventories | Inventories as of December 31, 2016 and 2015 were as follows: December 31, 2016 December 31, 2015 (Dollars in millions) Raw materials $ 157.7 $ 169.8 Work in process 14.2 15.5 Finished goods 103.6 97.4 275.5 282.7 Less revaluation to LIFO 46.8 56.3 Net $ 228.7 $ 226.4 |
Equity Investments (Tables)
Equity Investments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Equity Losses and Dividends Received | Equity in losses for the three years ended December 31, 2016 were as follows: Equity loss (Dollars in millions) 2016 $ (1.0 ) 2015 (2.2 ) 2014 (1.6 ) |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment as of December 31, 2016 and 2015 were as follows: December 31, 2016 December 31, 2015 (Dollars in millions) Land $ 17.0 $ 17.6 Buildings 58.2 61.8 Machinery and equipment 716.0 669.0 $ 791.2 $ 748.4 Less accumulated depreciation 510.4 470.6 Net $ 280.8 $ 277.8 |
Goodwill and Other Identifiab45
Goodwill and Other Identifiable Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Goodwill | The change in the carrying amount of goodwill attributable to each business segment for the years ended December 31, 2016 and December 31, 2015 was as follows: Carbon Materials and Chemicals Railroad and Utility Products and Services Performance Chemicals Total (Dollars in millions) Balance at December 31, 2014 $ 65.5 $ 9.3 $ 172.4 $ 247.2 Acquisitions 4.1 0.0 0.0 4.1 Purchase price allocation adjustments 0.0 1.2 8.3 9.5 Impairment (67.2 ) 0.0 0.0 (67.2 ) Currency translation (2.4 ) (0.6 ) (4.0 ) (7.0 ) Balance at December 31, 2015 $ 0.0 $ 9.9 $ 176.7 $ 186.6 Currency translation 0.0 0.0 (0.2 ) (0.2 ) Balance at December 31, 2016 $ 0.0 $ 9.9 $ 176.5 $ 186.4 |
Schedule of Identifiable Intangible Assets | The Company’s identifiable intangible assets with finite lives are being amortized over their estimated useful lives and are summarized below: December 31, 2016 2015 Estimated life in years Weighted average remaining life in years Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net (Dollars in millions) Customer contracts 9 to 18 13.2 $ 152.5 $ 33.6 $ 118.9 $ 153.0 $ 24.3 $ 128.7 Technology 4 to 12 5.0 26.7 8.8 17.9 26.6 5.1 21.5 Trademarks 4 to 7 4.6 6.1 1.9 4.2 5.9 1.1 4.8 Supply contracts 10 3.2 2.2 1.5 0.7 2.3 1.4 0.9 Non-compete agreements 12 7.8 1.3 1.1 0.2 1.4 1.2 0.2 Favorable lease agreements 3 0.0 0.6 0.6 0.0 0.7 0.7 0.0 Total 11.9 $ 189.4 $ 47.5 $ 141.9 $ 189.9 $ 33.8 $ 156.1 |
Schedule of Future Amortization Expense | Estimated amortization expense for the next five years is summarized below: Estimated annual amortization (Dollars in millions) 2017 $ 14.3 2018 14.3 2019 14.3 2020 14.0 2021 12.1 |
Pensions and Post-Retirement 46
Pensions and Post-Retirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Compensation And Retirement Disclosure [Abstract] | |
Components of Net Periodic Benefit Cost for Pension Plans and Other Benefit Plans | Net periodic pension costs for 2016, 2015 and 2014 were as follows: December 31, Pension Benefits Other Benefits 2016 2015 2014 2016 2015 2014 (Dollars in millions) Service cost $ 1.7 $ 2.0 $ 2.7 $ 0.1 $ 0.1 $ 0.1 Interest cost 11.0 10.9 11.8 0.4 0.4 0.5 Expected return on plan assets (10.5 ) (12.0 ) (13.9 ) 0.0 0.0 0.0 Amortization of prior service cost 0.0 (0.3 ) (0.2 ) 0.0 (0.1 ) (0.2 ) Amortization of net loss 2.2 6.6 4.0 (0.4 ) (0.3 ) 0.0 Settlements and curtailments 4.4 (0.8 ) 0.0 0.0 0.0 0.0 Net periodic benefit cost $ 8.8 $ 6.4 $ 4.4 $ 0.1 $ 0.1 $ 0.4 |
Schedule of Change in Funded Status of Pension and Post-Retirement Plans | The change in the funded status of the pension and postretirement plans as of December 31, 2016 and December 31, 2015 is as follows: December 31, Pension Benefits Other Benefits 2016 2015 2016 2015 (Dollars in millions) Change in benefit obligation: Benefit obligation at beginning of year $ 257.5 $ 275.7 $ 9.4 $ 9.8 Service cost 1.7 2.0 0.1 0.1 Interest cost 11.0 10.9 0.4 0.4 Plan participants’ contributions 0.1 0.2 0.0 0.0 Actuarial losses (gains) 10.7 (14.9 ) 1.0 (0.3 ) Plan amendments (0.1 ) 0.0 0.0 0.0 Settlements (13.9 ) 0.0 0.0 0.0 Currency translation (9.9 ) (3.4 ) 0.0 0.0 Benefits paid (13.5 ) (13.0 ) (0.9 ) (0.6 ) Benefit obligation at end of year 243.6 257.5 10.0 9.4 Change in plan assets: Fair value of plan assets at beginning of year 212.4 229.5 0.0 0.0 Actual return on plan assets 20.8 (4.6 ) 0.0 0.0 Employer contribution 4.4 3.4 0.9 0.6 Plan participants’ contributions 0.1 0.2 0.0 0.0 Settlements (13.9 ) 0.0 0.0 0.0 Currency translation (9.4 ) (3.1 ) 0.0 0.0 Benefits paid (13.5 ) (13.0 ) (0.9 ) (0.6 ) Fair value of plan assets at end of year 200.9 212.4 0.0 0.0 Funded status of the plan $ (42.7 ) $ (45.1 ) $ (10.0 ) $ (9.4 ) Amounts recognized in the balance sheet consist of: Noncurrent assets $ 0.8 $ 0.8 $ 0.0 $ 0.0 Current liabilities 1.1 0.9 0.8 0.8 Noncurrent liabilities 42.4 45.0 9.2 8.6 Pension plans with projected benefit obligations in excess of plan assets: Benefit obligation $ 238.7 $ 252.7 Fair value of plan assets 195.3 206.9 Pension plans with accumulated benefit obligations in excess of plan assets: Accumulated benefit obligation $ 238.5 $ 251.2 Fair value of plan assets 195.3 206.9 |
Schedule of Projected Benefit Payments | Benefit payments for pension benefits, which are primarily funded by the pension plan assets, and other benefits, which are funded by general corporate assets and reflecting future expected service as appropriate, are expected to be paid as follows: Pension Benefits Other Benefits (Dollars in millions) 2017 $ 13.0 $ 0.9 2018 12.9 0.9 2019 13.2 0.8 2020 13.5 0.8 2021 13.8 0.7 Next five years 75.0 3.1 |
Schedule of Weighted-Average Assumptions | Weighted-Average Assumptions as of December 31 December 31, Pension Benefits Other Benefits 2016 2015 2016 2015 Discount rate 4.09 % 4.52 % 4.53 % 4.73 % Expected return on plan assets 5.10 5.16 Rate of compensation increase 3.50 3.82 Initial medical trend rate 6.30 6.50 |
Schedule of Weighted Average Asset Allocation for Company's Pension Plans | The weighted average asset allocation for the Company’s pension plans at December 31 by asset category is as follows: December 31, 2016 2015 Debt securities 71 % 70 % Equity securities 24 26 Other 5 4 100 % 100 % |
Schedule of Pension Plan Assets at Fair Value | The following table sets forth by level, the Company’s pension plan assets at fair value, within the fair value hierarchy, as of December 31, 2016 and December 31, 2015: As of December 31, 2016 Quoted prices in active Significant Significant markets for observable unobservable identical assets inputs inputs (Level 1) (Level 2) (Level 3) Total (Dollars in millions) U.S. equity securities $ 12.3 $ 13.2 0.0 $ 25.5 International equity securities 12.6 10.9 0.0 23.5 U.S. debt securities 29.7 75.2 3.2 108.1 International debt securities 8.3 24.3 1.1 33.7 Real estate and other investments 0.0 0.5 5.7 6.2 Cash and cash equivalents 0.0 3.9 0.0 3.9 $ 62.9 $ 128.0 $ 10.0 $ 200.9 As of December 31, 2015 Quoted prices in active Significant Significant markets for observable unobservable identical assets inputs inputs (Level 1) (Level 2) (Level 3) Total (Dollars in millions) U.S. equity securities $ 15.0 $ 10.2 $ 0.0 $ 25.2 International equity securities 12.1 18.6 0.0 30.7 U.S. debt securities 32.3 84.8 0.0 117.1 International debt securities 7.0 25.5 0.0 32.5 Real estate and other investments 0.0 1.4 0.0 1.4 Cash and cash equivalents 0.0 5.5 0.0 5.5 $ 66.4 $ 146.0 $ 0.0 $ 212.4 |
Summary of Changes in Fair Value of Level 3 Pension Plan Assets | The table below sets forth a summary of changes in the fair value of the Level 3 pension plans’ assets for the year ended December 31, 2016: As of December 31, 2016 Other Investments Debt Securities (Dollars in millions) Balance at beginning of year $ 0.0 $ 0.0 Purchases, sales, issuances and settlements 4.4 6.0 Realized and unrealized gains 0.2 0.1 Foreign currency translation loss (0.3 ) (0.4 ) Balance at the end of year $ 4.3 $ 5.7 The amount of total gains during the period attributable to the change in unrealized gains relating to Level 3 net assets still held at the reporting date $ 0.2 $ 0.1 |
Schedule of Health Care Cost Trend Rates | A one-percentage-point change in the assumed health care cost trend rate would have the following effects: 1% Increase 1% Decrease (Dollars in millions) Increase (decrease) from change in health care cost trend rates: Postretirement benefit expense $ 0.0 $ 0.0 Postretirement benefit liability 0.2 (0.1 ) |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt Instruments | Debt at December 31, 2016 and December 31, 2015 was as follows: Weighted Average Interest Rate Maturity December 31, 2016 December 31, 2015 (Dollars in millions) Term Loan 4.57 % 2019 $ 232.5 $ 262.5 Revolving Credit Facility 4.57 % 2019 100.1 130.0 Construction and other loans 4.87 % 2020 40.4 44.8 Senior Notes due 2019 7.88 % 2019 298.1 297.5 Total debt 671.1 734.8 Less short term debt and current maturities of long-term debt 42.6 39.9 Less unamortized debt issuance costs 8.7 12.5 Long-term debt $ 619.8 $ 682.4 |
Schedule of Debt Maturities | At December 31, 2016 the aggregate debt maturities for the next five years are as follows: (Dollars in millions) 2017 $ 42.6 2018 37.0 2019 (1) 575.3 2020 18.1 Total maturities 673.0 Future accretion on 2019 Notes (1.9 ) Total debt $ 671.1 (1) Consists primarily of the maturity of the 2019 Notes and Prior Senior Secured Credit Facilities. The $500.0 million Senior Notes offered in January 2017 mature in 2025. The $400.0 million New Senior Secured Credit Facility entered in February 2017 will mature in 2022. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Leases [Abstract] | |
Future Minimum Commitments for Operating Leases | Future minimum commitments for operating leases having non-cancelable lease terms in excess of one year are as follows: (Dollars in millions) 2017 $ 43.9 2018 34.0 2019 17.3 2020 13.6 2021 11.7 Thereafter 46.8 Total $ 167.3 |
Derivative Financial Instrume49
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of Outstanding Copper Swap Contracts | As of December 31, 2016 and December 31, 2015, the Company had outstanding copper swap contracts of the following amounts: Units Outstanding (in Pounds) Net Fair Value - Asset (Liability) December 31, 2016 December 31, 2015 December 31, 2016 December 31, 2015 (Amounts in millions) Cash flow hedges 42.6 17.3 $ 10.6 $ (9.8 ) Not designated as hedges 6.5 4.0 1.0 (0.7 ) Total 49.1 21.3 $ 11.6 $ (10.5 ) |
Schedule of Fair Value of Outstanding Copper Swap Contracts Recorded in Balance Sheet | As of December 31, 2016 and December 31, 2015, the fair value of the outstanding copper swap contracts is recorded in the balance sheet as follows: December 31, 2016 December 31, 2015 (Dollars in millions) Other current assets $ 12.5 $ 0.1 Accrued liabilities (0.9 ) (10.6 ) Net asset (liability) on balance sheet $ 11.6 $ (10.5 ) Accumulated other comprehensive gain (loss), net of tax $ 6.9 $ (6.1 ) |
Summary of Amount Recognized in Earnings Related to Copper Swap Contracts | See the Consolidated Statement of Comprehensive Income and Consolidated Statement of Shareholders’ Equity for amounts recorded in other comprehensive income and for amounts reclassified from accumulated other comprehensive income into net income for the periods specified below. For the twelve months ended December 31, 2016 and 2015, the following amounts were recognized in earnings related to copper swap contracts: Twelve Months Ended December 31, 2016 2015 (Dollars in millions) Gain (loss) from ineffectiveness of cash flow hedges $ (0.4 ) $ (0.1 ) Gain (loss) from contracts not designated as hedges 1.7 (0.7 ) Net $ 1.3 $ (0.8 ) |
Summary of Net Currency Units Outstanding | As of December 31, 2016 and December 31 2015, the net currency units outstanding were: December 31, 2016 December 31, 2015 (In millions) British Pounds GBP 7.3 GBP 5.9 New Zealand Dollars NZD 15.5 NZD 22.5 United States Dollars USD 24.7 USD 40.0 Canadian Dollars CAD 0.3 CAD 0.0 |
Common Stock and Senior Conve50
Common Stock and Senior Convertible Preferred Stock (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Text Block [Abstract] | |
Schedule of Changes in Senior Convertible Preferred Stock, Common Stock and Treasury Stock | Changes in senior convertible preferred stock, common stock and treasury stock for the three years ended December 31, 2016 are as follows: Year Ended December 31, 2016 2015 2014 (Shares in thousands) Senior Convertible Preferred Stock: Balance at beginning and end of year 0 0 0 Common Stock: Balance at beginning of year 22,016 21,938 21,722 Issued for employee stock plans 125 78 216 Balance at end of year 22,141 22,016 21,938 Treasury Stock: Balance at beginning of year (1,459 ) (1,443 ) (1,390 ) Shares repurchased (17 ) (16 ) (53 ) Balance at end of year (1,476 ) (1,459 ) (1,443 ) |
Commitments and Contingent Li51
Commitments and Contingent Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Changes in Accrued Liability for Environmental Matters | The following table reflects changes in the accrued liability for environmental matters, of which $5.2 million and $7.0 million are classified as current liabilities at December 31, 2016 and 2015, respectively Year ended December 31, 2016 December 31, 2015 (Dollars in millions) Balance at beginning of year $ 19.8 $ 7.8 Expense 1.5 1.2 Reversal of reserves (1.0 ) (0.5 ) Cash expenditures (6.3 ) (1.4 ) Acquisition of Osmose Entities 0.0 13.7 Divestitures (0.3 ) 0.0 Currency translation (0.8 ) (1.0 ) Balance at end of period $ 12.9 $ 19.8 |
Selected Quarterly Financial 52
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Selected Quarterly Financial Data | The following is a summary of the quarterly results of operations for the years ended December 31, 2016 and 2015: Year Ended December 31, 2016 1 st 2 nd 3 rd 4 th Fiscal Year (Dollars in millions, except per share amounts) Statement of operations data: Net sales $ 346.8 $ 385.1 $ 371.1 $ 313.2 $ 1,416.2 Operating profit 7.8 32.0 27.7 18.9 86.4 Income (loss) from continuing operations (2.4 ) 11.3 12.0 6.2 27.1 Net income (loss) (1.8 ) 11.3 11.9 6.3 27.7 Net income (loss) attributable to Koppers (1.3 ) 12.1 12.1 6.4 29.3 Common stock data: Earnings (loss) per common share attributable to Koppers common shareholders: (b) Basic – Continuing operations $ (0.09 ) $ 0.58 $ 0.59 $ 0.31 $ 1.39 Discontinued operations 0.03 0.00 0.00 0.00 0.03 Earnings (loss) per basic common share $ (0.06 ) $ 0.58 $ 0.59 $ 0.31 $ 1.42 Diluted – Continuing operations $ (0.09 ) $ 0.57 $ 0.58 $ 0.30 $ 1.36 Discontinued operations 0.03 0.00 0.00 0.00 0.03 Earnings (loss) per diluted common share $ (0.06 ) $ 0.57 $ 0.58 $ 0.30 $ 1.39 Price range of common stock: High $ 23.43 $ 31.35 $ 33.71 $ 42.70 $ 42.70 Low 13.58 21.38 28.54 31.28 13.58 Year Ended December 31, 2015 1 st 2 nd 3 rd 4 th Fiscal Year (Dollars in millions, except per share amounts) Statement of operations data: Net sales $ 397.8 $ 431.6 $ 433.8 $ 363.7 $ 1,626.90 Operating (loss) profit (a) 8.0 26.0 27.0 (90.6 ) (29.6 ) (Loss) income from continuing operations (4.2 ) 7.9 9.2 (88.8 ) (75.9 ) Net (loss) income (4.2 ) 7.9 9.1 (88.8 ) (76.0 ) Net (loss) income attributable to Koppers (3.4 ) 9.0 10.1 (87.7 ) (72.0 ) Common stock data: (Loss) earnings per common share attributable to Koppers common shareholders: (b) Basic – Continuing operations $ (0.16 ) $ 0.44 $ 0.49 $ (4.27 ) $ (3.50 ) Discontinued operations 0.00 0.00 (0.01 ) 0.00 (0.01 ) (Loss) earnings per basic common share $ (0.16 ) $ 0.44 $ 0.48 $ (4.27 ) $ (3.51 ) Diluted – Continuing operations $ (0.16 ) $ 0.44 $ 0.49 $ (4.27 ) $ (3.50 ) Discontinued operations 0.00 0.00 (0.01 ) 0.00 (0.01 ) (Loss) earnings per diluted common share $ (0.16 ) $ 0.44 $ 0.48 $ (4.27 ) $ (3.51 ) Price range of common stock: High $ 26.44 $ 27.40 $ 24.86 $ 23.63 $ 27.40 Low 15.78 19.26 17.88 17.34 15.78 (a) In the fourth quarter of 2015, the Company recorded asset impairment, asset retirement and severance charges totaling $35.1 million primarily related to the decision to discontinue coal tar distillation activities at CMC plants located in the United Kingdom and the United States. In the fourth quarter of 2015, the Company also recorded goodwill impairment charges of $67.2 million related to our CMC business. (b) The cumulative sum of quarterly basic and diluted net income per share amounts may not equal total basic and diluted net income per share amounts for the year due to differences in weighted average and equivalent shares outstanding for each of the periods presented. |
Subsidiary Guarantor Informat53
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Condensed Consolidating Statement of Comprehensive Income (Loss) | Condensed Consolidating Statement of Comprehensive Income (Loss) For the Year Ended December 31, 2016 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Net sales $ 0.0 $ 660.7 $ 350.6 $ 504.7 $ (99.8 ) $ 1,416.2 Cost of sales including depreciation and amortization 0.0 637.4 252.3 412.4 (101.2 ) 1,200.9 Gain on sale of business 0.0 0.0 0.0 (2.1 ) 0.0 (2.1 ) Selling, general and administrative 1.9 47.7 38.2 43.2 0.0 131.0 Operating (loss) profit (1.9 ) (24.4 ) 60.1 51.2 1.4 86.4 Other income (loss) 0.0 0.3 4.1 0.3 (1.8 ) 2.9 Equity income of subsidiaries 30.6 79.1 35.9 0.0 (145.6 ) 0.0 Interest (income) expense 0.0 47.6 0.0 5.0 (1.8 ) 50.8 Income taxes (0.6 ) (23.2 ) 22.2 13.0 0.0 11.4 Income from continuing operations 29.3 30.6 77.9 33.5 (144.2 ) 27.1 Discontinued operations 0.0 0.0 0.0 0.6 0.0 0.6 Noncontrolling interests 0.0 0.0 0.0 (1.6 ) 0.0 (1.6 ) Net income attributable to Koppers $ 29.3 $ 30.6 $ 77.9 $ 35.7 $ (144.2 ) $ 29.3 Comprehensive income (loss) attributable to Koppers $ 40.5 $ 41.3 $ 85.0 $ 29.6 $ (155.9 ) $ 40.5 Condensed Consolidating Statement of Comprehensive (Loss) Income For the Year Ended December 31, 2015 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Net sales $ 0.0 $ 791.1 $ 335.6 $ 600.9 $ (100.7 ) $ 1,626.9 Cost of sales including depreciation and amortization 0.0 771.7 233.2 562.4 (99.4 ) 1,467.9 Gain on sale of business 0.0 (3.2 ) 0.0 0.0 0.0 (3.2 ) Goodwill impairment 0.0 43.1 24.1 0.0 0.0 67.2 Selling, general and administrative 1.9 41.3 37.8 43.6 0.0 124.6 Operating (loss) profit (1.9 ) (61.8 ) 40.5 (5.1 ) (1.3 ) (29.6 ) Other income (loss) 0.0 0.5 4.1 (2.4 ) (2.0 ) 0.2 Equity income of subsidiaries (70.8 ) 0.9 (27.9 ) 0.0 97.8 0.0 Interest expense 0.0 45.8 0.0 6.9 (2.0 ) 50.7 Income taxes (0.7 ) (35.4 ) 15.8 16.4 (0.3 ) (4.2 ) (Loss) income from continuing operations (72.0 ) (70.8 ) 0.9 (30.8 ) 96.8 (75.9 ) Discontinued operations 0.0 0.0 0.0 (0.1 ) 0.0 (0.1 ) Noncontrolling interests 0.0 0.0 0.0 (4.0 ) 0.0 (4.0 ) Net income attributable to Koppers $ (72.0 ) $ (70.8 ) $ 0.9 $ (26.9 ) $ 96.8 $ (72.0 ) Comprehensive income (loss) attributable to Koppers $ (91.5 ) $ (90.3 ) $ (18.1 ) $ (41.8 ) $ 150.2 $ (91.5 ) Condensed Consolidating Statement of Comprehensive (Loss) Income For the Year Ended December 31, 2014 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Net sales $ 0.0 $ 795.9 $ 143.0 $ 683.5 $ (67.4 ) $ 1,555.0 Cost of sales including depreciation and amortization 0.0 724.5 108.8 639.0 (66.7 ) 1,405.6 Selling, general and administrative 2.2 59.2 17.4 37.4 0.0 116.2 Operating (loss) profit (2.2 ) 12.2 16.8 7.1 (0.7 ) 33.2 Other income (loss) 0.0 0.2 4.7 (0.6 ) (4.3 ) 0.0 Equity income of subsidiaries (31.0 ) (15.9 ) (6.4 ) 0.0 53.3 0.0 Interest expense 0.0 36.5 0.0 6.9 (4.3 ) 39.1 Income taxes (0.8 ) (9.0 ) 30.5 13.4 0.0 34.1 Income from continuing operations (32.4 ) (31.0 ) (15.4 ) (13.8 ) 52.6 (40.0 ) Discontinued operations 0.0 0.0 (0.6 ) 1.2 0.0 0.6 Noncontrolling interests 0.0 0.0 0.0 (7.0 ) 0.0 (7.0 ) Net income attributable to Koppers $ (32.4 ) $ (31.0 ) $ (16.0 ) $ (5.6 ) $ 52.6 $ (32.4 ) Comprehensive income (loss) attributable to Koppers $ (82.5 ) $ (81.1 ) $ (54.4 ) $ (35.1 ) $ 170.6 $ (82.5 ) |
Condensed Consolidating Balance Sheet | Condensed Consolidating Balance Sheet December 31, 2016 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) ASSETS Cash and cash equivalents $ 0.0 $ 0.0 $ 0.0 $ 20.8 $ 0.0 $ 20.8 Receivables, net 0.0 50.8 25.4 64.4 0.0 140.6 Affiliated receivables 0.7 34.8 32.2 15.4 (83.1 ) 0.0 Inventories, net 0.0 106.6 23.9 99.0 (0.8 ) 228.7 Other current assets 0.0 5.1 13.4 29.2 0.3 48.0 Total current assets 0.7 197.3 94.9 228.8 (83.6 ) 438.1 Equity investments 29.9 697.4 195.4 0.0 (922.7 ) 0.0 Property, plant and equipment, net 0.0 126.7 39.6 114.5 0.0 280.8 Goodwill 0.0 0.8 153.1 32.5 0.0 186.4 Intangible assets, net 0.0 7.9 107.1 26.9 0.0 141.9 Deferred tax assets 0.0 29.7 (8.4 ) 5.8 0.0 27.1 Affiliated loan receivables 0.0 36.9 205.3 21.9 (264.1 ) 0.0 Other assets 0.0 5.5 6.1 1.6 0.0 13.2 Total assets $ 30.6 $ 1,102.2 $ 793.1 $ 432.0 $ (1,270.4 ) $ 1,087.5 LIABILITIES AND EQUITY Accounts payable $ 0.2 $ 69.6 $ 38.9 $ 35.5 $ 0.0 $ 144.2 Affiliated payables 0.0 46.0 20.7 24.5 (91.2 ) 0.0 Accrued liabilities 0.0 49.5 18.9 37.9 0.0 106.3 Current maturities of long-term debt 0.0 30.2 0.0 12.4 0.0 42.6 Total current liabilities 0.2 195.3 78.5 110.3 (91.2 ) 293.1 Long-term debt 0.0 592.0 0.0 27.8 0.0 619.8 Affiliated debt 0.0 209.9 23.5 30.7 (264.1 ) 0.0 Other long-term liabilities 0.0 75.0 11.6 53.4 0.0 140.0 Total liabilities 0.2 1,072.2 113.6 222.2 (355.3 ) 1,052.9 Koppers shareholders’ equity 30.4 30.0 679.5 205.6 (915.1 ) 30.4 Noncontrolling interests 0.0 0.0 0.0 4.2 0.0 4.2 Total liabilities and equity $ 30.6 $ 1,102.2 $ 793.1 $ 432.0 $ (1,270.4 ) $ 1,087.5 Condensed Consolidating Balance Sheet December 31, 2015 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) ASSETS Cash and cash equivalents $ 0.0 $ 0.1 $ 0.7 $ 21.0 $ 0.0 $ 21.8 Receivables, net 0.0 60.4 23.7 75.5 0.0 159.6 Affiliated receivables 0.0 14.3 15.2 4.4 (33.9 ) 0.0 Inventories, net 0.0 111.9 24.9 91.8 (2.2 ) 226.4 Deferred tax assets 0.0 0.0 0.0 0.0 0.0 0.0 Other current assets 0.0 3.7 1.9 30.9 0.0 36.5 Total current assets 0.0 190.4 66.4 223.6 (36.1 ) 444.3 Equity investments (19.0 ) 703.2 165.7 0.0 (849.9 ) 0.0 Property, plant and equipment, net 0.0 117.5 41.2 119.1 0.0 277.8 Goodwill 0.0 0.8 153.1 32.7 0.0 186.6 Intangible assets, net 0.0 8.7 117.6 29.8 0.0 156.1 Deferred tax assets 0.0 29.8 0.8 5.7 0.3 36.6 Affiliated loan receivables 0.7 29.6 222.6 31.7 (284.6 ) 0.0 Other assets (0.2 ) 4.5 4.9 2.3 0.0 11.5 Total assets $ (18.5 ) $ 1,084.5 $ 772.3 $ 444.9 $ (1,170.3 ) $ 1,112.9 LIABILITIES AND EQUITY Accounts payable $ 0.0 $ 73.8 $ 18.9 $ 48.1 $ 0.0 $ 140.8 Affiliated payables 0.0 16.6 10.9 15.3 (42.8 ) 0.0 Accrued liabilities 0.0 35.6 23.4 40.8 0.0 99.8 Current maturities of long-term debt 0.0 30.2 0.0 9.7 0.0 39.9 Total current liabilities 0.0 156.2 53.2 113.9 (42.8 ) 280.5 Long-term debt 0.0 647.5 0.0 34.9 0.0 682.4 Affiliated debt 0.0 217.5 29.5 36.9 (283.9 ) 0.0 Other long-term liabilities 0.0 81.6 13.2 67.6 0.0 162.4 Total liabilities 0.0 1,102.8 95.9 253.3 (326.7 ) 1,125.3 Koppers shareholders’ equity (18.5 ) (18.3 ) 676.4 185.5 (843.6 ) (18.5 ) Noncontrolling interests 0.0 0.0 0.0 6.1 0.0 6.1 Total liabilities and equity $ (18.5 ) $ 1,084.5 $ 772.3 $ 444.9 $ (1,170.3 ) $ 1,112.9 |
Condensed Consolidating Statement of Cash Flows | Condensed Consolidating Statement of Cash Flows For the Year Ended December 31, 2016 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Cash provided by (used in) operating activities $ (0.1 ) $ 106.6 $ 77.0 $ 29.1 $ (93.1 ) $ 119.5 Cash provided by (used in) investing activities: Capital expenditures and acquisitions 0.0 (30.1 ) (7.1 ) (12.7 ) 0.0 (49.9 ) Repayments (loans to) from affiliates 0.0 (6.9 ) 16.9 9.8 (19.8 ) 0.0 Net cash proceeds (payments) from divestitures and asset sales 0.0 00.0 0.9 (4.7 ) 00.0 (3.8 ) Net cash (used in) provided by investing activities 0.0 (37.0 ) 10.7 (7.6 ) (19.8 ) (53.7 ) Cash provided by (used in) financing activities: (Repayments) borrowings of long-term debt 0.0 (59.9 ) 0.1 (1.6 ) 0.0 (61.4 ) Borrowings (repayments) of affiliated debt 0.0 (7.2 ) (6.5 ) (6.1 ) 19.8 00.0 Deferred financing costs 0.0 (1.4 ) 0.0 0.0 0.0 (1.4 ) Dividends paid (0.0 ) (1.2 ) (82.0 ) (9.9 ) 93.1 (0.0 ) Stock repurchased 0.1 0.0 0.0 0.0 0.0 0.1 Net cash used in financing activities 0.1 (69.7 ) (88.4 ) (17.6 ) 112.9 (62.7 ) Effect of exchange rates on cash 0.0 0.0 0.0 (4.1 ) 0.0 (4.1 ) Net increase (decrease) in cash and cash equivalents 0.0 (0.1 ) (0.7 ) (0.2 ) 0.0 (1.0 ) Cash and cash equivalents at beginning of year 0.0 0.1 0.7 21.0 0.0 21.8 Cash and cash equivalents at end of period $ 0.0 $ 0.0 $ 0.0 $ 20.8 $ 0.0 $ 20.8 Condensed Consolidating Statement of Cash Flows For the Year Ended December 31, 2015 Parent Koppers Inc. Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Cash provided by (used in) operating activities $ 5.4 $ 63.0 $ 55.9 $ 60.3 $ (56.9 ) $ 127.7 Cash provided by (used in) investing activities: Capital expenditures and acquisitions 0.0 (41.2 ) (5.3 ) (9.5 ) 0.0 (56.0 ) (Loans to) repayments from affiliates 0.0 6.3 (5.1 ) 9.2 (10.4 ) 0.0 Net cash proceeds from divestitures and asset sales 0.0 12.3 2.1 0.5 0.0 14.9 Net cash (used in) provided by investing activities 0.0 (22.6 ) (8.3 ) 0.2 (10.4 ) (41.1 ) Cash provided by (used in) financing activities: Borrowings (repayments) of long-term debt 0.0 (104.2 ) 0.1 (9.3 ) 0.0 (113.4 ) Borrowings (repayments) of affiliated debt 0.0 71.0 (6.4 ) (75.0 ) 10.4 0.0 Deferred financing costs 0.0 (1.0 ) 0.0 0.0 0.0 (1.0 ) Dividends paid (5.1 ) (6.2 ) (40.8 ) (13.5 ) 56.9 (8.7 ) Stock (repurchased) issued (0.3 ) 0.0 0.0 0.0 0.0 (0.3 ) Net cash (used in) provided by financing activities (5.4 ) (40.4 ) (47.1 ) (97.8 ) 67.3 (123.4 ) Effect of exchange rates on cash 0.0 0.1 (0.7 ) 8.1 0.0 7.5 Net (decrease) increase in cash and cash equivalents 0.0 0.1 (0.2 ) (29.2 ) 0.0 (29.3 ) Cash and cash equivalents at beginning of year 0.0 0.0 0.9 50.2 0.0 51.1 Cash and cash equivalents at end of period $ 0.0 $ 0.1 $ 0.7 $ 21.0 $ 0.0 $ 21.8 Condensed Consolidating Statement of Cash Flows For the Year Ended December 31, 2014 Parent Koppers Domestic Guarantor Subsidiaries Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated (Dollars in millions) Cash provided by (used in) operating activities $ 21.8 $ 23.8 $ 33.8 $ 10.4 $ (54.3 ) $ 35.5 Cash provided by (used in) investing activities: Capital expenditures and acquisitions 0.0 (518.5 ) (16.7 ) (59.9 ) 14.8 (580.3 ) (Loans to) repayments from affiliates 0.0 (32.2 ) (38.9 ) 0.0 71.1 0.0 Net cash proceeds (payments) from divestitures and asset sales 0.0 0.1 0.1 0.1 0.0 0.3 Net cash used in investing activities 0.0 (550.6 ) (55.5 ) (59.8 ) 85.9 (580.0 ) Cash provided by (used in) financing activities: Repayments of long-term debt 0.0 497.0 0.0 50.5 0.0 547.5 Borrowings of affiliated long- term debt 0.0 35.8 27.6 7.7 (71.1 ) 0.0 Deferred financing costs 0.0 (11.1 ) 0.0 0.0 0.0 (11.1 ) Other financing receipts 0.0 0.0 0.0 1.4 0.0 1.4 Dividends paid (20.5 ) (23.6 ) (6.1 ) (24.5 ) 54.3 (20.4 ) Stock issued and repurchased (1.3 ) 0.0 0.0 14.8 (14.8 ) (1.3 ) Net cash provided by (used in) financing activities (21.8 ) 498.1 21.5 49.9 (31.6 ) 516.1 Effect of exchange rates on cash 0.0 (1.2 ) 1.0 (2.5 ) 0.0 (2.7 ) Net increase in cash and cash equivalents 0.0 (29.9 ) 0.8 (2.0 ) 0.0 (31.1 ) Cash and cash equivalents at beginning of year 0.0 29.9 0.1 52.2 0.0 82.2 Cash and cash equivalents at end of period $ 0.0 $ 0.0 $ 0.9 $ 50.2 $ 0.0 $ 51.1 |
Description of Business - Addit
Description of Business - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2016Segment | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Number of operating segments | 3 |
Summary of Significant Accoun55
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Foreign currency transaction (losses) gains | $ (1.3) | $ (10.4) | $ 0.6 | ||||||||
Period for payment of approval basis sale | 30 days | ||||||||||
Net sales | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | 1,626.9 | 1,555 |
Research and development costs | $ 6.6 | $ 5.2 | 3.4 | ||||||||
Percentage of LIFO inventory | 65.00% | 66.00% | 65.00% | 66.00% | |||||||
Inventory write-down | $ 0.6 | $ 1.4 | 2.4 | ||||||||
Advance payment received | $ 0 | 30 | |||||||||
China [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Advance payment received | 30 | ||||||||||
Agreement period | 50 years | ||||||||||
Other Current Assets [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Prepaid expenses | $ 17 | $ 17 | $ 17 | 17 | |||||||
Untreated Crosstie Sales [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Net sales | $ 129.2 | $ 129.8 | $ 93.4 | ||||||||
Minimum [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Equity method investment significant influence percent | 20.00% | ||||||||||
Minimum [Member] | Buildings [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Estimated useful lives | 10 years | ||||||||||
Minimum [Member] | Machinery and Equipment [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Estimated useful lives | 3 years | ||||||||||
Maximum [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Equity method investment significant influence percent | 30.00% | ||||||||||
Maximum [Member] | Buildings [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Estimated useful lives | 20 years | ||||||||||
Maximum [Member] | Machinery and Equipment [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Estimated useful lives | 15 years |
Summary of Significant Accoun56
Summary of Significant Accounting Policies - Summary of Self-lnsured Liabilities (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Accounting Policies [Abstract] | ||
Self-insured liabilities at beginning of year | $ 8 | $ 8.2 |
Expense | 5.1 | 2.6 |
Reserves recoverable from insurance | 2.4 | 0 |
Reversal of self-insured liabilities | (1.7) | (1) |
Cash expenditures | (2.9) | (1.8) |
Self-insured liabilities at end of year | $ 10.9 | $ 8 |
Summary of Significant Accoun57
Summary of Significant Accounting Policies - Summary of Asset Retirement Obligation Liabilities (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Asset retirement obligation at beginning of year | $ 46.5 | $ 30.5 |
(Divestiture) acquisition | (8) | 0.7 |
Accretion expense | 7.1 | 3.7 |
Revision in estimated cash flows (a) | 2.7 | 24.4 |
Cash expenditures | (11.4) | (12.1) |
Currency translation | (0.9) | (0.7) |
Balance at end of period | $ 36 | $ 46.5 |
Summary of Significant Accoun58
Summary of Significant Accounting Policies - Summary of Asset Retirement Obligation Liabilities (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Accounting Policies [Abstract] | ||
Charges related to restructuring activities | $ 2.7 | $ 23.4 |
Summary of Significant Accoun59
Summary of Significant Accounting Policies - Summary of Changes to Deferred Revenue (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Deferred Revenue Disclosure [Abstract] | ||
Deferred revenue at beginning of year | $ 30.1 | $ 2.5 |
Advance payment | 0 | 30 |
Revenue earned | (0.8) | (1) |
Currency translation | (2.1) | (1.4) |
Deferred revenue at end of year | $ 27.2 | $ 30.1 |
New Accounting Pronouncements -
New Accounting Pronouncements - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Adjustments for New Accounting Pronouncement [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Debt issuance cost being reclassified from other assets to long-term debt | $ 12.5 | $ 14.6 |
Plant Closures and Discontinu61
Plant Closures and Discontinued Operations - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||||
Jan. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Jun. 30, 2016 | Mar. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||||||
Inventory write-down | $ 0.6 | $ 1.4 | $ 2.4 | |||
Asset retirement obligation charges | 36 | 46.5 | 30.5 | |||
Gain (loss) on sale of business | 2.1 | 3.2 | $ 0 | |||
Real estate lease obligations | $ 3.7 | |||||
North American Utility Pole Business [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Gain (loss) on sale of business | 3.2 | |||||
Discontinued Operations Disposed Of By Means Other Than Sale [Member] | China [Member] | Koppers Carbon and Chemical Company Limited [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Percentage of operations in Tangshan, China owned by the company | 60.00% | |||||
Severance Charge | 0.9 | |||||
Inventory write-down | 0.7 | |||||
Discontinued Operations Disposed Of By Means Other Than Sale [Member] | Pennsylvania [Member] | Carbon Materials and Chemicals [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Fixed asset subject to impairment | 6.4 | |||||
Severance, Inventory write-down, asset retirement obligation and fixed asset impairment charges | 18.8 | |||||
Plant closure costs | 6.4 | |||||
Discontinued Operations Disposed Of By Means Other Than Sale [Member] | West Virginia [Member] | Railroad and Utility Products and Services [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Plant closure costs | 3 | |||||
Severance, asset retirement obligation and fixed asset impairment charges | 5.7 | |||||
Discontinued Operations, Disposed of by Sale [Member] | United Kingdom [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Severance Charge | 1.5 | |||||
Environmental charges | 13.9 | |||||
Asset retirement obligation charges | 13.9 | |||||
Fixed asset subject to impairment | 13.9 | |||||
Gain (loss) on sale of business | 2.1 | |||||
Discontinued Operations, Disposed of by Sale [Member] | North American Utility Pole Business [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Gain (loss) on sale of business | $ 3.2 | |||||
Plant closure costs | 2.7 | |||||
Net cash proceeds from divestitures and asset sales | 12.3 | |||||
Promissory note received | $ 1.6 | |||||
Long-term lease [Member] | Wood Protection L.P [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Revenues | $ 8 | $ 14 |
Plant Closures and Discontinu62
Plant Closures and Discontinued Operations - Summary of Restructuring Activities and Related Reserves (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | ||
Reserve, Beginning Balance | $ 28.2 | $ 8.1 |
Accrual | 13.7 | 27.5 |
Costs charged against assets | (1.9) | (1.3) |
Reversal of accrued charges | (11.2) | (0.3) |
Cash paid | (11.7) | (5.1) |
Currency translation | (1) | (0.7) |
Reserve, Ending Balance | 16.1 | 28.2 |
Severance and Employee Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve, Beginning Balance | 2 | 0 |
Accrual | 2.4 | 2.2 |
Costs charged against assets | 0 | 0 |
Reversal of accrued charges | (1.9) | 0 |
Cash paid | (1) | (0.2) |
Currency translation | (0.1) | 0 |
Reserve, Ending Balance | 1.4 | 2 |
Environmental Remediation [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve, Beginning Balance | 4.3 | 4.1 |
Accrual | 0.1 | 0.6 |
Costs charged against assets | 0 | 0 |
Reversal of accrued charges | (0.5) | 0 |
Cash paid | (2.4) | 0 |
Currency translation | 0 | (0.4) |
Reserve, Ending Balance | 1.5 | 4.3 |
Asset Retirement [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve, Beginning Balance | 21.9 | 3.9 |
Accrual | 5.6 | 23.4 |
Costs charged against assets | 0 | 0 |
Reversal of accrued charges | (8.7) | (0.3) |
Cash paid | (8.1) | (4.8) |
Currency translation | (0.7) | (0.3) |
Reserve, Ending Balance | 10 | 21.9 |
Other [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve, Beginning Balance | 0 | 0.1 |
Accrual | 5.6 | 1.3 |
Costs charged against assets | (1.9) | (1.3) |
Reversal of accrued charges | (0.1) | 0 |
Cash paid | (0.2) | (0.1) |
Currency translation | (0.2) | 0 |
Reserve, Ending Balance | $ 3.2 | $ 0 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Feb. 28, 2017USD ($) | Jan. 31, 2017USD ($) | Dec. 31, 2016USD ($)Installment | Dec. 31, 2015USD ($) | |
Related Party Transaction [Line Items] | ||||
Loan to related party | $ 8.9 | $ 9.5 | ||
Tangshan Koppers Kailuan Carbon Chemical Company Limited [Member] | ||||
Related Party Transaction [Line Items] | ||||
Loan to related party | $ 9.5 | |||
Ownership percentage | 30.00% | |||
Equity loss recognized from related party | $ 1.1 | |||
Interest receivable | $ 0.5 | |||
Number of installment payments | Installment | 2 | |||
Loan installments expected to received by end date | Jun. 30, 2017 | |||
Tangshan Koppers Kailuan Carbon Chemical Company Limited [Member] | Loan [Member] | Scenario, Forecast [Member] | ||||
Related Party Transaction [Line Items] | ||||
Installment payments | $ 5.2 | |||
Tangshan Koppers Kailuan Carbon Chemical Company Limited [Member] | Loan [Member] | Subsequent Event [Member] | ||||
Related Party Transaction [Line Items] | ||||
Installment payments | $ 5.2 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Company's Financial Instruments (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value [Member] | |||
Financial assets: | |||
Cash and cash equivalents, including restricted cash | $ 20.8 | $ 21.8 | |
Investments and other assets | [1] | 1.1 | 1.1 |
Financial liabilities: | |||
Long-term debt (including current portion) | 669.6 | 724.6 | |
Carrying Value [Member] | |||
Financial assets: | |||
Cash and cash equivalents, including restricted cash | 20.8 | 21.8 | |
Investments and other assets | [1] | 1.1 | 1.1 |
Financial liabilities: | |||
Long-term debt (including current portion) | $ 662.4 | $ 722.3 | |
[1] | Excludes equity method investments. |
Earnings per Common Share - Sch
Earnings per Common Share - Schedule of Computation of Basic and Diluted Earnings per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | |||||||||||
Net income (loss) attributable to Koppers | $ 6.4 | $ 12.1 | $ 12.1 | $ (1.3) | $ (87.7) | $ 10.1 | $ 9 | $ (3.4) | $ 29.3 | $ (72) | $ (32.4) |
Less: Income (loss) from discontinued operations | 0.6 | (0.1) | 0.6 | ||||||||
Income (loss) from continuing operations attributable to Koppers | $ 28.7 | $ (71.9) | $ (33) | ||||||||
Weighted average common shares outstanding: | |||||||||||
Basic | 20,636 | 20,541 | 20,463 | ||||||||
Effect of dilutive securities | 419 | 0 | 0 | ||||||||
Diluted | 21,055 | 20,541 | 20,463 | ||||||||
Earnings (loss) per common share – continuing operations: | |||||||||||
Basic earnings (loss) per common share | $ 0.31 | $ 0.59 | $ 0.58 | $ (0.09) | $ (4.27) | $ 0.49 | $ 0.44 | $ (0.16) | $ 1.39 | $ (3.50) | $ (1.61) |
Diluted earnings (loss) per common share | $ 0.30 | $ 0.58 | $ 0.57 | $ (0.09) | $ (4.27) | $ 0.49 | $ 0.44 | $ (0.16) | $ 1.36 | $ (3.50) | $ (1.61) |
Other data: | |||||||||||
Antidilutive securities excluded from computation of diluted earnings per common share | 415 | 688 | 362 |
Stock-based Compensation - Addi
Stock-based Compensation - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Future compensation expense related to non-vested stock-based compensation arrangements | $ 12 | |
Future compensation expense, weighted-average expected period of recognition in months | 25 months | |
Restricted Stock Units (RSUs) [Member] | Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based awards, vesting period | 1 year | |
Restricted Stock Units (RSUs) [Member] | March 2015 and 2016 Grant [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based awards, vesting period | 4 years | |
Performance Stock Units [Member] | March 2015 Grant [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based awards, vesting period | 3 years | |
Percentage of target award earned by participants | 200.00% | |
Vesting performance stock units if minimum performance criteria are not achieved | 0 | |
Stock options, term in years | 3 years | |
Performance Stock Units [Member] | March 2015 Grant [Member] | Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Percentage of target award earned by participants | 0.00% | |
Performance Stock Units [Member] | March 2015 Grant [Member] | Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Percentage of target award earned by participants | 150.00% | |
Performance Stock Units [Member] | March 2016 Grant [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based awards, vesting period | 3 years | |
Vesting performance stock units if minimum performance criteria are not achieved | 0 | |
Stock options, term in years | 3 years | |
Performance Stock Units [Member] | March 2016 Grant [Member] | Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Percentage of target award earned by participants | 0.00% | |
Performance Stock Units [Member] | March 2016 Grant [Member] | Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Percentage of target award earned by participants | 200.00% | |
Employee Stock Option [Member] | March 2015 Grant [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock options, term in years | 10 years | |
Employee Stock Option [Member] | Executive Officer | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based awards, vesting period | 4 years | |
Employee Stock Option [Member] | Executive Officer | March 2015 Grant [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based awards, vesting period | 3 years |
Stock-based Compensation - Perf
Stock-based Compensation - Performance Award Fair Value Assumptions (Detail) - March 2016 Grant [Member] | 12 Months Ended |
Dec. 31, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share | $ 18.11 |
Expected dividend yield per share | 0.00% |
Expected volatility | 40.86% |
Risk-free interest rate | 1.45% |
Grant date fair value per share | $ 7.41 |
Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share | $ 18.11 |
Expected dividend yield per share | 0.00% |
Expected volatility | 40.86% |
Risk-free interest rate | 0.96% |
Look-back period in years | 2 years 10 months 2 days |
Grant date fair value per share | $ 23.70 |
Stock-based Compensation - Summ
Stock-based Compensation - Summary of Performance Stock Units (Detail) - shares | Dec. 31, 2016 | Dec. 31, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 834,195 | 610,607 |
Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 554,388 | 397,399 |
2014 - 2016 [Member] | Performance Stock Units, Target Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 87,262 | |
2015 - 2017 [Member] | Performance Stock Units, Target Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 203,953 | |
2016 - 2018 [Member] | Performance Stock Units, Target Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 260,588 | |
Minimum [Member] | 2014 - 2016 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 0 | |
Minimum [Member] | 2015 - 2017 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 0 | |
Minimum [Member] | 2016 - 2018 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 0 | |
Maximum [Member] | 2014 - 2016 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 130,893 | |
Maximum [Member] | 2015 - 2017 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 407,906 | |
Maximum [Member] | 2016 - 2018 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 521,176 |
Stock-based Compensation - Su69
Stock-based Compensation - Summary of Status and Activity of Non-Vested Stock Awards (Detail) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, Beginning Balance | 610,607 |
Granted | 443,263 |
Credited from dividends | 2,662 |
Vested | (100,281) |
Forfeited | (122,056) |
Non-vested, Ending Balance | 834,195 |
Beginning Balance, Non-vested, Weighted Average Grant Date Fair Value per Unit | $ / shares | $ 27.29 |
Granted, Weighted Average Grant Date Fair Value per Unit | $ / shares | 22.25 |
Credited from dividends, Weighted Average Grant Date Fair Value per Unit | $ / shares | 25.47 |
Vested, Weighted Average Grant Date Fair Value per Unit | $ / shares | 28.77 |
Forfeited, Weighted Average Grant Date Fair Value per Unit | $ / shares | 36.46 |
Ending Balance, Non-vested, Weighted Average Grant Date Fair Value per Unit | $ / shares | $ 23.09 |
Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, Beginning Balance | 213,208 |
Granted | 178,282 |
Credited from dividends | 950 |
Vested | (100,281) |
Forfeited | (12,352) |
Non-vested, Ending Balance | 279,807 |
Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, Beginning Balance | 397,399 |
Granted | 264,981 |
Credited from dividends | 1,712 |
Vested | 0 |
Forfeited | (109,704) |
Non-vested, Ending Balance | 554,388 |
Stock-based Compensation - Stoc
Stock-based Compensation - Stock Options Fair Value Assumptions (Detail) | 12 Months Ended |
Dec. 31, 2016$ / shares | |
March 2016 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share | $ 18.11 |
Expected dividend yield per share | 0.00% |
Expected life in years | 5 years 11 months 16 days |
Expected volatility | 40.86% |
Risk-free interest rate | 1.45% |
Grant date fair value per share | $ 7.41 |
March 2015 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share | $ 17.57 |
Expected dividend yield per share | 3.40% |
Expected life in years | 5 years 9 months |
Expected volatility | 42.27% |
Risk-free interest rate | 1.73% |
Grant date fair value per share | $ 5.20 |
February 2014 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share | $ 37.93 |
Expected dividend yield per share | 2.75% |
Expected life in years | 6 years 6 months |
Expected volatility | 52.14% |
Risk-free interest rate | 1.98% |
Grant date fair value per share | $ 15.26 |
Stock-based Compensation - Su71
Stock-based Compensation - Summary of Status and Activity of Stock Options (Detail) $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Options, Outstanding at December 31, 2015 | shares | 774,249 |
Options, Granted | shares | 211,193 |
Options, Exercised | shares | (15,901) |
Options, Expired | shares | (14,548) |
Options, Forfeited | shares | (19,539) |
Options, Outstanding at December 31, 2016 | shares | 935,454 |
Options, Exercisable at December 31, 2016 | shares | 436,582 |
Weighted Average Exercise Price per Option, Outstanding at December 31, 2015 | $ / shares | $ 28.46 |
Weighted Average Exercise Price per Option, Granted | $ / shares | 18.11 |
Weighted Average Exercise Price per Option, Exercised | $ / shares | 24.94 |
Weighted Average Exercise Price per Option, Expired | $ / shares | 40.38 |
Weighted Average Exercise Price per Option, Forfeited | $ / shares | 23.70 |
Weighted Average Exercise Price per Option, Outstanding at December 31, 2016 | $ / shares | 26.10 |
Weighted Average Exercise Price per Option, Exercisable at December 31, 2016 | $ / shares | $ 33.07 |
Weighted Average Remaining Contractual Term, Outstanding at December 31, 2016 | 6 years 5 months 16 days |
Weighted Average Remaining Contractual Term, Exercisable at December 31, 2016 | 4 years 1 month 21 days |
Aggregate Intrinsic Value, Outstanding at December 31, 2016 | $ | $ 6 |
Aggregate Intrinsic Value, Exercisable at December 31, 2016 | $ | $ 3.3 |
Stock-based Compensation - Sche
Stock-based Compensation - Schedule of Stock-Based Compensation Expense Recognized (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Stock-based compensation expense recognized: | |||
Less related income tax benefit | $ 3.6 | $ 1.5 | $ 1.9 |
Decrease in net income attributable to Koppers | 5.3 | 2.3 | 2.8 |
Intrinsic value of exercised stock options | 0.1 | 0 | 0.3 |
Cash received from the exercise of stock options | 0.4 | 0 | 0.7 |
Selling, General and Administrative Expenses [Member] | |||
Stock-based compensation expense recognized: | |||
Stock-based compensation expense | $ 8.9 | $ 3.8 | $ 4.7 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($)Segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of reportable segments | Segment | 3 | ||||||||||
Net sales | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | $ 1,626.9 | $ 1,555 |
Non-U.S. Countries [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 486.9 | $ 635.7 | $ 722 |
Segment Information - Summary o
Segment Information - Summary of Results of Segment Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Revenues from external customers: | ||||||||||||
Net sales | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | $ 1,626.9 | $ 1,555 | |
Depreciation and amortization expense | 52.9 | 59 | 44 | |||||||||
Operating profit (loss) | $ 18.9 | $ 27.7 | $ 32 | $ 7.8 | $ (90.6) | $ 27 | $ 26 | $ 8 | 86.4 | (29.6) | 33.2 | |
Capital expenditures (including acquisitions) | 49.9 | 56 | 580 | |||||||||
Railroad and Utility Products and Services [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 586.5 | 657 | 597.8 | |||||||||
Carbon Materials and Chemicals [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 436.3 | 613.4 | 833.7 | |||||||||
Performance Chemicals [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 393.4 | 356.5 | 123.5 | |||||||||
Operating Segments [Member] | Railroad and Utility Products and Services [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 586.5 | 657 | 597.8 | |||||||||
Depreciation and amortization expense | [1] | 13 | 14.2 | 11.9 | ||||||||
Operating profit (loss) | [2] | 51.1 | 62.2 | 53.6 | ||||||||
Capital expenditures (including acquisitions) | 11.2 | 11.1 | 44.5 | |||||||||
Operating Segments [Member] | Carbon Materials and Chemicals [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 436.3 | 613.4 | 833.7 | |||||||||
Depreciation and amortization expense | [3] | 21.2 | 25.8 | 25 | ||||||||
Operating profit (loss) | [4] | (25.1) | (125) | (5.3) | ||||||||
Capital expenditures (including acquisitions) | 29.5 | 37.6 | 63.7 | |||||||||
Operating Segments [Member] | Performance Chemicals [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 393.4 | 356.5 | 123.5 | |||||||||
Depreciation and amortization expense | 18.7 | 19 | 7.1 | |||||||||
Operating profit (loss) | 62 | 39 | 1.6 | |||||||||
Capital expenditures (including acquisitions) | 7.9 | 5.8 | 471.1 | |||||||||
Intersegment [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 98.3 | 95.4 | 87.8 | |||||||||
Intersegment [Member] | Carbon Materials and Chemicals [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 90.2 | 86.7 | 84.8 | |||||||||
Intersegment [Member] | Performance Chemicals [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Net sales | 8.1 | 8.7 | 3 | |||||||||
Corporate, Non-Segment [Member] | ||||||||||||
Revenues from external customers: | ||||||||||||
Operating profit (loss) | [5] | (1.6) | (5.8) | (16.7) | ||||||||
Capital expenditures (including acquisitions) | $ 1.3 | $ 1.5 | $ 0.7 | |||||||||
[1] | Excludes impairment charges of $1.9 million in 2015 for a wood treating facility in the United States. | |||||||||||
[2] | Includes asset retirement obligation and other restructuring costs of $6.9 million for the restructuring of three facilities in the United States in 2016. Includes gain on sale of the Company’s North American utility pole business of $3.2 million and restructuring costs of $5.7 million for a wood treating facility in the United States in 2015. | |||||||||||
[3] | Excludes impairment charges of $3.5, $12.8 and $4.7 million in 2016, 2015 and 2014, respectively, for CMC. | |||||||||||
[4] | Includes plant closure costs of $13.2, $36.5 and $18.1 million in 2016, 2015 and 2014, respectively, for CMC. In the fourth quarter of 2015, the Company also recorded goodwill impairment charges of $67.2 million related to this business unit. | |||||||||||
[5] | Operating loss for Corporate includes general and administrative costs for Koppers Holdings Inc., the parent company of Koppers Inc., foreign exchange revaluation related to intercompany loans in connection with a legal reorganization of the Company and acquisition and acquisition-related integration costs. |
Segment Information - Summary75
Segment Information - Summary of Results of Segment Operations (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue from External Customer [Line Items] | ||||
Impairment charges | $ 35.1 | $ 3.5 | $ 14.7 | $ 4.7 |
Gain (loss) on sale of business | 2.1 | 3.2 | 0 | |
Charges related to restructuring activities | 2.7 | 23.4 | ||
Goodwill impairment charge | 67.2 | 0 | 67.2 | 0 |
United States [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Asset retirement obligation and other restructuring costs | 6.9 | |||
Wood Treating Facility [Member] | United States [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Impairment charges | 1.9 | |||
North American Utility Pole Business [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Gain (loss) on sale of business | 3.2 | |||
North American Utility Pole Business [Member] | Wood Treating Facility [Member] | United States [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Charges related to restructuring activities | 5.7 | |||
Carbon Materials and Chemicals [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Impairment charges | 3.5 | 12.8 | 4.7 | |
Plant closure cost | $ 13.2 | 36.5 | $ 18.1 | |
Goodwill impairment charge | $ 67.2 | $ 67.2 |
Segment Information - Summary76
Segment Information - Summary of Tangible and Intangible Assets by Segments (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Assets | $ 1,087.5 | $ 1,112.9 | ||
Cash and cash equivalents | 20.8 | 21.8 | $ 51.1 | $ 82.2 |
Income tax receivable | 3.8 | 4.6 | ||
Deferred taxes | 69.1 | 70.3 | ||
Property, plant and equipment, net | 280.8 | 277.8 | ||
Goodwill | 186.4 | 186.6 | 247.2 | |
Operating Segments [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Assets | 1,040.1 | 1,063.8 | ||
Corporate, Non-Segment [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | 0 | 0.1 | ||
Income tax receivable | 3.8 | 4.6 | ||
Deferred taxes | 32.5 | 32.6 | ||
Property, plant and equipment, net | 4.9 | 4.7 | ||
Deferred charges | 0.7 | 1.6 | ||
Other | 5.5 | 5.4 | ||
Railroad and Utility Products and Services [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Goodwill | 9.9 | 9.9 | 9.3 | |
Railroad and Utility Products and Services [Member] | Operating Segments [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Assets | 264.2 | 254.1 | ||
Goodwill | 9.9 | 9.9 | ||
Carbon Materials and Chemicals [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Goodwill | 0 | 0 | 65.5 | |
Carbon Materials and Chemicals [Member] | Operating Segments [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Assets | 333 | 368.4 | ||
Performance Chemicals [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Goodwill | 176.5 | 176.7 | $ 172.4 | |
Performance Chemicals [Member] | Operating Segments [Member] | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Assets | 442.9 | 441.3 | ||
Goodwill | $ 176.5 | $ 176.7 |
Segment Information - Schedule
Segment Information - Schedule of Revenues and Long-Lived Assets by Geographic Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenues from external customers | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | $ 1,626.9 | $ 1,555 |
Long-lived assets | 622.3 | 644.5 | 622.3 | 644.5 | 744.9 | ||||||
United States [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues from external customers | 929.3 | 991.2 | 833 | ||||||||
Long-lived assets | 446.6 | 460.3 | 446.6 | 460.3 | 518.8 | ||||||
Australia [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues from external customers | 228.4 | 280.9 | 349 | ||||||||
Long-lived assets | 124.3 | 132.9 | 124.3 | 132.9 | 160.3 | ||||||
Europe [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues from external customers | 140.2 | 144 | 201.1 | ||||||||
Long-lived assets | 31.9 | 32.9 | 31.9 | 32.9 | 47.5 | ||||||
Other Countries [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues from external customers | 118.3 | 210.8 | 171.9 | ||||||||
Long-lived assets | $ 19.5 | $ 18.3 | $ 19.5 | $ 18.3 | $ 18.3 |
Segment Information - Schedul78
Segment Information - Schedule of Segment Revenues for Significant Product Lines (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | $ 1,626.9 | $ 1,555 |
Railroad and Utility Products and Services [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 586.5 | 657 | 597.8 | ||||||||
Railroad and Utility Products and Services [Member] | Railroad Crossties [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 374 | 422 | 371.4 | ||||||||
Railroad and Utility Products and Services [Member] | Utility Poles [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 34.5 | 52.4 | 96.1 | ||||||||
Railroad and Utility Products and Services [Member] | Creosote [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 49.6 | 45.7 | 51.2 | ||||||||
Railroad and Utility Products and Services [Member] | Rail Joints [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 24.4 | 28.1 | 27.2 | ||||||||
Railroad and Utility Products and Services [Member] | Railroad Infrastructure Services [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 43.4 | 42.7 | 14.8 | ||||||||
Railroad and Utility Products and Services [Member] | Other Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 60.6 | 66.1 | 37.1 | ||||||||
Carbon Materials and Chemicals [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 436.3 | 613.4 | 833.7 | ||||||||
Carbon Materials and Chemicals [Member] | Other Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 98.4 | 145.3 | 198.4 | ||||||||
Carbon Materials and Chemicals [Member] | Carbon Pitch [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 191 | 283.4 | 330.2 | ||||||||
Carbon Materials and Chemicals [Member] | Creosote and Carbon Black Feedstock [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 71.3 | 119.6 | 213.7 | ||||||||
Carbon Materials and Chemicals [Member] | Phthalic Anhydride [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 75.6 | 65.1 | 91.4 | ||||||||
Performance Chemicals [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 393.4 | 356.5 | 123.5 | ||||||||
Performance Chemicals [Member] | Other Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 27.9 | 37.9 | 16.5 | ||||||||
Performance Chemicals [Member] | Wood Preservative Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 365.5 | $ 318.6 | $ 107 |
Income Taxes - Summary of Incom
Income Taxes - Summary of Income Tax Provision (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current: | |||
Federal | $ (1.9) | $ (4.2) | $ 17.5 |
State | 1.3 | 0.2 | 0.3 |
Foreign | 13.3 | 16 | 14.6 |
Total current tax provision | 12.7 | 12 | 32.4 |
Deferred: | |||
Federal | (1.6) | (19.2) | 3.1 |
State | 0.5 | 3 | 0 |
Foreign | (0.2) | 0 | (1.4) |
Total deferred tax (benefit) provision | (1.3) | (16.2) | 1.7 |
Total income tax (benefit) provision | $ 11.4 | $ (4.2) | $ 34.1 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Line Items] | ||||
Income (loss) before income taxes | $ 48.2 | $ (15.2) | $ (1.5) | |
Unremitted earnings | 85 | |||
Taxable amount of unremitted earnings | 85 | |||
Income tax expense (benefit) relating to copper swap contracts | 8 | (1.2) | (2.6) | |
Income tax expense (benefit) relating to unfunded status of employee post-retirement benefit plans | 2 | 0.6 | (8.1) | |
Income tax expense related to restricted stock and stock options | 0.4 | 0.5 | 0.3 | |
Valuation allowance | $ 41.9 | 40.2 | 41.9 | |
Goodwill impairment | 67.2 | $ 0 | 67.2 | 0 |
Goodwill impairment charge, not deductible during the period | 25.1 | |||
Goodwill impairment charge, not deductible cumulative period | 3 years | |||
Interest expense (income) and related penalties | $ 1.2 | (1.5) | $ 1.5 | |
Accrued interest expense and penalties | 1.2 | 4.2 | 1.2 | |
Unrecognized tax benefits | 3 | |||
Unrecognized tax benefits with impact on the effective tax rate | $ 4.1 | 5.7 | $ 4.1 | |
Valuation Allowance Operating Loss Carryforwards [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance | 1.6 | |||
U.K. [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance | $ 2.1 |
Income Taxes - Summary of Inc81
Income Taxes - Summary of Income Taxes Reconciled with Federal Statutory Rate (Detail) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Federal income tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal tax benefit | (0.80%) | 2.30% | (4.80%) |
Foreign earnings taxed at different rates | (10.10%) | (8.30%) | (347.60%) |
Domestic production activities deduction | 0.00% | (0.60%) | 40.80% |
Deferred tax adjustments | (0.20%) | 0.40% | 3.20% |
Change in tax contingency reserves | 6.50% | 1.50% | (15.20%) |
Legal entity tax restructuring project | (0.00%) | (0.00%) | (1503.20%) |
Foreign tax credits | (0.00%) | (0.00%) | 1203.40% |
Changes to foreign repatriation plans | 0.00% | 0.00% | 104.00% |
Valuation allowance charges | (1.90%) | (13.00%) | (92.40%) |
Goodwill impairment | 0.00% | (10.90%) | 0.00% |
Other | 1.10% | (1.10%) | (1.20%) |
Total effective tax rate | 29.60% | 5.30% | (578.00%) |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
Reserves, including insurance, environmental and deferred revenue | $ 22.3 | $ 19.9 |
Pension and other postretirement benefits obligations | 19.2 | 19.4 |
Tax credits | 15.4 | 16.8 |
Asset retirement obligations | 12 | 12 |
State tax losses carryforwards (expiring from 2017-2036) | 11.3 | 10.2 |
Foreign tax loss carryforwards (expiring beginning in 2018) | 10.1 | 9.3 |
Accrued employee compensation | 8.9 | 6.9 |
Book/tax inventory accounting differences | 3.5 | 3.2 |
Capital loss benefit | 0 | 0.9 |
Book over tax depreciation and amortization | 0 | 3.6 |
Other | 6.6 | 10 |
Valuation allowance | (40.2) | (41.9) |
Total deferred tax assets | 69.1 | 70.3 |
Deferred tax liabilities: | ||
Tax over book depreciation and amortization | 42.7 | 38.4 |
Gain on derivative contracts | 4.2 | 0 |
Tax/book inventory accounting differences | 0 | 0.3 |
Other | 1.4 | 0.7 |
Total deferred tax liabilities | 48.3 | 39.4 |
Net deferred tax assets | $ 20.8 | $ 30.9 |
Income Taxes - Summary of Def83
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2016 | |
State [Member] | Minimum [Member] | |
Income Taxes [Line Items] | |
Deferred tax assets, operating loss carryforwards, expiration date | 2,017 |
State [Member] | Maximum [Member] | |
Income Taxes [Line Items] | |
Deferred tax assets, operating loss carryforwards, expiration date | 2,036 |
Foreign [Member] | |
Income Taxes [Line Items] | |
Deferred tax assets, operating loss carryforwards, expiration date | 2,018 |
Income Taxes - Summary of Valua
Income Taxes - Summary of Valuation Allowances Recorded to Offset Deferred Tax Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Income Taxes [Line Items] | ||
Total valuation allowances | $ 40.2 | $ 41.9 |
Foreign [Member] | Tax Credits [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | 14.3 | 14.9 |
Foreign [Member] | Operating Losses and Capital Losses [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | 12.7 | 15.4 |
State [Member] | Operating Losses and Tax Credits [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | $ 13.2 | $ 11.6 |
Income taxes - Summary of Unrec
Income taxes - Summary of Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Balance at beginning of year | $ 7.7 | $ 7.2 | $ 6.1 |
Additions based on tax provisions related to the current year | 0.9 | 1.4 | 0.6 |
Additions for tax provisions of prior years | 1.5 | 0 | 0.1 |
Additions as a result of acquisitions | 0 | 0 | 1.6 |
Reductions of tax provisions of prior years | 0 | (0.7) | (0.6) |
Reductions as a result of a lapse of the applicable statute of limitations | (0.4) | (0.2) | (0.6) |
Balance at end of year | $ 9.7 | $ 7.7 | $ 7.2 |
Inventories - Components of Inv
Inventories - Components of Inventories (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 157.7 | $ 169.8 |
Work in process | 14.2 | 15.5 |
Finished goods | 103.6 | 97.4 |
Inventories, gross | 275.5 | 282.7 |
Less revaluation to LIFO | 46.8 | 56.3 |
Net | $ 228.7 | $ 226.4 |
Equity Investments - Additional
Equity Investments - Additional Information (Detail) - USD ($) | 12 Months Ended | 36 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | |||
Dividends received from equity method investment | $ 0 | ||
KSA Limited Partnership [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Sale of assets of equity method investment | $ 2,500,000 | ||
Gain on sale of equity method investments | $ 300,000 | ||
Ownership percentage | 50.00% | 50.00% | |
Tangshan Koppers Kailuan Carbon Chemical Company Limited [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Gain on sale of equity method investments | $ 1,100,000 | ||
Ownership percentage | 30.00% | 30.00% |
Equity Investments - Equity Los
Equity Investments - Equity Losses and Dividends Received (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Equity Method Investments And Joint Ventures [Abstract] | |||
Equity loss | $ (1) | $ (2.2) | $ (1.6) |
Property, Plant and Equipment -
Property, Plant and Equipment - Property, Plant and Equipment (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 791.2 | $ 748.4 |
Less accumulated depreciation | 510.4 | 470.6 |
Net | 280.8 | 277.8 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 17 | 17.6 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 58.2 | 61.8 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 716 | $ 669 |
Property, Plant and Equipment90
Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | ||||
Depreciation, including impairment charges | $ 41.6 | $ 58.4 | $ 38.8 | |
Impairment charges | $ 35.1 | 3.5 | 14.7 | 4.7 |
Carbon Materials and Chemicals [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charges | 3.5 | 12.8 | 4.7 | |
Carbon Materials and Chemicals [Member] | China [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charges | 4.7 | |||
Carbon Materials and Chemicals [Member] | China [Member] | Koppers Shareholder's Equity (Deficit) [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charges | $ 2.8 | |||
Carbon Materials and Chemicals [Member] | Coal Tar Distillation Plant [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charges | $ 3.5 | $ 14.7 |
Goodwill and Other Identifiab91
Goodwill and Other Identifiable Intangible Assets - Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Balance beginning | $ 186.6 | $ 247.2 | ||
Acquisitions | 4.1 | |||
Purchase price allocation adjustments | 9.5 | |||
Impairment | $ (67.2) | 0 | (67.2) | $ 0 |
Currency translation | (0.2) | (7) | ||
Balance ending | 186.6 | 186.4 | 186.6 | 247.2 |
Carbon Materials and Chemicals [Member] | ||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Balance beginning | 0 | 65.5 | ||
Acquisitions | 4.1 | |||
Purchase price allocation adjustments | 0 | |||
Impairment | (67.2) | (67.2) | ||
Currency translation | 0 | (2.4) | ||
Balance ending | 0 | 0 | 0 | 65.5 |
Railroad and Utility Products and Services [Member] | ||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Balance beginning | 9.9 | 9.3 | ||
Acquisitions | 0 | |||
Purchase price allocation adjustments | 1.2 | |||
Impairment | 0 | |||
Currency translation | 0 | (0.6) | ||
Balance ending | 9.9 | 9.9 | 9.9 | 9.3 |
Performance Chemicals [Member] | ||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Balance beginning | 176.7 | 172.4 | ||
Acquisitions | 0 | |||
Purchase price allocation adjustments | 8.3 | |||
Impairment | 0 | |||
Currency translation | (0.2) | (4) | ||
Balance ending | $ 176.7 | $ 176.5 | $ 176.7 | $ 172.4 |
Goodwill and Other Identifiab92
Goodwill and Other Identifiable Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill And Other Intangible Assets [Line Items] | ||||
Goodwill impairment charge | $ 67,200,000 | $ 0 | $ 67,200,000 | $ 0 |
Goodwill | 186,600,000 | 186,400,000 | 186,600,000 | 247,200,000 |
Accumulated impairment losses | 67,200,000 | 67,200,000 | 67,200,000 | |
Amortization expense | 14,800,000 | 15,300,000 | 8,400,000 | |
Foreign Currency Translation [Member] | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Decrease in carrying value of identifiable intangible assets | 500,000 | |||
Carbon Materials and Chemicals [Member] | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Goodwill impairment charge | 67,200,000 | 67,200,000 | ||
Fair value of goodwill | 0 | 0 | ||
Goodwill | $ 0 | $ 0 | $ 0 | $ 65,500,000 |
Goodwill and Other Identifiab93
Goodwill and Other Identifiable Intangible Assets - Schedule of Identifiable Intangible Assets (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average remaining life in years | 11 years 10 months 24 days | |
Gross Carrying Amount | $ 189.4 | $ 189.9 |
Accumulated Amortization | 47.5 | 33.8 |
Net | $ 141.9 | 156.1 |
Customer Contracts [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average remaining life in years | 13 years 2 months 12 days | |
Gross Carrying Amount | $ 152.5 | 153 |
Accumulated Amortization | 33.6 | 24.3 |
Net | $ 118.9 | 128.7 |
Customer Contracts [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 9 years | |
Customer Contracts [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 18 years | |
Technology [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average remaining life in years | 5 years | |
Gross Carrying Amount | $ 26.7 | 26.6 |
Accumulated Amortization | 8.8 | 5.1 |
Net | $ 17.9 | 21.5 |
Technology [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 4 years | |
Technology [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 12 years | |
Trademarks [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average remaining life in years | 4 years 7 months 6 days | |
Gross Carrying Amount | $ 6.1 | 5.9 |
Accumulated Amortization | 1.9 | 1.1 |
Net | $ 4.2 | 4.8 |
Trademarks [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 4 years | |
Trademarks [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 7 years | |
Supply Contracts [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 10 years | |
Weighted average remaining life in years | 3 years 2 months 12 days | |
Gross Carrying Amount | $ 2.2 | 2.3 |
Accumulated Amortization | 1.5 | 1.4 |
Net | $ 0.7 | 0.9 |
Non-Compete Agreements [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 12 years | |
Weighted average remaining life in years | 7 years 9 months 18 days | |
Gross Carrying Amount | $ 1.3 | 1.4 |
Accumulated Amortization | 1.1 | 1.2 |
Net | $ 0.2 | 0.2 |
Favorable Lease Agreements [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 3 years | |
Weighted average remaining life in years | 0 years | |
Gross Carrying Amount | $ 0.6 | 0.7 |
Accumulated Amortization | 0.6 | 0.7 |
Net | $ 0 | $ 0 |
Goodwill and Other Identifiab94
Goodwill and Other Identifiable Intangible Assets - Schedule of Future Amortization Expense (Detail) $ in Millions | Dec. 31, 2016USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2,017 | $ 14.3 |
2,018 | 14.3 |
2,019 | 14.3 |
2,020 | 14 |
2,021 | $ 12.1 |
Pensions and Post-Retirement 95
Pensions and Post-Retirement Benefit Plans - Additional Information (Detail) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016USD ($)Plan | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2016Participant | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Number of domestic non-qualified defined benefit plans | Plan | 3 | |||
Defined contribution plan expense | $ 7.8 | $ 6 | $ 6.9 | |
Amortization of net loss in 2017 | 2 | |||
Accumulated benefit obligation, pension plans | $ 243.3 | 255.8 | ||
Ultimate health care cost trend rate, year | 2,037 | |||
Operating expenses | $ 10.4 | 9.2 | $ 3.8 | |
Minimum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Initial health care cost trend rate | 6.30% | |||
Maximum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Initial health care cost trend rate | 4.50% | |||
Growth seeking assets [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target allocation investment strategy, minimum | 30.00% | |||
Target allocation investment strategy, maximum | 40.00% | |||
Income generating assets [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target allocation investment strategy, minimum | 60.00% | |||
Target allocation investment strategy, maximum | 70.00% | |||
U.S. Defined Benefit Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Number of salaried terminated deferred vested participants | Participant | 375 | |||
Total amount paid out of defined benefit plan assets | $ 13.9 | |||
Pension settlement charge | (4.4) | |||
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total amount paid out of defined benefit plan assets | 13.9 | 0 | ||
Accumulated benefit obligation, pension plans | 238.5 | 251.2 | ||
Expected contributions by employer | 4.2 | |||
Other Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total amount paid out of defined benefit plan assets | 0 | $ 0 | ||
Expected contributions by employer | $ 0.8 | |||
Initial health care cost trend rate | 6.30% | 6.50% |
Pensions and Post-Retirement 96
Pensions and Post-Retirement Benefit Plans - Components of Net Periodic Benefit Cost for Pension Plans and Other Benefit Plans (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 1.7 | $ 2 | $ 2.7 |
Interest cost | 11 | 10.9 | 11.8 |
Expected return on plan assets | (10.5) | (12) | (13.9) |
Amortization of prior service cost | 0 | (0.3) | (0.2) |
Amortization of net loss | 2.2 | 6.6 | 4 |
Settlements and curtailments | 4.4 | (0.8) | 0 |
Net periodic benefit cost | 8.8 | 6.4 | 4.4 |
Other Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 0.4 | 0.4 | 0.5 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service cost | 0 | (0.1) | (0.2) |
Amortization of net loss | (0.4) | (0.3) | 0 |
Settlements and curtailments | 0 | 0 | 0 |
Net periodic benefit cost | $ 0.1 | $ 0.1 | $ 0.4 |
Pensions and Post-Retirement 97
Pensions and Post-Retirement Benefit Plans - Schedule of Change in Funded Status of Pension and Post-Retirement Plans (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets at beginning of year | $ 212.4 | ||
Fair value of plan assets at end of year | 200.9 | $ 212.4 | |
Noncurrent liabilities | 51.6 | 53.6 | |
Accumulated benefit obligation | 243.3 | 255.8 | |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Benefit obligation at beginning of year | 257.5 | 275.7 | |
Service cost | 1.7 | 2 | $ 2.7 |
Interest cost | 11 | 10.9 | 11.8 |
Plan participants’ contributions | 0.1 | 0.2 | |
Actuarial losses (gains) | 10.7 | (14.9) | |
Plan amendments | (0.1) | 0 | |
Settlements | (13.9) | 0 | |
Currency translation | (9.9) | (3.4) | |
Benefits paid | (13.5) | (13) | |
Benefit obligation at end of year | 243.6 | 257.5 | 275.7 |
Fair value of plan assets at beginning of year | 212.4 | 229.5 | |
Actual return on plan assets | 20.8 | (4.6) | |
Employer contribution | 4.4 | 3.4 | |
Settlements | (13.9) | 0 | |
Currency translation | (9.4) | (3.1) | |
Fair value of plan assets at end of year | 200.9 | 212.4 | 229.5 |
Funded status of the plan | (42.7) | (45.1) | |
Noncurrent assets | 0.8 | 0.8 | |
Current liabilities | 1.1 | 0.9 | |
Noncurrent liabilities | 42.4 | 45 | |
Benefit obligation | 238.7 | 252.7 | |
Fair value of plan assets | 195.3 | 206.9 | |
Accumulated benefit obligation | 238.5 | 251.2 | |
Fair value of plan assets | 195.3 | 206.9 | |
Other Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Benefit obligation at beginning of year | 9.4 | 9.8 | |
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 0.4 | 0.4 | 0.5 |
Plan participants’ contributions | 0 | 0 | |
Actuarial losses (gains) | 1 | (0.3) | |
Plan amendments | 0 | 0 | |
Settlements | 0 | 0 | |
Currency translation | 0 | 0 | |
Benefits paid | (0.9) | (0.6) | |
Benefit obligation at end of year | 10 | 9.4 | 9.8 |
Fair value of plan assets at beginning of year | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Employer contribution | 0.9 | 0.6 | |
Settlements | 0 | 0 | |
Currency translation | 0 | 0 | |
Fair value of plan assets at end of year | 0 | 0 | $ 0 |
Funded status of the plan | (10) | (9.4) | |
Noncurrent assets | 0 | 0 | |
Current liabilities | 0.8 | 0.8 | |
Noncurrent liabilities | $ 9.2 | $ 8.6 |
Pensions and Post-Retirement 98
Pensions and Post-Retirement Benefit Plans - Schedule of Projected Benefit Payments (Detail) $ in Millions | Dec. 31, 2016USD ($) |
Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | $ 13 |
2,018 | 12.9 |
2,019 | 13.2 |
2,020 | 13.5 |
2,021 | 13.8 |
Next five years | 75 |
Other Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | 0.9 |
2,018 | 0.9 |
2,019 | 0.8 |
2,020 | 0.8 |
2,021 | 0.7 |
Next five years | $ 3.1 |
Pensions and Post-Retirement 99
Pensions and Post-Retirement Benefit Plans - Schedule of Weighted-Average Assumptions (Detail) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Pension Benefits [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.09% | 4.52% |
Expected return on plan assets | 5.10% | 5.16% |
Rate of compensation increase | 3.50% | 3.82% |
Other Benefits [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.53% | 4.73% |
Initial medical trend rate | 6.30% | 6.50% |
Pensions and Post-Retirement100
Pensions and Post-Retirement Benefit Plans - Schedule of Weighted Average Asset Allocation for Company's Pension Plans (Detail) | Dec. 31, 2016 | Dec. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Total asset allocation | 100.00% | 100.00% |
Debt Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total asset allocation | 71.00% | 70.00% |
Equity Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total asset allocation | 24.00% | 26.00% |
Other [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total asset allocation | 5.00% | 4.00% |
Pensions and Post-Retirement101
Pensions and Post-Retirement Benefit Plans - Schedule of Pension Plan Assets at Fair Value (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | $ 200.9 | $ 212.4 |
Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 62.9 | 66.4 |
Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 128 | 146 |
Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 10 | 0 |
U.S. equity securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 25.5 | 25.2 |
U.S. equity securities [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 12.3 | 15 |
U.S. equity securities [Member] | Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 13.2 | 10.2 |
U.S. equity securities [Member] | Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 0 | 0 |
International equity securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 23.5 | 30.7 |
International equity securities [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 12.6 | 12.1 |
International equity securities [Member] | Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 10.9 | 18.6 |
International equity securities [Member] | Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 0 | 0 |
U.S. debt securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 108.1 | 117.1 |
U.S. debt securities [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 29.7 | 32.3 |
U.S. debt securities [Member] | Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 75.2 | 84.8 |
U.S. debt securities [Member] | Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 3.2 | 0 |
International debt securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 33.7 | 32.5 |
International debt securities [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 8.3 | 7 |
International debt securities [Member] | Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 24.3 | 25.5 |
International debt securities [Member] | Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 1.1 | 0 |
Real estate and other investments [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 6.2 | 1.4 |
Real estate and other investments [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 0 | 0 |
Real estate and other investments [Member] | Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 0.5 | 1.4 |
Real estate and other investments [Member] | Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 5.7 | 0 |
Cash & Cash Equivalents [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 3.9 | 5.5 |
Cash & Cash Equivalents [Member] | Quoted prices in active markets for identical assets (Level 1) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 0 | 0 |
Cash & Cash Equivalents [Member] | Significant observable inputs (Level 2) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | 3.9 | 5.5 |
Cash & Cash Equivalents [Member] | Significant unobservable inputs (Level 3) [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of pension plan assets | $ 0 | $ 0 |
Pensions and Post-Retirement102
Pensions and Post-Retirement Benefit Plans - Summary of Changes in Fair Value of Pension Plan Assets (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair value of plan assets at beginning of year | $ 212.4 |
Fair value of plan assets at end of year | 200.9 |
Level 3 [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair value of plan assets at beginning of year | 0 |
Fair value of plan assets at end of year | 10 |
Level 3 [Member] | Other Investments [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair value of plan assets at beginning of year | 0 |
Purchases, sales, issuances and settlements | 4.4 |
Realized and unrealized gains | 0.2 |
Foreign currency translation loss | (0.3) |
Fair value of plan assets at end of year | 4.3 |
The amount of total gains during the period attributable to the change in unrealized gains relating to Level 3 net assets still held at the reporting date | 0.2 |
Level 3 [Member] | Debt Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair value of plan assets at beginning of year | 0 |
Purchases, sales, issuances and settlements | 6 |
Realized and unrealized gains | 0.1 |
Foreign currency translation loss | (0.4) |
Fair value of plan assets at end of year | 5.7 |
The amount of total gains during the period attributable to the change in unrealized gains relating to Level 3 net assets still held at the reporting date | $ 0.1 |
Pensions and Post-Retirement103
Pensions and Post-Retirement Benefit Plans - Schedule of Health Care Cost Trend Rates (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Postemployment Benefits [Abstract] | |
Postretirement benefit expense one-percentage increase | $ 0 |
Postretirement benefit liability one-percentage increase | 0.2 |
Postretirement benefit expense one-percentage decrease | 0 |
Postretirement benefit liability one-percentage decrease | $ (0.1) |
Debt - Schedule of Long-Term De
Debt - Schedule of Long-Term Debt Instruments (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 01, 2009 | |
Debt Instrument [Line Items] | |||
Total debt | $ 671.1 | $ 734.8 | |
Less short term debt and current maturities of long-term debt | 42.6 | 39.9 | |
Less unamortized debt issuance costs | 8.7 | 12.5 | |
Long-term debt | $ 619.8 | 682.4 | |
Senior Secured Credit Facilities [Member] | Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Debt, Weighted Average Interest Rate | 4.57% | ||
Debt, Maturity | 2,019 | ||
Total debt | $ 232.5 | 262.5 | |
Senior Secured Credit Facilities [Member] | Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt, Weighted Average Interest Rate | 4.57% | ||
Debt, Maturity | 2,019 | ||
Total debt | $ 100.1 | 130 | |
Committed Loan Facility Agreements [Member] | Construction Loans [Member] | |||
Debt Instrument [Line Items] | |||
Debt, Weighted Average Interest Rate | 4.87% | ||
Debt, Maturity | 2,020 | ||
Total debt | $ 40.4 | 44.8 | |
7 7/8 Percent Senior Notes Due 2019 [Member] | Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt, Weighted Average Interest Rate | 7.88% | 7.88% | |
Debt, Maturity | 2,019 | ||
Total debt | $ 298.1 | $ 297.5 |
Debt - Additional Information (
Debt - Additional Information (Detail) ¥ in Millions | Jan. 25, 2017USD ($) | Nov. 18, 2013USD ($) | Dec. 01, 2009USD ($) | Dec. 31, 2016USD ($)Installment | Feb. 28, 2017USD ($) | Apr. 30, 2016USD ($) | Dec. 31, 2015USD ($) | Nov. 18, 2013CNY (¥) |
Debt Instrument [Line Items] | ||||||||
Principal value of Senior Notes | $ 673,000,000 | |||||||
Senior Secured Credit Facilities [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Letters of credit, amount outstanding | 43,500,000 | |||||||
Senior Secured Credit Facilities [Member] | Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Revolving credit facility | 300,000,000 | $ 300,000,000 | ||||||
Deferred financing costs to be written off | 2,000,000 | |||||||
Debt instrument, unused borrowing capacity | $ 159,600,000 | |||||||
Debt, Weighted Average Interest Rate | 4.57% | |||||||
Senior Secured Credit Facilities [Member] | Term Loan Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Revolving credit facility | $ 232,500,000 | |||||||
Quarterly principal repayment obligations, interest rate | 2.50% | |||||||
Quarterly principal repayment obligations | $ 7,500,000 | |||||||
7 7/8 Percent Senior Notes Due 2019 [Member] | Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Principal value outstanding | $ 298,100,000 | |||||||
Debt, Weighted Average Interest Rate | 7.88% | 7.88% | ||||||
Debt instrument, issuance date | Dec. 1, 2009 | |||||||
Debt instrument, offering price percentage | 98.311% | |||||||
Debt instrument, offering value | $ 294,900,000 | |||||||
Principal value of Senior Notes | $ 300,000,000 | |||||||
Debt instrument, effective interest rate | 8.13% | |||||||
Debt instrument redemption date | Feb. 24, 2017 | |||||||
Accumulated amortization | $ 12,000,000 | $ 6,900,000 | ||||||
Unamortized debt issuance costs | $ 8,700,000 | $ 12,500,000 | ||||||
6.00 percent Senior Notes due 2025 [Member] | Senior Notes [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt maturity date | Feb. 15, 2025 | |||||||
Senior notes, payment terms | The 2025 Notes will pay interest semi-annually in arrears on February 15 and August 15 beginning on August 15, 2017 and will mature on February 15, 2025 unless earlier redeemed or repurchased. | |||||||
6.00 percent Senior Notes due 2025 [Member] | Senior Notes [Member] | Subsequent Event [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Senior notes, offering value | $ 500,000,000 | |||||||
Senior notes, effective percentage | 6.00% | |||||||
Principal value of Senior Notes | $ 500,000,000 | |||||||
New Senior Secured Credit Facilities [Member] | Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Revolving credit facility, maturity period | 2022-02 | |||||||
New Senior Secured Credit Facilities [Member] | Revolving Credit Facility [Member] | Scenario, Forecast [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Revolving credit facility | $ 400,000,000 | |||||||
Committed Loan Facility Agreements [Member] | Construction Loans [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt maturity date | Dec. 21, 2020 | |||||||
Number of installments for repayment of loans | Installment | 6 | |||||||
Installment frequency for repayment of loans | 6 months | |||||||
Commencement period of debt repayment | 2018-06 | |||||||
Debt, Weighted Average Interest Rate | 4.87% | |||||||
Committed Loan Facility Agreements [Member] | Construction Loans [Member] | Third Party Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Construction loan facility borrowing capacity | ¥ | ¥ 198.8 | |||||||
Committed Loan Facility Agreements [Member] | Construction Loans [Member] | Committed Credit Facility [Member] | Lender [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Construction loan facility borrowing capacity | ¥ | 66.2 | |||||||
Committed Loan Facility Agreements [Member] | Construction Loans [Member] | Koppers Carbon and Chemical Company Limited [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Percentage ownership of subsidiary | 75.00% | |||||||
Construction loan facility borrowing capacity | $ 44,000,000 | ¥ 265 | ||||||
Percentage of non-controlling shareholders | 25.00% | 25.00% |
Debt - Schedule of Debt Maturit
Debt - Schedule of Debt Maturities (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Disclosure [Abstract] | ||
2,017 | $ 42.6 | |
2,018 | 37 | |
2,019 | 575.3 | |
2,020 | 18.1 | |
Total maturities | 673 | |
Future accretion on 2019 Notes | (1.9) | |
Total debt | $ 671.1 | $ 734.8 |
Debt - Schedule of Debt Matu107
Debt - Schedule of Debt Maturities (Parenthetical) (Detail) - USD ($) | Jan. 25, 2017 | Feb. 28, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | |||
Principal value of Senior Notes | $ 673,000,000 | ||
6.00 percent Senior Notes due 2025 [Member] | Senior Notes [Member] | Subsequent Event [Member] | |||
Debt Instrument [Line Items] | |||
Principal value of Senior Notes | $ 500,000,000 | ||
Revolving credit facility, maturity year | 2,025 | ||
New Senior Secured Credit Facilities [Member] | Revolving Credit Facility [Member] | Scenario, Forecast [Member] | |||
Debt Instrument [Line Items] | |||
Revolving credit facility | $ 400,000,000 | ||
Revolving credit facility, maturity year | 2,022 |
Leases - Future Minimum Commitm
Leases - Future Minimum Commitments for Operating Leases (Detail) $ in Millions | Dec. 31, 2016USD ($) |
Leases [Abstract] | |
2,017 | $ 43.9 |
2,018 | 34 |
2,019 | 17.3 |
2,020 | 13.6 |
2,021 | 11.7 |
Thereafter | 46.8 |
Total | $ 167.3 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Leases [Abstract] | |||
Operating lease expense | $ 50.3 | $ 46.4 | $ 36.7 |
Derivative Financial Instrum110
Derivative Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | ||
Maximum period hedged in cash flow hedge | 30 months | |
Unrealized gains, reclassification period | 12 months | |
Unrealized gains, net of tax, expected to be reclassified from other comprehensive income (loss)into earnings | $ 4.1 | |
Not Designated as Hedging Instrument [Member] | Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | 1 | |
Accrued Liabilities [Member] | Not Designated as Hedging Instrument [Member] | Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | $ (1.9) | |
Gross derivative liability | 0.9 | |
Other Current Assets [Member] | Not Designated as Hedging Instrument [Member] | Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Gross derivative assets | $ 1.9 |
Derivative Financial Instrum111
Derivative Financial Instruments - Outstanding Copper Swap Contracts (Detail) - Copper Swap Contracts [Member] £ in Millions, $ in Millions | Dec. 31, 2016USD ($) | Dec. 31, 2016GBP (£) | Dec. 31, 2015USD ($) | Dec. 31, 2015GBP (£) |
Derivatives Fair Value [Line Items] | ||||
Copper Swap Contracts Units Outstanding | £ | £ 49.1 | £ 21.3 | ||
Net Fair Value - Asset (Liability) | $ | $ 11.6 | $ (10.5) | ||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Copper Swap Contracts Units Outstanding | £ | 42.6 | 17.3 | ||
Net Fair Value - Asset (Liability) | $ | 10.6 | (9.8) | ||
Not Designated as Hedging Instrument [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Copper Swap Contracts Units Outstanding | £ | £ 6.5 | £ 4 | ||
Net Fair Value - Asset (Liability) | $ | $ 1 | $ (0.7) |
Derivative Financial Instrum112
Derivative Financial Instruments - Schedule of Fair Value of Outstanding Copper Swap Contracts Recorded in Balance Sheet (Detail) - Copper Swap Contracts [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | $ 11.6 | $ (10.5) |
Accumulated other comprehensive gain (loss), net of tax | 6.9 | (6.1) |
Other Current Assets [Member] | ||
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | 12.5 | 0.1 |
Accrued Liabilities [Member] | ||
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | $ (0.9) | $ (10.6) |
Derivative Financial Instrum113
Derivative Financial Instruments - Schedule of Amounts Recognized In Earnings Related To Copper Swap Contracts (Detail) - Copper Swap Contracts [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | ||
Gain (loss) from contracts not designated as hedges | $ 1.7 | $ (0.7) |
Net | 1.3 | (0.8) |
Cash Flow Hedging [Member] | ||
Derivative [Line Items] | ||
Gain (loss) from ineffectiveness of cash flow hedges | $ (0.4) | $ (0.1) |
Derivative Financial Instrum114
Derivative Financial Instruments - Schedule Of Net Currency Units Outstanding (Detail) | Dec. 31, 2016USD ($) | Dec. 31, 2016GBP (£) | Dec. 31, 2016NZD | Dec. 31, 2016CAD | Dec. 31, 2015USD ($) | Dec. 31, 2015GBP (£) | Dec. 31, 2015NZD | Dec. 31, 2015CAD |
Offsetting [Abstract] | ||||||||
Net currency units outstanding | $ 24,700,000 | £ 7,300,000 | NZD 15,500,000 | CAD 300,000 | $ 40,000,000 | £ 5,900,000 | NZD 22,500,000 | CAD 0 |
Common Stock and Senior Conv115
Common Stock and Senior Convertible Preferred Stock - Schedule of Changes in Senior Convertible Preferred Stock, Common Stock and Treasury Stock (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Equity [Abstract] | |||
Senior Convertible Preferred Stock, balance at beginning and end of year | 0 | 0 | 0 |
Common Stock, balance at beginning of year | 22,015,994 | 21,938,000 | 21,722,000 |
Common Stock, issued for employee stock plans | 125,000 | 78,000 | 216,000 |
Common Stock, balance at end of year | 22,140,680 | 22,015,994 | 21,938,000 |
Treasury Stock, balance at beginning of year | (1,459,164) | (1,443,000) | (1,390,000) |
Treasury Stock, shares repurchased | (17,000) | (16,000) | (53,000) |
Treasury Stock, balance at end of year | (1,475,792) | (1,459,164) | (1,443,000) |
Commitments and Contingent L116
Commitments and Contingent Liabilities - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||
Jul. 31, 2004USD ($) | Dec. 31, 2016USD ($)StatePlaintiffCaseOwnersitePartyPlantmi | Dec. 31, 2015USD ($)PlaintiffCase | Jun. 30, 2016USD ($) | Dec. 31, 2014USD ($) | |
Loss Contingencies [Line Items] | |||||
Number of states with new claims filed | State | 2 | ||||
Number of plaintiffs | Plaintiff | 99 | 110 | |||
Environmental remediation and regulation liability | $ 12,900,000 | $ 19,800,000 | $ 7,800,000 | ||
Accrued liability for environmental matters, current | 5,200,000 | $ 7,000,000 | |||
Portland Harbor and Newark Bay CERCLA sites [Member] | |||||
Loss Contingencies [Line Items] | |||||
Costs of participating in PRP group | $ 2,000,000 | ||||
Beazer East [Member] | |||||
Loss Contingencies [Line Items] | |||||
Environmental legal indemnification expense | $ 7,000,000 | ||||
Sites listed on National Priorities List | site | 1 | ||||
Compensatory Damages [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases | Case | 55 | ||||
Punitive Damages [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases | Case | 50 | ||||
Indemnification Agreement [Member] | Beazer East [Member] | |||||
Loss Contingencies [Line Items] | |||||
Environmental remediation costs paid by others, per year | $ 10,000,000 | ||||
Coal Tar Pitch Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases | Case | 55 | 59 | |||
Reserve for legal proceedings | $ 0 | ||||
Gainesville Class Action Complaint [Member] | |||||
Loss Contingencies [Line Items] | |||||
Reserve for legal proceedings | $ 0 | ||||
Single family residential properties extension sought by plaintiffs from former plant area | mi | 2 | ||||
Single family residential properties, number of owners | Owner | 7,000 | ||||
Pennsylvania [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases | Case | 54 | ||||
Pennsylvania [Member] | Coal Tar Pitch Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases | Case | 54 | ||||
Tennessee [Member] | Coal Tar Pitch Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases | Case | 1 | ||||
Compensatory damages | $ 15,000,000 | ||||
Oregon [Member] | Portland Harbor CERCLA site [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of potential responsible parties | Party | 80 | ||||
Net present value of selected remedy estimation | $ 1,100,000,000 | ||||
Undiscounted cost of selected remedy estimation | $ 1,700,000,000 | ||||
United States [Member] | Osmose Holdings, Inc. [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of plant sites | Plant | 2 | ||||
Environmental remediation and regulation liability | $ 4,900,000 | ||||
United Kingdom And Australia [Member] | Osmose Holdings, Inc. [Member] | |||||
Loss Contingencies [Line Items] | |||||
Environmental legal indemnification expense | $ 5,000,000 | ||||
Number of plant sites | Plant | 3 | ||||
Environmental remediation and regulation liability | $ 3,500,000 | ||||
Amount contributable by third party | 1,900,000 | ||||
United Kingdom [Member] | Osmose Holdings, Inc. [Member] | |||||
Loss Contingencies [Line Items] | |||||
Amount contributable by third party | $ 2,900,000 | ||||
Australia [Member] | Continental Carbon facility [Member] | |||||
Loss Contingencies [Line Items] | |||||
Environmental remediation and regulation liability | $ 1,500,000 |
Commitments and Contingent L117
Commitments and Contingent Liabilities - Changes in Accrued Liability for Environmental Matters (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | ||
Balance at beginning of year | $ 19.8 | $ 7.8 |
Expense | 1.5 | 1.2 |
Reversal of reserves | (1) | (0.5) |
Cash expenditures | (6.3) | (1.4) |
Acquisition of Osmose Entities | 0 | 13.7 |
Divestitures | (0.3) | 0 |
Currency translation | (0.8) | (1) |
Balance at end of period | $ 12.9 | $ 19.8 |
Selected Quarterly Financial118
Selected Quarterly Financial Data - Schedule of Selected Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of operations data: | |||||||||||
Net sales | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | $ 1,626.9 | $ 1,555 |
Operating (loss) profit | 18.9 | 27.7 | 32 | 7.8 | (90.6) | 27 | 26 | 8 | 86.4 | (29.6) | 33.2 |
Income (loss) from continuing operations | 6.2 | 12 | 11.3 | (2.4) | (88.8) | 9.2 | 7.9 | (4.2) | 27.1 | (75.9) | (40) |
Net income (loss) | 6.3 | 11.9 | 11.3 | (1.8) | (88.8) | 9.1 | 7.9 | (4.2) | 27.7 | (76) | (39.4) |
Net income (loss) attributable to Koppers | $ 6.4 | $ 12.1 | $ 12.1 | $ (1.3) | $ (87.7) | $ 10.1 | $ 9 | $ (3.4) | $ 29.3 | $ (72) | $ (32.4) |
Basic - | |||||||||||
Continuing operations | $ 0.31 | $ 0.59 | $ 0.58 | $ (0.09) | $ (4.27) | $ 0.49 | $ 0.44 | $ (0.16) | $ 1.39 | $ (3.50) | $ (1.61) |
Discontinued operations | 0 | 0 | 0 | 0.03 | 0 | (0.01) | 0 | 0 | 0.03 | (0.01) | 0.03 |
Earnings (loss) per basic common share | 0.31 | 0.59 | 0.58 | (0.06) | (4.27) | 0.48 | 0.44 | (0.16) | 1.42 | (3.51) | (1.58) |
Diluted - | |||||||||||
Continuing operations | 0.30 | 0.58 | 0.57 | (0.09) | (4.27) | 0.49 | 0.44 | (0.16) | 1.36 | (3.50) | (1.61) |
Discontinued operations | 0 | 0 | 0 | 0.03 | 0 | (0.01) | 0 | 0 | 0.03 | (0.01) | 0.03 |
Earnings (loss) per diluted common share | 0.30 | 0.58 | 0.57 | (0.06) | (4.27) | 0.48 | 0.44 | (0.16) | 1.39 | (3.51) | $ (1.58) |
Maximum [Member] | |||||||||||
Diluted - | |||||||||||
Price range of common stock | 42.70 | 33.71 | 31.35 | 23.43 | 23.63 | 24.86 | 27.40 | 26.44 | 42.70 | 27.40 | |
Minimum [Member] | |||||||||||
Diluted - | |||||||||||
Price range of common stock | $ 31.28 | $ 28.54 | $ 21.38 | $ 13.58 | $ 17.34 | $ 17.88 | $ 19.26 | $ 15.78 | $ 13.58 | $ 15.78 |
Selected Quarterly Financial119
Selected Quarterly Financial Data - Schedule of Selected Quarterly Financial Data (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | ||||
Impairment charges | $ 35.1 | $ 3.5 | $ 14.7 | $ 4.7 |
Goodwill impairment | $ 67.2 | $ 0 | $ 67.2 | $ 0 |
Subsidiary Guarantor Informa120
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration - Additional Information (Detail) - USD ($) | Jan. 25, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||||
Principal value of Senior Notes | $ 673,000,000 | |||
Domestic Guarantor Subsidiaries [Member] | ||||
Debt Instrument [Line Items] | ||||
Cash dividends paid | 1,200,000 | $ 6,500,000 | $ 23,600,000 | |
Domestic Guarantor Subsidiaries [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | 400,000,000 | |||
Koppers Inc. [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Amount of assets exceeded liabilities | $ 29,800,000 | |||
Subsequent Event [Member] | Senior Notes [Member] | 6.00 percent Senior Notes due 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Principal value of Senior Notes | $ 500,000,000 | |||
Subsequent Event [Member] | Domestic Guarantor Subsidiaries [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Percentage ownership of subsidiary | 100.00% |
Subsidiary Guarantor Informa121
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration - Condensed Consolidating Statement of Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net sales | $ 313.2 | $ 371.1 | $ 385.1 | $ 346.8 | $ 363.7 | $ 433.8 | $ 431.6 | $ 397.8 | $ 1,416.2 | $ 1,626.9 | $ 1,555 |
Cost of sales including depreciation and amortization | 1,200.9 | 1,467.9 | 1,405.6 | ||||||||
Gain on sale of business | (2.1) | (3.2) | 0 | ||||||||
Goodwill impairment | 67.2 | 0 | 67.2 | 0 | |||||||
Selling, general and administrative | 131 | 124.6 | 116.2 | ||||||||
Operating profit (loss) | 18.9 | 27.7 | 32 | 7.8 | (90.6) | 27 | 26 | 8 | 86.4 | (29.6) | 33.2 |
Other income (loss) | 2.9 | 0.2 | 0 | ||||||||
Equity income of subsidiaries | 0 | 0 | 0 | ||||||||
Interest (income) expense | 50.8 | 50.7 | 39.1 | ||||||||
Income taxes | 11.4 | (4.2) | 34.1 | ||||||||
Income (loss) from continuing operations | 6.2 | 12 | 11.3 | (2.4) | (88.8) | 9.2 | 7.9 | (4.2) | 27.1 | (75.9) | (40) |
Discontinued operations | 0.6 | (0.1) | 0.6 | ||||||||
Noncontrolling interests | (1.6) | (4) | (7) | ||||||||
Net income (loss) attributable to Koppers | $ 6.4 | $ 12.1 | $ 12.1 | $ (1.3) | $ (87.7) | $ 10.1 | $ 9 | $ (3.4) | 29.3 | (72) | (32.4) |
Comprehensive income (loss) attributable to Koppers | 40.5 | (91.5) | (82.5) | ||||||||
Consolidation Eliminations [Member] | |||||||||||
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net sales | (99.8) | (100.7) | (67.4) | ||||||||
Cost of sales including depreciation and amortization | (101.2) | (99.4) | (66.7) | ||||||||
Gain on sale of business | 0 | 0 | |||||||||
Goodwill impairment | 0 | ||||||||||
Selling, general and administrative | 0 | 0 | 0 | ||||||||
Operating profit (loss) | 1.4 | (1.3) | (0.7) | ||||||||
Other income (loss) | (1.8) | (2) | (4.3) | ||||||||
Equity income of subsidiaries | (145.6) | 97.8 | 53.3 | ||||||||
Interest (income) expense | (1.8) | (2) | (4.3) | ||||||||
Income taxes | 0 | (0.3) | 0 | ||||||||
Income (loss) from continuing operations | (144.2) | 96.8 | 52.6 | ||||||||
Discontinued operations | 0 | 0 | 0 | ||||||||
Noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income (loss) attributable to Koppers | (144.2) | 96.8 | 52.6 | ||||||||
Comprehensive income (loss) attributable to Koppers | (155.9) | 150.2 | 170.6 | ||||||||
Parent [Member] | Reportable Legal Entities [Member] | |||||||||||
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net sales | 0 | 0 | 0 | ||||||||
Cost of sales including depreciation and amortization | 0 | 0 | 0 | ||||||||
Gain on sale of business | 0 | 0 | |||||||||
Goodwill impairment | 0 | ||||||||||
Selling, general and administrative | 1.9 | 1.9 | 2.2 | ||||||||
Operating profit (loss) | (1.9) | (1.9) | (2.2) | ||||||||
Other income (loss) | 0 | 0 | 0 | ||||||||
Equity income of subsidiaries | 30.6 | (70.8) | (31) | ||||||||
Interest (income) expense | 0 | 0 | 0 | ||||||||
Income taxes | (0.6) | (0.7) | (0.8) | ||||||||
Income (loss) from continuing operations | 29.3 | (72) | (32.4) | ||||||||
Discontinued operations | 0 | 0 | 0 | ||||||||
Noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income (loss) attributable to Koppers | 29.3 | (72) | (32.4) | ||||||||
Comprehensive income (loss) attributable to Koppers | 40.5 | (91.5) | (82.5) | ||||||||
Koppers Inc. [Member] | Reportable Legal Entities [Member] | |||||||||||
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net sales | 660.7 | 791.1 | 795.9 | ||||||||
Cost of sales including depreciation and amortization | 637.4 | 771.7 | 724.5 | ||||||||
Gain on sale of business | 0 | (3.2) | |||||||||
Goodwill impairment | 43.1 | ||||||||||
Selling, general and administrative | 47.7 | 41.3 | 59.2 | ||||||||
Operating profit (loss) | (24.4) | (61.8) | 12.2 | ||||||||
Other income (loss) | 0.3 | 0.5 | 0.2 | ||||||||
Equity income of subsidiaries | 79.1 | 0.9 | (15.9) | ||||||||
Interest (income) expense | 47.6 | 45.8 | 36.5 | ||||||||
Income taxes | (23.2) | (35.4) | (9) | ||||||||
Income (loss) from continuing operations | 30.6 | (70.8) | (31) | ||||||||
Discontinued operations | 0 | 0 | 0 | ||||||||
Noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income (loss) attributable to Koppers | 30.6 | (70.8) | (31) | ||||||||
Comprehensive income (loss) attributable to Koppers | 41.3 | (90.3) | (81.1) | ||||||||
Domestic Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | |||||||||||
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net sales | 350.6 | 335.6 | 143 | ||||||||
Cost of sales including depreciation and amortization | 252.3 | 233.2 | 108.8 | ||||||||
Gain on sale of business | 0 | 0 | |||||||||
Goodwill impairment | 24.1 | ||||||||||
Selling, general and administrative | 38.2 | 37.8 | 17.4 | ||||||||
Operating profit (loss) | 60.1 | 40.5 | 16.8 | ||||||||
Other income (loss) | 4.1 | 4.1 | 4.7 | ||||||||
Equity income of subsidiaries | 35.9 | (27.9) | (6.4) | ||||||||
Interest (income) expense | 0 | 0 | 0 | ||||||||
Income taxes | 22.2 | 15.8 | 30.5 | ||||||||
Income (loss) from continuing operations | 77.9 | 0.9 | (15.4) | ||||||||
Discontinued operations | 0 | 0 | (0.6) | ||||||||
Noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income (loss) attributable to Koppers | 77.9 | 0.9 | (16) | ||||||||
Comprehensive income (loss) attributable to Koppers | 85 | (18.1) | (54.4) | ||||||||
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | |||||||||||
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net sales | 504.7 | 600.9 | 683.5 | ||||||||
Cost of sales including depreciation and amortization | 412.4 | 562.4 | 639 | ||||||||
Gain on sale of business | (2.1) | 0 | |||||||||
Goodwill impairment | 0 | ||||||||||
Selling, general and administrative | 43.2 | 43.6 | 37.4 | ||||||||
Operating profit (loss) | 51.2 | (5.1) | 7.1 | ||||||||
Other income (loss) | 0.3 | (2.4) | (0.6) | ||||||||
Equity income of subsidiaries | 0 | 0 | 0 | ||||||||
Interest (income) expense | 5 | 6.9 | 6.9 | ||||||||
Income taxes | 13 | 16.4 | 13.4 | ||||||||
Income (loss) from continuing operations | 33.5 | (30.8) | (13.8) | ||||||||
Discontinued operations | 0.6 | (0.1) | 1.2 | ||||||||
Noncontrolling interests | (1.6) | (4) | (7) | ||||||||
Net income (loss) attributable to Koppers | 35.7 | (26.9) | (5.6) | ||||||||
Comprehensive income (loss) attributable to Koppers | $ 29.6 | $ (41.8) | $ (35.1) |
Subsidiary Guarantor Informa122
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration - Condensed Consolidating Balance Sheet (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets | ||||
Cash and cash equivalents | $ 20.8 | $ 21.8 | $ 51.1 | $ 82.2 |
Receivables, net | 140.6 | 159.6 | ||
Affiliated receivables | 0 | 0 | ||
Inventories, net | 228.7 | 226.4 | ||
Deferred tax assets | 0 | |||
Other current assets | 48 | 36.5 | ||
Total current assets | 438.1 | 444.3 | ||
Equity investments | 0 | 0 | ||
Property, plant and equipment, net | 280.8 | 277.8 | ||
Goodwill | 186.4 | 186.6 | 247.2 | |
Intangible assets, net | 141.9 | 156.1 | ||
Deferred tax assets | 27.1 | 36.6 | ||
Affiliated loan receivables | 0 | 0 | ||
Other assets | 13.2 | 11.5 | ||
Total assets | 1,087.5 | 1,112.9 | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 144.2 | 140.8 | ||
Affiliated payables | 0 | 0 | ||
Accrued liabilities | 106.3 | 99.8 | ||
Current maturities of long-term debt | 42.6 | 39.9 | ||
Total current liabilities | 293.1 | 280.5 | ||
Long-term debt | 619.8 | 682.4 | ||
Affiliated debt | 0 | 0 | ||
Other long-term liabilities | 140 | 162.4 | ||
Total liabilities | 1,052.9 | 1,125.3 | ||
Koppers shareholders’ equity | 30.4 | (18.5) | ||
Noncontrolling interests | 4.2 | 6.1 | ||
Total liabilities and equity (deficit) | 1,087.5 | 1,112.9 | ||
Consolidation Eliminations [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Receivables, net | 0 | 0 | ||
Affiliated receivables | (83.1) | (33.9) | ||
Inventories, net | (0.8) | (2.2) | ||
Deferred tax assets | 0 | |||
Other current assets | 0.3 | 0 | ||
Total current assets | (83.6) | (36.1) | ||
Equity investments | (922.7) | (849.9) | ||
Property, plant and equipment, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Deferred tax assets | 0 | 0.3 | ||
Affiliated loan receivables | (264.1) | (284.6) | ||
Other assets | 0 | 0 | ||
Total assets | (1,270.4) | (1,170.3) | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 0 | 0 | ||
Affiliated payables | (91.2) | (42.8) | ||
Accrued liabilities | 0 | 0 | ||
Current maturities of long-term debt | 0 | 0 | ||
Total current liabilities | (91.2) | (42.8) | ||
Long-term debt | 0 | 0 | ||
Affiliated debt | (264.1) | (283.9) | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | (355.3) | (326.7) | ||
Koppers shareholders’ equity | (915.1) | (843.6) | ||
Noncontrolling interests | 0 | 0 | ||
Total liabilities and equity (deficit) | (1,270.4) | (1,170.3) | ||
Parent [Member] | Reportable Legal Entities [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Receivables, net | 0 | 0 | ||
Affiliated receivables | 0.7 | 0 | ||
Inventories, net | 0 | 0 | ||
Deferred tax assets | 0 | |||
Other current assets | 0 | 0 | ||
Total current assets | 0.7 | 0 | ||
Equity investments | 29.9 | (19) | ||
Property, plant and equipment, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Deferred tax assets | 0 | 0 | ||
Affiliated loan receivables | 0 | 0.7 | ||
Other assets | 0 | (0.2) | ||
Total assets | 30.6 | (18.5) | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 0.2 | 0 | ||
Affiliated payables | 0 | 0 | ||
Accrued liabilities | 0 | 0 | ||
Current maturities of long-term debt | 0 | 0 | ||
Total current liabilities | 0.2 | 0 | ||
Long-term debt | 0 | 0 | ||
Affiliated debt | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 0.2 | 0 | ||
Koppers shareholders’ equity | 30.4 | (18.5) | ||
Noncontrolling interests | 0 | 0 | ||
Total liabilities and equity (deficit) | 30.6 | (18.5) | ||
Koppers Inc. [Member] | Reportable Legal Entities [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0.1 | 0 | 29.9 |
Receivables, net | 50.8 | 60.4 | ||
Affiliated receivables | 34.8 | 14.3 | ||
Inventories, net | 106.6 | 111.9 | ||
Deferred tax assets | 0 | |||
Other current assets | 5.1 | 3.7 | ||
Total current assets | 197.3 | 190.4 | ||
Equity investments | 697.4 | 703.2 | ||
Property, plant and equipment, net | 126.7 | 117.5 | ||
Goodwill | 0.8 | 0.8 | ||
Intangible assets, net | 7.9 | 8.7 | ||
Deferred tax assets | 29.7 | 29.8 | ||
Affiliated loan receivables | 36.9 | 29.6 | ||
Other assets | 5.5 | 4.5 | ||
Total assets | 1,102.2 | 1,084.5 | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 69.6 | 73.8 | ||
Affiliated payables | 46 | 16.6 | ||
Accrued liabilities | 49.5 | 35.6 | ||
Current maturities of long-term debt | 30.2 | 30.2 | ||
Total current liabilities | 195.3 | 156.2 | ||
Long-term debt | 592 | 647.5 | ||
Affiliated debt | 209.9 | 217.5 | ||
Other long-term liabilities | 75 | 81.6 | ||
Total liabilities | 1,072.2 | 1,102.8 | ||
Koppers shareholders’ equity | 30 | (18.3) | ||
Noncontrolling interests | 0 | 0 | ||
Total liabilities and equity (deficit) | 1,102.2 | 1,084.5 | ||
Domestic Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0.7 | 0.9 | 0.1 |
Receivables, net | 25.4 | 23.7 | ||
Affiliated receivables | 32.2 | 15.2 | ||
Inventories, net | 23.9 | 24.9 | ||
Deferred tax assets | 0 | |||
Other current assets | 13.4 | 1.9 | ||
Total current assets | 94.9 | 66.4 | ||
Equity investments | 195.4 | 165.7 | ||
Property, plant and equipment, net | 39.6 | 41.2 | ||
Goodwill | 153.1 | 153.1 | ||
Intangible assets, net | 107.1 | 117.6 | ||
Deferred tax assets | (8.4) | 0.8 | ||
Affiliated loan receivables | 205.3 | 222.6 | ||
Other assets | 6.1 | 4.9 | ||
Total assets | 793.1 | 772.3 | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 38.9 | 18.9 | ||
Affiliated payables | 20.7 | 10.9 | ||
Accrued liabilities | 18.9 | 23.4 | ||
Current maturities of long-term debt | 0 | 0 | ||
Total current liabilities | 78.5 | 53.2 | ||
Long-term debt | 0 | 0 | ||
Affiliated debt | 23.5 | 29.5 | ||
Other long-term liabilities | 11.6 | 13.2 | ||
Total liabilities | 113.6 | 95.9 | ||
Koppers shareholders’ equity | 679.5 | 676.4 | ||
Noncontrolling interests | 0 | 0 | ||
Total liabilities and equity (deficit) | 793.1 | 772.3 | ||
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Assets | ||||
Cash and cash equivalents | 20.8 | 21 | $ 50.2 | $ 52.2 |
Receivables, net | 64.4 | 75.5 | ||
Affiliated receivables | 15.4 | 4.4 | ||
Inventories, net | 99 | 91.8 | ||
Deferred tax assets | 0 | |||
Other current assets | 29.2 | 30.9 | ||
Total current assets | 228.8 | 223.6 | ||
Equity investments | 0 | 0 | ||
Property, plant and equipment, net | 114.5 | 119.1 | ||
Goodwill | 32.5 | 32.7 | ||
Intangible assets, net | 26.9 | 29.8 | ||
Deferred tax assets | 5.8 | 5.7 | ||
Affiliated loan receivables | 21.9 | 31.7 | ||
Other assets | 1.6 | 2.3 | ||
Total assets | 432 | 444.9 | ||
LIABILITIES AND EQUITY | ||||
Accounts payable | 35.5 | 48.1 | ||
Affiliated payables | 24.5 | 15.3 | ||
Accrued liabilities | 37.9 | 40.8 | ||
Current maturities of long-term debt | 12.4 | 9.7 | ||
Total current liabilities | 110.3 | 113.9 | ||
Long-term debt | 27.8 | 34.9 | ||
Affiliated debt | 30.7 | 36.9 | ||
Other long-term liabilities | 53.4 | 67.6 | ||
Total liabilities | 222.2 | 253.3 | ||
Koppers shareholders’ equity | 205.6 | 185.5 | ||
Noncontrolling interests | 4.2 | 6.1 | ||
Total liabilities and equity (deficit) | $ 432 | $ 444.9 |
Subsidiary Guarantor Informa123
Subsidiary Guarantor Information for Koppers Inc. 2025 Notes and Shelf Registration - Condensed Consolidating Statement of Cash Flows (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Subsidiary, Sale of Stock [Line Items] | |||
Cash provided by (used in) operating activities | $ 119.5 | $ 127.7 | $ 35.5 |
Cash provided by (used in) investing activities: | |||
Capital expenditures and acquisitions | (49.9) | (56) | (580.3) |
Repayments (loans to) from affiliates | 0 | 0 | 0 |
Net cash proceeds (payments) from divestitures and asset sales | (3.8) | 14.9 | 0.3 |
Net cash used in investing activities | (53.7) | (41.1) | (580) |
Cash provided by (used in) financing activities: | |||
(Repayments) borrowings of long-term debt | (61.4) | (113.4) | 547.5 |
Borrowings (repayments) of affiliated debt | 0 | 0 | 0 |
Deferred financing costs | (1.4) | (1) | (11.1) |
Other financing receipts | 1.4 | ||
Dividends paid | 0 | (8.7) | (20.4) |
Stock (repurchased) issued | 0.1 | (0.3) | (1.3) |
Net cash (used in) provided by financing activities | (62.7) | (123.4) | 516.1 |
Effect of exchange rates on cash | (4.1) | 7.5 | (2.7) |
Net increase (decrease) in cash and cash equivalents | (1) | (29.3) | (31.1) |
Cash and cash equivalents at beginning of period | 21.8 | 51.1 | 82.2 |
Cash and cash equivalents at end of period | 20.8 | 21.8 | 51.1 |
Consolidation Eliminations [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Cash provided by (used in) operating activities | (93.1) | (56.9) | (54.3) |
Cash provided by (used in) investing activities: | |||
Capital expenditures and acquisitions | 0 | 0 | 14.8 |
Repayments (loans to) from affiliates | (19.8) | (10.4) | 71.1 |
Net cash proceeds (payments) from divestitures and asset sales | 0 | 0 | 0 |
Net cash used in investing activities | (19.8) | (10.4) | 85.9 |
Cash provided by (used in) financing activities: | |||
(Repayments) borrowings of long-term debt | 0 | 0 | 0 |
Borrowings (repayments) of affiliated debt | 19.8 | 10.4 | (71.1) |
Deferred financing costs | 0 | 0 | 0 |
Other financing receipts | 0 | ||
Dividends paid | 93.1 | 56.9 | 54.3 |
Stock (repurchased) issued | 0 | 0 | (14.8) |
Net cash (used in) provided by financing activities | 112.9 | 67.3 | (31.6) |
Effect of exchange rates on cash | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 | 0 |
Parent [Member] | Reportable Legal Entities [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Cash provided by (used in) operating activities | (0.1) | 5.4 | 21.8 |
Cash provided by (used in) investing activities: | |||
Capital expenditures and acquisitions | 0 | 0 | 0 |
Repayments (loans to) from affiliates | 0 | 0 | 0 |
Net cash proceeds (payments) from divestitures and asset sales | 0 | 0 | 0 |
Net cash used in investing activities | 0 | 0 | 0 |
Cash provided by (used in) financing activities: | |||
(Repayments) borrowings of long-term debt | 0 | 0 | 0 |
Borrowings (repayments) of affiliated debt | 0 | 0 | 0 |
Deferred financing costs | 0 | 0 | 0 |
Other financing receipts | 0 | ||
Dividends paid | 0 | (5.1) | (20.5) |
Stock (repurchased) issued | 0.1 | (0.3) | (1.3) |
Net cash (used in) provided by financing activities | 0.1 | (5.4) | (21.8) |
Effect of exchange rates on cash | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 | 0 |
Koppers Inc. [Member] | Reportable Legal Entities [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Cash provided by (used in) operating activities | 106.6 | 63 | 23.8 |
Cash provided by (used in) investing activities: | |||
Capital expenditures and acquisitions | (30.1) | (41.2) | (518.5) |
Repayments (loans to) from affiliates | (6.9) | 6.3 | (32.2) |
Net cash proceeds (payments) from divestitures and asset sales | 0 | 12.3 | 0.1 |
Net cash used in investing activities | (37) | (22.6) | (550.6) |
Cash provided by (used in) financing activities: | |||
(Repayments) borrowings of long-term debt | (59.9) | (104.2) | 497 |
Borrowings (repayments) of affiliated debt | (7.2) | 71 | 35.8 |
Deferred financing costs | (1.4) | (1) | (11.1) |
Other financing receipts | 0 | ||
Dividends paid | (1.2) | (6.2) | (23.6) |
Stock (repurchased) issued | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | (69.7) | (40.4) | 498.1 |
Effect of exchange rates on cash | 0 | 0.1 | (1.2) |
Net increase (decrease) in cash and cash equivalents | (0.1) | 0.1 | (29.9) |
Cash and cash equivalents at beginning of period | 0.1 | 0 | 29.9 |
Cash and cash equivalents at end of period | 0 | 0.1 | 0 |
Domestic Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Cash provided by (used in) operating activities | 77 | 55.9 | 33.8 |
Cash provided by (used in) investing activities: | |||
Capital expenditures and acquisitions | (7.1) | (5.3) | (16.7) |
Repayments (loans to) from affiliates | 16.9 | (5.1) | (38.9) |
Net cash proceeds (payments) from divestitures and asset sales | 0.9 | 2.1 | 0.1 |
Net cash used in investing activities | 10.7 | (8.3) | (55.5) |
Cash provided by (used in) financing activities: | |||
(Repayments) borrowings of long-term debt | 0.1 | 0.1 | 0 |
Borrowings (repayments) of affiliated debt | (6.5) | (6.4) | 27.6 |
Deferred financing costs | 0 | 0 | 0 |
Other financing receipts | 0 | ||
Dividends paid | (82) | (40.8) | (6.1) |
Stock (repurchased) issued | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | (88.4) | (47.1) | 21.5 |
Effect of exchange rates on cash | 0 | (0.7) | 1 |
Net increase (decrease) in cash and cash equivalents | (0.7) | (0.2) | 0.8 |
Cash and cash equivalents at beginning of period | 0.7 | 0.9 | 0.1 |
Cash and cash equivalents at end of period | 0 | 0.7 | 0.9 |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Cash provided by (used in) operating activities | 29.1 | 60.3 | 10.4 |
Cash provided by (used in) investing activities: | |||
Capital expenditures and acquisitions | (12.7) | (9.5) | (59.9) |
Repayments (loans to) from affiliates | 9.8 | 9.2 | 0 |
Net cash proceeds (payments) from divestitures and asset sales | (4.7) | 0.5 | 0.1 |
Net cash used in investing activities | (7.6) | 0.2 | (59.8) |
Cash provided by (used in) financing activities: | |||
(Repayments) borrowings of long-term debt | (1.6) | (9.3) | 50.5 |
Borrowings (repayments) of affiliated debt | (6.1) | (75) | 7.7 |
Deferred financing costs | 0 | 0 | 0 |
Other financing receipts | 1.4 | ||
Dividends paid | (9.9) | (13.5) | (24.5) |
Stock (repurchased) issued | 0 | 0 | 14.8 |
Net cash (used in) provided by financing activities | (17.6) | (97.8) | 49.9 |
Effect of exchange rates on cash | (4.1) | 8.1 | (2.5) |
Net increase (decrease) in cash and cash equivalents | (0.2) | (29.2) | (2) |
Cash and cash equivalents at beginning of period | 21 | 50.2 | 52.2 |
Cash and cash equivalents at end of period | $ 20.8 | $ 21 | $ 50.2 |
Schedule II - Valuation and 124
Schedule II - Valuation and Qualifying Accounts (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance for Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | $ 6.5 | $ 5.6 | $ 3.6 |
Business Acquisition | 0 | 0 | 2.6 |
Increase (Decrease) to Expense | 0.7 | 1.3 | (0.2) |
Net (Write- Offs) Recoveries | (3.4) | 0 | 0 |
Currency Translation | 0 | (0.4) | (0.4) |
Balance at End of Year | 3.8 | 6.5 | 5.6 |
Inventory Obsolescence Reserves [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | 2.3 | 3.4 | 1.7 |
Business Acquisition | 0 | 0 | 0.8 |
Increase (Decrease) to Expense | (0.4) | (1) | 1 |
Net (Write- Offs) Recoveries | 0 | 0 | 0 |
Currency Translation | 0 | (0.1) | (0.1) |
Balance at End of Year | 1.9 | 2.3 | 3.4 |
Deferred Tax Valuation Allowance [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | 41.9 | 32.4 | 19.7 |
Business Acquisition | 0 | 0 | 1.5 |
Increase (Decrease) to Expense | 0.9 | 10.1 | 11.4 |
Net (Write- Offs) Recoveries | (1.5) | 0 | 0 |
Currency Translation | (1.1) | (0.6) | (0.2) |
Balance at End of Year | $ 40.2 | $ 41.9 | $ 32.4 |