Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Jan. 29, 2021 | Jun. 30, 2020 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2020 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | KOP | ||
Entity Registrant Name | KOPPERS HOLDINGS INC. | ||
Entity Central Index Key | 0001315257 | ||
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 Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 21,098,544 | ||
Entity Public Float | $ 386.9 | ||
Entity Interactive Data Current | Yes | ||
Title of 12(b) Security | Common Stock | ||
Security Exchange Name | NYSE | ||
Entity File Number | 1-32737 | ||
Entity Incorporation, State or Country Code | PA | ||
Entity Tax Identification Number | 20-1878963 | ||
Entity Address, Address Line One | 436 Seventh Avenue | ||
Entity Address, City or Town | Pittsburgh | ||
Entity Address, State or Province | PA | ||
Entity Address, Postal Zip Code | 15219 | ||
City Area Code | 412 | ||
Local Phone Number | 227-2001 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
ICFR Auditor Attestation Flag | true | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive Proxy Statement for the 2021 Annual Meeting of Shareholders are incorporated by reference into Part III of this Annual Report on Form 10-K. |
Consolidated Statement of Opera
Consolidated Statement of Operations - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement [Abstract] | |||
Net sales | $ 1,669.1 | $ 1,637 | $ 1,562.7 |
Cost of sales | 1,308.7 | 1,306.3 | 1,260.9 |
Depreciation and amortization | 54.1 | 51.4 | 46.9 |
Loss on sale of assets | 0 | 0 | 8.3 |
Impairment and restructuring charges | 6.5 | 6 | 4 |
Selling, general and administrative expenses | 143.1 | 148.3 | 158.2 |
Operating profit | 156.7 | 125 | 84.4 |
Other income, net | 2.3 | 0.4 | 0.9 |
Interest expense | 48.9 | 61.7 | 54.1 |
Income from continuing operations before income taxes | 110.1 | 63.7 | 31.2 |
Income tax provision | 21 | 0 | 25.7 |
Income from continuing operations | 89.1 | 63.7 | 5.5 |
(Loss) income from discontinued operations, net of tax benefit (expense) of $0.9, $(1.4) and $(0.7) | (3.9) | 3.7 | 23.7 |
Gain on sale of discontinued operations, net of tax expense of $8.3 | 35.8 | 0 | 0 |
Net income | 121 | 67.4 | 29.2 |
Net (loss) income attributable to noncontrolling interests | (1) | 0.8 | 5.8 |
Net income attributable to Koppers | $ 122 | $ 66.6 | $ 23.4 |
Basic - | |||
Continuing operations | $ 4.25 | $ 3.09 | $ 0.26 |
Discontinued operations | 1.56 | 0.13 | 0.86 |
Earnings per basic common share | 5.81 | 3.22 | 1.12 |
Diluted - | |||
Continuing operations | 4.17 | 3.03 | 0.26 |
Discontinued operations | 1.54 | 0.13 | 0.84 |
Earnings per diluted common share | $ 5.71 | $ 3.16 | $ 1.10 |
Weighted average shares outstanding (in thousands): | |||
Basic | 20,992 | 20,665 | 20,871 |
Diluted | 21,374 | 21,068 | 21,326 |
Consolidated Statement of Ope_2
Consolidated Statement of Operations (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement [Abstract] | |||
(Loss) income from discontinued operations, net of tax benefit (expense) | $ 0.9 | $ (1.4) | $ (0.7) |
Tax expense on gain on sale of business | $ 8.3 | $ 8.3 | $ 8.3 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income (Loss) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net income | $ 121 | $ 67.4 | $ 29.2 |
Changes in other comprehensive income (loss): | |||
Currency translation adjustment | 22.8 | (1.3) | (25.6) |
Unrealized gain (loss) on cash flow hedges, net of tax (expense) benefit of $(12.6), $(4.1) and $10.0 | 41.2 | 8.7 | (25.2) |
Change in accounting standard | 0 | 0 | 0.3 |
Unrecognized pension prior service benefit, net of tax benefit of $0.0, $0.0 and $0.1 | 0 | (0.1) | (0.6) |
Unrecognized pension net (loss) gain, net of tax benefit (expense) of $0.4, $(0.8) and $0.2 | (1.1) | 2.1 | (0.5) |
Total comprehensive income (loss) | 183.9 | 76.8 | (22.4) |
Comprehensive income attributable to noncontrolling interests | 0.1 | 0.6 | 5 |
Comprehensive income (loss) attributable to Koppers | $ 183.8 | $ 76.2 | $ (27.4) |
Consolidated Statement of Com_2
Consolidated Statement of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Tax benefit (expense), unrealized gains on cash flow hedges | $ (12.6) | $ (4.1) | $ 10 |
Unrecognized pension prior service benefit, tax benefit | 0 | 0 | 0.1 |
Tax benefit (expense), unrecognized pension net income | $ 0.4 | $ (0.8) | $ 0.2 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Assets | |||
Cash and cash equivalents, including restricted cash (Note 4) | $ 38.5 | $ 32.3 | |
Accounts receivable, net of allowance of $2.6 and $2.6 | 175.1 | 161.7 | |
Income tax receivable | 1.2 | 1.1 | |
Inventories, net | [1] | 295.8 | 288.5 |
Assets of discontinued operations held for sale | 0 | 17.1 | |
Derivative contracts | 38.5 | 2.4 | |
Other current assets | 15.4 | 16.4 | |
Total current assets | 564.5 | 519.5 | |
Property, plant and equipment, net | [2] | 409.1 | 358.8 |
Operating lease right-of-use assets | 102.5 | 112.3 | |
Goodwill | 297.8 | 296.1 | |
Intangible assets, net | 149.8 | 168.4 | |
Deferred tax assets | 18.4 | 23.7 | |
Non-current assets of discontinued operations held for sale | 0 | 59.3 | |
Non-current derivative contracts | 31.9 | 4.1 | |
Other assets | 24.6 | 22.4 | |
Total assets | 1,598.6 | 1,564.6 | |
Liabilities | |||
Accounts payable | 154.1 | 162.8 | |
Accrued liabilities | 106.7 | 89.3 | |
Current operating lease liabilities | 21.2 | 22 | |
Current maturities of long-term debt | 10.1 | 10.2 | |
Liabilities of discontinued operations held for sale | 0 | 11.9 | |
Total current liabilities | 292.1 | 296.2 | |
Long-term debt | 765.8 | 891 | |
Accrued postretirement benefits | 46.2 | 46.6 | |
Deferred tax liabilities | 21.3 | 6.8 | |
Operating lease liabilities | 81.3 | 91.5 | |
Non-current liabilities of discontinued operations held for sale | 0 | 25.1 | |
Other long-term liabilities | 45.9 | 48.7 | |
Total liabilities | 1,252.6 | 1,405.9 | |
Commitments and contingent liabilities (Note 19) | |||
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; 23,688,347 and 23,321,087 shares issued | 0.2 | 0.2 | |
Additional paid-in capital | 234.1 | 221.9 | |
Retained earnings | 215.8 | 93.8 | |
Accumulated other comprehensive loss | (15.9) | (77.7) | |
Treasury stock, at cost, 2,589,803 and 2,515,925 shares | (92.5) | (90.9) | |
Total Koppers shareholders’ equity | 341.7 | 147.3 | |
Noncontrolling interests | 4.3 | 11.4 | |
Total equity | 346 | 158.7 | |
Total liabilities and equity | $ 1,598.6 | $ 1,564.6 | |
[1] | Net inventories excludes $10.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 | ||
[2] | Net property, plant, and equipment excludes $56.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance | $ 2.6 | $ 2.6 |
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 | 23,688,347 | 23,321,087 |
Treasury stock, shares | 2,589,803 | 2,515,925 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash provided by (used in) operating activities: | |||
Net income | $ 121 | $ 67.4 | $ 29.2 |
Adjustments to reconcile net cash provided by (used in) operating activities: | |||
Depreciation and amortization | 54.1 | 55.1 | 50.8 |
Stock-based compensation | 11.3 | 12.1 | 12.5 |
Change in derivative contracts | (9.2) | (4.1) | 6.9 |
Non-cash interest expense | 2.6 | 2.6 | 2.4 |
(Gain) on sale of discontinued operations and loss on disposal of assets and investment | (35.6) | 0.8 | 0.7 |
Insurance proceeds | (0.7) | (3) | (1.5) |
Loss on sale of assets | 0 | 0 | 8.3 |
Deferred income taxes | 9.4 | (10.9) | 9.1 |
Change in other liabilities | (8.6) | (18.4) | (22.6) |
Other - net | (0.6) | (0.3) | (0.8) |
Changes in working capital: | |||
Accounts receivable | (11.5) | 25.4 | (7.7) |
Inventories | 8.7 | (14.8) | (18.3) |
Accounts payable | (25.3) | (3.1) | 30.8 |
Accrued liabilities | 8.5 | 3.9 | (27) |
Other working capital | 3 | 2.6 | 5.5 |
Net cash provided by operating activities | 127.1 | 115.3 | 78.3 |
Cash provided by (used in) investing activities: | |||
Capital expenditures | (69.8) | (37.2) | (109.7) |
Acquisitions, net of cash acquired | 0 | 0 | (264) |
Insurance proceeds | 0.7 | 3 | 1.5 |
Net cash provided by sale of discontinued operations and asset sales | 74.7 | 0.4 | (4.2) |
Net cash provided by (used in) investing activities | 5.6 | (33.8) | (376.4) |
Cash (used in) provided by financing activities: | |||
Net (decrease) increase in credit facility borrowings | (57.3) | (61.1) | 234.9 |
Borrowings of long-term debt | 0 | 0 | 100 |
Repayments of long-term debt | (70.7) | (29.7) | (20.3) |
Issuances of Common Stock | 1.1 | 4 | 2.9 |
Repurchases of Common Stock | (1.6) | (0.9) | (31.8) |
Payment of debt issuance costs | (0.2) | (1) | (2.9) |
Net cash (used in) provided by financing activities | (128.7) | (88.7) | 282.8 |
Effect of exchange rate changes on cash | 1.5 | (0.4) | (4.4) |
Change in cash and cash equivalents of discontinued operations held for sale | 0.7 | 2.5 | 6.2 |
Net increase (decrease) in cash and cash equivalents | 6.2 | (5.1) | (13.5) |
Cash and cash equivalents at beginning of period | 32.3 | 37.4 | 50.9 |
Cash and cash equivalents at end of period | 38.5 | 32.3 | 37.4 |
Cash paid for amounts included in the measurement of lease liabilities: | |||
Operating cash outflow from operating leases | 31.5 | 31.1 | |
Supplemental disclosure of non-cash investing and financing activities: | |||
Right-of-use assets obtained in exchange for new operating lease liabilities | 8.6 | 29.9 | |
Cash paid during the year for: | |||
Interest | 50.1 | 60.9 | 49.8 |
Income taxes | 13.4 | 16.8 | 25.9 |
Noncash investing activities: | |||
Accrued capital expenditures | $ 8.9 | $ 0.4 | $ 3.7 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) $ in Millions | Total | Senior Convertible Preferred Stock [Member] | Common Stock [Member] | Noncontrolling Interests [Member] | Retained Earnings (Accumulated Deficit) [Member] | Currency Translation Adjustment [Member] | Unrecognized Gains (Losses) on Cash Flow Hedges [Member] | Unrecognized Pension Prior Service Cost [Member] | Unrecognized Pension Net Loss [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive (Loss) Income [Member] | Koppers Shareholder's Equity (Deficit) [Member] |
Balance at Dec. 31, 2017 | $ 0 | $ 0.2 | $ 5.9 | $ 7.4 | $ (13.8) | $ 15.8 | $ 0 | $ (42.1) | $ 190.6 | $ (58.2) | |||
Net (loss) income attributable to noncontrolling interests | $ 5.8 | 5.8 | |||||||||||
Net income (loss) attributable to Koppers | 23.4 | 23.4 | |||||||||||
Change in accounting standard, net of tax expense of $0.0, $1.3 and $0.0 | (3.6) | 3.9 | |||||||||||
Purchases | (31.8) | ||||||||||||
Change in currency translation adjustment | (25.6) | (0.9) | (24.7) | ||||||||||
Reclassification of unrealized (gains) losses on cash flow hedges toexpense, net of tax benefit (expense) of $0.1, $(1.5) and $2.5 | (7.4) | ||||||||||||
Change in cash flow hedges, net of tax (expense) benefitof $(12.7), $(2.6) and $7.5 | (25.2) | (17.8) | |||||||||||
Revaluation of unrecognized prior service benefit,net of tax benefit of $0.0, $0.1 and $0.0 | (0.6) | ||||||||||||
Reclassification of unrecognized pension net loss to expense, netof tax expense of $0.3, $0.3 and $0.4 | 1.1 | ||||||||||||
Revaluation of unrecognized pension net loss, net of tax(benefit) expense of $(0.7), $0.4 and $(0.5) | (1.6) | ||||||||||||
Sale of discontinued operations | 0 | ||||||||||||
Employee stock plans | 12.5 | ||||||||||||
Issuance of common stock | 2.9 | ||||||||||||
Balance at Dec. 31, 2018 | 67 | 0 | 0.2 | 10.8 | 27.2 | (38.5) | (5.5) | (0.6) | (42.6) | 206 | (90) | $ (87.2) | $ 56.2 |
Net (loss) income attributable to noncontrolling interests | 0.8 | 0.8 | |||||||||||
Net income (loss) attributable to Koppers | 66.6 | 66.6 | |||||||||||
Change in accounting standard, net of tax expense of $0.0, $1.3 and $0.0 | 0 | 0 | |||||||||||
Purchases | (0.9) | ||||||||||||
Change in currency translation adjustment | (1.3) | (0.2) | (1.3) | ||||||||||
Reclassification of unrealized (gains) losses on cash flow hedges toexpense, net of tax benefit (expense) of $0.1, $(1.5) and $2.5 | 4.6 | ||||||||||||
Change in cash flow hedges, net of tax (expense) benefitof $(12.7), $(2.6) and $7.5 | 8.7 | 4.1 | |||||||||||
Revaluation of unrecognized prior service benefit,net of tax benefit of $0.0, $0.1 and $0.0 | 0 | ||||||||||||
Reclassification of unrecognized pension net loss to expense, netof tax expense of $0.3, $0.3 and $0.4 | 1.1 | ||||||||||||
Revaluation of unrecognized pension net loss, net of tax(benefit) expense of $(0.7), $0.4 and $(0.5) | 1 | ||||||||||||
Sale of discontinued operations | 0 | ||||||||||||
Employee stock plans | 12.1 | ||||||||||||
Issuance of common stock | 3.8 | ||||||||||||
Balance at Dec. 31, 2019 | 158.7 | $ 0 | $ 0.2 | 11.4 | 93.8 | (39.8) | 3.2 | (0.6) | (40.5) | 221.9 | (90.9) | (77.7) | 147.3 |
Net (loss) income attributable to noncontrolling interests | (1) | (1) | |||||||||||
Net income (loss) attributable to Koppers | 122 | 122 | |||||||||||
Change in accounting standard, net of tax expense of $0.0, $1.3 and $0.0 | 0 | 0 | |||||||||||
Purchases | (1.6) | ||||||||||||
Change in currency translation adjustment | 22.8 | 1.1 | 21.7 | ||||||||||
Reclassification of unrealized (gains) losses on cash flow hedges toexpense, net of tax benefit (expense) of $0.1, $(1.5) and $2.5 | (0.2) | ||||||||||||
Change in cash flow hedges, net of tax (expense) benefitof $(12.7), $(2.6) and $7.5 | 41.2 | 41.4 | |||||||||||
Revaluation of unrecognized prior service benefit,net of tax benefit of $0.0, $0.1 and $0.0 | 0 | ||||||||||||
Reclassification of unrecognized pension net loss to expense, netof tax expense of $0.3, $0.3 and $0.4 | 1.1 | ||||||||||||
Revaluation of unrecognized pension net loss, net of tax(benefit) expense of $(0.7), $0.4 and $(0.5) | (2.2) | ||||||||||||
Sale of discontinued operations | (7.2) | ||||||||||||
Employee stock plans | 11.3 | ||||||||||||
Issuance of common stock | 0.9 | ||||||||||||
Balance at Dec. 31, 2020 | $ 346 | $ 4.3 | $ 215.8 | $ (18.1) | $ 44.4 | $ (0.6) | $ (41.6) | $ 234.1 | $ (92.5) | $ (15.9) | $ 341.7 |
Consolidated Statement of Sha_2
Consolidated Statement of Shareholders' Equity (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Deferred losses on cash flow hedges, tax benefit (expense) | $ 12.6 | $ 4.1 | $ (10) |
Revaluation of unrecognized pension net loss, tax benefit | (0.7) | 0.4 | (0.5) |
Unrecognized Gains (Losses) on Cash Flow Hedges [Member] | |||
Changes in accounting standard, tax | 0 | 0 | 1.3 |
Unrealized (gains) losses on cash flow hedges to expense, tax benefit (expense) | 0.1 | (1.5) | 2.5 |
Deferred losses on cash flow hedges, tax benefit (expense) | (12.7) | (2.6) | 7.5 |
Unrecognized Pension Prior Service Cost [Member] | |||
Revaluation of unrecognized prior service benefit, tax benefit | 0 | 0 | 0.1 |
Unrecognized Pension Net Loss [Member] | |||
Reclassification of unrecognized pension net loss, tax expense | $ 0.3 | $ 0.3 | $ 0.4 |
Description of Business
Description of Business | 12 Months Ended |
Dec. 31, 2020 | |
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 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 – We are 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. Our business is operated through three business segments, Railroad and Utility Products and Services (“RUPS”), Performance Chemicals (“PC”) and Carbon Materials and Chemicals (“CMC”). Our RUPS 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 segment also operates a railroad services business that conducts engineering, design, repair and inspection services for railroad bridges and a business related to the recovery of used crossties and utility poles. Our PC 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. Our CMC 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, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of presentation – The consolidated financial statements include our accounts and all majority-owned subsidiaries for which we are deemed to exercise control over its operations. All significant intercompany transactions have been eliminated in consolidation. Certain prior period amounts in the Notes to 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. Revenue recognition – Effective January 1, 2018, we adopted Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers, using the modified retrospective method. We recognized the cumulative effect of initially applying the new revenue standard as an adjustment to the opening balance of retained earnings. Revenue is recognized upon the completion of performance obligations under our contracts with customers and when control of a good or service is transferred to the customer. Substantially all of our contracts with customers are ship and invoice arrangements where revenue is recognized when we complete our performance obligations and transfer control to the customer . We recognize revenue related to the procurement of certain untreated railroad crossties upon delivery to our plant and acceptance by the customer. Service revenue, consisting primarily of wood treating services, is recognized at the time the service is provided and the performance obligation is satisfied. Payment on sales of untreated railroad crossties and wood treating services are generally due within 30 days of the invoice date. Contract Balances – The timing of revenue recognition in accordance with ASC 606 results in both billed accounts receivable and unbilled receivables, both classified as accounts receivable, net of allowance within the consolidated balance sheet. Contract assets of $5.8 million and $5.1 million are recorded within accounts receivable, net of allowance within the consolidated balance sheet as of December 31, 2020 and December 31, 2019, respectively. Cash, cash equivalents and restricted cash – 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. Restricted cash of $2.3 million as of December 31, 2020 is being held in an escrow account for a remaining period of 15 months to cover potential customary indemnity claims by the buyers of one of our businesses sold as described in Note 4 – “Plant Closures and Discontinued Operations.” Accounts receivable – We maintain allowances for doubtful accounts for estimated losses resulting from the inability of customers to make required payments. In circumstances where we become 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 our 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 net realizable value. UIP inventories are valued at the lower of cost, utilizing the moving average cost basis, or net realizable value. 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, and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. LIFO inventories constituted approximately 53 percent and 51 percent of the FIFO inventory value at December 31, 2020 and 2019, respectively. In 2020, 2019 and 2018, we recorded inventory write-downs of $0.6 million, $1.0 million and $1.0 million, respectively, related to lower of cost and net realizable value 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 ten to 20 years We periodically evaluate whether current facts and circumstances indicate that the carrying value of 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. Goodwill is not amortized and is subject to an impairment test that we conduct annually or more frequently if a change in circumstances or the occurrence of events Identifiable intangible assets, other than goodwill, are recorded at fair value. Identifiable intangible assets 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. Leases – Effective January 1, 2019, we changed our method of accounting for leases due to the adoption of Accounting Standards Update (ASU) No. 2016-02, “Leases (Topic 842)” and ASU No. 2018-10, “Codification Improvements to Topic 842, Leases”, using the modified retrospective method with no restatement of comparative periods presented. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. Lease arrangements are determined whether or not to be a lease at inception. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments. ROU lease liabilities are recognized based on the present value of the future minimum lease payments over the term of the lease as of the start date and may include consideration of certain adjustments including non-lease components. ROU assets are determined based on the determined ROU lease liability and may include the consideration of certain adjustments including initial direct costs, prepaid lease payments, lease incentives received, and non-lease components. The option to extend or terminate a lease is included in the determination of the ROU asset and lease liability only when it is reasonably certain that we will exercise that option. Asset retirement obligations – Asset retirement obligations are initially recorded at present value and are capitalized as part of the cost of the related long-lived asset when sufficient information is available to estimate present value. The capitalized costs are subsequently charged to depreciation expense over the estimated useful life of the related long-lived asset. The present 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 fair value. We recognize 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 our asset retirement obligation liabilities: December 31, 2020 2019 (Dollars in millions) Asset retirement obligation at beginning of year $ 20.7 $ 27.0 Accretion expense 1.1 1.5 Revision in estimated cash flows (a) 4.6 4.7 Cash expenditures (6.6 ) (12.5 ) Balance at end of period $ 19.8 $ 20.7 (a) Revision in estimated cash flows for 2020 and 2019 includes $2.9 and $3.4 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 of 1980, as amended (“CERCLA”), sites. Environmental liabilities – We accrue 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. COVID-19 Assessment In March 2020, the World Health Organization categorized the current coronavirus disease (“COVID-19”) as a pandemic. COVID-19 continues to impact the United States and other countries across the world, and the duration and ultimate severity of its effects are currently unknown. This current level of uncertainty over the economic and operational impacts of COVID-19 means the related future financial impact cannot be reasonably estimated at this time. Our consolidated financial statements presented herein reflect certain estimates and assumptions made by management that affect the reported amounts of assets and liabilities and disclosure of such assets and liabilities at the date of the consolidated financial statements and reported amounts of revenue and expenses during the reporting periods presented. Such estimates and assumptions affect, among other things, our goodwill, long-lived asset and intangible asset valuation; inventory valuation; valuation of deferred income taxes; and the allowance for doubtful accounts. Events and changes in circumstances arising after December 31, 2020, including those resulting from the impacts of COVID-19, will be reflected in management’s estimates for future periods. |
New Accounting Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Changes And Error Corrections [Abstract] | |
New Accounting Pronouncements | 3. New Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-04: Reference Rate Reform (Topic 848) Facilitation of the Effects of Reference Rate Reform on Financial Reporting In January 2020, the FASB issued ASU No. 2020-01, “ Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) – Clarifying the Interactions between Topic 321, Topic 323, and Topic 815.” In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” We adopted ASU No. 2016-13 as of January 1, 2020 and there was no material impact on our financial statements. |
Plant Closures and Discontinued
Plant Closures and Discontinued Operations | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Plant Closures and Discontinued Operations | 4. Plant Closures and Discontinued Operations Over the past six years, we have been restructuring our Carbon Materials and Chemicals (“CMC”) segment in order to concentrate our facilities in regions where we believe we hold key competitive advantages to better serve our global customers. These closure activities include: • In February 2021, we completed the sale of our Follansbee, West Virginia coal tar distillation facility. In August 2019, we ceased • In September 2020, we sold Koppers (Jiangsu) Carbon Chemical Company Limited (“KJCC”). • In September 2018, we sold our U.K.-based specialty chemicals business. • In November 2016, we sold our 30-percent interest in Tangshan Kailuan Koppers Carbon Chemical Company Limited (“TKK”) located in the Hebei Province in China. • In July 2016, we discontinued coal tar distillation activities at our CMC plant located in Clairton, Pennsylvania. In October 2018, we completed the sale of the facility. • In March 2016, we discontinued production at our 60-percent owned CMC plant located in Tangshan, China. • In February 2016, we ceased coal tar distillation and specialty pitch operations at both of our United Kingdom CMC facilities. In July 2016, we sold substantially all of our CMC tar distillation properties and assets in the United Kingdom. • In April 2014, we ceased coal tar distillation activities at our CMC facility located in Uithoorn, the Netherlands. Other closure and divestiture activity relates to our Railroad Utility Products and Services (“RUPS”) segment. These activities include: • In June 2020, we announced the closure of a crosstie treating plant located in Denver, Colorado and in the third quarter of 2020 we discontinued production activities at this location. • In August 2019, we sold our utility pole treatment plant located in Blackstone, Virginia. • In August 2015, we closed a crosstie treating plant located in Green Spring, West Virginia. • In July 2015, we sold the assets of our 50-percent interest in KSA Limited Partnership, a concrete crosstie manufacturer. In addition, we ceased carbon black production at our CMC facility located in Kurnell, Australia during 2011. Costs associated with this closure are included in (loss) income from discontinued operations on the consolidated statement of operations. Details of the restructuring activities and related reserves are as follows: Severance employee Asset retirement Other Total (Dollars in millions) Reserve at December 31, 2018 $ 1.7 $ 3.6 $ 2.8 $ 8.1 Accrual 0.0 3.4 3.0 6.4 Costs charged against assets 0.0 0.0 (3.0 ) (3.0 ) Reversal of accrued charges (0.3 ) (0.1 ) 0.0 (0.4 ) Cash paid (0.5 ) (6.2 ) (0.3 ) (7.0 ) Currency translation 0.0 0.0 (0.1 ) (0.1 ) Reserve at December 31, 2019 $ 0.9 $ 0.7 $ 2.4 $ 4.0 Accrual 0.5 2.9 3.4 6.8 Costs charged against assets 0.0 0.0 (3.4 ) (3.4 ) Reversal of accrued charges (0.3 ) 0.0 0.0 (0.3 ) Cash paid (0.2 ) (0.8 ) (0.3 ) (1.3 ) Currency translation 0.0 0.0 0.2 0.2 Reserve at December 31, 2020 $ 0.9 $ 2.8 $ 2.3 $ 6.0 On September 30, 2020, we sold KJCC to Fangda Carbon New Material Co., Ltd and C-Chem Co., Ltd., a subsidiary of Nippon Steel Chemical & Material Co., Ltd. KJCC was located in Pizhou, Jiangsu Province, China and was a 75 percent-owned coal tar distillation company which was part of our CMC segment. The sales price was $107.0 million, subject to adjustments for cash, debt and working capital as defined in the sale and purchase agreement. The pre-tax gain on the sale of KJCC was $44.1 million and the after-tax gain on the sale was $35.8 million. The estimated final net cash proceeds to Koppers will total $65.2 million, after payments for Chinese capital gain taxes, transaction costs and estimated working capital adjustments. Included in the cash proceeds is restricted cash of $2.3 million which is being held in an escrow account and is recorded within Cash and Cash Equivalents as of December 31, 2020 to cover potential customary indemnity claims by the buyers for a remaining period of 15 months. We have previously elected to include proceeds received from the sale of a subsidiary that is separately reported as a discontinued operation within cash flows from continuing operations on the Consolidated Statement of Cash Flows. The sale of KJCC represented a strategic shift that has a major effect on our operations and financial results and was, therefore, classified as discontinued operations in our consolidated financial statements and notes, which have been restated accordingly. Net sales and operating (loss) profit from discontinued operations for the years ended December 31, 2020, 2019 and 2018 consist of the following amounts: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Net sales $ 31.6 $ 135.8 $ 147.5 Operating (loss) profit (5.0 ) 5.8 26.0 The cash flows related to KJCC have not been restated in the Consolidated Statement of Cash Flows. Net cash inflows and outflows from discontinued operations for the years ended December 31, 2020, 2019 and 2018 consist of the following amounts: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Net cash provided by operating activities $ 0.7 $ 21.4 $ 10.4 Net cash used in investing activities (0.9 ) (3.8 ) (3.3 ) Net cash used in financing activities 0.0 (19.8 ) (12.6 ) Effect of exchange rate changes on cash (0.5 ) (0.3 ) (0.7 ) Net decrease in cash and cash equivalents (0.7 ) (2.5 ) (6.2 ) Assets of Discontinued Operations Held for Sale Assets and liabilities are classified as held for sale when, among other items, the sale of the asset is probable and the completed sale is expected to occur within one year. Upon classification as held for sale, such assets are no longer depreciated or depleted, and a measurement for impairment is performed to determine if there is any excess of carrying value over fair value less costs to sell. The agreement to sell KJCC met all of the criteria to classify its assets and liabilities as held for sale in the first quarter of 2020 and as part of the required evaluation under the held for sale guidance, we determined that the approximate fair value less costs to sell the operations exceeded the carrying value of the net assets and no impairment charge was recorded. The below amounts are excluded from the respective balance sheet footnotes as of December 31, 2019. We have incurred aggregated transactions costs related to this divestiture of $4.9 million during the year ended December 31, 2020, which are included in (loss) income from discontinued operations and gain on the sale of discontinued operations on the Consolidated Statement of Operations. The following represents the carrying amount of assets and liabilities, by major class, classified as held for sale on the Consolidated Balance Sheet as of December 31, 2019: December 31, 2019 (Dollars in millions) Assets Cash and cash equivalents $ 0.7 Accounts receivable 2.2 Income tax receivable 0.8 Inventories, net 10.6 Other current assets 2.8 Total current assets held for sale 17.1 Property, plant and equipment, net 56.6 Operating lease right-of-use assets 1.2 Other assets 1.5 Total non-current assets held for sale 59.3 Total assets held for sale $ 76.4 Liabilities Accounts payable $ 7.1 Accrued liabilities 4.7 Current operating lease liabilities 0.1 Total current liabilities held for sale 11.9 Deferred tax liabilities 0.6 Operating lease liabilities 1.1 Other long-term liabilities 23.4 Total non-current liabilities held for sale 25.1 Total liabilities held for sale $ 37.0 |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | 5. Acquisitions On April 10, 2018, Koppers Inc. acquired its Utility and Industrial Products business (“UIP”) for net cash consideration of $201.3 million. The transaction was funded by borrowings on Koppers Inc.’s Credit Facility discussed in “Note 15 - Debt.” UIP is a manufacturer of treated wood transmission and distribution poles for utility and cooperative utility companies. It is also a manufacturer of treated wood pilings used for construction applications. UIP manufactures and sells its treated wood poles and pilings through a network of manufacturing facilities and distribution yards located throughout the United States. UIP treats its products with a variety of wood protection chemicals, including chromated copper arsenate and creosote, which are produced by our PC and CMC segments, respectively. On February 28, 2018, Koppers Inc. acquired its for net cash consideration of $62.8 million. The purchase price was funded by this recovered material into alternative fuels, such as crosstie-derived fuel or biomass-derived fuel, that are used as a substitute for conventional higher-cost carbon-based fuel. Combined acquisition costs related to these two transactions were $6.5 million for year ended December 31, 2018 and are recorded within selling, general and administrative expenses in the consolidated statement of operations for the year ended December 31, 2018. The following unaudited pro forma information presents a summary of our revenues and income from continuing operations as if the UIP acquisition occurred on January 1, 2017 (the first day of the most recently completed fiscal year). The unaudited pro forma information is not necessarily indicative of operating results that would have been achieved had the acquisition been completed as of January 1, 2017 and is not intended to project our future financial results after the acquisition. The unaudited pro forma information is based on certain assumptions, which management believes are reasonable, and does not reflect the cost of any integration activities or the benefits from the acquisition and synergies that may be derived from any integration activities. Year Ended December 31, 2018 (Dollars in millions) Pro forma revenue $ 1,613.4 Pro forma income from continuing operations attributable to Koppers 5.7 Pro forma income per share - continuing operations: Basic - $ 0.27 Diluted - $ 0.27 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 6. Fair Value Measurements Carrying amounts and the related estimated fair values of our financial instruments as of December 31, 2020 and 2019 are as follows: December 31, 2020 December 31, 2019 Fair Value Carrying Value Fair Value Carrying Value (Dollars in millions) Financial assets: Investments and other assets $ 1.2 $ 1.2 $ 1.2 $ 1.2 Financial liabilities: Long-term debt (including current portion) $ 799.2 $ 784.2 $ 906.9 $ 911.9 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 our long-term debt is estimated based on the market prices for the same or similar issuances or on the current rates offered to us for debt of the same remaining maturities (Level 2). The fair value of our Credit Facility approximates carrying value due to the variable rate nature of this instrument. |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Dec. 31, 2020 | |
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 is excluded from the computation of diluted loss per common share, if any. The following table sets forth the computation of basic and diluted earnings per common share: Year Ended December 31, 2020 2019 2018 (Dollars in millions, except share amounts, in thousands, and per share amounts) Net income attributable to Koppers $ 122.0 $ 66.6 $ 23.4 Less: (Loss) income from discontinued operations (3.9 ) 3.7 23.7 Gain on sale of discontinued operations 35.8 0.0 0.0 Plus: Non-controlling (loss) income (1.0 ) 0.8 5.8 Income from continuing operations attributable to Koppers $ 89.1 $ 63.7 $ 5.5 Weighted average common shares outstanding: Basic 20,992 20,665 20,871 Effect of dilutive securities 382 403 455 Diluted 21,374 21,068 21,326 Earnings per common share – continuing operations: Basic earnings per common share $ 4.25 $ 3.09 $ 0.26 Diluted earnings per common share 4.17 3.03 0.26 Other data: Antidilutive securities excluded from computation of diluted earnings per common share 717 764 401 |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-based Compensation | 8. Stock-based Compensation We have outstanding stock-based compensation awards that were granted under the amended and restated 2005 Long-Term Incentive Plan (the “2005 LTIP”), the 2018 Long-Term Incentive Plan (the “2018 LTIP”) and the 2020 Long-Term Incentive Plan (the “2020 LTIP”). The 2005 LTIP, the 2018 LTIP and the 2020 LTIP are collectively referred to as the ”LTIP”. On May 6, 2020, the 2020 LTIP was approved by our shareholders and the 2018 LTIP was frozen. Similar to the 2018 LTIP, the 2020 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 grants restricted stock units and performance stock units to certain employee participants (collectively, the “stock units”). 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 is the market price of the underlying common stock on the date of grant and the fair value of performance stock units is determined using a Monte Carlo valuation model. For grants to most employees, the restricted stock units vest in four equal annual installments. Restricted stock units that have one-year Performance stock units have vesting based upon a market condition. These performance stock units have multi-year performance objectives and a three-year , We calculated the fair value of the performance stock unit awards on the date of the grant using assumptions listed below: March 2020 Grant March 2019 Grant May March Grant date price per share of performance award $ 19.63 $ 26.63 $ 39.10 $ 41.60 Expected dividend yield per share 0.00 % 0.00 % 0.00 % 0.00 % Expected volatility 45.60 % 39.00 % 39.40 % 39.40 % Risk-free interest rate 0.72 % 2.50 % 2.35 % 2.38 % Look-back period in years 2.83 2.82 2.84 2.84 Grant date fair value per share of performance award $ 11.56 $ 40.30 $ 44.29 $ 47.12 Dividends declared, if any, on our 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, 2020: Performance Period Minimum Shares Target Shares Maximum Shares 2018 – 2020 0 3,048 6,096 2019 – 2021 0 234,597 281,536 2020 – 2022 0 154,099 308,198 Performance stock units granted in March 2018 for the 2018 – 2020 performance period did not meet the minimum performance criteria and will not vest in March 2021. The following table shows a summary of the status and activity of non-vested stock awards for the year ended December 31, 2020: Restricted Stock Units Performance Stock Units Total Stock Units Weighted Grant Date Fair Value per Unit Non-vested at January 1, 2020 343,012 445,186 788,198 $ 40.18 Granted 369,161 232,481 601,642 $ 15.86 Performance share adjustment 0 (150,464 ) (150,464 ) $ 30.68 Vested (168,534 ) (110,168 ) (278,702 ) $ 41.68 Forfeited (34,130 ) (25,291 ) (59,421 ) $ 33.86 Non-vested at December 31, 2020 509,509 391,744 901,253 $ 25.48 Stock Options Stock options to most executive officers vest and become exercisable in four equal annual installments. The stock options have a term of ten 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. We calculated the fair value of stock options on the date of grant using the Black-Scholes-Merton model and the assumptions listed below: March 2020 Grant March 2019 Grant March March Grant date price per share of stock option award $ 19.63 $ 26.63 $ 41.60 $ 44.10 Expected dividend yield per share 0.00 % 0.00 % 0.00 % 0.00 % Expected life in years 6.40 6.14 5.73 5.77 Expected volatility 42.85 % 39.44 % 37.05 % 39.70 % Risk-free interest rate 0.87 % 2.53 % 2.67 % 2.13 % Grant date fair value per share of option awards $ 8.42 $ 11.29 $ 16.38 $ 17.90 We do not expect to declare any dividends for the foreseeable future. The expected life in years is based on historical exercise data of options previously granted by us. Expected volatility is based on the historical volatility of our 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, 2020: Options Weighted Exercise Price per Option Weighted Average Remaining Contractual Term (in years) Aggregate Value (in millions) Outstanding at December 31, 2019 966,849 $ 28.45 Granted 187,701 $ 19.63 Exercised (2,500 ) $ 20.00 Expired (5,129 ) $ 31.28 Forfeited (26,667 ) $ 32.45 Outstanding at December 31, 2020 1,120,254 $ 26.89 5.41 $ 8.6 Exercisable at December 31, 2020 776,125 $ 27.39 4.05 $ 6.0 Stock Compensation Expense Total stock-based compensation expense recognized under our LTIP and employee stock purchase plan for the three years ended December 31, 2020 are as follows: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Stock-based compensation expense recognized: Selling, general and administrative expenses $ 11.3 $ 12.1 $ 12.5 Less related income tax benefit 2.2 0.2 3.1 Decrease in net income attributable to Koppers $ 9.1 $ 11.9 $ 9.4 Intrinsic value of exercised stock options $ 0.0 $ 1.1 $ 1.1 Cash received from the exercise of stock options $ 0.0 $ 2.9 $ 2.9 As of December 31, 2020, total future compensation expense related to non-vested stock-based compensation arrangements totaled $14.6 million and the weighted-average period over which this expense is expected to be recognized is approximately 26 months. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | 9. Segment Information We have three reportable segments: Railroad and Utility Products and Services, Performance Chemicals and Carbon Materials and Chemicals. Our reportable segments contain multiple aggregated 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. Our RUPS 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. Utility products include transmission and distribution poles and pilings. The segment also operates a railroad services business that conducts engineering, design, repair and inspection services for railroad bridges and a business related to the recovery of used crossties. Our PC 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. Our CMC 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 used in the production of aluminum and 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. We evaluate performance and determine resource allocations based on a number of factors, including earnings before interest, taxes, depreciation and amortization (“EBITDA”) and operating profit or loss from operations. Operating profit does not include other loss, interest expense, income taxes or operating costs of Koppers Holdings 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 our segments for the periods indicated: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Revenues from external customers: Railroad and Utility Products and Services $ 759.1 $ 733.5 $ 634.8 Performance Chemicals 526.3 448.3 420.0 Carbon Materials and Chemicals (a) 383.7 455.2 507.9 Total $ 1,669.1 $ 1,637.0 $ 1,562.7 Intersegment revenues: Performance Chemicals $ 13.7 $ 12.6 $ 10.8 Carbon Materials and Chemicals 78.7 75.2 77.3 Total $ 92.4 $ 87.8 $ 88.1 Depreciation and amortization expense: Railroad and Utility Products and Services $ 20.1 $ 19.4 $ 17.7 Performance Chemicals 18.1 18.3 17.8 Carbon Materials and Chemicals (b) 15.9 13.7 11.4 Total $ 54.1 $ 51.4 $ 46.9 Operating profit (loss): Railroad and Utility Products and Services (c) $ 46.7 $ 35.8 $ 5.9 Performance Chemicals 88.6 52.1 36.2 Carbon Materials and Chemicals (d) 23.4 39.2 44.7 Corporate (e) (2.0 ) (2.1 ) (2.4 ) Total $ 156.7 $ 125.0 $ 84.4 Capital expenditures (excluding acquisitions): Railroad and Utility Products and Services $ 31.3 $ 11.6 $ 19.2 Performance Chemicals 12.1 9.7 15.1 Carbon Materials and Chemicals (f) 24.8 15.5 73.5 Corporate 1.6 0.4 1.9 Total $ 69.8 $ 37.2 $ 109.7 ( a ) Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. (b) Depreciation and amortization expense excludes KJCC discontinued operations of $0.6 million, $3.7 million and $3.9 million for the years ended December 31, 2020, 2019 and 2018, respectively. ( c ) Includes $6.0 million of inventory fair value purchase price accounting adjustments from our acquisition of UIP in 2018. ( d ) Operating profit (loss) excludes KJCC discontinued operations of $(5.0) million, $5.8 million and $26.0 million for the years ended December 31, 2020, 2019 and 2018, respectively. ( e ) Operating loss for Corporate includes costs for Koppers Holdings Inc., the parent company of Koppers Inc., and acquisition-related costs. (f) Capital expenditures includes KJCC discontinued operations of $0.6 million, $3.9 million and $3.4 million for the years ended December 31, 2020, 2019 and 2018, respectively. The following table sets forth tangible and intangible assets allocated to each of our segments as of the dates indicated: December 31, 2020 2019 (Dollars in millions) Segment assets: Railroad and Utility Products and Services $ 583.1 $ 562.2 Performance Chemicals 536.1 457.7 Carbon Materials and Chemicals 424.2 502.1 Segment assets 1,543.4 1,522.0 Cash and cash equivalents 0.4 0.0 Income tax receivable 1.2 1.9 Deferred taxes 28.8 17.0 Property, plant and equipment, net 5.9 5.3 Operating lease right-of-use assets 11.9 13.2 Prepaid insurance and other assets 7.0 5.2 Total (a) $ 1,598.6 $ 1,564.6 Goodwill: Railroad and Utility Products and Services $ 121.1 $ 120.7 Performance Chemicals 176.7 175.4 Total $ 297.8 $ 296.1 (a) The Carbon Materials and Chemicals segment includes $76.4 million of assets of discontinued operations held for sale related to our KJCC business at December 31, 2019. Revenues and Long-lived Assets by Geographic Area Year Revenue Long-lived assets (Dollars in millions) United States 2020 $ 1,170.1 $ 832.0 2019 1,141.2 796.0 2018 993.5 732.1 Australasia 2020 194.3 82.0 2019 199.6 76.6 2018 218.8 69.8 Europe 2020 162.3 83.2 2019 177.5 70.2 2018 214.6 44.8 Other countries 2020 142.4 18.5 2019 118.7 19.3 2018 135.8 18.3 Total (a) 2020 $ 1,669.1 $ 1,015.7 2019 $ 1,637.0 $ 962.1 2018 $ 1,562.7 $ 865.1 (a) Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. Long-lived assets exclude $59.3 million and $59.0 million of assets of discontinued operations held for sale related to our KJCC business at December 31, 2019 and 2018, respectively. Revenues by geographic area in the above table are attributed by the destination country of the sale. Revenues from non-U.S. countries totaled $499.0 million in 2020, $495.8 million in 2019 and $569.2 million in 2018. Segment Revenues for Significant Product Lines Year Ended December 31, 2020 2019 2018 (Dollars in millions) Railroad and Utility Products and Services: Railroad treated products $ 405.1 $ 419.6 $ 341.7 Utility poles 241.7 222.0 184.7 Railroad infrastructure services 63.5 36.5 36.9 Rail joints 20.3 26.8 33.5 Other products 28.6 28.6 38.0 759.1 733.5 634.8 Performance Chemicals: Wood preservative products 510.7 418.8 389.1 Other products 15.6 29.5 30.9 526.3 448.3 420.0 Carbon Materials and Chemicals: Pitch and related products 230.9 272.4 280.9 Phthalic anhydride and other chemicals 66.4 77.9 84.6 Creosote and distillates 40.0 46.3 84.1 Naphthalene 19.7 24.9 26.2 Other products 26.7 33.7 32.1 383.7 455.2 507.9 Total (a) $ 1,669.1 $ 1,637.0 $ 1,562.7 (a) Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes Income Tax Provision Components of our income tax provision are as follows: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Current: Federal $ 0.8 $ (3.5 ) $ (1.2 ) State 0.7 0.5 0.1 Foreign 11.1 14.4 17.9 Total current tax provision 12.6 11.4 16.8 Deferred: Federal 6.1 3.1 9.6 State 1.6 0.4 (0.2 ) Foreign 0.7 (14.9 ) (0.5 ) Total deferred tax provision (benefit) 8.4 (11.4 ) 8.9 Total income tax provision $ 21.0 $ 0.0 $ 25.7 Income before income taxes from foreign operations for 2020, 2019 and 2018 was $52.4 million, $69.9 million and $82.3 million, respectively. The provision for income taxes is reconciled with the federal statutory income tax rate as follows: Year Ended December 31, 2020 2019 2018 Federal income tax rate 21.0 % 21.0 % 21.0 % GILTI inclusion, net of foreign tax credits 4.0 1.4 21.1 Foreign earnings taxed at different rates 2.9 (0.2 ) 0.4 State income taxes, net of federal tax benefit 2.2 1.1 (5.9 ) Transition tax from Tax Act 0.0 0.0 27.3 Deferred tax adjustments from Tax Act 0.0 0.0 (12.0 ) Intra-entity transfer of intangible assets 0.0 (23.4 ) 0.0 Change in tax contingency reserves (0.2 ) (7.0 ) (3.5 ) Deferred tax adjustments (2.2 ) 0.0 4.0 Valuation allowance adjustments (12.1 ) 9.1 28.8 Other 3.5 (2.0 ) 1.2 19.1 % 0.0 % 82.4 % In 2017, the Tax Cut and Jobs Act of 2017 (“Tax Act”) was enacted into law. The Tax Act included a number of key changes that have impacted our tax provision for each of the years in the three-year period ended December 31, 2020: a reduction in the U.S. corporate income tax rate to 21 percent from 35 percent, Rate reduction – Deferred tax assets and liabilities are measured using enacted tax rates that are expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. During the year ended December 31, 2017, we initially recorded a charge to the carrying value of our deferred tax assets and liabilities in the United States upon enactment of the Tax Act. After further analysis and after the effect of filing our 2017 U.S. tax return, we revised this amount and recorded an income tax benefit of $3.8 million in the year ended December 31, 2018. Transition tax – In the year ended December 31, 2017, we recorded an initial estimated charge related to the one-time transition tax. In the year ended December 31, 2018, we revised our original estimate and recorded additional income tax expense of $8.6 million as a result of additional guidance issued by the Internal Revenue Service. Due to the availability of net operating losses, our total cash payment for the one-time transition tax is approximately $5.1 million which is being paid in installments through 2024. GILTI tax – We have recorded an income tax expense, net of foreign tax credits, of $4.4 million, $0.9 million and $6.6 million in the years ended December 31, 2020, 2019 and 2018, respectively. However, the impact of the GILTI tax did not result in any incremental cash tax payments in the years ended December 31, 2019 and 2018 since it was offset by available net operating losses. Interest expense deduction limitation – As enacted in 2017, the interest expense deduction is limited to 30 percent of adjusted taxable income as defined under the tax regulations and any such limitation that is disallowed in a year can be carried forward to future years. In the years ended December 31, 2019 and 2018, we recorded a cumulative valuation allowance totaling $13.3 million for the disallowed interest expense deduction due to the uncertainly of when we could utilize the carryforward amounts. During 2020, two events occurred which enabled us to adjust our interest expense limitations on our 2018 and 2019 U.S. tax returns. In March 2020, the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) was enacted and a provision of the CARES Act increased the allowable business interest expense deduction to 50 percent of adjusted taxable income retroactively to January 1, 2019. In addition, the Internal Revenue Service released regulations that were retroactive to January 1, 2018 and favorably impacted our calculation of adjusted taxable income. After application of these new regulations, the limitation of our interest expense deduction was significantly reduced when compared to the same calculations under the previous regulations. In the year ended December 31, 2020, we recorded a tax benefit of $13.3 million to reverse the previously-recorded valuation allowance as we are certain that we will utilize the remaining amount that was disallowed and carried forward. In the year ended December 31, 2019, we recognized a one-time deferred tax benefit of $14.9 million upon the completion of a Dutch legal entity restructuring project. This restructuring resulted in an intra-entity transfer of certain intangible assets and intellectual property, which under Dutch tax law are valued at fair value and are amortized over a period of nine to 14 years. Taxes Excluded from Net Income Attributable to Koppers The amount of deferred income tax expense (benefit) included in comprehensive income (loss) but excluded from net income attributable to Koppers relating primarily to adjustments to copper swap contracts is $12.6 million, $4.1 million, and $(10.0) million for the years ended December 31, 2020, 2019 and 2018, respectively. The amount of deferred 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 $(0.4) million, $0.7 million, and $(0.1) million for the years ended December 31, 2020, 2019 and 2018, 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 our deferred tax assets and liabilities are as follows: Year Ended December 31, 2020 2019 (Dollars in millions) Deferred tax assets: Tax credits $ 20.0 $ 22.5 Federal and state tax loss carryforwards, expiring from 2020 to 2039 18.3 17.8 Reserves, including insurance and environmental 11.7 23.3 Pension and other postretirement benefits obligations 9.7 9.4 Foreign tax loss carryforwards 7.5 5.6 Asset retirement obligations 6.8 6.5 Accrued employee compensation 6.6 8.5 Book/tax inventory accounting differences 6.2 5.1 Other 3.1 3.3 Valuation allowance (44.6 ) (58.0 ) Total deferred tax assets 45.3 44.0 Deferred tax liabilities: Tax over book depreciation and amortization 28.1 25.5 Gain on derivative contracts 16.3 1.4 Other 3.8 0.2 Total deferred tax liabilities 48.2 27.1 Net deferred tax (liabilities) assets $ (2.9 ) $ 16.9 As a result of the Tax Act and the one-time mandatory transition tax, all previously unremitted earnings for which a U.S. deferred tax liability had not been accrued have now been subject to U.S. tax. At December 31, 2020, there was approximately $602 million of such unremitted earnings. Substantially all unremitted earnings will remain indefinitely invested in our foreign subsidiaries for the foreseeable future unless we can remit any earnings as a dividend in a tax-free manner. In the event any earnings are remitted as a dividend with a tax cost due to currency gains or losses, state taxes, or foreign withholding taxes, we estimate that we will not incur significant additional taxes on those potential remittances. Management evaluated the ability to realize the deferred tax assets that are related to our domestic operations, particularly in light of our domestic financial reporting losses. In assessing the need for a valuation allowance, management considered all positive and negative evidence related to the realization of our net deferred tax assets. We believe that it will be in a taxable income position in the foreseeable future and it will have sufficient taxable income to utilize deferred tax assets related to its domestic operations. 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: December 31, 2020 2019 State temporary differences, net operating losses and tax credits $ 19.1 $ 18.1 Federal foreign tax credits 18.8 20.5 Federal temporary differences 0.0 13.3 Foreign temporary differences, net operating losses and capital losses 6.7 6.1 Total valuation allowances $ 44.6 $ 58.0 The valuation allowance for Federal temporary differences, and specifically the valuation allowance on the disallowed U.S. interest deductions, was reversed in the year ended December 31, 2020. This is due to the changes to the U.S. tax law that were enacted in 2020 and discussed in prior paragraphs. Unrecognized Tax Benefits A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, 2020 2019 2018 (Dollars in millions) Balance at beginning of year $ 2.1 $ 7.0 $ 8.7 Additions based on tax provisions related to the current year 0.2 0.1 0.1 Additions for tax provisions of prior years 0.5 0.0 0.0 Reductions resulting from a lapse in the statute of limitations (0.3 ) (0.3 ) (0.3 ) Reductions of tax provisions of prior years 0.0 (1.8 ) (1.5 ) Reductions resulting from audit closures 0.0 (2.9 ) 0.0 Balance at end of year $ 2.5 $ 2.1 $ 7.0 As of December 31, 2020 and 2019, the total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate, was approximately $2.5 million and $2.0 million, respectively. We recognize interest expense and any related penalties from unrecognized tax benefits in income tax expense. For the year ended December 31, 2018, we recognized $1.4 million in interest and penalties. As of December 31, 2020 and 2019, we had accrued interest and penalties of approximately $0.8 million and $0.8 million, respectively. We believe that it is reasonably possible that the amount of unrecognized tax benefits will decrease in the next twelve months by approximately $ million due to the expirations of certain limitations and potential audit resolutions. the next twelve months. Koppers Holdings and its subsidiaries file income tax returns in the U.S. federal jurisdiction, individual U.S. state jurisdictions and non-U.S. jurisdictions. With few exceptions, we are no longer subject to U.S. federal, U.S. state, or non-U.S. income tax examinations by tax authorities for years before 2016. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | 11. Inventories Inventories as of December 31, 2020 and 2019 were as follows: December 31, 2020 2019 (Dollars in millions) Raw materials $ 233.7 $ 232.0 Work in process 12.4 12.0 Finished goods 99.3 107.8 345.4 351.8 Less revaluation to LIFO 49.6 63.3 Inventories, net (a) $ 295.8 $ 288.5 (a) Net inventories excludes $10.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | 12. Property, Plant and Equipment Property, plant and equipment as of December 31, 2020 and 2019 were as follows: December 31, 2020 2019 (Dollars in millions) Land $ 16.7 $ 15.0 Buildings 75.0 70.5 Machinery and equipment 812.1 732.4 903.8 $ 817.9 Less accumulated depreciation 494.7 459.1 Property, Plant and Equipment, net (a) $ 409.1 $ 358.8 (a) Net property, plant, and equipment excludes $56.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 Depreciation expense for the years ended December 31, 2020, 2019 and 2018 amounted to $33.7 million, $30.7 million and $27.7 million, respectively. Depreciation expense excludes KJCC discontinued operations of $0.6 million, $3.7 million and $3.9 million for the years ended December 31, 2020, 2019 and 2018, respectively Impairments – We did not incur impairment charges in 2020, 2019 or 2018. |
Goodwill and Other Identifiable
Goodwill and Other Identifiable Intangible Assets | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Identifiable Intangible Assets | 13. Goodwill and Other Identifiable Intangible Assets The change in the carrying amount of goodwill attributable to each reporting unit for the years ended December 31, 2020 and December 31, 2019 was as follows: Performance Chemicals Railroad Products and Services Utility Products Total (Dollars in millions) Balance at December 31, 2018 $ 175.4 $ 41.0 $ 80.1 $ 296.5 Purchase accounting adjustment 0.0 0.0 (0.4 ) (0.4 ) Balance at December 31, 2019 $ 175.4 $ 41.0 $ 79.7 $ 296.1 Currency translation $ 1.3 $ 0.1 $ 0.3 $ 1.7 Balance at December 31, 2020 $ 176.7 $ 41.1 $ 80.0 $ 297.8 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 or more frequently if a change in circumstances or the occurrence of events indicates that potential impairment exists, using discounted cash flows. We performed a quantitative assessment of goodwill at the reporting unit level, utilizing a combination of an income approach, using a discounted cash flow methodology, and a market approach, by comparing the estimated fair value calculations of each reporting unit with its net book value. The discounted cash flow calculations are dependent on several subjective factors including the timing of future forecasted cash flows, including forecasted future growth rates such as revenue and the discount rate. Our identifiable intangible assets are being amortized over their estimated useful lives and are summarized below: December 31, 2020 2019 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 9.5 $ 228.5 $ 84.7 $ 143.8 $ 227.0 $ 69.5 $ 157.5 Technology 4 to 12 1.9 26.8 23.6 3.2 26.7 19.9 6.8 Trademarks 2 to 17 5.1 7.9 5.8 2.1 7.6 4.4 3.2 Supply contracts 10 0.0 2.6 2.6 0.0 2.4 2.3 0.1 Non-compete agreements 12 3.8 1.7 1.0 0.7 1.6 0.8 0.8 Favorable lease agreements 3 0.0 0.8 0.8 0.0 0.7 0.7 0.0 Total 9.1 $ 268.3 $ 118.5 $ 149.8 $ 266.0 $ 97.6 $ 168.4 In 2020, the gross carrying value of identifiable intangible assets increased by $2.3 million. Total amortization expense related to these identifiable intangible assets was $19.8 million, $20.7 million and $19.2 million for the years ended December 31, 2020, 2019 and 2018, respectively. Estimated amortization expense for the next five years is summarized below: Estimated annual amortization (Dollars in millions) 2021 $ 17.7 2022 15.0 2023 14.6 2024 14.3 2025 13.8 |
Pensions and Post-Retirement Be
Pensions and Post-Retirement Benefit Plans | 12 Months Ended |
Dec. 31, 2020 | |
Compensation And Retirement Disclosure [Abstract] | |
Pensions and Post-Retirement Benefit Plans | 14. Pensions and Post-Retirement Benefit Plans We maintain a number of defined benefit and defined contribution plans to provide retirement benefits for employees in the United States, as well as employees outside the United States 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 United States, all qualified and two of the non-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. We also provide 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. Expense related to defined contribution plans totaled $8.4 million, $8.3 million and $7.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. Net periodic pension costs for 2020, 2019 and 2018 were as follows: Year Ended December 31, Pension Benefits Other Benefits 2020 2019 2018 2020 2019 2018 (Dollars in millions) Service cost $ 1.4 $ 1.5 $ 1.9 $ 0.1 $ 0.1 $ 0.1 Interest cost 6.4 7.8 7.5 0.3 0.4 0.4 Expected return on plan assets (7.9 ) (7.9 ) (8.5 ) 0.0 0.0 0.0 Amortization of net loss (gain) 1.7 1.6 1.4 (0.2 ) (0.2 ) 0.0 Settlements and curtailments 0.1 0.0 0.0 0.0 0.0 0.0 Net periodic benefit cost $ 1.7 $ 3.0 $ 2.3 $ 0.2 $ 0.3 $ 0.5 The change in the funded status of the pension and postretirement plans as of December 31, 2020 and December 31, 2019 is as follows: Year Ended December 31, Pension Benefits Other Benefits 2020 2019 2020 2019 (Dollars in millions) Change in benefit obligation: Benefit obligation at beginning of year $ 219.8 $ 201.7 $ 9.2 $ 9.4 Service cost 1.4 1.5 0.1 0.1 Interest cost 6.4 7.8 0.3 0.4 Actuarial losses (gains) 17.3 20.1 1.3 (0.3 ) Settlements (2.2 ) 0.0 0.0 0.0 Currency translation 2.6 1.6 0.0 0.0 Benefits paid (12.0 ) (12.9 ) (0.4 ) (0.3 ) Benefit obligation at end of year 233.3 219.8 10.5 9.2 Change in plan assets: Fair value of plan assets at beginning of year 191.5 169.6 0.0 0.0 Actual return on plan assets 23.6 28.6 0.0 0.0 Employer contribution 3.9 4.2 0.4 0.3 Settlements (2.2 ) 0.0 0.0 0.0 Currency translation 3.2 2.0 0.0 0.0 Benefits paid (12.0 ) (12.9 ) (0.4 ) (0.3 ) Fair value of plan assets at end of year 208.0 191.5 0.0 0.0 Funded status of the plan $ (25.3 ) $ (28.3 ) $ (10.5 ) $ (9.2 ) In 2020, the net actuarial loss of $17.3 million is due principally to the decrease in the discount rate used to measure the benefit obligation as of December 31, 2020 compared to the prior year. In February 2021, we entered into a pension plan buy-in transaction with respect to our defined benefit pension plan in the United Kingdom with an insurance company. After completing a regulatory process which is expected to take up to ten months, our related pension obligation will be irrevocably settled. This pension plan has a benefit obligation of $56.5 million and plan assets of $68.2 million as of December 31, 2020. Plan Data Year Ended December 31, Pension Benefits Other Benefits 2020 2019 2020 2019 (Dollars in millions) Amounts recognized in the balance sheet consist of: Noncurrent assets $ 12.1 $ 10.9 $ 0.0 $ 0.0 Current liabilities 1.0 1.0 0.7 0.8 Noncurrent liabilities 36.4 38.2 9.8 8.4 Pension plans with projected benefit obligations in excess of plan assets: Benefit obligation $ 172.5 $ 160.4 Fair value of plan assets 135.0 121.2 Pension plans with accumulated benefit obligations in excess of plan assets: Accumulated benefit obligation $ 172.2 $ 160.2 Fair value of plan assets 135.0 121.2 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, 2020 and 2019 was $232.5 million and $219.0 million, respectively. Expected Contributions for the 2021 Fiscal Year Our expected contributions for 2021 are estimated to be $1.0 million for pension plans and $0.7 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, are expected to be paid as follows: Pension Benefits Other Benefits (Dollars in millions) 2021 $ 11.6 $ 0.7 2022 11.4 0.7 2023 11.5 0.7 2024 11.6 0.6 2025 12.1 0.6 Next five years 59.8 3.0 Weighted-Average Assumptions December 31, Pension Benefits Other Benefits 2020 2019 2020 2019 Discount rate 2.29 % 3.05 % 2.66 % 3.43 % Expected return on plan assets 3.67 4.30 Rate of compensation increase 3.41 3.00 Initial medical trend rate 5.40 5.70 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, we 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 our pension plans at December 31 by asset category is as follows: December 31, 2020 2019 Debt securities 70 % 70 % Equity securities 21 24 Other 9 6 100 % 100 % Our investment strategy for our 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. Our overall investment strategy is to achieve a mix of growth seeking assets, principally U.S. and international public company equity securities and income generating assets, principally debt securities, real estate and cash. Currently, we target an allocation of 30 percent to 40 percent growth seeking assets and 60 percent to 70 percent income generating assets on an overall basis. We utilize investment managers to assist in identifying and monitoring investments that meet these allocation criteria. With respect to the U.S defined benefit plan, we have implemented a strategy of reallocating pension assets from growth seeking assets to income generating assets as certain funded status levels are reached. All assets are invested in pooled or commingled investment vehicles. Our 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. Certain investments are valued using the net asset value (“NAV”) practical expedient and have not been categorized in the fair value hierarchy but are included to reconcile the fair value hierarchy to the total fair value of plan assets. 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, our pension plan assets at fair value, within the fair value hierarchy, as of December 31, 2020 and December 31, 2019: December 31, 2020 Quoted prices in active markets for identical assets (Level 1) Significant observable inputs (Level 2) Significant unobservable inputs (Level 3) Total (Dollars in millions) U.S. equity securities $ 0.0 $ 8.1 $ 0.0 $ 8.1 International equity securities 0.0 19.3 0.0 19.3 U.S. debt securities 0.0 68.6 0.0 68.6 International debt securities 0.0 62.7 0.0 62.7 Real estate and other investments 0.0 0.6 0.0 0.6 Cash and cash equivalents 0.0 11.2 0.0 11.2 $ 0.0 $ 170.5 $ 0.0 $ 170.5 Investments measured at NAV (a) 37.5 Total assets at fair value $ 208.0 (a) December 31, 2019 Quoted prices in active markets for identical assets (Level 1) Significant observable inputs (Level 2) Significant unobservable inputs (Level 3) Total (Dollars in millions) U.S. equity securities $ 0.0 $ 14.1 $ 0.0 $ 14.1 International equity securities 0.0 22.3 0.0 22.3 U.S. debt securities 0.0 58.3 0.0 58.3 International debt securities 0.0 48.1 0.0 48.1 Real estate and other investments 0.0 0.8 4.3 5.1 Cash and cash equivalents 0.0 3.6 0.0 3.6 $ 0.0 $ 147.2 $ 4.3 $ 151.5 Investments measured at NAV (a) 40.0 Total assets at fair value $ 191.5 (a) 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, 2020: December 31, 2020 Other Investments (Dollars in millions) Balance at beginning of year $ 4.3 Purchases, sales, issuances and settlements (4.3 ) Balance at the end of year $ 0.0 The amount of total losses during the period attributable to the change in unrealized losses relating to Level 3 net assets still held at the reporting date $ 0.0 Incentive Plan We have 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 $17.3 million in 2020, $12.2 million in 2019 and $10.3 million in 2018. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt | 15. Debt Debt as of December 31, 2020 and 2019 was as follows: December 31, Weighted Average Interest Rate Maturity 2020 2019 Term Loan 2.69 % 2024 $ 12.2 $ 82.5 Revolving Credit Facility 2.69 % 2024 272.0 329.4 Senior Notes due 2025 6.00 % 2025 500.0 500.0 Total debt 784.2 911.9 Less short-term debt and current maturities of long-term debt 10.1 10.2 Less unamortized debt issuance costs 8.3 10.7 Long-term debt $ 765.8 $ 891.0 Credit Facility The Company maintains a $600.0 million senior secured revolving credit facility and a $100.0 million secured term loan facility (collectively, the “Credit Facility”), as amended. The secured term loan has a quarterly amortization of $2.5 million and the interest rate on the Credit Facility is variable and is based on LIBOR. Borrowings under the Credit Facility are secured by a first priority lien on substantially all of the assets of Koppers Inc., Koppers Holdings Inc. and their material domestic subsidiaries. The Credit Facility 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, 2020, we had $307.8 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, 2020, $7.7 million of commitments were utilized by outstanding letters of credit. Senior Notes due 2025 The 2025 Notes are senior obligations of Koppers Inc., are unsecured and are guaranteed by Koppers Holdings Inc. and certain of Koppers Inc.’s domestic subsidiaries. The 2025 Notes pay interest semi-annually in arrears on February 15 and August 15 and will mature on February 15, 2025 unless earlier redeemed or repurchased. We are entitled to redeem all or a portion of the 2025 Senior Notes at a redemption price of 104.5 percent of principal value, declining to a redemption price of 101.5 percent on or after February 15, 2022 until the redemption price is equivalent to the principal value on April 15, 2023. The indenture governing the 2025 Senior Notes includes customary covenants that restrict, among other things, the ability of Koppers Inc. and its restricted subsidiaries to incur additional debt, pay dividends or make certain other restricted payments, incur liens, merge or sell all or substantially all of the assets of Koppers Inc. or its subsidiaries or enter into various transactions with affiliates. Debt Maturities and Deferred Financing Costs At December 31, 2020 the aggregate debt maturities for the next five years are as follows: (Dollars in millions) 2021 $ 10.1 2022 2.1 2023 0.0 2024 272.0 2025 500.0 Total debt $ 784.2 Unamortized debt issuance costs (net of accumulated amortization of $9.4 million and $6.8 million at December 31, 2020 and 2019, respectively) were $8.3 million and $10.7 million at December 31, 2020 and 2019, respectively, and are included as a deduction from the carrying amount of long-term debt. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Leases | 16. Leases We adopted the provisions of ASU 2016-02 and ASU 2018-10 on January 1, 2019 and recognized lease obligations and associated right-of-use assets for existing non-cancelable leases. We have non-cancelable operating leases primarily associated with railcars, office and manufacturing facilities, storage tanks, ships, production equipment and vehicles. Many of our leases include both lease (e.g., fixed rent) and non-lease components (e.g., maintenance and services). For certain asset classes such as railcars, storage tanks and ships, we have separated the lease and non-lease components based on the estimated stand-alone price for each component. For the remaining asset classes, we have elected the practical expedient to account for these components as a single lease component. Upon adoption, we elected other practical expedients as well, including retaining our current classification of existing leases upon adoption and excluding leases expiring within twelve months. Many of our leases include one or more options to renew. We evaluate renewal options at the lease commencement date and regularly thereafter to determine if we are reasonably certain to exercise the option, in which case we include the renewal period in our lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on information available to determine the present value of the lease payments. Lease expense for operating leases is recognized on a straight-line basis over the lease term. Variable lease expense is recognized in the period in which the obligation for those payments is incurred. Operating lease costs were $31.2 million and $31.8 million and variable lease costs were $3.5 million and $3.7 million during the years ended December 31, 2020 and 2019, respectively. The following table presents information about the amount and timing of cash flows arising from our operating leases as of December 31, 2020: (Dollars in millions) 2021 $ 28.4 2022 24.6 2023 19.2 2024 15.4 2025 12.3 Thereafter 33.5 Total lease payments $ 133.5 Less: Interest (31.0 ) Present value of lease liabilities $ 102.5 Supplemental consolidated balance sheet information related to leases is as follows: December 31, 2020 2019 (Dollars in millions) Operating leases: Operating lease right-of-use assets $ 102.5 $ 112.3 Current operating lease liabilities $ 21.2 $ 22.0 Operating lease liabilities 81.3 91.5 Total operating lease liabilities $ 102.5 $ 113.5 Weighted average remaining lease term, in years 6.4 6.9 Weighted average discount rate 7.5 % 7.7 % |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | 17. Derivative Financial Instruments We utilize derivative instruments to manage exposures to risks that have been identified and measured and are capable of being controlled. The primary risks that we manage 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 our manufacturing processes. Generally, we will not hedge cash flow exposures for durations longer than 36 months and we have hedged certain volumes of copper through the end of 2022. We enter into foreign currency forward contracts to manage foreign currency risk associated with our receivable and payable balances in addition to foreign-denominated sales. Generally, we enter into master netting arrangements with the counterparties and offset net derivative positions with the same counterparties. Currently, our 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, we designate certain of our 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 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. 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. These amounts are classified in cost of sales in the consolidated statement of operations. As of December 31, 2020 and December 31, 2019, we had outstanding copper swap contracts of the following amounts: Units Outstanding (in Pounds) Net Fair Value - Asset (Liability) December 31, December 31, 2020 2019 2020 2019 (Amounts in millions) Cash flow hedges 62.3 56.5 $ 58.3 $ 4.5 Not designated as hedges 11.5 16.6 10.9 1.7 Total 73.8 73.1 $ 69.2 $ 6.2 As of December 31, 2020 and December 31, 2019, the fair value of the outstanding copper swap contracts is recorded in the balance sheet as follows: December 31, 2020 2019 (Dollars in millions) Derivative contracts $ 37.3 $ 2.1 Non-current derivative contracts 31.9 4.1 Net asset on balance sheet $ 69.2 $ 6.2 Accumulated other comprehensive gain, net of tax $ 44.4 $ 3.2 In the next twelve months, we estimate that $23.1 million of unrealized gains, net of tax, related to commodity price hedging will be reclassified from other comprehensive income into earnings. See the consolidated statement of comprehensive income (loss) and consolidated statement of shareholders’ equity for amounts recorded in other comprehensive income and for amounts reclassified from accumulated other comprehensive income (loss) into net income for the periods specified below. For the years ended December 31, 2020 and 2019, the following amounts were recognized in earnings related to copper swap contracts: Year Ended December 31, 2020 2019 (Dollars in millions) Gain from contracts not designated as hedges $ 9.2 $ 4.1 The fair value associated with forward contracts related to foreign currency that are not designated as hedges are immediately charged to earnings. These amounts are classified in cost of sales in the consolidated statement of operations. As of December 31, 2020 and December 31, 2019, the fair value of outstanding foreign currency forward contracts is recorded in the balance sheet as follows: December 31, 2020 2019 (Dollars in millions) Derivative contracts $ 1.2 $ 0.3 Accrued liabilities (0.5 ) (0.5 ) Net asset (liability) on balance sheet $ 0.7 $ (0.2 ) As of December 31, 2020 and 2019, the net currency units outstanding were: December 31, 2020 2019 (In millions) British Pounds GBP 2.0 GBP 3.7 New Zealand Dollars NZD 0.0 NZD 16.0 United States Dollars USD 7.6 USD 6.2 Euro EUR 0.0 EUR 1.2 |
Common Stock and Senior Convert
Common Stock and Senior Convertible Preferred Stock | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Common Stock And Senior Convertible Preferred Stock | 18. 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, 2020 are as follows: December 31, 2020 2019 2018 (Shares in thousands) Senior Convertible Preferred Stock: Balance at beginning and end of year 0 0 0 Common Stock: Balance at beginning of year 23,321 23,029 22,384 Issued for employee stock plans 367 292 645 Balance at end of year 23,688 23,321 23,029 Treasury Stock: Balance at beginning of year (2,516 ) (2,480 ) (1,606 ) Shares repurchased (74 ) (36 ) (874 ) Balance at end of year (2,590 ) (2,516 ) (2,480 ) |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 12 Months Ended |
Dec. 31, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingent Liabilities | 19. Commitments and Contingent Liabilities We are involved in litigation and various proceedings relating to environmental laws and regulations, 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 we fail to prevail in any of these legal matters or should several of these legal matters be resolved against us 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 64 plaintiffs in 34 cases pending as of December 31, 2020, which is unchanged from December 31, 2019. As of December 31, 2020, there were 33 cases pending in the Court of Common Pleas of Allegheny County, Pennsylvania, and one case pending in the Circuit Court of Knox County, Tennessee. The plaintiffs in all 34 pending cases seek to recover compensatory damages. Plaintiffs in 29 of those cases also seek to recover punitive damages. The plaintiffs in the 33 cases filed in Pennsylvania 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. We have not provided a reserve for the coal tar pitch lawsuits because, at this time, we 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 our business, financial condition, cash flows and results of operations. Environmental and Other Litigation Matters We 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. We expect to incur substantial costs for ongoing compliance with such laws and regulations. We 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. We accrue 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 We have agreements with former owners of certain of our operating locations under which the former owners retained, assumed and/or agreed to indemnify us 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, subject to the following paragraph, and agreed to share toxic tort litigation defense arising from any sites acquired from Beazer East. 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. The indemnification period ended July 14, 2019 (the “Claim Deadline”) and Beazer East may now tender certain third-party claims described in sections (i) and (ii) above to Koppers Inc. However, to the extent the third-party claims described in sections (i) and (ii) above were tendered to Beazer East by the Claim Deadline, Beazer East will continue to be required to pay the costs arising from such claims under the Indemnity. Furthermore, the Claim Deadline 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 tendered by Koppers Inc. to Beazer East. 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 our 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 us against the liabilities referred to above, including Beazer East, have performed their obligations in all material respects. We believe that, for the last three years ended December 31, 2020, amounts paid by Beazer East as a result of its environmental remediation obligations under the Indemnity have averaged, in total, approximately $6.4 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 we are held liable for or otherwise required to pay all or part of such liabilities without reimbursement, the imposition of such liabilities on us could have a material adverse effect on our business, financial condition, cash flows and results of operations. Furthermore, we could be required to record a contingent liability on our balance sheet with respect to such matters, which could result in a negative impact to our business, financial condition, cash flows and results of operations. Domestic Environmental Matters. In June 2018, Koppers Inc. received a letter from the U.S. Environmental Protection Agency ("EPA") concerning potential violations of the Clean Water Act observed during inspections and review of Spill Prevention, Control and Countermeasure Plans and Facility Response Plans at our facilities in Follansbee, WV; Green Spring, WV; and Clairton, PA. In addition, the EPA reviewed one facility’s compliance with an earlier consent order regarding above ground storage tank integrity testing. In October 2020, we signed a consent decree with the EPA and agreed to a total penalty of $1.0 million which is accrued. The consent decree was entered and became effective on February 4, 2021 and the penalty will be paid in the first quarter of 2021. 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 EPA information request and has executed a PRP agreement which outlines a private 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 minimis 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. At that time, 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. These costs may increase given the remedy will not be implemented for several years. Responsibility for implementing and funding that work will be decided in the separate private allocation process which is ongoing. Additionally, Koppers Inc. is involved in two separate matters involving natural resource damages at the Portland Harbor site. One matter involves claims by the trustees to recover damages based upon an assessment of damages to natural resources caused by the releases of hazardous substances to the Willamette River. The assessment serves as the foundation to estimate liabilities for settlements of natural resource damages claims or litigation to recover from those who do not settle with the trustee groups. Koppers Inc. has been engaged in a process to resolve its natural resource damage liabilities for the assessment area. A second matter involves a lawsuit filed in January 2017 by the Yakama Nation in Oregon federal court. Yakama Nation seeks recovery for response costs and the costs of assessing injury to natural resources to waterways beyond the current assessment area. Following the most recent court rulings, the Yakama Nation case has been stayed pending completion of the private allocation process for the Portland Harbor CERCLA site. 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 minimis We have accrued the estimated costs of participating in the PRP group at the Portland Harbor and Newark Bay CERCLA sites and estimated de minimis There are two plant sites related to the Performance Chemicals business and one plant site related to the Utility and Industrial Products business in the United States where we have recorded environmental remediation liabilities for soil and groundwater contamination which occurred prior to our acquisition of the businesses. As of December 31, 2020, our estimated environmental remediation liability for these acquired sites totals $4.3 million. Foreign Environmental Matters . In October 2019, the New South Wales Environment Protection Authority (“NSW EPA”) filed a proceeding against one of our Australian subsidiaries, Koppers Carbon Materials & Chemicals Pty. Ltd. (“KCMC”), in relation to an incident which occurred at our Mayfield, Australia plant in October 2018. The NSW EPA alleged that KCMC committed an offense under Australian law by failing to maintain its plant and equipment in a proper and efficient working condition. A proceeding was held in November 2019 in the Land and Environment Court of New South Wales and we entered a guilty plea with respect to the allegations. In May 2020, the NSW EPA brought additional proceedings against KCMC related to a series of May 2019 incidents involving alleged air pollution and odor complaints. The Company agreed to plead guilty to two of the charges and both the October 2019 and May 2020 proceedings were procedurally joined. In February 2021, the Land and Environment Court entered a final order and assessed a fine of $0.1 million plus legal costs incurred by the NSW EPA. We have accrued our estimated liability associated with the matters as of December 31, 2020. There is one plant site related to the Performance Chemicals business located in Australia where we have recorded an environmental remediation liability for soil and groundwater contamination which occurred prior to the acquisition of the business. As of December 31, 2020, our estimated environmental remediation liability for the acquired site totals $1.5 million. Environmental Reserves Rollforward . The following table reflects changes in the accrued liability for environmental matters, excluding fines and penalties of which $2.9 million and $2.8 million are classified as current liabilities at December 31, 2020 and December 31, 2019, respectively December 31, 2020 2019 (Dollars in millions) Balance at beginning of year $ 9.5 $ 10.1 Expense 1.8 0.5 Revision of reserves 0.0 (0.8 ) Cash expenditures (0.4 ) (0.3 ) Currency translation 0.1 0.0 Balance at end of period $ 11.0 $ 9.5 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2020 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS For the years ended December 31, 2020, 2019 and 2018 Balance at Increase Balance Beginning (Decrease) Net Currency at End of Year to Expense Write-offs Translation of Year (Dollars in millions) 2020 Allowance for doubtful accounts $ 2.6 $ 0.2 $ (0.2 ) $ 0.0 $ 2.6 Deferred tax valuation allowance $ 58.0 $ (12.1 ) $ (1.7 ) $ 0.4 $ 44.6 2019 Allowance for doubtful accounts $ 2.5 $ 0.6 $ (0.5 ) $ 0.0 $ 2.6 Deferred tax valuation allowance $ 59.9 $ 3.3 $ (5.2 ) $ 0.0 $ 58.0 2018 Allowance for doubtful accounts $ 2.5 $ 0.7 $ (0.7 ) $ 0.0 $ 2.5 Deferred tax valuation allowance $ 44.5 $ 15.8 $ 0.0 $ (0.4 ) $ 59.9 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of presentation – The consolidated financial statements include our accounts and all majority-owned subsidiaries for which we are deemed to exercise control over its operations. All significant intercompany transactions have been eliminated in consolidation. Certain prior period amounts in the Notes to 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. |
Revenue Recognition | Revenue recognition – Effective January 1, 2018, we adopted Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers, using the modified retrospective method. We recognized the cumulative effect of initially applying the new revenue standard as an adjustment to the opening balance of retained earnings. Revenue is recognized upon the completion of performance obligations under our contracts with customers and when control of a good or service is transferred to the customer. Substantially all of our contracts with customers are ship and invoice arrangements where revenue is recognized when we complete our performance obligations and transfer control to the customer . We recognize revenue related to the procurement of certain untreated railroad crossties upon delivery to our plant and acceptance by the customer. Service revenue, consisting primarily of wood treating services, is recognized at the time the service is provided and the performance obligation is satisfied. Payment on sales of untreated railroad crossties and wood treating services are generally due within 30 days of the invoice date. |
Contract Balances | Contract Balances – The timing of revenue recognition in accordance with ASC 606 results in both billed accounts receivable and unbilled receivables, both classified as accounts receivable, net of allowance within the consolidated balance sheet. Contract assets of $5.8 million and $5.1 million are recorded within accounts receivable, net of allowance within the consolidated balance sheet as of December 31, 2020 and December 31, 2019, respectively. |
Cash, Cash Equivalents and Restricted Cash | Cash, cash equivalents and restricted cash – 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. Restricted cash of $2.3 million as of December 31, 2020 is being held in an escrow account for a remaining period of 15 months to cover potential customary indemnity claims by the buyers of one of our businesses sold as described in Note 4 – “Plant Closures and Discontinued Operations.” |
Accounts Receivable | Accounts receivable – We maintain allowances for doubtful accounts for estimated losses resulting from the inability of customers to make required payments. In circumstances where we become 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 our 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 net realizable value. UIP inventories are valued at the lower of cost, utilizing the moving average cost basis, or net realizable value. 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, and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. LIFO inventories constituted approximately 53 percent and 51 percent of the FIFO inventory value at December 31, 2020 and 2019, respectively. In 2020, 2019 and 2018, we recorded inventory write-downs of $0.6 million, $1.0 million and $1.0 million, respectively, related to lower of cost and net realizable value 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 ten to 20 years We periodically evaluate whether current facts and circumstances indicate that the carrying value of 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. Goodwill is not amortized and is subject to an impairment test that we conduct annually or more frequently if a change in circumstances or the occurrence of events Identifiable intangible assets, other than goodwill, are recorded at fair value. Identifiable intangible assets 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. |
Leases | Leases – Effective January 1, 2019, we changed our method of accounting for leases due to the adoption of Accounting Standards Update (ASU) No. 2016-02, “Leases (Topic 842)” and ASU No. 2018-10, “Codification Improvements to Topic 842, Leases”, using the modified retrospective method with no restatement of comparative periods presented. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. Lease arrangements are determined whether or not to be a lease at inception. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments. ROU lease liabilities are recognized based on the present value of the future minimum lease payments over the term of the lease as of the start date and may include consideration of certain adjustments including non-lease components. ROU assets are determined based on the determined ROU lease liability and may include the consideration of certain adjustments including initial direct costs, prepaid lease payments, lease incentives received, and non-lease components. The option to extend or terminate a lease is included in the determination of the ROU asset and lease liability only when it is reasonably certain that we will exercise that option. |
Asset Retirement Obligations | Asset retirement obligations – Asset retirement obligations are initially recorded at present value and are capitalized as part of the cost of the related long-lived asset when sufficient information is available to estimate present value. The capitalized costs are subsequently charged to depreciation expense over the estimated useful life of the related long-lived asset. The present 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 fair value. We recognize 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 our asset retirement obligation liabilities: December 31, 2020 2019 (Dollars in millions) Asset retirement obligation at beginning of year $ 20.7 $ 27.0 Accretion expense 1.1 1.5 Revision in estimated cash flows (a) 4.6 4.7 Cash expenditures (6.6 ) (12.5 ) Balance at end of period $ 19.8 $ 20.7 (a) Revision in estimated cash flows for 2020 and 2019 includes $2.9 and $3.4 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 of 1980, as amended (“CERCLA”), sites. |
Environmental Liabilities | Environmental liabilities – We accrue 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. |
COVID-19 Assessment | COVID-19 Assessment In March 2020, the World Health Organization categorized the current coronavirus disease (“COVID-19”) as a pandemic. COVID-19 continues to impact the United States and other countries across the world, and the duration and ultimate severity of its effects are currently unknown. This current level of uncertainty over the economic and operational impacts of COVID-19 means the related future financial impact cannot be reasonably estimated at this time. Our consolidated financial statements presented herein reflect certain estimates and assumptions made by management that affect the reported amounts of assets and liabilities and disclosure of such assets and liabilities at the date of the consolidated financial statements and reported amounts of revenue and expenses during the reporting periods presented. |
New Accounting Pronouncements | In March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-04: Reference Rate Reform (Topic 848) Facilitation of the Effects of Reference Rate Reform on Financial Reporting In January 2020, the FASB issued ASU No. 2020-01, “ Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) – Clarifying the Interactions between Topic 321, Topic 323, and Topic 815.” In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” We adopted ASU No. 2016-13 as of January 1, 2020 and there was no material impact on our financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Asset Retirement Obligation Liabilities | The following table describes changes to our asset retirement obligation liabilities: December 31, 2020 2019 (Dollars in millions) Asset retirement obligation at beginning of year $ 20.7 $ 27.0 Accretion expense 1.1 1.5 Revision in estimated cash flows (a) 4.6 4.7 Cash expenditures (6.6 ) (12.5 ) Balance at end of period $ 19.8 $ 20.7 (a) Revision in estimated cash flows for 2020 and 2019 includes $2.9 and $3.4 million of charges related to restructuring activities, respectively. See Note 4 – “Plant Closures and Discontinued Operations” for additional information. |
Plant Closures and Discontinu_2
Plant Closures and Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
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 Asset retirement Other Total (Dollars in millions) Reserve at December 31, 2018 $ 1.7 $ 3.6 $ 2.8 $ 8.1 Accrual 0.0 3.4 3.0 6.4 Costs charged against assets 0.0 0.0 (3.0 ) (3.0 ) Reversal of accrued charges (0.3 ) (0.1 ) 0.0 (0.4 ) Cash paid (0.5 ) (6.2 ) (0.3 ) (7.0 ) Currency translation 0.0 0.0 (0.1 ) (0.1 ) Reserve at December 31, 2019 $ 0.9 $ 0.7 $ 2.4 $ 4.0 Accrual 0.5 2.9 3.4 6.8 Costs charged against assets 0.0 0.0 (3.4 ) (3.4 ) Reversal of accrued charges (0.3 ) 0.0 0.0 (0.3 ) Cash paid (0.2 ) (0.8 ) (0.3 ) (1.3 ) Currency translation 0.0 0.0 0.2 0.2 Reserve at December 31, 2020 $ 0.9 $ 2.8 $ 2.3 $ 6.0 |
Schedule of Net Sales and Operating (Loss) Profit from Discontinued Operations | Net sales and operating (loss) profit from discontinued operations for the years ended December 31, 2020, 2019 and 2018 consist of the following amounts: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Net sales $ 31.6 $ 135.8 $ 147.5 Operating (loss) profit (5.0 ) 5.8 26.0 |
Schedule of Net cash Inflows and Outflows From Discontinued Operations | The cash flows related to KJCC have not been restated in the Consolidated Statement of Cash Flows. Net cash inflows and outflows from discontinued operations for the years ended December 31, 2020, 2019 and 2018 consist of the following amounts: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Net cash provided by operating activities $ 0.7 $ 21.4 $ 10.4 Net cash used in investing activities (0.9 ) (3.8 ) (3.3 ) Net cash used in financing activities 0.0 (19.8 ) (12.6 ) Effect of exchange rate changes on cash (0.5 ) (0.3 ) (0.7 ) Net decrease in cash and cash equivalents (0.7 ) (2.5 ) (6.2 ) |
Schedule of Carrying Amount of Assets and Liabilities by Major Class Classified as Held for Sale | The following represents the carrying amount of assets and liabilities, by major class, classified as held for sale on the Consolidated Balance Sheet as of December 31, 2019: December 31, 2019 (Dollars in millions) Assets Cash and cash equivalents $ 0.7 Accounts receivable 2.2 Income tax receivable 0.8 Inventories, net 10.6 Other current assets 2.8 Total current assets held for sale 17.1 Property, plant and equipment, net 56.6 Operating lease right-of-use assets 1.2 Other assets 1.5 Total non-current assets held for sale 59.3 Total assets held for sale $ 76.4 Liabilities Accounts payable $ 7.1 Accrued liabilities 4.7 Current operating lease liabilities 0.1 Total current liabilities held for sale 11.9 Deferred tax liabilities 0.6 Operating lease liabilities 1.1 Other long-term liabilities 23.4 Total non-current liabilities held for sale 25.1 Total liabilities held for sale $ 37.0 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations [Abstract] | |
Summary of Revenue and Income from Continuing Operations | The following unaudited pro forma information presents a summary of our revenues and income from continuing operations as if the UIP acquisition occurred on January 1, 2017 (the first day of the most recently completed fiscal year). The unaudited pro forma information is not necessarily indicative of operating results that would have been achieved had the acquisition been completed as of January 1, 2017 and is not intended to project our future financial results after the acquisition. The unaudited pro forma information is based on certain assumptions, which management believes are reasonable, and does not reflect the cost of any integration activities or the benefits from the acquisition and synergies that may be derived from any integration activities Year Ended December 31, 2018 (Dollars in millions) Pro forma revenue $ 1,613.4 Pro forma income from continuing operations attributable to Koppers 5.7 Pro forma income per share - continuing operations: Basic - $ 0.27 Diluted - $ 0.27 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Company's Financial Instruments | Carrying amounts and the related estimated fair values of our financial instruments as of December 31, 2020 and 2019 are as follows: December 31, 2020 December 31, 2019 Fair Value Carrying Value Fair Value Carrying Value (Dollars in millions) Financial assets: Investments and other assets $ 1.2 $ 1.2 $ 1.2 $ 1.2 Financial liabilities: Long-term debt (including current portion) $ 799.2 $ 784.2 $ 906.9 $ 911.9 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
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, 2020 2019 2018 (Dollars in millions, except share amounts, in thousands, and per share amounts) Net income attributable to Koppers $ 122.0 $ 66.6 $ 23.4 Less: (Loss) income from discontinued operations (3.9 ) 3.7 23.7 Gain on sale of discontinued operations 35.8 0.0 0.0 Plus: Non-controlling (loss) income (1.0 ) 0.8 5.8 Income from continuing operations attributable to Koppers $ 89.1 $ 63.7 $ 5.5 Weighted average common shares outstanding: Basic 20,992 20,665 20,871 Effect of dilutive securities 382 403 455 Diluted 21,374 21,068 21,326 Earnings per common share – continuing operations: Basic earnings per common share $ 4.25 $ 3.09 $ 0.26 Diluted earnings per common share 4.17 3.03 0.26 Other data: Antidilutive securities excluded from computation of diluted earnings per common share 717 764 401 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock Options And Performance Award Fair Value Assumptions | We calculated the fair value of stock options on the date of grant using the Black-Scholes-Merton model and the assumptions listed below: March 2020 Grant March 2019 Grant March March Grant date price per share of stock option award $ 19.63 $ 26.63 $ 41.60 $ 44.10 Expected dividend yield per share 0.00 % 0.00 % 0.00 % 0.00 % Expected life in years 6.40 6.14 5.73 5.77 Expected volatility 42.85 % 39.44 % 37.05 % 39.70 % Risk-free interest rate 0.87 % 2.53 % 2.67 % 2.13 % Grant date fair value per share of option awards $ 8.42 $ 11.29 $ 16.38 $ 17.90 |
Summary of Performance Stock Units | The following table shows a summary of the performance stock units as of December 31, 2020: Performance Period Minimum Shares Target Shares Maximum Shares 2018 – 2020 0 3,048 6,096 2019 – 2021 0 234,597 281,536 2020 – 2022 0 154,099 308,198 |
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, 2020: Restricted Stock Units Performance Stock Units Total Stock Units Weighted Grant Date Fair Value per Unit Non-vested at January 1, 2020 343,012 445,186 788,198 $ 40.18 Granted 369,161 232,481 601,642 $ 15.86 Performance share adjustment 0 (150,464 ) (150,464 ) $ 30.68 Vested (168,534 ) (110,168 ) (278,702 ) $ 41.68 Forfeited (34,130 ) (25,291 ) (59,421 ) $ 33.86 Non-vested at December 31, 2020 509,509 391,744 901,253 $ 25.48 |
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, 2020: Options Weighted Exercise Price per Option Weighted Average Remaining Contractual Term (in years) Aggregate Value (in millions) Outstanding at December 31, 2019 966,849 $ 28.45 Granted 187,701 $ 19.63 Exercised (2,500 ) $ 20.00 Expired (5,129 ) $ 31.28 Forfeited (26,667 ) $ 32.45 Outstanding at December 31, 2020 1,120,254 $ 26.89 5.41 $ 8.6 Exercisable at December 31, 2020 776,125 $ 27.39 4.05 $ 6.0 |
Schedule of Stock-based Compensation Expense Recognized | Stock Compensation Expense Total stock-based compensation expense recognized under our LTIP and employee stock purchase plan for the three years ended December 31, 2020 are as follows: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Stock-based compensation expense recognized: Selling, general and administrative expenses $ 11.3 $ 12.1 $ 12.5 Less related income tax benefit 2.2 0.2 3.1 Decrease in net income attributable to Koppers $ 9.1 $ 11.9 $ 9.4 Intrinsic value of exercised stock options $ 0.0 $ 1.1 $ 1.1 Cash received from the exercise of stock options $ 0.0 $ 2.9 $ 2.9 |
Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock Options And Performance Award Fair Value Assumptions | We calculated the fair value of the performance stock unit awards on the date of the grant using assumptions listed below: March 2020 Grant March 2019 Grant May March Grant date price per share of performance award $ 19.63 $ 26.63 $ 39.10 $ 41.60 Expected dividend yield per share 0.00 % 0.00 % 0.00 % 0.00 % Expected volatility 45.60 % 39.00 % 39.40 % 39.40 % Risk-free interest rate 0.72 % 2.50 % 2.35 % 2.38 % Look-back period in years 2.83 2.82 2.84 2.84 Grant date fair value per share of performance award $ 11.56 $ 40.30 $ 44.29 $ 47.12 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
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 our segments for the periods indicated: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Revenues from external customers: Railroad and Utility Products and Services $ 759.1 $ 733.5 $ 634.8 Performance Chemicals 526.3 448.3 420.0 Carbon Materials and Chemicals (a) 383.7 455.2 507.9 Total $ 1,669.1 $ 1,637.0 $ 1,562.7 Intersegment revenues: Performance Chemicals $ 13.7 $ 12.6 $ 10.8 Carbon Materials and Chemicals 78.7 75.2 77.3 Total $ 92.4 $ 87.8 $ 88.1 Depreciation and amortization expense: Railroad and Utility Products and Services $ 20.1 $ 19.4 $ 17.7 Performance Chemicals 18.1 18.3 17.8 Carbon Materials and Chemicals (b) 15.9 13.7 11.4 Total $ 54.1 $ 51.4 $ 46.9 Operating profit (loss): Railroad and Utility Products and Services (c) $ 46.7 $ 35.8 $ 5.9 Performance Chemicals 88.6 52.1 36.2 Carbon Materials and Chemicals (d) 23.4 39.2 44.7 Corporate (e) (2.0 ) (2.1 ) (2.4 ) Total $ 156.7 $ 125.0 $ 84.4 Capital expenditures (excluding acquisitions): Railroad and Utility Products and Services $ 31.3 $ 11.6 $ 19.2 Performance Chemicals 12.1 9.7 15.1 Carbon Materials and Chemicals (f) 24.8 15.5 73.5 Corporate 1.6 0.4 1.9 Total $ 69.8 $ 37.2 $ 109.7 ( a ) Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. (b) Depreciation and amortization expense excludes KJCC discontinued operations of $0.6 million, $3.7 million and $3.9 million for the years ended December 31, 2020, 2019 and 2018, respectively. ( c ) Includes $6.0 million of inventory fair value purchase price accounting adjustments from our acquisition of UIP in 2018. ( d ) Operating profit (loss) excludes KJCC discontinued operations of $(5.0) million, $5.8 million and $26.0 million for the years ended December 31, 2020, 2019 and 2018, respectively. ( e ) Operating loss for Corporate includes costs for Koppers Holdings Inc., the parent company of Koppers Inc., and acquisition-related costs. (f) Capital expenditures includes KJCC discontinued operations of $0.6 million, $3.9 million and $3.4 million for the years ended December 31, 2020, 2019 and 2018, respectively. |
Summary of Tangible and Intangible Assets by Segments | The following table sets forth tangible and intangible assets allocated to each of our segments as of the dates indicated: December 31, 2020 2019 (Dollars in millions) Segment assets: Railroad and Utility Products and Services $ 583.1 $ 562.2 Performance Chemicals 536.1 457.7 Carbon Materials and Chemicals 424.2 502.1 Segment assets 1,543.4 1,522.0 Cash and cash equivalents 0.4 0.0 Income tax receivable 1.2 1.9 Deferred taxes 28.8 17.0 Property, plant and equipment, net 5.9 5.3 Operating lease right-of-use assets 11.9 13.2 Prepaid insurance and other assets 7.0 5.2 Total (a) $ 1,598.6 $ 1,564.6 Goodwill: Railroad and Utility Products and Services $ 121.1 $ 120.7 Performance Chemicals 176.7 175.4 Total $ 297.8 $ 296.1 (a) The Carbon Materials and Chemicals segment includes $76.4 million of assets of discontinued operations held for sale related to our KJCC business at December 31, 2019. |
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 2020 $ 1,170.1 $ 832.0 2019 1,141.2 796.0 2018 993.5 732.1 Australasia 2020 194.3 82.0 2019 199.6 76.6 2018 218.8 69.8 Europe 2020 162.3 83.2 2019 177.5 70.2 2018 214.6 44.8 Other countries 2020 142.4 18.5 2019 118.7 19.3 2018 135.8 18.3 Total (a) 2020 $ 1,669.1 $ 1,015.7 2019 $ 1,637.0 $ 962.1 2018 $ 1,562.7 $ 865.1 (a) Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. Long-lived assets exclude $59.3 million and $59.0 million of assets of discontinued operations held for sale related to our KJCC business at December 31, 2019 and 2018, respectively. |
Schedule of Segment Revenues for Significant Product Lines | Segment Revenues for Significant Product Lines Year Ended December 31, 2020 2019 2018 (Dollars in millions) Railroad and Utility Products and Services: Railroad treated products $ 405.1 $ 419.6 $ 341.7 Utility poles 241.7 222.0 184.7 Railroad infrastructure services 63.5 36.5 36.9 Rail joints 20.3 26.8 33.5 Other products 28.6 28.6 38.0 759.1 733.5 634.8 Performance Chemicals: Wood preservative products 510.7 418.8 389.1 Other products 15.6 29.5 30.9 526.3 448.3 420.0 Carbon Materials and Chemicals: Pitch and related products 230.9 272.4 280.9 Phthalic anhydride and other chemicals 66.4 77.9 84.6 Creosote and distillates 40.0 46.3 84.1 Naphthalene 19.7 24.9 26.2 Other products 26.7 33.7 32.1 383.7 455.2 507.9 Total (a) $ 1,669.1 $ 1,637.0 $ 1,562.7 (a) Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Provision | Components of our income tax provision are as follows: Year Ended December 31, 2020 2019 2018 (Dollars in millions) Current: Federal $ 0.8 $ (3.5 ) $ (1.2 ) State 0.7 0.5 0.1 Foreign 11.1 14.4 17.9 Total current tax provision 12.6 11.4 16.8 Deferred: Federal 6.1 3.1 9.6 State 1.6 0.4 (0.2 ) Foreign 0.7 (14.9 ) (0.5 ) Total deferred tax provision (benefit) 8.4 (11.4 ) 8.9 Total income tax provision $ 21.0 $ 0.0 $ 25.7 |
Summary of Income Taxes Reconciled with Federal Statutory Rate | The provision for income taxes is reconciled with the federal statutory income tax rate as follows: Year Ended December 31, 2020 2019 2018 Federal income tax rate 21.0 % 21.0 % 21.0 % GILTI inclusion, net of foreign tax credits 4.0 1.4 21.1 Foreign earnings taxed at different rates 2.9 (0.2 ) 0.4 State income taxes, net of federal tax benefit 2.2 1.1 (5.9 ) Transition tax from Tax Act 0.0 0.0 27.3 Deferred tax adjustments from Tax Act 0.0 0.0 (12.0 ) Intra-entity transfer of intangible assets 0.0 (23.4 ) 0.0 Change in tax contingency reserves (0.2 ) (7.0 ) (3.5 ) Deferred tax adjustments (2.2 ) 0.0 4.0 Valuation allowance adjustments (12.1 ) 9.1 28.8 Other 3.5 (2.0 ) 1.2 19.1 % 0.0 % 82.4 % |
Summary of Deferred Tax Assets and Liabilities | Significant components of our deferred tax assets and liabilities are as follows: Year Ended December 31, 2020 2019 (Dollars in millions) Deferred tax assets: Tax credits $ 20.0 $ 22.5 Federal and state tax loss carryforwards, expiring from 2020 to 2039 18.3 17.8 Reserves, including insurance and environmental 11.7 23.3 Pension and other postretirement benefits obligations 9.7 9.4 Foreign tax loss carryforwards 7.5 5.6 Asset retirement obligations 6.8 6.5 Accrued employee compensation 6.6 8.5 Book/tax inventory accounting differences 6.2 5.1 Other 3.1 3.3 Valuation allowance (44.6 ) (58.0 ) Total deferred tax assets 45.3 44.0 Deferred tax liabilities: Tax over book depreciation and amortization 28.1 25.5 Gain on derivative contracts 16.3 1.4 Other 3.8 0.2 Total deferred tax liabilities 48.2 27.1 Net deferred tax (liabilities) assets $ (2.9 ) $ 16.9 |
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: December 31, 2020 2019 State temporary differences, net operating losses and tax credits $ 19.1 $ 18.1 Federal foreign tax credits 18.8 20.5 Federal temporary differences 0.0 13.3 Foreign temporary differences, net operating losses and capital losses 6.7 6.1 Total valuation allowances $ 44.6 $ 58.0 |
Summary of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, 2020 2019 2018 (Dollars in millions) Balance at beginning of year $ 2.1 $ 7.0 $ 8.7 Additions based on tax provisions related to the current year 0.2 0.1 0.1 Additions for tax provisions of prior years 0.5 0.0 0.0 Reductions resulting from a lapse in the statute of limitations (0.3 ) (0.3 ) (0.3 ) Reductions of tax provisions of prior years 0.0 (1.8 ) (1.5 ) Reductions resulting from audit closures 0.0 (2.9 ) 0.0 Balance at end of year $ 2.5 $ 2.1 $ 7.0 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Components of Inventories | Inventories as of December 31, 2020 and 2019 were as follows: December 31, 2020 2019 (Dollars in millions) Raw materials $ 233.7 $ 232.0 Work in process 12.4 12.0 Finished goods 99.3 107.8 345.4 351.8 Less revaluation to LIFO 49.6 63.3 Inventories, net (a) $ 295.8 $ 288.5 (a) Net inventories excludes $10.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment as of December 31, 2020 and 2019 were as follows: December 31, 2020 2019 (Dollars in millions) Land $ 16.7 $ 15.0 Buildings 75.0 70.5 Machinery and equipment 812.1 732.4 903.8 $ 817.9 Less accumulated depreciation 494.7 459.1 Property, Plant and Equipment, net (a) $ 409.1 $ 358.8 (a) Net property, plant, and equipment excludes $56.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Goodwill and Other Identifiab_2
Goodwill and Other Identifiable Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Goodwill | The change in the carrying amount of goodwill attributable to each reporting unit for the years ended December 31, 2020 and December 31, 2019 was as follows: Performance Chemicals Railroad Products and Services Utility Products Total (Dollars in millions) Balance at December 31, 2018 $ 175.4 $ 41.0 $ 80.1 $ 296.5 Purchase accounting adjustment 0.0 0.0 (0.4 ) (0.4 ) Balance at December 31, 2019 $ 175.4 $ 41.0 $ 79.7 $ 296.1 Currency translation $ 1.3 $ 0.1 $ 0.3 $ 1.7 Balance at December 31, 2020 $ 176.7 $ 41.1 $ 80.0 $ 297.8 |
Schedule of Identifiable Intangible Assets | Our identifiable intangible assets are being amortized over their estimated useful lives and are summarized below: December 31, 2020 2019 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 9.5 $ 228.5 $ 84.7 $ 143.8 $ 227.0 $ 69.5 $ 157.5 Technology 4 to 12 1.9 26.8 23.6 3.2 26.7 19.9 6.8 Trademarks 2 to 17 5.1 7.9 5.8 2.1 7.6 4.4 3.2 Supply contracts 10 0.0 2.6 2.6 0.0 2.4 2.3 0.1 Non-compete agreements 12 3.8 1.7 1.0 0.7 1.6 0.8 0.8 Favorable lease agreements 3 0.0 0.8 0.8 0.0 0.7 0.7 0.0 Total 9.1 $ 268.3 $ 118.5 $ 149.8 $ 266.0 $ 97.6 $ 168.4 |
Schedule of Future Amortization Expense | Estimated amortization expense for the next five years is summarized below: Estimated annual amortization (Dollars in millions) 2021 $ 17.7 2022 15.0 2023 14.6 2024 14.3 2025 13.8 |
Pensions and Post-Retirement _2
Pensions and Post-Retirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Compensation And Retirement Disclosure [Abstract] | |
Components of Net Periodic Benefit Cost for Pension Plans and Other Benefit Plans | Net periodic pension costs for 2020, 2019 and 2018 were as follows: Year Ended December 31, Pension Benefits Other Benefits 2020 2019 2018 2020 2019 2018 (Dollars in millions) Service cost $ 1.4 $ 1.5 $ 1.9 $ 0.1 $ 0.1 $ 0.1 Interest cost 6.4 7.8 7.5 0.3 0.4 0.4 Expected return on plan assets (7.9 ) (7.9 ) (8.5 ) 0.0 0.0 0.0 Amortization of net loss (gain) 1.7 1.6 1.4 (0.2 ) (0.2 ) 0.0 Settlements and curtailments 0.1 0.0 0.0 0.0 0.0 0.0 Net periodic benefit cost $ 1.7 $ 3.0 $ 2.3 $ 0.2 $ 0.3 $ 0.5 |
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, 2020 and December 31, 2019 is as follows: Year Ended December 31, Pension Benefits Other Benefits 2020 2019 2020 2019 (Dollars in millions) Change in benefit obligation: Benefit obligation at beginning of year $ 219.8 $ 201.7 $ 9.2 $ 9.4 Service cost 1.4 1.5 0.1 0.1 Interest cost 6.4 7.8 0.3 0.4 Actuarial losses (gains) 17.3 20.1 1.3 (0.3 ) Settlements (2.2 ) 0.0 0.0 0.0 Currency translation 2.6 1.6 0.0 0.0 Benefits paid (12.0 ) (12.9 ) (0.4 ) (0.3 ) Benefit obligation at end of year 233.3 219.8 10.5 9.2 Change in plan assets: Fair value of plan assets at beginning of year 191.5 169.6 0.0 0.0 Actual return on plan assets 23.6 28.6 0.0 0.0 Employer contribution 3.9 4.2 0.4 0.3 Settlements (2.2 ) 0.0 0.0 0.0 Currency translation 3.2 2.0 0.0 0.0 Benefits paid (12.0 ) (12.9 ) (0.4 ) (0.3 ) Fair value of plan assets at end of year 208.0 191.5 0.0 0.0 Funded status of the plan $ (25.3 ) $ (28.3 ) $ (10.5 ) $ (9.2 ) Plan Data Year Ended December 31, Pension Benefits Other Benefits 2020 2019 2020 2019 (Dollars in millions) Amounts recognized in the balance sheet consist of: Noncurrent assets $ 12.1 $ 10.9 $ 0.0 $ 0.0 Current liabilities 1.0 1.0 0.7 0.8 Noncurrent liabilities 36.4 38.2 9.8 8.4 Pension plans with projected benefit obligations in excess of plan assets: Benefit obligation $ 172.5 $ 160.4 Fair value of plan assets 135.0 121.2 Pension plans with accumulated benefit obligations in excess of plan assets: Accumulated benefit obligation $ 172.2 $ 160.2 Fair value of plan assets 135.0 121.2 |
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, are expected to be paid as follows: Pension Benefits Other Benefits (Dollars in millions) 2021 $ 11.6 $ 0.7 2022 11.4 0.7 2023 11.5 0.7 2024 11.6 0.6 2025 12.1 0.6 Next five years 59.8 3.0 |
Schedule of Weighted-Average Assumptions | Weighted-Average Assumptions December 31, Pension Benefits Other Benefits 2020 2019 2020 2019 Discount rate 2.29 % 3.05 % 2.66 % 3.43 % Expected return on plan assets 3.67 4.30 Rate of compensation increase 3.41 3.00 Initial medical trend rate 5.40 5.70 |
Schedule of Weighted Average Asset Allocation for Company's Pension Plans | The weighted average asset allocation for our pension plans at December 31 by asset category is as follows: December 31, 2020 2019 Debt securities 70 % 70 % Equity securities 21 24 Other 9 6 100 % 100 % |
Schedule of Pension Plan Assets at Fair Value | The following table sets forth by level, our pension plan assets at fair value, within the fair value hierarchy, as of December 31, 2020 and December 31, 2019: December 31, 2020 Quoted prices in active markets for identical assets (Level 1) Significant observable inputs (Level 2) Significant unobservable inputs (Level 3) Total (Dollars in millions) U.S. equity securities $ 0.0 $ 8.1 $ 0.0 $ 8.1 International equity securities 0.0 19.3 0.0 19.3 U.S. debt securities 0.0 68.6 0.0 68.6 International debt securities 0.0 62.7 0.0 62.7 Real estate and other investments 0.0 0.6 0.0 0.6 Cash and cash equivalents 0.0 11.2 0.0 11.2 $ 0.0 $ 170.5 $ 0.0 $ 170.5 Investments measured at NAV (a) 37.5 Total assets at fair value $ 208.0 (a) December 31, 2019 Quoted prices in active markets for identical assets (Level 1) Significant observable inputs (Level 2) Significant unobservable inputs (Level 3) Total (Dollars in millions) U.S. equity securities $ 0.0 $ 14.1 $ 0.0 $ 14.1 International equity securities 0.0 22.3 0.0 22.3 U.S. debt securities 0.0 58.3 0.0 58.3 International debt securities 0.0 48.1 0.0 48.1 Real estate and other investments 0.0 0.8 4.3 5.1 Cash and cash equivalents 0.0 3.6 0.0 3.6 $ 0.0 $ 147.2 $ 4.3 $ 151.5 Investments measured at NAV (a) 40.0 Total assets at fair value $ 191.5 (a) |
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, 2020: December 31, 2020 Other Investments (Dollars in millions) Balance at beginning of year $ 4.3 Purchases, sales, issuances and settlements (4.3 ) Balance at the end of year $ 0.0 The amount of total losses during the period attributable to the change in unrealized losses relating to Level 3 net assets still held at the reporting date $ 0.0 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt Instruments | Debt as of December 31, 2020 and 2019 was as follows: December 31, Weighted Average Interest Rate Maturity 2020 2019 Term Loan 2.69 % 2024 $ 12.2 $ 82.5 Revolving Credit Facility 2.69 % 2024 272.0 329.4 Senior Notes due 2025 6.00 % 2025 500.0 500.0 Total debt 784.2 911.9 Less short-term debt and current maturities of long-term debt 10.1 10.2 Less unamortized debt issuance costs 8.3 10.7 Long-term debt $ 765.8 $ 891.0 |
Schedule of Debt Maturities | At December 31, 2020 the aggregate debt maturities for the next five years are as follows: (Dollars in millions) 2021 $ 10.1 2022 2.1 2023 0.0 2024 272.0 2025 500.0 Total debt $ 784.2 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Summary of Amount and Timing of Cash Flows From Operating Leases | The following table presents information about the amount and timing of cash flows arising from our operating leases as of December 31, 2020: (Dollars in millions) 2021 $ 28.4 2022 24.6 2023 19.2 2024 15.4 2025 12.3 Thereafter 33.5 Total lease payments $ 133.5 Less: Interest (31.0 ) Present value of lease liabilities $ 102.5 |
Schedule of Supplemental Consolidated Balance Sheet Information Related to Leases | Supplemental consolidated balance sheet information related to leases is as follows: December 31, 2020 2019 (Dollars in millions) Operating leases: Operating lease right-of-use assets $ 102.5 $ 112.3 Current operating lease liabilities $ 21.2 $ 22.0 Operating lease liabilities 81.3 91.5 Total operating lease liabilities $ 102.5 $ 113.5 Weighted average remaining lease term, in years 6.4 6.9 Weighted average discount rate 7.5 % 7.7 % |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of Outstanding Copper Swap Contracts | As of December 31, 2020 and December 31, 2019, we had outstanding copper swap contracts of the following amounts: Units Outstanding (in Pounds) Net Fair Value - Asset (Liability) December 31, December 31, 2020 2019 2020 2019 (Amounts in millions) Cash flow hedges 62.3 56.5 $ 58.3 $ 4.5 Not designated as hedges 11.5 16.6 10.9 1.7 Total 73.8 73.1 $ 69.2 $ 6.2 |
Schedule of Fair Value of Outstanding Copper Swap Contracts Recorded in Balance Sheet | As of December 31, 2020 and December 31, 2019, the fair value of the outstanding copper swap contracts is recorded in the balance sheet as follows: December 31, 2020 2019 (Dollars in millions) Derivative contracts $ 37.3 $ 2.1 Non-current derivative contracts 31.9 4.1 Net asset on balance sheet $ 69.2 $ 6.2 Accumulated other comprehensive gain, net of tax $ 44.4 $ 3.2 |
Summary of Amount Recognized in Earnings Related to Copper Swap Contracts | See the consolidated statement of comprehensive income (loss) and consolidated statement of shareholders’ equity for amounts recorded in other comprehensive income and for amounts reclassified from accumulated other comprehensive income (loss) into net income for the periods specified below. For the years ended December 31, 2020 and 2019, the following amounts were recognized in earnings related to copper swap contracts: Year Ended December 31, 2020 2019 (Dollars in millions) Gain from contracts not designated as hedges $ 9.2 $ 4.1 |
Schedule of Fair Value of Outstanding Foreign Currency Forward Contracts | As of December 31, 2020 and December 31, 2019, the fair value of outstanding foreign currency forward contracts is recorded in the balance sheet as follows: December 31, 2020 2019 (Dollars in millions) Derivative contracts $ 1.2 $ 0.3 Accrued liabilities (0.5 ) (0.5 ) Net asset (liability) on balance sheet $ 0.7 $ (0.2 ) |
Summary of Net Currency Units Outstanding | As of December 31, 2020 and 2019, the net currency units outstanding were: December 31, 2020 2019 (In millions) British Pounds GBP 2.0 GBP 3.7 New Zealand Dollars NZD 0.0 NZD 16.0 United States Dollars USD 7.6 USD 6.2 Euro EUR 0.0 EUR 1.2 |
Common Stock and Senior Conve_2
Common Stock and Senior Convertible Preferred Stock (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Equity [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, 2020 are as follows: December 31, 2020 2019 2018 (Shares in thousands) Senior Convertible Preferred Stock: Balance at beginning and end of year 0 0 0 Common Stock: Balance at beginning of year 23,321 23,029 22,384 Issued for employee stock plans 367 292 645 Balance at end of year 23,688 23,321 23,029 Treasury Stock: Balance at beginning of year (2,516 ) (2,480 ) (1,606 ) Shares repurchased (74 ) (36 ) (874 ) Balance at end of year (2,590 ) (2,516 ) (2,480 ) |
Commitments and Contingent Li_2
Commitments and Contingent Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Changes in Accrued Liability for Environmental Matters | The following table reflects changes in the accrued liability for environmental matters, excluding fines and penalties of which $2.9 million and $2.8 million are classified as current liabilities at December 31, 2020 and December 31, 2019, respectively December 31, 2020 2019 (Dollars in millions) Balance at beginning of year $ 9.5 $ 10.1 Expense 1.8 0.5 Revision of reserves 0.0 (0.8 ) Cash expenditures (0.4 ) (0.3 ) Currency translation 0.1 0.0 Balance at end of period $ 11.0 $ 9.5 |
Description of Business - Addit
Description of Business - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2020Segment | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Number of operating segments | 3 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Summary Of Significant Accounting Policies [Line Items] | |||
Period for payment terms on ship and invoice arrangements. | 45 days | ||
Period for payment of approval basis sale | 30 days | ||
Contract Assets | $ 5,800,000 | $ 5,100,000 | |
Restricted cash | $ 2,300,000 | ||
Percentage of LIFO inventory | 53.00% | 51.00% | |
Inventory write-down | $ 600,000 | $ 1,000,000 | $ 1,000,000 |
Goodwill impairment charge | $ 0 | $ 0 | $ 0 |
Buildings [Member] | Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 10 years | ||
Buildings [Member] | Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 20 years | ||
Machinery and Equipment [Member] | Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 3 years | ||
Machinery and Equipment [Member] | Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 15 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Asset Retirement Obligation Liabilities (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Asset retirement obligation at beginning of year | $ 20.7 | $ 27 |
Accretion expense | 1.1 | 1.5 |
Revision in estimated cash flows (a) | 4.6 | 4.7 |
Cash expenditures | (6.6) | (12.5) |
Balance at end of period | $ 19.8 | $ 20.7 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Summary of Asset Retirement Obligation Liabilities (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Charges related to restructuring activities | $ 2.9 | $ 3.4 |
Plant Closures and Discontinu_3
Plant Closures and Discontinued Operations - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |||||
Sep. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Nov. 30, 2016 | Mar. 31, 2016 | Jul. 31, 2015 | |
Restructuring Cost And Reserve [Line Items] | |||||||
Gain on sale of discontinued operations, net of tax expense of $8.3 | $ 35.8 | $ 0 | $ 0 | ||||
Restricted cash held with escrow | $ 2.3 | ||||||
Period of time from acquisition date for indemnity claims | 15 months | ||||||
Impairment charge | 0 | ||||||
Aggregate disvestiture cost | $ 4.9 | ||||||
Discontinued Operations Disposed Of By Means Other Than Sale [Member] | China [Member] | Carbon Materials and Chemicals [Member] | |||||||
Restructuring Cost And Reserve [Line Items] | |||||||
Percentage of operations in Tangshan, China owned by the company | 60.00% | ||||||
Tangshan Koppers Kailuan Carbon Chemical Company Limited [Member] | |||||||
Restructuring Cost And Reserve [Line Items] | |||||||
Ownership percentage | 30.00% | ||||||
KSA Limited Partnership [Member] | |||||||
Restructuring Cost And Reserve [Line Items] | |||||||
Ownership percentage | 50.00% | ||||||
Koppers (Jiangsu) Carbon Chemical Company Limited [Member] | |||||||
Restructuring Cost And Reserve [Line Items] | |||||||
Disposal group, including discontinued operation, costs of goods sold | $ 107 | ||||||
Discontinued operation, gain (loss) on disposal of discontinued operation, before income tax | 44.1 | ||||||
Gain on sale of discontinued operations, net of tax expense of $8.3 | 35.8 | ||||||
Net cash provided by (used in) discontinued operations | $ 65.2 | ||||||
Koppers (Jiangsu) Carbon Chemical Company Limited [Member] | Carbon Materials and Chemicals [Member] | |||||||
Restructuring Cost And Reserve [Line Items] | |||||||
Ownership percentage | 75.00% |
Plant Closures and Discontinu_4
Plant Closures and Discontinued Operations - Summary of Restructuring Activities and Related Reserves (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Restructuring Cost And Reserve [Line Items] | ||
Reserve, Beginning Balance | $ 4 | $ 8.1 |
Accrual | 6.8 | 6.4 |
Costs charged against assets | (3.4) | (3) |
Reversal of accrued charges | (0.3) | (0.4) |
Cash paid | (1.3) | (7) |
Currency translation | 0.2 | (0.1) |
Reserve, Ending Balance | 6 | 4 |
Severance and Employee Benefits [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Reserve, Beginning Balance | 0.9 | 1.7 |
Accrual | 0.5 | 0 |
Costs charged against assets | 0 | 0 |
Reversal of accrued charges | (0.3) | (0.3) |
Cash paid | (0.2) | (0.5) |
Currency translation | 0 | 0 |
Reserve, Ending Balance | 0.9 | 0.9 |
Asset Retirement [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Reserve, Beginning Balance | 0.7 | 3.6 |
Accrual | 2.9 | 3.4 |
Costs charged against assets | 0 | 0 |
Reversal of accrued charges | 0 | (0.1) |
Cash paid | (0.8) | (6.2) |
Currency translation | 0 | 0 |
Reserve, Ending Balance | 2.8 | 0.7 |
Other [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Reserve, Beginning Balance | 2.4 | 2.8 |
Accrual | 3.4 | 3 |
Costs charged against assets | (3.4) | (3) |
Reversal of accrued charges | 0 | 0 |
Cash paid | (0.3) | (0.3) |
Currency translation | 0.2 | (0.1) |
Reserve, Ending Balance | $ 2.3 | $ 2.4 |
Plant Closures and Discontinu_5
Plant Closures and Discontinued Operations - Schedule of Net Sales and Operating Loss Profit from Discontinued Operations (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Discontinued Operations And Disposal Groups [Abstract] | |||
Net sales | $ 31.6 | $ 135.8 | $ 147.5 |
Operating (loss) profit | $ (5) | $ 5.8 | $ 26 |
Plant Closures and Discontinu_6
Plant Closures and Discontinued Operations - Schedule of Net cash Inflows and Outflows From Discontinued Operations (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Discontinued Operations And Disposal Groups [Abstract] | |||
Net cash provided by operating activities | $ 0.7 | $ 21.4 | $ 10.4 |
Net cash used in investing activities | (0.9) | (3.8) | (3.3) |
Net cash used in financing activities | 0 | (19.8) | (12.6) |
Effect of exchange rate changes on cash | (0.5) | (0.3) | (0.7) |
Net (decrease) increase in cash and cash equivalents | $ (0.7) | $ (2.5) | $ (6.2) |
Plant Closures and Discontinu_7
Plant Closures and Discontinued Operations - Schedule of Carrying Amount of Assets and Liabilities by Major Class Classified as Held for Sale (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Cash and cash equivalents | $ 0.7 | |
Accounts receivable | 2.2 | |
Income tax receivable | 0.8 | |
Inventories, net | 10.6 | |
Other current assets | 2.8 | |
Total current assets held for sale | $ 0 | 17.1 |
Property, plant and equipment, net | 56.6 | |
Operating lease right-of-use assets | 1.2 | |
Other assets | 1.5 | |
Total non-current assets held for sale | 0 | 59.3 |
Total assets held for sale | 76.4 | |
Liabilities | ||
Accounts payable | 7.1 | |
Accrued liabilities | 4.7 | |
Current operating lease liabilities | 0.1 | |
Total current liabilities held for sale | 0 | 11.9 |
Deferred tax liabilities | 0.6 | |
Operating lease liabilities | 1.1 | |
Other long-term liabilities | 23.4 | |
Total non-current liabilities held for sale | $ 0 | 25.1 |
Total liabilities held for sale | $ 37 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Millions | Apr. 10, 2018 | Feb. 28, 2018 | Dec. 31, 2018 |
Business Acquisition [Line Items] | |||
Combined costs related to acquisitions | $ 6.5 | ||
Koppers Utility and Industrial Products Inc. [Member] | |||
Business Acquisition [Line Items] | |||
Cash consideration | $ 201.3 | ||
Koppers Recovery Resources LLC [Member] | |||
Business Acquisition [Line Items] | |||
Cash consideration | $ 62.8 |
Acquisitions - Summary of Reven
Acquisitions - Summary of Revenue and Income from Continuing Operations (Detail) $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($)$ / shares | |
Business Combinations [Abstract] | |
Pro forma revenue | $ | $ 1,613.4 |
Pro forma income from continuing operations attributable to Koppers | $ | $ 5.7 |
Pro forma income per share - continuing operations, Basic | $ / shares | $ 0.27 |
Pro forma income per share - continuing operations, Diluted | $ / shares | $ 0.27 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Company's Financial Instruments (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value [Member] | ||
Financial assets: | ||
Investments and other assets | $ 1.2 | $ 1.2 |
Financial liabilities: | ||
Long-term debt (including current portion) | 799.2 | 906.9 |
Carrying Value [Member] | ||
Financial assets: | ||
Investments and other assets | 1.2 | 1.2 |
Financial liabilities: | ||
Long-term debt (including current portion) | $ 784.2 | $ 911.9 |
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 | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |||
Net income attributable to Koppers | $ 122 | $ 66.6 | $ 23.4 |
Less: (Loss) income from discontinued operations | (3.9) | 3.7 | 23.7 |
Gain on sale of discontinued operations | 35.8 | 0 | 0 |
Plus: Non-controlling (loss) income | (1) | 0.8 | 5.8 |
Income from continuing operations attributable to Koppers | $ 89.1 | $ 63.7 | $ 5.5 |
Weighted average common shares outstanding: | |||
Basic | 20,992 | 20,665 | 20,871 |
Effect of dilutive securities | 382 | 403 | 455 |
Diluted | 21,374 | 21,068 | 21,326 |
Earnings per common share – continuing operations: | |||
Basic earnings per common share | $ 4.25 | $ 3.09 | $ 0.26 |
Diluted earnings per common share | $ 4.17 | $ 3.03 | $ 0.26 |
Other data: | |||
Antidilutive securities excluded from computation of diluted earnings per common share | 717 | 764 | 401 |
Stock-based Compensation - Addi
Stock-based Compensation - Additional Information (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Future compensation expense related to non-vested stock-based compensation arrangements | $ | $ 14.6 |
Future compensation expense, weighted-average expected period of recognition in months | 26 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] | Employee [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock-based awards, vesting period | 4 years |
Restricted Stock Units (RSUs) [Member] | Employee [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock-based awards, vesting period | 2 years |
Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting performance stock units if minimum performance criteria are not achieved | shares | 0 |
Stock options, term in years | 3 years |
Performance Stock Units [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Percentage of target award earned by participants | 200.00% |
Performance Stock Units [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Percentage of target award earned by participants | 0.00% |
Employee Stock Option [Member] | Grants in March 2015 and Thereafter [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 | Grants in March 2015 and Thereafter [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock-based awards, vesting period | 4 years |
Stock-based Compensation - Perf
Stock-based Compensation - Performance Award Fair Value Assumptions (Detail) | 12 Months Ended |
Dec. 31, 2020$ / shares | |
March 2020 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 19.63 |
Expected dividend yield per share | 0.00% |
Expected volatility | 42.85% |
Risk-free interest rate | 0.87% |
Grant date fair value per share of performance award | $ 8.42 |
March 2020 Grant [Member] | Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 19.63 |
Expected dividend yield per share | 0.00% |
Expected volatility | 45.60% |
Risk-free interest rate | 0.72% |
Look-back period in years | 2 years 9 months 29 days |
Grant date fair value per share of performance award | $ 11.56 |
March 2019 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 26.63 |
Expected dividend yield per share | 0.00% |
Expected volatility | 39.44% |
Risk-free interest rate | 2.53% |
Grant date fair value per share of performance award | $ 11.29 |
March 2019 Grant [Member] | Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 26.63 |
Expected dividend yield per share | 0.00% |
Expected volatility | 39.00% |
Risk-free interest rate | 2.50% |
Look-back period in years | 2 years 9 months 25 days |
Grant date fair value per share of performance award | $ 40.30 |
May 2018 Grant [Member] | Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 39.10 |
Expected dividend yield per share | 0.00% |
Expected volatility | 39.40% |
Risk-free interest rate | 2.35% |
Look-back period in years | 2 years 10 months 2 days |
Grant date fair value per share of performance award | $ 44.29 |
March 2018 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 41.60 |
Expected dividend yield per share | 0.00% |
Expected volatility | 37.05% |
Risk-free interest rate | 2.67% |
Grant date fair value per share of performance award | $ 16.38 |
March 2018 Grant [Member] | Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of performance award | $ 41.60 |
Expected dividend yield per share | 0.00% |
Expected volatility | 39.40% |
Risk-free interest rate | 2.38% |
Look-back period in years | 2 years 10 months 2 days |
Grant date fair value per share of performance award | $ 47.12 |
Stock-based Compensation - Summ
Stock-based Compensation - Summary of Performance Stock Units (Detail) - shares | Dec. 31, 2020 | Dec. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 901,253 | 788,198 |
Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 391,744 | 445,186 |
Minimum [Member] | 2018 - 2020 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 0 | |
Minimum [Member] | 2019 - 2021 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 0 | |
Minimum [Member] | 2020 - 2022 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 0 | |
Target Shares [Member] | 2018 - 2020 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 3,048 | |
Target Shares [Member] | 2019 - 2021 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 234,597 | |
Target Shares [Member] | 2020 - 2022 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 154,099 | |
Maximum [Member] | 2018 - 2020 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 6,096 | |
Maximum [Member] | 2019 - 2021 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 281,536 | |
Maximum [Member] | 2020 - 2022 [Member] | Performance Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares outstanding | 308,198 |
Stock-based Compensation - Su_2
Stock-based Compensation - Summary of Status and Activity of Non-Vested Stock Awards (Detail) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, Beginning Balance | 788,198 |
Granted | 601,642 |
Performance share adjustment | (150,464) |
Vested | (278,702) |
Forfeited | (59,421) |
Non-vested, Ending Balance | 901,253 |
Beginning Balance, Non-vested, Weighted Average Grant Date Fair Value per Unit | $ / shares | $ 40.18 |
Granted, Weighted Average Grant Date Fair Value per Unit | $ / shares | 15.86 |
Performance share adjustment, Weighted Average Grant Date Fair Value per Unit | $ / shares | 30.68 |
Vested, Weighted Average Grant Date Fair Value per Unit | $ / shares | 41.68 |
Forfeited, Weighted Average Grant Date Fair Value per Unit | $ / shares | 33.86 |
Ending Balance, Non-vested, Weighted Average Grant Date Fair Value per Unit | $ / shares | $ 25.48 |
Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, Beginning Balance | 343,012 |
Granted | 369,161 |
Performance share adjustment | 0 |
Vested | (168,534) |
Forfeited | (34,130) |
Non-vested, Ending Balance | 509,509 |
Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Non-vested, Beginning Balance | 445,186 |
Granted | 232,481 |
Performance share adjustment | (150,464) |
Vested | (110,168) |
Forfeited | (25,291) |
Non-vested, Ending Balance | 391,744 |
Stock-based Compensation - Stoc
Stock-based Compensation - Stock Options Fair Value Assumptions (Detail) | 12 Months Ended |
Dec. 31, 2020$ / shares | |
March 2020 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of stock option award | $ 19.63 |
Expected dividend yield per share | 0.00% |
Expected life in years | 6 years 4 months 24 days |
Expected volatility | 42.85% |
Risk-free interest rate | 0.87% |
Grant date fair value per share of option awards | $ 8.42 |
March 2019 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of stock option award | $ 26.63 |
Expected dividend yield per share | 0.00% |
Expected life in years | 6 years 1 month 20 days |
Expected volatility | 39.44% |
Risk-free interest rate | 2.53% |
Grant date fair value per share of option awards | $ 11.29 |
March 2018 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of stock option award | $ 41.60 |
Expected dividend yield per share | 0.00% |
Expected life in years | 5 years 8 months 23 days |
Expected volatility | 37.05% |
Risk-free interest rate | 2.67% |
Grant date fair value per share of option awards | $ 16.38 |
March 2017 Grant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date price per share of stock option award | $ 44.10 |
Expected dividend yield per share | 0.00% |
Expected life in years | 5 years 9 months 7 days |
Expected volatility | 39.70% |
Risk-free interest rate | 2.13% |
Grant date fair value per share of option awards | $ 17.90 |
Stock-based Compensation - Su_3
Stock-based Compensation - Summary of Status and Activity of Stock Options (Detail) $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($)$ / sharesshares | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Options, Outstanding at December 31, 2019 | shares | 966,849 |
Options, Granted | shares | 187,701 |
Options, Exercised | shares | (2,500) |
Options, Expired | shares | (5,129) |
Options, Forfeited | shares | (26,667) |
Options, Outstanding at December 31, 2020 | shares | 1,120,254 |
Options, Exercisable at December 31, 2020 | shares | 776,125 |
Weighted Average Exercise Price per Option, Outstanding at December 31, 2019 | $ / shares | $ 28.45 |
Weighted Average Exercise Price per Option, Granted | $ / shares | 19.63 |
Weighted Average Exercise Price per Option, Exercised | $ / shares | 20 |
Weighted Average Exercise Price per Option, Expired | $ / shares | 31.28 |
Weighted Average Exercise Price per Option, Forfeited | $ / shares | 32.45 |
Weighted Average Exercise Price per Option, Outstanding at December 31, 2020 | $ / shares | 26.89 |
Weighted Average Exercise Price per Option, Exercisable at December 31, 2020 | $ / shares | $ 27.39 |
Weighted Average Remaining Contractual Term, Outstanding at December 31, 2020 | 5 years 4 months 28 days |
Weighted Average Remaining Contractual Term, Exercisable at December 31, 2020 | 4 years 18 days |
Aggregate Intrinsic Value, Outstanding at December 31, 2020 | $ | $ 8.6 |
Aggregate Intrinsic Value, Exercisable at December 31, 2020 | $ | $ 6 |
Stock-based Compensation - Sche
Stock-based Compensation - Schedule of Stock-Based Compensation Expense Recognized (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock-based compensation expense recognized: | |||
Less related income tax benefit | $ 2.2 | $ 0.2 | $ 3.1 |
Decrease in net income attributable to Koppers | 9.1 | 11.9 | 9.4 |
Intrinsic value of exercised stock options | 0 | 1.1 | 1.1 |
Cash received from the exercise of stock options | 0 | 2.9 | 2.9 |
Selling, General and Administrative Expenses [Member] | |||
Stock-based compensation expense recognized: | |||
Stock-based compensation expense | $ 11.3 | $ 12.1 | $ 12.5 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020USD ($)Segment | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | Segment | 3 | ||
Net sales | $ 1,669.1 | $ 1,637 | $ 1,562.7 |
Non-U.S. Countries [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 499 | $ 495.8 | $ 569.2 |
Segment Information - Summary o
Segment Information - Summary of Results of Segment Operations (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Revenues from external customers: | ||||
Net sales | $ 1,669.1 | $ 1,637 | $ 1,562.7 | |
Net sales | 1,669.1 | 1,637 | 1,562.7 | |
Depreciation and amortization expense | 54.1 | 51.4 | 46.9 | |
Operating profit (loss) | 156.7 | 125 | 84.4 | |
Capital expenditures (excluding acquisitions): | 69.8 | 37.2 | 109.7 | |
Performance Chemicals [Member] | ||||
Revenues from external customers: | ||||
Net sales | 526.3 | 448.3 | 420 | |
Net sales | 526.3 | 448.3 | 420 | |
Carbon Materials and Chemicals [Member] | ||||
Revenues from external customers: | ||||
Net sales | 383.7 | 455.2 | 507.9 | |
Net sales | 383.7 | 455.2 | 507.9 | |
Railroad And Utility Products And Services | ||||
Revenues from external customers: | ||||
Net sales | 759.1 | 733.5 | 634.8 | |
Net sales | 759.1 | 733.5 | 634.8 | |
Operating Segments [Member] | Performance Chemicals [Member] | ||||
Revenues from external customers: | ||||
Net sales | 526.3 | 448.3 | 420 | |
Net sales | 526.3 | 448.3 | 420 | |
Depreciation and amortization expense | 18.1 | 18.3 | 17.8 | |
Operating profit (loss) | 88.6 | 52.1 | 36.2 | |
Capital expenditures (excluding acquisitions): | 12.1 | 9.7 | 15.1 | |
Operating Segments [Member] | Carbon Materials and Chemicals [Member] | ||||
Revenues from external customers: | ||||
Net sales | [1] | 383.7 | 455.2 | 507.9 |
Net sales | [1] | 383.7 | 455.2 | 507.9 |
Depreciation and amortization expense | [2] | 15.9 | 13.7 | 11.4 |
Operating profit (loss) | [3] | 23.4 | 39.2 | 44.7 |
Capital expenditures (excluding acquisitions): | [4] | 24.8 | 15.5 | 73.5 |
Operating Segments [Member] | Railroad And Utility Products And Services | ||||
Revenues from external customers: | ||||
Net sales | 759.1 | 733.5 | 634.8 | |
Net sales | 759.1 | 733.5 | 634.8 | |
Depreciation and amortization expense | 20.1 | 19.4 | 17.7 | |
Operating profit (loss) | [5] | 46.7 | 35.8 | 5.9 |
Capital expenditures (excluding acquisitions): | 31.3 | 11.6 | 19.2 | |
Intersegment [Member] | ||||
Revenues from external customers: | ||||
Net sales | 92.4 | 87.8 | 88.1 | |
Net sales | 92.4 | 87.8 | 88.1 | |
Intersegment [Member] | Performance Chemicals [Member] | ||||
Revenues from external customers: | ||||
Net sales | 13.7 | 12.6 | 10.8 | |
Net sales | 13.7 | 12.6 | 10.8 | |
Intersegment [Member] | Carbon Materials and Chemicals [Member] | ||||
Revenues from external customers: | ||||
Net sales | 78.7 | 75.2 | 77.3 | |
Net sales | 78.7 | 75.2 | 77.3 | |
Corporate, Non-Segment | ||||
Revenues from external customers: | ||||
Operating profit (loss) | [6] | (2) | (2.1) | (2.4) |
Capital expenditures (excluding acquisitions): | $ 1.6 | $ 0.4 | $ 1.9 | |
[1] | Revenue excludes KJCC discontinued operations of $31.6 million, $135.8 million and $147.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. | |||
[2] | Depreciation and amortization expense excludes KJCC discontinued operations of $0.6 million, $3.7 million and $3.9 million for the years ended December 31, 2020, 2019 and 2018, respectively. | |||
[3] | Operating profit (loss) excludes KJCC discontinued operations of $(5.0) million, $5.8 million and $26.0 million for the years ended December 31, 2020, 2019 and 2018, respectively. | |||
[4] | Capital expenditures includes KJCC discontinued operations of $0.6 million, $3.9 million and $3.4 million for the years ended December 31, 2020, 2019 and 2018, respectively. | |||
[5] | Includes $6.0 million of inventory fair value purchase price accounting adjustments from our acquisition of UIP in 2018. | |||
[6] | Operating loss for Corporate includes costs for Koppers Holdings Inc., the parent company of Koppers Inc., and acquisition-related costs. |
Segment Information - Summary_2
Segment Information - Summary of Results of Segment Operations (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues from external customers: | |||
Net sales | $ 31.6 | $ 135.8 | $ 147.5 |
Depreciation and amortization expense | 0.6 | 3.7 | 3.9 |
Operating (loss) profit | (5) | 5.8 | 26 |
Operating profit (loss) | 156.7 | 125 | 84.4 |
Capital expenditure, discontinued operations | $ 0.6 | $ 3.9 | 3.4 |
Koppers Utility and Industrial Products [Member] | Inventory Fair Value Purchase Price Adjustment [Member] | |||
Revenues from external customers: | |||
Operating profit (loss) | $ 6 |
Segment Information - Summary_3
Segment Information - Summary of Tangible and Intangible Assets by Segments (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Assets | $ 1,598.6 | $ 1,564.6 | |||
Cash and cash equivalents | 38.5 | 32.3 | $ 37.4 | $ 50.9 | |
Income tax receivable | 1.2 | 1.1 | |||
Deferred taxes | 45.3 | 44 | |||
Property, plant and equipment, net | [1] | 409.1 | 358.8 | ||
Operating lease right-of-use assets | 102.5 | 112.3 | |||
Goodwill | 297.8 | 296.1 | 296.5 | ||
Operating Segments [Member] | |||||
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Assets | 1,543.4 | 1,522 | |||
Corporate, Non-Segment | |||||
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Cash and cash equivalents | 0.4 | 0 | |||
Income tax receivable | 1.2 | 1.9 | |||
Deferred taxes | 28.8 | 17 | |||
Property, plant and equipment, net | 5.9 | 5.3 | |||
Operating lease right-of-use assets | 11.9 | 13.2 | |||
Prepaid insurance and other assets | 7 | 5.2 | |||
Railroad and Utility Products and Services [Member] | Operating Segments [Member] | |||||
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Assets | 583.1 | 562.2 | |||
Goodwill | 121.1 | 120.7 | |||
Carbon Materials and Chemicals [Member] | Operating Segments [Member] | |||||
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Assets | 424.2 | 502.1 | |||
Performance Chemicals [Member] | |||||
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Goodwill | 176.7 | 175.4 | $ 175.4 | ||
Performance Chemicals [Member] | Operating Segments [Member] | |||||
Segment Reporting Asset Reconciling Item [Line Items] | |||||
Assets | 536.1 | 457.7 | |||
Goodwill | $ 176.7 | $ 175.4 | |||
[1] | Net property, plant, and equipment excludes $56.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Segment Information - Summary_4
Segment Information - Summary of Tangible and Intangible Assets by Segments ((Parenthetical)) (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Segment Reporting Asset Reconciling Item [Line Items] | ||
Fair value | $ 76.4 | |
Discontinued Operations, Held-for-sale | Carbon Materials and Chemicals [Member] | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Fair value | $ 76.4 |
Segment Information - Schedule
Segment Information - Schedule of Revenues and Long-Lived Assets by Geographic Area (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||
Revenues from external customers | $ 1,669.1 | $ 1,637 | $ 1,562.7 |
Long-lived assets | 1,015.7 | 962.1 | 865.1 |
United States [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues from external customers | 1,170.1 | 1,141.2 | 993.5 |
Long-lived assets | 832 | 796 | 732.1 |
Australia [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues from external customers | 194.3 | 199.6 | 218.8 |
Long-lived assets | 82 | 76.6 | 69.8 |
Europe [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues from external customers | 162.3 | 177.5 | 214.6 |
Long-lived assets | 83.2 | 70.2 | 44.8 |
Other Countries [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues from external customers | 142.4 | 118.7 | 135.8 |
Long-lived assets | $ 18.5 | $ 19.3 | $ 18.3 |
Segment Information - Schedul_2
Segment Information - Schedule of Revenues and Long-Lived Assets by Geographic area (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Asset Reconciling Item [Line Items] | |||
Net sales | $ 31.6 | $ 135.8 | $ 147.5 |
Discontinued Operations, Held-for-sale | Carbon Materials and Chemicals [Member] | |||
Segment Reporting Asset Reconciling Item [Line Items] | |||
Fair value | $ 59.3 | $ 59 |
Segment Information - Schedul_3
Segment Information - Schedule of Segment Revenues for Significant Product Lines (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 1,669.1 | $ 1,637 | $ 1,562.7 |
Railroad and Utility Products and Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 759.1 | 733.5 | 634.8 |
Railroad and Utility Products and Services [Member] | Railroad Treated Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 405.1 | 419.6 | 341.7 |
Railroad and Utility Products and Services [Member] | Utility Poles [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 241.7 | 222 | 184.7 |
Railroad and Utility Products and Services [Member] | Rail Joints [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 20.3 | 26.8 | 33.5 |
Railroad and Utility Products and Services [Member] | Railroad Infrastructure Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 63.5 | 36.5 | 36.9 |
Railroad and Utility Products and Services [Member] | Other Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 28.6 | 28.6 | 38 |
Carbon Materials and Chemicals [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 383.7 | 455.2 | 507.9 |
Carbon Materials and Chemicals [Member] | Other Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 26.7 | 33.7 | 32.1 |
Carbon Materials and Chemicals [Member] | Pitch and Related Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 230.9 | 272.4 | 280.9 |
Carbon Materials and Chemicals [Member] | Creosote and Distillates [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 40 | 46.3 | 84.1 |
Carbon Materials and Chemicals [Member] | Phthalic Anhydride and Other Chemicals [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 66.4 | 77.9 | 84.6 |
Carbon Materials and Chemicals [Member] | Naphthalene [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 19.7 | 24.9 | 26.2 |
Performance Chemicals [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 526.3 | 448.3 | 420 |
Performance Chemicals [Member] | Other Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 15.6 | 29.5 | 30.9 |
Performance Chemicals [Member] | Wood Preservative Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ 510.7 | $ 418.8 | $ 389.1 |
Segment Information - Schedul_4
Segment Information - Schedule of Segment Revenues for Significant Product Lines (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting [Abstract] | |||
Net sales | $ 31.6 | $ 135.8 | $ 147.5 |
Income Taxes - Summary of Incom
Income Taxes - Summary of Income Tax Provision (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Current: | |||
Federal | $ 0.8 | $ (3.5) | $ (1.2) |
State | 0.7 | 0.5 | 0.1 |
Foreign | 11.1 | 14.4 | 17.9 |
Total current tax provision | 12.6 | 11.4 | 16.8 |
Deferred: | |||
Federal | 6.1 | 3.1 | 9.6 |
State | 1.6 | 0.4 | (0.2) |
Foreign | 0.7 | (14.9) | (0.5) |
Total deferred tax provision (benefit) | 8.4 | (11.4) | 8.9 |
Total income tax provision | $ 21 | $ 0 | $ 25.7 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Line Items] | ||||
Income before income taxes | $ 52.4 | $ 69.9 | $ 82.3 | |
Federal income tax rate | 21.00% | 21.00% | 21.00% | 35.00% |
Percentage of limitations on deductibility of interest expense | 30.00% | |||
Valuation allowance | $ 13.3 | $ 13.3 | ||
Percentage Of Allowable Business Interest Expense Deduction From Adjusted Taxable Income | 50.00% | |||
Income tax expense (benefit) | $ 21 | 0 | 25.7 | |
Deferred Income Tax Expense Benefit | 8.4 | (11.4) | 8.9 | |
Deferred income tax expense (benefit) relating to copper swap contracts | 12.6 | 4.1 | (10) | |
Deferred income tax expense (benefit) relating to unfunded status of employee post-retirement benefit plans | (0.4) | 0.7 | (0.1) | |
Unremitted earnings | 602 | |||
Unrecognized tax benefits with impact on the effective tax rate | 2.5 | 2 | ||
Interest expense (income) and related penalties | 1.4 | |||
Accrued interest expense and penalties | 0.8 | 0.8 | ||
Decrease in unrecognized tax benefits | (1.7) | |||
Dutch legal entity restructuring project [Member] | ||||
Income Taxes [Line Items] | ||||
Deferred Income Tax Expense Benefit | $ 14.9 | |||
Dutch legal entity restructuring project [Member] | Maximum [Member] | ||||
Income Taxes [Line Items] | ||||
Finite Lived Intangible Asset Useful Life | 14 years | |||
Dutch legal entity restructuring project [Member] | Minimum [Member] | ||||
Income Taxes [Line Items] | ||||
Finite Lived Intangible Asset Useful Life | 9 years | |||
Reverse Valuation Allowance Carryforward [Member] | ||||
Income Taxes [Line Items] | ||||
Income tax expense (benefit) | (13.3) | |||
Rate Reduction [Member] | ||||
Income Taxes [Line Items] | ||||
Income tax benefit revised from prior amount | 3.8 | |||
Transition Tax [Member] | ||||
Income Taxes [Line Items] | ||||
Additional income tax expense due to guidance issued by IRS | 8.6 | |||
Tax cuts and jobs act of 2017 one time transition tax cash payment | 5.1 | |||
GILTI Tax [Member] | ||||
Income Taxes [Line Items] | ||||
Tax Cuts And Jobs Act Of2017 Provision For Income Tax Expense | $ 4.4 | $ 0.9 | $ 6.6 |
Income Taxes - Summary of Inc_2
Income Taxes - Summary of Income Taxes Reconciled with Federal Statutory Rate (Detail) | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Federal income tax rate | 21.00% | 21.00% | 21.00% | 35.00% |
GILTI inclusion, net of foreign tax credits | 4.00% | 1.40% | 21.10% | |
Foreign earnings taxed at different rates | 2.90% | (0.20%) | 0.40% | |
State income taxes, net of federal tax benefit | 2.20% | 1.10% | (5.90%) | |
Transition tax from Tax Act | 0.00% | 0.00% | 27.30% | |
Deferred tax adjustments from Tax Act | 0.00% | 0.00% | (12.00%) | |
Intra-entity transfer of intangible assets | 0 | (0.234) | 0 | |
Change in tax contingency reserves | (0.20%) | (7.00%) | (3.50%) | |
Deferred tax adjustments | (2.20%) | 0.00% | 4.00% | |
Valuation allowance adjustments | (12.10%) | 9.10% | 28.80% | |
Other | 3.50% | (2.00%) | 1.20% | |
Total effective tax rate | 19.10% | 0.00% | 82.40% |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred tax assets: | ||
Tax credits | $ 20 | $ 22.5 |
Federal and state tax loss carryforwards, expiring from 2020 to 2039 | 18.3 | 17.8 |
Reserves, including insurance and environmental | 11.7 | 23.3 |
Pension and other postretirement benefits obligations | 9.7 | 9.4 |
Foreign tax loss carryforwards | 7.5 | 5.6 |
Asset retirement obligations | 6.8 | 6.5 |
Accrued employee compensation | 6.6 | 8.5 |
Book/tax inventory accounting differences | 6.2 | 5.1 |
Other | 3.1 | 3.3 |
Valuation allowance | (44.6) | (58) |
Total deferred tax assets | 45.3 | 44 |
Deferred tax liabilities: | ||
Tax over book depreciation and amortization | 28.1 | 25.5 |
Gain on derivative contracts | 16.3 | 1.4 |
Other | 3.8 | 0.2 |
Total deferred tax liabilities | 48.2 | 27.1 |
Net deferred tax (liabilities) assets | $ 2.9 | $ 16.9 |
Income Taxes - Summary of Valua
Income Taxes - Summary of Valuation Allowances Recorded to Offset Deferred Tax Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Income Taxes [Line Items] | ||
Total valuation allowances | $ 44.6 | $ 58 |
Foreign [Member] | Tax Credits [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | 18.8 | 20.5 |
Foreign [Member] | Operating Losses and Capital Losses [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | 6.7 | 6.1 |
State [Member] | Operating Losses and Tax Credits [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | 19.1 | 18.1 |
Federal [Member] | ||
Income Taxes [Line Items] | ||
Total valuation allowances | $ 0 | $ 13.3 |
Income taxes - Summary of Unrec
Income taxes - Summary of Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||
Balance at beginning of year | $ 2.1 | $ 7 | $ 8.7 |
Additions based on tax provisions related to the current year | 0.2 | 0.1 | 0.1 |
Additions for tax provisions of prior years | 0.5 | 0 | 0 |
Reductions resulting from a lapse in the statute of limitations | (0.3) | (0.3) | (0.3) |
Reductions of tax provisions of prior years | 0 | (1.8) | (1.5) |
Reductions resulting from audit closures | 0 | (2.9) | 0 |
Balance at end of year | $ 2.5 | $ 2.1 | $ 7 |
Inventories - Components of Inv
Inventories - Components of Inventories (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |||
Raw materials | $ 233.7 | $ 232 | |
Work in process | 12.4 | 12 | |
Finished goods | 99.3 | 107.8 | |
Inventories, gross | 345.4 | 351.8 | |
Less revaluation to LIFO | 49.6 | 63.3 | |
Inventories, net | [1] | $ 295.8 | $ 288.5 |
[1] | Net inventories excludes $10.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Inventories - Components of I_2
Inventories - Components of Inventories (Parenthetical) (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Inventory [Line Items] | |||
Inventories, net | [1] | $ 295.8 | $ 288.5 |
Koppers (Jiangsu) Carbon Chemical Company Limited [Member] | |||
Inventory [Line Items] | |||
Inventories, net | $ 10.6 | ||
[1] | Net inventories excludes $10.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Property, Plant and Equipment -
Property, Plant and Equipment - Property, Plant and Equipment (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 903.8 | $ 817.9 | |
Less accumulated depreciation | 494.7 | 459.1 | |
Property, Plant and Equipment, net | [1] | 409.1 | 358.8 |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 16.7 | 15 | |
Buildings [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 75 | 70.5 | |
Machinery and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 812.1 | $ 732.4 | |
[1] | Net property, plant, and equipment excludes $56.6 million of assets of discontinued operations held for sale related to our KJCC business as of December 31, 2019 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Property, Plant and Equipment (Parenthetical) (Detail) $ in Millions | Dec. 31, 2019USD ($) |
Property, Plant and Equipment [Line Items] | |
Fair value | $ 76.4 |
Koppers (Jiangsu) Carbon Chemical Company Limited [Member] | |
Property, Plant and Equipment [Line Items] | |
Fair value | $ 56.6 |
Property, Plant and Equipment_3
Property, Plant and Equipment - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | |||
Depreciation expense | $ 33,700,000 | $ 30,700,000 | $ 27,700,000 |
Depreciation Expense Excludes KJCC Discontinued Operations | 600,000 | 3,700,000 | 3,900,000 |
Impairment charges | $ 0 | $ 0 | $ 0 |
Goodwill and Other Identifiab_3
Goodwill and Other Identifiable Intangible Assets - Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Balance beginning | $ 296.1 | $ 296.5 |
Purchase accounting adjustment | (0.4) | |
Currency translation | 1.7 | |
Balance ending | 297.8 | 296.1 |
Performance Chemicals [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Balance beginning | 175.4 | 175.4 |
Purchase accounting adjustment | 0 | |
Currency translation | 1.3 | |
Balance ending | 176.7 | 175.4 |
Railroad Products and Services [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Balance beginning | 41 | 41 |
Purchase accounting adjustment | 0 | |
Currency translation | 0.1 | |
Balance ending | 41.1 | 41 |
Utility Products [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Balance beginning | 79.7 | 80.1 |
Purchase accounting adjustment | (0.4) | |
Currency translation | 0.3 | |
Balance ending | $ 80 | $ 79.7 |
Goodwill and Other Identifiab_4
Goodwill and Other Identifiable Intangible Assets - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Goodwill impairment charge | $ 0 | $ 0 | $ 0 |
Increase in carrying value of identifiable intangible assets | 2,300,000 | ||
Amortization expense | $ 19,800,000 | $ 20,700,000 | $ 19,200,000 |
Goodwill and Other Identifiab_5
Goodwill and Other Identifiable Intangible Assets - Schedule of Identifiable Intangible Assets (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average remaining life in years | 9 years 1 month 6 days | |
Gross Carrying Amount | $ 268.3 | $ 266 |
Accumulated Amortization | 118.5 | 97.6 |
Net | $ 149.8 | 168.4 |
Customer Contracts [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Weighted average remaining life in years | 9 years 6 months | |
Gross Carrying Amount | $ 228.5 | 227 |
Accumulated Amortization | 84.7 | 69.5 |
Net | $ 143.8 | 157.5 |
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 | 1 year 10 months 24 days | |
Gross Carrying Amount | $ 26.8 | 26.7 |
Accumulated Amortization | 23.6 | 19.9 |
Net | $ 3.2 | 6.8 |
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 | 5 years 1 month 6 days | |
Gross Carrying Amount | $ 7.9 | 7.6 |
Accumulated Amortization | 5.8 | 4.4 |
Net | $ 2.1 | 3.2 |
Trademarks [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 2 years | |
Trademarks [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 17 years | |
Supply Contracts [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 10 years | |
Weighted average remaining life in years | 0 years | |
Gross Carrying Amount | $ 2.6 | 2.4 |
Accumulated Amortization | 2.6 | 2.3 |
Net | $ 0 | 0.1 |
Non-Compete Agreements [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Estimated life in years | 12 years | |
Weighted average remaining life in years | 3 years 9 months 18 days | |
Gross Carrying Amount | $ 1.7 | 1.6 |
Accumulated Amortization | 1 | 0.8 |
Net | $ 0.7 | 0.8 |
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 | $ 0.8 | 0.7 |
Accumulated Amortization | 0.8 | 0.7 |
Net | $ 0 | $ 0 |
Goodwill and Other Identifiab_6
Goodwill and Other Identifiable Intangible Assets - Schedule of Future Amortization Expense (Detail) $ in Millions | Dec. 31, 2020USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2021 | $ 17.7 |
2022 | 15 |
2023 | 14.6 |
2024 | 14.3 |
2025 | $ 13.8 |
Pensions and Post-Retirement _3
Pensions and Post-Retirement Benefit Plans - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020USD ($)Plan | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||
Number of domestic non-qualified defined benefit plans | Plan | 3 | ||
Defined contribution plan expense | $ 8.4 | $ 8.3 | $ 7.5 |
Net actuarial loss | 17.3 | ||
Benefit obligation | 56.5 | ||
Plan assets | 68.2 | ||
Accumulated benefit obligation, pension plans | 232.5 | 219 | |
Operating expenses | $ 17.3 | 12.2 | 10.3 |
Growth seeking assets [Member] | Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation investment strategy | 30.00% | ||
Growth seeking assets [Member] | Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation investment strategy | 40.00% | ||
Income generating assets [Member] | Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation investment strategy | 60.00% | ||
Income generating assets [Member] | Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation investment strategy | 70.00% | ||
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial loss | $ (17.3) | (20.1) | |
Benefit obligation | 233.3 | 219.8 | 201.7 |
Expected contributions by employer | 1 | ||
Other Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial loss | (1.3) | 0.3 | |
Benefit obligation | 10.5 | $ 9.2 | $ 9.4 |
Expected contributions by employer | $ 0.7 | ||
Salaried and Hourly Employees [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of domestic non-qualified defined benefit plans | Plan | 2 |
Pensions and Post-Retirement _4
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, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 1.4 | $ 1.5 | $ 1.9 |
Interest cost | 6.4 | 7.8 | 7.5 |
Expected return on plan assets | (7.9) | (7.9) | (8.5) |
Amortization of net loss (gain) | 1.7 | 1.6 | 1.4 |
Settlements and curtailments | 0.1 | 0 | 0 |
Net periodic benefit cost | 1.7 | 3 | 2.3 |
Other Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 0.3 | 0.4 | 0.4 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of net loss (gain) | (0.2) | (0.2) | 0 |
Settlements and curtailments | 0 | 0 | 0 |
Net periodic benefit cost | $ 0.2 | $ 0.3 | $ 0.5 |
Pensions and Post-Retirement _5
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, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Actuarial losses (gains) | $ (17.3) | ||
Benefit obligation at end of year | 56.5 | ||
Fair value of plan assets at beginning of year | 191.5 | ||
Fair value of plan assets at end of year | 208 | $ 191.5 | |
Noncurrent liabilities | 46.2 | 46.6 | |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Benefit obligation at beginning of year | 219.8 | 201.7 | |
Service cost | 1.4 | 1.5 | $ 1.9 |
Interest cost | 6.4 | 7.8 | 7.5 |
Actuarial losses (gains) | 17.3 | 20.1 | |
Settlements | (2.2) | 0 | |
Currency translation | 2.6 | 1.6 | |
Benefits paid | (12) | (12.9) | |
Benefit obligation at end of year | 233.3 | 219.8 | 201.7 |
Fair value of plan assets at beginning of year | 191.5 | 169.6 | |
Actual return on plan assets | 23.6 | 28.6 | |
Employer contribution | 3.9 | 4.2 | |
Currency translation | 3.2 | 2 | |
Benefits paid | (12) | (12.9) | |
Fair value of plan assets at end of year | 208 | 191.5 | 169.6 |
Funded status of the plan | (25.3) | (28.3) | |
Noncurrent assets | 12.1 | 10.9 | |
Current liabilities | 1 | 1 | |
Noncurrent liabilities | 36.4 | 38.2 | |
Benefit obligation | 172.5 | 160.4 | |
Fair value of plan assets | 135 | 121.2 | |
Accumulated benefit obligation | 172.2 | 160.2 | |
Other Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Benefit obligation at beginning of year | 9.2 | 9.4 | |
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 0.3 | 0.4 | 0.4 |
Actuarial losses (gains) | 1.3 | (0.3) | |
Settlements | 0 | 0 | |
Currency translation | 0 | 0 | |
Benefits paid | (0.4) | (0.3) | |
Benefit obligation at end of year | 10.5 | 9.2 | 9.4 |
Fair value of plan assets at beginning of year | 0 | 0 | 0 |
Actual return on plan assets | 0 | 0 | |
Employer contribution | 0.4 | 0.3 | |
Currency translation | 0 | 0 | |
Benefits paid | (0.4) | (0.3) | |
Fair value of plan assets at end of year | 0 | 0 | |
Funded status of the plan | (9.2) | $ (10.5) | |
Noncurrent assets | 0 | 0 | |
Current liabilities | 0.7 | 0.8 | |
Noncurrent liabilities | $ 9.8 | $ 8.4 |
Pensions and Post-Retirement _6
Pensions and Post-Retirement Benefit Plans - Schedule of Projected Benefit Payments (Detail) $ in Millions | Dec. 31, 2020USD ($) |
Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2021 | $ 11.6 |
2022 | 11.4 |
2023 | 11.5 |
2024 | 11.6 |
2025 | 12.1 |
Next five years | 59.8 |
Other Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2021 | 0.7 |
2022 | 0.7 |
2023 | 0.7 |
2024 | 0.6 |
2025 | 0.6 |
Next five years | $ 3 |
Pensions and Post-Retirement _7
Pensions and Post-Retirement Benefit Plans - Schedule of Weighted-Average Assumptions (Detail) | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 2.29% | 3.05% | ||
Expected return on plan assets | 3.67% | 4.30% | ||
Rate of compensation increase | 3.41% | 3.00% | ||
Other Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 3.43% | 2.66% | ||
Initial medical trend rate | 5.40% | 5.70% |
Pensions and Post-Retirement _8
Pensions and Post-Retirement Benefit Plans - Schedule of Weighted Average Asset Allocation for Company's Pension Plans (Detail) | Dec. 31, 2020 | Dec. 31, 2019 |
Defined Benefit Plan Disclosure [Line Items] | ||
December 31, | 100.00% | 100.00% |
Debt Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
December 31, | 70.00% | 70.00% |
Equity Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
December 31, | 21.00% | 24.00% |
Other [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
December 31, | 9.00% | 6.00% |
Pensions and Post-Retirement _9
Pensions and Post-Retirement Benefit Plans - Schedule of Pension Plan Assets at Fair Value (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | $ 208 | $ 191.5 | |
Investments measured at NAV | [1] | 37.5 | 40 |
Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 170.5 | 151.5 | |
Fair Value, Recurring | 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 | |
Fair Value, Recurring | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 170.5 | 147.2 | |
Fair Value, Recurring | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0 | 4.3 | |
Fair Value, Recurring | U.S. equity securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 8.1 | 14.1 | |
Fair Value, Recurring | 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 | 0 | 0 | |
Fair Value, Recurring | U.S. equity securities [Member] | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 8.1 | 14.1 | |
Fair Value, Recurring | 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 | |
Fair Value, Recurring | International equity securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 19.3 | 22.3 | |
Fair Value, Recurring | 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 | 0 | 0 | |
Fair Value, Recurring | International equity securities [Member] | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 19.3 | 22.3 | |
Fair Value, Recurring | International equity securities [Member] | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0 | 0 | |
Fair Value, Recurring | U.S. debt securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 68.6 | 58.3 | |
Fair Value, Recurring | 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 | 0 | 0 | |
Fair Value, Recurring | U.S. debt securities [Member] | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 68.6 | 58.3 | |
Fair Value, Recurring | U.S. debt securities [Member] | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0 | 0 | |
Fair Value, Recurring | International debt securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 62.7 | 48.1 | |
Fair Value, Recurring | 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 | 0 | 0 | |
Fair Value, Recurring | International debt securities [Member] | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 62.7 | 48.1 | |
Fair Value, Recurring | International debt securities [Member] | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0 | 0 | |
Fair Value, Recurring | Real estate and other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0.6 | 5.1 | |
Fair Value, Recurring | 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 | |
Fair Value, Recurring | Real estate and other investments [Member] | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0.6 | 0.8 | |
Fair Value, Recurring | Real estate and other investments [Member] | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 0 | 4.3 | |
Fair Value, Recurring | Cash & Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 11.2 | 3.6 | |
Fair Value, Recurring | 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 | |
Fair Value, Recurring | Cash & Cash Equivalents [Member] | Significant observable inputs (Level 2) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | 11.2 | 3.6 | |
Fair Value, Recurring | Cash & Cash Equivalents [Member] | Significant unobservable inputs (Level 3) [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of pension plan assets | $ 0 | $ 0 | |
[1] | The fair value amounts presented in the table above are intended to permit reconciliations of the fair value hierarchy to the total plan assets. |
Pensions and Post-Retirement_10
Pensions and Post-Retirement Benefit Plans - Summary of Changes in Fair Value of Pension Plan Assets (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair value of plan assets at beginning of year | $ 191.5 |
Fair value of plan assets at end of year | 208 |
Level 3 [Member] | Other Investments [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair value of plan assets at beginning of year | 4.3 |
Purchases, sales, issuances and settlements | (4.3) |
Fair value of plan assets at end of year | 0 |
The amount of total losses during the period attributable to the change in unrealized losses relating to Level 3 net assets still held at the reporting date | $ 0 |
Debt - Schedule of Long-Term De
Debt - Schedule of Long-Term Debt Instruments (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Debt Instrument [Line Items] | ||
Total debt | $ 784.2 | $ 911.9 |
Less short-term debt and current maturities of long-term debt | 10.1 | 10.2 |
Less unamortized debt issuance costs | 8.3 | 10.7 |
Long-term debt | $ 765.8 | 891 |
Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Weighted Average Interest Rate | 2.69% | |
Debt, Maturity | 2024 | |
Total debt | $ 12.2 | 82.5 |
Senior Secured Credit Facilities [Member] | Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Weighted Average Interest Rate | 2.69% | |
Debt, Maturity | 2024 | |
Total debt | $ 272 | 329.4 |
6.00 percent Senior Notes due 2025 [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Weighted Average Interest Rate | 6.00% | |
Debt, Maturity | 2025 | |
Total debt | $ 500 | $ 500 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | Feb. 15, 2022 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Accumulated amortization | $ 9,400,000 | $ 6,800,000 | |
Unamortized debt issuance costs | 8,300,000 | $ 10,700,000 | |
Senior Secured Credit Facilities [Member] | |||
Debt Instrument [Line Items] | |||
Letters of credit, amount outstanding | $ 7,700,000 | ||
6.00 percent Senior Notes due 2025 [Member] | Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Senior notes, payment terms | The 2025 Notes pay interest semi-annually in arrears on February 15 and August 15 and will mature on February 15, 2025 unless earlier redeemed or repurchased. | ||
Debt instrument, redemption price percentage | 104.50% | ||
Debt maturity date | Feb. 15, 2025 | ||
6.00 percent Senior Notes due 2025 [Member] | Scenario, Forecast [Member] | Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, redemption price percentage | 101.50% | ||
Senior Secured Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line Of Credit Facility Maximum Borrowing Capacity | $ 600,000,000 | ||
Revolving credit facility, variable interest rate basis | LIBOR | ||
Secured Term Loan Facility [Member] | |||
Debt Instrument [Line Items] | |||
Secured Long Term Debt | $ 100,000,000 | ||
Quarterly amortization | 2,500,000 | ||
Revolving Credit Facility [Member] | Senior Secured Credit Facilities [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, unused borrowing capacity | $ 307,800,000 |
Debt - Schedule of Debt Maturit
Debt - Schedule of Debt Maturities (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
2021 | $ 10.1 | |
2022 | 2.1 | |
2023 | 0 | |
2024 | 272 | |
2025 | 500 | |
Total debt | $ 784.2 | $ 911.9 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | ||
Operating lease costs | $ 31.2 | $ 31.8 |
Variable lease costs | $ 3.5 | $ 3.7 |
Leases - Summary of Amount and
Leases - Summary of Amount and Timing of Cash Flows From Operating Leases (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
2021 | $ 28.4 | |
2022 | 24.6 | |
2023 | 19.2 | |
2024 | 15.4 | |
2025 | 12.3 | |
Thereafter | 33.5 | |
Total lease payments | 133.5 | |
Less: Interest | (31) | |
Present value of lease liabilities | $ 102.5 | $ 113.5 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Consolidated Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Operating leases: | ||
Operating lease right-of-use assets | $ 102.5 | $ 112.3 |
Current operating lease liabilities | 21.2 | 22 |
Operating lease liabilities | 81.3 | 91.5 |
Total operating lease liabilities | $ 102.5 | $ 113.5 |
Weighted average remaining lease term, in years | 6 years 4 months 24 days | 6 years 10 months 24 days |
Weighted average discount rate | 7.50% | 7.70% |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Maximum period hedged in cash flow hedge | 36 months |
Unrealized gains, reclassification period | 12 months |
Unrealized gains, net of tax, expected to be reclassified from other comprehensive (loss) income into earnings | $ 23.1 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Schedule of Outstanding Copper Swap Contracts (Detail) - Copper Swap Contracts [Member] £ in Millions, $ in Millions | Dec. 31, 2020USD ($) | Dec. 31, 2020GBP (£) | Dec. 31, 2019USD ($) | Dec. 31, 2019GBP (£) |
Derivatives Fair Value [Line Items] | ||||
Copper Swap Contracts Units Outstanding | £ | £ 73.8 | £ 73.1 | ||
Net Fair Value - Asset (Liability) | $ | $ 69.2 | $ 6.2 | ||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Copper Swap Contracts Units Outstanding | £ | 62.3 | 56.5 | ||
Net Fair Value - Asset (Liability) | $ | 58.3 | 4.5 | ||
Not Designated as Hedging Instrument | ||||
Derivatives Fair Value [Line Items] | ||||
Copper Swap Contracts Units Outstanding | £ | £ 11.5 | £ 16.6 | ||
Net Fair Value - Asset (Liability) | $ | $ 10.9 | $ 1.7 |
Derivative Financial Instrume_5
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, 2020 | Dec. 31, 2019 | |
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | $ 69.2 | $ 6.2 |
Accumulated other comprehensive gain, net of tax | 44.4 | 3.2 |
Derivative Contracts [Member] | ||
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | 37.3 | 2.1 |
Non Current Derivative Contracts [Member] | ||
Derivative [Line Items] | ||
Net Fair Value - Asset (Liability) | $ 31.9 | $ 4.1 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Schedule of Amounts Recognized In Earnings Related To Copper Swap Contracts (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Copper Swap Contracts [Member] | ||
Derivative [Line Items] | ||
Gain from contracts not designated as hedges | $ 9.2 | $ 4.1 |
Derivative Financial Instrume_7
Derivative Financial Instruments - Schedule of Fair Value of Outstanding Foreign Currency Forward Contracts (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Not designated gross derivative liability | $ 0.7 | $ (0.2) |
Forward Contracts [Member] | Accrued Liabilities [Member] | ||
Derivative [Line Items] | ||
Not designated gross derivative liability | (0.5) | (0.5) |
Forward Contracts [Member] | Derivative Contracts [Member] | ||
Derivative [Line Items] | ||
Not designated gross derivative liability | $ 1.2 | $ 0.3 |
Derivative Financial Instrume_8
Derivative Financial Instruments - Summary of Net Currency Units Outstanding (Detail) | Dec. 31, 2020USD ($) | Dec. 31, 2020GBP (£) | Dec. 31, 2020NZD ($) | Dec. 31, 2020EUR (€) | Dec. 31, 2019USD ($) | Dec. 31, 2019GBP (£) | Dec. 31, 2019NZD ($) | Dec. 31, 2019EUR (€) |
Offsetting [Abstract] | ||||||||
Net currency units outstanding | $ 7,600,000 | £ 2,000,000 | $ 0 | € 0 | $ 6,200,000 | £ 3,700,000 | $ 16,000,000 | € 1,200,000 |
Common Stock and Senior Conve_3
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, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Equity [Abstract] | |||
Senior Convertible Preferred Stock, balance at beginning and end of year | 0 | 0 | 0 |
Common Stock, balance at beginning of year | 23,321,087 | 23,029,000 | 22,384,000 |
Common Stock, issued for employee stock plans | 367,000 | 292,000 | 645,000 |
Common Stock, balance at end of year | 23,688,347 | 23,321,087 | 23,029,000 |
Treasury Stock, balance at beginning of year | (2,515,925) | (2,480,000) | (1,606,000) |
Treasury Stock, shares repurchased | (74,000) | (36,000) | (874,000) |
Treasury Stock, balance at end of year | (2,589,803) | (2,515,925) | (2,480,000) |
Commitments and Contingent Li_3
Commitments and Contingent Liabilities - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | ||
Feb. 28, 2021USD ($) | Dec. 31, 2020USD ($)StatePlaintiffCasesitePartyPlant | Dec. 31, 2019USD ($)PlaintiffCase | Dec. 31, 2018USD ($) | |
Loss Contingencies [Line Items] | ||||
Number of states with new claims filed | State | 2 | |||
Number of plaintiffs | Plaintiff | 64 | 64 | ||
Environmental remediation and regulation liability | $ 11,000,000 | $ 9,500,000 | $ 10,100,000 | |
Accrued liability for environmental matters, current | 2,900,000 | $ 2,800,000 | ||
Portland Harbor and Newark Bay CERCLA sites [Member] | ||||
Loss Contingencies [Line Items] | ||||
Costs of participating in PRP group | 3,600,000 | |||
Environment Protection Authority [Member] | ||||
Loss Contingencies [Line Items] | ||||
Reserve for legal proceedings | $ 1,000,000 | |||
Beazer East [Member] | ||||
Loss Contingencies [Line Items] | ||||
Sites listed on National Priorities List | site | 1 | |||
Compensatory Damages [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of cases | Case | 34 | |||
Punitive Damages [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of cases | Case | 29 | |||
Indemnification Agreement [Member] | Beazer East [Member] | ||||
Loss Contingencies [Line Items] | ||||
Environmental remediation costs paid by others, per year | $ 6,400,000 | |||
Coal Tar Pitch Cases [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of cases | Case | 34 | 34 | ||
Reserve for legal proceedings | $ 0 | |||
Pennsylvania [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of cases | Case | 33 | |||
Pennsylvania [Member] | Coal Tar Pitch Cases [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of cases | Case | 33 | |||
Tennessee [Member] | Coal Tar Pitch Cases [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of cases | Case | 1 | |||
Compensatory damages | $ 15,000,000 | |||
Oregon [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] | ||||
Loss Contingencies [Line Items] | ||||
Environmental remediation and regulation liability | $ 4,300,000 | |||
United States [Member] | Performance Chemicals [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of plant sites | Plant | 2 | |||
United States [Member] | Utility and Industrial Products [Member] | ||||
Loss Contingencies [Line Items] | ||||
Number of plant sites | Plant | 1 | |||
New South Wales [Member] | Environment Protection Authority [Member] | Subsequent Event [Member] | ||||
Loss Contingencies [Line Items] | ||||
Gain (loss) related to litigation settlement | $ (100,000) | |||
Australia [Member] | Performance Chemicals [Member] | ||||
Loss Contingencies [Line Items] | ||||
Environmental remediation and regulation liability | $ 1,500,000 |
Commitments and Contingent Li_4
Commitments and Contingent Liabilities - Changes in Accrued Liability for Environmental Matters (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | ||
Balance at beginning of year | $ 9.5 | $ 10.1 |
Expense | 1.8 | 0.5 |
Revision of reserves | 0 | (0.8) |
Cash expenditures | (0.4) | (0.3) |
Currency translation | 0.1 | 0 |
Balance at end of period | $ 11 | $ 9.5 |
Schedule II - Valuation and Q_2
Schedule II - Valuation and Qualifying Accounts (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Allowance for Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | $ 2.6 | $ 2.5 | $ 2.5 |
Increase (Decrease) to Expense | 0.2 | 0.6 | 0.7 |
Net Write-Offs | (0.2) | (0.5) | (0.7) |
Currency Translation | 0 | 0 | 0 |
Balance at End of Year | 2.6 | 2.6 | 2.5 |
Deferred Tax Valuation Allowance [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | 58 | 59.9 | 44.5 |
Increase (Decrease) to Expense | (12.1) | 3.3 | 15.8 |
Net Write-Offs | (1.7) | (5.2) | 0 |
Currency Translation | 0.4 | 0 | (0.4) |
Balance at End of Year | $ 44.6 | $ 58 | $ 59.9 |