KAR Auction Services (KAR) 10-Q 6 Nov 19 2019 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - $ / shares	9 Months Ended
	Sep. 30, 2019	Oct. 31, 2019	Dec. 31, 2018
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2019
Document Transition Report	false
Contained File Information, File Number	001-34568
Entity Registrant Name	KAR Auction Services, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-8744739
Entity Address, Address Line One	11299 N. Illinois Street
Entity Address, City or Town	Carmel
Entity Address, State or Province	IN
Entity Address, Postal Zip Code	46032
City Area Code	800
Local Phone Number	923-3725
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	KAR
Security Exchange Name	NYSE
Entity Interactive Data Current	Yes
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		128,773,470
Common stock, par value (in dollars per share)	$ 0.01		$ 0.01
Entity Central Index Key	0001395942
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Operating revenues
ADESA Auction Services	$ 613.6	$ 527	$ 1,845.7	$ 1,593.4
AFC	88.3	85.4	264.9	255.6
Total operating revenues	701.9	612.4	2,110.6	1,849
Operating expenses
Cost of services (exclusive of depreciation and amortization)	410.9	330.7	1,222.2	989.2
Selling, general and administrative	158.9	154.7	497.3	460.1
Depreciation and amortization	46.4	41.4	138.6	129.8
Total operating expenses	616.2	526.8	1,858.1	1,579.1
Operating profit	85.7	85.6	252.5	269.9
Interest expense	37.9	49	150	138.7
Other income, net	(2)	(3)	(5.2)	(3.8)
Loss on extinguishment of debt	2.2	0	2.2	0
Income from continuing operations before income taxes	47.6	39.6	105.5	135
Income taxes	13.2	8.7	28.4	32.5
Income from continuing operations	34.4	30.9	77.1	102.5
Income from discontinued operations, net of income taxes	0.9	46.6	91.6	158.2
Net income	$ 35.3	$ 77.5	$ 168.7	$ 260.7
Net income per share - basic
Income from continuing operations	$ 0.26	$ 0.23	$ 0.58	$ 0.76
Income from discontinued operations	0.01	0.35	0.69	1.18
Net income	0.27	0.58	1.27	1.94
Net income per share - diluted
Income from continuing operations	0.26	0.23	0.58	0.76
Income from discontinued operations	0.01	0.34	0.68	1.16
Net income	0.27	0.57	1.26	1.92
Dividends declared per common share	$ 0.19	$ 0.35	$ 0.89	$ 1.05

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Net income	$ 35.3	$ 77.5	$ 168.7	$ 260.7
Other comprehensive income (loss)
Foreign currency translation gain (loss)	(10.8)	6.3	5.7	(12)
Comprehensive income	$ 24.5	$ 83.8	$ 174.4	$ 248.7

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Millions	Sep. 30, 2019	Dec. 31, 2018
Current assets
Cash and cash equivalents	$ 508.6	$ 277.1
Restricted cash	23.3	27.6
Trade receivables, net of allowances of $9.9 and $8.7	510.2	454.6
Finance receivables, net of allowances of $14.8 and $14.0	2,095.6	2,000.8
Other current assets	120	100.6
Current assets, discontinued operations	0	453.5
Total current assets	3,257.7	3,314.2
Other assets
Goodwill	1,810.3	1,676.9
Customer relationships, net of accumulated amortization of $624.1 and $587.0	218.3	227.4
Other intangible assets, net of accumulated amortization of $270.9 and $255.3	295.6	272.4
Operating lease right-of-use assets	366.4	0
Other assets	28.3	31
Non-current assets, discontinued operations	0	1,053.3
Total other assets	2,718.9	3,261
Property and equipment, net of accumulated depreciation of $517.1 and $467.5	603.1	631
Total assets	6,579.7	7,206.2
Current liabilities
Accounts payable	718.5	691.3
Accrued employee benefits and compensation expenses	83.2	72.8
Accrued interest	21.8	7.9
Other accrued expenses	211.6	132.8
Income taxes payable	1.2	0.7
Dividends payable	24.5	46.5
Obligations collateralized by finance receivables	1,428.4	1,445.3
Current maturities of long-term debt	27	13.1
Current liabilities, discontinued operations	0	214.4
Total current liabilities	2,516.2	2,624.8
Non-current liabilities
Long-term debt	1,863	2,654.3
Deferred income tax liabilities	130.4	125.3
Operating lease liabilities	361.1	0
Other liabilities	73.2	71.6
Non-current liabilities, discontinued operations	0	266
Total non-current liabilities	2,427.7	3,117.2
Commitments and contingencies (Note 10)
Stockholders' equity
Preferred stock, $0.01 par value: Authorized shares: 100,000,000; Issued shares: none	0	0
Common stock, $0.01 par value: Authorized shares: 400,000,000; Issued and outstanding shares: September 30, 2019: 128,762,506, December 31, 2018: 132,887,029	1.3	1.3
Additional paid-in capital	1,024	1,131.9
Retained earnings	655.7	392.3
Accumulated other comprehensive loss	(45.2)	(61.3)
Total stockholders' equity	1,635.8	1,464.2
Total liabilities and stockholders' equity	$ 6,579.7	$ 7,206.2

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2019	Dec. 31, 2018
Trade receivables, allowances (in dollars)	$ 9.9	$ 8.7
Finance receivables, allowances (in dollars)	14.8	14
Customer relationships, accumulated amortization (in dollars)	624.1	587
Other intangible assets, accumulated amortization (in dollars)	270.9	255.3
Property and equipment, accumulated depreciation (in dollars)	$ 517.1	$ 467.5
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, Authorized shares	100,000,000	100,000,000
Preferred stock, Issued shares	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, Authorized shares	400,000,000	400,000,000
Common stock, Issued shares	128,762,506	132,887,029
Common stock, outstanding shares	128,762,506	132,887,029

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Millions	Total	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Loss
Beginning Balance at Dec. 31, 2017	$ 1,484.9	$ 1.3	$ 1,251.8	$ 257	$ (25.2)
Beginning Balance (in shares) at Dec. 31, 2017		134,300,000
Increase (Decrease) in Stockholders' Equity
Cumulative effect adjustment for adoption of new accounting standard, net of tax	(3)			(3)
Net income	260.7			260.7
Other comprehensive income (loss)	(12)				(12)
Issuance of common stock under stock plans	14.2		14.2
Issuance of common stock under stock plans (in shares)		1,400,000
Surrender of RSUs for taxes	(10.1)		(10.1)
Surrender of RSUs for taxes (in shares)		(200,000)
Repurchase and retirement of common stock (in shares)		(900,000)
Repurchase and retirement of common stock	(50)		(50)
Stock-based compensation expense	18.1		18.1
Dividends earned under stock plan	0		1.9	(1.9)
Cash dividends declared to stockholders	(141.3)			(141.3)
Ending Balance at Sep. 30, 2018	1,561.5	$ 1.3	1,225.9	371.5	(37.2)
Ending Balance (in shares) at Sep. 30, 2018		134,600,000
Beginning Balance at Dec. 31, 2017	1,484.9	$ 1.3	1,251.8	257	(25.2)
Beginning Balance (in shares) at Dec. 31, 2017		134,300,000
Ending Balance at Dec. 31, 2018	$ 1,464.2	$ 1.3	1,131.9	392.3	(61.3)
Ending Balance (in shares) at Dec. 31, 2018	132,887,029	132,900,000
Beginning Balance at Jun. 30, 2018	$ 1,512.5	$ 1.3	1,213.6	341.1	(43.5)
Beginning Balance (in shares) at Jun. 30, 2018		134,200,000
Increase (Decrease) in Stockholders' Equity
Net income	77.5			77.5
Other comprehensive income (loss)	6.3				6.3
Issuance of common stock under stock plans	5.8		5.8
Issuance of common stock under stock plans (in shares)		400,000
Surrender of RSUs for taxes	(0.1)		(0.1)
Surrender of RSUs for taxes (in shares)		0
Stock-based compensation expense	6.6		6.6
Cash dividends declared to stockholders	(47.1)			(47.1)
Ending Balance at Sep. 30, 2018	1,561.5	$ 1.3	1,225.9	371.5	(37.2)
Ending Balance (in shares) at Sep. 30, 2018		134,600,000
Beginning Balance at Dec. 31, 2018	$ 1,464.2	$ 1.3	1,131.9	392.3	(61.3)
Beginning Balance (in shares) at Dec. 31, 2018	132,887,029	132,900,000
Increase (Decrease) in Stockholders' Equity
Cumulative effect adjustment for adoption of new accounting standard, net of tax	$ 1.1			1.1
Net income	168.7			168.7
Other comprehensive income (loss)	5.7				5.7
Issuance of common stock under stock plans	4.1		4.1
Issuance of common stock under stock plans (in shares)		900,000
Surrender of RSUs for taxes	(10.5)		(10.5)
Surrender of RSUs for taxes (in shares)		(200,000)
Repurchase and retirement of common stock (in shares)		(4,800,000)
Repurchase and retirement of common stock	(119.7)		(119.7)
Stock-based compensation expense	16.4		16.4
Distribution of IAA	223.6			213.2	10.4
Dividends earned under stock plan	0		1.8	(1.8)
Cash dividends declared to stockholders	(117.8)			(117.8)
Ending Balance at Sep. 30, 2019	$ 1,635.8	$ 1.3	1,024	655.7	(45.2)
Ending Balance (in shares) at Sep. 30, 2019	128,762,506	128,800,000
Beginning Balance at Jun. 30, 2019	$ 1,752.6	$ 1.3	1,140.8	644.9	(34.4)
Beginning Balance (in shares) at Jun. 30, 2019		133,400,000
Increase (Decrease) in Stockholders' Equity
Net income	35.3			35.3
Other comprehensive income (loss)	(10.8)				(10.8)
Issuance of common stock under stock plans	1.3		1.3
Issuance of common stock under stock plans (in shares)		200,000
Surrender of RSUs for taxes	(0.1)		(0.1)
Surrender of RSUs for taxes (in shares)		0
Repurchase and retirement of common stock (in shares)		(4,800,000)
Repurchase and retirement of common stock	(119.7)		(119.7)
Stock-based compensation expense	4.3		4.3
Cash dividends declared to stockholders	(24.5)			(24.5)
Ending Balance at Sep. 30, 2019	$ 1,635.8	$ 1.3	$ 1,024	$ 655.7	$ (45.2)
Ending Balance (in shares) at Sep. 30, 2019	128,762,506	128,800,000

Consolidated Statements of St_2

Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Cash dividends declared to stockholders (in dollars per share)	$ 0.19	$ 0.35	$ 0.89	$ 1.05

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Operating activities
Net income	$ 168.7	$ 260.7
Net income from discontinued operations	(91.6)	(158.2)
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	138.6	129.8
Provision for credit losses	28.9	25.6
Deferred income taxes	2.5	(0.1)
Amortization of debt issuance costs	9.6	8
Stock-based compensation	14.6	15.3
Loss (gain) on disposal of fixed assets	0.1	(0.1)
Loss on extinguishment of debt	2.2	0
Other non-cash, net	7.8	(2.6)
Changes in operating assets and liabilities, net of acquisitions:
Trade receivables and other assets	(41.3)	(158.3)
Accounts payable and accrued expenses	51	206.8
Net cash provided by operating activities - continuing operations	291.1	326.9
Net cash provided by operating activities - discontinued operations	156.7	238.2
Investing activities
Net increase in finance receivables held for investment	(119)	(90.2)
Acquisition of businesses (net of cash acquired)	(120.7)	(23.3)
Purchases of property, equipment and computer software	(127.6)	(82.7)
Net cash used by investing activities - continuing operations	(367.3)	(196.2)
Net cash used by investing activities - discontinued operations	(37.4)	(37.9)
Financing activities
Net increase in book overdrafts	9.2	8.5
Net increase in borrowings from lines of credit	17.5	0
Net (decrease) increase in obligations collateralized by finance receivables	(25)	6
Proceeds from long-term debt	947.6	0
Payments of debt issuance costs/amendments	(13.7)	0
Payments on long-term debt	(1,746.6)	(8)
Payments on capital leases	(12.2)	(11)
Payments of contingent consideration and deferred acquisition costs	(0.5)	(7.4)
Issuance of common stock under stock plans	4.1	14.2
Tax withholding payments for vested RSUs	(10.5)	(10.1)
Repurchase and retirement of common stock	(119.7)	(50)
Dividends paid to stockholders	(139.8)	(141.2)
Cash transferred to IAA	(50.9)	0
Net cash used by financing activities - continuing operations	(1,140.5)	(199)
Net cash provided by (used by) financing activities - discontinued operations	1,317.6	(6.7)
Effect of exchange rate changes on cash	7	(4.9)
Net increase in cash, cash equivalents and restricted cash	227.2	120.4
Cash, cash equivalents and restricted cash at beginning of period	304.7	303.5
Cash paid for interest, net of proceeds from interest rate caps	120	120.7
Cash paid for taxes, net of refunds	27.8	47.5
Cash, cash equivalents and restricted cash at end of period	531.9	423.9
Discontinued Operations
Cash paid for taxes, net of refunds	$ 40.1	$ 49.4

Basis of Presenation and Nature

Basis of Presenation and Nature of Operations	9 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Nature of Operations	Basis of Presentation and Nature of Operations Defined Terms Unless otherwise indicated or unless the context otherwise requires, the following terms used herein shall have the following meanings: • "we," "us," "our" and "the Company" refer, collectively, to KAR Auction Services, Inc. and all of its subsidiaries; • "ADESA" or "ADESA Auctions" refer, collectively, to ADESA, Inc., a wholly-owned subsidiary of KAR Auction Services, and ADESA, Inc.'s subsidiaries, including Openlane, Inc. (together with Openlane, Inc.'s subsidiaries, "Openlane"), Nth Gen Software Inc. ("TradeRev"), ADESA Remarketing Limited (formerly known as GRS Remarketing Limited ("GRS" or "ADESA Remarketing Limited")) and ADESA Europe (formerly known as CarsOnTheWeb ("COTW")); • "AFC" refers, collectively, to Automotive Finance Corporation, a wholly-owned subsidiary of ADESA, and Automotive Finance Corporation's subsidiaries and other related entities, including PWI Holdings, Inc.; • "Credit Agreement" refers to the Amended and Restated Credit Agreement, dated March 11, 2014, as amended on March 9, 2016, May 31, 2017 and September 19, 2019, among KAR Auction Services, as the borrower, the several banks and other financial institutions or entities from time to time parties thereto and JPMorgan Chase Bank N.A., as administrative agent; • "Credit Facility" refers to the $950 million , senior secured term loan B-6 facility due September 19, 2026 ("Term Loan B-6") and the $325 million , senior secured revolving credit facility due September 19, 2024 (the "Revolving Credit Facility"), the terms of which are set forth in the Credit Agreement; • "IAA" refers, collectively, to Insurance Auto Auctions, Inc., formerly a wholly-owned subsidiary of KAR Auction Services, and Insurance Auto Auctions, Inc.'s subsidiaries and other related entities, including HBC Vehicle Services Limited ("HBC"). See Note 3; • "KAR Auction Services" refers to KAR Auction Services, Inc. and not to its subsidiaries; • "Senior notes" refers to the 5.125% senior notes due 2025 ( $950 million aggregate principal outstanding at September 30, 2019); • "Term Loan B-4" refers to the senior secured term loan B-4 facility, the terms of which are set forth in the Credit Agreement; • "Term Loan B-5" refers to the senior secured term loan B-5 facility, the terms of which are set forth in the Credit Agreement; and • "2017 Revolving Credit Facility" refers to the $350 million , senior secured revolving credit facility, the terms of which are set forth in the Credit Agreement. Business and Nature of Operations ADESA is a leading provider of wholesale vehicle auctions and related vehicle remarketing services for the automotive industry. As of September 30, 2019 , we have a North American network of 74 ADESA whole car auction sites and we also offer online auctions. ADESA also includes TradeRev, an online automotive remarketing system where dealers can launch and participate in real-time vehicle auctions at any time, ADESA Remarketing Limited, an online whole car vehicle remarketing business in the United Kingdom and ADESA Europe (formerly known as CarsOnTheWeb), an online wholesale vehicle auction marketplace in Continental Europe. Our auctions facilitate the sale of used vehicles through physical, online or hybrid auctions, which permit Internet buyers to participate in physical auctions. ADESA's online service offerings include customized private label solutions powered with software developed by its wholly-owned subsidiary, Openlane, that allow our institutional consignors (automobile manufacturers, captive finance companies and other institutions) to offer vehicles via the Internet prior to arrival at the physical auction. Remarketing services include a variety of activities designed to transfer used and salvage vehicles between sellers and buyers throughout the vehicle life cycle. ADESA facilitates the exchange of these vehicles through an auction marketplace, which aligns sellers and buyers. As an agent for customers, the Company generally does not take title to or ownership of vehicles sold at the auctions. Generally, fees are earned from the seller and buyer on each successful auction transaction in addition to fees earned for ancillary services. ADESA has the second largest used vehicle auction network in North America, based upon the number of used vehicles sold through auctions annually, and also provides services such as inbound and outbound transportation logistics, reconditioning, vehicle inspection and certification, titling, administrative and collateral recovery services. ADESA is able to serve the diverse and multi-faceted needs of its customers through the wide range of services offered. AFC is a leading provider of floorplan financing to independent used vehicle dealers and this financing is provided through 122 locations throughout the United States and Canada as of September 30, 2019 . Floorplan financing supports independent used vehicle dealers in North America who purchase vehicles at ADESA, TradeRev, other used vehicle and salvage auctions and non-auction purchases. In addition to floorplan financing, AFC also provides independent used vehicle dealers with other related services and products, such as vehicle service contracts. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP") for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by U.S. GAAP for annual financial statements. Operating results for interim periods are not necessarily indicative of results that may be expected for the year as a whole. In the opinion of management, the consolidated financial statements reflect all adjustments, generally consisting of normal recurring accruals, necessary for a fair statement of our results of operations, cash flows and financial position for the periods presented. These consolidated financial statements and condensed notes to consolidated financial statements are unaudited and should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2018, as filed with the Securities and Exchange Commission on February 21, 2019. The 2018 year-end consolidated balance sheet data included in this Form 10-Q was derived from the audited financial statements referenced above and does not include all disclosures required by U.S. GAAP for annual financial statements. Reclassifications Certain amounts reported in the consolidated financial statements prior to June 2019 have been reclassified to discontinued operations to reflect the spin-off of the Company's former salvage auction business. In addition, certain amounts reported for segment results in the consolidated financial statements prior to June 2019 have been reclassified to conform to a discontinued operations presentation. See Note 3 for a discussion of discontinued operations. Use of Estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates based in part on assumptions about current, and for some estimates, future economic and market conditions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the period. Although the current estimates contemplate current conditions and expected future changes, as appropriate, it is reasonably possible that future conditions could differ from these estimates, which could materially affect our results of operations and financial position. Among other effects, such changes could result in future impairments of goodwill, intangible assets and long-lived assets, incremental losses on finance receivables, additional allowances on accounts receivable and deferred tax assets and changes in litigation and other loss contingencies. Leases In February 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-02, Leases (Topic 842) , which replaces the existing lease guidance in Topic 840. The ASU is intended to provide enhanced transparency and comparability by requiring lessees to record right-of-use ("ROU") assets and corresponding lease liabilities on the balance sheet, with an exception for leases that meet the definition of a short-term lease. The new guidance continues to classify leases as either finance or operating, with classification affecting the pattern of expense recognition in the statement of income. We adopted Topic 842 in the first quarter of 2019 and as permitted by ASU 2018-11, Leases (Topic 842): Targeted Improvements , we applied the new standard at the adoption date and recognized the cumulative-effect of initially applying the new standard as an increase of $1.1 million to the opening balance of retained earnings. The cumulative-effect adjustment related to the derecognition of existing fixed assets for which we were determined to be the accounting owner under Topic 840 and related liabilities associated with certain sale leaseback transactions in build-to-suit arrangements that did not qualify for sale accounting under Topic 840. Depreciation related to these fixed assets was recorded consistently with owned property and equipment in depreciation expense. In accordance with Topic 842, the lease agreements associated with the derecognized fixed assets and related liabilities generated ROU assets and lease liabilities that will be amortized to lease expense over the lease term. In addition, we recognized additional operating liabilities for continuing operations of approximately $342 million with related ROU assets of approximately $314 million based on the present value of the remaining minimum rental payments for existing operating leases. We determine if an arrangement is a lease at inception. Operating leases are included in "Operating lease right-of-use assets," "Other accrued expenses" and "Operating lease liabilities" in our consolidated balance sheets. Finance leases are included in "Property and equipment, net," "Other accrued expenses" and "Other liabilities" in our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and operating lease liabilities are recognized at the commencement date based on the present value of the lease payments over the lease term. We use the implicit rate when readily determinable. As most of our leases do not provide an implicit interest rate, we use our incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The operating lease ROU assets also include any lease payments made and exclude lease incentives and initial direct costs incurred. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. We have lease agreements with lease and non-lease components, which are generally accounted for separately. For certain equipment leases, we account for the lease and non-lease components as a single lease component. New Accounting Standards In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract, which aligns the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The new guidance is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years. The Company is currently evaluating the impact the adoption of ASU 2018-15 will have on the consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, which simplifies the test for goodwill impairment by eliminating Step 2 (implied fair value measurement). Instead goodwill impairment would be measured as the amount by which a reporting unit's carrying amount exceeds its fair value, not to exceed the carrying amount of goodwill. The new guidance is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. We do not expect the adoption of ASU 2017-04 will have a material impact on the consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2019
Business Combinations [Abstract]
Acquisitions	Acquisitions In January 2019, the Company completed the acquisition of Dent-ology. Dent-ology enhances our mobile reconditioning capabilities and bolsters our offerings to include wheel repair and expanded hail catastrophe response services. In January 2019, the Company also completed the acquisition of CarsOnTheWeb. COTW is an online auction company serving the wholesale vehicle sector in Continental Europe that seamlessly connects OEMs, fleet owners, wholesalers and dealers. The acquisition advances KAR’s international strategy and extends its strong North American and U.K.-based portfolio of physical, online and digital auction marketplaces. Certain of the purchase agreements included additional payments over a specified period contingent on certain terms, conditions and performance. The purchased assets included accounts receivable, inventory, property and equipment, customer relationships, tradenames and software. Financial results for each acquisition have been included in our consolidated financial statements from the date of acquisition. The aggregate purchase price for the businesses acquired in the first nine months of 2019, net of cash acquired, was approximately $169.2 million , which included net cash payments of $120.7 million , deferred payments with a fair value of $19.2 million and estimated contingent payments with a fair value of $29.3 million . The maximum amount of undiscounted deferred payments and undiscounted contingent payments related to these acquisitions could approximate $77.0 million . The purchase price for the acquired businesses was allocated to acquired assets and liabilities based upon fair values, including $32.7 million to intangible assets, representing the fair value of acquired customer relationships of $26.4 million , software of $4.3 million and tradenames of $2.0 million , which are being amortized over their expected useful lives. The purchase accounting associated with these acquisitions is preliminary, subject to final valuation results. The acquisitions resulted in aggregate goodwill of $138.4 million . The goodwill is recorded in the ADESA Auctions reportable segment. The financial impact of these acquisitions, including pro forma financial results, was immaterial to the Company’s consolidated results for the nine months ended September 30, 2019 .

IAA Separation and Discontinued

IAA Separation and Discontinued Operations	9 Months Ended
	Sep. 30, 2019
Discontinued Operations and Disposal Groups [Abstract]
IAA Separation and Discontinued Operations	IAA Separation and Discontinued Operations In February 2018, the Company announced that its board of directors had approved a plan to pursue the separation ("Separation") of its salvage auction business, IAA, through a spin-off. On June 28, 2019, the Company completed the spin-off, creating a new independent publicly traded company, IAA, Inc. ("IAA"). The Separation provided KAR shareholders with equity ownership in both KAR and IAA. On June 28, 2019, the Company’s shareholders received one share of IAA common stock for every share of Company common stock they held as of the close of business on June 18, 2019, the record date for the distribution. In addition to the shares of IAA common stock, KAR received a cash distribution of approximately $1,278.0 million from IAA, which was used to prepay a portion of KAR's term loans. In connection with the spin-off, the Company and IAA entered into various agreements to effect the Separation and provide a framework for their relationship after the Separation, including a separation and distribution agreement, a transition services agreement, an employee matters agreement and a tax matters agreement. These agreements provide for the allocation between the Company and IAA of assets, employees, liabilities and obligations (including investments, property, environmental and tax-related assets and liabilities) attributable to periods prior to, at and after IAA's Separation from the Company and will govern certain relationships between IAA and the Company after the Separation. The financial results of IAA have been accounted for as discontinued operations for all periods presented. IAA was formerly presented as one of the Company’s reportable segments. Discontinued operations included one-time transaction costs in "Selling, general and administrative" of approximately $31.3 million for the nine months ended September 30, 2019, in connection with the separation of the two companies. These costs consisted of consulting and professional fees associated with preparing for and executing the spin-off. The following table presents the results of operations for IAA that have been reclassified to discontinued operations for all periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Operating revenues $ — $ 321.1 $ 723.6 $ 991.6 Operating expenses Cost of services (exclusive of depreciation and amortization) — 202.4 446.1 610.2 Selling, general and administrative — 31.3 94.5 96.1 Depreciation and amortization — 24.3 43.9 73.1 Total operating expenses — 258.0 584.5 779.4 Operating profit — 63.1 139.1 212.2 Interest expense — 0.1 2.7 0.5 Other income, net — — — (0.7 ) Income from discontinued operations before income taxes — 63.0 136.4 212.4 Income taxes (0.9 ) 16.4 44.8 54.2 Income from discontinued operations $ 0.9 $ 46.6 $ 91.6 $ 158.2 The following table summarizes the major classes of assets and liabilities immediately preceding the spin-off on June 28, 2019 and at December 31, 2018: June 28, 2019 December 31, 2018 Assets Cash and cash equivalents $ 50.9 $ 60.0 Trade receivables, net 284.7 311.0 Other current assets 83.6 82.5 Goodwill 536.8 536.8 Customer relationships, net 62.2 74.8 Other intangible assets, net 87.5 86.2 Operating lease right-of-use assets 655.2 — Other assets 13.3 10.3 Property and equipment, net 241.4 345.2 Total assets, discontinued operations $ 2,015.6 $ 1,506.8 Liabilities Accounts payable $ 115.8 $ 129.0 Accrued employee benefits and compensation expenses 19.0 29.6 Other accrued expenses 120.9 53.6 Income taxes payable — 2.2 Long-term debt 1,274.8 — Deferred income tax liabilities 63.7 63.1 Operating lease liabilities 633.0 — Other liabilities 12.0 202.9 Total liabilities, discontinued operations $ 2,239.2 $ 480.4

Stock and Stock-Based Compensat

Stock and Stock-Based Compensation Plans	9 Months Ended
	Sep. 30, 2019
Share-based Payment Arrangement [Abstract]
Stock and Stock-Based Compensation Plans	Stock and Stock-Based Compensation Plans The KAR Auction Services, Inc. 2009 Omnibus Stock and Incentive Plan ("Omnibus Plan") is intended to provide equity and/or cash-based awards to our executive officers and key employees. Our stock-based compensation expense includes expense associated with KAR Auction Services, Inc. performance-based restricted stock units ("PRSUs"), service-based restricted stock units ("RSUs") and service options. We have determined that the KAR Auction Services, Inc. PRSUs, RSUs and service options should be classified as equity awards. The following table summarizes our stock-based compensation expense by type of award (in millions) : Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 PRSUs $ 2.6 $ 3.3 $ 7.5 $ 8.4 RSUs 1.7 2.4 7.1 6.8 Service options — — — 0.1 Total stock-based compensation expense $ 4.3 $ 5.7 $ 14.6 $ 15.3 In the first nine months of 2019, we granted a target amount of approximately 0.3 million PRSUs to certain executive officers and management of the Company. In addition, approximately 0.3 million RSUs were granted to certain executive officers and management of the Company. The RSUs are contingent upon continued employment and generally vest in three equal annual installments. The weighted average grant date fair value of the PRSUs and the RSUs was $47.09 per share and $47.37 per share, respectively, which was determined using the closing price of the Company's common stock on the dates of grant. In connection with the spin-off of IAA, the Company modified its stock-based compensation awards under the "equitable adjustments" clause in the Omnibus Plan, which provides anti-dilution protection. Generally, the award adjustments were intended to maintain the economic value of the awards before and after the separation date. The post-spin KAR awards and post-spin IAA awards are generally subject to the same terms and conditions, and will continue to vest on the same schedule as the pre-spin KAR awards, except as noted in the equity-conversion related provisions of the employee matters agreement. There was no incremental compensation expense recorded as a result of these modifications. Share Repurchase Program In October 2016, the board of directors authorized a repurchase of up to $500 million of the Company’s outstanding common stock, par value $0.01 per share, through October 26, 2019 . Repurchases may be made in the open market or through privately negotiated transactions, in accordance with applicable securities laws and regulations, including pursuant to repurchase plans designed to comply with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended. The timing and amount of any repurchases is subject to market and other conditions. During the three months ended September 30, 2019, we used the remaining $119.7 million under the 2016 authorization to repurchase and retire 4,753,300 shares of common stock in the open market at a weighted average price of $25.18 per share. In 2018, we repurchased and retired 2,695,978 shares of common stock in the open market at a weighted average price of $55.64 per share.

Net Income from Continuing Oper

Net Income from Continuing Operations Per Share	9 Months Ended
	Sep. 30, 2019
Earnings Per Share, Basic and Diluted [Abstract]
Net income from continuing operations per share	Net Income from Continuing Operations Per Share The following table sets forth the computation of net income from continuing operations per share (in millions except per share amounts) : Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Net income from continuing operations $ 34.4 $ 30.9 $ 77.1 $ 102.5 Weighted average common shares outstanding 131.2 134.5 132.5 134.5 Effect of dilutive stock options and restricted stock awards 1.2 1.1 1.3 1.2 Weighted average common shares outstanding and potential common shares 132.4 135.6 133.8 135.7 Net income from continuing operations per share Basic $ 0.26 $ 0.23 $ 0.58 $ 0.76 Diluted $ 0.26 $ 0.23 $ 0.58 $ 0.76 Basic net income from continuing operations per share was calculated by dividing net income from continuing operations by the weighted average number of outstanding common shares for the period. Diluted net income from continuing operations per share was calculated consistent with basic net income from continuing operations per share including the effect of dilutive unissued common shares related to our stock-based employee compensation program. The effect of stock options and restricted stock on net income from continuing operations per share-diluted is determined through the application of the treasury stock method, whereby net proceeds received by the Company based on assumed exercises are hypothetically used to repurchase our common stock at the average market price during the period. As a result of the spin-off, there are IAA employees who hold KAR equity awards included in the calculation. Stock options that would have an anti-dilutive effect on net income from continuing operations per diluted share and PRSUs subject to performance conditions which have not yet been satisfied are excluded from the calculations. No options were excluded from the calculation of diluted net income from continuing operations per share for each of the three or nine months ended September 30, 2019 and 2018 . In addition, approximately 0.3 million and 0.6 million PRSUs were excluded from the calculation of diluted net income from continuing operations per share for the three months ended September 30, 2019 and 2018 , respectively, and approximately 0.3 million and 0.6 million PRSUs were excluded from the calculation of diluted net income from continuing operations per share for the nine months ended September 30, 2019 and 2018, respectively. Total options outstanding at September 30, 2019 and 2018 were 0.8 million and 1.1 million , respectively.

Finance Receivables and Obligat

Finance Receivables and Obligations Collateralized by Finance Receivables	9 Months Ended
	Sep. 30, 2019
Financing Receivable, after Allowance for Credit Loss, Current [Abstract]
Finance Receivables and Obligations Collateralized by Finance Receivables	Finance Receivables and Obligations Collateralized by Finance Receivables AFC sells the majority of its U.S. dollar denominated finance receivables on a revolving basis and without recourse to a wholly-owned, bankruptcy remote, consolidated, special purpose subsidiary ("AFC Funding Corporation"), established for the purpose of purchasing AFC's finance receivables. A securitization agreement allows for the revolving sale by AFC Funding Corporation to a group of bank purchasers of undivided interests in certain finance receivables subject to committed liquidity. The agreement expires on January 28, 2022. AFC Funding Corporation had committed liquidity of $1.70 billion for U.S. finance receivables at September 30, 2019 . We also have an agreement for the securitization of Automotive Finance Canada Inc.'s ("AFCI") receivables which expires on January 28, 2022. AFCI's committed facility is provided through a third-party conduit (separate from the U.S. facility) and was C$175 million at September 30, 2019 . The receivables sold pursuant to both the U.S. and Canadian securitization agreements are accounted for as secured borrowings. The following tables present quantitative information about delinquencies, credit losses less recoveries ("net credit losses") and components of securitized financial assets and other related assets managed. For purposes of this illustration, delinquent receivables are defined as receivables 31 days or more past due. September 30, 2019 Net Credit Losses Three Months Ended September 30, 2019 Net Credit Losses Nine Months Ended September 30, 2019 Total Amount of: (in millions) Receivables Receivables Delinquent Floorplan receivables $ 2,097.7 $ 15.6 $ 8.6 $ 24.8 Other loans 12.7 — — — Total receivables managed $ 2,110.4 $ 15.6 $ 8.6 $ 24.8 December 31, 2018 Net Credit Losses Three Months Ended September 30, 2018 Net Credit Losses Nine Months Ended September 30, 2018 Total Amount of: (in millions) Receivables Receivables Delinquent Floorplan receivables $ 2,001.9 $ 15.9 $ 7.1 $ 21.3 Other loans 12.9 — — — Total receivables managed $ 2,014.8 $ 15.9 $ 7.1 $ 21.3 AFC's allowance for losses was $14.8 million and $14.0 million at September 30, 2019 and December 31, 2018 , respectively. As of September 30, 2019 and December 31, 2018 , $2,064.6 million and $1,973.2 million , respectively, of finance receivables and a cash reserve of 1 percent of the obligations collateralized by finance receivables served as security for the obligations collateralized by finance receivables. Obligations collateralized by finance receivables consisted of the following: September 30, December 31, Obligations collateralized by finance receivables, gross $ 1,443.2 $ 1,464.7 Unamortized securitization issuance costs (14.8 ) (19.4 ) Obligations collateralized by finance receivables $ 1,428.4 $ 1,445.3 Proceeds from the revolving sale of receivables to the bank facilities are used to fund new loans to customers. AFC, AFC Funding Corporation and AFCI must maintain certain financial covenants including, among others, limits on the amount of debt AFC and AFCI can incur, minimum levels of tangible net worth, and other covenants tied to the performance of the finance receivables portfolio. The securitization agreements also incorporate the financial covenants of our Credit Facility. At September 30, 2019 , we were in compliance with the covenants in the securitization agreements.

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2019
Long-term Debt, Unclassified [Abstract]
Long-Term Debt	Long-Term Debt Long-term debt consisted of the following (in millions) : Interest Rate* Maturity September 30, December 31, Term Loan B-4 Adjusted LIBOR + 2.25% March 11, 2021 $ — $ 704.4 Term Loan B-5 Adjusted LIBOR + 2.50% March 9, 2023 — 1,031.5 Term Loan B-6 Adjusted LIBOR + 2.25% September 19, 2026 950.0 — Revolving credit facility Adjusted LIBOR + 1.75% September 19, 2024 — — Senior notes 5.125% June 1, 2025 950.0 950.0 European lines of credit Euribor + 1.25% Repayable upon demand 17.5 — Canadian line of credit CAD Prime + 0.50% Repayable upon demand — — Total debt 1,917.5 2,685.9 Unamortized debt issuance costs/discounts (27.5 ) (18.5 ) Current portion of long-term debt (27.0 ) (13.1 ) Long-term debt $ 1,863.0 $ 2,654.3 *The interest rates presented in the table above represent the rates in place at September 30, 2019 . Credit Facilities In June 2019, the Company prepaid approximately $518.6 million and $759.4 million of Term Loan B-4 and Term Loan B-5, respectively, with cash received from IAA in connection with the Separation. As a result of the term loan prepayments in the second quarter of 2019, the Company recorded additional interest expense of approximately $1.8 million related to the acceleration of amortization on debt issuance costs. On September 19, 2019, we entered into the Third Amendment Agreement (the "Third Amendment") to the Credit Agreement. The Third Amendment provided for, among other things, (i) the refinancing of the existing Term Loan B-4 and Term Loan B-5 with the new seven-year, $950 million Term Loan B-6, (ii) repayment of the 2017 Revolving Credit Facility and (iii) the $325 million , five-year Revolving Credit Facility. No early termination penalties were incurred by the Company; however, we incurred a non-cash loss on the extinguishment of debt of $2.2 million in the third quarter of 2019. The loss was primarily a result of the write-off of unamortized debt issue costs associated with Term Loan B-4 and Term Loan B-5. We capitalized approximately $13.7 million of debt issuance costs in connection with the Third Amendment. The Credit Facility is available for letters of credit, working capital, permitted acquisitions and general corporate purposes. The Revolving Credit Facility also includes a $50 million sub-limit for issuance of letters of credit and a $60 million sub-limit for swingline loans. Term Loan B-6 was issued at a discount of $2.4 million and the discount is being amortized using the effective interest method to interest expense over the term of the loan. Term Loan B-6 is payable in quarterly installments equal to 0.25% of the original aggregate principal amount. Such payments will commence on December 31, 2019, with the balance payable at the maturity date. The obligations of the Company under the Credit Facility are guaranteed by certain of our domestic subsidiaries (the "Subsidiary Guarantors") and are secured by substantially all of the assets of the Company and the Subsidiary Guarantors, including but not limited to: (a) pledges of and first priority perfected security interests in 100% of the equity interests of certain of the Company's and the Subsidiary Guarantors' domestic subsidiaries and 65% of the equity interests of certain of the Company's and the Subsidiary Guarantors' first tier foreign subsidiaries and (b) perfected first priority security interests in substantially all other tangible and intangible assets of the Company and each Subsidiary Guarantor, subject to certain exceptions. The Credit Agreement contains affirmative and negative covenants that we believe are usual and customary for a senior secured credit agreement. The negative covenants include, among other things, limitations on asset sales, mergers and acquisitions, indebtedness, liens, dividends, investments and transactions with our affiliates. The Credit Agreement also requires us to maintain a Consolidated Senior Secured Net Leverage Ratio (as defined in the Credit Agreement, not to exceed 3.5 as of the last day of each fiscal quarter (commencing with the quarter ending December 31, 2019)), provided there are revolving loans outstanding. We were in compliance with the applicable covenants in the Credit Agreement at September 30, 2019 . As set forth in the Credit Agreement, the Tranche B-6 Term Loans bear interest at an adjusted LIBOR rate plus 2.25% or at the Company’s election, Base Rate (as defined in the Credit Agreement) plus 1.25% . Loans under the Revolving Credit Facility will bear interest at a rate calculated based on the type of borrowing (either adjusted LIBOR or Base Rate) and the Company’s Consolidated Senior Secured Net Leverage Ratio, with such rate ranging from 2.25% to 1.75% for adjusted LIBOR loans and from 1.25% to 0.75% for Base Rate loans. The Company also pay s a commitment fee between 25 to 35 basis points, payable quarterly , on the average daily unused amount of the Revolving Facility based on the Company’s Consolidated Senior Secured Net Leverage Ratio, from time to time. The rate on Term Loan B-6 was 4.31% at September 30, 2019 . There were no borrowings on the revolving credit facility at September 30, 2019 and December 31, 2018 . In addition, we had related outstanding letters of credit in the aggregate amount of $27.7 million and $32.9 million at September 30, 2019 and December 31, 2018 , respectively, which reduce the amount available for borrowings under the revolving credit facility. European Lines of Credit COTW has lines of credit aggregating $32.7 million ( €30 million ). The lines of credit have an interest rate of Euribor plus 1.25% and had an aggregate $17.5 million of borrowings outstanding at September 30, 2019 . The lines of credit are guaranteed by certain COTW subsidiaries. In addition, as part of the acquisition of COTW, we assumed debt of approximately $10.7 million which was paid off in the first quarter of 2019. Fair Value of Debt As of September 30, 2019 , the estimated fair value of our long-term debt amounted to $1,954.4 million . The estimates of fair value were based on broker-dealer quotes for our debt as of September 30, 2019 . The estimates presented on long-term financial instruments are not necessarily indicative of the amounts that would be realized in a current market exchange.

Derivatives

Derivatives	9 Months Ended
	Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivatives	Derivatives We are exposed to interest rate risk on our variable rate borrowings. Accordingly, interest rate fluctuations affect the amount of interest expense we are obligated to pay. We have used interest rate derivatives with the objective of managing exposure to interest rate movements, thereby reducing the effect of interest rate changes and the effect they could have on future cash flows. We have used interest rate cap agreements to accomplish this objective. • In August 2017, we entered into two interest rate caps with an aggregate notional amount of $800 million to manage our exposure to interest rate movements on our variable rate Credit Facility when three-month LIBOR exceeded 2.0% . The interest rate cap agreements each had an effective date of September 30, 2017 and each matured on September 30, 2019. We paid an aggregate amount of approximately $1.0 million for the caps in August 2017. • In March 2017, we entered into two interest rate caps with an aggregate notional amount of $400 million to manage our exposure to interest rate movements on our variable rate Credit Facility when three-month LIBOR exceeded 2.0% . The interest rate cap agreements each had an effective date of March 31, 2017 and each matured on March 31, 2019. We paid an aggregate amount of approximately $0.7 million for the caps in April 2017. When derivatives are used, we are exposed to credit loss in the event of non-performance by the counterparties; however, non-performance is not anticipated. ASC 815, Derivatives and Hedging , requires companies to recognize all derivative instruments as either assets or liabilities at fair value in the balance sheet. The fair values of the interest rate derivatives are based on quoted market prices for similar instruments from commercial banks. The following table presents the fair value of our interest rate derivatives included in the consolidated balance sheets for the periods presented ( in millions ): Asset Derivatives September 30, 2019 December 31, 2018 Derivatives Not Designated as Hedging Instruments Balance Sheet Location Fair Value Balance Sheet Location Fair Value 2017 Interest rate caps Other assets $ — Other assets $ 5.2 We have not designated any of the interest rate caps as hedges for accounting purposes. Accordingly, changes in the fair value of the interest rate caps are recognized as "Interest expense" in the consolidated statement of income. The following table presents the effect of the interest rate derivatives on our consolidated statements of income for the periods presented ( in millions ): Amount of Gain / (Loss) Recognized in Income on Derivatives Derivatives Not Designated Location of Gain / (Loss) Recognized Three Months Ended September 30, Nine Months Ended September 30, as Hedging Instruments in Income on Derivatives 2019 2018 2019 2018 2017 Interest rate caps Interest expense $ — $ 0.2 $ (0.9 ) $ 6.3

Leases

Leases	9 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Leases	Leases We lease property, software, automobiles, trucks and trailers pursuant to operating lease agreements. We also lease furniture, fixtures and equipment under finance leases. Our leases have varying remaining lease terms with leases expiring through 2038, some of which include options to extend the leases. The components of lease expense were as follows ( in millions ): Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost $ 15.9 $ 45.3 Finance lease cost: Amortization of right-of-use assets $ 3.4 $ 10.8 Interest on lease liabilities 0.3 1.0 Total finance lease cost $ 3.7 $ 11.8 Supplemental cash flow information related to leases was as follows ( in millions ): Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows related to operating leases $ 44.3 Operating cash flows related to finance leases 1.0 Financing cash flows related to finance leases 20.5 Right-of-use assets obtained in exchange for lease obligations: Operating leases 80.4 Finance leases 13.7 Supplemental balance sheet information related to leases was as follows ( in millions, except lease term and discount rate ): September 30, 2019 Operating Leases Operating lease right-of-use assets $ 366.4 Other accrued expenses $ 33.7 Operating lease liabilities 361.1 Total operating lease liabilities $ 394.8 Finance Leases Property and equipment, gross $ 91.9 Accumulated depreciation (70.4 ) Property and equipment, net $ 21.5 Other accrued expenses $ 12.0 Other liabilities 14.6 Total finance lease liabilities $ 26.6 Weighted Average Remaining Lease Term Operating leases 11.0 years Finance leases 2.1 years Weighted Average Discount Rate Operating leases 6.1 % Finance leases 5.1 % Maturities of lease liabilities as of September 30, 2019 were as follows ( in millions ): Operating Finance Leases 2019 (excluding the nine months ended September 30, 2019) $ 14.3 $ 13.2 2020 55.9 4.9 2021 52.9 8.6 2022 50.3 1.7 2023 48.2 0.1 Thereafter 328.1 — Total lease payments 549.7 28.5 Less imputed interest (154.9 ) (1.9 ) Total $ 394.8 $ 26.6

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies We are involved in litigation and disputes arising in the ordinary course of business, such as actions related to injuries; property damage; handling, storage or disposal of vehicles; environmental laws and regulations; and other litigation incidental to the business such as employment matters and dealer disputes. Management considers the likelihood of loss or the incurrence of a liability, as well as the ability to reasonably estimate the amount of loss, in determining loss contingencies. We accrue an estimated loss contingency when it is probable that a liability has been incurred and the amount of loss (or range of possible losses) can be reasonably estimated. Management regularly evaluates current information available to determine whether accrual amounts should be adjusted. Accruals for contingencies including litigation and environmental matters are included in "Other accrued expenses" at undiscounted amounts and exclude claims for recoveries from insurance or other third parties. These accruals are adjusted periodically as assessment and remediation efforts progress, or as additional technical or legal information becomes available. If the amount of an actual loss is greater than the amount accrued, this could have an adverse impact on our operating results in that period. Such matters are generally not, in the opinion of management, likely to have a material adverse effect on our financial condition, results of operations or cash flows. Legal fees are expensed as incurred. There has been no significant change in the legal and regulatory proceedings related to continuing operations which were disclosed in our Annual Report on Form 10-K for the year ended December 31, 2018 .

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2019
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Loss Accumulated other comprehensive loss consisted of the following ( in millions ): September 30, December 31, Foreign currency translation loss $ (45.2 ) $ (61.3 ) Accumulated other comprehensive loss $ (45.2 ) $ (61.3 )

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2019
Segment Reporting [Abstract]
Segment Information	Segment Information ASC 280, Segment Reporting , requires reporting of segment information that is consistent with the manner in which the chief operating decision maker operates and views the Company. Prior to the spin-off of IAA, our operations were grouped into three operating segments: ADESA Auctions, IAA and AFC, which also served as our reportable business segments. Beginning in the second quarter of 2019, after the completion of the spin-off, the Company began operating under two reportable business segments: ADESA Auctions and AFC. These reportable business segments offer different services and have fundamental differences in their operations. Results of the former IAA segment and spin-related costs are now reported as discontinued operations (see Note 3). Segment results for prior periods have been reclassified to conform with the new presentation of segments. The holding company is maintained separately from the reportable segments and includes expenses associated with the corporate offices, such as salaries, benefits and travel costs for the corporate management team, certain human resources, information technology and accounting costs, and certain insurance, treasury, legal and risk management costs. Holding company interest expense includes the interest expense incurred on capital leases and the corporate debt structure. Intercompany charges relate primarily to interest on intercompany debt or receivables and certain administrative costs allocated by the holding company. Financial information regarding our reportable segments is set forth below as of and for the three months ended September 30, 2019 (in millions) : ADESA AFC Holding Consolidated Operating revenues $ 613.6 $ 88.3 $ — $ 701.9 Operating expenses Cost of services (exclusive of depreciation and amortization) 386.2 24.7 — 410.9 Selling, general and administrative 121.7 5.9 31.3 158.9 Depreciation and amortization 37.2 2.6 6.6 46.4 Total operating expenses 545.1 33.2 37.9 616.2 Operating profit (loss) 68.5 55.1 (37.9 ) 85.7 Interest expense 1.1 15.7 21.1 37.9 Other (income) expense, net (1.3 ) (0.1 ) (0.6 ) (2.0 ) Loss on extinguishment of debt — — 2.2 2.2 Intercompany expense (income) 6.0 (1.3 ) (4.7 ) — Income (loss) from continuing operations before income taxes 62.7 40.8 (55.9 ) 47.6 Income taxes 16.3 10.1 (13.2 ) 13.2 Net income (loss) from continuing operations $ 46.4 $ 30.7 $ (42.7 ) $ 34.4 Total assets $ 3,713.9 $ 2,505.5 $ 360.3 $ 6,579.7 Financial information regarding our reportable segments is set forth below as of and for the three months ended September 30, 2018 (in millions) : ADESA Auctions AFC Holding Company Consolidated Operating revenues $ 527.0 $ 85.4 $ — $ 612.4 Operating expenses Cost of services (exclusive of depreciation and amortization) 307.8 22.9 — 330.7 Selling, general and administrative 111.8 8.1 34.8 154.7 Depreciation and amortization 31.9 2.3 7.2 41.4 Total operating expenses 451.5 33.3 42.0 526.8 Operating profit (loss) 75.5 52.1 (42.0 ) 85.6 Interest expense 0.5 15.0 33.5 49.0 Other (income) expense, net (1.9 ) (0.1 ) (1.0 ) (3.0 ) Intercompany expense (income) 6.9 (0.9 ) (6.0 ) — Income (loss) from continuing operations before income taxes 70.0 38.1 (68.5 ) 39.6 Income taxes 19.0 9.0 (19.3 ) 8.7 Net income (loss) from continuing operations $ 51.0 $ 29.1 $ (49.2 ) $ 30.9 Total assets $ 3,171.7 $ 2,395.5 $ 298.2 $ 5,865.4 Financial information regarding our reportable segments is set forth below as of and for the nine months ended September 30, 2019 (in millions) : ADESA AFC Holding Consolidated Operating revenues $ 1,845.7 $ 264.9 $ — $ 2,110.6 Operating expenses Cost of services (exclusive of depreciation and amortization) 1,149.8 72.4 — 1,222.2 Selling, general and administrative 370.2 19.5 107.6 497.3 Depreciation and amortization 110.2 7.6 20.8 138.6 Total operating expenses 1,630.2 99.5 128.4 1,858.1 Operating profit (loss) 215.5 165.4 (128.4 ) 252.5 Interest expense 2.8 49.0 98.2 150.0 Other (income) expense, net (4.5 ) (0.3 ) (0.4 ) (5.2 ) Loss on extinguishment of debt — — 2.2 2.2 Intercompany expense (income) 23.9 (4.1 ) (19.8 ) — Income (loss) from continuing operations before income taxes 193.3 120.8 (208.6 ) 105.5 Income taxes 54.0 32.2 (57.8 ) 28.4 Net income (loss) from continuing operations $ 139.3 $ 88.6 $ (150.8 ) $ 77.1 Financial information regarding our reportable segments is set forth below as of and for the nine months ended September 30, 2018 (in millions) : ADESA Auctions AFC Holding Company Consolidated Operating revenues $ 1,593.4 $ 255.6 $ — $ 1,849.0 Operating expenses Cost of services (exclusive of depreciation and amortization) 921.0 68.2 — 989.2 Selling, general and administrative 328.9 23.6 107.6 460.1 Depreciation and amortization 94.4 13.6 21.8 129.8 Total operating expenses 1,344.3 105.4 129.4 1,579.1 Operating profit (loss) 249.1 150.2 (129.4 ) 269.9 Interest expense 1.7 43.2 93.8 138.7 Other (income) expense, net (2.4 ) (0.1 ) (1.3 ) (3.8 ) Intercompany expense (income) 26.6 (2.1 ) (24.5 ) — Income (loss) from continuing operations before income taxes 223.2 109.2 (197.4 ) 135.0 Income taxes 58.0 26.7 (52.2 ) 32.5 Net income (loss) from continuing operations $ 165.2 $ 82.5 $ (145.2 ) $ 102.5 Geographic Information Our foreign operations include Canada, Mexico, Continental Europe and the U.K. Most of our operations outside the U.S. are in Canada. Approximately 60% and 64% of our foreign operating revenues were from Canada for the three and nine months ended September 30, 2019 , respectively, and approximately 97% of our foreign operating revenues were from Canada for the three and nine months ended September 30, 2018 , respectively. The 2019 acquisition of COTW has increased the percentage of operating revenues from Europe. Information regarding the geographic areas of our operations is set forth below (in millions) : Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Operating revenues U.S. $ 565.6 $ 519.4 $ 1,726.4 $ 1,569.1 Foreign 136.3 93.0 384.2 279.9 $ 701.9 $ 612.4 $ 2,110.6 $ 1,849.0

Subsequent Event

Subsequent Event	9 Months Ended
	Sep. 30, 2019
Subsequent Event [Abstract]
Subsequent Events	Subsequent Event On October 30, 2019, the board of directors authorized a repurchase of up to $300 million of the Company’s outstanding common stock, par value $0.01 per share, through October 30, 2021 . Repurchases may be made in the open market or through privately negotiated transactions, in accordance with applicable securities laws and regulations, including pursuant to repurchase plans designed to comply with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended. The timing and amount of any repurchases is subject to market and other conditions. This program does not oblige the Company to repurchase any dollar amount or any number of shares under the authorization, and the program may be suspended, discontinued or modified at any time, for any reason and without notice.

Basis of Presentation and Natur

Basis of Presentation and Nature of Operations Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP") for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by U.S. GAAP for annual financial statements. Operating results for interim periods are not necessarily indicative of results that may be expected for the year as a whole. In the opinion of management, the consolidated financial statements reflect all adjustments, generally consisting of normal recurring accruals, necessary for a fair statement of our results of operations, cash flows and financial position for the periods presented. These consolidated financial statements and condensed notes to consolidated financial statements are unaudited and should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2018, as filed with the Securities and Exchange Commission on February 21, 2019. The 2018 year-end consolidated balance sheet data included in this Form 10-Q was derived from the audited financial statements referenced above and does not include all disclosures required by U.S. GAAP for annual financial statements.
Reclassifications	Reclassifications Certain amounts reported in the consolidated financial statements prior to June 2019 have been reclassified to discontinued operations to reflect the spin-off of the Company's former salvage auction business. In addition, certain amounts reported for segment results in the consolidated financial statements prior to June 2019 have been reclassified to conform to a discontinued operations presentation. See Note 3 for a discussion of discontinued operations.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates based in part on assumptions about current, and for some estimates, future economic and market conditions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the period. Although the current estimates contemplate current conditions and expected future changes, as appropriate, it is reasonably possible that future conditions could differ from these estimates, which could materially affect our results of operations and financial position. Among other effects, such changes could result in future impairments of goodwill, intangible assets and long-lived assets, incremental losses on finance receivables, additional allowances on accounts receivable and deferred tax assets and changes in litigation and other loss contingencies.
Leases	Leases In February 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-02, Leases (Topic 842) , which replaces the existing lease guidance in Topic 840. The ASU is intended to provide enhanced transparency and comparability by requiring lessees to record right-of-use ("ROU") assets and corresponding lease liabilities on the balance sheet, with an exception for leases that meet the definition of a short-term lease. The new guidance continues to classify leases as either finance or operating, with classification affecting the pattern of expense recognition in the statement of income. We adopted Topic 842 in the first quarter of 2019 and as permitted by ASU 2018-11, Leases (Topic 842): Targeted Improvements , we applied the new standard at the adoption date and recognized the cumulative-effect of initially applying the new standard as an increase of $1.1 million to the opening balance of retained earnings. The cumulative-effect adjustment related to the derecognition of existing fixed assets for which we were determined to be the accounting owner under Topic 840 and related liabilities associated with certain sale leaseback transactions in build-to-suit arrangements that did not qualify for sale accounting under Topic 840. Depreciation related to these fixed assets was recorded consistently with owned property and equipment in depreciation expense. In accordance with Topic 842, the lease agreements associated with the derecognized fixed assets and related liabilities generated ROU assets and lease liabilities that will be amortized to lease expense over the lease term. In addition, we recognized additional operating liabilities for continuing operations of approximately $342 million with related ROU assets of approximately $314 million based on the present value of the remaining minimum rental payments for existing operating leases. We determine if an arrangement is a lease at inception. Operating leases are included in "Operating lease right-of-use assets," "Other accrued expenses" and "Operating lease liabilities" in our consolidated balance sheets. Finance leases are included in "Property and equipment, net," "Other accrued expenses" and "Other liabilities" in our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and operating lease liabilities are recognized at the commencement date based on the present value of the lease payments over the lease term. We use the implicit rate when readily determinable. As most of our leases do not provide an implicit interest rate, we use our incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The operating lease ROU assets also include any lease payments made and exclude lease incentives and initial direct costs incurred. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. We have lease agreements with lease and non-lease components, which are generally accounted for separately. For certain equipment leases, we account for the lease and non-lease components as a single lease component.
New Accounting Standards	New Accounting Standards In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract, which aligns the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The new guidance is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years. The Company is currently evaluating the impact the adoption of ASU 2018-15 will have on the consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, which simplifies the test for goodwill impairment by eliminating Step 2 (implied fair value measurement). Instead goodwill impairment would be measured as the amount by which a reporting unit's carrying amount exceeds its fair value, not to exceed the carrying amount of goodwill. The new guidance is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. We do not expect the adoption of ASU 2017-04 will have a material impact on the consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.

IAA Separation and Discontinu_2

IAA Separation and Discontinued Operations (Tables)	9 Months Ended
	Sep. 30, 2019
Discontinued Operations and Disposal Groups [Abstract]
Discontinued Operations	The following table presents the results of operations for IAA that have been reclassified to discontinued operations for all periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Operating revenues $ — $ 321.1 $ 723.6 $ 991.6 Operating expenses Cost of services (exclusive of depreciation and amortization) — 202.4 446.1 610.2 Selling, general and administrative — 31.3 94.5 96.1 Depreciation and amortization — 24.3 43.9 73.1 Total operating expenses — 258.0 584.5 779.4 Operating profit — 63.1 139.1 212.2 Interest expense — 0.1 2.7 0.5 Other income, net — — — (0.7 ) Income from discontinued operations before income taxes — 63.0 136.4 212.4 Income taxes (0.9 ) 16.4 44.8 54.2 Income from discontinued operations $ 0.9 $ 46.6 $ 91.6 $ 158.2 The following table summarizes the major classes of assets and liabilities immediately preceding the spin-off on June 28, 2019 and at December 31, 2018: June 28, 2019 December 31, 2018 Assets Cash and cash equivalents $ 50.9 $ 60.0 Trade receivables, net 284.7 311.0 Other current assets 83.6 82.5 Goodwill 536.8 536.8 Customer relationships, net 62.2 74.8 Other intangible assets, net 87.5 86.2 Operating lease right-of-use assets 655.2 — Other assets 13.3 10.3 Property and equipment, net 241.4 345.2 Total assets, discontinued operations $ 2,015.6 $ 1,506.8 Liabilities Accounts payable $ 115.8 $ 129.0 Accrued employee benefits and compensation expenses 19.0 29.6 Other accrued expenses 120.9 53.6 Income taxes payable — 2.2 Long-term debt 1,274.8 — Deferred income tax liabilities 63.7 63.1 Operating lease liabilities 633.0 — Other liabilities 12.0 202.9 Total liabilities, discontinued operations $ 2,239.2 $ 480.4

Stock and Stock-Based Compens_2

Stock and Stock-Based Compensation Plans (Tables)	9 Months Ended
	Sep. 30, 2019
Share-based Payment Arrangement [Abstract]
Summary of stock-based compensation expense by type of award	The following table summarizes our stock-based compensation expense by type of award (in millions) : Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 PRSUs $ 2.6 $ 3.3 $ 7.5 $ 8.4 RSUs 1.7 2.4 7.1 6.8 Service options — — — 0.1 Total stock-based compensation expense $ 4.3 $ 5.7 $ 14.6 $ 15.3

Net Income from Continuing Op_2

Net Income from Continuing Operations Per Share (Tables)	9 Months Ended
	Sep. 30, 2019
Earnings Per Share, Basic and Diluted [Abstract]
Schedule of computation of net income from continuing operations per share	The following table sets forth the computation of net income from continuing operations per share (in millions except per share amounts) : Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Net income from continuing operations $ 34.4 $ 30.9 $ 77.1 $ 102.5 Weighted average common shares outstanding 131.2 134.5 132.5 134.5 Effect of dilutive stock options and restricted stock awards 1.2 1.1 1.3 1.2 Weighted average common shares outstanding and potential common shares 132.4 135.6 133.8 135.7 Net income from continuing operations per share Basic $ 0.26 $ 0.23 $ 0.58 $ 0.76 Diluted $ 0.26 $ 0.23 $ 0.58 $ 0.76

Finance Receivables and Oblig_2

Finance Receivables and Obligations Collateralized by Finance Receivables (Tables)	9 Months Ended
	Sep. 30, 2019
Financing Receivable, after Allowance for Credit Loss, Current [Abstract]
Schedule of quantitative information about delinquencies, credit losses less recoveries ("net credit losses") and components of securitized financial assets and other related assets managed	The following tables present quantitative information about delinquencies, credit losses less recoveries ("net credit losses") and components of securitized financial assets and other related assets managed. For purposes of this illustration, delinquent receivables are defined as receivables 31 days or more past due. September 30, 2019 Net Credit Losses Three Months Ended September 30, 2019 Net Credit Losses Nine Months Ended September 30, 2019 Total Amount of: (in millions) Receivables Receivables Delinquent Floorplan receivables $ 2,097.7 $ 15.6 $ 8.6 $ 24.8 Other loans 12.7 — — — Total receivables managed $ 2,110.4 $ 15.6 $ 8.6 $ 24.8 December 31, 2018 Net Credit Losses Three Months Ended September 30, 2018 Net Credit Losses Nine Months Ended September 30, 2018 Total Amount of: (in millions) Receivables Receivables Delinquent Floorplan receivables $ 2,001.9 $ 15.9 $ 7.1 $ 21.3 Other loans 12.9 — — — Total receivables managed $ 2,014.8 $ 15.9 $ 7.1 $ 21.3
Schedule of obligations collateralized by finance receivables	Obligations collateralized by finance receivables consisted of the following: September 30, December 31, Obligations collateralized by finance receivables, gross $ 1,443.2 $ 1,464.7 Unamortized securitization issuance costs (14.8 ) (19.4 ) Obligations collateralized by finance receivables $ 1,428.4 $ 1,445.3

Long-Term Debt (Tables)

Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2019
Long-term Debt, Unclassified [Abstract]
Schedule of long-term debt	Long-term debt consisted of the following (in millions) : Interest Rate* Maturity September 30, December 31, Term Loan B-4 Adjusted LIBOR + 2.25% March 11, 2021 $ — $ 704.4 Term Loan B-5 Adjusted LIBOR + 2.50% March 9, 2023 — 1,031.5 Term Loan B-6 Adjusted LIBOR + 2.25% September 19, 2026 950.0 — Revolving credit facility Adjusted LIBOR + 1.75% September 19, 2024 — — Senior notes 5.125% June 1, 2025 950.0 950.0 European lines of credit Euribor + 1.25% Repayable upon demand 17.5 — Canadian line of credit CAD Prime + 0.50% Repayable upon demand — — Total debt 1,917.5 2,685.9 Unamortized debt issuance costs/discounts (27.5 ) (18.5 ) Current portion of long-term debt (27.0 ) (13.1 ) Long-term debt $ 1,863.0 $ 2,654.3

Derivatives (Tables)

Derivatives (Tables)	9 Months Ended
	Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of the fair value of the entity's interest rate derivatives included in the consolidated balance sheet	The following table presents the fair value of our interest rate derivatives included in the consolidated balance sheets for the periods presented ( in millions ): Asset Derivatives September 30, 2019 December 31, 2018 Derivatives Not Designated as Hedging Instruments Balance Sheet Location Fair Value Balance Sheet Location Fair Value 2017 Interest rate caps Other assets $ — Other assets $ 5.2
Schedule of other derivatives not designated as hedging instruments, statements of financial performance	The following table presents the effect of the interest rate derivatives on our consolidated statements of income for the periods presented ( in millions ): Amount of Gain / (Loss) Recognized in Income on Derivatives Derivatives Not Designated Location of Gain / (Loss) Recognized Three Months Ended September 30, Nine Months Ended September 30, as Hedging Instruments in Income on Derivatives 2019 2018 2019 2018 2017 Interest rate caps Interest expense $ — $ 0.2 $ (0.9 ) $ 6.3

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Components of lease expense	The components of lease expense were as follows ( in millions ): Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost $ 15.9 $ 45.3 Finance lease cost: Amortization of right-of-use assets $ 3.4 $ 10.8 Interest on lease liabilities 0.3 1.0 Total finance lease cost $ 3.7 $ 11.8
Supplemental cash flow information related to leases	Supplemental cash flow information related to leases was as follows ( in millions ): Nine Months Ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows related to operating leases $ 44.3 Operating cash flows related to finance leases 1.0 Financing cash flows related to finance leases 20.5 Right-of-use assets obtained in exchange for lease obligations: Operating leases 80.4 Finance leases 13.7
Supplemental balance sheet information related to leases	Supplemental balance sheet information related to leases was as follows ( in millions, except lease term and discount rate ): September 30, 2019 Operating Leases Operating lease right-of-use assets $ 366.4 Other accrued expenses $ 33.7 Operating lease liabilities 361.1 Total operating lease liabilities $ 394.8 Finance Leases Property and equipment, gross $ 91.9 Accumulated depreciation (70.4 ) Property and equipment, net $ 21.5 Other accrued expenses $ 12.0 Other liabilities 14.6 Total finance lease liabilities $ 26.6 Weighted Average Remaining Lease Term Operating leases 11.0 years Finance leases 2.1 years Weighted Average Discount Rate Operating leases 6.1 % Finance leases 5.1 %
Maturities of lease liabilities	Maturities of lease liabilities as of September 30, 2019 were as follows ( in millions ): Operating Finance Leases 2019 (excluding the nine months ended September 30, 2019) $ 14.3 $ 13.2 2020 55.9 4.9 2021 52.9 8.6 2022 50.3 1.7 2023 48.2 0.1 Thereafter 328.1 — Total lease payments 549.7 28.5 Less imputed interest (154.9 ) (1.9 ) Total $ 394.8 $ 26.6

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2019
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of accumulated other comprehensive income (loss)	Accumulated other comprehensive loss consisted of the following ( in millions ): September 30, December 31, Foreign currency translation loss $ (45.2 ) $ (61.3 ) Accumulated other comprehensive loss $ (45.2 ) $ (61.3 )

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2019
Segment Reporting [Abstract]
Schedule of financial information regarding the entity's reportable segments	Financial information regarding our reportable segments is set forth below as of and for the three months ended September 30, 2019 (in millions) : ADESA AFC Holding Consolidated Operating revenues $ 613.6 $ 88.3 $ — $ 701.9 Operating expenses Cost of services (exclusive of depreciation and amortization) 386.2 24.7 — 410.9 Selling, general and administrative 121.7 5.9 31.3 158.9 Depreciation and amortization 37.2 2.6 6.6 46.4 Total operating expenses 545.1 33.2 37.9 616.2 Operating profit (loss) 68.5 55.1 (37.9 ) 85.7 Interest expense 1.1 15.7 21.1 37.9 Other (income) expense, net (1.3 ) (0.1 ) (0.6 ) (2.0 ) Loss on extinguishment of debt — — 2.2 2.2 Intercompany expense (income) 6.0 (1.3 ) (4.7 ) — Income (loss) from continuing operations before income taxes 62.7 40.8 (55.9 ) 47.6 Income taxes 16.3 10.1 (13.2 ) 13.2 Net income (loss) from continuing operations $ 46.4 $ 30.7 $ (42.7 ) $ 34.4 Total assets $ 3,713.9 $ 2,505.5 $ 360.3 $ 6,579.7 Financial information regarding our reportable segments is set forth below as of and for the three months ended September 30, 2018 (in millions) : ADESA Auctions AFC Holding Company Consolidated Operating revenues $ 527.0 $ 85.4 $ — $ 612.4 Operating expenses Cost of services (exclusive of depreciation and amortization) 307.8 22.9 — 330.7 Selling, general and administrative 111.8 8.1 34.8 154.7 Depreciation and amortization 31.9 2.3 7.2 41.4 Total operating expenses 451.5 33.3 42.0 526.8 Operating profit (loss) 75.5 52.1 (42.0 ) 85.6 Interest expense 0.5 15.0 33.5 49.0 Other (income) expense, net (1.9 ) (0.1 ) (1.0 ) (3.0 ) Intercompany expense (income) 6.9 (0.9 ) (6.0 ) — Income (loss) from continuing operations before income taxes 70.0 38.1 (68.5 ) 39.6 Income taxes 19.0 9.0 (19.3 ) 8.7 Net income (loss) from continuing operations $ 51.0 $ 29.1 $ (49.2 ) $ 30.9 Total assets $ 3,171.7 $ 2,395.5 $ 298.2 $ 5,865.4 Financial information regarding our reportable segments is set forth below as of and for the nine months ended September 30, 2019 (in millions) : ADESA AFC Holding Consolidated Operating revenues $ 1,845.7 $ 264.9 $ — $ 2,110.6 Operating expenses Cost of services (exclusive of depreciation and amortization) 1,149.8 72.4 — 1,222.2 Selling, general and administrative 370.2 19.5 107.6 497.3 Depreciation and amortization 110.2 7.6 20.8 138.6 Total operating expenses 1,630.2 99.5 128.4 1,858.1 Operating profit (loss) 215.5 165.4 (128.4 ) 252.5 Interest expense 2.8 49.0 98.2 150.0 Other (income) expense, net (4.5 ) (0.3 ) (0.4 ) (5.2 ) Loss on extinguishment of debt — — 2.2 2.2 Intercompany expense (income) 23.9 (4.1 ) (19.8 ) — Income (loss) from continuing operations before income taxes 193.3 120.8 (208.6 ) 105.5 Income taxes 54.0 32.2 (57.8 ) 28.4 Net income (loss) from continuing operations $ 139.3 $ 88.6 $ (150.8 ) $ 77.1 Financial information regarding our reportable segments is set forth below as of and for the nine months ended September 30, 2018 (in millions) : ADESA Auctions AFC Holding Company Consolidated Operating revenues $ 1,593.4 $ 255.6 $ — $ 1,849.0 Operating expenses Cost of services (exclusive of depreciation and amortization) 921.0 68.2 — 989.2 Selling, general and administrative 328.9 23.6 107.6 460.1 Depreciation and amortization 94.4 13.6 21.8 129.8 Total operating expenses 1,344.3 105.4 129.4 1,579.1 Operating profit (loss) 249.1 150.2 (129.4 ) 269.9 Interest expense 1.7 43.2 93.8 138.7 Other (income) expense, net (2.4 ) (0.1 ) (1.3 ) (3.8 ) Intercompany expense (income) 26.6 (2.1 ) (24.5 ) — Income (loss) from continuing operations before income taxes 223.2 109.2 (197.4 ) 135.0 Income taxes 58.0 26.7 (52.2 ) 32.5 Net income (loss) from continuing operations $ 165.2 $ 82.5 $ (145.2 ) $ 102.5
Schedule of information regarding the geographic areas of entity's operations	Information regarding the geographic areas of our operations is set forth below (in millions) : Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Operating revenues U.S. $ 565.6 $ 519.4 $ 1,726.4 $ 1,569.1 Foreign 136.3 93.0 384.2 279.9 $ 701.9 $ 612.4 $ 2,110.6 $ 1,849.0

Basis of Presentation and Nat_2

Basis of Presentation and Nature of Operations (Details) $ in Millions	9 Months Ended
	Sep. 30, 2019USD ($)locationnetworkprovider	Sep. 30, 2018USD ($)	Jan. 01, 2019USD ($)	Dec. 31, 2018USD ($)	May 31, 2017USD ($)
Basis of Presentation and Nature of Operations
Long-term debt	$ 1,917.5			$ 2,685.9
Total operating lease liabilities	394.8		$ 342
Operating lease right-of-use assets	366.4		$ 314	0
Cumulative effect adjustment for adoption of new accounting standard, net of tax	$ 1.1	$ (3)
ADESA Auctions
Basis of Presentation and Nature of Operations
Number of sites for whole car auctions | network	74
Ranking of largest providers of used vehicle auctions and related services | provider	2
AFC
Basis of Presentation and Nature of Operations
Number of floorplan financing locations | location	122
Term Loan B-6
Basis of Presentation and Nature of Operations
Long-term debt	$ 950			0
Senior secured revolving credit facility
Basis of Presentation and Nature of Operations
Long-term debt	$ 0
Senior notes
Basis of Presentation and Nature of Operations
Senior notes stated interest rate	5.125%				5.125%
Long-term debt	$ 950			950
2017 Revolving Credit Facility
Basis of Presentation and Nature of Operations
Long-term debt				$ 0
Credit Agreement | Term Loan B-6
Basis of Presentation and Nature of Operations
Long-term debt	950
Credit Agreement | Senior secured revolving credit facility
Basis of Presentation and Nature of Operations
Maximum borrowing capacity	$ 325
Credit Agreement | 2017 Revolving Credit Facility
Basis of Presentation and Nature of Operations
Maximum borrowing capacity					$ 350

Acquisitions (Details)

Acquisitions (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Acquisitions
Acquisition of businesses (net of cash acquired)	$ 120.7	$ 23.3
Goodwill	1,810.3		$ 1,676.9
Series of individually immaterial business acquisitions
Acquisitions
Purchase price for business acquired	169.2
Fair value of deferred payments	19.2
Fair value of estimated contingent payments	29.3
Maximum amount of undiscounted payments related to acquisitions	77
Purchase price for the acquired business allocated to intangible assets	32.7
Goodwill	138.4
Customer relationships | Series of individually immaterial business acquisitions
Acquisitions
Purchase price for the acquired business allocated to intangible assets	26.4
Computer software & technology | Series of individually immaterial business acquisitions
Acquisitions
Purchase price for the acquired business allocated to intangible assets	4.3
Tradenames | Series of individually immaterial business acquisitions
Acquisitions
Purchase price for the acquired business allocated to intangible assets	$ 2

IAA Separation and Discontinu_3

IAA Separation and Discontinued Operations (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Jun. 28, 2019	Dec. 31, 2018
Discontinued Operations
Cash distribution received from IAA	$ 1,278		$ 1,278
Professional fees associated with spin-off			31.3
Discontinued Operations - Results of Operations
Operating revenues	0	$ 321.1	723.6	$ 991.6
Cost of services (exclusive of depreciation and amortization)	0	202.4	446.1	610.2
Selling, general and administrative	0	31.3	94.5	96.1
Depreciation and amortization	0	24.3	43.9	73.1
Total operating expenses	0	258	584.5	779.4
Operating profit	0	63.1	139.1	212.2
Interest expense	0	0.1	2.7	0.5
Other income, net	0	0	0	(0.7)
Income from discontinued operations before income taxes	0	63	136.4	212.4
Income taxes	(0.9)	16.4	44.8	54.2
Income from discontinued operations	$ 0.9	$ 46.6	$ 91.6	$ 158.2
Discontinued Operations - Major Classes of Assets and Liabilities
Cash and cash equivalents					$ 50.9	$ 60
Trade receivables, net					284.7	311
Other current assets					83.6	82.5
Goodwill					536.8	536.8
Customer relationships, net					62.2	74.8
Other intangible assets, net					87.5	86.2
Operating lease right-of-use assets					655.2	0
Other assets					13.3	10.3
Property and equipment, net					241.4	345.2
Total assets, discontinued operations					2,015.6	1,506.8
Accounts payable					115.8	129
Accrued employee benefits and compensation expenses					19	29.6
Other accrued expenses					120.9	53.6
Income taxes payable					0	2.2
Long-term debt					1,274.8	0
Deferred income tax liabilities					63.7	63.1
Operating lease liabilities					633	0
Other liabilities					12	202.9
Total liabilities, discontinued operations					$ 2,239.2	$ 480.4

Stock and Stock-Based Compens_3

Stock and Stock-Based Compensation Summary (Details) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)installment$ / sharesshares	Sep. 30, 2018USD ($)
Stock and Stock-Based Compensation Plans
Stock-based compensation expense (in dollars)	$ 4.3	$ 5.7	$ 14.6	$ 15.3
Incremental compensation expense			0
PRSUs
Stock and Stock-Based Compensation Plans
Stock-based compensation expense (in dollars)	2.6	3.3	7.5	8.4
RSUs
Stock and Stock-Based Compensation Plans
Stock-based compensation expense (in dollars)	1.7	2.4	7.1	6.8
Service options
Stock and Stock-Based Compensation Plans
Stock-based compensation expense (in dollars)	$ 0	$ 0	$ 0	$ 0.1
KAR Auction Services, Inc. 2009 Omnibus Stock and Incentive Plan | RSUs
Stock and Stock-Based Compensation Plans
PRSUs and/or RSUs grants | shares			0.3
Number of equal annual installments | installment			3
Weighted average grant date fair value of the PRSUs/RSUs | $ / shares			$ 47.37
KAR Auction Services, Inc. 2009 Omnibus Stock and Incentive Plan | PRSUs - Operating Adjusted EPS
Stock and Stock-Based Compensation Plans
PRSUs and/or RSUs grants | shares			0.3
Weighted average grant date fair value of the PRSUs/RSUs | $ / shares			$ 47.09

Share Repurchase Plan (Details)

Share Repurchase Plan (Details) - USD ($) $ / shares in Units, $ in Millions	Oct. 26, 2016	Sep. 30, 2019	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Stock and Stock-Based Compensation Plans
Common stock, par value (in dollars per share)		$ 0.01	$ 0.01		$ 0.01
Stock repurchased and retired		$ 119.7	$ 119.7	$ 50
October 2016 Share Repurchase Authorization
Stock and Stock-Based Compensation Plans
Stock repurchase program, authorized amount	$ 500
Stock repurchase program expiration date	Oct. 26, 2019
Stock repurchased and retired		$ 119.7
Stock repurchased and retired during period (in shares)		4,753,300			2,695,978
Stock repurchased and retired weighted average price per share		$ 25.18			$ 55.64

Net Income from Continuing Op_3

Net Income from Continuing Operations Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Earnings Per Share, Basic and Diluted [Abstract]
Net income from continuing operations	$ 34.4	$ 30.9	$ 77.1	$ 102.5
Shares outstanding
Weighted average common shares outstanding	131.2	134.5	132.5	134.5
Effect of dilutive stock options and restricted stock awards	1.2	1.1	1.3	1.2
Weighted average common shares outstanding and potential common shares	132.4	135.6	133.8	135.7
Net income from continuing operations per share
Basic	$ 0.26	$ 0.23	$ 0.58	$ 0.76
Diluted	$ 0.26	$ 0.23	$ 0.58	$ 0.76
Options excluded from calculation of diluted net income per share	0	0	0	0
Securities excluded from calculation of earnings per share amount due to performance conditions not yet satisfied	0.3	0.6	0.3	0.6
Stock options outstanding (in shares)	0.8	1.1	0.8	1.1

Finance Receivables and Oblig_3

Finance Receivables and Obligations Collateralized by Finance Receivables (Details) $ in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2019CAD ($)	Dec. 31, 2018USD ($)
Finance Receivables and Obligations Collateralized by Finance Receivables
Receivables	$ 2,110.4		$ 2,110.4			$ 2,014.8
Receivables Delinquent	15.6		15.6			15.9
Net Credit Losses	8.6	$ 7.1	24.8	$ 21.3
Allowance for losses	14.8		14.8			14
Finance receivables pledged as security	2,064.6		2,064.6			1,973.2
Obligations collateralized by finance receivables, gross	1,443.2		1,443.2			1,464.7
Obligations collateralized by finance receivables	1,428.4		$ 1,428.4			1,445.3
Minimum
Finance Receivables and Obligations Collateralized by Finance Receivables
Period to define financing receivables as past due (in days)			31 days
Floorplan receivables
Finance Receivables and Obligations Collateralized by Finance Receivables
Receivables	2,097.7		$ 2,097.7			2,001.9
Receivables Delinquent	15.6		15.6			15.9
Net Credit Losses	8.6	7.1	24.8	21.3
Other Loans
Finance Receivables and Obligations Collateralized by Finance Receivables
Receivables	12.7		12.7			12.9
Receivables Delinquent	0		0			0
Net Credit Losses	0	$ 0	0	$ 0
AFC
Finance Receivables and Obligations Collateralized by Finance Receivables
Allowance for losses	14.8		14.8			14
Unamortized securitization issuance costs	(14.8)		$ (14.8)			$ (19.4)
AFC | Minimum
Finance Receivables and Obligations Collateralized by Finance Receivables
Period to define financing receivables as past due (in days)			31 days
AFC Funding Corporation
Finance Receivables and Obligations Collateralized by Finance Receivables
Committed liquidity	$ 1,700		$ 1,700
Cash reserve as security for obligations of collateralized financing receivables (as a percent)			1.00%
AFCI
Finance Receivables and Obligations Collateralized by Finance Receivables
Committed liquidity					$ 175
Cash reserve as security for obligations of collateralized financing receivables (as a percent)			1.00%

Long-Term Debt Summary (Details

Long-Term Debt Summary (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2019	Dec. 31, 2018	May 31, 2017
Long-Term Debt
Total debt	$ 1,917.5	$ 2,685.9
Unamortized debt issuance costs/discounts	(27.5)	(18.5)
Current portion of long-term debt	(27)	(13.1)
Long-term debt	1,863	2,654.3
Term Loan B-4
Long-Term Debt
Total debt	$ 0	704.4
Term Loan B-4 | Adjusted LIBOR
Long-Term Debt
Variable rate basis	Adjusted LIBOR
Interest rate basis (as a percent)	2.25%
Term Loan B-5
Long-Term Debt
Total debt	$ 0	1,031.5
Term Loan B-5 | Adjusted LIBOR
Long-Term Debt
Variable rate basis	Adjusted LIBOR
Interest rate basis (as a percent)	2.50%
Term Loan B-6
Long-Term Debt
Total debt	$ 950	0
Term Loan B-6 | Adjusted LIBOR
Long-Term Debt
Variable rate basis	Adjusted LIBOR
Interest rate basis (as a percent)	2.25%
Revolving credit facility
Long-Term Debt
Total debt	$ 0
Revolving credit facility | Adjusted LIBOR
Long-Term Debt
Variable rate basis	Adjusted LIBOR
Interest rate basis (as a percent)	1.75%
2017 Revolving Credit Facility
Long-Term Debt
Total debt		0
Senior notes
Long-Term Debt
Senior notes stated interest rate	5.125%		5.125%
Total debt	$ 950	950
European lines of credit | Foreign lines of credit
Long-Term Debt
Total debt	$ 17.5	0
European lines of credit | Foreign lines of credit | Euribor rate
Long-Term Debt
Variable rate basis	Euribor
Interest rate basis (as a percent)	1.25%
Canadian line of credit | Foreign lines of credit
Long-Term Debt
Total debt	$ 0	$ 0
Canadian line of credit | Foreign lines of credit | CAD Prime
Long-Term Debt
Variable rate basis	CAD Prime
Interest rate basis (as a percent)	0.50%

Credit Facilities (Details)

Credit Facilities (Details) € in Millions, $ in Millions	Sep. 19, 2019	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)item	Sep. 30, 2018USD ($)	Sep. 30, 2019EUR (€)	Dec. 31, 2018USD ($)	May 31, 2017USD ($)
Long-Term Debt
Long-term debt		$ 1,917.5		$ 1,917.5			$ 2,685.9
Repayments of long-term debt				1,746.6	$ 8
Acceleration of amortization on debt issuance costs				1.8
Early termination penalty				0
Loss on extinguishment of debt		2.2	$ 0	2.2	0
Payments of debt issuance costs/amendments				$ 13.7	$ 0
Percentage of equity interests of certain of the company's and the Subsidiary Guarantors' domestic subsidiaries pledged under the Credit Facility				100.00%
Percentage of equity interests of certain of the company's and the Subsidiary Guarantors' first-tier foreign subsidiaries pledged under the Credit Facility				65.00%
Estimated fair value of long-term debt		1,954.4		$ 1,954.4
Maximum
Long-Term Debt
Credit Facility Consolidated Senior Secured Net Leverage Ratio Maximum | item				3.5
Term Loan B-4
Long-Term Debt
Long-term debt		0		$ 0			704.4
Term Loan B-4 | Adjusted LIBOR
Long-Term Debt
Variable rate basis				Adjusted LIBOR
Interest rate basis (as a percent)				2.25%
Term Loan B-5
Long-Term Debt
Long-term debt		0		$ 0			1,031.5
Term Loan B-5 | Adjusted LIBOR
Long-Term Debt
Variable rate basis				Adjusted LIBOR
Interest rate basis (as a percent)				2.50%
Revolving credit facility
Long-Term Debt
Long-term debt		0		$ 0
Revolving credit facility | Adjusted LIBOR
Long-Term Debt
Variable rate basis				Adjusted LIBOR
Interest rate basis (as a percent)				1.75%
Letters of credit
Long-Term Debt
Maximum borrowing capacity		50		$ 50
Outstanding letters of credit		27.7		27.7			32.9
Swing Line Loan
Long-Term Debt
Maximum borrowing capacity		60		60
Term Loan B-6
Long-Term Debt
Long-term debt		950		$ 950			0
Term Loan B-6 | Adjusted LIBOR
Long-Term Debt
Variable rate basis				Adjusted LIBOR
Interest rate basis (as a percent)				2.25%
2017 Revolving Credit Facility
Long-Term Debt
Long-term debt							0
Amount borrowed							0
Credit Agreement
Long-Term Debt
Payments of debt issuance costs/amendments				$ 13.7
Credit Agreement | Term Loan B-4
Long-Term Debt
Repayments of long-term debt				518.6
Credit Agreement | Term Loan B-5
Long-Term Debt
Repayments of long-term debt				759.4
Credit Agreement | Revolving credit facility
Long-Term Debt
Maximum borrowing capacity		325		$ 325
Frequency of commitment fee payment				quarterly
Amount borrowed		0		$ 0
Term of debt instrument	5 years
Credit Agreement | Revolving credit facility | Maximum
Long-Term Debt
Commitment fee on the unused amount of the revolving Credit Facility (as a percent) - Minimum				0.35%
Credit Agreement | Revolving credit facility | Minimum
Long-Term Debt
Commitment fee on the unused amount of the revolving Credit Facility (as a percent) - Minimum				0.25%
Credit Agreement | Revolving credit facility | Adjusted LIBOR | Maximum
Long-Term Debt
Interest rate basis (as a percent)				2.25%
Credit Agreement | Revolving credit facility | Adjusted LIBOR | Minimum
Long-Term Debt
Interest rate basis (as a percent)				1.75%
Credit Agreement | Revolving credit facility | Base rate
Long-Term Debt
Variable rate basis				Base Rate
Credit Agreement | Revolving credit facility | Base rate | Maximum
Long-Term Debt
Interest rate basis (as a percent)				1.25%
Credit Agreement | Revolving credit facility | Base rate | Minimum
Long-Term Debt
Interest rate basis (as a percent)				0.75%
Credit Agreement | Term Loan B-6
Long-Term Debt
Long-term debt		950		$ 950
Unamortized discount at issuance		$ 2.4		$ 2.4
Periodic payment as percentage of original principal amount outstanding				0.25%
Interest rate of loan (as a percent)		4.31%		4.31%		4.31%
Term of debt instrument	7 years
Credit Agreement | Term Loan B-6 | Adjusted LIBOR
Long-Term Debt
Interest rate basis (as a percent)				2.25%
Credit Agreement | Term Loan B-6 | Base rate
Long-Term Debt
Variable rate basis				Base Rate
Interest rate basis (as a percent)				1.25%
Credit Agreement | 2017 Revolving Credit Facility
Long-Term Debt
Maximum borrowing capacity								$ 350
European lines of credit | Foreign lines of credit
Long-Term Debt
Long-term debt		$ 17.5		$ 17.5			$ 0
Maximum borrowing capacity		$ 32.7		$ 32.7		€ 30
European lines of credit | Foreign lines of credit | Euribor rate
Long-Term Debt
Variable rate basis				Euribor
Interest rate basis (as a percent)				1.25%
CarsOnTheWeb
Long-Term Debt
Repayment of assumed debt				$ 10.7

Derivatives (Details)

Derivatives (Details) $ in Millions	Aug. 16, 2017USD ($)agreement	Apr. 06, 2017USD ($)	Mar. 31, 2017USD ($)agreement	Sep. 30, 2019USD ($)	Dec. 31, 2018USD ($)
August 2017 interest rate cap
Fair value of the entity's interest rate derivatives included in the consolidated balance sheet
Number of derivative agreements purchased | agreement	2
Aggregate notional amount	$ 800
Aggregate amount paid for interest rate caps	$ 1
Variable rate basis				three-month LIBOR
August 2017 interest rate cap | Minimum
Fair value of the entity's interest rate derivatives included in the consolidated balance sheet
Floor rate (as a percent)				2.00%
March 2017 interest rate cap
Fair value of the entity's interest rate derivatives included in the consolidated balance sheet
Number of derivative agreements purchased | agreement			2
Aggregate notional amount			$ 400
Aggregate amount paid for interest rate caps		$ 0.7
Variable rate basis				three-month LIBOR
March 2017 interest rate cap | Minimum
Fair value of the entity's interest rate derivatives included in the consolidated balance sheet
Floor rate (as a percent)				2.00%
Other Assets | Not designated as hedging instrument | March and August 2017 interest rate caps
Fair value of the entity's interest rate derivatives included in the consolidated balance sheet
Asset derivatives, fair value				$ 0	$ 5.2

Derivatives (Details 2)

Derivatives (Details 2) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Interest Expense | March and August 2017 interest rate caps | Not designated as hedging instrument
Effect of the interest rate derivatives on the entity's statement of equity and consolidated statement of income
Amount of gain/(loss) recognized in income on derivative	$ 0	$ 0.2	$ (0.9)	$ 6.3

Leases Components of Lease Expe

Leases Components of Lease Expense (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2019
Components of lease expense
Operating lease cost	$ 15.9	$ 45.3
Finance lease cost
Amortization of right-of-use assets	3.4	10.8
Interest on lease liabilities	0.3	1
Total finance lease cost	$ 3.7	$ 11.8

Leases Supplemental Cash Flow I

Leases Supplemental Cash Flow Information Related to Leases (Details) $ in Millions	9 Months Ended
	Sep. 30, 2019USD ($)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows related to operating leases	$ 44.3
Operating cash flows related to finance leases	1
Financing cash flows related to finance leases	20.5
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	80.4
Finance leases	$ 13.7

Leases Supplemental Balance She

Leases Supplemental Balance Sheet Information Related to Leases (Details) - USD ($) $ in Millions	Sep. 30, 2019	Jan. 01, 2019	Dec. 31, 2018
Schedule of supplemental balance sheet information related to leases
Operating lease right-of-use assets	$ 366.4	$ 314	$ 0
Other accrued expenses	211.6		132.8
Operating lease liabilities	361.1		0
Total operating lease liabilities	394.8	$ 342
Accumulated depreciation	(517.1)		(467.5)
Property and equipment, net	603.1		631
Other liabilities	73.2		$ 71.6
Total finance lease liabilities	$ 26.6
Weighted average remaining lease term for operating leases	11 years
Weighted average remaining lease term for finance leases	2 years 1 month 6 days
Weighted average discount rate for operating leases	6.10%
Weighted average discount rate for finance leases	5.10%
Operating lease
Schedule of supplemental balance sheet information related to leases
Operating lease right-of-use assets	$ 366.4
Other accrued expenses	33.7
Operating lease liabilities	361.1
Total operating lease liabilities	394.8
Finance lease
Schedule of supplemental balance sheet information related to leases
Other accrued expenses	12
Property and equipment, gross	91.9
Accumulated depreciation	(70.4)
Property and equipment, net	21.5
Other liabilities	14.6
Total finance lease liabilities	$ 26.6

Leases Maturities of Lease Liab

Leases Maturities of Lease Liabilities (Details) - USD ($) $ in Millions	Sep. 30, 2019	Jan. 01, 2019
Operating Leases
2019 (excluding the nine months ended September 30, 2019)	$ 14.3
2020	55.9
2021	52.9
2022	50.3
2023	48.2
Thereafter	328.1
Total lease payments	549.7
Less imputed interest	(154.9)
Total operating lease liabilities	394.8	$ 342
Finance Leases
2019 (excluding the nine months ended September 30, 2019)	13.2
2020	4.9
2021	8.6
2022	1.7
2023	0.1
Thereafter	0
Total lease payments	28.5
Less imputed interest	(1.9)
Total finance lease liabilities	$ 26.6

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Millions	9 Months Ended
	Sep. 30, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
Significant change in legal and regulatory proceedings	$ 0

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	Sep. 30, 2019	Dec. 31, 2018
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Foreign currency translation loss	$ (45.2)	$ (61.3)
Accumulated other comprehensive loss	$ (45.2)	$ (61.3)

Segment Information (Details 1)

Segment Information (Details 1) $ in Millions	3 Months Ended		6 Months Ended	9 Months Ended
	Sep. 30, 2019USD ($)segment	Sep. 30, 2018USD ($)	Jun. 30, 2019segment	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Dec. 31, 2018USD ($)
Segment Reporting [Abstract]
Number of operating segments | segment			3
Number of reportable segments | segment	2
Segment Information
ADESA Auction Services	$ 613.6	$ 527		$ 1,845.7	$ 1,593.4
AFC	88.3	85.4		264.9	255.6
Operating revenues	701.9	612.4		2,110.6	1,849
Operating expenses
Cost of services (exclusive of depreciation and amortization)	410.9	330.7		1,222.2	989.2
Selling, general and administrative	158.9	154.7		497.3	460.1
Depreciation and amortization	46.4	41.4		138.6	129.8
Total operating expenses	616.2	526.8		1,858.1	1,579.1
Operating profit (loss)	85.7	85.6		252.5	269.9
Interest expense	37.9	49		150	138.7
Other (income) expense, net	(2)	(3)		(5.2)	(3.8)
Loss on extinguishment of debt	2.2	0		2.2	0
Intercompany expense (income)	0	0		0	0
Income (loss) from continuing operations before income taxes	47.6	39.6		105.5	135
Income taxes	13.2	8.7		28.4	32.5
Net income (loss) from continuing operations	34.4	30.9		77.1	102.5
Total assets	6,579.7	5,865.4		6,579.7	5,865.4	$ 7,206.2
Operating Segments | ADESA Auctions
Segment Information
ADESA Auction Services	613.6	527		1,845.7	1,593.4
Operating expenses
Cost of services (exclusive of depreciation and amortization)	386.2	307.8		1,149.8	921
Selling, general and administrative	121.7	111.8		370.2	328.9
Depreciation and amortization	37.2	31.9		110.2	94.4
Total operating expenses	545.1	451.5		1,630.2	1,344.3
Operating profit (loss)	68.5	75.5		215.5	249.1
Interest expense	1.1	0.5		2.8	1.7
Other (income) expense, net	(1.3)	(1.9)		(4.5)	(2.4)
Loss on extinguishment of debt	0			0
Intercompany expense (income)	6	6.9		23.9	26.6
Income (loss) from continuing operations before income taxes	62.7	70		193.3	223.2
Income taxes	16.3	19		54	58
Net income (loss) from continuing operations	46.4	51		139.3	165.2
Total assets	3,713.9	3,171.7		3,713.9	3,171.7
Operating Segments | AFC
Segment Information
AFC	88.3	85.4		264.9	255.6
Operating expenses
Cost of services (exclusive of depreciation and amortization)	24.7	22.9		72.4	68.2
Selling, general and administrative	5.9	8.1		19.5	23.6
Depreciation and amortization	2.6	2.3		7.6	13.6
Total operating expenses	33.2	33.3		99.5	105.4
Operating profit (loss)	55.1	52.1		165.4	150.2
Interest expense	15.7	15		49	43.2
Other (income) expense, net	(0.1)	(0.1)		(0.3)	(0.1)
Loss on extinguishment of debt	0			0
Intercompany expense (income)	(1.3)	(0.9)		(4.1)	(2.1)
Income (loss) from continuing operations before income taxes	40.8	38.1		120.8	109.2
Income taxes	10.1	9		32.2	26.7
Net income (loss) from continuing operations	30.7	29.1		88.6	82.5
Total assets	2,505.5	2,395.5		2,505.5	2,395.5
Holding Company
Segment Information
Operating revenues	0	0		0	0
Operating expenses
Cost of services (exclusive of depreciation and amortization)	0	0		0	0
Selling, general and administrative	31.3	34.8		107.6	107.6
Depreciation and amortization	6.6	7.2		20.8	21.8
Total operating expenses	37.9	42		128.4	129.4
Operating profit (loss)	(37.9)	(42)		(128.4)	(129.4)
Interest expense	21.1	33.5		98.2	93.8
Other (income) expense, net	(0.6)	(1)		(0.4)	(1.3)
Loss on extinguishment of debt	2.2			2.2
Intercompany expense (income)	(4.7)	(6)		(19.8)	(24.5)
Income (loss) from continuing operations before income taxes	(55.9)	(68.5)		(208.6)	(197.4)
Income taxes	(13.2)	(19.3)		(57.8)	(52.2)
Net income (loss) from continuing operations	(42.7)	(49.2)		(150.8)	(145.2)
Total assets	$ 360.3	$ 298.2		$ 360.3	$ 298.2

Segment Information (Details 2)

Segment Information (Details 2) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Geographic Information
Operating revenues	$ 701.9	$ 612.4	$ 2,110.6	$ 1,849
U.S.
Geographic Information
Operating revenues	565.6	519.4	1,726.4	1,569.1
Foreign
Geographic Information
Operating revenues	$ 136.3	$ 93	$ 384.2	$ 279.9
Percent of foreign revenue from Canada	60.00%	97.00%	64.00%	97.00%

Subsequent Event (Details)

Subsequent Event (Details) - USD ($) $ / shares in Units, $ in Millions	Oct. 30, 2019	Sep. 30, 2019	Dec. 31, 2018
Subsequent Event
Common stock, par value (in dollars per share)		$ 0.01	$ 0.01
October 2019 Share Repurchase Authorization | Subsequent Event
Subsequent Event
Stock repurchase program, authorized amount	$ 300
Stock repurchase program expiration date	Oct. 30, 2021