Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | May 02, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | STEEL PARTNERS HOLDINGS L.P. | |
Entity Central Index Key | 1,452,857 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 26,164,143 |
Consolidated Balance Sheets (un
Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 322,833 | $ 418,755 |
Restricted cash | 13,092 | 15,629 |
Marketable securities | 15,120 | 58,313 |
Trade and other receivables - net of allowance for doubtful accounts of $2,655 and $3,633, respectively | 216,288 | 188,487 |
Receivables from related parties | 802 | 355 |
Loans receivable, including loans held for sale of $148,729 and $136,773, respectively, net | 204,261 | 182,242 |
Inventories, net | 160,473 | 142,635 |
Prepaid expenses and other current assets | 29,436 | 19,597 |
Assets held for sale | 0 | 2,549 |
Total current assets | 962,305 | 1,028,562 |
Long-term loans receivable, net | 106,208 | 87,826 |
Goodwill | 182,810 | 170,115 |
Other intangible assets, net | 213,481 | 199,317 |
Deferred tax assets | 110,923 | 109,011 |
Other non-current assets | 67,383 | 61,074 |
Property, plant and equipment, net | 302,622 | 271,991 |
Long-term investments | 274,769 | 236,144 |
Total Assets | 2,220,501 | 2,164,040 |
Current liabilities: | ||
Accounts payable | 123,699 | 105,221 |
Accrued liabilities | 70,191 | 74,118 |
Financial instruments | 13,092 | 15,629 |
Deposits | 303,690 | 305,207 |
Deposits | 1,726 | 1,563 |
Short-term debt | 2,602 | 1,624 |
Current portion of long-term debt | 828 | 459 |
Other current liabilities | 11,906 | 10,602 |
Liabilities of discontinued operations | 450 | 450 |
Total current liabilities | 528,184 | 514,873 |
Long-term deposits | 200,441 | 205,793 |
Long-term debt | 470,739 | 412,584 |
Preferred unit liability | 173,121 | 176,512 |
Accrued pension liabilities | 265,123 | 268,233 |
Deferred tax liabilities | 3,482 | 3,007 |
Other non-current liabilities | 20,836 | 16,002 |
Total Liabilities | 1,661,926 | 1,597,004 |
Commitments and Contingencies | ||
Capital: | ||
Partners' capital common units: 26,164,143 and 26,348,420 issued and outstanding (after deducting 11,052,644 and 10,868,367 units held in treasury, at cost of $174,453 and $170,858), respectively | 730,832 | 652,270 |
Accumulated other comprehensive loss | (193,977) | (106,167) |
Total Partners' Capital | 536,855 | 546,103 |
Noncontrolling interests in consolidated entities | 21,720 | 20,933 |
Total Capital | 558,575 | 567,036 |
Total Liabilities and Capital | $ 2,220,501 | $ 2,164,040 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 2,655 | $ 3,633 |
Loans held for sale | $ 148,729 | $ 136,773 |
Common units issued (in shares) | 26,164,143 | 26,348,420 |
Common units outstanding (in shares) | 26,164,143 | 26,348,420 |
Common units held in treasury (in shares) | 11,052,644 | 10,868,367 |
Common units held in treasury, at cost | $ 174,453 | $ 170,858 |
Consolidated Statements of Oper
Consolidated Statements of Operations (unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue: | ||
Diversified industrial net sales | $ 307,618 | $ 280,214 |
Energy net revenue | 36,592 | 27,316 |
Financial services revenue | 22,035 | 15,789 |
Total revenue | 366,245 | 323,319 |
Costs and expenses: | ||
Cost of goods sold | 261,861 | 228,613 |
Selling, general and administrative expenses | 88,382 | 90,522 |
Finance interest expense | 1,778 | 881 |
Provision for loan losses | 2,818 | 123 |
Interest expense | 8,109 | 4,406 |
Realized and unrealized losses on securities, net | 13,789 | 215 |
Other (income) expenses, net | (1,016) | 1,113 |
Total costs and expenses | 375,721 | 325,873 |
Loss before income taxes and equity method investments | (9,476) | (2,554) |
Income tax provision | 1,330 | 6,846 |
Income of associated companies, net of taxes | (1,955) | (6,302) |
Net loss | (8,851) | (3,098) |
Net income attributable to noncontrolling interests in consolidated entities | (227) | (984) |
Net loss attributable to common unitholders | $ (9,078) | $ (4,082) |
Net loss per common unit - basic and diluted | ||
Net income attributable to common unitholders (in dollars per share) | $ (0.35) | $ (0.16) |
Weighted-average number of common units outstanding - basic (in shares) | 26,264,101 | 26,145,711 |
Weighted-average number of common units outstanding - diluted (in shares) | 26,264,101 | 26,145,711 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Statement of Comprehensive Income [Abstract] | |||
Net loss | $ (8,851) | $ (3,098) | |
Other comprehensive (loss) income, net of tax: | |||
Gross unrealized gains on securities | [1] | 0 | 17,696 |
Reclassification of unrealized (gains) losses on securities | [1],[2] | 0 | 135 |
Gross unrealized gains on derivative financial instruments | 185 | 307 | |
Currency translation adjustments | 3,304 | 1,227 | |
Other comprehensive income | 3,489 | 19,365 | |
Comprehensive (loss) income | (5,362) | 16,267 | |
Comprehensive income attributable to noncontrolling interests | (448) | (2,064) | |
Comprehensive (loss) income attributable to common unitholders | (5,810) | 14,203 | |
Tax provision on gross unrealized gains on securities and derivative financial instruments | 32 | 3,384 | |
Tax provision on reclassification of unrealized losses on securities | 0 | 80 | |
Tax provision on currency translation adjustments | $ 36 | $ 8 | |
[1] | Effective January 1, 2018 upon adoption of ASU 2016-01, unrealized gains or losses on equity securities are no longer recorded in Other comprehensive income, but are instead recorded in Realized and unrealized losses on securities, net in the consolidated statement of operations. | ||
[2] | For the three months ended March 31, 2017, unrealized losses of $215 were reclassified to Realized and unrealized losses on securities, net, due to the sale of the related investments. |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Parentheticals) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017USD ($) | ||
Reclassification of unrealized (gains) and losses, net of tax | $ 135 | [1],[2] |
Other (income) expense | ||
Reclassification of unrealized (gains) and losses, net of tax | $ (215) | |
[1] | Effective January 1, 2018 upon adoption of ASU 2016-01, unrealized gains or losses on equity securities are no longer recorded in Other comprehensive income, but are instead recorded in Realized and unrealized losses on securities, net in the consolidated statement of operations. | |
[2] | For the three months ended March 31, 2017, unrealized losses of $215 were reclassified to Realized and unrealized losses on securities, net, due to the sale of the related investments. |
Consolidated Statement of Chang
Consolidated Statement of Changes in Capital (unaudited) - USD ($) $ in Thousands | Jan. 01, 2018 | Mar. 31, 2018 | |
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year (in shares) | 26,348,420 | 26,348,420 | |
Balance at beginning of year | $ 567,036 | $ 567,036 | |
Net loss | (8,851) | ||
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities(a) | [1] | 0 | |
Cumulative effect of adopting ASC 606 relating to revenue recognition(b) | [2] | 1,034 | |
Unrealized gains on derivative financial instruments | 185 | ||
Currency translation adjustments | 3,304 | ||
Equity compensation - incentive units and vesting of restricted units | 149 | ||
Purchases of SPLP common units | (3,595) | ||
Purchases of subsidiary shares from noncontrolling interests | (401) | ||
Other, net | $ (286) | ||
Balance at end of period (in shares) | 26,164,143 | ||
Balance at end of year | $ 558,575 | ||
Total Partners' Capital | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year | $ 546,103 | 546,103 | |
Net loss | (9,078) | ||
Cumulative effect of adopting ASC 606 relating to revenue recognition(b) | [2] | 1,034 | |
Unrealized gains on derivative financial instruments | 170 | ||
Currency translation adjustments | 3,098 | ||
Equity compensation - incentive units and vesting of restricted units | 149 | ||
Purchases of SPLP common units | (3,595) | ||
Purchases of subsidiary shares from noncontrolling interests | (740) | ||
Other, net | (286) | ||
Balance at end of year | $ 536,855 | ||
Common Units | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year (in shares) | 37,216,787 | 37,216,787 | |
Balance at end of period (in shares) | 37,216,787 | ||
Treasury Units | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year (in shares) | 10,868,367 | 10,868,367 | |
Balance at beginning of year | $ (170,858) | $ (170,858) | |
Purchases of SPLP common units (in shares) | (184,277) | ||
Purchases of SPLP common units | $ (3,595) | ||
Balance at end of period (in shares) | 11,052,644 | ||
Balance at end of year | $ (174,453) | ||
Partners' Capital | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year | 652,270 | 652,270 | |
Net loss | (9,078) | ||
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities(a) | [1] | 91,078 | |
Cumulative effect of adopting ASC 606 relating to revenue recognition(b) | [2] | 1,034 | |
Equity compensation - incentive units and vesting of restricted units | 149 | ||
Purchases of SPLP common units | (3,595) | ||
Purchases of subsidiary shares from noncontrolling interests | (740) | ||
Other, net | (286) | ||
Balance at end of year | 730,832 | ||
Accumulated Other Comprehensive Income (Loss) | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year | (106,167) | (106,167) | |
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities(a) | [1] | (91,078) | |
Unrealized gains on derivative financial instruments | 170 | ||
Currency translation adjustments | 3,098 | ||
Balance at end of year | (193,977) | ||
Non-controlling interests in Consolidated Entities | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Balance at beginning of year | 20,933 | 20,933 | |
Net loss | 227 | ||
Currency translation adjustments | 206 | ||
Purchases of subsidiary shares from noncontrolling interests | 339 | ||
Balance at end of year | $ 21,720 | ||
Accounting Standards Update 2014-09 | Total Partners' Capital | |||
Increase (Decrease) in Partners' Capital [Roll Forward] | |||
Increase partners' capital | $ 1,034 | ||
[1] | Effective January 1, 2018 upon adoption of ASU 2016-01, a cumulative effect reclassification adjustment was made to remove the net unrealized gains and losses on equity securities from Accumulated other comprehensive loss and reclassify them to Partners' capital. | ||
[2] | Effective January 1, 2018, the Company adopted ASC 606 for all contracts with customers using the modified retrospective transition method. The Company recognized a net increase of $1,034 to Partners' capital due to the cumulative impact of adopting ASC 606. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (8,851) | $ (3,098) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Provision for loan losses | 2,818 | 123 |
Income of associated companies, net of taxes | (1,955) | (6,302) |
Losses on securities, net | 13,789 | 215 |
Deferred income taxes | (618) | (1,118) |
Depreciation and amortization | 18,702 | 18,280 |
Equity-based compensation | 149 | 6,327 |
Other | 1,996 | 1,937 |
Net change in operating assets and liabilities: | ||
Trade and other receivables | (21,308) | (24,559) |
Inventories | (9,005) | (10,358) |
Prepaid expenses and other assets | (5,913) | (3,040) |
Accounts payable, accrued and other current liabilities | 1,477 | (4,937) |
Net increase in loans held for sale | (11,956) | (24,799) |
Net cash used in operating activities | (20,675) | (51,329) |
Cash flows from investing activities: | ||
Purchases of investments | (57,706) | (10,139) |
Proceeds from sales of investments | 33,718 | 1,458 |
Proceeds from maturities of marketable securities | 8,146 | 3,428 |
Loan originations, net of collections | (31,261) | (6,488) |
Purchases of property, plant and equipment | (12,010) | (8,899) |
Proceeds from sales of assets | 2,960 | 14,483 |
Acquisitions, net of cash acquired | (62,120) | 2,246 |
Proceeds from divestitures | 0 | 1,975 |
Other | (134) | (289) |
Net cash used in investing activities | (118,407) | (2,225) |
Cash flows from financing activities: | ||
Net revolver borrowings | 56,510 | 5,773 |
Net repayments of term loans – domestic | (115) | (248) |
Net borrowings (repayments) of term loans – foreign | 85 | (1,090) |
Proceeds from equipment lease financing | 0 | 5,377 |
Purchases of the Company's common units | (3,595) | (1,306) |
Purchase of subsidiary shares from noncontrolling interests | (4,360) | (2,086) |
Common unit dividend payment | 0 | (3,923) |
Deferred finance charges | (430) | 0 |
Net decrease in deposits | (6,869) | (14,900) |
Other | (1,198) | (1,484) |
Net cash provided by (used in) financing activities | 40,028 | (13,887) |
Net change for the period | (99,054) | (67,441) |
Effect of exchange rate changes on cash and cash equivalents | 595 | 525 |
Cash, cash equivalents and restricted cash at beginning of period | 434,384 | 462,768 |
Cash, cash equivalents, and restricted cash at end of period | $ 335,925 | $ 395,852 |
Nature of the Business and Basi
Nature of the Business and Basis of Presentation | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of the Business and Basis of Presentation | NATURE OF THE BUSINESS AND BASIS OF PRESENTATION Nature of the Business Steel Partners Holdings L.P. ("SPLP" or "Company") is a diversified global holding company that engages in multiple businesses through consolidated subsidiaries and other interests. It owns and operates businesses and has significant interests in companies in various industries, including diversified industrial products, energy, defense, supply chain management and logistics, banking and youth sports. SPLP operates through the following segments: Diversified Industrial, Energy, Financial Services, and Corporate and Other, which are managed separately and offer different products and services. For additional details related to the Company's reportable segments see Note 18 - "Segment Information." Steel Partners Holdings GP Inc. ("SPH GP"), a Delaware corporation, is the general partner of SPLP and is wholly-owned by SPLP. The Company is managed by SP General Services LLC ("Manager"), pursuant to the terms of an amended and restated management agreement ("Management Agreement") discussed in further detail in Note 17 - "Related Party Transactions." Basis of Presentation The consolidated balance sheet as of December 31, 2017 , which has been derived from audited financial statements, and the unaudited consolidated financial statements included herein have been prepared by the Company in accordance with the rules and regulations of the Securities and Exchange Commission for interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") have been condensed or omitted in accordance with those rules and regulations. The Company believes that the disclosures made are adequate to make the information not misleading. This quarterly report on Form 10-Q should be read in conjunction with the Company's audited consolidated financial statements on Form 10-K for the year ended December 31, 2017 . Certain amounts for the prior year have been reclassified to conform to the current year presentation, principally to conform with changes made in accordance with new accounting pronouncements adopted January 1, 2018, as discussed further below. In the opinion of management, the interim financial statements reflect all normal and recurring adjustments necessary to present fairly the consolidated financial position and the results of operations and changes in cash flows for the interim periods. The preparation of the consolidated financial statements in conformity with U.S. GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. Estimates are based on historical experience, expected future cash flows and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. The results of operations for the three months ended March 31, 2018 are not necessarily indicative of the operating results for the full year. New or Recently Adopted Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606), and has since issued amendments thereto (collectively referred to herein as "ASC 606"). The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services, and the guidance defines a five-step process to achieve this core principle. ASC 606 also requires additional disclosure about the nature, amount, timing and uncertainty of revenues and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The Company adopted ASC 606 as of January 1, 2018 using the modified retrospective transition method. For additional information, see Note 2 - "Revenues." In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10) , which eliminates the requirement to classify equity securities with readily determinable market values as either available-for-sale securities or trading securities, and requires that equity investments, other than those accounted for under the traditional equity method of accounting, be measured at their fair value with changes in fair value recognized in net income or loss. In the past, changes in fair value were reported in the Company's consolidated statement of comprehensive income (loss) and in Accumulated other comprehensive income (loss) ("AOCI"). Equity investments that do not have readily determinable market values may be measured at cost under ASU 2016-01, subject to an assessment for impairment. We adopted ASU 2016-01 effective January 1, 2018. Upon adoption, we recorded a cumulative effect reclassification adjustment from AOCI to Partners' capital of $91,078 , which represented the accumulated net unrealized gain on equity securities that was held in AOCI as of December 31, 2017. See also Note 12 - "Capital and Accumulated Other Comprehensive Loss." In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . The new standard establishes a right-of-use ("ROU") model that requires a lessee to record a ROU asset and a lease liability, measured on a discounted basis, on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the statement of operations. A modified retrospective transition approach is required for capital and operating leases existing at the date of adoption, with certain practical expedients available. The Company is currently evaluating the potential impact of this new guidance, which is effective for the Company's 2019 fiscal year. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The new standard changes the impairment model for most financial assets that are measured at amortized cost and certain other instruments, including trade receivables, from an incurred loss model to an expected loss model and adds certain new required disclosures. Under the expected loss model, entities will recognize estimated credit losses to be incurred over the entire contractual term of the instrument rather than delaying recognition of credit losses until it is probable the loss has been incurred. The new standard is effective for the Company's 2020 fiscal year with early adoption permitted for all entities in fiscal years beginning after December 15, 2018. The Company is currently evaluating the potential impact of this new guidance. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. This new standard provided guidance to help decrease diversity in practice in how certain cash receipts and cash payments are classified in the statement of cash flows. The amendments in ASU 2016-15 provided guidance on eight specific cash flow issues. We adopted ASU 2016-15 effective January 1, 2018. The adoption of this standard did not have a material impact on the Company's consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. This new standard provides guidance on the classification of restricted cash in the statement of cash flows. We adopted ASU 2016-18 effective January 1, 2018. As a result of the adoption of ASU 2016-18, in the consolidated statement of cash flows for the three months ended March 31, 2017, we reclassified $13,513 of restricted cash. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. This new standard provides guidance to help determine more clearly what is a business acquisition, as opposed to an asset acquisition. The amendments provide a screen to help determine when a set of components is a business by reducing the number of transactions in an acquisition that need to be evaluated. The new standard states that to classify the acquisition of assets as a business, there must be an input and a substantive process that jointly contribute to the ability to create outputs, with outputs being defined as the key elements of the business. If all of the fair value of the assets acquired are concentrated in a single asset group, this would not qualify as a business. The Company adopted ASU 2017-01 effective January 1, 2018. The adoption of this standard did not have a material impact on the Company's consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . This new standard simplifies subsequent measurements of goodwill by eliminating Step 2 from the goodwill impairment test. Instead, entities will perform their interim or annual goodwill impairment testing by comparing the fair value of a reporting unit with its carrying amount and recognizing an impairment charge based on the amount that the carrying amount exceeds the reporting unit's fair value. The loss recognized should not exceed the total goodwill allocated to the reporting unit. The amendments in ASU 2017-04 are effective for the Company's 2020 fiscal year. The Company is currently evaluating the potential impact of this new guidance. In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . This new standard requires the components of net benefit cost to be disaggregated within the statement of operations, with service cost being included in the same line item as other compensation costs, and any other components being presented outside of operating income. The Company adopted ASU 2017-07 effective January 1, 2018. Since the Company's significant pension plans have been frozen, there is no substantial service cost associated with such plans and therefore, the adoption of ASU 2017-07 did not have a material impact on the Company's consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718): Scope of Modification Accounting . This new standard provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. The standard states that entities should account for the effects of a modification unless the fair value of the modified award is the same as the fair value of the original award, the vesting conditions do not change, and the classification as an equity instrument or a liability instrument is the same. We adopted ASU 2017-09 effective January 1, 2018. The adoption of this standard did not have a material impact on the Company's consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . This new standard was created to refine and expand hedge accounting for both financial and commodity risk in order to simplify the current application of hedge accounting guidance in current U.S. GAAP. This new standard creates more transparency around how hedging results are presented, both in the notes and on the face of the financial statements. The amendments in ASU 2017-12 are effective for the Company's 2019 fiscal year. The Company is currently evaluating the potential impact of this new guidance. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The new standard provides financial statement preparers with an option to reclassify stranded tax effects within AOCI to retained earnings in each period in which the effect of the change in the U.S. federal corporate income tax rate in the federal Tax Cuts and Jobs Act ("TCJA") is recorded. The amendments in ASU 2018-02 are effective for the Company's 2019 fiscal year. The Company is currently evaluating the potential impact of this new guidance. In March 2018, the FASB issued ASU 2018-05, Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118. ASU 2018-05 applies to income tax effects from the enactment of the TCJA in December 2017. ASU 2018-05 allows a Company to report as provisional those amounts where the Company does not have the necessary information available, prepared or analyzed in reasonable detail to complete the accounting under Accounting Standards Codification Topic 740. ASU 2018-05 further allows a measurement period, not to exceed one year from the enactment date of TCJA, during which an entity may need to reflect adjustments to its provisional amounts. ASU 2018-05 requires that any adjustments to provisional amounts during the measurement period be included in income from continuing operations as an adjustment to tax expense or benefit, and also requires certain disclosures. The provisions of ASU 2018-05 were effective as of the enactment date of the TCJA, December 22, 2017. |
Revenues
Revenues | 3 Months Ended |
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | REVENUES Adoption of ASC 606, "Revenue from Contracts with Customers" On January 1, 2018, the Company adopted ASC 606 for all contracts with customers using the modified retrospective transition method. The Company recognized a net increase of $1,034 to Partners' capital due to the cumulative impact of adopting ASC 606. The impact to Partners' capital was primarily related to the timing of when revenue is recognized. While revenue from most contracts will continue to be recognized at a point in time, revenue from other contracts (for example, contracts for sale of custom manufactured goods that do not have an alternative use and for which the Company has an enforceable right to payment) will be recognized over time. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company does not expect the adoption of the new revenue standard to have a material impact to our net income on an ongoing basis. For the three months ended March 31, 2018 , ASC 606 did not have a material impact on the Company's consolidated statement of operations, including total revenue. As of March 31, 2018 , and January 1, 2018, no accounts in the consolidated balance sheets, including the Company's return asset, contract asset and contract liability accounts, were materially impacted by ASC 606 (see "Contract Balances" below for further details). Revenue Recognition Accounting Policies Revenues are recognized when control of the promised goods or services are transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company records all shipping and handling fees billed to customers as revenue. The Company has elected to account for shipping and handling activities that are performed after the customer obtains control of a good as activities to fulfill the promise to transfer the good. If revenue is recognized for the related good before the shipping and handling activities occur, the related costs of those shipping and handling activities are accrued. Sales and usage-based taxes are excluded from revenues. The Company does not have any material service-type warranty arrangements. The expected costs associated with the Company's assurance warranties continue to be recognized as expense when the products are sold. The Company does not have any material significant financing arrangements as payment is received shortly after the goods are sold or services are performed. Standalone Selling Price Generally, the Company's sales contracts with customers contain only one performance obligation. In certain circumstances, contracts with customers may include multiple performance obligations. For such arrangements, the Company allocates revenue to each performance obligation based on its relative standalone selling price. The Company generally determines the standalone selling price based on the prices charged to similar customers or by using the expected cost plus margin approach. Practical Expedients and Exemptions The Company's performance obligations are generally part of contracts that have a duration of less than one year. Therefore, in accordance with the standard, the Company generally expenses sales commissions when incurred because the amortization period would have been one year or less. These costs are recorded within Selling, general and administrative expenses. For certain of the services that the Company's Diversified Industrial segment and Energy segment provides, the Company has determined that it has a right to consideration from a customer in an amount that corresponds directly with the value to the customer of the Company's performance completed to date, and therefore, the Company recognizes revenue in the amount to which the entity has a right to invoice. Disaggregation of Revenues Revenues are disaggregated at the Company's segment level since the segment categories depict how the nature, amount, timing and uncertainty of revenues and cash flows are affected by economic factors. For additional details related to the Company's reportable segments see Note 18 - "Segment Information." The following table presents the Company's revenues disaggregated by geography for the three months ended March 31, 2018 and 2017. The Company's revenues are primarily derived domestically. Foreign revenues are based on the country in which the legal subsidiary generating the revenue is domiciled. Revenue from any single foreign country was not material to the Company's consolidated financial statements. Three Months Ended March 31, 2018 2017 United States $ 307,940 $ 276,282 Foreign (a) 58,305 47,037 Total revenue $ 366,245 $ 323,319 (a) Foreign revenues are primarily related to the Company's API Group plc ("API") business, which is domiciled in the United Kingdom. Diversified Industrial Revenues The Diversified Industrial segment is comprised of manufacturers of engineered niche industrial products. The majority of revenues recognized are for the sale of manufactured goods in the United States. Other revenue recognized is for repair and maintenance services. Customer contracts are generally short-term in nature and are based on individual customer purchase orders. The terms and conditions of the customer purchase orders are dictated by either the Company's standard terms and conditions or by a master service agreement. Diversified Industrial revenues related to product sales are recognized when control of the promised goods is transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those goods. This condition is usually met at a point-in-time when the product has been shipped to the customer, or in certain circumstances when the product has been delivered to the customer, depending on the terms of the contract. However, revenues for certain custom manufactured goods are recognized over time as the customer order is fulfilled (for example, contracts for sale of custom manufactured goods that do not have an alternative use and for which the Company has an enforceable right to payment). Generally, the units of delivery method is used to determine the timing of revenue recognition for over time arrangements since there is no material work in progress and finished goods for those arrangements. Service revenues are primarily recognized in the amount to which the entity has a right to invoice. Certain customers may receive sales incentives, such as right of return, rebates, volume discounts and early payment discounts, which are accounted for as variable consideration. The Company estimates these amounts based on the expected incentive amount to be provided to customers and reduces revenues. The Company adjusts its estimate of revenue at the earlier of when the expected value or most likely amount of consideration we expect to receive changes or when the consideration becomes fixed. Energy Revenues The Energy segment provides drilling and production services to the oil & gas industry in the United States. The services provided include well completion and recompletion, well maintenance and workover, snubbing, flow testing, down hole pumping, plug and abatement, well logging and perforating services. Service revenues are recognized in the amount to which the entity has a right to invoice. Consideration for Energy contracts is generally fixed. A portion of Energy revenues are service revenues related to Energy's youth sports business. These service revenues are recognized when services are provided to the customer, in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those services. Consideration for the Energy's sports business contracts is generally fixed. Financial Services Revenues WebBank generates revenues through a combination of interest income and non-interest income. Interest income is derived from interest and fees earned on loans and investments. Interest income is accrued on the unpaid principal balance, including amortization of premiums and accretion of discounts. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield over the estimated life of the loan. Non-interest income is primarily derived from premiums on the sale of loans, loan servicing fees, origination fees earned on loans and fee income on contractual lending arrangements. WebBank's revenue streams are primarily accounted for outside of the scope of ASC 606. Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (contract assets) and deferred revenue (contract liabilities) on the consolidated balance sheet. Contract Assets Unbilled receivables arise when the timing of billings to customers differs from the timing of revenue recognition, such as when the Company recognizes revenue over time before a customer can be billed. Contract assets are classified as Prepaid expenses and other current assets on the consolidated balance sheet. The balances of contract assets as of March 31, 2018 and January 1, 2018 were $3,798 and $3,480 , respectively. Contract Liabilities The Company records deferred revenues when cash payments are received or due in advance of the Company's performance, including amounts which are refundable, which are recorded as contract liabilities. Contract liabilities are classified as Other current liabilities on the consolidated balance sheet based on the timing of when the Company expects to recognize revenue. The balances of contract liabilities as of March 31, 2018 and January 1, 2018 were $3,447 and $1,483 , respectively. For the three months ended March 31, 2018 , the Company recognized revenue of $890 that was included in the contract liability balance at the date of adoption. |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | ACQUISITIONS 2018 Acquisition On February 16, 2018, the Company completed the acquisition of certain assets and liabilities of Dunmore Corporation in the U.S. and the share purchase of Dunmore Europe GmbH in Germany (collectively, "Dunmore") for a purchase price of $69,828 , which includes assumed debt and is subject to a working capital adjustment and an earn-out based on future earnings during the period from January 1, 2018 through December 31, 2019, each as provided in the purchase agreement. In no case will the purchase price, including the potential earn-out, exceed $80,000 . Dunmore is a global provider of specialty coated, laminated and metallized films for the aircraft, spacecraft, photovoltaic, graphic arts, packaging, insulation, surfacing and fashion industries. Dunmore will report into the Company's packaging business in its Diversified Industrial segment. In connection with the Dunmore acquisition, which is not material to SPLP's operations, the Company recorded inventories, property, plant and equipment, other intangible assets (primarily customer relationships) and goodwill on a preliminary basis, totaling approximately $7,700 , $29,700 , $20,300 and $11,800 , respectively, as well as other assets and liabilities. The preliminary purchase price allocation is subject to finalization of valuations of certain acquired assets and liabilities. 2017 Acquisition On May 19, 2017, the Company acquired an 80% interest in Basin Well Logging Wireline Services, Inc. ("Basin") located in Farmington, New Mexico for approximately $5,100 . Basin provides wireline services to major oil & gas exploration and production companies in the U.S. and specializes in cased-hole wireline logging and perforating services for exploration and production companies with wells in New Mexico, Texas, Utah, Arizona and Colorado. In connection with the Basin acquisition, which was not material to SPLP's operations, goodwill totaling approximately $758 was recorded on a preliminary basis. |
Divestitures and Asset Impairme
Divestitures and Asset Impairment Charges | 3 Months Ended |
Mar. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Divestitures and Asset Impairment Charges | DIVESTITURES In January 2017, the Company sold its Micro-Tube Fabricators, Inc. business ("MTF") for approximately $2,500 and recorded a loss on sale of $400 , which is included in Other (income) expenses, net in the Company's consolidated statements of operations. MTF specialized in the production of precision fabricated tubular components produced for medical device, aerospace, aircraft, automotive and electronic applications, and it was included in the Company's Diversified Industrial segment. The price was paid $2,000 in cash at closing and a $500 subordinated promissory note to the Company bearing 5% interest annually, which has been fully collected. In addition, the Company may receive up to $1,000 of additional contingent consideration if certain sales volume milestones are met between the sale date and December 31, 2019. In 2017, the Company earned $ 755 of additional contingent consideration. The operations of MTF were not significant to the Company's consolidated financial statements. |
Loans Receivable, Including Loa
Loans Receivable, Including Loans Held For Sale | 3 Months Ended |
Mar. 31, 2018 | |
Receivables [Abstract] | |
Loans Receivable, Including Loans Held For Sale | LOANS RECEIVABLE, INCLUDING LOANS HELD FOR SALE Major classification of WebBank's loans receivable, including loans held for sale, at March 31, 2018 and December 31, 2017 are as follows: Total Current Non-current March 31, 2018 % December 31, 2017 % March 31, 2018 December 31, 2017 March 31, 2018 December 31, 2017 Loans held for sale $ 148,729 $ 136,773 $ 148,729 $ 136,773 $ — $ — Commercial real estate loans $ 600 — % $ 568 1 % 20 20 580 548 Commercial and industrial 84,070 50 % 84,726 61 % 28,002 28,315 56,068 56,411 Consumer loans 84,111 50 % 53,238 38 % 34,551 22,371 49,560 30,867 Total loans 168,781 100 % 138,532 100 % 62,573 50,706 106,208 87,826 Less: Allowance for loan losses (7,041 ) (5,237 ) (7,041 ) (5,237 ) — — Total loans receivable, net $ 161,740 $ 133,295 55,532 45,469 106,208 87,826 Loans receivable, including loans held for sale (a) $ 204,261 $ 182,242 $ 106,208 $ 87,826 (a) The carrying value is considered to be representative of fair value because the rates of interest are not significantly different from market interest rates for instruments with similar maturities. The fair value of loans receivable, including loans held for sale, net was $309,046 and $270,068 at March 31, 2018 and December 31, 2017 , respectively. Commercial and industrial loans include unamortized premiums of $1 and unaccreted discounts of $494 at March 31, 2018 . Consumer loans include unaccreted discounts of $172 at March 31, 2018 . Loans with a carrying value of approximately $57,397 and $57,436 were pledged as collateral for potential borrowings at March 31, 2018 and December 31, 2017 , respectively. WebBank serviced $3,109 in loans for others at March 31, 2018 . The allowance for loan losses ("ALLL") represents an estimate of probable and estimable losses inherent in the loan portfolio as of the balance sheet date. The amount of the ALLL is established by analyzing the portfolio at least quarterly and a provision for or reduction of loan losses is recorded so that the ALLL is at an appropriate level at the balance sheet date. The increase in the ALLL was due to an increase in existing impaired loans and an increase in the loan portfolio of held-to-maturity consumer loans. There have been no other significant changes in the credit quality of loans in the loan portfolio since December 31, 2017 . |
Inventories, Net
Inventories, Net | 3 Months Ended |
Mar. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories, Net | INVENTORIES, NET A summary of inventories, net is as follows: March 31, 2018 December 31, 2017 Finished products $ 53,216 $ 49,053 In-process 28,677 25,037 Raw materials 59,258 53,015 Fine and fabricated precious metal in various stages of completion 20,347 16,757 161,498 143,862 LIFO reserve (1,025 ) (1,227 ) Total $ 160,473 $ 142,635 Fine and Fabricated Precious Metal Inventory In order to produce certain of its products, the Company purchases, maintains and utilizes precious metal inventory. The Company records certain precious metal inven tory at the lower of LIFO cost or market, with any adjustments recorded through Cost of goods sold. Remaining precious metal inventory is accounted for primarily at fair value. During the third quarter of 2017, the Company began obtaining certain precious metals under a $29,500 fee consignment agreement with the Bank of Nova Scotia ("ScotiaBank"). As of March 31, 2018 , the Company had approximately $7,700 of silver under consignment with ScotiaBank, which is recorded at fair value in Inventories, net with a corresponding liability for the same amount included in Accrued liabilities on the Company's consolidated balance sheet. Fees charged under the consignment agreement are recorded in Interest expense in the Company's consolidated statements of operations. March 31, 2018 December 31, 2017 Supplemental inventory information: Precious metals stated at LIFO cost $ 9,599 $ 4,897 Precious metals stated under non-LIFO cost methods, primarily at fair value $ 9,723 $ 10,633 Market value per ounce: Silver $ 16.32 $ 17.01 Gold $ 1,323.85 $ 1,296.50 Palladium $ 970.00 $ 1,056.00 |
Goodwill and Other Intangibles,
Goodwill and Other Intangibles, Net | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles, Net | GOODWILL AND OTHER INTANGIBLE ASSETS, NET A reconciliation of the change in the carrying value of goodwill by reportable segment is as follows: Diversified Industrial Energy Corporate and Other Total Balance at December 31, 2017 Gross goodwill $ 193,530 $ 65,548 $ 81 $ 259,159 Accumulated impairments (24,254 ) (64,790 ) — (89,044 ) Net goodwill 169,276 758 81 170,115 Acquisitions (a) 11,819 — — 11,819 Currency translation adjustments 876 — — 876 Balance at March 31, 2018 Gross goodwill 206,225 65,548 81 271,854 Accumulated impairments (24,254 ) (64,790 ) — (89,044 ) Net goodwill $ 181,971 $ 758 $ 81 $ 182,810 (a) Goodwill related to the Dunmore acquisition. For additional information, see Note 3 - "Acquisitions." A summary of Other intangible assets, net is as follows: March 31, 2018 December 31, 2017 Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Customer relationships $ 236,179 $ 86,915 $ 149,264 $ 222,277 $ 80,952 $ 141,325 Trademarks, trade names and brand names 55,882 15,772 40,110 52,356 14,996 37,360 Developed technology, patents and patent applications 31,594 12,355 19,239 28,239 11,756 16,483 Other 17,312 12,444 4,868 16,131 11,982 4,149 Total $ 340,967 $ 127,486 $ 213,481 $ 319,003 $ 119,686 $ 199,317 Other intangible assets, net as of March 31, 2018 includes approximately $20,300 in intangible assets, primarily customer relationships, associated with the Dunmore acquisition. These balances, and the related goodwill balance noted above, are subject to adjustment during the finalization of the purchase price allocations for the Dunmore acquisition. Trademarks with indefinite lives as of March 31, 2018 and December 31, 2017 were $11,320 and $8,020 , respectively. Amortization expense related to intangible assets was $7,351 and $8,119 for the three months ended March 31, 2018 and 2017 , respectively. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | INVESTMENTS Short-Term Investments Marketable Securities The Company's short-term investments primarily consist of its marketable securities portfolio held by its subsidiary, Steel Excel Inc ("Steel Excel"). The classification of marketable securities as a current asset is based on the intended holding period and realizability of the investments. The Company's portfolio of marketable securities was as follows: March 31, 2018 December 31, 2017 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-term deposits $ 24,972 $ — $ — $ 24,972 $ 35,834 $ — $ — $ 35,834 Mutual funds — — — — 12,077 4,675 — 16,752 Corporate securities 12,689 5,697 (3,266 ) 15,120 32,311 11,893 (2,643 ) 41,561 Total marketable securities 37,661 5,697 (3,266 ) 40,092 80,222 16,568 (2,643 ) 94,147 Amounts classified as cash equivalents (24,972 ) — — (24,972 ) (35,834 ) — — (35,834 ) Amounts classified as marketable securities $ 12,689 $ 5,697 $ (3,266 ) $ 15,120 $ 44,388 $ 16,568 $ (2,643 ) $ 58,313 Proceeds from sales of marketable securities were approximately $33,718 and $1,200 in the three months ended March 31, 2018 and 2017 , respectively. The Company determines gains and losses from sales of marketable securities based on specific identification of the securities sold. Gross realized gains and losses from sales of marketable securities, which are reported as a component of Realized and unrealized losses on securities, net in the Company's consolidated statements of operations, were as follows: Three Months Ended March 31, 2018 2017 Gross realized gains $ 9,674 $ 12 Gross realized losses (2,910 ) (227 ) Realized gains (losses), net $ 6,764 $ (215 ) Effective with the current quarter ended March 31, 2018 upon adoption of ASU 2016-01, unrealized gains or losses due to changes in fair value of securities are being accounted for as a component of Realized and unrealized losses on securities, net in the Company's consolidated statements of operations. Prior to January 1, 2018, changes in fair value were recognized in Partners' capital as Other comprehensive income or loss, except for other-than-temporary impairments, which were reflected as a reduction of cost and charged to the consolidated statements of operations. The fair value of marketable securities with unrealized losses at March 31, 2018 , and the duration of time that such losses had been unrealized, were as follows: Less than 12 Months 12 Months or Greater Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Corporate securities $ 3,340 $ (3,266 ) $ — $ — $ 3,340 $ (3,266 ) Total $ 3,340 $ (3,266 ) $ — $ — $ 3,340 $ (3,266 ) The fair value of marketable securities with unrealized losses at December 31, 2017 , and the duration of time that such losses had been unrealized, were as follows: Less than 12 Months 12 Months or Greater Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Corporate securities $ 5,801 $ (2,558 ) $ 398 $ (85 ) $ 6,199 $ (2,643 ) Total $ 5,801 $ (2,558 ) $ 398 $ (85 ) $ 6,199 $ (2,643 ) The gross unrealized losses related to losses on corporate securities, which primarily consist of investments in equity securities of publicly-traded entities. The Company evaluated such securities to determine if certain unrealized losses represented other-than-temporary impairments. This determination was based on several factors, including any adverse changes in the market conditions and economic environments in which the entities operate. The Company determined that there was no indication of other-than-temporary impairments on its investments with unrealized losses that had not been previously recorded as impairment charges. This determination was based on several factors, including the length of time and extent to which fair value had been less than the cost basis, the financial condition and near-term prospects of the entities, and the intent and ability to hold the corporate securities for a period of time sufficient to allow for any anticipated recovery in market value. Long-Term Investments The following table summarizes the Company's long-term investments as of March 31, 2018 and December 31, 2017 . For those investments at fair value, the carrying amount of the investment equals its respective fair value. Ownership % Long-Term Investments Balance Loss (Income) Recorded in the Consolidated Statements of Operations Three Months Ended March 31, March 31, 2018 December 31, 2017 March 31, 2018 December 31, 2017 2018 2017 Corporate securities (a),(e) $ 164,105 $ 131,307 $ 13,805 $ — Steel Connect, Inc. ("STCN") convertible notes (b),(f) 14,431 10,387 315 (369 ) STCN preferred stock (c),(f) 42,449 35,000 (7,449 ) — STCN warrants (f) — — — (12 ) Equity method investments: (f) Carried at fair value: STCN common stock 30.2 % 30.4 % 38,547 45,275 5,998 (5,122 ) Aviat Networks, Inc. ("Aviat") 12.7 % 12.7 % 11,233 10,168 (849 ) (825 ) Other 43.8 % 43.8 % 1,223 1,223 — — Long-term investments carried at fair value 271,988 233,360 Carried at cost: Other equity method investments carried at cost (d) 2,781 2,784 30 26 Total $ 274,769 $ 236,144 (a) Cost basis totaled $56,295 at March 31, 2018 and $12,250 at December 31, 2017 and gross unrealized gains totaled $107,810 and $119,057 at March 31, 2018 and December 31, 2017 , respectively. (b) Represents investment in STCN convertible notes. Cost basis totaled $13,262 at March 31, 2018 and $8,903 at December 31, 2017 and gross unrealized gains totaled $1,169 and $1,484 at March 31, 2018 and December 31, 2017 , respectively. Changes in fair value are recorded in the Company's consolidated statements of operations as the Company elected the fair value option to account for this investment. (c) Represents investment in STCN preferred stock. On December 15, 2017, the Company entered into an agreement pursuant to which STCN issued Series C convertible voting preferred stock for an aggregate purchase consideration of $35,000 . Each share of preferred stock can be converted into shares of STCN's common stock at an initial conversion price equal to $1.96 per share, subject to appropriate adjustments for any stock dividend, stock split, stock combination, reclassification or similar transaction, among other things. Changes in fair value are recorded in the Company's consolidated statements of operations as the Company elected the fair value option to account for this investment. The convertible preferred shares, if converted as of March 31, 2018 , when combined with the common shares owned by the Company, would result in the Company having a direct interest of approximately 46% of STCN's outstanding shares. During the first quarter of 2018, the Company recorded an $11,208 out-of-period adjustment related to the increase in the fair value of the Company’s investment in STCN preferred stock for the period from December 15, 2017 to December 31, 2017. Had this adjustment been recorded at December 31, 2017, the Company’s investment in STCN preferred stock would have been valued at $46,208 at December 31, 2017, and the Company’s Income from associated companies, net of taxes for the three months ended March 31, 2018 would be reduced by $11,208. (d) Represents investments in iGo, Inc. ("iGo") of 45% and a 50% investment in API Optix s.r.o ("API Optix"), a joint venture investment held by the Company. (e) Loss (income) from these investments is included in Realized and unrealized losses on securities, net in the consolidated statements of operations. (f) Loss (income) from these investments is included in Income of associated companies, net of taxes in the consolidated statements of operations. The Company's long-term investments include common shares of Babcock & Wilcox Enterprises, Inc. ("BW"). BW commenced a rights offering, as amended, pursuant to which BW distributed nontransferable subscription rights to each of its common stockholders. Each subscription right allowed BW shareholders to purchase 2.8 common shares of BW at a subscription price of $2.00 per common share. The rights have been recorded at fair value as of March 31, 2018 and are included in the table above under Corporate securities. As of March 31, 2018, the Company owned 6,993,219 shares of BW common stock, constituting approximately 15.8% of BW's outstanding shares. Vintage Capital Management, LLC ("Vintage") and BW entered into an agreement under which Vintage agreed to provide a backstop commitment to purchase any BW common shares that were not subscribed for in the rights offering. On April 12, 2018, the Company entered into an agreement with Vintage pursuant to which it agreed to backstop Vintage's obligation under its backstop commitment. SPLP committed, subject to specified conditions, to fund a portion of Vintage's backstop commitment up to a maximum aggregate amount of $46,500 , but not to exceed such number of BW common shares as would result in SPLP, together with its affiliates and associates, beneficially owning more than 29.95% of BW's outstanding shares immediately following consummation of the rights offering. Upon the completion of the rights offering, the Company purchased 22,981,822 BW common shares at an aggregate price of $45,964 , including $6,802 to fund its backstop commitment, increasing the Company's ownership in BW to approximately 17.8% of the outstanding shares. Equity Method Investments The Company's investments in associated companies are accounted for under the equity method of accounting. Certain associated companies have a fiscal year end that differs from December 31. Additional information for each of SPLP's investments in associated companies that have impacted the Company's consolidated statements of operations during March 31, 2018 and March 31, 2017 is as follows: Equity Method, Carried At Fair Value: • STCN (formerly ModusLink Global Solutions, Inc.) provides supply chain and logistics services to companies in the consumer electronics, communications, computing, software, storage and retail industries. STCN had issued the Company warrants to purchase an additional 2,000,000 shares at $5.00 per share. Such warrants were terminated in 2017. • Aviat is a global provider of microwave networking solutions. • The Other investment represents the Company's investment in a Japanese real estate partnership. Equity Method, Carried At Cost: • iGo is a provider of accessories for mobile devices. This investment is being accounted for under the traditional equity method. Based on the closing market price of iGo's publicly-traded shares, the fair value of the investment in iGo was approximately $2,288 and $2,317 at March 31, 2018 and December 31, 2017 , respectively. • The Company has a 50% joint venture in API Optix with IQ Structures s.r.o. API Optix provides development and origination services in the field of micro and nano-scale surface relief technology. The investment, based in Prague, Czech Republic, is being accounted for under the equity method as an associated company. The below summary balance sheet and statement of operations amounts include results for the major associated companies for the periods in which they were accounted for as an associated company or the nearest practicable corresponding period to the Company's fiscal period. March 31, 2018 December 31, 2017 Summary of balance sheet amounts: (a) Current assets $ 292,756 $ 257,846 Non-current assets 577,354 23,452 Total assets $ 870,110 $ 281,298 Current liabilities $ 222,153 $ 149,155 Non-current liabilities 478,730 69,172 Total liabilities 700,883 218,327 Contingently redeemable preferred stock 35,259 — Equity 133,968 62,971 Total liabilities and equity $ 870,110 $ 281,298 Three Months Ended March 31, 2018 2017 Summary operating results: Net revenue $ 151,119 $ 117,568 Gross profit $ 16,950 $ 11,198 Net income (loss) (b) $ 64,830 $ (2,906 ) (a) The increase in the amounts of assets and liabilities in the table above is principally due to a major acquisition made by STCN. (b) Net income (loss) in the 2018 period was favorably impacted principally by an income tax benefit related to the acquisition made by STCN. Other Investments WebBank had $37,695 and $32,816 of held-to-maturity securities at March 31, 2018 and December 31, 2017 , respectively. WebBank records these securities at amortized cost, and they are included in Other non-current assets on the Company's consolidated balance sheets. The dollar value of these securities with maturities less than five years is $9,806 , after five years through ten years is $26,325 and after ten years is $1,564 . Actual maturities may differ from expected or contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The securities are collateralized by unsecured consumer loans. These securities had an estimated fair value of $35,956 and $32,842 at March 31, 2018 and December 31, 2017 , respectively. |
Long-term Debt
Long-term Debt | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Long-term Debt | LONG-TERM DEBT Debt consists of the following: March 31, 2018 December 31, 2017 Short term debt: Foreign $ 2,602 $ 1,624 Short-term debt 2,602 1,624 Long-term debt: SPLP revolving facility 464,478 406,981 Other debt - foreign 1,141 — Other debt - domestic 5,948 6,062 Subtotal 471,567 413,043 Less portion due within one year 828 459 Long-term debt 470,739 412,584 Total debt $ 474,169 $ 414,667 On November 14, 2017, SPH Group Holdings, Steel Excel, API Americas Inc., Handy & Harman Ltd. ("HNH") and Cedar 2015 Limited (collectively, the "Borrowers"), each a direct or indirect subsidiary of the Company, entered into a credit agreement ("Credit Agreement") that consolidates a number of the Company's existing credit facilities into one combined, revolving credit facility covering substantially all of the Company's subsidiaries, with the exception of WebBank. The Credit Agreement provides for a revolving credit facility in an aggregate principal amount not to exceed $600,000 at March 31, 2018 , which includes a $55,000 subfacility for swing line loans and a $50,000 subfacility for standby letters of credit. The Credit Agreement also permits the Borrowers, under certain circumstances, to increase the aggregate principal amount of revolving credit commitments under the Credit Agreement by up to $150,000 . Borrowings under the Credit Agreement bear interest, at the Borrower's option, at annual rates of either the Base Rate or the Euro-Rate, as defined, plus an applicable margin as set forth in the Credit Agreement ( 1.00% and 2.00% , respectively, for Base Rate and Euro-Rate borrowings at March 31, 2018 ), and the Credit Agreement provides for a commitment fee to be paid on unused borrowings. The weighted average interest rate on the Credit Agreement was 3.77% at March 31, 2018 . At March 31, 2018 , letters of credit totaling $10,837 had been issued under the Credit Agreement, including $3,724 of the letters of credit guaranteeing various insurance activities, and $7,113 for environmental and other matters. The Credit Agreement permits SPLP, the parent, to fund the dividends on its preferred units and its routine corporate expenses. The Company's total availability under the Credit Agreement, which is based upon earnings and certain covenants as described in the Credit Agreement, was approximately $69,700 as of March 31, 2018 . On April 27, 2018, the Company entered into an amendment to the Credit Agreement to allow the Company to (i) exercise its BW subscription rights discussed in Note 8 - "Investments," (ii) increase the maximum aggregate principal amount to $700,000 , (iii) increase the defined leverage ratios under the Credit Agreement by 0.25 "turns" for the fiscal quarters ending June 30, 2018, September 30, 2018 and December 31, 2018, and (v) make certain administrative changes. The Credit Agreement will expire with all amounts outstanding due and payable, on November 14, 2022. The Credit Agreement is gu aranteed by substantially all existing and thereafter acquired assets of the Borrowers and the Guarantors, as defined in the agreement, and a pledge of all of the issued and outstanding shares of capital stock of each of the Borrowers' and Guarantors' subsidiaries, and is fully guaranteed by the Guarantors. The Credit Agreement is subject to certain mandatory prepayment provisions and restrictive and financial covenants, which include a maximum ratio limit on Total Leverage and a minimum ratio limit on Interest Coverage, as defined. The Company was in compliance with all debt covenants at March 31, 2018 . |
Financial Instruments
Financial Instruments | 3 Months Ended |
Mar. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | FINANCIAL INSTRUMENTS At March 31, 2018 and December 31, 2017 , financial instrument liabilities and related restricted cash consisted of $13,092 and $15,629 , respectively, related to short sales of corporate securities. Year-to-date activity is summarized below for financial instrument liabilities and related restricted cash: March 31, 2018 2017 Balance, beginning of period $ 15,629 $ 12,640 Settlement of short sales of corporate securities (3,100 ) (23 ) Short sales of corporate securities 26 48 Net investment losses 537 848 Balance, end of period $ 13,092 $ 13,513 Short Sales of Corporate Securities From time to time, the Company enters into short sale transactions on certain corporate securities in which it receives proceeds from the sale of such securities and incurs obligations to deliver such securities at a later date. Upon initially entering into such short sale transactions, the Company recognizes a liability equal to the fair value of the obligation, with a comparable amount of cash and cash equivalents reclassified as restricted cash. Subsequent changes in the fair value of such obligations, determined based on the closing market price of the securities, are recognized currently as gains or losses, with a comparable adjustment made between unrestricted and restricted cash. Foreign Currency Forward Contracts API enters into foreign currency forward contracts to hedge certain of its receivables and payables denominated in other currencies. In addition, API enters into foreign currency forward contracts to hedge the value of its future sales denominated in Euros and the value of certain of its future purchases denominated in USD. These hedges have settlement dates ranging through June 2019 at March 31, 2018 . The forward contracts that are used to hedge the risk of foreign exchange movement on its receivables and payables are accounted for as fair value hedges. At March 31, 2018 , there was a contract in place to buy Sterling and sell Euros in the amount of €9,250 . The fair values of these derivatives are recognized as derivative assets and liabilities on the Company's consolidated balance sheets. The net change in fair value of the derivative assets and liabilities are recognized in the Company's consolidated statements of operations. The forward contracts that are used to hedge the value of API's future sales and purchases are accounted for as cash flow hedges. At March 31, 2018 , there were contracts in place to hedge the value of future sales denominated in Euros in the amount of €19,800 and the value of future purchases denominated in USD in the amount of $4,950 . These hedges are fully effective, and accordingly, the changes in fair value are recorded in AOCI, and at maturity, any gain or loss on the forward contract is reclassified from AOCI into the Company's consolidated statements of operations. WebBank - Economic Interests in Loans WebBank's derivative financial instruments represent on-going economic interests in loans made after they are sold. These derivatives are carried at fair value on a gross basis in Other non-current assets on the Company's consolidated balance sheets at March 31, 2018 and are classified within Level 3 in the fair value hierarchy (see Note 15 - "Fair Value Measurements"). At March 31, 2018 , outstanding derivatives mature within 3 to 5 years. Gains and losses resulting from changes in fair value of derivative instruments are accounted for in the Company's consolidated statements of operations in Financial services revenue. Fair value represents the estimated amounts that WebBank would receive or pay to terminate the contracts at the reporting date based on a discounted cash flow model for the same or similar instruments. WebBank does not enter into derivative contracts for speculative or trading purposes. Call and Put Options The options are traded in active markets, and accordingly, the Company records the fair value of the options through the use of quoted prices and records any changes in fair value in the consolidated statements of operations in Other (income) expenses, net. Precious Metal and Commodity Inventories The Company's precious metal and commodity inventories are subject to market price fluctuations. The Company enters into commodity futures and forward contracts to mitigate the impact of price fluctuations on its precious and certain non-precious metal inventories that are not subject to fixed price contracts. The Company's hedging strategy is designed to protect it against normal volatility; therefore, abnormal price changes in these commodities or markets could negatively impact the Company's earnings. As of March 31, 2018 , the Company had the following outstanding forward contracts with settlement dates through April 2018. There were no futures contracts outstanding at March 31, 2018 . Commodity Amount Notional Value Silver 253,895 ounces $ 4,147 Gold 2,400 ounces $ 3,187 Copper 275,000 pounds $ 885 Tin 30 metric tons $ 621 Fair Value Hedges. Of the total forward contracts outstanding, 18,895 ounces of silver and substantially all the copper contracts are designated and accounted for as fair value hedges and are associated primarily with the Company's precious metal inventory carried at fair value. The fair values of these derivatives are recognized as derivative assets and liabilities on the Company's consolidated balance sheets. The net change in fair value of the derivative assets and liabilities, and the change in the fair value of the underlying hedged inventory, are recognized in the Company's consolidated statements of operations, and such amounts principally offset each other due to the effectiveness of the hedges. Economic Hedges. The remaining outstanding forward contracts for silver, and all the contracts for gold and tin, are accounted for as economic hedges. As these derivatives are not designated as accounting hedges, they are accounted for as derivatives with no hedge designation. The derivatives are marked to market, and both realized and unrealized gains and losses are recorded in current period earnings in the Company's consolidated statements of operations. The economic hedges are associated primarily with the Company's precious metal inventory valued using the LIFO method. The forward contracts were made with a counterparty rated A+ by Standard & Poors. Accordingly, the Company has determined that there is minimal credit risk of default. The Company estimates the fair value of its derivative contracts through the use of market quotes or with the assistance of brokers when market information is not available. The Company maintains collateral on account with the third-party broker. Such collateral consists of both cash that varies in amount depending on the value of open contracts, as well as ounces of precious metal held on account by the broker. The fair value and carrying amount of derivative instruments on the Company's consolidated balance sheets and the effect of derivative instruments in the Company's consolidated statements of operations are shown in the following tables: Derivative Balance Sheet Location March 31, 2018 December 31, 2017 Commodity contracts (a),(b) Prepaid expenses and other current assets (Accrued liabilities) $ 56 $ (49 ) Commodity contracts (c) Prepaid expenses and other current assets (Accrued liabilities) 10 (78 ) Foreign exchange forward contracts (a),(d) Prepaid expenses and other current assets 143 166 Foreign exchange forward contracts (a),(b) Prepaid expenses and other current assets (Accrued liabilities) 69 (188 ) Economic interests in loans (c) Other non-current assets 14,190 13,126 Call options Other current liabilities — (258 ) Put options Prepaid expenses and other current assets — 3 Total derivatives $ 14,468 $ 12,722 Three Months Ended March 31, 2018 2017 Derivative Statement of Operations Location Gain (Loss) Gain (Loss) Commodity contracts (a),(b) Cost of goods sold $ 77 $ (1,183 ) Commodity contracts (c) Cost of goods sold (47 ) 95 Commodity contracts (c) Other income (expenses), net 146 (360 ) Foreign exchange forward contracts (a),(d) Revenue (20 ) (405 ) Foreign exchange forward contracts (a),(b) Other income (expenses), net 4 (11 ) Economic interests in loans (c) Revenue 3,281 2,497 Call options Other income (expenses), net 250 48 Put options Other income (expenses), net (3 ) (334 ) Total derivatives $ 3,688 $ 347 (a) Designated as hedging instruments. (b) Fair value hedge. (c) Economic hedge. (d) Cash flow hedge. Financial Instruments with Off-Balance Sheet Risk WebBank is a party to financial instruments with off-balance sheet risk. In the normal course of business, these financial instruments include commitments to extend credit in the form of loans as part of WebBank's lending arrangements. Those instruments involve to varying degrees, elements of credit and interest rate risk in excess of the amount recognized on the consolidated balance sheets. The contract amounts of those instruments reflect the extent of involvement WebBank has in particular classes of financial instruments. At March 31, 2018 and December 31, 2017 , WebBank's undisbursed loan commitments under these instruments totaled $183,931 and $148,529 , respectively. Commitments to extend credit are agreements to lend to a borrower who meets the lending criteria through one of WebBank's lending agreements, provided there is no violation of any condition established in the contract with the counterparty to the lending arrangement. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since certain of the commitments are expected to expire without the credit being extended, the total commitment amounts do not necessarily represent future cash requirements. WebBank evaluates each prospective borrower's credit worthiness on a case-by-case basis. The amount of collateral obtained if deemed necessary by WebBank upon extension of credit is based on management's credit evaluation of the borrower and WebBank's counterparty. WebBank's exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit is represented by the contractual amount of those instruments. WebBank uses the same credit policy in making commitments and conditional obligations as it does for on-balance sheet instruments. WebBank estimates an allowance for potential losses on off-balance sheet contingent credit exposures related to the guaranteed amount of its Small Business Administration ("SBA") and United States Department of Agriculture ("USDA") loans and whether or not the SBA/USDA honors the guarantee. WebBank determines the allowance for these contingent credit exposures based on historical experience and portfolio analysis. The allowance is included in Other non-current liabilities on the Company's consolidated balance sheets, with any related increases or decreases in the reserve included in the Company's consolidated statements of operations. The allowance was $188 at both March 31, 2018 and December 31, 2017 . |
Pension Benefit Plans
Pension Benefit Plans | 3 Months Ended |
Mar. 31, 2018 | |
Retirement Benefits [Abstract] | |
Pension Benefit Plans | PENSION BENEFIT PLANS HNH maintains several qualified and non-qualified pension plans and other post-retirement benefit plans. API maintains a pension plan in the United Kingdom and a pension plan in the U.S. which is not significant. The Company's other pension and postretirement benefit plans are not significant individually or in the aggregate. The following table presents the components of pension expense for HNH's and API's pension plans: Three Months Ended March 31, 2018 2017 Interest cost $ 5,378 $ 5,453 Expected return on plan assets (7,009 ) (6,169 ) Amortization of actuarial loss 2,539 2,288 Total $ 908 $ 1,572 Pension expense is included in Selling, general and administrative expenses in the consolidated statements of operations for all periods presented. Required future pension contributions are estimated based upon assumptions such as discount rates on future obligations, assumed rates of return on plan assets and legislative changes. Actual future pension costs and required funding obligations will be affected by changes in the factors and assumptions described in the previous sentence, as well as other changes such as any plan termination or other acceleration events. Required minimum pension contributions are as follows: • HNH expects to contribute approximately $27,200 for the remainder of 2018, and $33,400 , $35,800 , $31,400 , $32,100 and $43,200 in 2019, 2020, 2021, 2022 and for the five years thereafter, respectively. • API expects to contribute approximately $697 for the remainder of 2018, and $989 in each year 2019, 2020, 2021, 2022 and 2023. |
Capital and Accumulated Other C
Capital and Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2018 | |
Stockholders' Equity Note [Abstract] | |
Capital and Accumulated Other Comprehensive Loss | CAPITAL AND ACCUMULATED OTHER COMPREHENSIVE LOSS As of March 31, 2018 , the Company had 26,164,143 Class A units (regular common units) outstanding. Common Unit Repurchase Program On December 7, 2016, the Board of Directors of SPH GP approved the repurchase of up to an aggregate of 2,000,000 of the Company's common units ("Repurchase Program"). The Repurchase Program supersedes and cancels, to the extent any amounts remain available, all previously approved repurchase programs. Any purchases made under the Repurchase Program will be made from time to time on the open market at prevailing market prices or in negotiated transactions off the market, in compliance with applicable laws and regulations. In connection with the Repurchase Program, the Company may enter into a stock purchase plan. The Repurchase Program has no termination date. During the first three months of 2018, the Company purchased 184,277 units for an aggregate price of approximately $3,595 . Common Unit Dividend On January 13, 2017, the Company paid dividends of approximately $3,923 to common unitholders of record as of January 3, 2017, excluding a consolidated affiliate. This special one-time cash dividend of $0.15 per common unit was declared on December 22, 2016. Any future determination to declare dividends on its common units will remain at the discretion of the Company's Board of Directors and will be dependent upon a number of factors, including the Company's results of operations, cash flows, financial position and capital requirements, among others. Preferred Units The 6.0% Series A preferred units, no par value ("SPLP Preferred Units"), which were issued during 2017 in connection with the Steel Excel and HNH transactions discussed below, entitle the holders to a cumulative quarterly cash or in-kind (or a combination thereof) distribution. The Company declared cash distributions of approximately $2,900 and $380 to preferred unitholders for the three months ended March 31, 2018 and 2017 , respectively. The SPLP Preferred Units have a term of nine years and are redeemable at any time at the Company's option at the liquidation value, plus any accrued and unpaid distributions (payable in cash or SPLP common units, or a combination of both, at the Company's discretion). If redeemed in common units, the number of common units to be issued will be equal to the liquidation value per unit divided by the volume weighted-average price of the common units for 60 days prior to the redemption. In addition, the holders can require the Company to repurchase up to 1,600,000 of the SPLP Preferred Units, in cash on a pro rata basis, on the third anniversary of the original issuance date, reduced by any preferred units called for redemption by the Company, in cash on a pro rata basis, prior to that time. The SPLP Preferred Units have no voting rights, except that holders of the preferred units have certain voting rights in limited circumstances relating to the election of directors following the failure to pay six quarterly distributions. The SPLP Preferred Units are recorded as a non-current liability, including accrued interest expense, on the Company's consolidated balance sheets as of March 31, 2018 and December 31, 2017 because they have an unconditional obligation to be redeemed for cash or by issuing a variable number of SPLP common units for a monetary value that is fixed and known at inception. Because the SPLP Preferred Units are classified as a liability, distributions thereon are recorded as a component of Interest expense in the Company's consolidated statement of operations. As of March 31, 2018 , there were 7,741,017 SPLP Preferred Units outstanding. Steel Excel Transaction On December 23, 2016, the Company entered into an Amended Agreement and Plan of Merger with a subsidiary of the Company and Steel Excel to make a tender offer to purchase any and all of the outstanding shares of common stock of Steel Excel not already owned by the Company or any of its affiliates. In exchange for each share of Steel Excel common stock, the Company offered 0.712 SPLP Preferred Units. The offer commenced on January 9, 2017 and expired on February 6, 2017. As a result of the completion of the offer, the Company issued approximately 2,500,000 SPLP Preferred Units with a fair value and liquidation value of $25.00 per SPLP Preferred Unit, or approximately $63,500 , to Steel Excel shareholders and paid approximately $2,100 in cash for any remaining unvested restricted shares of Steel Excel. As a result of this transaction, the Company owns 100% of Steel Excel. HNH Transaction On June 26, 2017, the Company entered into an Agreement and Plan of Merger with a subsidiary of the Company and HNH to make a tender offer to purchase any and all of the outstanding shares of common stock of HNH not already owned by the Company or any of its affiliates. In exchange for each share of HNH common stock, the Company offered 1.484 SPLP Preferred Units. The offer expired on October 12, 2017, and as a result of the completion of the offer, the Company issued approximately 5,400,000 SPLP Preferred Units with a fair value of approximately $112,000 and liquidation value of approximately $135,000 to HNH shareholders. As a result of this transaction, the Company owns 100% of HNH. Certain former stockholders of HNH made a demand for appraisal of the tender offer consideration under the laws of the State of Delaware. In the first quarter of 2018, this matter was settled. As a result, 211,643 SPLP Preferred Units were retired and the preferred unit liability was reduced with respect to these units, and $931 was charged to the consolidated statement of operations in Selling, general and administrative expenses. For both the Steel Excel and HNH transactions, in accordance with the accounting standard on consolidation, changes in a parent's ownership interest where the parent retains a controlling financial interest in its subsidiary were accounted for as equity transactions. The carrying amount of the noncontrolling interests in Steel Excel and in HNH were eliminated to reflect the change in SPLP's ownership interest in each subsidiary, and the difference between the fair value of the consideration paid and the amount by which the noncontrolling interest was adjusted was recognized in Partners' capital. Accumulated Other Comprehensive Loss Changes, net of tax, in Accumulated other comprehensive loss are as follows: Three Months Ended March 31, 2018 Unrealized gain on available-for-sale securities Unrealized loss on derivative financial instruments Cumulative translation adjustment Change in net pension and other benefit obligations Total Balance at beginning of period $ 91,078 $ (1,901 ) $ (18,259 ) $ (177,085 ) $ (106,167 ) Other comprehensive income, net of tax - before reclassifications (a) — 170 3,098 — 3,268 Reclassification adjustments, net of tax — — — — — Net other comprehensive income attributable to common unitholders (b) — 170 3,098 — 3,268 Cumulative effect of adopting ASU 2016-01 relating to net unrealized gains and losses on equity securities (c) (91,078 ) — — — (91,078 ) Balance at end of period $ — $ (1,731 ) $ (15,161 ) $ (177,085 ) $ (193,977 ) (a) Net of a tax provision of approximately $68 . (b) Amounts do not include the cumulative translation adjustments of $221 which are attributable to noncontrolling interests. (c) Effective January 1, 2018 upon adoption of ASU 2016-01, a cumulative effect reclassification adjustment was made to remove the net unrealized gains and losses on equity securities from Accumulated other comprehensive loss and reclassify them to Partners' capital. Incentive Unit Expense Effective January 1, 2012, SPLP issued to the Manager partnership profits interests in the form of incentive units, a portion of which will be classified as Class C common units of SPLP upon the attainment of certain specified performance goals by SPLP, which are determined as of the last day of each fiscal year. If the performance goals are not met for a fiscal year, no portion of the incentive units will be classified as Class C common units for that year. The number of outstanding incentive units is equal to 100% of the common units outstanding, including common units held by non-wholly-owned subsidiaries. The performance goals and expense related to the classification of a portion of the incentive units as Class C units is measured on an annual basis, but is accrued on a quarterly basis. Accordingly, the expense accrued is adjusted to reflect the fair value of the Class C common units on each interim calculation date. In the event the cumulative incentive unit expense calculated quarterly or for the full year is an amount less than the total previously accrued, the Company would record a negative incentive unit expense in the quarter when such over accrual is determined. The expense is recorded in Selling, general and administrative expenses in the Company's consolidated statements of operations. The Company recorded $0 and $5,114 of incentive unit expense in the three months ended March 31, 2018 and 2017, respectively. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The Company recorded tax provisions of $1,330 and $6,846 for the three months ended March 31, 2018 and 2017 , respectively. The Company's tax provision represents the income tax expense or benefit of its consolidated subsidiaries that are taxable entities. The consolidated subsidiaries' effective tax rates for the three months ended March 31, 2018 were reduced as compared to the same period of 2017 because of the lower U.S. federal income tax rates enacted in December 2017 under the TCJA. The Company's consolidated subsidiaries have recorded deferred tax valuation allowances to the extent that they believe it is more likely than not that the benefits of the deferred tax assets will not be realized in future periods. There have not been any significant changes in deferred tax valuation allowances during the three months ended March 31, 2018 or 2017 . The TCJA includes a transition tax on the deemed distribution of previously untaxed accumulated and current earnings and profits ("E&P") of certain foreign subsidiaries. For the year ended December 31, 2017, the Company recorded a provisional amount for the one-time mandatory repatriation tax liability of $2,165 . The Company has not yet finalized its calculation of the total post-1986 E&P and non-U.S. income taxes paid on such earnings for these foreign subsidiaries. Further, the transition tax is based on the amount of those earnings that are held in cash and other specified illiquid assets. This amount may change when the calculation of post-1986 net accumulated foreign E&P previously deferred from U.S. federal taxation and the amounts held in cash or other specified illiquid assets are finalized, and is subject to further refinement if further guidance is issued by federal and state taxing authorities. U.S. GAAP and the Securities and Exchange Commission ("SEC") allow for a measurement period not to exceed one year from the enactment date of the TCJA in order for companies to complete their accounting for the effects of the TCJA. For the three months ended March 31, 2018 , the Company has not recorded any adjustments to its previously recorded provisional amounts. The Company intends to complete its accounting during the allowed measurement period permitted under U.S. GAAP and SEC guidance. |
Net (Loss) Income Per Common Un
Net (Loss) Income Per Common Unit | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Net (Loss) Income Per Common Unit | NET LOSS PER COMMON UNIT The following data was used in computing net income per common unit shown in the Company's consolidated statements of operations: Three Months Ended March 31, 2018 2017 Net loss $ (8,851 ) $ (3,098 ) Net income attributable to noncontrolling interests in consolidated entities (227 ) (984 ) Net loss attributable to common unitholders $ (9,078 ) $ (4,082 ) Net loss per common unit – basic and diluted: Net loss attributable to common unitholders $ (0.35 ) $ (0.16 ) Denominator for net loss per common unit - basic 26,264,101 26,145,711 Effect of dilutive securities: (a) Incentive units — — Unvested restricted units — — SPLP Preferred Units — — Denominator for net loss per common unit - diluted 26,264,101 26,145,711 (a) For the three months ended March 31, 2018 , the diluted per unit calculation was based on the basic weighted-average units only since the impact of SPLP Preferred Units ( 10,811,476 common unit equivalents) and unvested restricted stock units ( 41,985 common unit equivalents), would have been anti-dilutive. For the three months ended March 31, 2017 , SPLP Preferred Units ( 1,910,964 common unit equivalents), 266,342 accrued incentive units and unvested restricted stock units ( 41,085 common unit equivalents) were omitted from the calculation because their effects would have been anti-dilutive. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Financial assets and liabilities measured at fair value on a recurring basis in the Company's consolidated financial statements as of March 31, 2018 and December 31, 2017 are summarized by type of inputs applicable to the fair value measurements as follows: March 31, 2018 Level 1 Level 2 Level 3 Total Assets: Marketable securities (a) $ 1,433 $ 1,906 $ 11,781 $ 15,120 Long-term investments (a) 200,472 27,844 43,672 271,988 Investments in certain funds — — 482 482 Precious metal and commodity inventories recorded at fair value 10,303 — — 10,303 Economic interests in loans — — 14,190 14,190 Warrants — — 206 206 Investment in private company — — 250 250 Commodity contracts on precious metal and commodity inventories — 66 — 66 Foreign currency forward exchange contracts — 212 — 212 Total $ 212,208 $ 30,028 $ 70,581 $ 312,817 Liabilities: Financial instrument obligations $ 13,092 $ — $ — $ 13,092 Total $ 13,092 $ — $ — $ 13,092 December 31, 2017 Level 1 Level 2 Level 3 Total Assets: Marketable securities (a) $ 44,371 $ 1,988 $ 11,954 $ 58,313 Long-term investments (a) 186,750 10,387 36,223 233,360 Investments in certain funds — — 407 407 Precious metal and commodity inventories recorded at fair value 10,993 — — 10,993 Economic interests in loans — — 13,126 13,126 Foreign currency forward exchange contracts — 166 — 166 Warrants — — 206 206 Long put options 3 — — 3 Total $ 242,117 $ 12,541 $ 61,916 $ 316,574 Liabilities: Financial instrument obligations $ 15,629 $ — $ — $ 15,629 Commodity contracts on precious metal and commodity inventories — 127 — 127 Foreign currency forward exchange contracts — 188 — 188 Short call options 258 — 258 Total $ 15,887 $ 315 $ — $ 16,202 (a) For additional detail of the marketable securities and long-term investments see Note 8 - "Investments." There were no transfers of securities among the various measurement input levels during the three months ended March 31, 2018 . Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the "exit price") in an orderly transaction between market participants at the measurement date. Fair value measurements are broken down into three levels based on the reliability of inputs as follows: Level 1 inputs are quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. An active market for the asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. The valuation under this approach does not entail a significant degree of judgment ("Level 1"). Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, inputs other than quoted prices that are observable for the asset or liability (e.g. interest rates and yield curves observable at commonly quoted intervals or current market) and contractual prices for the underlying financial instrument, as well as other relevant economic measures ("Level 2"). Level 3 inputs are unobservable inputs for the asset or liability. Unobservable inputs are used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date ("Level 3"). The fair value of the Company's financial instruments such as cash and cash equivalents, trade and other receivables and accounts payable, approximates carrying value due to the short-term maturities of these assets and liabilities. Carrying cost approximates fair value for long-term debt which has variable interest rates. The precious metal and commodity inventories associated with the Company's fair value hedges (see Note 10 - "Financial Instruments") are reported at fair value. Fair values of these inventories are based on quoted market prices on commodity exchanges and are considered Level 1 measurements. The derivative instruments that the Company purchases in connection with its precious metal and commodity inventories, specifically commodity futures and forward contracts, are also valued at fair value. The futures contracts are Level 1 measurements since they are traded on a commodity exchange. The forward contracts are entered into with a counterparty and are considered Level 2 measurements. Following is a summary of changes in financial assets measured using Level 3 inputs: Long-Term Investments Investments in Associated Companies (a) STCN Warrants (a) Marketable Securities and Other (b) Total Assets Balance at December 31, 2016 $ 1,223 $ 19 $ 30,789 $ 32,031 Sales and cash collections — — (1,249 ) (1,249 ) Realized gains — — 2,497 2,497 Unrealized gains — 13 2,452 2,465 Balance at March 31, 2017 $ 1,223 $ 32 $ 34,489 $ 35,744 Balance at December 31, 2017 $ 36,223 $ — $ 25,693 $ 61,916 Purchases — — 250 250 Sales and cash collections — — (2,478 ) (2,478 ) Realized gain on sale — — 3,299 3,299 Unrealized gains 7,449 — 145 7,594 Balance at March 31, 2018 $ 43,672 $ — $ 26,909 $ 70,581 (a) Unrealized gains and losses are recorded in Income of associated companies, net of taxes in the Company's consolidated statements of operations. (b) Realized and unrealized gains and losses on sale are recorded in Realized and unrealized losses on securities, net or Revenue in the Company's consolidated statements of operations. Long-Term Investments - Valuation Techniques The Company estimates the value of its investment in STCN preferred stock using a Monte Carlo simulation. Key inputs in this valuation include the trading price and volatility of STCN’s common stock, the risk-free rate of return, as well as the dividend rate, conversion price and redemption date of the preferred stock. The Company estimates the value of another of its investments in an associated company primarily using a discounted cash flow method adjusted for additional information related to debt covenants, solvency issues and other related matters. Marketable Securities and Other - Valuation Techniques The Company uses the net asset value included in quarterly statements it receives in arrears from a venture capital fund to determine the fair value of such fund and determines the fair value of certain corporate securities and corporate obligations by incorporating and reviewing prices provided by third-party pricing services based on the specific features of the underlying securities. The fair value of the derivatives held by WebBank (see Note 10 - "Financial Instruments") represent the estimated amounts that WebBank would receive or pay to terminate the contracts at the reporting date and is based on discounted cash flow analyses that consider credit, performance and prepayment. Unobservable inputs used in the discounted cash flow analyses are: a constant prepayment rate of 6.34% to 35.65% , a constant default rate of 0.75% to 22.06% and a discount rate of 1.46% to 27.51% . |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Environmental and Litigation Matters As discussed in more detail below, certain of the Company's subsidiaries have been designated as potentially responsible parties ("PRPs") by federal and state agencies with respect to certain sites with which they may have had direct or indirect involvement and as defendants in certain legal proceedings. Most such legal proceedings and environmental investigations involve unspecified amounts of potential damage claims or awards, are in an initial procedural phase, involve significant uncertainty as to the outcome, or involve significant factual issues that need to be resolved, such that it is not possible for the Company to estimate a range of possible loss. For matters that have progressed sufficiently through the investigative process such that the Company is able to reasonably estimate a range of possible loss, an estimated range of possible loss is provided, in excess of the accrued liability (if any) for such matters. Any estimated range is or will be based on currently available information and involves elements of judgment and significant uncertainties. Any estimated range of possible loss may not represent the Company's maximum possible loss exposure. The circumstances of such legal proceedings and environmental investigations will change from time to time, and actual results may vary significantly from the current estimate. For current proceedings not specifically reported below, management does not anticipate that the liabilities, if any, arising from such proceedings would have a material effect on the financial position, liquidity or results of operations of the Company. The environmental claims are in various stages of administrative or judicial proceedings and include demands for recovery of past governmental costs and for future investigations and remedial actions. In many cases, the dollar amounts of the claims have not been specified and, with respect to a number of the PRP claims, have been asserted against a number of other entities for the same cost recovery or other relief as was asserted against certain of the Company's subsidiaries. The Company accrues costs associated with environmental and litigation matters on an undiscounted basis, when they become probable and reasonably estimable. As of March 31, 2018 , on a consolidated basis, the Company has accrued liabilities of $11,857 , which represent the current estimate of environmental remediation liabilities as well as reserves related to the litigation matters discussed below. Expenses relating to these costs, and any recoveries, are included in Selling, general and administrative expenses in the Company's consolidated statements of operations. In addition, the Company has insurance coverage available for several of these matters and believes that excess insurance coverage may be available as well. Estimates of the Company's liability for remediation of a particular site and the method and ultimate cost of remediation require a number of assumptions that are inherently difficult to make, and the ultimate outcome may be materially different from current estimates. Environmental Matters Certain HNH subsidiaries have existing and contingent liabilities relating to environmental matters, including costs of remediation, capital expenditures, and potential fines and penalties relating to possible violations of national and state environmental laws. Those subsidiaries have remediation expenses on an ongoing basis, although such costs are continually being readjusted based upon the emergence of new techniques and alternative methods. HNH recorded current liabilities of approximately $10,108 related to estimated environmental remediation costs as of March 31, 2018 . HNH may have insurance coverage available for certain of these matters. Included among these liabilities, certain HNH subsidiaries have been identified as PRPs under the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA") or similar state statutes at sites and are parties to administrative consent orders in connection with certain properties. Those subsidiaries may be subject to joint and several liabilities imposed by CERCLA on PRPs. Due to the technical and regulatory complexity of remedial activities and the difficulties attendant in identifying PRPs and allocating or determining liability among them, the subsidiaries are unable to reasonably estimate the ultimate cost of compliance with such laws. Based upon information currently available, the HNH subsidiaries do not expect that their respective environmental costs, including the incurrence of additional fines and penalties, if any, will have a material adverse effect on them or that the resolution of these environmental matters will have a material adverse effect on the financial position, results of operations or cash flows of such subsidiaries or the Company, but there can be no such assurances. The Company anticipates that the subsidiaries will pay any such amounts out of their respective working capital, although there is no assurance that they will have sufficient funds to pay them. In the event that a HNH subsidiary is unable to fund its liabilities, claims could be made against its respective parent companies for payment of such liabilities. The sites where certain HNH subsidiaries have environmental liabilities include the following: HNH has been working with the Connecticut Department of Energy and Environmental Protection ("CTDEEP") with respect to its obligations under a 1989 consent order that applies to a property in Connecticut that HNH sold in 2003 ("Sold Parcel") and an adjacent parcel ("Adjacent Parcel") that together comprise the site of a former HNH manufacturing facility. The remaining remediation, monitoring and regulatory administrative costs for the Sold Parcel are expected to approximate $100 . With respect to the Adjacent Parcel, an ecological risk assessment has been completed and the results, along with proposed clean up goals, were submitted in the second quarter of 2016 to the CTDEEP for their review and approval. The next phase will be a physical investigation of the upland portion of the parcel. An upland work plan was submitted in the third quarter of 2017 to the CTDEEP and was approved in March 2018. That work is expected to start in the second quarter of 2018 and is estimated to cost approximately $300 . Investigation of the wetlands portion is also expected to start in the third quarter of 2018, pending regulatory approvals and setting goals for the entire parcel. The total remediation costs for the Adjacent Parcel cannot be reasonably estimated at this time. Based on the current stage of the investigation at this time, the Company estimates that it is reasonably possible that it may incur aggregate losses over a period of several years, above its accrued liability, in a range of $2,000 to $6,000 . Due to the uncertainties, there can be no assurance that the resolution of this matter will not be material to the financial position, results of operations or cash flows of the Company. In 1986, Handy & Harman Electronic Materials Corporation ("HHEM"), a subsidiary of HNH, entered into an administrative consent order ("ACO") with the New Jersey Department of Environmental Protection ("NJDEP") with regard to certain property that it purchased in 1984 in New Jersey. The ACO involves investigation and remediation activities to be performed with regard to soil and groundwater contamination. HHEM is actively remediating the property and is continuing to investigate effective methods for achieving compliance with the ACO. HHEM anticipates entering into discussions with the NJDEP to address that agency's potential natural resource damage claims, the timing and ultimate scope and cost of which cannot be estimated at this time. Pursuant to a settlement agreement with the former owner/operator of the site, the responsibility for site investigation and remediation costs, as well as any other costs, as defined in the settlement agreement, related to or arising from environmental contamination on the property (collectively, "Costs") are contractually allocated 75% to the former owner/operator and 25% jointly to HHEM and HNH, all after having the first $1,000 paid by the former owner/operator. As of March 31, 2018 , total investigation and remediation costs of approximately $6,700 and $2,100 have been expended by the former owner/operator and HHEM, respectively, in accordance with the settlement agreement. Additionally, HHEM has been reimbursed indirectly through insurance coverage for a portion of the Costs for which HHEM is responsible. While the primary insurance reimbursement ceased, HHEM believes that there is additional excess insurance coverage, which it is currently pursuing. HHEM anticipates that there will be additional remediation expenses to be incurred once a final remediation plan is agreed upon. There is no assurance that the former owner/operator or guarantors will continue to timely reimburse HHEM for expenditures and/or will be financially capable of fulfilling their obligations under the settlement agreement and the guaranties. There is no assurance that there will be any additional insurance reimbursement. Based on the current stage of the investigation at this site at this time, the Company estimates that it is reasonably possible that it may incur aggregate losses of $1,800 above its current accrued liability for this site, of which it expects to pay a 25% share. The final costs cannot be reasonably estimated at this time, and accordingly, there can be no assurance that the resolution of this matter will not be material to the financial position, results of operations or cash flows of HHEM, HNH or the Company. HNH's subsidiary, SL Industries, Inc. ("SLI"), may incur environmental costs in the future as a result of the past activities of its former subsidiary, SL Surface Technologies, Inc. ("SurfTech"), at sites located in Pennsauken, New Jersey ("Pennsauken Site"), in Camden, New Jersey ("Camden Site") and at its former subsidiary, SGL Printed Circuits in Wayne, New Jersey ("Wayne Site"). At the Pennsauken Site, SLI reached an agreement with both the U.S. Department of Justice and the U.S. Environmental Protection Agency ("EPA") related to its liability and entered into a Consent Decree which governs the agreement. SLI agreed to perform remediation of the SurfTech site, which is complete, and to pay a fixed sum for the EPA's past oversight costs. The fixed sum was to be paid in installments, and a final payment of $2,100 was made in June of 2017. Separate from the Consent Decree with the United States, in December 2012, the NJDEP made a settlement demand of $1,800 for past and future cleanup and removal costs and natural resource damages ("NRD"). Although SLI and its counsel believe that it has meritorious defenses to any claim for reimbursement of past cost and NRD damages, to avoid the time and expense of litigating the matter, SLI offered to pay approximately $300 to fully resolve the claim presented by the State of New Jersey. On June 29, 2015, the Company's legal counsel received a letter from New Jersey's Deputy Attorney General rejecting the Company's counter offer, but stated that the matter was open for further negotiations. On September 18, 2017, the Company received another letter from the Office of the Attorney General for the State of New Jersey ("New Jersey AG") wherein the New Jersey AG reiterated NJDEP's original settlement demand of $1,800 for SLI's alleged past costs and NRD related to the Pennsauken Site. In November 2017, NJDEP indicated that in addition to the original settlement demand, SLI would be responsible to NJDEP for its 10% cost payments to the EPA for the on-going remediation of the impacted groundwater aquifers. Since November, there have been no additional discussions or communications with NJDEP. SLI believes it may have defenses to the various claims and intends to assert all legal and procedural defenses available to it to make sure all costs attributed to SLI have been properly identified and substantiated. Although the final scope and cost of this claim cannot be estimated at this time, we estimate that it is reasonably possible that we may incur an aggregate loss, above our current accrued liability for this site, in a range of $300 to $1,800 . There can be no assurance that there will not be potential additional costs associated with the site, which cannot be reasonably estimated at this time. Accordingly, there can be no assurance that the resolution of this matter will not be material to the financial position, results of operations or cash flows of SLI, HNH or the Company. SLI reported soil contamination and a groundwater contamination in 2003 from the SurfTech site located in Camden, New Jersey. Substantial investigation and remediation work has been completed under the direction of the Licensed Site Remediation Professional ("LSRP") for the site. Additional soil excavation, slab removal and chemical treatment is expected to be initiated during the first half of 2018. Construction of an asphalt cap is expected in the second half of 2018 and post remediation groundwater monitoring conducted thereafter. SLI's environmental consultants also implemented an interim bio-remediation pilot study to assess biological treatment of on-site contaminated groundwater. Subsequent groundwater monitoring to assess the bio-remediation effectiveness was completed and consistent decreases in target contaminants concentrations in groundwater were observed. In December 2014, a report was submitted to the NJDEP stating sufficient information was obtained from the pilot study to complete the full-scale groundwater remedy design. A full-scale groundwater bioremediation will be implemented during the fourth quarter of 2018 following the soil remediation mentioned above. A reserve of $2,800 has been established for anticipated costs at this site, but there can be no assurance that there will not be potential additional costs associated with the site which cannot be reasonably estimated at this time. Accordingly, there can be no assurance that the resolution of this matter will not be material to the financial position, results of operations or cash flows of SLI, HNH or the Company. SLI is currently participating in environmental assessment and cleanup at a commercial facility located in Wayne, New Jersey. Contaminated soil and groundwater has undergone remediation with the NJDEP and LSRP oversight, but contaminants of concern in groundwater and surface water, which extend off-site, remain above applicable NJDEP remediation standards. SLI's LSRP completed a supplemental groundwater remedial action approved by the NJDEP, and a report was filed with the NJDEP in March 2015. SLI's consultants have developed cost estimates for supplemental remedial injections, soil excavation, and additional tests and remedial activities. The LSRP prepared a Remedial Investigation Report, which was sent to the NJDEP in May 2016. Off-site access to the adjacent property was negotiated and monitoring wells were installed in the fourth quarter of 2017. Results of the initial samples of the off-site wells detected chemicals of concern above NJDEP standards. As a result, additional off-site wells will have to be installed and sampled pending additional access approval. A reserve of approximately $ 1,300 has been established for anticipated costs, but there can be no assurance that there will not be potential additional costs associated with the site, which cannot be reasonably estimated at this time. Accordingly, there can be no assurance that the resolution of this matter will not be material to the financial position, results of operations or cash flows of SLI, HNH or the Company. BNS LLC, a wholly-owned subsidiary of the BNS Holdings Liquidating Trust, has been named as a PRP at one previously disclosed site. Based upon information currently available, BNS Holdings Liquidating Trust does not expect that its environmental costs or that the resolution of this environmental matter will have a material adverse effect on the financial position, results of operations or cash flows of the Company, but there can be no such assurances to this effect. Litigation Matters BNS Litigation Matters A subsidiary of BNS Holdings Liquidating Trust ("BNS Sub") has been named as a defendant in approximately 1,390 alleged asbestos-related toxic-tort claims as of March 31, 2018 . The claims were filed over a period beginning in 1994 through March 31, 2018 . In many cases these claims involved more than 100 defendants. Of the claims filed, approximately 1,340 were dismissed, settled or granted summary judgment and closed as of March 31, 2018 . Of the claims settled, the average settlement was less than $3 . There remained approximately 50 pending asbestos claims as of March 31, 2018 . There can be no assurance that the number of future claims and the related costs of defense, settlements or judgments will be consistent with the experience to-date of existing claims. BNS Sub has insurance policies covering asbestos-related claims for years beginning 1974 through 1988 with estimated aggregate coverage limits of $183,000 , with $1,543 at both March 31, 2018 and December 31, 2017 in estimated remaining self-insurance retention (deductible). There is secondary evidence of coverage from 1970 to 1973, although there is no assurance that the insurers will recognize that the coverage was in place. Policies issued for BNS Sub beginning in 1989 contained exclusions related to asbestos. Under certain circumstances, some of the settled claims may be reopened. Also, there may be a significant delay in receipt of notification by BNS Sub of the entry of a dismissal or settlement of a claim or the filing of a new claim. BNS Sub believes it has significant defenses to any liability for toxic-tort claims on the merits. None of these toxic-tort claims has gone to trial and, therefore, there can be no assurance that these defenses will prevail. BNS Sub annually receives retroactive billings or credits from its insurance carriers for any increase or decrease in claims accruals as claims are filed, settled or dismissed, or as estimates of the ultimate settlement and defense costs for the then-existing claims are revised. As of both March 31, 2018 and December 31, 2017 , BNS Sub has accrued $1,349 relating to the open and active claims against BNS Sub. This accrual represents the Company's best estimate of the likely costs to defend against or settle these claims by BNS Sub beyond the amounts accrued by the insurance carriers and previously funded by BNS Sub through the retroactive billings. There can be no assurance that the number of future claims and the related costs of defense, settlements or judgments will be consistent with the experience to-date of existing claims and that BNS Sub will not need to significantly increase its estimated liability for the costs to settle these claims to an amount that could have a material effect on the consolidated financial statements. Other Litigation In the ordinary course of our business, we are subject to other periodic lawsuits, investigations, claims and proceedings, including, but not limited to, contractual disputes, employment, environmental, health and safety matters, as well as claims associated with our historical acquisitions and divestitures. There is insurance coverage available for many of the foregoing actions. Although we cannot predict with certainty the ultimate resolution of lawsuits, investigations, claims and proceedings asserted against us, we do not believe any currently pending legal proceeding to which we are a party will have a material adverse effect on our business, prospects, financial condition, cash flows, results of operations or liquidity. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | RELATED PARTY TRANSACTIONS Management Agreement with SP General Services LLC SPLP is managed by the Manager, pursuant to the terms of the Management Agreement, which receives a fee at an annual rate of 1.5% of total Partners' capital ("Management Fee"), payable on the first day of each quarter and subject to quarterly adjustment. In addition, SPLP may issue to the Manager partnership profits interests in the form of incentive units, which will be classified as Class C common units of SPLP, upon the attainment of certain specified performance goals by SPLP, which are determined as of the last day of each fiscal year (see Note 12 - "Capital and Accumulated Other Comprehensive Loss" for additional information on the incentive units). The Management Agreement is automatically renewed each December 31 for successive one -year terms unless otherwise determined at least 60 days prior to each renewal date by a majority of the independent directors. The Management Fee was $2,048 and $2,058 for the three months ended March 31, 2018 and 2017 , respectively. The Management Fee is included in Selling, general and administrative expenses in the Company's consolidated statements of operations. An over payment for the management fees included in Payables to related parties on the Company's consolidated balance sheets was $202 at March 31, 2018 and an unpaid amount for management fees included in Payables to related parties on the Company's consolidated balance sheets was $487 at December 31, 2017 . SPLP will bear (or reimburse the Manager with respect to) all its reasonable costs and expenses of the managed entities, the Manager, SPH GP or their affiliates, including but not limited to: legal, tax, accounting, auditing, consulting, administrative, compliance, investor relations costs related to being a public entity rendered for SPLP or SPH GP, as well as expenses incurred by the Manager and SPH GP which are reasonably necessary for the performance by the Manager of its duties and functions under the Management Agreement and certain other expenses incurred by managers, officers, employees and agents of the Manager or its affiliates on behalf of SPLP. Reimbursable expenses incurred by the Manager in connection with its provision of services under the Management Agreement were approximately $1,025 and $1,264 for the three months ended March 31, 2018 and 2017 , respectively. Unpaid amounts for reimbursable expenses were approximately $1,007 and $881 at March 31, 2018 and December 31, 2017 , respectively, and are included in Payables to related parties on the Company's consolidated balance sheets. Corporate Services The Company's subsidiary, Steel Services Ltd ("Steel Services"), through Management Services Agreements with its subsidiaries and portfolio companies, provides services, which include assignment of C-Level management personnel, legal, tax, accounting, treasury, consulting, auditing, administrative, compliance, environmental health and safety, human resources, marketing, investor relations, operating group management and other similar services. In addition to its servicing agreements with SPLP and its consolidated subsidiaries, which are eliminated in consolidation, Steel Services has management services agreements with other companies considered to be related parties, including NOVT Corporation, Ore Holdings, Inc., J. Howard Inc., Steel Partners, Ltd., iGo, STCN and Aerojet Rocketdyne Holdings, Inc. In total, Steel Services will charge approximately $2,720 annually to these companies. All amounts billed under these service agreements are classified as a reduction of Selling, general and administrative expenses. Mutual Securities, Inc. Pursuant to the Management Agreement, the Manager is responsible for selecting executing brokers. Securities transactions for SPLP are allocated to brokers on the basis of reliability and best price and execution. The Manager has selected Mutual Securities, Inc. as an introducing broker and may direct a substantial portion of the managed entities' trades to such firm, among others. An officer of the Manager and SPH GP is affiliated with Mutual Securities, Inc. The commissions paid by SPLP to Mutual Securities, Inc. were not significant in any period. Other At March 31, 2018 and December 31, 2017 , several related parties and consolidated subsidiaries had deposits totaling $2,174 and $2,438 , respectively, at WebBank. Approximately $89 and $357 of these deposits, including interest which was not significant, has been eliminated in consolidation as of March 31, 2018 and December 31, 2017 , respectively. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION SPLP operates through the following segments: Diversified Industrial, Energy, Financial Services, and Corporate and Other, which are managed separately and offer different products and services. For a more complete description of the Company's segments, see "Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations - Overview." Corporate assets and overhead expenses are not allocated to the segments. Steel Services charged the Diversified Industrial, Energy and Financial Services segments approximately $3,300 , $2,100 and $1,175 , respectively, for the three months ended March 31, 2018 and $2,900 , $2,000 and $1,175 , respectively, for the three months ended March 31, 2017 . These service fees are reflected as expenses in the segment income (loss) below, but are eliminated in consolidation. Segment information is presented below: Three Months Ended March 31, 2018 2017 Revenue: Diversified industrial $ 307,618 $ 280,214 Energy 36,592 27,316 Financial services 22,035 15,789 Total $ 366,245 $ 323,319 Income (loss) before income taxes: Diversified industrial $ 10,682 $ 7,946 Energy (5,820 ) (7,777 ) Financial services 8,530 7,623 Corporate and other (20,913 ) (4,044 ) (Loss) income before income taxes (7,521 ) 3,748 Income tax provision 1,330 6,846 Net loss $ (8,851 ) $ (3,098 ) Income of associated companies, net of taxes Energy $ 819 $ 799 Corporate and other 1,136 5,503 Total $ 1,955 $ 6,302 |
Regulatory Matters
Regulatory Matters | 3 Months Ended |
Mar. 31, 2018 | |
Regulatory Matters [Abstract] | |
Regulatory Matters | REGULATORY MATTERS WebBank is subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements can initiate certain actions by regulators that, if undertaken, could have a direct material effect on WebBank's financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, WebBank must meet specific capital guidelines that involve quantitative measures of its assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. WebBank's capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. In July 2013, the Federal Deposit Insurance Corporation approved the final rules implementing the Basel Committee on Banking Supervision's capital guidelines for U.S. banks ("Basel III"). Under the final rules, which began for WebBank on January 1, 2015 and are subject to a phase-in period through January 1, 2019, minimum requirements will increase for both the quantity and quality of capital held by WebBank. The rules include a new common equity Tier 1 capital to risk-weighted assets ratio ("CET1 Ratio") of 4.5% and a capital conservation buffer of 2.5% of risk-weighted assets, which when fully phased-in, effectively results in a minimum CET1 Ratio of 7.0% . Basel III raises the minimum ratio of Tier 1 capital to risk-weighted assets from 4.0% to 6.0% (which, with the capital conservation buffer, effectively results in a minimum Tier 1 capital ratio of 8.5% when fully phased-in), effectively results in a minimum total capital to risk-weighted assets ratio of 10.5% (with the capital conservation buffer fully phased-in), and requires a minimum leverage ratio of 4.0% . Basel III also makes changes to risk weights for certain assets and off-balance-sheet exposures. WebBank expects that its capital ratios under Basel III will continue to exceed the well capitalized minimum capital requirements, and such amounts are disclosed in the table below: Amount of Capital Required Actual For Capital Adequacy Purposes Minimum Capital Adequacy With Capital Buffer To Be Well Capitalized Under Prompt Corrective Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio As of March 31, 2018 Total Capital (to risk-weighted assets) $ 112,585 24.20 % $ 37,219 8.00 % $ 45,942 9.88 % $ 46,524 10.00 % Tier 1 Capital (to risk-weighted assets) $ 106,753 22.90 % $ 27,914 6.00 % $ 36,638 7.88 % $ 37,219 8.00 % Common Equity Tier 1 Capital (to risk-weighted assets) $ 106,753 22.90 % $ 20,936 4.50 % $ 29,659 6.38 % $ 30,241 6.50 % Tier 1 Capital (to average assets) $ 106,753 17.80 % $ 23,934 4.00 % n/a n/a $ 29,918 5.00 % As of December 31, 2017 Total Capital (to risk-weighted assets) $ 111,102 28.90 % $ 30,710 8.00 % $ 35,509 9.25 % $ 38,388 10.00 % Tier 1 Capital (to risk-weighted assets) $ 106,296 27.70 % $ 23,033 6.00 % $ 27,831 7.25 % $ 30,710 8.00 % Common Equity Tier 1 Capital (to risk-weighted assets) $ 106,296 27.70 % $ 17,275 4.50 % $ 22,073 5.75 % $ 24,952 6.50 % Tier 1 Capital (to average assets) $ 106,296 19.00 % $ 22,398 4.00 % n/a n/a $ 27,998 5.00 % |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Mar. 31, 2018 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | SUPPLEMENTAL CASH FLOW INFORMATION The amount of Cash, cash equivalents and restricted cash as of March 31, 2018 and 2017 in the consolidated statements of cash flows is reconciled to the Company's consolidated balance sheets as follows: Three Months Ended March 31, 2018 2017 Cash and cash equivalents $ 322,833 $ 382,339 Restricted cash 13,092 13,513 Total cash, cash equivalents and restricted cash $ 335,925 $ 395,852 A summary of supplemental cash flow information for each of the three -month periods ending March 31, 2018 and 2017 is presented in the following table: Three Months Ended March 31, 2018 2017 Cash paid during the period for: Interest $ 8,365 $ 4,055 Taxes $ 646 $ 2,201 Non-cash investing and financing activities: Contingent purchase price (future earn-out) associated with the Dunmore acquisition $ 3,800 $ — Issuance of SPLP Preferred Units to purchase subsidiary shares from noncontrolling interests $ — $ 63,503 |
Nature of the Business and Ba29
Nature of the Business and Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis Presentation | Basis of Presentation The consolidated balance sheet as of December 31, 2017 , which has been derived from audited financial statements, and the unaudited consolidated financial statements included herein have been prepared by the Company in accordance with the rules and regulations of the Securities and Exchange Commission for interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") have been condensed or omitted in accordance with those rules and regulations. The Company believes that the disclosures made are adequate to make the information not misleading. This quarterly report on Form 10-Q should be read in conjunction with the Company's audited consolidated financial statements on Form 10-K for the year ended December 31, 2017 . Certain amounts for the prior year have been reclassified to conform to the current year presentation, principally to conform with changes made in accordance with new accounting pronouncements adopted January 1, 2018, as discussed further below. In the opinion of management, the interim financial statements reflect all normal and recurring adjustments necessary to present fairly the consolidated financial position and the results of operations and changes in cash flows for the interim periods. The preparation of the consolidated financial statements in conformity with U.S. GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. Estimates are based on historical experience, expected future cash flows and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. The results of operations for the three months ended March 31, 2018 are not necessarily indicative of the operating results for the full year. |
New Accounting Pronouncements | New or Recently Adopted Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606), and has since issued amendments thereto (collectively referred to herein as "ASC 606"). The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services, and the guidance defines a five-step process to achieve this core principle. ASC 606 also requires additional disclosure about the nature, amount, timing and uncertainty of revenues and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The Company adopted ASC 606 as of January 1, 2018 using the modified retrospective transition method. For additional information, see Note 2 - "Revenues." In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10) , which eliminates the requirement to classify equity securities with readily determinable market values as either available-for-sale securities or trading securities, and requires that equity investments, other than those accounted for under the traditional equity method of accounting, be measured at their fair value with changes in fair value recognized in net income or loss. In the past, changes in fair value were reported in the Company's consolidated statement of comprehensive income (loss) and in Accumulated other comprehensive income (loss) ("AOCI"). Equity investments that do not have readily determinable market values may be measured at cost under ASU 2016-01, subject to an assessment for impairment. We adopted ASU 2016-01 effective January 1, 2018. Upon adoption, we recorded a cumulative effect reclassification adjustment from AOCI to Partners' capital of $91,078 , which represented the accumulated net unrealized gain on equity securities that was held in AOCI as of December 31, 2017. See also Note 12 - "Capital and Accumulated Other Comprehensive Loss." In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . The new standard establishes a right-of-use ("ROU") model that requires a lessee to record a ROU asset and a lease liability, measured on a discounted basis, on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the statement of operations. A modified retrospective transition approach is required for capital and operating leases existing at the date of adoption, with certain practical expedients available. The Company is currently evaluating the potential impact of this new guidance, which is effective for the Company's 2019 fiscal year. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The new standard changes the impairment model for most financial assets that are measured at amortized cost and certain other instruments, including trade receivables, from an incurred loss model to an expected loss model and adds certain new required disclosures. Under the expected loss model, entities will recognize estimated credit losses to be incurred over the entire contractual term of the instrument rather than delaying recognition of credit losses until it is probable the loss has been incurred. The new standard is effective for the Company's 2020 fiscal year with early adoption permitted for all entities in fiscal years beginning after December 15, 2018. The Company is currently evaluating the potential impact of this new guidance. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. This new standard provided guidance to help decrease diversity in practice in how certain cash receipts and cash payments are classified in the statement of cash flows. The amendments in ASU 2016-15 provided guidance on eight specific cash flow issues. We adopted ASU 2016-15 effective January 1, 2018. The adoption of this standard did not have a material impact on the Company's consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. This new standard provides guidance on the classification of restricted cash in the statement of cash flows. We adopted ASU 2016-18 effective January 1, 2018. As a result of the adoption of ASU 2016-18, in the consolidated statement of cash flows for the three months ended March 31, 2017, we reclassified $13,513 of restricted cash. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. This new standard provides guidance to help determine more clearly what is a business acquisition, as opposed to an asset acquisition. The amendments provide a screen to help determine when a set of components is a business by reducing the number of transactions in an acquisition that need to be evaluated. The new standard states that to classify the acquisition of assets as a business, there must be an input and a substantive process that jointly contribute to the ability to create outputs, with outputs being defined as the key elements of the business. If all of the fair value of the assets acquired are concentrated in a single asset group, this would not qualify as a business. The Company adopted ASU 2017-01 effective January 1, 2018. The adoption of this standard did not have a material impact on the Company's consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . This new standard simplifies subsequent measurements of goodwill by eliminating Step 2 from the goodwill impairment test. Instead, entities will perform their interim or annual goodwill impairment testing by comparing the fair value of a reporting unit with its carrying amount and recognizing an impairment charge based on the amount that the carrying amount exceeds the reporting unit's fair value. The loss recognized should not exceed the total goodwill allocated to the reporting unit. The amendments in ASU 2017-04 are effective for the Company's 2020 fiscal year. The Company is currently evaluating the potential impact of this new guidance. In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . This new standard requires the components of net benefit cost to be disaggregated within the statement of operations, with service cost being included in the same line item as other compensation costs, and any other components being presented outside of operating income. The Company adopted ASU 2017-07 effective January 1, 2018. Since the Company's significant pension plans have been frozen, there is no substantial service cost associated with such plans and therefore, the adoption of ASU 2017-07 did not have a material impact on the Company's consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718): Scope of Modification Accounting . This new standard provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. The standard states that entities should account for the effects of a modification unless the fair value of the modified award is the same as the fair value of the original award, the vesting conditions do not change, and the classification as an equity instrument or a liability instrument is the same. We adopted ASU 2017-09 effective January 1, 2018. The adoption of this standard did not have a material impact on the Company's consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . This new standard was created to refine and expand hedge accounting for both financial and commodity risk in order to simplify the current application of hedge accounting guidance in current U.S. GAAP. This new standard creates more transparency around how hedging results are presented, both in the notes and on the face of the financial statements. The amendments in ASU 2017-12 are effective for the Company's 2019 fiscal year. The Company is currently evaluating the potential impact of this new guidance. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The new standard provides financial statement preparers with an option to reclassify stranded tax effects within AOCI to retained earnings in each period in which the effect of the change in the U.S. federal corporate income tax rate in the federal Tax Cuts and Jobs Act ("TCJA") is recorded. The amendments in ASU 2018-02 are effective for the Company's 2019 fiscal year. The Company is currently evaluating the potential impact of this new guidance. In March 2018, the FASB issued ASU 2018-05, Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118. ASU 2018-05 applies to income tax effects from the enactment of the TCJA in December 2017. ASU 2018-05 allows a Company to report as provisional those amounts where the Company does not have the necessary information available, prepared or analyzed in reasonable detail to complete the accounting under Accounting Standards Codification Topic 740. ASU 2018-05 further allows a measurement period, not to exceed one year from the enactment date of TCJA, during which an entity may need to reflect adjustments to its provisional amounts. ASU 2018-05 requires that any adjustments to provisional amounts during the measurement period be included in income from continuing operations as an adjustment to tax expense or benefit, and also requires certain disclosures. The provisions of ASU 2018-05 were effective as of the enactment date of the TCJA, December 22, 2017. |
Revenue Recognition Accounting Policies | Revenue Recognition Accounting Policies Revenues are recognized when control of the promised goods or services are transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company records all shipping and handling fees billed to customers as revenue. The Company has elected to account for shipping and handling activities that are performed after the customer obtains control of a good as activities to fulfill the promise to transfer the good. If revenue is recognized for the related good before the shipping and handling activities occur, the related costs of those shipping and handling activities are accrued. Sales and usage-based taxes are excluded from revenues. The Company does not have any material service-type warranty arrangements. The expected costs associated with the Company's assurance warranties continue to be recognized as expense when the products are sold. The Company does not have any material significant financing arrangements as payment is received shortly after the goods are sold or services are performed. Standalone Selling Price Generally, the Company's sales contracts with customers contain only one performance obligation. In certain circumstances, contracts with customers may include multiple performance obligations. For such arrangements, the Company allocates revenue to each performance obligation based on its relative standalone selling price. The Company generally determines the standalone selling price based on the prices charged to similar customers or by using the expected cost plus margin approach. Practical Expedients and Exemptions The Company's performance obligations are generally part of contracts that have a duration of less than one year. Therefore, in accordance with the standard, the Company generally expenses sales commissions when incurred because the amortization period would have been one year or less. These costs are recorded within Selling, general and administrative expenses. For certain of the services that the Company's Diversified Industrial segment and Energy segment provides, the Company has determined that it has a right to consideration from a customer in an amount that corresponds directly with the value to the customer of the Company's performance completed to date, and therefore, the Company recognizes revenue in the amount to which the entity has a right to invoice. |
Disaggregation of Revenues | Disaggregation of Revenues Revenues are disaggregated at the Company's segment level since the segment categories depict how the nature, amount, timing and uncertainty of revenues and cash flows are affected by economic factors. For additional details related to the Company's reportable segments see Note 18 - "Segment Information." The following table presents the Company's revenues disaggregated by geography for the three months ended March 31, 2018 and 2017. The Company's revenues are primarily derived domestically. Foreign revenues are based on the country in which the legal subsidiary generating the revenue is domiciled. Revenue from any single foreign country was not material to the Company's consolidated financial statements. Three Months Ended March 31, 2018 2017 United States $ 307,940 $ 276,282 Foreign (a) 58,305 47,037 Total revenue $ 366,245 $ 323,319 (a) Foreign revenues are primarily related to the Company's API Group plc ("API") business, which is domiciled in the United Kingdom. Diversified Industrial Revenues The Diversified Industrial segment is comprised of manufacturers of engineered niche industrial products. The majority of revenues recognized are for the sale of manufactured goods in the United States. Other revenue recognized is for repair and maintenance services. Customer contracts are generally short-term in nature and are based on individual customer purchase orders. The terms and conditions of the customer purchase orders are dictated by either the Company's standard terms and conditions or by a master service agreement. Diversified Industrial revenues related to product sales are recognized when control of the promised goods is transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those goods. This condition is usually met at a point-in-time when the product has been shipped to the customer, or in certain circumstances when the product has been delivered to the customer, depending on the terms of the contract. However, revenues for certain custom manufactured goods are recognized over time as the customer order is fulfilled (for example, contracts for sale of custom manufactured goods that do not have an alternative use and for which the Company has an enforceable right to payment). Generally, the units of delivery method is used to determine the timing of revenue recognition for over time arrangements since there is no material work in progress and finished goods for those arrangements. Service revenues are primarily recognized in the amount to which the entity has a right to invoice. Certain customers may receive sales incentives, such as right of return, rebates, volume discounts and early payment discounts, which are accounted for as variable consideration. The Company estimates these amounts based on the expected incentive amount to be provided to customers and reduces revenues. The Company adjusts its estimate of revenue at the earlier of when the expected value or most likely amount of consideration we expect to receive changes or when the consideration becomes fixed. Energy Revenues The Energy segment provides drilling and production services to the oil & gas industry in the United States. The services provided include well completion and recompletion, well maintenance and workover, snubbing, flow testing, down hole pumping, plug and abatement, well logging and perforating services. Service revenues are recognized in the amount to which the entity has a right to invoice. Consideration for Energy contracts is generally fixed. A portion of Energy revenues are service revenues related to Energy's youth sports business. These service revenues are recognized when services are provided to the customer, in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those services. Consideration for the Energy's sports business contracts is generally fixed. Financial Services Revenues WebBank generates revenues through a combination of interest income and non-interest income. Interest income is derived from interest and fees earned on loans and investments. Interest income is accrued on the unpaid principal balance, including amortization of premiums and accretion of discounts. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield over the estimated life of the loan. Non-interest income is primarily derived from premiums on the sale of loans, loan servicing fees, origination fees earned on loans and fee income on contractual lending arrangements. WebBank's revenue streams are primarily accounted for outside of the scope of ASC 606. |
Revenues Revenues (Tables)
Revenues Revenues (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Revenue from any single foreign country was not material to the Company's consolidated financial statements. Three Months Ended March 31, 2018 2017 United States $ 307,940 $ 276,282 Foreign (a) 58,305 47,037 Total revenue $ 366,245 $ 323,319 (a) Foreign revenues are primarily related to the Company's API Group plc ("API") business, which is domiciled in the United Kingdom. |
Loans Receivable, Including L31
Loans Receivable, Including Loans Held For Sale (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Receivables [Abstract] | |
Trade and Other Receivables | Major classification of WebBank's loans receivable, including loans held for sale, at March 31, 2018 and December 31, 2017 are as follows: Total Current Non-current March 31, 2018 % December 31, 2017 % March 31, 2018 December 31, 2017 March 31, 2018 December 31, 2017 Loans held for sale $ 148,729 $ 136,773 $ 148,729 $ 136,773 $ — $ — Commercial real estate loans $ 600 — % $ 568 1 % 20 20 580 548 Commercial and industrial 84,070 50 % 84,726 61 % 28,002 28,315 56,068 56,411 Consumer loans 84,111 50 % 53,238 38 % 34,551 22,371 49,560 30,867 Total loans 168,781 100 % 138,532 100 % 62,573 50,706 106,208 87,826 Less: Allowance for loan losses (7,041 ) (5,237 ) (7,041 ) (5,237 ) — — Total loans receivable, net $ 161,740 $ 133,295 55,532 45,469 106,208 87,826 Loans receivable, including loans held for sale (a) $ 204,261 $ 182,242 $ 106,208 $ 87,826 (a) The carrying value is considered to be representative of fair value because the rates of interest are not significantly different from market interest rates for instruments with similar maturities. The fair value of loans receivable, including loans held for sale, net was $309,046 and $270,068 at March 31, 2018 and December 31, 2017 , respectively. |
Inventories, Net (Tables)
Inventories, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | A summary of inventories, net is as follows: March 31, 2018 December 31, 2017 Finished products $ 53,216 $ 49,053 In-process 28,677 25,037 Raw materials 59,258 53,015 Fine and fabricated precious metal in various stages of completion 20,347 16,757 161,498 143,862 LIFO reserve (1,025 ) (1,227 ) Total $ 160,473 $ 142,635 |
Inventory Supplemental Disclosure | March 31, 2018 December 31, 2017 Supplemental inventory information: Precious metals stated at LIFO cost $ 9,599 $ 4,897 Precious metals stated under non-LIFO cost methods, primarily at fair value $ 9,723 $ 10,633 Market value per ounce: Silver $ 16.32 $ 17.01 Gold $ 1,323.85 $ 1,296.50 Palladium $ 970.00 $ 1,056.00 |
Goodwill and Other Intangible33
Goodwill and Other Intangibles, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Reconciliation of the change in the carrying value of goodwill | A reconciliation of the change in the carrying value of goodwill by reportable segment is as follows: Diversified Industrial Energy Corporate and Other Total Balance at December 31, 2017 Gross goodwill $ 193,530 $ 65,548 $ 81 $ 259,159 Accumulated impairments (24,254 ) (64,790 ) — (89,044 ) Net goodwill 169,276 758 81 170,115 Acquisitions (a) 11,819 — — 11,819 Currency translation adjustments 876 — — 876 Balance at March 31, 2018 Gross goodwill 206,225 65,548 81 271,854 Accumulated impairments (24,254 ) (64,790 ) — (89,044 ) Net goodwill $ 181,971 $ 758 $ 81 $ 182,810 (a) Goodwill related to the Dunmore acquisition. For additional information, see Note 3 - "Acquisitions." |
Summary of Intangible Assets | A summary of Other intangible assets, net is as follows: March 31, 2018 December 31, 2017 Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Customer relationships $ 236,179 $ 86,915 $ 149,264 $ 222,277 $ 80,952 $ 141,325 Trademarks, trade names and brand names 55,882 15,772 40,110 52,356 14,996 37,360 Developed technology, patents and patent applications 31,594 12,355 19,239 28,239 11,756 16,483 Other 17,312 12,444 4,868 16,131 11,982 4,149 Total $ 340,967 $ 127,486 $ 213,481 $ 319,003 $ 119,686 $ 199,317 |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | The Company's portfolio of marketable securities was as follows: March 31, 2018 December 31, 2017 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-term deposits $ 24,972 $ — $ — $ 24,972 $ 35,834 $ — $ — $ 35,834 Mutual funds — — — — 12,077 4,675 — 16,752 Corporate securities 12,689 5,697 (3,266 ) 15,120 32,311 11,893 (2,643 ) 41,561 Total marketable securities 37,661 5,697 (3,266 ) 40,092 80,222 16,568 (2,643 ) 94,147 Amounts classified as cash equivalents (24,972 ) — — (24,972 ) (35,834 ) — — (35,834 ) Amounts classified as marketable securities $ 12,689 $ 5,697 $ (3,266 ) $ 15,120 $ 44,388 $ 16,568 $ (2,643 ) $ 58,313 |
Unrealized Gain (Loss) on Investments | Gross realized gains and losses from sales of marketable securities, which are reported as a component of Realized and unrealized losses on securities, net in the Company's consolidated statements of operations, were as follows: Three Months Ended March 31, 2018 2017 Gross realized gains $ 9,674 $ 12 Gross realized losses (2,910 ) (227 ) Realized gains (losses), net $ 6,764 $ (215 ) |
Schedule of Unrealized Loss on Investments | The fair value of marketable securities with unrealized losses at March 31, 2018 , and the duration of time that such losses had been unrealized, were as follows: Less than 12 Months 12 Months or Greater Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Corporate securities $ 3,340 $ (3,266 ) $ — $ — $ 3,340 $ (3,266 ) Total $ 3,340 $ (3,266 ) $ — $ — $ 3,340 $ (3,266 ) The fair value of marketable securities with unrealized losses at December 31, 2017 , and the duration of time that such losses had been unrealized, were as follows: Less than 12 Months 12 Months or Greater Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Corporate securities $ 5,801 $ (2,558 ) $ 398 $ (85 ) $ 6,199 $ (2,643 ) Total $ 5,801 $ (2,558 ) $ 398 $ (85 ) $ 6,199 $ (2,643 ) |
Schedule of Available-for-sale Securities and Equity Method Investments | The following table summarizes the Company's long-term investments as of March 31, 2018 and December 31, 2017 . For those investments at fair value, the carrying amount of the investment equals its respective fair value. Ownership % Long-Term Investments Balance Loss (Income) Recorded in the Consolidated Statements of Operations Three Months Ended March 31, March 31, 2018 December 31, 2017 March 31, 2018 December 31, 2017 2018 2017 Corporate securities (a),(e) $ 164,105 $ 131,307 $ 13,805 $ — Steel Connect, Inc. ("STCN") convertible notes (b),(f) 14,431 10,387 315 (369 ) STCN preferred stock (c),(f) 42,449 35,000 (7,449 ) — STCN warrants (f) — — — (12 ) Equity method investments: (f) Carried at fair value: STCN common stock 30.2 % 30.4 % 38,547 45,275 5,998 (5,122 ) Aviat Networks, Inc. ("Aviat") 12.7 % 12.7 % 11,233 10,168 (849 ) (825 ) Other 43.8 % 43.8 % 1,223 1,223 — — Long-term investments carried at fair value 271,988 233,360 Carried at cost: Other equity method investments carried at cost (d) 2,781 2,784 30 26 Total $ 274,769 $ 236,144 (a) Cost basis totaled $56,295 at March 31, 2018 and $12,250 at December 31, 2017 and gross unrealized gains totaled $107,810 and $119,057 at March 31, 2018 and December 31, 2017 , respectively. (b) Represents investment in STCN convertible notes. Cost basis totaled $13,262 at March 31, 2018 and $8,903 at December 31, 2017 and gross unrealized gains totaled $1,169 and $1,484 at March 31, 2018 and December 31, 2017 , respectively. Changes in fair value are recorded in the Company's consolidated statements of operations as the Company elected the fair value option to account for this investment. (c) Represents investment in STCN preferred stock. On December 15, 2017, the Company entered into an agreement pursuant to which STCN issued Series C convertible voting preferred stock for an aggregate purchase consideration of $35,000 . Each share of preferred stock can be converted into shares of STCN's common stock at an initial conversion price equal to $1.96 per share, subject to appropriate adjustments for any stock dividend, stock split, stock combination, reclassification or similar transaction, among other things. Changes in fair value are recorded in the Company's consolidated statements of operations as the Company elected the fair value option to account for this investment. The convertible preferred shares, if converted as of March 31, 2018 , when combined with the common shares owned by the Company, would result in the Company having a direct interest of approximately 46% of STCN's outstanding shares. During the first quarter of 2018, the Company recorded an $11,208 out-of-period adjustment related to the increase in the fair value of the Company’s investment in STCN preferred stock for the period from December 15, 2017 to December 31, 2017. Had this adjustment been recorded at December 31, 2017, the Company’s investment in STCN preferred stock would have been valued at $46,208 at December 31, 2017, and the Company’s Income from associated companies, net of taxes for the three months ended March 31, 2018 would be reduced by $11,208. (d) Represents investments in iGo, Inc. ("iGo") of 45% and a 50% investment in API Optix s.r.o ("API Optix"), a joint venture investment held by the Company. (e) Loss (income) from these investments is included in Realized and unrealized losses on securities, net in the consolidated statements of operations. (f) Loss (income) from these investments is included in Income of associated companies, net of taxes in the consolidated statements of operations. |
Schedule of Additional Disclosures of Associated Companies | The below summary balance sheet and statement of operations amounts include results for the major associated companies for the periods in which they were accounted for as an associated company or the nearest practicable corresponding period to the Company's fiscal period. March 31, 2018 December 31, 2017 Summary of balance sheet amounts: (a) Current assets $ 292,756 $ 257,846 Non-current assets 577,354 23,452 Total assets $ 870,110 $ 281,298 Current liabilities $ 222,153 $ 149,155 Non-current liabilities 478,730 69,172 Total liabilities 700,883 218,327 Contingently redeemable preferred stock 35,259 — Equity 133,968 62,971 Total liabilities and equity $ 870,110 $ 281,298 Three Months Ended March 31, 2018 2017 Summary operating results: Net revenue $ 151,119 $ 117,568 Gross profit $ 16,950 $ 11,198 Net income (loss) (b) $ 64,830 $ (2,906 ) |
Long-term Debt (Tables)
Long-term Debt (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term and Short-term Debt | Debt consists of the following: March 31, 2018 December 31, 2017 Short term debt: Foreign $ 2,602 $ 1,624 Short-term debt 2,602 1,624 Long-term debt: SPLP revolving facility 464,478 406,981 Other debt - foreign 1,141 — Other debt - domestic 5,948 6,062 Subtotal 471,567 413,043 Less portion due within one year 828 459 Long-term debt 470,739 412,584 Total debt $ 474,169 $ 414,667 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Change in Financial Instrument Balance | ctivity is summarized below for financial instrument liabilities and related restricted cash: March 31, 2018 2017 Balance, beginning of period $ 15,629 $ 12,640 Settlement of short sales of corporate securities (3,100 ) (23 ) Short sales of corporate securities 26 48 Net investment losses 537 848 Balance, end of period $ 13,092 $ 13,513 |
Schedule of Outstanding Forward or Future Contracts with Settlement Dates | As of March 31, 2018 , the Company had the following outstanding forward contracts with settlement dates through April 2018. There were no futures contracts outstanding at March 31, 2018 . Commodity Amount Notional Value Silver 253,895 ounces $ 4,147 Gold 2,400 ounces $ 3,187 Copper 275,000 pounds $ 885 Tin 30 metric tons $ 621 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The fair value and carrying amount of derivative instruments on the Company's consolidated balance sheets and the effect of derivative instruments in the Company's consolidated statements of operations are shown in the following tables: Derivative Balance Sheet Location March 31, 2018 December 31, 2017 Commodity contracts (a),(b) Prepaid expenses and other current assets (Accrued liabilities) $ 56 $ (49 ) Commodity contracts (c) Prepaid expenses and other current assets (Accrued liabilities) 10 (78 ) Foreign exchange forward contracts (a),(d) Prepaid expenses and other current assets 143 166 Foreign exchange forward contracts (a),(b) Prepaid expenses and other current assets (Accrued liabilities) 69 (188 ) Economic interests in loans (c) Other non-current assets 14,190 13,126 Call options Other current liabilities — (258 ) Put options Prepaid expenses and other current assets — 3 Total derivatives $ 14,468 $ 12,722 |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance | Three Months Ended March 31, 2018 2017 Derivative Statement of Operations Location Gain (Loss) Gain (Loss) Commodity contracts (a),(b) Cost of goods sold $ 77 $ (1,183 ) Commodity contracts (c) Cost of goods sold (47 ) 95 Commodity contracts (c) Other income (expenses), net 146 (360 ) Foreign exchange forward contracts (a),(d) Revenue (20 ) (405 ) Foreign exchange forward contracts (a),(b) Other income (expenses), net 4 (11 ) Economic interests in loans (c) Revenue 3,281 2,497 Call options Other income (expenses), net 250 48 Put options Other income (expenses), net (3 ) (334 ) Total derivatives $ 3,688 $ 347 (a) Designated as hedging instruments. (b) Fair value hedge. (c) Economic hedge. (d) Cash flow hedge |
Pension Benefit Plans (Tables)
Pension Benefit Plans (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs | The following table presents the components of pension expense for HNH's and API's pension plans: Three Months Ended March 31, 2018 2017 Interest cost $ 5,378 $ 5,453 Expected return on plan assets (7,009 ) (6,169 ) Amortization of actuarial loss 2,539 2,288 Total $ 908 $ 1,572 |
Capital and Accumulated Other38
Capital and Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Stockholders' Equity Note [Abstract] | |
Accumulated Other Comprehensive Income | Changes, net of tax, in Accumulated other comprehensive loss are as follows: Three Months Ended March 31, 2018 Unrealized gain on available-for-sale securities Unrealized loss on derivative financial instruments Cumulative translation adjustment Change in net pension and other benefit obligations Total Balance at beginning of period $ 91,078 $ (1,901 ) $ (18,259 ) $ (177,085 ) $ (106,167 ) Other comprehensive income, net of tax - before reclassifications (a) — 170 3,098 — 3,268 Reclassification adjustments, net of tax — — — — — Net other comprehensive income attributable to common unitholders (b) — 170 3,098 — 3,268 Cumulative effect of adopting ASU 2016-01 relating to net unrealized gains and losses on equity securities (c) (91,078 ) — — — (91,078 ) Balance at end of period $ — $ (1,731 ) $ (15,161 ) $ (177,085 ) $ (193,977 ) (a) Net of a tax provision of approximately $68 . (b) Amounts do not include the cumulative translation adjustments of $221 which are attributable to noncontrolling interests. (c) Effective January 1, 2018 upon adoption of ASU 2016-01, a cumulative effect reclassification adjustment was made to remove the net unrealized gains and losses on equity securities from Accumulated other comprehensive loss and reclassify them to Partners' capital. |
Net (Loss) Income Per Common 39
Net (Loss) Income Per Common Unit (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following data was used in computing net income per common unit shown in the Company's consolidated statements of operations: Three Months Ended March 31, 2018 2017 Net loss $ (8,851 ) $ (3,098 ) Net income attributable to noncontrolling interests in consolidated entities (227 ) (984 ) Net loss attributable to common unitholders $ (9,078 ) $ (4,082 ) Net loss per common unit – basic and diluted: Net loss attributable to common unitholders $ (0.35 ) $ (0.16 ) Denominator for net loss per common unit - basic 26,264,101 26,145,711 Effect of dilutive securities: (a) Incentive units — — Unvested restricted units — — SPLP Preferred Units — — Denominator for net loss per common unit - diluted 26,264,101 26,145,711 (a) For the three months ended March 31, 2018 , the diluted per unit calculation was based on the basic weighted-average units only since the impact of SPLP Preferred Units ( 10,811,476 common unit equivalents) and unvested restricted stock units ( 41,985 common unit equivalents), would have been anti-dilutive. For the three months ended March 31, 2017 , SPLP Preferred Units ( 1,910,964 common unit equivalents), 266,342 accrued incentive units and unvested restricted stock units ( 41,085 common unit equivalents) were omitted from the calculation because their effects would have been anti-dilutive. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value, by Balance Sheet Grouping | Financial assets and liabilities measured at fair value on a recurring basis in the Company's consolidated financial statements as of March 31, 2018 and December 31, 2017 are summarized by type of inputs applicable to the fair value measurements as follows: March 31, 2018 Level 1 Level 2 Level 3 Total Assets: Marketable securities (a) $ 1,433 $ 1,906 $ 11,781 $ 15,120 Long-term investments (a) 200,472 27,844 43,672 271,988 Investments in certain funds — — 482 482 Precious metal and commodity inventories recorded at fair value 10,303 — — 10,303 Economic interests in loans — — 14,190 14,190 Warrants — — 206 206 Investment in private company — — 250 250 Commodity contracts on precious metal and commodity inventories — 66 — 66 Foreign currency forward exchange contracts — 212 — 212 Total $ 212,208 $ 30,028 $ 70,581 $ 312,817 Liabilities: Financial instrument obligations $ 13,092 $ — $ — $ 13,092 Total $ 13,092 $ — $ — $ 13,092 December 31, 2017 Level 1 Level 2 Level 3 Total Assets: Marketable securities (a) $ 44,371 $ 1,988 $ 11,954 $ 58,313 Long-term investments (a) 186,750 10,387 36,223 233,360 Investments in certain funds — — 407 407 Precious metal and commodity inventories recorded at fair value 10,993 — — 10,993 Economic interests in loans — — 13,126 13,126 Foreign currency forward exchange contracts — 166 — 166 Warrants — — 206 206 Long put options 3 — — 3 Total $ 242,117 $ 12,541 $ 61,916 $ 316,574 Liabilities: Financial instrument obligations $ 15,629 $ — $ — $ 15,629 Commodity contracts on precious metal and commodity inventories — 127 — 127 Foreign currency forward exchange contracts — 188 — 188 Short call options 258 — 258 Total $ 15,887 $ 315 $ — $ 16,202 (a) For additional detail of the marketable securities and long-term investments see Note 8 - "Investments." |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | Following is a summary of changes in financial assets measured using Level 3 inputs: Long-Term Investments Investments in Associated Companies (a) STCN Warrants (a) Marketable Securities and Other (b) Total Assets Balance at December 31, 2016 $ 1,223 $ 19 $ 30,789 $ 32,031 Sales and cash collections — — (1,249 ) (1,249 ) Realized gains — — 2,497 2,497 Unrealized gains — 13 2,452 2,465 Balance at March 31, 2017 $ 1,223 $ 32 $ 34,489 $ 35,744 Balance at December 31, 2017 $ 36,223 $ — $ 25,693 $ 61,916 Purchases — — 250 250 Sales and cash collections — — (2,478 ) (2,478 ) Realized gain on sale — — 3,299 3,299 Unrealized gains 7,449 — 145 7,594 Balance at March 31, 2018 $ 43,672 $ — $ 26,909 $ 70,581 (a) Unrealized gains and losses are recorded in Income of associated companies, net of taxes in the Company's consolidated statements of operations. (b) Realized and unrealized gains and losses on sale are recorded in Realized and unrealized losses on securities, net or Revenue in the Company's consolidated statements of operations. |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Segment information is presented below: Three Months Ended March 31, 2018 2017 Revenue: Diversified industrial $ 307,618 $ 280,214 Energy 36,592 27,316 Financial services 22,035 15,789 Total $ 366,245 $ 323,319 Income (loss) before income taxes: Diversified industrial $ 10,682 $ 7,946 Energy (5,820 ) (7,777 ) Financial services 8,530 7,623 Corporate and other (20,913 ) (4,044 ) (Loss) income before income taxes (7,521 ) 3,748 Income tax provision 1,330 6,846 Net loss $ (8,851 ) $ (3,098 ) Income of associated companies, net of taxes Energy $ 819 $ 799 Corporate and other 1,136 5,503 Total $ 1,955 $ 6,302 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Regulatory Matters [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | WebBank expects that its capital ratios under Basel III will continue to exceed the well capitalized minimum capital requirements, and such amounts are disclosed in the table below: Amount of Capital Required Actual For Capital Adequacy Purposes Minimum Capital Adequacy With Capital Buffer To Be Well Capitalized Under Prompt Corrective Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio As of March 31, 2018 Total Capital (to risk-weighted assets) $ 112,585 24.20 % $ 37,219 8.00 % $ 45,942 9.88 % $ 46,524 10.00 % Tier 1 Capital (to risk-weighted assets) $ 106,753 22.90 % $ 27,914 6.00 % $ 36,638 7.88 % $ 37,219 8.00 % Common Equity Tier 1 Capital (to risk-weighted assets) $ 106,753 22.90 % $ 20,936 4.50 % $ 29,659 6.38 % $ 30,241 6.50 % Tier 1 Capital (to average assets) $ 106,753 17.80 % $ 23,934 4.00 % n/a n/a $ 29,918 5.00 % As of December 31, 2017 Total Capital (to risk-weighted assets) $ 111,102 28.90 % $ 30,710 8.00 % $ 35,509 9.25 % $ 38,388 10.00 % Tier 1 Capital (to risk-weighted assets) $ 106,296 27.70 % $ 23,033 6.00 % $ 27,831 7.25 % $ 30,710 8.00 % Common Equity Tier 1 Capital (to risk-weighted assets) $ 106,296 27.70 % $ 17,275 4.50 % $ 22,073 5.75 % $ 24,952 6.50 % Tier 1 Capital (to average assets) $ 106,296 19.00 % $ 22,398 4.00 % n/a n/a $ 27,998 5.00 % |
Supplemental Cash Flow Inform43
Supplemental Cash Flow Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Supplemental Cash Flow Elements [Abstract] | |
Restrictions on Cash and Cash Equivalents | The amount of Cash, cash equivalents and restricted cash as of March 31, 2018 and 2017 in the consolidated statements of cash flows is reconciled to the Company's consolidated balance sheets as follows: Three Months Ended March 31, 2018 2017 Cash and cash equivalents $ 322,833 $ 382,339 Restricted cash 13,092 13,513 Total cash, cash equivalents and restricted cash $ 335,925 $ 395,852 |
Schedule of Cash Flow, Supplemental Disclosures | A summary of supplemental cash flow information for each of the three -month periods ending March 31, 2018 and 2017 is presented in the following table: Three Months Ended March 31, 2018 2017 Cash paid during the period for: Interest $ 8,365 $ 4,055 Taxes $ 646 $ 2,201 Non-cash investing and financing activities: Contingent purchase price (future earn-out) associated with the Dunmore acquisition $ 3,800 $ — Issuance of SPLP Preferred Units to purchase subsidiary shares from noncontrolling interests $ — $ 63,503 |
Nature of the Business and Ba44
Nature of the Business and Basis of Presentation (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Total Capital | $ 558,575,000 | $ 567,036,000 | |
Accounting Standards Update 2016-09 | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Cumulative effect of new accounting principle, deferred tax asset | 4,600,000 | ||
Accounting Standards Update 2016-18 | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Restricted cash | $ 13,513 | ||
Unrealized gain on available-for-sale securities | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Total Capital | $ 0 | $ 91,078,000 |
Revenues (Details)
Revenues (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Mar. 31, 2018 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Contract asset | $ 3,480 | $ 3,798 |
Contract liability | 1,483 | 3,447 |
Revenue recognized | $ 890 | |
Total Partners' Capital | Accounting Standards Update 2014-09 | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Increase partners' capital | $ 1,034 |
Revenues Revenues - Disaggregat
Revenues Revenues - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 366,245 | $ 323,319 |
United States | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 307,940 | 276,282 |
Foreign | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 58,305 | $ 47,037 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) - USD ($) $ in Thousands | Feb. 16, 2018 | May 19, 2017 | Mar. 31, 2018 | Dec. 31, 2017 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 182,810 | $ 170,115 | ||
Dunmore Acquisition | ||||
Business Acquisition [Line Items] | ||||
Fair value of consideration paid | $ 69,828 | |||
Inventories | 7,700 | |||
Property, plant and equipment | 29,700 | |||
Intangible assets | 20,300 | $ 20,300 | ||
Goodwill | 11,800 | |||
Dunmore Acquisition | Maximum | ||||
Business Acquisition [Line Items] | ||||
Fair value of consideration paid | $ 80,000 | |||
Basin Well Logging Wireline Services, Inc. | Steel Excel | ||||
Business Acquisition [Line Items] | ||||
Fair value of consideration paid | $ 5,100 | |||
Goodwill | $ 758 | |||
Percentage of voting interests acquired | 80.00% |
Divestitures and Asset Impair48
Divestitures and Asset Impairment Charges (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Jan. 31, 2017 | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Proceeds from divestitures | $ 0 | $ 1,975 | ||
Disposed of by Sale, Not Discontinued Operations | Handy & Harman Ltd. (HNH) | Micro-Tube Fabricators, Inc | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Consideration | $ 2,500 | |||
Gain (loss) on disposal | (400) | |||
Range of outcomes, high value | 1,000 | |||
Disposed of by Sale, Not Discontinued Operations | Handy & Harman Ltd. (HNH) | Micro-Tube Fabricators, Inc | Divestiture, cash receivable | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Proceeds from divestitures | 2,000 | |||
Disposed of by Sale, Not Discontinued Operations | Handy & Harman Ltd. (HNH) | Micro-Tube Fabricators, Inc | Subordinated Promissory Note Receivable | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Consideration | $ 500 | |||
Gain (loss) on disposal | $ 755 | |||
Note receivable, interest rate, stated percentage | 5.00% |
Loans Receivable, Including L49
Loans Receivable, Including Loans Held For Sale - Loans Receivable (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Receivable [Line Items] | ||
Financing receivable, including loans held for sale, gross, total | $ 168,781 | $ 138,532 |
Financing receivable, ratio to total, including loans held for sale (as a percent) | 100.00% | 100.00% |
Financing receivable, gross, current | $ 62,573 | $ 50,706 |
Financing receivable, gross, non-current | 106,208 | 87,826 |
Allowance for loan losses, total | (7,041) | (5,237) |
Allowance for loan losses, current | (7,041) | (5,237) |
Allowance for loan losses, non-current | 0 | 0 |
Total loans receivable, net | 161,740 | 133,295 |
Loans receivable, net, current | 55,532 | 45,469 |
Loans receivable, net, noncurrent | 106,208 | 87,826 |
Loans receivable, net | 309,046 | 270,068 |
Loans receivable, including loans held for sale, current | 204,261 | 182,242 |
Loans receivable, including loans held for sale, non-current | 106,208 | 87,826 |
Pledged as collateral | 57,397 | 57,436 |
Loans held for sale | ||
Receivable [Line Items] | ||
Financing receivable, including loans held for sale, gross, total | $ 148,729 | $ 136,773 |
Financing receivable, ratio to total, including loans held for sale (as a percent) | ||
Financing receivable, gross, current | $ 148,729 | $ 136,773 |
Financing receivable, gross, non-current | 0 | 0 |
Commercial real estate loans | ||
Receivable [Line Items] | ||
Financing receivable, including loans held for sale, gross, total | $ 600 | $ 568 |
Financing receivable, ratio to total, including loans held for sale (as a percent) | 0.00% | 1.00% |
Financing receivable, gross, current | $ 20 | $ 20 |
Financing receivable, gross, non-current | 580 | 548 |
Commercial and industrial | ||
Receivable [Line Items] | ||
Financing receivable, including loans held for sale, gross, total | $ 84,070 | $ 84,726 |
Financing receivable, ratio to total, including loans held for sale (as a percent) | 50.00% | 61.00% |
Financing receivable, gross, current | $ 28,002 | $ 28,315 |
Financing receivable, gross, non-current | 56,068 | 56,411 |
Consumer loans | ||
Receivable [Line Items] | ||
Financing receivable, including loans held for sale, gross, total | $ 84,111 | $ 53,238 |
Financing receivable, ratio to total, including loans held for sale (as a percent) | 50.00% | 38.00% |
Financing receivable, gross, current | $ 34,551 | $ 22,371 |
Financing receivable, gross, non-current | 49,560 | $ 30,867 |
Unamortized discount | 172 | |
Commercial and industrial portfolio segment | ||
Receivable [Line Items] | ||
Unamortized premium | 1 | |
Unamortized discount | 494 | |
WebBank | ||
Receivable [Line Items] | ||
Servicing asset | $ 3,109 |
Inventories, Net - Summary of I
Inventories, Net - Summary of Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Finished products | $ 53,216 | $ 49,053 |
In-process | 28,677 | 25,037 |
Raw materials | 59,258 | 53,015 |
Fine and fabricated precious metal in various stages of completion | 20,347 | 16,757 |
Inventory, before LIFO reserve | 161,498 | 143,862 |
LIFO reserve | (1,025) | (1,227) |
Inventory, Net | $ 160,473 | $ 142,635 |
Inventories, Net - Narrative (D
Inventories, Net - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Inventory [Line Items] | ||
Interest expense | $ 8,109 | $ 4,406 |
Bank of Nova Scotia [Member] | Consignment Agreement | ||
Inventory [Line Items] | ||
Interest expense | 29,500 | |
Bank of Nova Scotia [Member] | Consignment Agreement | Silver | ||
Inventory [Line Items] | ||
Merchandise under consignment | $ 7,700 |
Inventories, Net - Supplemental
Inventories, Net - Supplemental Inventory Information (Details) $ in Thousands | Mar. 31, 2018USD ($)$ / oz | Dec. 31, 2017USD ($)$ / oz |
Inventory Disclosure [Abstract] | ||
Precious metals stated at LIFO cost | $ | $ 9,599 | $ 4,897 |
Precious metals stated under non-LIFO cost methods, primarily at fair value | $ | $ 9,723 | $ 10,633 |
Market value per ounce, Silver (in dollars per ounce) | 16.32 | 17.01 |
Market value per ounce, Gold (in dollars per ounce) | 1,323.85 | 1,296.50 |
Market value per ounce, Palladium (in dollars per ounce) | 970 | 1,056 |
Goodwill and Other Intangible53
Goodwill and Other Intangibles, Net - Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Goodwill [Line Items] | ||
Gross goodwill | $ 271,854 | $ 259,159 |
Accumulated impairments | (89,044) | (89,044) |
Goodwill [Roll Forward] | ||
Balance at beginning of year | 170,115 | |
Acquisitions | 11,819 | |
Currency translation adjustment | 876 | |
Balance at end of year | 182,810 | |
Diversified Industrial | ||
Goodwill [Line Items] | ||
Gross goodwill | 206,225 | 193,530 |
Accumulated impairments | (24,254) | (24,254) |
Goodwill [Roll Forward] | ||
Balance at beginning of year | 169,276 | |
Acquisitions | 11,819 | |
Currency translation adjustment | 876 | |
Balance at end of year | 181,971 | |
Energy | ||
Goodwill [Line Items] | ||
Gross goodwill | 65,548 | 65,548 |
Accumulated impairments | (64,790) | (64,790) |
Goodwill [Roll Forward] | ||
Balance at beginning of year | 758 | |
Acquisitions | 0 | |
Currency translation adjustment | 0 | |
Balance at end of year | 758 | |
Corporate and Other | ||
Goodwill [Line Items] | ||
Gross goodwill | 81 | 81 |
Accumulated impairments | 0 | $ 0 |
Goodwill [Roll Forward] | ||
Balance at beginning of year | 81 | |
Acquisitions | 0 | |
Currency translation adjustment | 0 | |
Balance at end of year | $ 81 |
Goodwill and Other Intangible54
Goodwill and Other Intangibles, Net - Other Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 340,967 | $ 319,003 |
Accumulated Amortization | 127,486 | 119,686 |
Net | 213,481 | 199,317 |
Other intangible assets, net | 213,481 | 199,317 |
Customer relationships | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 236,179 | 222,277 |
Accumulated Amortization | 86,915 | 80,952 |
Net | 149,264 | 141,325 |
Trademarks, trade names and brand names | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 55,882 | 52,356 |
Accumulated Amortization | 15,772 | 14,996 |
Net | 40,110 | 37,360 |
Developed technology, patents and patent applications | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 31,594 | 28,239 |
Accumulated Amortization | 12,355 | 11,756 |
Net | 19,239 | 16,483 |
Other | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 17,312 | 16,131 |
Accumulated Amortization | 12,444 | 11,982 |
Net | $ 4,868 | $ 4,149 |
Goodwill and Other Intangible55
Goodwill and Other Intangibles, Net - Indefinite Lived Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Feb. 16, 2018 | Dec. 31, 2017 | |
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Trademarks with indefinite lives | $ 11 | $ 8,020 | ||
Amortization expense | 7,351 | $ 8,119 | ||
Dunmore Acquisition | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets | $ 20,300 | $ 20,300 |
Investments - Short-Term Invest
Investments - Short-Term Investments (Details) - Steel Excel - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Securities sold during the period | $ 33,718 | $ 1,200 | |
Available-for-sale securities | |||
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Cost | 37,661 | $ 80,222 | |
Gross Unrealized Gains | 5,697 | 16,568 | |
Gross Unrealized Losses | (3,266) | (2,643) | |
Fair value | 40,092 | 94,147 | |
Amounts classified as cash equivalents | |||
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Cost | 24,972 | 35,834 | |
Fair value | 24,972 | 35,834 | |
Amounts classified as marketable securities | |||
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Cost | 12,689 | 44,388 | |
Gross Unrealized Gains | 5,697 | 16,568 | |
Gross Unrealized Losses | (3,266) | (2,643) | |
Fair value | 15,120 | 58,313 | |
Short-term deposits | Available-for-sale securities | |||
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Cost | 24,972 | 35,834 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | 0 | 0 | |
Fair value | 24,972 | 35,834 | |
Mutual funds | Available-for-sale securities | |||
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Cost | 0 | 12,077 | |
Gross Unrealized Gains | 0 | 4,675 | |
Gross Unrealized Losses | 0 | 0 | |
Fair value | 0 | 16,752 | |
Corporate securities | Available-for-sale securities | |||
Marketable Securities, Cost to Fair Value Reconciliation [Abstract] | |||
Cost | 12,689 | 32,311 | |
Gross Unrealized Gains | 5,697 | 11,893 | |
Gross Unrealized Losses | (3,266) | (2,643) | |
Fair value | $ 15,120 | $ 41,561 |
Investments - Gross Realized Ga
Investments - Gross Realized Gains and Losses (Details) - Steel Excel Inc. - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Gain (Loss) on Investments [Line Items] | ||
Gross realized gains | $ 9,674 | $ 12 |
Gross realized losses | (2,910) | (227) |
Realized gains (losses), net | $ 6,764 | $ (215) |
Investments - Fair Value (Detai
Investments - Fair Value (Details) - Steel Excel Inc. - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Dec. 31, 2017 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than Twelve Months, Fair Value | $ 3,340 | $ 5,801 |
Gross Unrealized Losses, Less than 12 Months | (3,266) | (2,558) |
Twelve Months or Greater, Fair Value | 0 | 398 |
Gross Unrealized Losses, 12 Months or Greater | 0 | (85) |
Fair Value | ||
Total | 3,340 | 6,199 |
Gross Unrealized Losses | ||
Gross Unrealized Losses | (3,266) | (2,643) |
Impairment | 0 | |
Corporate securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than Twelve Months, Fair Value | 3,340 | 5,801 |
Gross Unrealized Losses, Less than 12 Months | (3,266) | (2,558) |
Twelve Months or Greater, Fair Value | 0 | 398 |
Gross Unrealized Losses, 12 Months or Greater | 0 | (85) |
Fair Value | ||
Total | 3,340 | 6,199 |
Gross Unrealized Losses | ||
Gross Unrealized Losses | $ (3,266) | $ (2,643) |
Investments - Long-Term Investm
Investments - Long-Term Investments (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 12, 2018 | Dec. 15, 2017 | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 |
Investments in Associated Companies: | |||||
Long-Term Investments Balance | $ 271,988 | $ 233,360 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | |||||
Carried at cost: | |||||
Total | 274,769 | 236,144 | |||
ModusLink Global Solutions, Inc. (MLNK) | |||||
Equity securities - U.S. | |||||
Long-Term Investments Balance | 0 | $ 0 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | $ 0 | (12) | |||
Investments in Associated Companies: | |||||
Ownership percentage | 30.20% | 30.40% | |||
Long-Term Investments Balance | $ 38,547 | $ 45,275 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | $ 5,998 | (5,122) | |||
Aviat Networks, Inc. (Aviat) | |||||
Investments in Associated Companies: | |||||
Ownership percentage | 12.70% | 12.70% | |||
Long-Term Investments Balance | $ 11,233 | $ 10,168 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | $ (849) | (825) | |||
Other | |||||
Investments in Associated Companies: | |||||
Ownership percentage | 43.80% | 43.80% | |||
Long-Term Investments Balance | $ 1,223 | $ 1,223 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | 0 | 0 | |||
Other equity method investments | |||||
Investments in Associated Companies: | |||||
Long-Term Investments Balance | 2,781 | 2,784 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | $ 30 | 26 | |||
iGo, Inc. | |||||
Investments in Associated Companies: | |||||
Ownership percentage | 45.00% | ||||
Long-Term Investments Balance | $ 2,288 | 2,317 | |||
API Optix s.r.o | |||||
Investments in Associated Companies: | |||||
Ownership percentage | 50.00% | ||||
BW | |||||
Carried at cost: | |||||
Shares available for purchase by common shareholders (in shares) | 2.8 | ||||
Shares available for purchase by common shareholders (in dollars per share) | $ 2 | ||||
Number of shares held | 6,993,219 | ||||
Percentage of total shares held | 15.80% | ||||
Corporate securities | API Group plc (API) | |||||
Carried at cost: | |||||
Cost Basis | $ 56,295 | 12,250 | |||
Gross Unrealized Gains | 107,810 | 119,057 | |||
Corporate securities | API Group plc (API) | Net investment (loss) gain | |||||
Equity securities - U.S. | |||||
Long-Term Investments Balance | 164,105 | 131,307 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | 13,805 | 0 | |||
Corporate obligations | API Group plc (API) | |||||
Carried at cost: | |||||
Cost Basis | 13,262 | 8,903 | |||
Gross Unrealized Gains | 1,169 | 1,484 | |||
Convertible notes | API Group plc (API) | Net investment (loss) gain | |||||
Equity securities - U.S. | |||||
Long-Term Investments Balance | 14,431 | 10,387 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | 315 | (369) | |||
Preferred stock | Steel Connect, Inc (STCN) | |||||
Carried at cost: | |||||
Payments for equity securities | $ 35,000 | ||||
Debt conversion price | $ 1.96 | ||||
Ownership percentage if converted | 46.00% | ||||
Preferred stock | API Group plc (API) | Net investment (loss) gain | |||||
Equity securities - U.S. | |||||
Long-Term Investments Balance | 42,449 | $ 35,000 | |||
Loss (Income) Recorded in the Consolidated Statements of Operations | $ (7,449) | $ 0 | |||
Subsequent event | BW | |||||
Carried at cost: | |||||
Backstop commitment, maximum aggregate amount | $ 46,500 | ||||
Backstop commitment, maximum aggregate amount, percentage of total shares | 29.95% | ||||
Marketable securities, shares purchased (in shares) | 22,981,822 | ||||
Backstop commitment | $ 6,802 | ||||
Subsequent event | Common Stock | BW | |||||
Equity securities - U.S. | |||||
Long-Term Investments Balance | $ 45,964 | ||||
Investments in Associated Companies: | |||||
Ownership percentage | 17.80% |
Investments - Equity Method Inv
Investments - Equity Method Investments (Details) - USD ($) $ / shares in Units, $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | ||
Equity method investments | $ 271,988 | $ 233,360 |
ModusLink Global Solutions, Inc. | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of warrants purchased (in shares) | 2,000,000 | |
Exercise price of warrants or rights (in dollars per share) | $ 5 | |
iGo, Inc. | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investments | $ 2,288 | $ 2,317 |
Ownership percentage | 45.00% | |
API Optix s.r.o | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage | 50.00% |
Investments - Additional Disclo
Investments - Additional Disclosures Related to Associated Company Financial Statements (Details) - Multiple equity method investments - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Summary of balance sheet amounts: (a) | |||
Current assets | $ 292,756 | $ 257,846 | |
Non-current assets | 577,354 | 23,452 | |
Total assets | 870,110 | 281,298 | |
Current liabilities | 222,153 | 149,155 | |
Non-current liabilities | 478,730 | 69,172 | |
Total liabilities | 700,883 | 218,327 | |
Contingently redeemable preferred stock | 35,259 | 0 | |
Equity | 133,968 | 62,971 | |
Total liabilities and equity | 870,110 | $ 281,298 | |
Summary operating results: | |||
Net revenue | 151,119 | $ 117,568 | |
Gross profit | 16,950 | 11,198 | |
Net income (loss) (b) | $ 64,830 | $ (2,906) |
Investments - Other Investments
Investments - Other Investments - Related Party (Details) - WebBank - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | ||
Held to maturity securities | $ 37,695 | $ 32,816 |
Maturities held one through five years | 9,806 | |
Maturities between years five and ten | 26,325 | |
Maturities, after ten years | 1,564 | |
Fair value | $ 35,956 | $ 32,842 |
Long-term Debt - Long-term and
Long-term Debt - Long-term and Short-term Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Debt, Long-term and Short-term, Combined Amount [Abstract] | ||
Short-term debt | $ 2,602 | $ 1,624 |
Total - Long-term debt - non - related parties | 471,567 | 413,043 |
Less portion due within one year | 828 | 459 |
Long-term debt | 470,739 | 412,584 |
Total debt | 474,169 | 414,667 |
Loans Payable | Revolving Credit Facility | ||
Debt, Long-term and Short-term, Combined Amount [Abstract] | ||
Total - Long-term debt - non - related parties | 464,478 | 406,981 |
Loans Payable | Revolving Credit Facility | Handy & Harman Ltd. (HNH) | ||
Debt, Long-term and Short-term, Combined Amount [Abstract] | ||
Total - Long-term debt - non - related parties | 1,141 | 0 |
Other Domestic Debt | Handy & Harman Ltd. (HNH) | ||
Debt, Long-term and Short-term, Combined Amount [Abstract] | ||
Total - Long-term debt - non - related parties | 5,948 | 6,062 |
Foreign Debt | ||
Debt, Long-term and Short-term, Combined Amount [Abstract] | ||
Short-term debt | $ 2,602 | $ 1,624 |
Long-term Debt - Narrative (Det
Long-term Debt - Narrative (Details) | Apr. 27, 2018USD ($) | Mar. 31, 2018USD ($) | Nov. 14, 2017USD ($) |
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 600,000,000 | ||
Accordion feature, increase limit | 150,000,000 | ||
Weighted average interest rate | 3.77% | ||
Remaining borrowing capacity | $ 69,700,000 | ||
Revolving Credit Facility | Subsequent event | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 700,000,000 | ||
Leverage ratio increase | 0.25 | ||
Revolving Credit Facility | Minimum | Base Rate | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 1.00% | ||
Revolving Credit Facility | Maximum | Base Rate | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate | 2.00% | ||
Sublimit for Issuance of Swing Loans | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | 55,000,000 | ||
Standby Letters of Credit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 50,000,000 | ||
Line of credit | $ 10,837,000 | ||
Letter of Credit | |||
Debt Instrument [Line Items] | |||
Line of credit | 3,724,000 | ||
Environmental and Other Matters | |||
Debt Instrument [Line Items] | |||
Line of credit | $ 7,113,000 |
Financial Instruments - Narrati
Financial Instruments - Narrative (Details) € in Thousands, £ in Thousands, $ in Thousands | 3 Months Ended | |||
Mar. 31, 2018USD ($)oz | Mar. 31, 2018EUR (€) | Mar. 31, 2018GBP (£) | Dec. 31, 2017USD ($) | |
Foreign Exchange Contracts and Short Sale of Securities | Not Designated as Hedging Instrument | ||||
Derivatives, Fair Value [Line Items] | ||||
Derivative liabilities | $ 13,092 | $ 15,629 | ||
Silver, Ounces, Copper Contracts | Commodity Contract | Designated as Hedging Instrument | ||||
Derivatives, Fair Value [Line Items] | ||||
Amount | oz | 18,895 | |||
CoSine Communications, Inc. (CoSine) | Foreign Exchange Forward | ||||
Derivatives, Fair Value [Line Items] | ||||
Notional Value | £ | £ 9,250 | |||
WebBank | ||||
Derivatives, Fair Value [Line Items] | ||||
Undisbursed loan commitment | $ 183,931 | 148,529 | ||
Undisbursed Loan Commitment | Other current liabilities | WebBank | ||||
Derivatives, Fair Value [Line Items] | ||||
Allowance for potential losses on off-balance sheet credit exposure | 188 | $ 188 | ||
Cash Flow Hedging | CoSine Communications, Inc. (CoSine) | Foreign Exchange Future | ||||
Derivatives, Fair Value [Line Items] | ||||
Notional Value | $ 4,950 | € 19,800 | ||
Minimum | ||||
Derivatives, Fair Value [Line Items] | ||||
Derivative, remaining maturity | 3 years | |||
Maximum | ||||
Derivatives, Fair Value [Line Items] | ||||
Derivative, remaining maturity | 5 years |
Financial Instruments - Roll Fo
Financial Instruments - Roll Forward (Details) - Financial Instruments and Restricted Cash - Not Designated as Hedging Instrument - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Foreign Currency Financial Liabilities and Related Restricted Cash [Roll Forward] | ||
Balance, beginning of period | $ 15,629 | $ 12,640 |
Settlement of short sales of corporate securities | (3,100) | (23) |
Short sales of corporate securities | 26 | 48 |
Net investment losses | 537 | 848 |
Balance, end of period | $ 13,092 | $ 13,513 |
Financial Instruments - Commodi
Financial Instruments - Commodity Contracts (Details) - Commodity $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($)ozlbT | |
Silver, Ounces | |
Derivative [Line Items] | |
Amount | oz | 253,895 |
Notional Value | $ 4,147 |
Gold, Ounces | Not Designated as Hedging Instrument | |
Derivative [Line Items] | |
Amount | oz | 2,400 |
Notional Value | $ 3,187 |
Copper, Pounds | |
Derivative [Line Items] | |
Notional Value | $ 885 |
Copper, Pounds | Not Designated as Hedging Instrument | |
Derivative [Line Items] | |
Amount | lb | 275,000 |
Tin, Metric Tons | Not Designated as Hedging Instrument | |
Derivative [Line Items] | |
Amount | T | 30 |
Notional Value | $ 621 |
Financial Instruments - Balance
Financial Instruments - Balance Sheet Location (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 14,468 | $ 12,722 |
Commodity Contract | Not Designated as Hedging Instrument | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (10) | 78 |
Commodity Contract | Designated as Hedging Instrument | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (56) | 49 |
Economic interests in loans | Designated as Hedging Instrument | Other non-current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 14,190 | 13,126 |
Short call options | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (258) | |
Short call options | Designated as Hedging Instrument | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 0 | (258) |
Long put options | Designated as Hedging Instrument | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 0 | 3 |
Cash Flow Hedging | Foreign Exchange Forward | Designated as Hedging Instrument | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 143 | 166 |
Fair Value Hedging | Foreign Exchange Forward | Designated as Hedging Instrument | Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | $ 69 | $ (188) |
Financial Instruments - Income
Financial Instruments - Income Statement Location (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | $ 3,688 | $ 347 |
Designated as Hedging Instrument | Commodity Contract | Cost of goods sold | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | 77 | (1,183) |
Designated as Hedging Instrument | Commodity Contract | Other expenses (income), net | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | 146 | (360) |
Designated as Hedging Instrument | Foreign Exchange Forward | Other expenses (income), net | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | 4 | (11) |
Designated as Hedging Instrument | Foreign Exchange Forward | Revenue | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | (20) | (405) |
Designated as Hedging Instrument | Economic interests in loans | Revenue | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | 3,281 | 2,497 |
Designated as Hedging Instrument | Short call options | Other Nonoperating Income (Expense) | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | 250 | 48 |
Designated as Hedging Instrument | Long put options | Other Nonoperating Income (Expense) | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | (3) | (334) |
Not Designated as Hedging Instrument | Commodity Contract | Cost of goods sold | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) | $ (47) | $ 95 |
Pension Benefit Plans - Compone
Pension Benefit Plans - Components of Pension Expense and Other Postretirement Benefit Expense(Details) - HNH - Pension Plans, Defined Benefit - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Defined Benefit Plans Disclosure [Line Items] | ||
Interest cost | $ 5,378 | $ 5,453 |
Expected return on plan assets | (7,009) | (6,169) |
Amortization of actuarial loss | 2,539 | 2,288 |
Total | $ 908 | $ 1,572 |
Pension Benefit Plans - Narrati
Pension Benefit Plans - Narrative (Details) - Pension Plans, Defined Benefit $ in Thousands | Mar. 31, 2018USD ($) |
HNH | |
Defined Benefit Plan, Expected Future Employer Contributions [Abstract] | |
Remainder of 2018 | $ 27,200 |
2,019 | 33,400 |
2,020 | 35,800 |
2,021 | 31,400 |
2,022 | 32,100 |
2,023 | 43,200 |
API | |
Defined Benefit Plan, Expected Future Employer Contributions [Abstract] | |
Remainder of 2018 | 697 |
2,019 | 989 |
2,020 | 989 |
2,021 | 989 |
2,022 | $ 989 |
Capital and Accumulated Other72
Capital and Accumulated Other Comprehensive Loss - Narrative (Details) | Jan. 13, 2017USD ($) | Dec. 23, 2016 | Dec. 22, 2016$ / shares | Feb. 06, 2017USD ($)$ / sharesshares | Mar. 31, 2018USD ($)shares | Mar. 31, 2017USD ($) | Oct. 12, 2017USD ($)shares | Dec. 31, 2017shares | Dec. 07, 2016USD ($) | Jan. 02, 2012 |
Class of Stock [Line Items] | ||||||||||
Common units outstanding (in shares) | 26,164,143 | 26,348,420 | ||||||||
Dividends paid | $ | $ 3,923,000 | |||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.15 | |||||||||
Purchase of subsidiary shares from noncontrolling interests | $ | $ 2,100,000 | $ 4,360,000 | $ 2,086,000 | |||||||
Common units issued (in shares) | 26,164,143 | 26,348,420 | ||||||||
Incentive units granted, percentage of outstanding common units | 100.00% | |||||||||
Incentive unit expense | $ | $ 0 | 5,114,000 | ||||||||
Class A | ||||||||||
Class of Stock [Line Items] | ||||||||||
Common units outstanding (in shares) | 26,164,143 | |||||||||
Common Units | ||||||||||
Class of Stock [Line Items] | ||||||||||
Authorized amount | $ | $ 2,000,000 | |||||||||
Treasury stock (in shares) | 184,277 | |||||||||
Treasury stock repurchased | $ | $ 3,595,000 | |||||||||
Series A Preferred Units | ||||||||||
Class of Stock [Line Items] | ||||||||||
Stated interest rate | 6.00% | |||||||||
Preferred unit dividend | $ | $ 2,900,000 | $ 380,000 | ||||||||
Debt Instrument, Term | 9 years | |||||||||
Repurchase period in force | 60 days | |||||||||
Financial instruments subject to mandatory redemption, settlement terms, maximum number of shares | 1,600,000 | |||||||||
Preferred units outstanding | 7,741,017 | |||||||||
Exchange ratio for units offered | 0.712 | |||||||||
Units converted (in shares) | 2,500,000 | |||||||||
Liquidation preference per share (in dollars per share) | $ / shares | $ 25 | |||||||||
Exchanges and conversions | $ | $ 63,500,000 | |||||||||
Steel Excel | ||||||||||
Class of Stock [Line Items] | ||||||||||
Cumulative percentage ownership | 100.00% | |||||||||
Handy & Harman Ltd. (HNH) | Series A Preferred Units | ||||||||||
Class of Stock [Line Items] | ||||||||||
Exchange ratio for units offered | 1.484 | |||||||||
Units converted (in shares) | 5,400,000 | |||||||||
Common units issued (in shares) | 112,000,000 | |||||||||
Preferred stock, liquidation value | $ | $ 135,000,000 | |||||||||
Units retired (in shares) | 211,643 | |||||||||
Partners' capital retired | $ | $ 931,000 | |||||||||
Handy & Harman Ltd. (HNH) | ||||||||||
Class of Stock [Line Items] | ||||||||||
Cumulative percentage ownership | 100.00% |
Capital and Accumulated Other73
Capital and Accumulated Other Comprehensive Loss - Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance at beginning of year | $ 567,036 | |
Other comprehensive income (loss) | 3,489 | $ 19,365 |
Balance at end of year | 558,575 | |
Tax | (68) | |
Unrealized gain on available-for-sale securities | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance at beginning of year | 91,078 | |
Current period other comprehensive loss | 0 | |
Reclassifications, net of tax | 0 | |
Other comprehensive income (loss) | 0 | |
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities | (91,078) | |
Balance at end of year | 0 | |
Unrealized loss on derivative financial instruments | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance at beginning of year | (1,901) | |
Current period other comprehensive loss | 170 | |
Reclassifications, net of tax | 0 | |
Other comprehensive income (loss) | 170 | |
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities | 0 | |
Balance at end of year | (1,731) | |
Cumulative translation adjustment | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance at beginning of year | (18,259) | |
Current period other comprehensive loss | 3,098 | |
Reclassifications, net of tax | 0 | |
Other comprehensive income (loss) | 3,098 | |
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities | 0 | |
Balance at end of year | (15,161) | |
Change in net pension and other benefit obligations | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance at beginning of year | (177,085) | |
Current period other comprehensive loss | 0 | |
Reclassifications, net of tax | 0 | |
Other comprehensive income (loss) | 0 | |
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities | 0 | |
Balance at end of year | (177,085) | |
Total | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance at beginning of year | (106,167) | |
Current period other comprehensive loss | 3,268 | |
Reclassifications, net of tax | 0 | |
Other comprehensive income (loss) | 3,268 | |
Cumulative effect of adopting ASC 2016-01 relating to net unrealized gains/losses on equity securities | (91,078) | |
Balance at end of year | (193,977) | |
Accumulated foreign currency adjustment attributable to noncontrolling interest | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Other comprehensive income (loss) | $ 221 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Income tax provision | $ 1,330 | $ 6,846 | |
Tax Cuts and Jobs Act of 2017, transition tax for accumulated foreign earnings, liability | $ 2,165 |
Net (Loss) Income Per Common 75
Net (Loss) Income Per Common Unit (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Net Income (Loss) Available to Common Stockholders, Basic [Abstract] | ||
Net loss | $ (8,851) | $ (3,098) |
Net income attributable to noncontrolling interests in consolidated entities | (227) | (984) |
Net loss attributable to common unitholders | $ (9,078) | $ (4,082) |
Net loss per common unit – basic and diluted: | ||
Net income attributable to common unitholders (in dollar per share) | $ (0.35) | $ (0.16) |
Denominator for net income per common unit - basic (in shares) | 26,264,101 | 26,145,711 |
Effect of dilutive securities: | ||
SPLP Preferred units (in shares) | 0 | 0 |
Denominator for net income per common unit - diluted (in shares) | 26,264,101 | 26,145,711 |
Incentive Units | ||
Effect of dilutive securities: | ||
Incentive units (in shares) | 0 | 0 |
Antidilutive units excluded from computation of earnings per share (in shares) | 266,342 | |
Restricted Stock Units (RSUs) | ||
Effect of dilutive securities: | ||
Unvested restricted common units (in shares) | 0 | 0 |
Antidilutive units excluded from computation of earnings per share (in shares) | 41,985 | 41,085 |
Preferred stock | ||
Effect of dilutive securities: | ||
Antidilutive units excluded from computation of earnings per share (in shares) | 10,811,476 | 1,910,964 |
Fair Value Measurements - Hiera
Fair Value Measurements - Hierarchy Table (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Warrants | ||
Assets: | ||
Derivative asset total | $ 206 | |
Long put options | ||
Assets: | ||
Derivative asset total | 3 | |
Short call options | ||
Liabilities: | ||
Financial instruments | 258 | |
Fair Value, Measurements, Recurring | ||
Assets: | ||
Derivative asset total | $ 312,817 | 316,574 |
Liabilities: | ||
Total | 13,092 | 16,202 |
Fair Value, Measurements, Recurring | Marketable securities | ||
Assets: | ||
Derivative asset total | 15,120 | 58,313 |
Fair Value, Measurements, Recurring | Long-term investments | ||
Assets: | ||
Derivative asset total | 271,988 | 233,360 |
Fair Value, Measurements, Recurring | Investments in certain funds | ||
Assets: | ||
Derivative asset total | 482 | 407 |
Fair Value, Measurements, Recurring | Precious metal and commodity inventories recorded at fair value | ||
Assets: | ||
Derivative asset total | 10,303 | 10,993 |
Fair Value, Measurements, Recurring | Economic interests in loans | ||
Assets: | ||
Derivative asset total | 14,190 | 13,126 |
Fair Value, Measurements, Recurring | Foreign currency forward exchange contracts | ||
Assets: | ||
Derivative asset total | 212 | 166 |
Liabilities: | ||
Financial instruments | 188 | |
Fair Value, Measurements, Recurring | Warrants | ||
Assets: | ||
Derivative asset total | 206 | |
Fair Value, Measurements, Recurring | Investment in private company | ||
Assets: | ||
Derivative asset total | 250 | |
Fair Value, Measurements, Recurring | Financial instrument obligations | ||
Liabilities: | ||
Financial instruments | 13,092 | 15,629 |
Fair Value, Measurements, Recurring | Commodity contracts on precious metal and commodity inventories | ||
Assets: | ||
Derivative asset total | 66 | |
Liabilities: | ||
Financial instruments | 127 | |
Fair Value, Measurements, Recurring | Level 1 | ||
Assets: | ||
Derivative asset total | 212,208 | 242,117 |
Liabilities: | ||
Total | 13,092 | 15,887 |
Fair Value, Measurements, Recurring | Level 1 | Marketable securities | ||
Assets: | ||
Derivative asset total | 1,433 | 44,371 |
Fair Value, Measurements, Recurring | Level 1 | Long-term investments | ||
Assets: | ||
Derivative asset total | 200,472 | 186,750 |
Fair Value, Measurements, Recurring | Level 1 | Investments in certain funds | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Precious metal and commodity inventories recorded at fair value | ||
Assets: | ||
Derivative asset total | 10,303 | 10,993 |
Fair Value, Measurements, Recurring | Level 1 | Economic interests in loans | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Foreign currency forward exchange contracts | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Liabilities: | ||
Financial instruments | 0 | |
Fair Value, Measurements, Recurring | Level 1 | Warrants | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Investment in private company | ||
Assets: | ||
Derivative asset total | 0 | |
Fair Value, Measurements, Recurring | Level 1 | Long put options | ||
Assets: | ||
Derivative asset total | 3 | |
Fair Value, Measurements, Recurring | Level 1 | Financial instrument obligations | ||
Liabilities: | ||
Financial instruments | 13,092 | 15,629 |
Fair Value, Measurements, Recurring | Level 1 | Commodity contracts on precious metal and commodity inventories | ||
Assets: | ||
Derivative asset total | 0 | |
Liabilities: | ||
Financial instruments | 0 | |
Fair Value, Measurements, Recurring | Level 1 | Short call options | ||
Liabilities: | ||
Financial instruments | 258 | |
Fair Value, Measurements, Recurring | Level 2 | ||
Assets: | ||
Derivative asset total | 30,028 | 12,541 |
Liabilities: | ||
Total | 0 | 315 |
Fair Value, Measurements, Recurring | Level 2 | Marketable securities | ||
Assets: | ||
Derivative asset total | 1,906 | 1,988 |
Fair Value, Measurements, Recurring | Level 2 | Long-term investments | ||
Assets: | ||
Derivative asset total | 27,844 | 10,387 |
Fair Value, Measurements, Recurring | Level 2 | Investments in certain funds | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | Precious metal and commodity inventories recorded at fair value | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | Economic interests in loans | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | Foreign currency forward exchange contracts | ||
Assets: | ||
Derivative asset total | 212 | 166 |
Liabilities: | ||
Financial instruments | 188 | |
Fair Value, Measurements, Recurring | Level 2 | Warrants | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | Investment in private company | ||
Assets: | ||
Derivative asset total | 0 | |
Fair Value, Measurements, Recurring | Level 2 | Long put options | ||
Assets: | ||
Derivative asset total | 0 | |
Fair Value, Measurements, Recurring | Level 2 | Financial instrument obligations | ||
Liabilities: | ||
Financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | Commodity contracts on precious metal and commodity inventories | ||
Assets: | ||
Derivative asset total | 66 | |
Liabilities: | ||
Financial instruments | 127 | |
Fair Value, Measurements, Recurring | Level 2 | Short call options | ||
Liabilities: | ||
Financial instruments | 0 | |
Fair Value, Measurements, Recurring | Level 3 | ||
Assets: | ||
Derivative asset total | 70,581 | 61,916 |
Liabilities: | ||
Total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Marketable securities | ||
Assets: | ||
Derivative asset total | 11,781 | 11,954 |
Fair Value, Measurements, Recurring | Level 3 | Long-term investments | ||
Assets: | ||
Derivative asset total | 43,672 | 36,223 |
Fair Value, Measurements, Recurring | Level 3 | Investments in certain funds | ||
Assets: | ||
Derivative asset total | 482 | 407 |
Fair Value, Measurements, Recurring | Level 3 | Precious metal and commodity inventories recorded at fair value | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Economic interests in loans | ||
Assets: | ||
Derivative asset total | 14,190 | 13,126 |
Fair Value, Measurements, Recurring | Level 3 | Foreign currency forward exchange contracts | ||
Assets: | ||
Derivative asset total | 0 | 0 |
Liabilities: | ||
Financial instruments | 0 | |
Fair Value, Measurements, Recurring | Level 3 | Warrants | ||
Assets: | ||
Derivative asset total | 206 | 206 |
Fair Value, Measurements, Recurring | Level 3 | Investment in private company | ||
Assets: | ||
Derivative asset total | 250 | |
Fair Value, Measurements, Recurring | Level 3 | Long put options | ||
Assets: | ||
Derivative asset total | 0 | |
Fair Value, Measurements, Recurring | Level 3 | Financial instrument obligations | ||
Liabilities: | ||
Financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Commodity contracts on precious metal and commodity inventories | ||
Assets: | ||
Derivative asset total | $ 0 | |
Liabilities: | ||
Financial instruments | $ 0 |
Fair Value Measurements - Unobs
Fair Value Measurements - Unobservable Inputs Reconciliation - Assets (Details) - Fair Value, Measurements, Recurring - Level 3 - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | $ 61,916 | $ 32,031 |
Purchases | 250 | |
Sales and cash collections | (2,478) | (1,249) |
Realized gains | 3,299 | 2,497 |
Unrealized gains | 7,594 | (2,465) |
Balance at end of period | 70,581 | 35,744 |
Investments in Associated Companies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | 36,223 | 1,223 |
Purchases | 0 | |
Sales and cash collections | 0 | 0 |
Realized gains | 0 | 0 |
Unrealized gains | 7,449 | 0 |
Balance at end of period | 43,672 | 1,223 |
ModusLink Warrants | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | 0 | 19 |
Purchases | 0 | |
Sales and cash collections | 0 | 0 |
Realized gains | 0 | 0 |
Unrealized gains | 0 | (13) |
Balance at end of period | 0 | 32 |
Marketable Securities and Other | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | 25,693 | 30,789 |
Purchases | 250 | |
Sales and cash collections | (2,478) | (1,249) |
Realized gains | 3,299 | 2,497 |
Unrealized gains | 145 | (2,452) |
Balance at end of period | $ 26,909 | $ 34,489 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - Securities (Assets) | 3 Months Ended |
Mar. 31, 2018 | |
Minimum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Prepayment rate | 6.34% |
Probability of default percent | 0.75% |
Discount rate | 1.46% |
Maximum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Prepayment rate | 35.65% |
Probability of default percent | 22.06% |
Discount rate | 27.51% |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) | Feb. 28, 2017USD ($) | Mar. 31, 2018USD ($)claimdefendant | Jun. 30, 2017USD ($) | Dec. 31, 2017USD ($) | Sep. 18, 2017USD ($) |
Loss Contingencies [Line Items] | |||||
Accrual for environmental matters | $ 11,857,000 | ||||
Handy & Harman Ltd. (HNH) | |||||
Loss Contingencies [Line Items] | |||||
Accrual for environmental matters | $ 10,108,000 | ||||
BNS Subsidiary | |||||
Loss Contingencies [Line Items] | |||||
Number of claims | claim | 1,390,000 | ||||
Number of claims, dismissed, settled or granted summary judgement and closed (in claims) | claim | 1,340,000 | ||||
Claims, litigation matters (in number of claims) | claim | 50,000 | ||||
BNS Subsidiary | Insurance Claims | |||||
Loss Contingencies [Line Items] | |||||
Insurance, coverage limit | $ 183,000,000 | $ 183,000,000 | |||
Insurance, remaining self insurance coverage limit | 1,543,000 | 1,543,000 | |||
Accrual relating to open and active claims | $ 1,349,000 | $ 1,349,000 | |||
Minimum | BNS Subsidiary | |||||
Loss Contingencies [Line Items] | |||||
Loss contingency, number of defendants (in defendants) | defendant | 100,000 | ||||
Maximum | BNS Subsidiary | |||||
Loss Contingencies [Line Items] | |||||
Claims settled, average settlement value | $ 3,000 | ||||
Sold Parcel | Environmental and Other Matters | Handy & Harman Ltd. (HNH) | |||||
Loss Contingencies [Line Items] | |||||
Anticipated cost | 100,000 | ||||
Adjacent Parcel | Environmental and Other Matters | Handy & Harman Ltd. (HNH) | |||||
Loss Contingencies [Line Items] | |||||
Anticipated cost | $ 300,000 | ||||
Adjacent Parcel | Environmental and Other Matters | Minimum | Handy & Harman Ltd. (HNH) | |||||
Loss Contingencies [Line Items] | |||||
Environmental exit costs, additional loss | $ 2,000,000 | ||||
Adjacent Parcel | Environmental and Other Matters | Maximum | Handy & Harman Ltd. (HNH) | |||||
Loss Contingencies [Line Items] | |||||
Environmental exit costs, additional loss | $ 6,000,000 | ||||
Costs | Former Owner / Operator | Environmental and Other Matters | |||||
Loss Contingencies [Line Items] | |||||
Ownership responsibility for site investigation and remediation costs percentage allocation | 75.00% | ||||
Costs | Hhem and HandH | |||||
Loss Contingencies [Line Items] | |||||
Investigation and remediation costs | $ 6,700,000 | ||||
Costs | Hhem and HandH | Environmental and Other Matters | |||||
Loss Contingencies [Line Items] | |||||
Ownership responsibility for site investigation and remediation costs percentage allocation | 25.00% | ||||
Payments | $ 1,000,000 | ||||
Investigation and remediation costs | 2,100,000 | ||||
Costs | Hhem and HandH | Environmental and Other Matters | Minimum | |||||
Loss Contingencies [Line Items] | |||||
Environmental exit costs, additional loss | 1,800,000 | ||||
Pennsauken | SLI | |||||
Loss Contingencies [Line Items] | |||||
Payments | $ 2,100,000 | ||||
Camden | SLI | |||||
Loss Contingencies [Line Items] | |||||
Accrual for environmental matters | 2,800,000 | ||||
Counteroffer | 300,000 | ||||
Camden - Past And Future Expenses | SLI | |||||
Loss Contingencies [Line Items] | |||||
Damages claimed | $ 1,800,000 | ||||
Camden - Past And Future Expenses | Minimum | SLI | |||||
Loss Contingencies [Line Items] | |||||
Loss exposure in excess of accrual, estimate | 300,000 | ||||
Camden - Past And Future Expenses | Maximum | SLI | |||||
Loss Contingencies [Line Items] | |||||
Loss exposure in excess of accrual, estimate | 1,800,000 | ||||
Wayne facility | SLI | |||||
Loss Contingencies [Line Items] | |||||
Accrual for environmental matters | $ 1,300,000 |
Related Party Transactions - Ma
Related Party Transactions - Management Agreement (Details) - SP General Services LLC - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
Management fee percentage, quarterly basis (as a percent) | 1.50% | ||
Management agreement renewal, term (in years) | 1 year | ||
Notice period prior to management agreement renewal, period (in days) | 60 days | ||
Management Fee | |||
Related Party Transaction [Line Items] | |||
Services fees and reimbursable expenses | $ 2,048 | $ 2,058 | |
Unpaid amount for management fee | 202 | $ 487 | |
Reimbursable Expenses | |||
Related Party Transaction [Line Items] | |||
Services fees and reimbursable expenses | 1,025 | $ 1,264 | |
Deferred fees payable to related party | $ 1,007 | $ 881 |
Related Party Transactions - Co
Related Party Transactions - Corporate Services (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Related Parties | Management Fee | |
Related Party Transaction [Line Items] | |
Services fees and reimbursable expenses | $ 2,720 |
Related Party Transactions - Ot
Related Party Transactions - Other (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Consolidation, eliminations | ||
Related Party Transaction [Line Items] | ||
Deposits | $ 89 | $ 357 |
Related Parties | WebBank | ||
Related Party Transaction [Line Items] | ||
Deposits | $ 2,174 | $ 2,438 |
Segment Information - Segment D
Segment Information - Segment Description (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Diversified industrial | ||
Segment Reporting Information [Line Items] | ||
Management Fees Revenue | $ 3,300 | $ 2,900 |
Energy | ||
Segment Reporting Information [Line Items] | ||
Management Fees Revenue | 2,100 | 2,000 |
Financial services | ||
Segment Reporting Information [Line Items] | ||
Management Fees Revenue | $ 1,175 | $ 1,175 |
Segment Information - Schedule
Segment Information - Schedule of Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | ||
Revenue: | $ 366,245 | $ 323,319 |
Income (loss) before income taxes: | (7,521) | 3,748 |
Income tax provision | 1,330 | 6,846 |
Net loss | (8,851) | (3,098) |
Total | 1,955 | 6,302 |
Diversified industrial | ||
Segment Reporting Information [Line Items] | ||
Revenue: | 307,618 | 280,214 |
Income (loss) before income taxes: | 10,682 | 7,946 |
Energy | ||
Segment Reporting Information [Line Items] | ||
Revenue: | 36,592 | 27,316 |
Income (loss) before income taxes: | (5,820) | (7,777) |
Total | 819 | 799 |
Financial services | ||
Segment Reporting Information [Line Items] | ||
Revenue: | 22,035 | 15,789 |
Income (loss) before income taxes: | 8,530 | 7,623 |
Corporate and other | ||
Segment Reporting Information [Line Items] | ||
Income (loss) before income taxes: | (20,913) | (4,044) |
Total | $ 1,136 | $ 5,503 |
Regulatory Matters (Details)
Regulatory Matters (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common Equity Tier One Capital for Capital Adequacy, Capital Buffer To Risk Weighted Assets | 2.50% | |
Common Equity Tier One Capital Required for Capital Adequacy with Buffer to Risk Weighted Assets, when Fully Phased-in | 7.00% | |
Total Capital (to risk-weighted assets) | ||
Actual | $ 112,585 | $ 111,102 |
For capital adequacy purposes | 37,219 | 30,710 |
With capital buffer | 45,942 | 35,509 |
To be well capitalized under prompt corrective provisions | 46,524 | 38,388 |
Tier 1 Capital (to risk-weighted assets) | ||
Actual | 106,753 | 106,296 |
For capital adequacy purposes | 27,914 | 23,033 |
With capital buffer | 36,638 | 27,831 |
To be well capitalized under prompt corrective provisions | 37,219 | 30,710 |
Tier 1 Capital (to average assets) | ||
Actual | 106,753 | 106,296 |
For capital adequacy purposes | 23,934 | 22,398 |
To be well capitalized under prompt corrective provisions | $ 29,918 | $ 27,998 |
Risk Based Ratios (as a percent) | ||
Total Capital (to risk-weighted assets) Actual | 24.20% | 28.90% |
Total Capital (to risk-weighted assets) For capital adequacy purposes | 8.00% | 8.00% |
Total Capital (to risk-weighted assets) For adequacy with capital buffer | 9.88% | 9.25% |
Total Capital (to risk-weighted assets) To be well capitalized under prompt corrective provisions | 10.00% | 10.00% |
Common Equity Tier One Capital Required For Capital Adequacy to Risk Weighted Assets | 4.50% | 4.50% |
Tier 1 Capital (to risk-weighted assets) Actual | 22.90% | 27.70% |
Tier 1 Capital (to risk-weighted assets) For adequacy purposes | 6.00% | 6.00% |
Tier 1 Capital (to risk-weighted assets) For adequacy with capital buffer | 7.88% | 7.25% |
Tier 1 Capital (to risk-weighted assets) To be well capitalized under prompt corrective provisions | 8.00% | 8.00% |
Tier One Common Equity | $ 106,753 | $ 106,296 |
Tier One Common Capital For Capital Adequacy | 20,936 | 17,275 |
Tier One Common Capital To Be Well Capitalized | $ 30,241 | $ 24,952 |
Common Equity Tier 1 Capital | ||
Common Equity Tier One Capital to Risk Weighted Assets | 22.90% | 27.70% |
Common Equity Tier One Capital For Adequacy With Capital Buffer To Risk Weighted Assets | $ 29,659 | $ 22,073 |
Common Equity Tier One Capital Required For Adequacy With Capital Buffer To Risk Weighted Assets | 6.38% | 5.75% |
Common Equity Tier One Capital Required to be Well-Capitalized to Risk Weighted Assets | 6.50% | 6.50% |
Leverage Ratios (as a percent) | ||
Tier 1 Capital (to average assets) Actual | 17.80% | 19.00% |
Tier 1 Capital (to average assets) For capital adequacy purposes | 4.00% | 4.00% |
Tier 1 Capital (to average assets) To be well capitalized under prompt corrective provisions | 5.00% | 5.00% |
Minimum | ||
Risk Based Ratios (as a percent) | ||
Total Capital (to risk-weighted assets) For adequacy with capital buffer | 10.50% | |
Tier 1 Capital (to risk-weighted assets) For adequacy purposes | 4.00% | |
Tier 1 Capital (to risk-weighted assets) For adequacy with capital buffer | 8.50% | |
Maximum | ||
Risk Based Ratios (as a percent) | ||
Tier 1 Capital (to risk-weighted assets) For adequacy purposes | 6.00% |
Supplemental Cash Flow Inform86
Supplemental Cash Flow Information - Restrictions on Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 322,833 | $ 418,755 | $ 382,339 | |
Restricted cash | 13,092 | 15,629 | 13,513 | |
Total cash, cash equivalents and restricted cash | $ 335,925 | $ 434,384 | $ 395,852 | $ 462,768 |
Supplemental Cash Flow Inform87
Supplemental Cash Flow Information - Schedule of Cash Flows, Supplemental Disclosures (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash paid during the period for: | ||
Interest | $ 8,365 | $ 4,055 |
Taxes | 646 | 2,201 |
Non-cash investing activities: | ||
Contingent purchase price (future earn-out) associated with the Dunmore acquisition | 3,800 | 0 |
Issuance of SPLP Preferred Units to purchase subsidiary shares from noncontrolling interests | $ 0 | $ 63,503 |