Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 24, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | RYERSON HOLDING CORPORATION | |
Entity Central Index Key | 0001481582 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 38,117,397 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity File Number | 001-34735 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 26-1251524 | |
Entity Address, Address Line One | 227 W. Monroe St. | |
Entity Address, Address Line Two | 27th Floor | |
Entity Address, City or Town | Chicago | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60606 | |
City Area Code | 312 | |
Local Phone Number | 292-5000 | |
Title of 12(b) Security | Common Stock, $0.01 par value, 100,000,000 shares authorized | |
Trading Symbol | RYI | |
Security Exchange Name | NYSE |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net sales | $ 771.8 | $ 1,204.9 | $ 1,782.1 | $ 2,435.7 |
Cost of materials sold | 656.3 | 993.1 | 1,470.8 | 1,992.6 |
Gross profit | 115.5 | 211.8 | 311.3 | 443.1 |
Warehousing, delivery, selling, general, and administrative | 124.1 | 164.6 | 279.8 | 328.3 |
Restructuring and other charges | 2 | 1.1 | 2 | 1.4 |
Operating profit (loss) | (10.6) | 46.1 | 29.5 | 113.4 |
Other income and (expense), net | (0.1) | (0.2) | 0.8 | (1) |
Interest and other expense on debt | (19.3) | (23.9) | (41) | (47.8) |
Income (loss) before income taxes | (30) | 22 | (10.7) | 64.6 |
Provision (benefit) for income taxes | (4.5) | 5.5 | (1.6) | 18.5 |
Net income (loss) | (25.5) | 16.5 | (9.1) | 46.1 |
Less: Net income attributable to noncontrolling interest | 0.1 | 0.1 | 0.1 | 0.2 |
Net income (loss) attributable to Ryerson Holding Corporation | (25.6) | 16.4 | (9.2) | 45.9 |
Comprehensive income (loss) | (21.9) | 17.5 | (15.7) | 50.6 |
Less: Comprehensive income (loss) attributable to noncontrolling interest | 0.1 | 0.3 | ||
Comprehensive income (loss) attributable to Ryerson Holding Corporation | $ (21.9) | $ 17.4 | $ (15.7) | $ 50.3 |
Basic earnings (loss) per share | $ (0.67) | $ 0.43 | $ (0.24) | $ 1.22 |
Diluted earnings (loss) per share | $ (0.67) | $ 0.43 | $ (0.24) | $ 1.21 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Operating activities: | ||
Net income (loss) | $ (9.1) | $ 46.1 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 26.9 | 28.7 |
Stock-based compensation | 1 | 1.6 |
Deferred income taxes | 11.5 | 17 |
Provision for allowances, claims, and doubtful accounts | (0.6) | 1.6 |
Restructuring and other charges | 2 | 1.4 |
Pension settlement charge | 1.1 | 0.2 |
(Gain) loss on retirement of debt | (0.9) | 0.2 |
Non-cash (gain) loss from derivatives | (1.7) | 5.7 |
Other items | 0.4 | |
Change in operating assets and liabilities: | ||
Receivables | 50.5 | (31.8) |
Inventories | 141.4 | (15.2) |
Other assets | 15.8 | 1.1 |
Accounts payable | (26.7) | 30.8 |
Accrued liabilities | (11.9) | (24.7) |
Accrued taxes payable/receivable | (14.6) | (1.6) |
Deferred employee benefit costs | (8.6) | (13.5) |
Net adjustments | 185.2 | 1.9 |
Net cash provided by operating activities | 176.1 | 48 |
Investing activities: | ||
Capital expenditures | (11.8) | (23.4) |
Proceeds from sale of property, plant, and equipment | 0.1 | 8.6 |
Net cash used in investing activities | (11.7) | (14.8) |
Financing activities: | ||
Repayment of debt | (57.5) | (12) |
Net repayments of short-term borrowings | (21.5) | (29.8) |
Net increase (decrease) in book overdrafts | (24.4) | 7.1 |
Principal payments on finance lease obligations | (6.7) | (6.3) |
Contingent payment related to acquisition | (0.9) | |
Proceeds from sale-leaseback transactions | 8.3 | |
Dividends paid to non-controlling interest | (0.2) | |
Net cash used in financing activities | (110.3) | (33.6) |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 54.1 | (0.4) |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash | (2) | |
Net change in cash, cash equivalents, and restricted cash | 52.1 | (0.4) |
Cash, cash equivalents, and restricted cash—beginning of period | 59.8 | 24.3 |
Cash, cash equivalents, and restricted cash—end of period | 111.9 | 23.9 |
Cash paid during the period for: | ||
Interest paid to third parties, net | 39.8 | 46.4 |
Income taxes, net | 2.2 | 4.2 |
Noncash investing activities: | ||
Asset additions under adoption of accounting principal ASC 842 | 82.3 | |
Asset additions under operating leases | 0.7 | 10.8 |
Asset additions under finance leases and sale-leasebacks | $ 1.4 | 0.6 |
Asset additions under financing arrangements | 2.2 | |
Noncash financing activities: | ||
Short term debt converted to finance lease | $ 7.6 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 99.9 | $ 11 |
Restricted cash | 12 | 48.8 |
Receivables less provisions of $2.7 in 2020 and $3.5 2019 | 373.1 | 425.1 |
Inventories | 599.3 | 742.9 |
Prepaid expenses and other current assets | 48.3 | 52.2 |
Total current assets | 1,132.6 | 1,280 |
Property, plant, and equipment, at cost | 812.1 | 806.5 |
Less: Accumulated depreciation | 383 | 366.8 |
Property, plant, and equipment, net | 429.1 | 439.7 |
Operating lease assets | 117.2 | 128.2 |
Other intangible assets | 46.8 | 50.6 |
Goodwill | 120.3 | 120.3 |
Deferred charges and other assets | 2.6 | 2.7 |
Total assets | 1,848.6 | 2,021.5 |
Current liabilities: | ||
Accounts payable | 260.1 | 311.5 |
Salaries, wages, and commissions | 28.6 | 35.3 |
Other accrued liabilities | 58 | 68 |
Short-term debt | 13.2 | 49.2 |
Current portion of operating lease liabilities | 21.2 | 20.9 |
Current portion of deferred employee benefits | 7 | 7 |
Total current liabilities | 388.1 | 491.9 |
Long-term debt | 890.6 | 932.6 |
Deferred employee benefits | 204.1 | 217.5 |
Noncurrent operating lease liabilities | 101.7 | 112.8 |
Deferred income taxes | 77 | 65.2 |
Other noncurrent liabilities | 23.4 | 22.9 |
Total liabilities | 1,684.9 | 1,842.9 |
Commitments and contingencies | ||
Ryerson Holding Corporation stockholders’ equity: | ||
Preferred stock, value | ||
Common stock, $0.01 par value; 100,000,000 shares authorized; 38,329,897 and 37,996,261 shares issued at 2020 and 2019, respectively | 0.4 | 0.4 |
Capital in excess of par value | 382.2 | 381.2 |
Retained earnings | 90.4 | 99.6 |
Treasury stock at cost - Common stock, value | (6.6) | (6.6) |
Accumulated other comprehensive loss | (308.5) | (302) |
Total Ryerson Holding Corporation stockholders’ equity | 157.9 | 172.6 |
Noncontrolling interest | 5.8 | 6 |
Total equity | 163.7 | 178.6 |
Total liabilities and equity | $ 1,848.6 | $ 2,021.5 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Receivables, provisions | $ 2.7 | $ 3.5 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 7,000,000 | 7,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 38,329,897 | 37,996,261 |
Treasury stock at cost - Common stock, shares | 212,500 | 212,500 |
Financial Statements
Financial Statements | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Financial Statements | NOTE 1: FINANCIAL STATEMENTS Ryerson Holding Corporation (“Ryerson Holding”), a Delaware corporation, is the parent company of Joseph T. Ryerson & Son, Inc. (“JT Ryerson”), a Delaware corporation. Affiliates of Platinum Equity, LLC (“Platinum”) own approximately 21,037,500 shares of our common stock, which is approximately 55% of our issued and outstanding common stock. We are a leading value-added processor and distributor of industrial metals with operations in the United States through JT Ryerson, in Canada through our indirect wholly-owned subsidiary Ryerson Canada, Inc., a Canadian corporation (“Ryerson Canada”), and in Mexico through our indirect wholly-owned subsidiary Ryerson Metals de Mexico, S. de R.L. de C.V., a Mexican corporation (“Ryerson Mexico”). In addition to our North American operations, we conduct materials processing and distribution operations in China through an indirect wholly-owned subsidiary, Ryerson China Limited (“Ryerson China”). Unless the context indicates otherwise, Ryerson Holding, JT Ryerson, Ryerson Canada, Ryerson China, and Ryerson Mexico together with their subsidiaries, are collectively referred to herein as “Ryerson,” “we,” “us,” “our,” or the “Company.” Results of operations for any interim period are not necessarily indicative of results of any future periods or for the year. The condensed consolidated financial statements as of June 30, 2020 and for the three-month and six-month periods ended June 30, 2020 and 2019 are unaudited, but in the opinion of management, include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of results for such periods. The year-end condensed consolidated balance sheet data contained in this report was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. Risks and Uncertainties The Condensed Consolidated Financial Statements presented herein reflect estimates and assumptions made by management at June 30, 2020 and for the three and six month periods ended June 30, 2020. The novel coronavirus (“COVID-19”) continues to spread throughout the United States and other countries across the world, and the duration and severity of the effects of the COVID-19 pandemic are currently unknown. It is possible that the COVID-19 pandemic could impact future accounting estimates and assumptions which could materially impact our results in future periods. Such estimates and assumptions affect, among other things, the Company’s goodwill, long-lived assets, inventory valuation, assessment of the annual effective tax rate, valuation of deferred income taxes and income tax contingencies, and the allowance for doubtful accounts. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2020 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | NO TE 2: RECENT ACCOUNTING PRONOUNCEMENTS Impact of Recently Issued Accounting Standards—Adopted In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, “ Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments. ” The standard and subsequently issued amendments require financial assets measured at amortized cost basis to be presented at the net amount expected to be collected, thus eliminating the probable initial recognition threshold and instead reflecting the current estimate of all expected credit losses. The update is effective for interim and annual reporting periods beginning after December 15, 2019. In August 2018, the FASB issued ASU 2018-15, “ Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. license fees and implementation costs that are capitalized for hosting arrangements that are service contracts are classified as prepaid assets on the Company’s Consolidated Balance Sheet and the amortization of these costs are presented in warehousing, delivery, selling, general, and administrative expense on the Condensed Consolidated Statement of Comprehensive Income. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848).” The amendments in this update provide optional expedients and exceptions for applying Generally Accepted Accounting Principles (“GAAP”) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The expedients and exceptions provided by the amendments do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, that an entity has elected certain optional expedients for and that are retained through the end of the hedging relationship. The amendments in this update are effective for all entities as of March 12, 2020 through December 31, 2022. We adopted this guidance as of March 12, 2020 and there was no impact to our financial statements as no in-scope contract modifications occurred. Impact of Recently Issued Accounting Standards—Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, “Income Taxes – Simplifying the Accounting for Income Taxes.” |
Cash, Cash Equivalents, and Res
Cash, Cash Equivalents, and Restricted Cash | 6 Months Ended |
Jun. 30, 2020 | |
Cash And Cash Equivalents [Abstract] | |
Cash, Cash Equivalents, and Restricted Cash | NOTE 3: CASH, CASH EQUIVALENTS, AND RESTRICTED CASH The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Condensed Consolidated Balance Sheets that sum to the total of the beginning and ending cash balances shown in the Condensed Consolidated Statements of Cash Flows: June 30, December 31, 2020 2019 (In millions) Cash and cash equivalents $ 99.9 $ 11.0 Restricted cash 12.0 48.8 Total cash, cash equivalents, and restricted cash $ 111.9 $ 59.8 As part of the indenture for our $650 million senior secured notes due in 2022 (the “2022 Notes”), proceeds from the sale of property, plant, and equipment that is collateral are deposited into a restricted cash account. Cash can be withdrawn from this restricted account upon meeting certain requirements, to fund activities such as debt repayment and future capital expenditures. In December 2019, we signed and closed a sale-leaseback transaction for a group of service center properties, resulting in net proceeds of $61.5 million of which $47.6 million was deposited into the restricted cash account. The balance in the restricted account for property, plant, and equipment sales was $10.9 million at June 30, 2020 compared to $47.6 million at December 31, 2019 as funds were released during the first six months to repurchase a portion of our 2022 Notes (see Note 7) as well as fund capital expenditures. We also had $1.1 million and $1.2 million of cash restricted for the purposes of covering letters of credit that can be presented for potential insurance claims at June 30, 2020 and December 31, 2019, respectively. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 4: INVENTORIES The Company primarily uses the last-in, first-out (LIFO) method of valuing inventory. Interim LIFO calculations are based on actual inventory levels. Inventories, at stated LIFO value, were classified at June 30, 2020 and December 31, 2019 as follows: June 30, December 31, 2020 2019 (In millions) In process and finished products $ 599.3 $ 742.9 If current cost had been used to value inventories, such inventories would have been $57 million The Company has consignment inventory at certain customer locations, which totaled $4.9 million and $5.6 million at June 30, 2020 and December 31, 2019, respectively. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | NOTE 5: LEASES The Company leases various assets including real estate, trucks, trailers, mobile equipment, processing equipment, and IT equipment. The Company has noncancelable operating leases expiring at various times through 2032, and finance leases expiring at various times through 2027. The following table summarizes the location and amount of lease assets and lease liabilities reported in our Condensed Consolidated Balance Sheet as of June 30, 2020 and December 31, 2019: June 30, December 31, Leases Balance Sheet Location 2020 2019 (In millions) Assets Operating lease assets Operating lease assets $ 117.2 $ 128.2 Finance lease assets Property, plant, and equipment, net (a) 53.5 54.2 Total lease assets $ 170.7 $ 182.4 Liabilities Current Operating Current portion of operating lease liabilities $ 21.2 $ 20.9 Finance Other accrued liabilities 11.1 12.4 Noncurrent Operating Noncurrent operating lease liabilities 101.7 112.8 Finance Other noncurrent liabilities 16.4 18.7 Total lease liabilities $ 150.4 $ 164.8 (a) Finance lease assets were recorded net of accumulated amortization of $20.8 million and $19.0 million as of June 30, 2020 and December 31, 2019, respectively. The following table summarizes the location and amount of lease expense reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six month periods ended June 30, 2020 and 2019: Three Months Ended June 30, Six Months Ended June 30, Lease Expense Location of Lease Expense Recognized in Income 2020 2019 2020 2019 (In millions) Operating lease expense Warehousing, delivery, selling, general, and administrative $ 5.9 $ 5.5 $ 11.9 $ 11.1 Finance lease expense Amortization of lease assets Warehousing, delivery, selling, general, and administrative 1.8 1.8 3.4 3.4 Interest on lease liabilities Interest and other expense on debt 0.4 0.5 0.7 0.9 Variable lease expense Warehousing, delivery, selling, general, and administrative 0.8 0.7 1.6 1.4 Short-term lease expense Warehousing, delivery, selling, general, and administrative 0.5 0.6 1.3 1.1 Total lease expense $ 9.4 $ 9.1 $ 18.9 $ 17.9 The following table presents maturity analysis of lease liabilities at June 30, 2020: Maturity of Lease Liabilities Operating Leases (a) Finance Leases (In millions) 2020 $ 12.7 $ 6.9 2021 23.7 9.5 2022 19.9 6.0 2023 16.6 3.6 2024 15.5 2.9 After 2024 51.1 0.5 Total lease payments 139.5 29.4 Less: Interest (b) (16.6 ) (1.9 ) Present value of lease liabilities (c) $ 122.9 $ 27.5 (a) There were no operating leases with options to extend lease terms that are reasonably certain of being exercised and the operating lease payments exclude $0.3 million of legally binding minimum lease payments for leases signed but not yet commenced. (b) Calculated using the discount rate for each lease. (c) Includes the current portion of $21.2 million for operating leases and $11.1 million for finance leases. The following table shows the weighted-average remaining lease term and discount rate for operating and finance leases, respectively, at June 30, 2020 and December 31, 2019: June 30, December 31, Lease Term and Discount Rate 2020 2019 Weighted-average remaining lease term (years) Operating leases 7.6 7.9 Finance leases 2.8 2.8 Weighted-average discount rate Operating leases 3.4 % 3.6 % Finance leases 4.6 % 4.8 % Information reported in our Condensed Consolidated Statement of Cash Flows for the six months ended June 30, 2020 and 2019 is summarized below: Six Months Ended June 30, Other Information 2020 2019 (In millions) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 12.4 $ 10.1 Operating cash flows from finance leases 0.7 0.9 Financing cash flows from finance leases 6.7 6.3 Assets obtained in exchange for lease obligations: Adoption of accounting principal ASC 842 — 82.3 Operating leases 0.7 10.8 Finance leases 1.4 0.6 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | NOTE 6: GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill, which represents the excess of cost over the fair value of net assets acquired, amounted to $120.3 million Intangibles – Goodwill and Other, Due to the COVID-19 pandemic and its effect on our demand levels and stock price, as well as the overall economy, we performed a quantitative impairment test of goodwill as of May 31, 2020. It was determined that no impairment existed. Other intangible assets with finite useful lives continue to be amortized over their useful lives. We review the recoverability of our long-lived assets whenever events or changes in circumstances indicate the carrying amount of such assets may not be recoverable. Our Critical Accounting Policies and Estimates for goodwill and intangibles assets are disclosed in Note 1 to the Consolidated Financial Statements and in Management's Discussion and Analysis of our annual report on Form 10-K for the fiscal year ended December 31, 2019. We continue to monitor the significant global economic uncertainty as a result of the COVID-19 pandemic to assess the outlook for demand for our products and the impact on our business and our overall financial performance. A lack of recovery or further deterioration in market conditions, a trend of weaker than expected financial performance in our business, or a lack of recovery or further decline in the Company’s market capitalization, among other factors, could result in an impairment charge in future periods which could have a material adverse effect on our financial statements. |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | NOTE 7: LONG-TERM DEBT Long-term debt consisted of the following at June 30, 2020 and December 31, 2019: June 30, December 31, 2020 2019 (In millions) Ryerson Credit Facility $ 357.9 $ 377.7 11.00% Senior Secured Notes due 2022 530.3 587.9 Foreign debt 11.5 13.2 Other debt 8.7 9.5 Unamortized debt issuance costs and discounts (4.6 ) (6.5 ) Total debt 903.8 981.8 Less: Ryerson Credit Facility - "first in, last out" subfacility — 34.3 Less: Short-term foreign debt 11.5 13.2 Less: Other short-term debt 1.7 1.7 Total long-term debt $ 890.6 $ 932.6 Ryerson Credit Facility On November 16, 2016, Ryerson entered into an amendment with respect to its $1.0 billion revolving credit facility (as amended, the “Old Credit Facility”), to reduce the total facility size from $1.0 billion to $750 million, reduce the interest rate on outstanding borrowings by 25 basis points, reduce commitment fees on amounts not borrowed by 2.5 basis points, and to extend the maturity date to November 16, 2021. The Old Credit Facility was amended a second time on June 28, 2018, to increase the facility size from $750 million to $1.0 billion (the “Ryerson Credit Facility”). On September 23, 2019, a third amendment was entered into to supplement the facility and add a U.S. “first-in, last-out” sub-facility of $67.9 million (the “FILO Facility”). The FILO facility is equal in subordination with the other borrowings under the Ryerson Credit Facility and has matured as of June 30, 2020. The FILO facility supplemented our borrowing capacity by providing additional collateral on eligible accounts receivable and inventory. The aggregate facility size of $1.0 billion remains unchanged. At June 30, 2020 , Ryerson had $357.9 million of outstanding borrowings, $11 million of letters of credit issued, and $204 million available under The Ryerson Credit Facility has an allocation of $940 million to the Company’s subsidiaries in the United States and an allocation of $60 million to Ryerson Holding’s Canadian subsidiary that is a borrower. Amounts outstanding under the Ryerson for the bankers’ acceptances is between 1.25 % and 1.50 %, depending on the amount available to be borrowed under the Ryerson Credit Facility. Amounts outstanding under the FILO Facility b ore interest at the same rates as listed above for U.S. borrowings, however the spread over the base rate wa s between 1.25 % and 1.50 % and the spread over the LIBOR rate wa s between 2.25 % and 2.50 %, depending on the amount available to be borrowed under the Ryerson Credit Facility. Ryerson also pays commitment fees on amounts not borrowed at a rate of 0.23 %. Overdue amounts and all amounts owed during the existence of a default bear interest at 2 % above the rate otherwise applicable thereto. We attempt to minimize interest rate risk exposure through the utilization of interest rate swaps, which are derivative financial instruments. In June 2019, we entered into an interest rate swap to fix interest on $60 million of our floating rate debt under the Ryerson Credit Facility at a rate of 1.729% through June 2022. In November 2019, we entered into another interest rate swap to fix interest on $100 million of our floating rate debt under the Ryerson Credit Facility at a rate of 1.539% through November 2022. Both of 3.2 Borrowings under the Ryerson The Ryerson Ryerson Ryerson The Ryerson Ryerson Ryerson The lenders under the Ryerson Ryerson Net repayments of short-term borrowings that are reflected in the Condensed Consolidated Statements of Cash Flows represent borrowings under the Ryerson 2022 Notes On May 24, 2016, JT Ryerson issued the 2022 Notes that bear interest at a rate of 11.00% per annum. The 2022 Notes are fully and unconditionally guaranteed on a senior secured basis by all of our existing and future domestic subsidiaries that are co-borrowers or that have guarantee obligations under the Ryerson Credit Facility. The 2022 Notes and the related guarantees are secured by a first-priority security interest in substantially all of JT Ryerson’s and each guarantor’s present and future assets located in the United States (other than receivables, inventory, cash, deposit accounts and related general intangibles, certain other assets, and proceeds thereof), subject to certain exceptions and customary permitted liens. The 2022 Notes and the related guarantees are also secured on a second-priority basis by a lien on the assets that secure JT Ryerson’s and the Company’s obligations under the Ryerson Credit Facility. The 2022 Notes are redeemable at 102.75% if redeemed before May 15, 2021 and 100.00% if redeemed on and thereafter. JT Ryerson may be required to make an offer to purchase the 2022 Notes upon the sale of assets or upon a change of control. The 2022 Notes contain customary covenants that, among other things, limit, subject to certain exceptions, our ability, and the ability of our restricted subsidiaries, to incur additional indebtedness, pay dividends on our capital stock or repurchase our capital stock, make investments, sell assets, engage in acquisitions, mergers, or consolidations, or create liens or use assets as security in other transactions. Subject to certain exceptions, JT Ryerson may only pay dividends to Ryerson Holding to the extent of 50% of cumulative net income since the issuance of the 2022 Notes, once prior losses are offset. During the first six months of 2019, a principal amount of $11.6 million of the 2022 Notes were repurchased for $11.8 million and retired, resulting in the recognition of a $0.2 million loss within other income and (expense), net on the Condensed Consolidated Statement of Comprehensive Income. During the first six months of 2020, a principal amount of $57.6 million of the 2022 Notes were repurchased for $56.7 million and retired, resulting in the recognition of a $0.9 million gain within other income and (expense), net on the Condensed Consolidated Statement of Comprehensive Income. Foreign Debt At June 30, 2020, Ryerson China’s foreign borrowings were $11.5 million, which were owed to banks in Asia at a weighted average interest rate of 4.1% per annum and secured by inventory and property, plant, and equipment. At December 31, 2019, Ryerson China’s foreign borrowings were $13.2 million rate of 4.3% Availability under the foreign credit lines was $35 million and $32 million at June 30, 2020 and December 31, 2019, respectively. Letters of credit issued by our foreign subsidiaries were $4 million and $3 million at June 30, 2020 and December 31, 2019, respectively. |
Employee Benefits
Employee Benefits | 6 Months Ended |
Jun. 30, 2020 | |
Compensation And Retirement Disclosure [Abstract] | |
Employee Benefits | NOTE 8: EMPLOYEE BENEFITS The following tables summarize the components of net periodic benefit cost (credit) for the three and six month periods ended June 30, 2020 and 2019 for the Ryerson pension plans and postretirement benefit plans other than pension: Three Months Ended June 30, Pension Benefits Other Benefits 2020 2019 2020 2019 (In millions) Components of net periodic benefit cost (credit) Service cost $ 0.8 $ 0.9 $ 0.2 $ 0.2 Interest cost 5.2 7.3 0.5 0.6 Expected return on assets (8.1 ) (9.1 ) — — Settlement expense 0.7 0.1 — — Recognized actuarial (gain) loss 4.2 3.7 (1.8 ) (1.9 ) Amortization of prior service cost (credit) 0.1 — (0.6 ) (0.8 ) Net periodic benefit cost (credit) $ 2.9 $ 2.9 $ (1.7 ) $ (1.9 ) Six Months Ended June 30, Pension Benefits Other Benefits 2020 2019 2020 2019 (In millions) Components of net periodic benefit cost (credit) Service cost $ 1.7 $ 1.7 $ 0.3 $ 0.3 Interest cost 10.4 14.6 0.9 1.2 Expected return on assets (16.2 ) (18.2 ) — — Settlement expense 1.1 0.2 — — Recognized actuarial (gain) loss 8.5 7.4 (3.5 ) (3.8 ) Amortization of prior service cost (credit) 0.1 — (1.1 ) (1.5 ) Net periodic benefit cost (credit) $ 5.6 $ 5.7 $ (3.4 ) $ (3.8 ) Components of net periodic benefit cost (credit), excluding service cost, are included in Other income and (expense), net in our Condensed Consolidated Statement of Comprehensive Income. The Company contributed $7 million to the pension plan funds through the six months ended June 30, 2020. The Company has elected to defer the remaining expected 2020 U.S. contributions of $13 million until January 1, 2021, as permitted under The Coronavirus Aid, Relief, and Economic Security Act (“The CARES Act”) that was passed in March 2020. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 9: COMMITMENTS AND CONTINGENCIES In October 2011, the United States Environmental Protection Agency (the “EPA”) named JT Ryerson as one of more than 100 businesses that may be a potentially responsible party (“PRP”) for the Portland Harbor Superfund Site (the “PHS Site”). On January 6, 2017, the EPA issued an initial Record of Decision (“ROD”) regarding the site. The ROD includes a combination of dredging, capping, and enhanced natural recovery that would take approximately thirteen years to construct plus additional time for monitored natural recovery, at an estimated present value cost of $1.05 billion. In a change from its prior stance, at a meeting on December 4, 2018, the EPA indicated that it expected PRPs to submit a plan during 2019 to start remediation of the river and harbor per the original ROD within the next two to three years . The EPA also indicated that it expected allocation of amounts among the parties to be determined in the same two to three-year time frame. The EPA invited certain PRPs to a May 2, 2019 meeting to discuss starting the remedial design process. The EPA did not include JT Ryerson in those meetings. On December 9, 2019, a PRP group met with Administrator Wheeler, the head of the EPA, to discuss updating the ROD as recent testing indicates that the levels of contamination have “drastically improved” and, thus, remediation should be much less drastic than that in the current ROD. Administrator Wheeler directed regional EPA staff to again review the ROD before moving forward with any enforcement action. On March 3, 2020, the regional EPA issued a letter to the PRP group, essentially rejecting the request but noting that new data would be used for fine-tuning the implementation of the remedy and to that extent could result in less active remediation. The EPA indicated in a January 2, 2020 “progress update” letter that it is negotiating with certain parties to perform remedial design work at five unspecified areas which comprise 52% of the overall acreage subject to remediation. In late March, the EPA issued a Unilateral Administrative Order for Remedial Design to Schnitzer Steel, ordering it to develop a remedial design plan for the river area which includes the area where our former facilities were. In the meantime, Schnitzer has filed a petition for relief from the remedy required by the ROD. The EPA has stated that it is willing to consider de minimis settlements, which JT Ryerson is trying to pursue; however, the EPA has not begun meeting with any of the smaller parties who have requested de minimis or de micromis status, stating that it does not have sufficient information to determine whether any parties meet such criteria and does not intend to begin those considerations until after the remedial design work is completed. It has met with selected parties that we believe to be larger targets. JT Ryerson has not been invited to meet with the EPA. As a result of the ongoing negotiations and filings over the ROD and the EPA’s decision not to meet with smaller parties, we cannot determine how allocations will be made and whether a de minimus settlement can be reached with the EPA. The EPA has not yet allocated responsibility for the contamination among the potentially responsible parties, including JT Ryerson. We do not currently have sufficient information available to us to determine whether the ROD will be executed as currently stated, whether and to what extent JT Ryerson may be held responsible for any of the identified contamination, and how much (if any) of the final plan’s costs might ultimately be allocated to JT Ryerson. Therefore, management cannot predict the ultimate outcome of this matter or estimate a range of potential loss at this time. There are various other claims and pending actions against the Company. The amount of liability, if any, for those claims and actions at June 30, 2020 is not determinable but, in the opinion of management, such liability, if any, will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. We maintain liability insurance coverage to assist in protecting our assets from losses arising from or related to activities associated with business operations. |
Derivatives and Fair Value Meas
Derivatives and Fair Value Measurements | 6 Months Ended |
Jun. 30, 2020 | |
Investments All Other Investments [Abstract] | |
Derivatives and Fair Value Measurements | NOTE 10: DERIVATIVES AND FAIR VALUE MEASUREMENTS Derivatives The Company may use derivatives to partially offset its business exposure to commodity price, foreign currency, and interest rate fluctuations and their related impact on expected future cash flows and certain existing assets and liabilities. However, the Company may choose not to hedge certain exposures for a variety of reasons including, but not limited to, Company policy, accounting considerations, or the prohibitive economic cost of hedging particular exposures. There can be no assurance the hedges will offset more than a portion of the financial impact resulting from movements in commodity pricing, foreign currency exchange, or interest rates. Interest rate swaps are entered into to manage interest rate risk associated with the Company’s floating-rate borrowings. We use foreign currency exchange contracts to hedge variability in cash flows in our Canada, Mexico, and China operations when a payment currency is different from our functional currency. From time to time, we may enter into fixed price sales contracts with our customers for certain of our inventory components. We may enter into metal commodity futures and options contracts to reduce volatility in the price of these metals. We may also enter into fixed price natural gas contracts and diesel fuel derivative contracts to manage the price risk of forecasted purchases of natural gas and diesel fuel. We have two receive variable, pay fixed, interest rate swaps to manage the exposure to variable interest rates of the Ryerson Credit Facility. In June 2019, we entered into a forward agreement for $60 million of “pay fixed” interest at 1.729% and in November 2019, we entered into a forward agreement for $100 million of “pay fixed” interest at 1.539%. The interest rate reset dates and critical terms match the terms of our existing debt and anticipated critical terms of future debt under the Ryerson Credit Facility. The fair value of the interest rate swaps as of June 30, 2020 was a net liability of $5.0 million. The Company currently does not account for its commodity and foreign exchange derivative contracts as hedges but rather marks them to market with a corresponding offset to current earnings. The Company accounts for its interest rate swaps as cash flow hedges of floating-rate borrowings with changes in fair value being recorded in accumulated other comprehensive income. The Company has made an accounting policy election to offset the fair value of derivative liabilities with related cash collateral. As of June 3 0 , 2020 and December 31, 2019, the Company offset zero and $ 2.7 million, respectively, of fair value liabilities with cash held as collateral by the counterparty. The Company regularly reviews the creditworthiness of its derivative counterparties and does not expect to incur a significant loss from the failure of any counterparties to perform under any agreements. The following table summarizes the location and fair value amount of our derivative instruments reported in our Condensed Consolidated Balance Sheets as of June 30, 2020 and December 31, 2019: Asset Derivatives Liability Derivatives Balance Sheet Location June 30, 2020 December 31, 2019 Balance Sheet Location June 30, 2020 December 31, 2019 Derivatives not designated as hedging instruments under ASC 815 (In millions) Metal commodity contracts Prepaid expenses and other current assets $ 0.7 $ 5.0 Other accrued liabilities $ 3.3 $ 9.4 (a) Crude oil contracts Prepaid expenses and other current assets — 0.1 Other accrued liabilities — — Derivatives designated as hedging instruments under ASC 815 Interest rate swaps Deferred charges and other assets — — Other noncurrent liabilities 5.0 0.2 Total derivatives $ 0.7 $ 5.1 $ 8.3 $ 9.6 (a) (a) The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million as of December 31, 2019. The following table presents the volume of the Company’s activity in derivative instruments as of June 30, 2020 and December 31, 2019: Notional Amount Derivative Instruments At June 30, 2020 At December 31, 2019 Unit of Measurement Iron ore swap contracts 60,000 420,000 Tons Hot roll coil swap contracts 27,348 47,155 Tons Crude oil swap contracts — 38,000 Barrels Aluminum swap contracts 12,497 23,949 Tons Nickel swap contracts 180 3,164 Tons Foreign currency exchange contracts 1.7 million 2.0 million U.S. dollars Interest rate swaps 160 million 310 million U.S. dollars The following table summarizes the location and amount of gains and losses on derivatives not designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2020 and 2019: Amount of Gain/(Loss) Recognized in Income on Derivatives Derivatives not designated as hedging instruments Location of Gain/(Loss) Recognized in Income Three Months Ended June 30, Six Months Ended June 30, under ASC 815 on Derivatives 2020 2019 2020 2019 Metal commodity contracts Cost of materials sold $ 1.3 $ (9.6 ) $ (0.7 ) $ (8.0 ) Crude oil commodity contracts Warehousing, delivery, selling, general, and administrative — (0.2 ) — 0.7 Foreign exchange contracts Other income and (expense), net (0.1 ) — 0.1 (0.1 ) Total $ 1.2 $ (9.8 ) $ (0.6 ) $ (7.4 ) The following table summarizes the location and amount of gains and losses on derivatives designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2020 and 2019: Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income Derivatives designated as hedging instruments Location of Gain/(Loss) Recognized in Income Three Months Ended June 30, Six Months Ended June 30, under ASC 815 on Derivatives 2020 2019 2020 2019 (In millions) Interest rate swaps Interest and other expense on debt $ (0.5 ) $ 0.3 $ (0.6 ) $ 0.6 As of June 30, 2020, the portion of the interest rate swap fair value that would be reclassified into earnings during the next 12 months as interest expense is approximately $2.1 million. Fair Value Measurements To increase consistency and comparability in fair value measurements, ASC 820 establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three levels as follows: 1. Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access as of the reporting date. 2. Level 2 – inputs other than quoted prices included within Level 1 that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. 3. Level 3 – unobservable inputs, such as internally-developed pricing models for the asset or liability due to little or no market activity for the asset or liability. The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of June 30, 2020: At June 30, 2020 Level 1 Level 2 Level 3 (In millions) Assets Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 0.7 $ — Liabilities Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 3.3 $ — Derivatives designated as hedging instruments under ASC 815: Interest rate swaps — 5.0 — Total derivatives $ — $ 8.3 $ — The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of December 31, 2019 : At December 31, 2019 Level 1 Level 2 Level 3 (In millions) Assets Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 5.0 $ — Foreign exchange contracts — 0.1 — Total derivatives $ — $ 5.1 $ — Liabilities Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 9.4 (a) $ — Derivatives designated as hedging instruments under ASC 815: Interest rate swaps — 0.2 — Total derivatives $ — $ 9.6 (a) $ — (a) The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million. The fair value of each derivative contract is determined using Level 2 inputs and the market approach valuation technique, as described in ASC 820. The Company has various commodity derivatives to lock in nickel prices for varying time periods. The fair value of these derivatives is determined based on the spot price each individual contract was purchased at and compared with the one-month daily average actual spot price on the London Metals Exchange for nickel on the valuation date. The Company also has commodity derivatives to lock in hot roll coil, crude oil, iron ore, and aluminum prices for varying time periods. The fair value of hot roll coil, crude oil, iron ore, and aluminum derivatives is determined based on the spot price each individual contract was purchased at and compared with the one-month daily average actual spot price on the Chicago Mercantile Exchange (hot roll coil and crude oil), the Singapore Exchange, and the London Metals Exchange, respectively, for the commodity on the valuation date. In addition, the Company has numerous foreign exchange contracts to hedge variability in cash flows when a payment currency is different from our functional currency. The Company defines the fair value of foreign exchange contracts as the amount of the difference between the contracted and current market value at the end of the period. The Company estimates the current market value of foreign exchange contracts by obtaining month-end market quotes of foreign exchange rates and forward rates for contracts with similar terms. The Company uses the exchange rates provided by Reuters. Each commodity and foreign exchange contract term varies in length, but in general, contracts are between 1 to 12 months The carrying and estimated fair values of our financial instruments at June 30, 2020 and December 31, 2019 were as follows: At June 30, 2020 At December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value (In millions) Cash and cash equivalents $ 99.9 $ 99.9 $ 11.0 $ 11.0 Restricted cash 12.0 12.0 48.8 48.8 Receivables less provisions 373.1 373.1 425.1 425.1 Accounts payable 260.1 260.1 311.5 311.5 Long-term debt, including current portion 903.8 916.4 981.8 1,014.4 The estimated fair value of the Company’s cash and cash equivalents, restricted cash, receivables less provisions, and accounts payable approximate their carrying amounts due to the short-term nature of these financial instruments. The estimated fair value of the Company’s long-term debt and the current portions thereof is determined by using quoted market prices of Company debt securities (Level 2 inputs). |
Stockholders' Equity (Deficit),
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest | 6 Months Ended |
Jun. 30, 2020 | |
Equity [Abstract] | |
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest | NOTE 11: STOCKHOLDERS’ EQUITY (DEFICIT), ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS), AND NONCONTROLLING INTEREST The following table details changes in Ryerson Holding Corporation Stockholders’ Equity (Deficit) accounts for the three and six month periods ended June 30, 2020: Accumulated Other Comprehensive Income (Loss) Common Stock Treasury Stock Capital in Excess of Par Value Retained Earnings Foreign Currency Translation Benefit Plan Liabilities Cash Flow Hedge- Interest Rate Swap Non-controlling Interest Total Equity Shares Dollars Shares Dollars Dollars Dollars Dollars Dollars Dollars Dollars Dollars (In millions, except shares in thousands) Balance at January 1, 2020 37,996 $ 0.4 213 $ (6.6 ) $ 381.2 $ 99.6 $ (48.6 ) $ (253.1 ) $ (0.3 ) $ 6.0 $ 178.6 Net income — — — — — 16.4 — — — — 16.4 Foreign currency translation — — — — — — (8.5 ) — — — (8.5 ) Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.6 — — — — — — — 1.8 — — 1.8 Stock-based compensation expense — — — — 0.6 — — — — — 0.6 Cash flow hedge - interest rate swap, net of tax of $1.2 — — — — — — — — (3.5 ) — (3.5 ) Balance at March 31, 2020 37,996 0.4 213 (6.6 ) 381.8 116.0 (57.1 ) (251.3 ) (3.8 ) 6.0 185.4 Net income (loss) — — — — — (25.6 ) — — — 0.1 (25.5 ) Foreign currency translation — — — — — — 1.7 — — (0.1 ) 1.6 Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.7 — — — — — — — 2.0 — — 2.0 Stock-based compensation expense 334 — — — 0.4 — — — — — 0.4 Dividends paid to noncontrolling interest — — — — — — — — — (0.2 ) (0.2 ) Balance at June 30, 2020 38,330 0.4 213 (6.6 ) 382.2 90.4 (55.4 ) (249.3 ) (3.8 ) 5.8 163.7 The following table details changes in Ryerson Holding Corporation Stockholders’ Equity (Deficit) accounts for the three and six month periods ended June 30, 2019: Accumulated Other Comprehensive Income (Loss) Common Stock Treasury Stock Capital in Excess of Par Value Retained Earnings Foreign Currency Translation Benefit Plan Liabilities Cash Flow Hedge- Interest Rate Swap Non-controlling Interest Total Equity Shares Dollars Shares Dollars Dollars Dollars Dollars Dollars Dollars Dollars Dollars (In millions, except shares in thousands) Balance at January 1, 2019 37,656 $ 0.4 213 $ (6.6 ) $ 381.0 $ 14.2 $ (52.8 ) $ (264.0 ) $ 1.0 $ 2.7 $ 75.9 Net income — — — — — 29.5 — — — 0.1 29.6 Foreign currency translation — — — — — — 2.9 — — 0.1 3.0 Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.3 — — — — — — — 0.9 — — 0.9 Adoption of accounting principal ASC 842, net of tax of $1.1 — — — — — 3.0 — — — — 3.0 Stock-based compensation expense 10 — — — 0.8 — — — — — 0.8 Cash flow hedge - interest rate swap, net of tax of $0.1 — — — — — — — — (0.4 ) — (0.4 ) Balance at March 31, 2019 37,666 0.4 213 (6.6 ) 381.8 46.7 (49.9 ) (263.1 ) 0.6 2.9 112.8 Net income — — — — — 16.4 — — — 0.1 16.5 Foreign currency translation — — — — — — 0.8 — — — 0.8 Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.3 — — — — — — — 0.8 — — 0.8 Stock-based compensation expense 330 — — — 0.8 — — — — — 0.8 Purchase of subsidiary shares from noncontrolling interest — — — — (2.9 ) — — — — 2.9 — Cash flow hedge - interest rate swap, net of tax of $0.3 — — — — — — — — (0.6 ) — (0.6 ) Balance at June 30, 2019 37,996 0.4 213 (6.6 ) 379.7 63.1 (49.1 ) (262.3 ) — 5.9 131.1 The following table details changes in accumulated other comprehensive income (loss), net of tax, for the six months ended June 30, 2020: Changes in Accumulated Other Comprehensive Income (Loss) by Component, net of tax Foreign Currency Translation Benefit Plan Liabilities Cash Flow Hedge - Interest Rate Swap (In millions) Balance at January 1, 2020 $ (48.6 ) $ (253.1 ) $ (0.3 ) Other comprehensive income (loss) before reclassifications (6.8 ) — (3.9 ) Amounts reclassified from accumulated other comprehensive income into net income — 3.8 0.4 Net current-period other comprehensive income (loss) (6.8 ) 3.8 (3.5 ) Balance at June 30, 2020 $ (55.4 ) $ (249.3 ) $ (3.8 ) The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2020: Reclassifications Out of Accumulated Other Comprehensive Income (Loss) Amount reclassified from Accumulated Other Comprehensive Income (Loss) Three Months Ended Six Months Ended Affected line item in the Consolidated Details about Accumulated Other June 30, 2020 Statements of Comprehensive Income (Loss) Components (In millions) Operations / Consolidated Balance Sheets Amortization of defined benefit pension and other post-retirement benefit plan items Actuarial loss $ 2.5 $ 5.0 Other income and (expense), net Pension settlement 0.7 1.1 Other income and (expense), net Prior service credits (0.5 ) (1.0 ) Other income and (expense), net Total before tax 2.7 5.1 Tax benefit (0.7 ) (1.3 ) Net of tax $ 2.0 $ 3.8 Cash flow hedge - interest rate swap Realized swap interest $ 0.5 $ 0.6 Interest and other expense on debt Tax benefit (0.2 ) (0.2 ) Net of tax $ 0.3 $ 0.4 The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2019 : Reclassifications Out of Accumulated Other Comprehensive Income (Loss) Amount reclassified from Accumulated Other Comprehensive Income (Loss) Three Months Ended Six Months Ended Affected line item in the Consolidated Details about Accumulated Other June 30, 2019 Statements of Comprehensive Income (Loss) Components (In millions) Operations / Consolidated Balance Sheets Foreign Currency Translation Foreign currency translation gain $ 0.2 $ 0.2 Other income and (expense), net Tax provision — — Net of tax $ 0.2 $ 0.2 Cash flow hedge - interest rate swap Realized swap interest $ (0.3 ) $ (0.6 ) Interest and other expense on debt Tax provision — 0.1 Net of tax $ (0.3 ) $ (0.5 ) Amortization of defined benefit pension and other post-retirement benefit plan items Actuarial loss $ 1.8 $ 3.6 Other income and (expense), net Pension settlement 0.1 0.2 Other income and (expense), net Prior service credits (0.8 ) (1.5 ) Other income and (expense), net Total before tax 1.1 2.3 Tax benefit (0.3 ) (0.6 ) Net of tax $ 0.8 $ 1.7 |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2020 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | NOTE 12: REVENUE RECOGNITION We are a leading value-added processor and distributor of industrial metals with operations in the United States, Canada, Mexico, and China. We purchase large quantities of metal products from primary producers and sell these materials in smaller quantities to a wide variety of metals-consuming industries. More than 75% of the metals products sold are processed by us by bending, beveling, blanking, blasting, burning, cutting-to-length, drilling, embossing, flattening, forming, grinding, laser cutting, machining, notching, painting, perforating, polishing, punching, rolling, sawing, scribing, shearing, slitting, stamping, tapping, threading, welding, or other techniques to process materials to a specified thickness, length, width, shape, and surface quality pursuant to specific customer orders. Disaggregated Revenue We have one operating and reportable segment, metals service centers. The Company derives substantially all of its sales from the distribution of metals. The following table shows the Company’s percentage of sales by major product line: Three Months Ended Six Months Ended June 30, June 30, Product Line 2020 2019 2020 2019 Carbon Steel Flat 28 % 25 % 26 % 25 % Carbon Steel Plate 9 11 10 12 Carbon Steel Long 15 16 15 16 Stainless Steel Flat 15 15 16 15 Stainless Steel Plate 5 4 5 4 Stainless Steel Long 5 4 5 4 Aluminum Flat 13 16 13 15 Aluminum Plate 3 2 3 2 Aluminum Long 5 5 5 5 Other 2 2 2 2 Total 100 % 100 % 100 % 100 % A significant majority of the Company’s sales are attributable to its U.S. operations. The only operations attributed to foreign countries relate to the Company’s subsidiaries in Canada, China, and Mexico. The following table summarizes consolidated financial information of our operations by geographic location based on where sales originated: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net Sales (In millions) United States 686.3 $ 1,095.4 $ 1,599.8 $ 2,215.8 Foreign countries 85.5 109.5 182.3 219.9 Total $ 771.8 $ 1,204.9 $ 1,782.1 $ 2,435.7 Revenue is recognized either at a point in time or over time based on if the contract has an enforceable right to payment and the type of product that is being sold to the customer, with products that are determined to have no alternative use being recognized over time. The following table summarizes revenues by the type of item sold: Three Months Ended June 30, Six Months Ended June 30, Timing of Revenue Recognition 2020 2019 2020 2019 Revenue on products with an alternative use 88 % 88 % 88 % 88 % Revenue on products with no alternative use 12 12 12 12 Total 100 % 100 % 100 % 100 % Contract Balances A receivable is recognized in the period in which an invoice is issued, which is generally when the product is delivered to the customer. Payment terms on invoiced amounts are typically 30 days from the invoice date. We do not have any contracts with significant financing components. Receivables, which are included in accounts receivables within the Condensed Consolidated Balance Sheet, from contracts with customers were $375.8 million and $428.6 million as of June 30, 2020 and December 31, 2019, respectively. Contract assets, which consist primarily of revenues recognized over time that have not yet been invoiced and estimates of the value of inventory that will be received in conjunction with product returns changes in the contract assets and the contract liabilities balances during the period are as follows: Contract Assets Contract Liabilities (In millions) Beginning Balance at January 1, 2020 $ 13.5 $ 10.5 Contract liability satisfied during the period — (6.5 ) Contract liability incurred during the period — 6.0 Net change in contract assets and liabilities for products with no alternative use during the period (2.0 ) (0.1 ) Changes to reserves (0.4 ) (2.0 ) Ending Balance at June 30, 2020 $ 11.1 $ 7.9 The Company’s performance obligations are typically short-term in nature. As a result, the Company has elected the practical expedient that provides an exemption of the disclosure requirements regarding information about remaining performance obligations on contracts that have original expected durations of one year or less. |
Provision for Credit Losses
Provision for Credit Losses | 6 Months Ended |
Jun. 30, 2020 | |
Credit Loss [Abstract] | |
Provision for Credit Losses | NOTE 13: PROVISION FOR CREDIT LOSSES The Company adopted ASU 2016-13 as of January 1, 2020. Results for all reporting periods follow the guidance under ASC 326 “Financial Instruments – Credit Losses” with periods beginning after January 1, 2020 conforming to ASU 2016-13 while prior period amounts continue to be reported in accordance with previously applicable GAAP. Total adjustments as a result of adopting the new guidance were immaterial to the financial statements. Provisions for allowances and claims on accounts receivables and contract assets are based upon historical rates, expected trends, and estimates of potential returns, allowances, customer discounts, and incentives. The Company considers all available information when assessing the adequacy of the provision for allowances, claims, and doubtful accounts. The Company performs ongoing credit evaluations of customers and sets credit limits based upon review of the customers’ current credit information, payment history, and the current economic and industry environments. The Company’s credit loss reserve consists of two parts: a) a provision for estimated credit losses based on historical experience and b) a reserve for specific customer collection issues that the Company has identified. Estimation of credit losses requires adjusting historical loss experience for current economic conditions and judgments about the probable effects of economic conditions on certain customers. We have reviewed recent events and circumstances due to the COVID-19 pandemic in relation to our provision for credit losses and have not made any material adjustments as of June 30, 2020. The following table provides a reconciliation of the provision for credit losses reported within the Consolidated Balance Sheets as of June 30, 2020: Changes in Provision for Expected Credit Losses (In millions) Balance at January 1, 2020 $ 3.5 Current period provision 0.2 Write-offs charged against allowance (1.0 ) Recoveries against allowance 0.1 Effect of foreign exchange rates (0.1 ) Balance at June 30, 2020 $ 2.7 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 14: INCOME TAXES For the three months ended June 30, 2020, the Company recorded an income tax benefit of 4.5 In accordance with ASC 740, “Income Taxes,” the Company calculates its quarterly tax provision based on an estimated effective tax rate for the year, applies it to the results of each interim period and then adjusts that amount by certain discrete items. Due to volatility in macro-economic conditions associated with the COVID-19 pandemic, we may experience fluctuations in our forecasted earnings before income taxes as a result of events which cannot be predicted. As such, the Company's effective tax rate could be subject to unusual volatility as forecasted earnings before income taxes change. On March 27, 2020, President Trump signed into law the CARES Act, which, along with earlier issued IRS guidance, provides for deferral of certain taxes. The Company currently plans to defer the timing of estimated federal tax payments and payroll taxes as permitted by the CARES Act. Additionally, the Company intends to take advantage of accelerated Alternative Minimum Tax refunds as provided for in the CARES Act. As required by ASC 740, the Company assesses the realizability of its deferred tax assets. The Company records a valuation allowance when, based upon the evaluation of all available evidence, it is more-likely-than-not that all or a portion of the deferred tax assets will not be realized. In making this determination, we analyze, among other things, our recent history of earnings, the nature and timing of reversing book-tax temporary differences, tax planning strategies, and future income. The Company maintains a valuation allowance on certain foreign and U.S. federal and state deferred tax assets until such time as in management’s judgment, considering all available positive and negative evidence, the Company determines that these deferred tax assets are more likely than not realizable. The valuation allowance is reviewed quarterly and will be maintained until sufficient positive evidence exists to support the reversal of some or all of the valuation allowance. The valuation allowance was $13.7 million at June 30, 2020 and December 31, 2019. The U.S. Tax Cuts and Jobs Act (the “Act”) subjects a U.S. shareholder to tax on global intangible low-taxed income (“GILTI”) earned by certain foreign subsidiaries. The FASB Staff Q&A, Topic 740, No. 5, Accounting for Global Intangible Low-Taxed Income, states that an entity can make an accounting policy election to either recognize deferred taxes for temporary basis differences expected to reverse as GILTI in future years or provide for the tax expense related to GILTI in the year the tax is incurred. After considering the two options, the Company has elected to provide for the tax expense related to GILTI in the year the tax will occur. For the three-month and six-month periods ended June 30, 2020, we have included tax expense of $0.3 million and $1.5 million, respectively, related to GILTI as part of our tax provision. For the three-month and six-month periods ended June 30, 2019, we have included a $0.3 million tax benefit and a $2.8 million income tax expense, respectively, related to GILTI as part of our tax provision. The Company accounts for uncertain income tax positions in accordance with ASC 740. We anticipate that certain statutes of limitation will close within the next twelve months resulting in the reduction of the reserve for uncertain tax benefits related to various intercompany transactions. In the second quarter of 2020 we released $1.9 million of reserves bringing the unrecognized tax benefits balance from $4.4 million at December 31, 2019 to $2.5 million at June 30, 2020. We do not believe future release amounts will be material. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | NOTE 15: EARNINGS (LOSS) PER SHARE Basic earnings (loss) per share attributable to Ryerson Holding’s common stock is determined based on earnings (loss) for the period divided by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per share attributable to Ryerson Holding’s common stock considers the effect of potential common shares, unless inclusion of the potential common shares would have an antidilutive effect. The weighted average number of shares excluded as they would have had an antidilutive effect were 85,807 and 263,688 for the three and six-month periods ended June 30, 2020, respectively. The following table sets forth the calculation of basic and diluted earnings (loss) per share: Three Months Ended June 30, Six Months Ended June 30, Basic and diluted earnings (loss) per share 2020 2019 2020 2019 (In millions, except share and per share data) Numerator: Net income (loss) attributable to Ryerson Holding Corporation $ (25.6 ) $ 16.4 $ (9.2 ) $ 45.9 Denominator: Weighted average shares outstanding 38,079,905 37,769,001 37,931,833 37,610,108 Dilutive effect of stock-based awards — 149,338 — 270,176 Weighted average shares outstanding adjusted for dilutive securities 38,079,905 37,918,339 37,931,833 37,880,284 Earnings (loss) per share Basic $ (0.67 ) $ 0.43 $ (0.24 ) $ 1.22 Diluted $ (0.67 ) $ 0.43 $ (0.24 ) $ 1.21 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 16: SUBSEQUENT EVENTS On July 22, 2020, Ryerson and its wholly-owned subsidiary, JT Ryerson, issued $500 million in aggregate principal amount of its 8.50% Senior Secured Notes due 2028 (the “2028 Notes”). JT Ryerson’s obligations under the 2028 Notes are guaranteed by the Company as well as certain subsidiaries of the Company. The 2028 Notes and the related guarantees are secured by a first-priority security interest in substantially all of JT Ryerson’s and each guarantor’s present and future assets located in the United States (other than receivables, inventory, money, deposit accounts and related general intangibles, certain other assets, and proceeds thereof), subject to certain exceptions and customary permitted liens. The 2028 Notes and the related guarantees are also secured on a second-priority basis by a lien on the assets that secure JT Ryerson’s and the Company’s obligations under the Ryerson Credit Facility The net proceeds from the issuance of the 2028 Notes, along with available cash, was used to (i) redeem in full the $530.3 million balance of the 2022 Notes, plus accrued and unpaid interest thereon up to, but not including, the repayment date, and (ii) pay related fees, expenses, and premiums The Company will complete the accounting for this transaction during the third quarter of 2020. Due to the limited amount of time between the closure of the 2028 Notes offering and the date of this filing, the accounting for the transaction is not complete and the impacts of the transaction are not yet known. |
Summary of Accounting and Finan
Summary of Accounting and Financial Policies (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Impact of Recently Issued Accounting Standards—Adopted In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, “ Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments. ” The standard and subsequently issued amendments require financial assets measured at amortized cost basis to be presented at the net amount expected to be collected, thus eliminating the probable initial recognition threshold and instead reflecting the current estimate of all expected credit losses. The update is effective for interim and annual reporting periods beginning after December 15, 2019. In August 2018, the FASB issued ASU 2018-15, “ Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. license fees and implementation costs that are capitalized for hosting arrangements that are service contracts are classified as prepaid assets on the Company’s Consolidated Balance Sheet and the amortization of these costs are presented in warehousing, delivery, selling, general, and administrative expense on the Condensed Consolidated Statement of Comprehensive Income. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848).” The amendments in this update provide optional expedients and exceptions for applying Generally Accepted Accounting Principles (“GAAP”) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The expedients and exceptions provided by the amendments do not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, that an entity has elected certain optional expedients for and that are retained through the end of the hedging relationship. The amendments in this update are effective for all entities as of March 12, 2020 through December 31, 2022. We adopted this guidance as of March 12, 2020 and there was no impact to our financial statements as no in-scope contract modifications occurred. Impact of Recently Issued Accounting Standards—Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, “Income Taxes – Simplifying the Accounting for Income Taxes.” |
Cash, Cash Equivalents, and R_2
Cash, Cash Equivalents, and Restricted Cash (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Cash And Cash Equivalents [Abstract] | |
Reconciliation of Cash, Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Condensed Consolidated Balance Sheets that sum to the total of the beginning and ending cash balances shown in the Condensed Consolidated Statements of Cash Flows: June 30, December 31, 2020 2019 (In millions) Cash and cash equivalents $ 99.9 $ 11.0 Restricted cash 12.0 48.8 Total cash, cash equivalents, and restricted cash $ 111.9 $ 59.8 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories, at stated LIFO value, were classified at June 30, 2020 and December 31, 2019 as follows: June 30, December 31, 2020 2019 (In millions) In process and finished products $ 599.3 $ 742.9 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Summary of Location and Amount of Lease Assets and Lease Liabilities | The following table summarizes the location and amount of lease assets and lease liabilities reported in our Condensed Consolidated Balance Sheet as of June 30, 2020 and December 31, 2019: June 30, December 31, Leases Balance Sheet Location 2020 2019 (In millions) Assets Operating lease assets Operating lease assets $ 117.2 $ 128.2 Finance lease assets Property, plant, and equipment, net (a) 53.5 54.2 Total lease assets $ 170.7 $ 182.4 Liabilities Current Operating Current portion of operating lease liabilities $ 21.2 $ 20.9 Finance Other accrued liabilities 11.1 12.4 Noncurrent Operating Noncurrent operating lease liabilities 101.7 112.8 Finance Other noncurrent liabilities 16.4 18.7 Total lease liabilities $ 150.4 $ 164.8 (a) Finance lease assets were recorded net of accumulated amortization of $20.8 million and $19.0 million as of June 30, 2020 and December 31, 2019, respectively. |
Summary of Location and Amount of Lease Expense | The following table summarizes the location and amount of lease expense reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six month periods ended June 30, 2020 and 2019: Three Months Ended June 30, Six Months Ended June 30, Lease Expense Location of Lease Expense Recognized in Income 2020 2019 2020 2019 (In millions) Operating lease expense Warehousing, delivery, selling, general, and administrative $ 5.9 $ 5.5 $ 11.9 $ 11.1 Finance lease expense Amortization of lease assets Warehousing, delivery, selling, general, and administrative 1.8 1.8 3.4 3.4 Interest on lease liabilities Interest and other expense on debt 0.4 0.5 0.7 0.9 Variable lease expense Warehousing, delivery, selling, general, and administrative 0.8 0.7 1.6 1.4 Short-term lease expense Warehousing, delivery, selling, general, and administrative 0.5 0.6 1.3 1.1 Total lease expense $ 9.4 $ 9.1 $ 18.9 $ 17.9 |
Schedule of Maturity Analysis of Lease Liabilities | The following table presents maturity analysis of lease liabilities at June 30, 2020: Maturity of Lease Liabilities Operating Leases (a) Finance Leases (In millions) 2020 $ 12.7 $ 6.9 2021 23.7 9.5 2022 19.9 6.0 2023 16.6 3.6 2024 15.5 2.9 After 2024 51.1 0.5 Total lease payments 139.5 29.4 Less: Interest (b) (16.6 ) (1.9 ) Present value of lease liabilities (c) $ 122.9 $ 27.5 (a) There were no operating leases with options to extend lease terms that are reasonably certain of being exercised and the operating lease payments exclude $0.3 million of legally binding minimum lease payments for leases signed but not yet commenced. (b) Calculated using the discount rate for each lease. (c) Includes the current portion of $21.2 million for operating leases and $11.1 million for finance leases. |
Schedule of Weighted-Average Remaining Lease Term and Discount Rate for Operating and Finance Leases | The following table shows the weighted-average remaining lease term and discount rate for operating and finance leases, respectively, at June 30, 2020 and December 31, 2019: June 30, December 31, Lease Term and Discount Rate 2020 2019 Weighted-average remaining lease term (years) Operating leases 7.6 7.9 Finance leases 2.8 2.8 Weighted-average discount rate Operating leases 3.4 % 3.6 % Finance leases 4.6 % 4.8 % |
Schedule of Information Reported in Condensed Consolidated Statement of Cash Flows | Information reported in our Condensed Consolidated Statement of Cash Flows for the six months ended June 30, 2020 and 2019 is summarized below: Six Months Ended June 30, Other Information 2020 2019 (In millions) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 12.4 $ 10.1 Operating cash flows from finance leases 0.7 0.9 Financing cash flows from finance leases 6.7 6.3 Assets obtained in exchange for lease obligations: Adoption of accounting principal ASC 842 — 82.3 Operating leases 0.7 10.8 Finance leases 1.4 0.6 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-term debt consisted of the following at June 30, 2020 and December 31, 2019: June 30, December 31, 2020 2019 (In millions) Ryerson Credit Facility $ 357.9 $ 377.7 11.00% Senior Secured Notes due 2022 530.3 587.9 Foreign debt 11.5 13.2 Other debt 8.7 9.5 Unamortized debt issuance costs and discounts (4.6 ) (6.5 ) Total debt 903.8 981.8 Less: Ryerson Credit Facility - "first in, last out" subfacility — 34.3 Less: Short-term foreign debt 11.5 13.2 Less: Other short-term debt 1.7 1.7 Total long-term debt $ 890.6 $ 932.6 |
Employee Benefits (Tables)
Employee Benefits (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Compensation And Retirement Disclosure [Abstract] | |
Components of Net Periodic Benefit Cost (Credit) | The following tables summarize the components of net periodic benefit cost (credit) for the three and six month periods ended June 30, 2020 and 2019 for the Ryerson pension plans and postretirement benefit plans other than pension: Three Months Ended June 30, Pension Benefits Other Benefits 2020 2019 2020 2019 (In millions) Components of net periodic benefit cost (credit) Service cost $ 0.8 $ 0.9 $ 0.2 $ 0.2 Interest cost 5.2 7.3 0.5 0.6 Expected return on assets (8.1 ) (9.1 ) — — Settlement expense 0.7 0.1 — — Recognized actuarial (gain) loss 4.2 3.7 (1.8 ) (1.9 ) Amortization of prior service cost (credit) 0.1 — (0.6 ) (0.8 ) Net periodic benefit cost (credit) $ 2.9 $ 2.9 $ (1.7 ) $ (1.9 ) Six Months Ended June 30, Pension Benefits Other Benefits 2020 2019 2020 2019 (In millions) Components of net periodic benefit cost (credit) Service cost $ 1.7 $ 1.7 $ 0.3 $ 0.3 Interest cost 10.4 14.6 0.9 1.2 Expected return on assets (16.2 ) (18.2 ) — — Settlement expense 1.1 0.2 — — Recognized actuarial (gain) loss 8.5 7.4 (3.5 ) (3.8 ) Amortization of prior service cost (credit) 0.1 — (1.1 ) (1.5 ) Net periodic benefit cost (credit) $ 5.6 $ 5.7 $ (3.4 ) $ (3.8 ) |
Derivatives and Fair Value Me_2
Derivatives and Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Investments All Other Investments [Abstract] | |
Location and Fair Value Amount of Derivative Instruments | The following table summarizes the location and fair value amount of our derivative instruments reported in our Condensed Consolidated Balance Sheets as of June 30, 2020 and December 31, 2019: Asset Derivatives Liability Derivatives Balance Sheet Location June 30, 2020 December 31, 2019 Balance Sheet Location June 30, 2020 December 31, 2019 Derivatives not designated as hedging instruments under ASC 815 (In millions) Metal commodity contracts Prepaid expenses and other current assets $ 0.7 $ 5.0 Other accrued liabilities $ 3.3 $ 9.4 (a) Crude oil contracts Prepaid expenses and other current assets — 0.1 Other accrued liabilities — — Derivatives designated as hedging instruments under ASC 815 Interest rate swaps Deferred charges and other assets — — Other noncurrent liabilities 5.0 0.2 Total derivatives $ 0.7 $ 5.1 $ 8.3 $ 9.6 (a) (a) The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million as of December 31, 2019. |
Volume of Company 's Activity in Derivative Instruments | The following table presents the volume of the Company’s activity in derivative instruments as of June 30, 2020 and December 31, 2019: Notional Amount Derivative Instruments At June 30, 2020 At December 31, 2019 Unit of Measurement Iron ore swap contracts 60,000 420,000 Tons Hot roll coil swap contracts 27,348 47,155 Tons Crude oil swap contracts — 38,000 Barrels Aluminum swap contracts 12,497 23,949 Tons Nickel swap contracts 180 3,164 Tons Foreign currency exchange contracts 1.7 million 2.0 million U.S. dollars Interest rate swaps 160 million 310 million U.S. dollars |
Location and Amount of Gains and Losses on Derivatives Not Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income | The following table summarizes the location and amount of gains and losses on derivatives not designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2020 and 2019: Amount of Gain/(Loss) Recognized in Income on Derivatives Derivatives not designated as hedging instruments Location of Gain/(Loss) Recognized in Income Three Months Ended June 30, Six Months Ended June 30, under ASC 815 on Derivatives 2020 2019 2020 2019 Metal commodity contracts Cost of materials sold $ 1.3 $ (9.6 ) $ (0.7 ) $ (8.0 ) Crude oil commodity contracts Warehousing, delivery, selling, general, and administrative — (0.2 ) — 0.7 Foreign exchange contracts Other income and (expense), net (0.1 ) — 0.1 (0.1 ) Total $ 1.2 $ (9.8 ) $ (0.6 ) $ (7.4 ) |
Location and Amount of Gains and Losses on Derivatives Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income | The following table summarizes the location and amount of gains and losses on derivatives designated as hedging instruments reported in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2020 and 2019: Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income Derivatives designated as hedging instruments Location of Gain/(Loss) Recognized in Income Three Months Ended June 30, Six Months Ended June 30, under ASC 815 on Derivatives 2020 2019 2020 2019 (In millions) Interest rate swaps Interest and other expense on debt $ (0.5 ) $ 0.3 $ (0.6 ) $ 0.6 |
Assets and Liabilities Measured and Recorded at Fair Value | The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of June 30, 2020: At June 30, 2020 Level 1 Level 2 Level 3 (In millions) Assets Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 0.7 $ — Liabilities Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 3.3 $ — Derivatives designated as hedging instruments under ASC 815: Interest rate swaps — 5.0 — Total derivatives $ — $ 8.3 $ — The following table presents assets and liabilities measured and recorded at fair value on our Condensed Consolidated Balance Sheet on a recurring basis and their level within the fair value hierarchy as of December 31, 2019 : At December 31, 2019 Level 1 Level 2 Level 3 (In millions) Assets Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 5.0 $ — Foreign exchange contracts — 0.1 — Total derivatives $ — $ 5.1 $ — Liabilities Derivatives: Derivatives not designated as hedging instruments under ASC 815: Metal commodity contracts $ — $ 9.4 (a) $ — Derivatives designated as hedging instruments under ASC 815: Interest rate swaps — 0.2 — Total derivatives $ — $ 9.6 (a) $ — (a) The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million. |
Carrying and Estimated Fair Values of Financial Instruments | The carrying and estimated fair values of our financial instruments at June 30, 2020 and December 31, 2019 were as follows: At June 30, 2020 At December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value (In millions) Cash and cash equivalents $ 99.9 $ 99.9 $ 11.0 $ 11.0 Restricted cash 12.0 12.0 48.8 48.8 Receivables less provisions 373.1 373.1 425.1 425.1 Accounts payable 260.1 260.1 311.5 311.5 Long-term debt, including current portion 903.8 916.4 981.8 1,014.4 |
Stockholders' Equity (Deficit_2
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Equity [Abstract] | |
Change in Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest | The following table details changes in Ryerson Holding Corporation Stockholders’ Equity (Deficit) accounts for the three and six month periods ended June 30, 2020: Accumulated Other Comprehensive Income (Loss) Common Stock Treasury Stock Capital in Excess of Par Value Retained Earnings Foreign Currency Translation Benefit Plan Liabilities Cash Flow Hedge- Interest Rate Swap Non-controlling Interest Total Equity Shares Dollars Shares Dollars Dollars Dollars Dollars Dollars Dollars Dollars Dollars (In millions, except shares in thousands) Balance at January 1, 2020 37,996 $ 0.4 213 $ (6.6 ) $ 381.2 $ 99.6 $ (48.6 ) $ (253.1 ) $ (0.3 ) $ 6.0 $ 178.6 Net income — — — — — 16.4 — — — — 16.4 Foreign currency translation — — — — — — (8.5 ) — — — (8.5 ) Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.6 — — — — — — — 1.8 — — 1.8 Stock-based compensation expense — — — — 0.6 — — — — — 0.6 Cash flow hedge - interest rate swap, net of tax of $1.2 — — — — — — — — (3.5 ) — (3.5 ) Balance at March 31, 2020 37,996 0.4 213 (6.6 ) 381.8 116.0 (57.1 ) (251.3 ) (3.8 ) 6.0 185.4 Net income (loss) — — — — — (25.6 ) — — — 0.1 (25.5 ) Foreign currency translation — — — — — — 1.7 — — (0.1 ) 1.6 Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.7 — — — — — — — 2.0 — — 2.0 Stock-based compensation expense 334 — — — 0.4 — — — — — 0.4 Dividends paid to noncontrolling interest — — — — — — — — — (0.2 ) (0.2 ) Balance at June 30, 2020 38,330 0.4 213 (6.6 ) 382.2 90.4 (55.4 ) (249.3 ) (3.8 ) 5.8 163.7 The following table details changes in Ryerson Holding Corporation Stockholders’ Equity (Deficit) accounts for the three and six month periods ended June 30, 2019: Accumulated Other Comprehensive Income (Loss) Common Stock Treasury Stock Capital in Excess of Par Value Retained Earnings Foreign Currency Translation Benefit Plan Liabilities Cash Flow Hedge- Interest Rate Swap Non-controlling Interest Total Equity Shares Dollars Shares Dollars Dollars Dollars Dollars Dollars Dollars Dollars Dollars (In millions, except shares in thousands) Balance at January 1, 2019 37,656 $ 0.4 213 $ (6.6 ) $ 381.0 $ 14.2 $ (52.8 ) $ (264.0 ) $ 1.0 $ 2.7 $ 75.9 Net income — — — — — 29.5 — — — 0.1 29.6 Foreign currency translation — — — — — — 2.9 — — 0.1 3.0 Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.3 — — — — — — — 0.9 — — 0.9 Adoption of accounting principal ASC 842, net of tax of $1.1 — — — — — 3.0 — — — — 3.0 Stock-based compensation expense 10 — — — 0.8 — — — — — 0.8 Cash flow hedge - interest rate swap, net of tax of $0.1 — — — — — — — — (0.4 ) — (0.4 ) Balance at March 31, 2019 37,666 0.4 213 (6.6 ) 381.8 46.7 (49.9 ) (263.1 ) 0.6 2.9 112.8 Net income — — — — — 16.4 — — — 0.1 16.5 Foreign currency translation — — — — — — 0.8 — — — 0.8 Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.3 — — — — — — — 0.8 — — 0.8 Stock-based compensation expense 330 — — — 0.8 — — — — — 0.8 Purchase of subsidiary shares from noncontrolling interest — — — — (2.9 ) — — — — 2.9 — Cash flow hedge - interest rate swap, net of tax of $0.3 — — — — — — — — (0.6 ) — (0.6 ) Balance at June 30, 2019 37,996 0.4 213 (6.6 ) 379.7 63.1 (49.1 ) (262.3 ) — 5.9 131.1 |
Changes in Accumulated Other Comprehensive Income/(Loss) Net of Tax by Component | The following table details changes in accumulated other comprehensive income (loss), net of tax, for the six months ended June 30, 2020: Changes in Accumulated Other Comprehensive Income (Loss) by Component, net of tax Foreign Currency Translation Benefit Plan Liabilities Cash Flow Hedge - Interest Rate Swap (In millions) Balance at January 1, 2020 $ (48.6 ) $ (253.1 ) $ (0.3 ) Other comprehensive income (loss) before reclassifications (6.8 ) — (3.9 ) Amounts reclassified from accumulated other comprehensive income into net income — 3.8 0.4 Net current-period other comprehensive income (loss) (6.8 ) 3.8 (3.5 ) Balance at June 30, 2020 $ (55.4 ) $ (249.3 ) $ (3.8 ) |
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2020: Reclassifications Out of Accumulated Other Comprehensive Income (Loss) Amount reclassified from Accumulated Other Comprehensive Income (Loss) Three Months Ended Six Months Ended Affected line item in the Consolidated Details about Accumulated Other June 30, 2020 Statements of Comprehensive Income (Loss) Components (In millions) Operations / Consolidated Balance Sheets Amortization of defined benefit pension and other post-retirement benefit plan items Actuarial loss $ 2.5 $ 5.0 Other income and (expense), net Pension settlement 0.7 1.1 Other income and (expense), net Prior service credits (0.5 ) (1.0 ) Other income and (expense), net Total before tax 2.7 5.1 Tax benefit (0.7 ) (1.3 ) Net of tax $ 2.0 $ 3.8 Cash flow hedge - interest rate swap Realized swap interest $ 0.5 $ 0.6 Interest and other expense on debt Tax benefit (0.2 ) (0.2 ) Net of tax $ 0.3 $ 0.4 The following table details the reclassifications out of accumulated other comprehensive income (loss) for the three and six month periods ended June 30, 2019 : Reclassifications Out of Accumulated Other Comprehensive Income (Loss) Amount reclassified from Accumulated Other Comprehensive Income (Loss) Three Months Ended Six Months Ended Affected line item in the Consolidated Details about Accumulated Other June 30, 2019 Statements of Comprehensive Income (Loss) Components (In millions) Operations / Consolidated Balance Sheets Foreign Currency Translation Foreign currency translation gain $ 0.2 $ 0.2 Other income and (expense), net Tax provision — — Net of tax $ 0.2 $ 0.2 Cash flow hedge - interest rate swap Realized swap interest $ (0.3 ) $ (0.6 ) Interest and other expense on debt Tax provision — 0.1 Net of tax $ (0.3 ) $ (0.5 ) Amortization of defined benefit pension and other post-retirement benefit plan items Actuarial loss $ 1.8 $ 3.6 Other income and (expense), net Pension settlement 0.1 0.2 Other income and (expense), net Prior service credits (0.8 ) (1.5 ) Other income and (expense), net Total before tax 1.1 2.3 Tax benefit (0.3 ) (0.6 ) Net of tax $ 0.8 $ 1.7 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue Recognition [Abstract] | |
Summary of Disaggregated Revenue | The Company derives substantially all of its sales from the distribution of metals. The following table shows the Company’s percentage of sales by major product line: Three Months Ended Six Months Ended June 30, June 30, Product Line 2020 2019 2020 2019 Carbon Steel Flat 28 % 25 % 26 % 25 % Carbon Steel Plate 9 11 10 12 Carbon Steel Long 15 16 15 16 Stainless Steel Flat 15 15 16 15 Stainless Steel Plate 5 4 5 4 Stainless Steel Long 5 4 5 4 Aluminum Flat 13 16 13 15 Aluminum Plate 3 2 3 2 Aluminum Long 5 5 5 5 Other 2 2 2 2 Total 100 % 100 % 100 % 100 % A significant majority of the Company’s sales are attributable to its U.S. operations. The only operations attributed to foreign countries relate to the Company’s subsidiaries in Canada, China, and Mexico. The following table summarizes consolidated financial information of our operations by geographic location based on where sales originated: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net Sales (In millions) United States 686.3 $ 1,095.4 $ 1,599.8 $ 2,215.8 Foreign countries 85.5 109.5 182.3 219.9 Total $ 771.8 $ 1,204.9 $ 1,782.1 $ 2,435.7 Revenue is recognized either at a point in time or over time based on if the contract has an enforceable right to payment and the type of product that is being sold to the customer, with products that are determined to have no alternative use being recognized over time. The following table summarizes revenues by the type of item sold: Three Months Ended June 30, Six Months Ended June 30, Timing of Revenue Recognition 2020 2019 2020 2019 Revenue on products with an alternative use 88 % 88 % 88 % 88 % Revenue on products with no alternative use 12 12 12 12 Total 100 % 100 % 100 % 100 % |
Summary of Significant Changes in Contract Assets and Contract Liabilities Balances | Significant changes in the contract assets and the contract liabilities balances during the period are as follows: Contract Assets Contract Liabilities (In millions) Beginning Balance at January 1, 2020 $ 13.5 $ 10.5 Contract liability satisfied during the period — (6.5 ) Contract liability incurred during the period — 6.0 Net change in contract assets and liabilities for products with no alternative use during the period (2.0 ) (0.1 ) Changes to reserves (0.4 ) (2.0 ) Ending Balance at June 30, 2020 $ 11.1 $ 7.9 |
Provision for Credit Losses (Ta
Provision for Credit Losses (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Credit Loss [Abstract] | |
Schedule of Reconciliation of Provision for Credit Losses | The following table provides a reconciliation of the provision for credit losses reported within the Consolidated Balance Sheets as of June 30, 2020: Changes in Provision for Expected Credit Losses (In millions) Balance at January 1, 2020 $ 3.5 Current period provision 0.2 Write-offs charged against allowance (1.0 ) Recoveries against allowance 0.1 Effect of foreign exchange rates (0.1 ) Balance at June 30, 2020 $ 2.7 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Calculation of Basic and Diluted Earnings (Loss) Per Share | The following table sets forth the calculation of basic and diluted earnings (loss) per share: Three Months Ended June 30, Six Months Ended June 30, Basic and diluted earnings (loss) per share 2020 2019 2020 2019 (In millions, except share and per share data) Numerator: Net income (loss) attributable to Ryerson Holding Corporation $ (25.6 ) $ 16.4 $ (9.2 ) $ 45.9 Denominator: Weighted average shares outstanding 38,079,905 37,769,001 37,931,833 37,610,108 Dilutive effect of stock-based awards — 149,338 — 270,176 Weighted average shares outstanding adjusted for dilutive securities 38,079,905 37,918,339 37,931,833 37,880,284 Earnings (loss) per share Basic $ (0.67 ) $ 0.43 $ (0.24 ) $ 1.22 Diluted $ (0.67 ) $ 0.43 $ (0.24 ) $ 1.21 |
Financial Statements - Addition
Financial Statements - Additional Information (Detail) | Jun. 30, 2020shares |
Accounting Policies [Abstract] | |
Parent company shares owned by affiliates | 21,037,500 |
Parent company percentage owned by affiliates | 55.00% |
Cash, Cash Equivalents, and R_3
Cash, Cash Equivalents, and Restricted Cash - Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Cash And Cash Equivalents [Abstract] | ||
Cash and cash equivalents | $ 99.9 | $ 11 |
Restricted cash | 12 | 48.8 |
Total cash, cash equivalents, and restricted cash | $ 111.9 | $ 59.8 |
Cash, Cash Equivalents, and R_4
Cash, Cash Equivalents, and Restricted Cash - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Jun. 30, 2020 | |
Restricted Cash And Cash Equivalents Items [Line Items] | ||
Net proceeds from sale leaseback transaction | $ 61.5 | |
Restricted cash | 48.8 | $ 12 |
Property Plant and Equipment [Member] | ||
Restricted Cash And Cash Equivalents Items [Line Items] | ||
Restricted cash | 47.6 | 10.9 |
Senior Secured Notes Due in 2022 [Member] | ||
Restricted Cash And Cash Equivalents Items [Line Items] | ||
Debt instrument, face amount | 650 | |
Letter Of Credit [Member] | ||
Restricted Cash And Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 1.2 | $ 1.1 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
In process and finished products | $ 599.3 | $ 742.9 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Amount by which inventory stated at last-in first-out (LIFO) is less than (in excess of) inventory stated at current cost | $ 57 | $ 51 |
Inventories accounted under the LIFO method | 91.00% | 91.00% |
Consignment inventory | $ 4.9 | $ 5.6 |
Leases - Additional Information
Leases - Additional Information (Detail) - Maximum [Member] | 6 Months Ended |
Jun. 30, 2020 | |
Lessee Lease Description [Line Items] | |
Noncancelable operating leases expire period | 2032 |
Finance leases expire period | 2027 |
Leases - Summary of Location an
Leases - Summary of Location and Amount of Lease Assets and Lease Liabilities (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Assets | |||
Operating lease assets | $ 117.2 | $ 128.2 | |
Finance lease assets | $ 53.5 | $ 54.2 | |
Finance lease, Right-of-use asset, Statement of financial position [Extensible List] | [1] | us-gaap:PropertyPlantAndEquipmentNet | us-gaap:PropertyPlantAndEquipmentNet |
Total lease assets | $ 170.7 | $ 182.4 | |
Liabilities | |||
Operating lease liabilities, current | 21.2 | 20.9 | |
Finance lease liabilities, current | $ 11.1 | $ 12.4 | |
Finance lease, Liability, Current, Statement of financial position [Extensible List] | us-gaap:OtherAccruedLiabilitiesCurrent | us-gaap:OtherAccruedLiabilitiesCurrent | |
Operating lease liabilities, noncurrent | $ 101.7 | $ 112.8 | |
Finance lease liabilities, noncurrent | $ 16.4 | $ 18.7 | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent | us-gaap:OtherLiabilitiesNoncurrent | |
Total lease liabilities | $ 150.4 | $ 164.8 | |
[1] | Finance lease assets were recorded net of accumulated amortization of $20.8 million and $19.0 million as of June 30, 2020 and December 31, 2019, respectively. |
Leases - Summary of Location _2
Leases - Summary of Location and Amount of Lease Assets and Lease Liabilities (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Lessee Lease Description [Line Items] | ||
Accumulated amortization | $ 383 | $ 366.8 |
Finance Lease [Member] | ||
Lessee Lease Description [Line Items] | ||
Accumulated amortization | $ 20.8 | $ 19 |
Leases - Summary of Location _3
Leases - Summary of Location and Amount of Lease Expense (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Lease Expense | ||||
Total lease expense | $ 9.4 | $ 9.1 | $ 18.9 | $ 17.9 |
Warehousing, Delivery, Selling, General, and Administrative [Member] | ||||
Lease Expense | ||||
Operating lease expense | 5.9 | 5.5 | 11.9 | 11.1 |
Finance lease expense | ||||
Amortization of lease assets | 1.8 | 1.8 | 3.4 | 3.4 |
Variable lease expense | 0.8 | 0.7 | 1.6 | 1.4 |
Short-term lease expense | 0.5 | 0.6 | 1.3 | 1.1 |
Interest and Other Expense on Debt [Member] | ||||
Finance lease expense | ||||
Interest on lease liabilities | $ 0.4 | $ 0.5 | $ 0.7 | $ 0.9 |
Leases - Schedule of Maturity A
Leases - Schedule of Maturity Analysis of Lease Liabilities (Detail) $ in Millions | Jun. 30, 2020USD ($) | |
Operating Leases | ||
2020 | $ 12.7 | [1] |
2021 | 23.7 | [1] |
2022 | 19.9 | [1] |
2023 | 16.6 | [1] |
2024 | 15.5 | [1] |
After 2024 | 51.1 | [1] |
Total lease payments | 139.5 | [1] |
Less: Interest | (16.6) | [1],[2] |
Present value of lease liabilities | 122.9 | [1],[3] |
Finance Leases | ||
2020 | 6.9 | |
2021 | 9.5 | |
2022 | 6 | |
2023 | 3.6 | |
2024 | 2.9 | |
After 2024 | 0.5 | |
Total lease payments | 29.4 | |
Less: Interest | (1.9) | [2] |
Present value of lease liabilities | $ 27.5 | [3] |
[1] | There were no operating leases with options to extend lease terms that are reasonably certain of being exercised and the operating lease payments exclude $0.3 million of legally binding minimum lease payments for leases signed but not yet commenced. | |
[2] | Calculated using the discount rate for each lease. | |
[3] | Includes the current portion of $21.2 million for operating leases and $11.1 million for finance leases. |
Leases - Schedule of Maturity_2
Leases - Schedule of Maturity Analysis of Lease Liabilities (Parenthetical) (Detail) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Operating leases with options to extend lease terms that are reasonably certain of being exercised | $ 0 | |
Legally binding minimum lease payments for leases signed but not yet commenced | 300,000 | |
Operating leases, current portion | 21,200,000 | $ 20,900,000 |
Finance leases, current portion | $ 11,100,000 | $ 12,400,000 |
Leases - Schedule of Weighted-A
Leases - Schedule of Weighted-Average Remaining Lease Term and Discount Rate for Operating and Finance Leases (Detail) | Jun. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Operating leases, Weighted-average remaining lease term | 7 years 7 months 6 days | 7 years 10 months 24 days |
Finance leases, Weighted-average remaining lease term | 2 years 9 months 18 days | 2 years 9 months 18 days |
Operating leases, Weighted-average discount rate | 3.40% | 3.60% |
Finance leases, Weighted-average discount rate | 4.60% | 4.80% |
Leases - Schedule of Informatio
Leases - Schedule of Information Reported in Condensed Consolidated Statement of Cash Flows (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Operating cash flows from operating leases | $ 12.4 | $ 10.1 |
Operating cash flows from finance leases | 0.7 | 0.9 |
Financing cash flows from finance leases | 6.7 | 6.3 |
Assets obtained in exchange for lease obligations: | ||
Adoption of accounting principal ASC 842 | 82.3 | |
Operating leases | 0.7 | 10.8 |
Finance leases | $ 1.4 | 0.6 |
ASU 2016-02 [Member] | ||
Assets obtained in exchange for lease obligations: | ||
Adoption of accounting principal ASC 842 | $ 82.3 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 120,300,000 | $ 120,300,000 |
Impairment charge | $ 0 | |
Off schedule goodwill impairment test date | May 31, 2020 |
Long-Term Debt - Long-Term Debt
Long-Term Debt - Long-Term Debt (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Foreign debt | $ 11.5 | $ 13.2 |
Other debt | 8.7 | 9.5 |
Unamortized debt issuance costs and discounts | (4.6) | (6.5) |
Total debt | 903.8 | 981.8 |
Less: Other short-term debt | 1.7 | 1.7 |
Total long-term debt | 890.6 | 932.6 |
2022 Notes [Member] | ||
Debt Instrument [Line Items] | ||
11.00% Senior Secured Notes due 2022 | 530.3 | 587.9 |
Ryerson Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Ryerson Credit Facility | $ 357.9 | 377.7 |
Ryerson Credit Facility [Member] | FILO Facility [Member] | ||
Debt Instrument [Line Items] | ||
Less: Ryerson Credit Facility - "first in, last out" subfacility | $ 34.3 |
Long-Term Debt - Ryerson Credit
Long-Term Debt - Ryerson Credit Facility - Additional Information (Detail) - USD ($) | Nov. 16, 2016 | Nov. 30, 2019 | Jun. 30, 2019 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 23, 2019 | Jun. 28, 2018 |
Ryerson Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility maximum borrowing capacity | $ 1,000,000,000 | $ 1,000,000,000 | |||||
Credit facility maturity date | Nov. 16, 2021 | ||||||
Reduction in interest rate on outstanding borrowing | 0.25% | ||||||
Reduction in commitment fees on amounts not borrowed | 0.025% | ||||||
Outstanding borrowings | $ 357,900,000 | $ 377,700,000 | |||||
Letters of credit | 11,000,000 | 11,000,000 | |||||
Available credit facility | $ 204,000,000 | $ 348,000,000 | |||||
Line of credit facility, description of collateral | Total credit availability is limited by the amount of eligible accounts receivable, inventory, and qualified cash pledged as collateral under the agreement insofar as Ryerson is subject to a borrowing base comprised of the aggregate of these three amounts, less applicable reserves. Eligible accounts receivable, at any date of determination, is comprised of the aggregate value of all accounts directly created by a borrower (and in the case of Canadian accounts, the Canadian borrower) in the ordinary course of business arising out of the sale of goods or the rendering of services, each of which has been invoiced, with such receivables adjusted to exclude various ineligible accounts, including, among other things, those to which a borrower (or guarantor, as applicable) does not have sole and absolute title and accounts arising out of a sale to an employee, officer, director, or affiliate of a borrower (or guarantor, as applicable). Eligible inventory, at any date of determination, is comprised of the net orderly liquidation value of all inventory owned by a borrower (and in the case of Canadian accounts, the Canadian borrower). Qualified cash consists of cash in an eligible deposit account that is subject to customary restrictions and liens in favor of the lenders | ||||||
Default bear interest rate | 2.00% | ||||||
Commitment fees on amounts not borrowed | 0.23% | ||||||
Ryerson Credit Facility [Member] | Interest Rate Swap [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate swap agreement date | 2019-06 | ||||||
Hedged debt amount | $ 60,000,000 | ||||||
Derivative fixed interest rate | 1.539% | 1.729% | |||||
Derivative maturity period | 2022-06 | ||||||
Ryerson Credit Facility [Member] | Second Interest Rate Swap [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate swap agreement date | 2019-11 | ||||||
Hedged debt amount | $ 100,000,000 | ||||||
Derivative fixed interest rate | 1.539% | 1.729% | |||||
Derivative maturity period | 2022-11 | ||||||
Ryerson Credit Facility [Member] | All Interest Rate Swap [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Weighted average interest rate | 2.10% | 3.20% | |||||
Ryerson Credit Facility [Member] | Federal Funds Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 0.50% | ||||||
Ryerson Credit Facility [Member] | Prime Rate and One Month LIBOR Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.00% | ||||||
Ryerson Credit Facility [Member] | 30 Day LIBOR Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.00% | ||||||
Ryerson Credit Facility [Member] | One Month Canadian Bankers Acceptance Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.00% | ||||||
Ryerson Credit Facility [Member] | US Subsidiaries [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility maximum borrowing capacity | $ 940,000,000 | ||||||
Ryerson Credit Facility [Member] | Canadian Subsidiaries [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility maximum borrowing capacity | $ 60,000,000 | ||||||
Ryerson Credit Facility [Member] | Canadian Subsidiaries [Member] | Federal Funds Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 0.50% | ||||||
Ryerson Credit Facility [Member] | Minimum [Member] | Base Rate and Canadian Prime Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 0.25% | ||||||
Ryerson Credit Facility [Member] | Minimum [Member] | LIBOR and Banker's Acceptance Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.25% | ||||||
Ryerson Credit Facility [Member] | Maximum [Member] | Base Rate and Canadian Prime Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 0.50% | ||||||
Ryerson Credit Facility [Member] | Maximum [Member] | LIBOR and Banker's Acceptance Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.50% | ||||||
Old Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility maximum borrowing capacity | $ 1,000,000,000 | ||||||
Amended Old Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility maximum borrowing capacity | $ 750,000,000 | ||||||
FILO Facility [Member] | Ryerson Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Revolving credit facility maximum borrowing capacity | $ 67,900,000 | ||||||
Credit facility maturity date | Jun. 30, 2020 | ||||||
Outstanding borrowings | $ 34,300,000 | ||||||
FILO Facility [Member] | Ryerson Credit Facility [Member] | Minimum [Member] | Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.25% | ||||||
FILO Facility [Member] | Ryerson Credit Facility [Member] | Minimum [Member] | LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 2.25% | ||||||
FILO Facility [Member] | Ryerson Credit Facility [Member] | Maximum [Member] | Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 1.50% | ||||||
FILO Facility [Member] | Ryerson Credit Facility [Member] | Maximum [Member] | LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread over base interest rate | 2.50% |
Long-Term Debt - 2022 Notes - A
Long-Term Debt - 2022 Notes - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | May 24, 2016 | |
Debt Instrument [Line Items] | |||
Gain (loss) on retirement of debt | $ 0.9 | $ (0.2) | |
2022 Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument Percentage | 11.00% | ||
Principal amount of debt instrument repurchased | 57.6 | 11.6 | |
Debt instruments senior notes retired | 56.7 | 11.8 | |
2022 Notes [Member] | Other Income and (Expense), Net [Member] | |||
Debt Instrument [Line Items] | |||
Gain (loss) on retirement of debt | $ 0.9 | $ (0.2) | |
2022 Notes [Member] | Joseph T. Ryerson [Member] | |||
Debt Instrument [Line Items] | |||
Maximum percentage of dividend of cumulative net income | 50.00% | ||
2022 Notes [Member] | Redeemable in twelve months beginning May 15, 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Redemption price as a percentage of principal amount | 102.75% | ||
2022 Notes [Member] | Redeemable May 15, 2021 and thereafter [Member] | |||
Debt Instrument [Line Items] | |||
Redemption price as a percentage of principal amount | 100.00% |
Long-Term Debt - Foreign Debt -
Long-Term Debt - Foreign Debt - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Foreign debt | $ 11.5 | $ 13.2 |
Foreign Debt [Member] | ||
Debt Instrument [Line Items] | ||
Available credit facility | 35 | 32 |
Letters of credit issued by our foreign subsidiaries | 4 | 3 |
Foreign Debt [Member] | Owed to Banks [Member] | Ryerson China [Member] | ||
Debt Instrument [Line Items] | ||
Foreign debt | $ 11.5 | $ 13.2 |
Weighted average interest rate | 4.10% | 4.30% |
Employee Benefits - Components
Employee Benefits - Components of Net Periodic Benefit Cost (Credit) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Pension Benefits [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | $ 0.8 | $ 0.9 | $ 1.7 | $ 1.7 |
Interest cost | 5.2 | 7.3 | 10.4 | 14.6 |
Expected return on assets | (8.1) | (9.1) | (16.2) | (18.2) |
Settlement expense | 0.7 | 0.1 | 1.1 | 0.2 |
Recognized actuarial (gain) loss | 4.2 | 3.7 | 8.5 | 7.4 |
Amortization of prior service cost (credit) | 0.1 | 0.1 | ||
Net periodic benefit cost (credit) | 2.9 | 2.9 | 5.6 | 5.7 |
Other Benefits [Member] | ||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | 0.2 | 0.2 | 0.3 | 0.3 |
Interest cost | 0.5 | 0.6 | 0.9 | 1.2 |
Recognized actuarial (gain) loss | (1.8) | (1.9) | (3.5) | (3.8) |
Amortization of prior service cost (credit) | (0.6) | (0.8) | (1.1) | (1.5) |
Net periodic benefit cost (credit) | $ (1.7) | $ (1.9) | $ (3.4) | $ (3.8) |
Employee Benefits - Additional
Employee Benefits - Additional Information (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Compensation And Retirement Disclosure [Abstract] | |
Contribution to the pension plan fund | $ 7 |
Pension contributions deferred until next fiscal year | $ 13 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Millions | Jan. 02, 2020Area | Jun. 30, 2020USD ($) |
Loss Contingencies [Line Items] | ||
Record of decision description | The ROD includes a combination of dredging, capping, and enhanced natural recovery that would take approximately thirteen years to construct plus additional time for monitored natural recovery | |
Estimated present value cost for construction and recovery | $ | $ 1,050 | |
Remediation plan description | the EPA indicated that it expected PRPs to submit a plan during 2019 to start remediation of the river and harbor per the original ROD within the next two to three years. The EPA also indicated that it expected allocation of amounts among the parties to be determined in the same two to three-year time frame. | |
Number of areas to perform remedial design work | Area | 5 | |
Percentage of acreage on remediation | 52.00% | |
Minimum [Member] | ||
Loss Contingencies [Line Items] | ||
Remediation plan due date | 2 years | |
Remediation plan allocation of amount due date | 2 years | |
Maximum [Member] | ||
Loss Contingencies [Line Items] | ||
Remediation plan due date | 3 years | |
Remediation plan allocation of amount due date | 3 years |
Derivatives and Fair Value Me_3
Derivatives and Fair Value Measurements - Additional Information (Detail) | 6 Months Ended | |||
Jun. 30, 2020USD ($)DerivativeInstrument | Dec. 31, 2019USD ($) | Nov. 30, 2019USD ($) | Jun. 30, 2019USD ($) | |
Derivatives Fair Value [Line Items] | ||||
Fair value of interest rate swaps | $ 5,000,000 | |||
Derivative liabilities, offset against cash collateral | $ 0 | $ 2,700,000 | ||
Minimum [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
General term for commodity and exchange contracts | 1 month | |||
Maximum [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
General term for commodity and exchange contracts | 12 months | |||
Interest Rate Swap [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Derivative notional amount | $ 160,000,000 | $ 310,000,000 | ||
Derivative gain (loss) to be reclassified into interest income during next 12 months | $ 2,100,000 | |||
Ryerson Credit Facility [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Number of derivative instruments | DerivativeInstrument | 2 | |||
Ryerson Credit Facility [Member] | Interest Rate Swap [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Derivative notional amount | $ 100,000,000 | |||
Derivative fixed interest rate | 1.539% | 1.729% | ||
Ryerson Credit Facility [Member] | Second Interest Rate Swaps [Member] | ||||
Derivatives Fair Value [Line Items] | ||||
Derivative notional amount | $ 60,000,000 | |||
Derivative fixed interest rate | 1.539% | 1.729% |
Derivatives and Fair Value Me_4
Derivatives and Fair Value Measurements - Location and Fair Value Amount of Derivative Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Derivatives Fair Value [Line Items] | |||
Asset Derivatives, Fair Value | $ 0.7 | $ 5.1 | |
Liability Derivatives, Fair Value | 8.3 | 9.6 | [1] |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Prepaid Expenses and Other Current Assets [Member] | |||
Derivatives Fair Value [Line Items] | |||
Asset Derivatives, Fair Value | 0.7 | 5 | |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Other Accrued Liabilities [Member] | |||
Derivatives Fair Value [Line Items] | |||
Liability Derivatives, Fair Value | 3.3 | 9.4 | [1] |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Crude Oil Contracts [Member] | Prepaid Expenses and Other Current Assets [Member] | |||
Derivatives Fair Value [Line Items] | |||
Asset Derivatives, Fair Value | 0.1 | ||
Derivatives designated as hedging instruments under ASC 815 [Member] | Interest Rate Swap [Member] | Other Noncurrent Liabilities [Member] | |||
Derivatives Fair Value [Line Items] | |||
Liability Derivatives, Fair Value | $ 5 | $ 0.2 | |
[1] | The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million as of December 31, 2019. |
Derivatives and Fair Value Me_5
Derivatives and Fair Value Measurements - Location and Fair Value Amount of Derivative Instruments (Parenthetical) (Detail) $ in Millions | Dec. 31, 2019USD ($) |
Derivative Liability Net of Cash Collateral [Member] | |
Derivatives Fair Value [Line Items] | |
Derivative liability balance | $ 6.9 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Other Accrued Liabilities [Member] | Derivative Counterparty [Member] | |
Derivatives Fair Value [Line Items] | |
Derivative liabilities, offsetting cash collateral | 2.7 |
Derivative liability balance | $ 6.7 |
Derivatives and Fair Value Me_6
Derivatives and Fair Value Measurements - Volume of Company 's Activity in Derivative Instruments (Detail) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020USD ($)T | Dec. 31, 2019USD ($)Tbbl | |
Iron Ore Swap Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Instruments, Notional Value | 60,000 | 420,000 |
Crude Oil Swap Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Instruments, Notional Value | bbl | 38,000 | |
Aluminum Swap Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Instruments, Notional Value | 12,497 | 23,949 |
Hot Roll Coil Swap Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Instruments, Notional Value | 27,348 | 47,155 |
Nickel Swap Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Instruments, Notional Value | 180 | 3,164 |
Foreign Exchange Contracts [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative notional amount | $ | $ 1.7 | $ 2 |
Interest Rate Swap [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative notional amount | $ | $ 160 | $ 310 |
Derivatives and Fair Value Me_7
Derivatives and Fair Value Measurements - Location and Amount of Gains and Losses on Derivatives Not Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain/(Loss) Recognized in Income on Derivatives | $ 1.7 | $ (5.7) | ||
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain/(Loss) Recognized in Income on Derivatives | $ 1.2 | $ (9.8) | (0.6) | (7.4) |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | Cost of Materials Sold [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain/(Loss) Recognized in Income on Derivatives | 1.3 | (9.6) | (0.7) | (8) |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Crude oil commodity contracts [Member] | Warehousing, Delivery, Selling, General, and Administrative [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain/(Loss) Recognized in Income on Derivatives | $ (0.2) | 0.7 | ||
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Exchange Contracts [Member] | Other Income and (Expense), Net [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain/(Loss) Recognized in Income on Derivatives | $ (0.1) | $ 0.1 | $ (0.1) |
Derivatives and Fair Value Me_8
Derivatives and Fair Value Measurements - Location and Amount of Gains and Losses on Derivatives Designated as Hedging Instruments Reported in Condensed Consolidated Statements of Comprehensive Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivatives designated as hedging instruments under ASC 815 [Member] | Interest Rate Swap [Member] | Interest and Other Expense on Debt [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income into Income | $ (0.5) | $ 0.3 | $ (0.6) | $ 0.6 |
Derivatives and Fair Value Me_9
Derivatives and Fair Value Measurements - Assets and Liabilities Measured and Recorded at Fair Value (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Asset Derivatives, Fair Value | $ 0.7 | $ 5.1 | |
Liability Derivatives, Fair Value | 8.3 | 9.6 | [1] |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Asset Derivatives, Fair Value | 5.1 | ||
Liability Derivatives, Fair Value | 8.3 | 9.6 | [2] |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Asset Derivatives, Fair Value | 0.7 | 5 | |
Liability Derivatives, Fair Value | 3.3 | 9.4 | [2] |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Exchange Contracts [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Asset Derivatives, Fair Value | 0.1 | ||
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Derivatives designated as hedging instruments under ASC 815 [Member] | Interest Rate Swap [Member] | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Liability Derivatives, Fair Value | $ 5 | $ 0.2 | |
[1] | The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million as of December 31, 2019. | ||
[2] | The offsetting cash collateral balance of $2.7 million held by the derivative counterparty brought the net metal commodity contract liability to $6.7 million and the net total derivative liability balance to $6.9 million. |
Derivatives and Fair Value M_10
Derivatives and Fair Value Measurements - Assets and Liabilities Measured and Recorded at Fair Value (Parenthetical) (Detail) - Fair Value, Measurements, Recurring [Member] - Level 2 [Member] - Derivative Counterparty [Member] $ in Millions | Dec. 31, 2019USD ($) |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |
Derivative liability balance | $ 6.9 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Metal Commodity Contracts [Member] | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |
Derivative liabilities, offsetting cash collateral | 2.7 |
Derivative liability balance | $ 6.7 |
Derivatives and Fair Value M_11
Derivatives and Fair Value Measurements - Carrying and Estimated Fair Values Financial Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Carrying Amount [Member] | ||
Derivatives Fair Value [Line Items] | ||
Cash and cash equivalents | $ 99.9 | $ 11 |
Restricted cash | 12 | 48.8 |
Receivables less provisions | 373.1 | 425.1 |
Accounts payable | 260.1 | 311.5 |
Long-term debt, including current portion | 903.8 | 981.8 |
Fair Value [Member] | ||
Derivatives Fair Value [Line Items] | ||
Cash and cash equivalents | 99.9 | 11 |
Restricted cash | 12 | 48.8 |
Receivables less provisions | 373.1 | 425.1 |
Accounts payable | 260.1 | 311.5 |
Long-term debt, including current portion | $ 916.4 | $ 1,014.4 |
Stockholders' Equity (Deficit_3
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Change in Stockholders' Equity (Deficit) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Beginning Balance | $ 185.4 | $ 178.6 | $ 112.8 | $ 75.9 | $ 178.6 | $ 75.9 |
Beginning Balance, shares | 37,996,261 | 37,996,261 | ||||
Beginning Balance Treasury Stock, shares | 212,500 | 212,500 | ||||
Net income | (25.5) | $ 16.4 | 16.5 | 29.6 | $ (9.1) | 46.1 |
Foreign currency translation | 1.6 | (8.5) | 0.8 | 3 | ||
Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.6 and $0.3 | 2 | 1.8 | 0.8 | 0.9 | ||
Stock-based compensation expense | 0.4 | 0.6 | 0.8 | 0.8 | ||
Dividends paid to noncontrolling interest | 0.2 | 0.2 | ||||
Cash flow hedge - interest rate swap, net of tax of $1.2 and $0.1 | (3.5) | (0.6) | (0.4) | |||
Ending Balance | $ 163.7 | 185.4 | 131.1 | 112.8 | $ 163.7 | 131.1 |
Ending Balance, shares | 38,329,897 | 38,329,897 | ||||
Ending Balance Treasury Stock, shares | 212,500 | 212,500 | ||||
ASU 2016-02 [Member] | ||||||
Adoption of accounting principal | 3 | |||||
Common Stock [Member] | ||||||
Beginning Balance | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 |
Beginning Balance, shares | 37,996,000 | 37,996,000 | 37,666,000 | 37,656,000 | 37,996,000 | 37,656,000 |
Stock-based compensation expense, shares | 334,000 | 330,000 | 10,000 | |||
Ending Balance | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 | $ 0.4 |
Ending Balance, shares | 38,330,000 | 37,996,000 | 37,996,000 | 37,666,000 | 38,330,000 | 37,996,000 |
Treasury Stock [Member] | ||||||
Beginning Balance | $ (6.6) | $ (6.6) | $ (6.6) | $ (6.6) | $ (6.6) | $ (6.6) |
Beginning Balance Treasury Stock, shares | 213,000 | 213,000 | 213,000 | 213,000 | 213,000 | 213,000 |
Ending Balance | $ (6.6) | $ (6.6) | $ (6.6) | $ (6.6) | $ (6.6) | $ (6.6) |
Ending Balance Treasury Stock, shares | 213,000 | 213,000 | 213,000 | 213,000 | 213,000 | 213,000 |
Capital in Excess of Par Value [Member] | ||||||
Beginning Balance | $ 381.8 | $ 381.2 | $ 381.8 | $ 381 | $ 381.2 | $ 381 |
Stock-based compensation expense | 0.4 | 0.6 | 0.8 | 0.8 | ||
Purchase of subsidiary shares from noncontrolling interest | (2.9) | |||||
Ending Balance | 382.2 | 381.8 | 379.7 | 381.8 | 382.2 | 379.7 |
Retained Earnings (Accumulated Deficit) [Member] | ||||||
Beginning Balance | 116 | 99.6 | 46.7 | 14.2 | 99.6 | 14.2 |
Net income | (25.6) | 16.4 | 16.4 | 29.5 | ||
Ending Balance | 90.4 | 116 | 63.1 | 46.7 | 90.4 | 63.1 |
Retained Earnings (Accumulated Deficit) [Member] | ASU 2016-02 [Member] | ||||||
Adoption of accounting principal | 3 | |||||
Foreign Currency Translation [Member] | ||||||
Beginning Balance | (57.1) | (48.6) | (49.9) | (52.8) | (48.6) | (52.8) |
Foreign currency translation | 1.7 | (8.5) | 0.8 | 2.9 | ||
Ending Balance | (55.4) | (57.1) | (49.1) | (49.9) | (55.4) | (49.1) |
Benefit Plan Liabilities [Member] | ||||||
Beginning Balance | (251.3) | (253.1) | (263.1) | (264) | (253.1) | (264) |
Changes in defined benefit pension and other post-retirement benefit plans, net of tax of $0.6 and $0.3 | 2 | 1.8 | 0.8 | 0.9 | ||
Ending Balance | (249.3) | (251.3) | (262.3) | (263.1) | (249.3) | (262.3) |
Cash Flow Hedge - Interest Rate Swap [Member] | ||||||
Beginning Balance | (3.8) | (0.3) | 0.6 | 1 | (0.3) | 1 |
Cash flow hedge - interest rate swap, net of tax of $1.2 and $0.1 | (3.5) | (0.6) | (0.4) | |||
Ending Balance | (3.8) | (3.8) | 0.6 | (3.8) | ||
Non-controlling Interest [Member] | ||||||
Beginning Balance | 6 | 6 | 2.9 | 2.7 | 6 | 2.7 |
Net income | 0.1 | 0.1 | 0.1 | |||
Foreign currency translation | (0.1) | 0.1 | ||||
Dividends paid to noncontrolling interest | 0.2 | |||||
Purchase of subsidiary shares from noncontrolling interest | 2.9 | |||||
Ending Balance | $ 5.8 | $ 6 | $ 5.9 | $ 2.9 | $ 5.8 | $ 5.9 |
Stockholders' Equity (Deficit_4
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Change in Stockholders' Equity (Deficit) (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | |||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Changes in defined benefit pension and other post-retirement benefit plans, tax | $ 0.7 | $ 0.6 | $ 0.3 | $ 0.3 |
Changes in interest rate swap, tax | $ 1.2 | $ 0.3 | 0.1 | |
ASU 2016-02 [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Changes due to adoption of ASC | $ 1.1 |
Stockholders' Equity (Deficit_5
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Changes in Accumulated Other Comprehensive Income/(Loss) Net of Tax by Component (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) net of tax, beginning balance | $ (302) |
Accumulated other comprehensive income (loss) net of tax, ending balance | (308.5) |
Foreign Currency Translation [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) net of tax, beginning balance | (48.6) |
Other comprehensive income (loss) before reclassifications | (6.8) |
Net current-period other comprehensive income (loss) | (6.8) |
Accumulated other comprehensive income (loss) net of tax, ending balance | (55.4) |
Benefit Plan Liabilities [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) net of tax, beginning balance | (253.1) |
Amounts reclassified from accumulated other comprehensive income into net income | 3.8 |
Net current-period other comprehensive income (loss) | 3.8 |
Accumulated other comprehensive income (loss) net of tax, ending balance | (249.3) |
Cash Flow Hedge - Interest Rate Swap [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated other comprehensive income (loss) net of tax, beginning balance | (0.3) |
Other comprehensive income (loss) before reclassifications | (3.9) |
Amounts reclassified from accumulated other comprehensive income into net income | 0.4 |
Net current-period other comprehensive income (loss) | (3.5) |
Accumulated other comprehensive income (loss) net of tax, ending balance | $ (3.8) |
Stockholders' Equity (Deficit_6
Stockholders' Equity (Deficit), Accumulated Other Comprehensive Income (Loss) and Noncontrolling Interest - Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items, Actuarial Loss [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | $ 2.5 | $ 1.8 | $ 5 | $ 3.6 |
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items, Prior Service Credits [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | (0.5) | (0.8) | (1) | (1.5) |
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items, Pension Settlement [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | 0.7 | 1.1 | ||
Amortization of Defined Benefit Pension and Other Post-retirement Benefit Plan Items [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | 2.7 | 1.1 | 5.1 | 2.3 |
Tax benefit | (0.7) | (0.3) | (1.3) | (0.6) |
Net of tax | 2 | 0.8 | 3.8 | 1.7 |
Cash Flow Hedge - Interest Rate Swap [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Net of tax | (0.4) | |||
Realized swap interest | 0.5 | (0.3) | 0.6 | (0.6) |
Tax benefit | (0.2) | (0.2) | 0.1 | |
Net of tax | $ 0.3 | (0.3) | $ 0.4 | (0.5) |
Accumulated Foreign Currency Adjustment Including Portion Attributable To Noncontrolling Interest [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | 0.2 | 0.2 | ||
Net of tax | 0.2 | 0.2 | ||
Accumulated Defined Benefit Plans Adjustment, Net Transition Including Portion Attributable to Noncontrolling Interest | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | $ 0.1 | $ 0.2 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2020USD ($)Segment | Dec. 31, 2019USD ($) | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Number of operating segments | 1 | |
Number of reportable segments | 1 | |
Payment terms on invoiced amounts | 30 days | |
Accounts receivables from contracts with customers | $ | $ 375.8 | $ 428.6 |
Minimum [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Percentage of revenue from product sales | 75.00% |
Revenue Recognition - Percentag
Revenue Recognition - Percentage of Sales by Major Product Lines (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Product Line | ||||
Percentage of sales by major product lines | 100.00% | 100.00% | 100.00% | 100.00% |
Carbon Steel Flat [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 28.00% | 25.00% | 26.00% | 25.00% |
Carbon Steel Plate [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 9.00% | 11.00% | 10.00% | 12.00% |
Carbon Steel Long [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 15.00% | 16.00% | 15.00% | 16.00% |
Stainless Steel Flat [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 15.00% | 15.00% | 16.00% | 15.00% |
Stainless Steel Plate [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 5.00% | 4.00% | 5.00% | 4.00% |
Stainless Steel Long [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 5.00% | 4.00% | 5.00% | 4.00% |
Aluminum Flat [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 13.00% | 16.00% | 13.00% | 15.00% |
Aluminum Plate [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 3.00% | 2.00% | 3.00% | 2.00% |
Aluminum Long [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 5.00% | 5.00% | 5.00% | 5.00% |
Other [Member] | ||||
Product Line | ||||
Percentage of sales by major product lines | 2.00% | 2.00% | 2.00% | 2.00% |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Consolidated Financial Information of our Operations by Geographic Location (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 771.8 | $ 1,204.9 | $ 1,782.1 | $ 2,435.7 |
United States [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 686.3 | 1,095.4 | 1,599.8 | 2,215.8 |
Foreign Countries [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 85.5 | $ 109.5 | $ 182.3 | $ 219.9 |
Revenue Recognition - Summary_2
Revenue Recognition - Summary of Revenues by Type of Item Sold (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||
Total | 100.00% | 100.00% | 100.00% | 100.00% |
Revenue Recognized Point In Time | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue on products with an alternative use | 88.00% | 88.00% | 88.00% | 88.00% |
Revenue Recognized Over Time | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue on products with no alternative use | 12.00% | 12.00% | 12.00% | 12.00% |
Revenue Recognition - Summary_3
Revenue Recognition - Summary of Significant Changes in Contract Assets and Contract Liabilities Balances (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Changes in the Contract Assets | |
Beginning Balance | $ 13.5 |
Net change in contract assets for products with no alternative use during the period | (2) |
Changes to reserves | (0.4) |
Ending Balance | 11.1 |
Changes in the Contract Liabilities | |
Beginning Balance | 10.5 |
Contract liability satisfied during the period | (6.5) |
Contract liability incurred during the period | 6 |
Net change in contract liabilities for products with no alternative use during the period | (0.1) |
Changes to reserves | (2) |
Ending Balance | $ 7.9 |
Revenue Recognition - Additio_2
Revenue Recognition - Additional Information 1 (Detail) | Jun. 30, 2020 |
Maximum [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-07-01 | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |
Performance obligations on contracts have expected duration | 1 year |
Provision for Credit Losses - S
Provision for Credit Losses - Schedule of Reconciliation of Provision for Credit Losses (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Credit Loss [Abstract] | |
Balance at January 1, 2020 | $ 3.5 |
Current period provision | 0.2 |
Write-offs charged against allowance | (1) |
Recoveries against allowance | 0.1 |
Effect of foreign exchange rates | (0.1) |
Balance at June 30, 2020 | $ 2.7 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Income Tax [Line Items] | |||||
Provision for income taxes | $ (4.5) | $ 5.5 | $ (1.6) | $ 18.5 | |
Valuation allowance | 13.7 | 13.7 | $ 13.7 | ||
Reserves released for unrecognized tax benefits | (1.9) | ||||
Unrecognized tax benefits balance | 2.5 | 2.5 | $ 4.4 | ||
GILTI [Member] | |||||
Income Tax [Line Items] | |||||
Provision for income taxes | $ 0.3 | $ 0.3 | $ 1.5 | $ 2.8 |
Earnings (Loss) Per Share - Add
Earnings (Loss) Per Share - Additional Information (Detail) - shares | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Earnings Per Share [Abstract] | ||
Weighted average number of shares excluded from computation of earnings per share | 85,807 | 263,688 |
Earnings (Loss) Per Share - Cal
Earnings (Loss) Per Share - Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Numerator: | ||||
Net income (loss) attributable to Ryerson Holding Corporation | $ (25.6) | $ 16.4 | $ (9.2) | $ 45.9 |
Denominator: | ||||
Weighted average shares outstanding | 38,079,905 | 37,769,001 | 37,931,833 | 37,610,108 |
Dilutive effect of stock-based awards | 149,338 | 270,176 | ||
Weighted average shares outstanding adjusted for dilutive securities | 38,079,905 | 37,918,339 | 37,931,833 | 37,880,284 |
Earnings (loss) per share | ||||
Basic | $ (0.67) | $ 0.43 | $ (0.24) | $ 1.22 |
Diluted | $ (0.67) | $ 0.43 | $ (0.24) | $ 1.21 |
Subsequent Events (Detail)
Subsequent Events (Detail) - USD ($) $ in Millions | Jul. 22, 2020 | Jun. 30, 2020 |
Senior Secured Notes Due in 2028 [Member] | Subsequent Event [Member] | ||
Subsequent Event [Line Items] | ||
Debt instrument, face amount | $ 500 | |
Debt Instrument Percentage | 8.50% | |
Senior Secured Notes Due in 2022 [Member] | ||
Subsequent Event [Line Items] | ||
11.00% Senior Secured Notes due 2022 | $ 530.3 |