Document and Entity Information
Document and Entity Information Document - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 16, 2018 | Jun. 30, 2017 | |
Entity Information [Line Items] | |||
Entity Registrant Name | Allegion plc | ||
Entity Central Index Key | 1,579,241 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 95,185,418 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 7.7 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net revenues | $ 2,408.2 | $ 2,238 | $ 2,068.1 |
Cost of Goods and Services Sold | 1,337.5 | 1,252.7 | 1,199 |
Selling and administrative expenses | (582.5) | (559.8) | (510.5) |
Operating income (loss) | 488.2 | 425.5 | 358.6 |
Interest expense | (105.7) | (64.3) | (52.9) |
Disposal Group, Not Discontinued Operation, Loss on Disposal | 0 | 84.4 | 104.2 |
Other, net | (13.2) | (18.2) | (7.8) |
Earnings (loss) before income taxes | 395.7 | 295 | 209.3 |
Benefit (provision) for income taxes | 119 | 63.8 | 54.6 |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 276.7 | 231.2 | 154.7 |
Discontinued operations, net of tax | 0 | 0 | (0.4) |
Net earnings | 276.7 | 231.2 | 154.3 |
Other comprehensive income (loss) | |||
Less: Net earnings attributable to noncontrolling interests | (3.4) | (2.1) | (0.4) |
Net earnings (loss) attributable to Allegion plc | 273.3 | 229.1 | 153.9 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | 97.5 | (40.7) | (60.5) |
Cash flow hedges and marketable securities unrealized net gains (losses) arising during period | 5.2 | 9.7 | 15.8 |
Cash flow hedges and marketable securities net gains (losses) reclassified into earnings | (4.7) | (19) | (17.5) |
Cash flow hedges and marketable securities tax (expense) benefit | (0.1) | (1.3) | 0 |
Total cash flow hedges and marketable securities net of tax | 0.4 | (10.6) | (1.7) |
Pension and OPEB adjustments prior service gains (costs) for the period | 0 | 0 | (0.1) |
Pension and OPEB adjustments net actuarial gains (losses) for the period | 25.5 | 3.1 | (37.6) |
Pension and OPEB adjustments amortization reclassified to earnings | 5.2 | 6 | 5.4 |
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings | 0.1 | 0.3 | 1.1 |
Pension and OPEB adjustments currency translation and other | 0.7 | 14.4 | 5 |
Pension and OPEB adjustments tax (expense) benefit | (12.2) | (5) | 3 |
Total pension and OPEB adjustments, net of tax | 19.3 | 18.8 | (23.2) |
Other comprehensive income (loss), net of tax | 117.2 | (32.5) | (85.4) |
Total comprehensive income (loss), net of tax | 393.9 | 198.7 | 68.9 |
Total comprehensive (income) loss attributable to noncontrolling interests | 2.8 | 1.7 | (0.9) |
Total comprehensive income (loss) attributable to Allegion plc | 391.1 | 197 | 69.8 |
Amounts attributable to Allegion plc ordinary shareholders: | |||
Continuing operations | 273.3 | 229.1 | 154.3 |
Discontinued operations | 0 | 0 | (0.4) |
Net earnings (loss) attributable to Allegion plc | $ 273.3 | $ 229.1 | $ 153.9 |
Basic: | |||
Continuing operations | $ 2.87 | $ 2.39 | $ 1.61 |
Discontinued operations | 0 | 0 | (0.01) |
Net earnings (loss) | 2.87 | 2.39 | 1.60 |
Diluted: | |||
Continuing operations | 2.85 | 2.36 | 1.59 |
Discontinued operations | 0 | 0 | 0 |
Net earnings (loss) | 2.85 | 2.36 | 1.59 |
Common stock, dividends, in dollars per share, declared | $ 0.64 | $ 0.48 | $ 0.40 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and cash equivalents | $ 466.2 | $ 312.4 |
Accounts and notes receivable, net | 296.6 | 260 |
Inventories | 239.8 | 220.6 |
Income Taxes Receivable, Current | 12.2 | 11.9 |
Other current assets | 17 | 22.2 |
Assets Held-for-sale, Current | 0.9 | 2.2 |
Total current assets | 1,032.7 | 829.3 |
Property, plant and equipment, net | 252.2 | 226.6 |
Goodwill | 761.2 | 716.8 |
Intangible assets, net | 394.3 | 357.4 |
Deferred Tax Assets, Net, Noncurrent | 35.4 | 72.3 |
Other noncurrent assets | 66.2 | 45 |
Total assets | 2,542 | 2,247.4 |
LIABILITIES AND EQUITY | ||
Accounts payable | 188.3 | 179.9 |
Accrued compensation and benefits | 84.7 | 81 |
Accrued expenses and other current liabilities | 134.6 | 117.8 |
Deferred Tax Liabilities, Net, Current | 18.2 | 2.7 |
Short-term borrowings and current maturities of long-term debt | 35 | 48.2 |
Total current liabilities | 460.8 | 429.6 |
Long-term debt | 1,442.3 | 1,415.6 |
Postemployment and other benefit liabilities | 85.9 | 134.5 |
Deferred and noncurrent income taxes | 123.6 | 118.7 |
Other noncurrent liabilities | 23.9 | 32.6 |
Total liabilities | 2,136.5 | 2,131 |
Equity: | ||
Common Stock, Value, Issued | 1 | 1 |
Capital in excess of par value | 9.1 | 0 |
Retained earnings | 544.4 | 376.6 |
Accumulated other comprehensive income (loss) | (152.9) | (264.3) |
Total Allegion plc shareholders' equity | 401.6 | 113.3 |
Stockholders' Equity Attributable to Noncontrolling Interest | 3.9 | 3.1 |
Total equity | 405.5 | 116.4 |
Total liabilities and equity | $ 2,542 | $ 2,247.4 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) shares in Millions, $ in Millions | Total | Ordinary shares [Member] | Capital in excess of par value [Member] | Retained earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Noncontrolling interest [Member] |
Beginning balance, shares at Dec. 31, 2014 | 95.8 | |||||
Beginning balance, value at Dec. 31, 2014 | $ 18.5 | $ 1 | $ 0 | $ 142.4 | $ (148.2) | $ 23.3 |
Net earnings | 154.3 | 0 | 0 | 153.9 | 0 | 0.4 |
Other comprehensive income (loss), net of tax | (85.4) | 0 | 0 | (0.1) | (84) | (1.3) |
Shares issued under incentive stock plans, value | 14.3 | $ 0 | 14.3 | 0 | 0 | 0 |
Shares issued under incentive stock plans, shares | 0 | |||||
Repurchase of ordinary shares | (30) | $ 0 | (4.5) | (25.5) | 0 | 0 |
Treasury Stock, Shares, Acquired | (0.5) | |||||
Share-based compensation | 14.6 | $ 0 | 14.6 | 0 | 0 | 0 |
Share-based compensation, shares | 0.7 | |||||
Acquisition/divestiture of noncontrolling interests | 1.7 | $ 0 | 0 | 0 | 0 | 1.7 |
Dividends to noncontrolling interests | (20) | 0 | 0 | 0 | 0 | (20) |
Cash dividends, declared | (38.3) | 0 | 0 | (38.3) | 0 | 0 |
Ending balance, value at Dec. 31, 2015 | 29.7 | $ 1 | 24.4 | 232.4 | (232.2) | 4.1 |
Ending balance, shares at Dec. 31, 2015 | 96 | |||||
Net earnings | 231.2 | $ 0 | 0 | 229.1 | 0 | 2.1 |
Other comprehensive income (loss), net of tax | (32.5) | 0 | 0 | 0 | (32.1) | (0.4) |
Shares issued under incentive stock plans, value | 5.8 | $ 0 | 5.8 | 0 | 0 | 0 |
Shares issued under incentive stock plans, shares | 0 | |||||
Repurchase of ordinary shares | (85.1) | $ 0 | 46.4 | 38.7 | 0 | 0 |
Treasury Stock, Shares, Acquired | 1.3 | |||||
Share-based compensation | 16.6 | $ 0 | 16.6 | 0 | 0 | 0 |
Share-based compensation, shares | 0.6 | |||||
Acquisition/divestiture of noncontrolling interests | (0.4) | $ 0 | (0.4) | 0 | 0 | 0 |
Dividends to noncontrolling interests | (2.7) | 0 | 0 | 0 | 0 | 2.7 |
Cash dividends, declared | (46) | 0 | 0 | 46 | 0 | 0 |
Other | 0.2 | 0 | 0 | 0.2 | 0 | 0 |
Ending balance, value at Dec. 31, 2016 | 116.4 | $ 1 | 0 | 376.6 | (264.3) | 3.1 |
Ending balance, shares at Dec. 31, 2016 | 95.3 | |||||
Net earnings | 276.7 | $ 0 | 0 | 273.3 | 0 | 3.4 |
Other comprehensive income (loss), net of tax | 117.2 | 0 | 0 | 0 | 117.8 | (0.6) |
Shares issued under incentive stock plans, value | 7.2 | $ 0 | 7.2 | 0 | 0 | 0 |
Shares issued under incentive stock plans, shares | 0 | |||||
Repurchase of ordinary shares | $ (60) | $ 0 | (13.9) | (46.1) | 0 | 0 |
Treasury Stock, Shares, Acquired | (0.8) | (0.8) | ||||
Share-based compensation | $ 15.8 | $ 0 | 15.8 | 0 | 0 | 0 |
Share-based compensation, shares | 0.6 | |||||
Dividends to noncontrolling interests | (1.8) | $ 0 | 0 | 0 | 0 | (1.8) |
Cash dividends, declared | (60.9) | 0 | 0 | (60.9) | 0 | 0 |
Other | 0.1 | 0 | 0 | 6.5 | (6.4) | (0.2) |
Ending balance, value at Dec. 31, 2017 | 405.5 | $ 1 | 9.1 | 544.4 | (152.9) | 3.9 |
Ending balance, shares at Dec. 31, 2017 | 95.1 | |||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ (5) | $ 0 | $ 0 | $ (5) | $ 0 | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||
Net earnings | $ 276.7 | $ 231.2 | $ 154.3 |
Discontinued operations, net of tax | 0 | 0 | (0.4) |
Adjustments to arrive at net cash provided by (used in) operating activities: | |||
Gain (Loss) on Extinguishment of Debt | 43.1 | 0 | 0 |
Depreciation and amortization | 66.9 | 66.9 | 53.2 |
Stock settled share-based compensation | 16.2 | 16.6 | 14.6 |
(Gain) Loss on Disposition of Business | 0 | 84.4 | 102.8 |
Marketable Securities, Realized (Gain) Loss, Excluding Other than Temporary Impairments | 0 | (12.4) | (11) |
(Gain)/loss on sale of property, plant and equipment | (0.1) | 1.3 | 0.9 |
Equity earnings, net of dividends | (5.3) | (3.2) | 0.3 |
Pension Contributions | (50) | 0 | 0 |
Deferred Income Tax Expense (Benefit) | 24.9 | 6.3 | (2) |
Other items | 3 | (7.7) | (14.6) |
Changes in other assets and liabilities | |||
Accounts and notes receivable | (22.7) | (19.8) | (13.5) |
Inventories | (4.4) | (15.6) | (5.8) |
Other current and noncurrent assets | 3.5 | 62 | (5) |
Accounts payable | 0.4 | 3.4 | (14.7) |
Other current and noncurrent liabilities | (5) | (35.9) | (2.5) |
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | 347.2 | 377.5 | 257.4 |
Net cash (used in) provided by discontinued operating activities | 0 | 0 | (0.4) |
Net cash provided by (used in) operating activities | 347.2 | 377.5 | 257 |
Cash flows from investing activities: | |||
Capital expenditures | (49.3) | (42.5) | (35.2) |
Acquisition of businesses, net of cash acquired | (20.8) | (31.4) | (511.3) |
Proceeds from sale of property, plant and equipment | 3.1 | 0.1 | 0.3 |
Proceeds from Sale of Equity Method Investments | 15.6 | 0 | 0 |
Proceeds from business dispositions, net of cash sold | 1.2 | (4.3) | 0.1 |
Proceeds from Sale and Maturity of Marketable Securities | 0 | 14.1 | 12.3 |
Net cash provided by (used in) investing activities | (50.2) | (64) | (533.8) |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Other short-term borrowings (net) | (1.3) | (17.4) | 18.8 |
Proceeds from Lines of Credit | 165 | 0 | 400 |
Proceeds from Issuance of Long-term Debt | 700 | 0 | 0 |
Repayments of Secured Debt | (856.3) | 0 | 0 |
Proceeds from Issuance of Unsecured Debt | 800 | 0 | 300 |
Repayments of Unsecured Debt | (600) | 0 | 0 |
Payments of long-term debt | (197.3) | (47) | (440.5) |
Net proceeds (repayments) in debt | 10.1 | (64.4) | 278.3 |
Debt issuance costs | (9.5) | (0.3) | (9) |
Redemption Premium | (33.2) | 0 | 0 |
Dividends paid to ordinary shareholders | (60.9) | (46) | (38.3) |
Dividends paid to noncontrolling interests | (1.8) | (2.7) | (20) |
Repurchase of ordinary shares | (60) | (85.1) | (30) |
Proceeds from Issuance of Shares under Incentive and Share-based Compensation Plans, Including Stock Options | 7.2 | 5.8 | 11 |
Other, net | (2.8) | (3.3) | 3 |
Net cash (used in) provided by continuing financing activities | (150.9) | (196) | 195 |
Effect of exchange rate changes on cash and cash equivalents | 7.7 | (4.8) | (9) |
Net increase (decrease) in cash and cash equivalents | 153.8 | 112.7 | (90.8) |
Cash and cash equivalents - beginning of period | 312.4 | 199.7 | 290.5 |
Cash and cash equivalents - end of period | $ 466.2 | $ 312.4 | $ 199.7 |
Description of Company
Description of Company | 12 Months Ended |
Dec. 31, 2017 | |
Description Of Company | |
Description of Company | DESCRIPTION OF COMPANY AND BASIS OF PRESENTATION Allegion plc, an Irish public limited company, and its consolidated subsidiaries ("Allegion" or "the Company") are a leading global company that creates peace of mind by pioneering safety and security. The Company offers an extensive and versatile portfolio of mechanical and electronic security products across a range of market-leading brands including CISA®, Interflex®, LCN®, Schlage®, SimonsVoss® and Von Duprin®. Basis of presentation: The Consolidated Financial Statements were prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") as defined by the Financial Accounting Standards Board ("FASB") within the FASB Accounting Standards Codification ("ASC"). |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A summary of significant accounting policies used in the preparation of the accompanying Consolidated Financial Statements follows: Principles of Consolidation: The Consolidated Financial Statements include all majority-owned subsidiaries of the Company. A noncontrolling interest in a subsidiary is considered an ownership interest in a majority-owned subsidiary that is not attributable to the parent. The Company includes noncontrolling interest as a component of Total equity in the Consolidated Balance Sheet and the Net earnings attributable to noncontrolling interests are presented as an adjustment from Net earnings used to arrive at Net earnings attributable to Allegion in the Consolidated Statement of Comprehensive Income. Partially-owned equity affiliates generally represent 20 - 50 % ownership interests in investments and where we demonstrate significant influence in investments, but do not have a controlling financial interest. Partially-owned equity affiliates are accounted for under the equity method. The Company is also required to consolidate variable interest entities in which it bears a majority of the risk to the entities’ potential losses or stands to gain from a majority of the entities’ expected returns. Transactions between the Company and Ingersoll Rand and its affiliates are herein referred to as "related party" or "affiliated" transactions. The results of operations and cash flows of all discontinued operations have been separately reported as discontinued operations. Use of Estimates: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates are based on several factors including the facts and circumstances available at the time the estimates are made, historical experience, risk of loss, general economic conditions and trends, and the assessment of the probable future outcome. Some of the more significant estimates include accounting for doubtful accounts, useful lives of property, plant and equipment and intangible assets, purchase price allocations of acquired businesses, valuation of assets including goodwill and other intangible assets, product warranties, sales allowances, pension plans, postretirement benefits other than pensions, taxes, environmental costs, product liability and other contingencies. Actual results could differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of changes, if any, are reflected in the Consolidated Statement of Comprehensive Income in the period that they are determined. Currency Translation: Assets and liabilities where the functional currency is not the U.S. dollar, have been translated at year-end exchange rates, and income and expense accounts have been translated using average exchange rates throughout the year. Adjustments resulting from the process of translating an entity’s financial statements into the U.S. dollar have been recorded in the Equity section of the Consolidated Balance Sheet within Accumulated other comprehensive loss. Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, demand deposits and all highly liquid investments with original maturities at the time of purchase of three months or less. Inventories : Inventories are stated at the lower of cost and net realizable value using the first-in first-out (FIFO) method. Allowance for Doubtful Accounts : The Company has provided an allowance for doubtful accounts reserve, which represents the best estimate of probable loss inherent in the Company’s accounts receivable portfolio. Changes in the financial condition of customers or other unanticipated events, which may affect their ability to make payments, could result in charges for additional allowances exceeding the Company's estimates. The Company's estimates are influenced by the following considerations: a continuing credit evaluation of our customers’ financial condition; trade accounts receivable aging; and historical loss experience. The Company reserved $ 2.8 million and $ 2.7 million for doubtful accounts as of December 31, 2017 and 2016 , respectively. Property, Plant and Equipment: Property, plant and equipment are stated at cost, less accumulated depreciation. Assets placed in service are recorded at cost and depreciated using the straight-line method over the estimated useful life of the asset except for leasehold improvements, which are depreciated over the shorter of their economic useful life or their lease term. The range of useful lives used to depreciate property, plant and equipment is as follows: Buildings 10 to 50 years Machinery and equipment 2 to 12 years Software 2 to 7 years Repair and maintenance costs that do not extend the useful life of the asset are charged against earnings as incurred. Major replacements and significant improvements that increase asset values and extend useful lives are capitalized. The Company assesses the recoverability of the carrying value of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount of an asset to the future net undiscounted cash flows expected to be generated by the asset. If the undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized for the amount by which the carrying value of the asset exceeds the fair value of the assets. Goodwill and Intangible Assets: The Company records as goodwill the excess of the purchase price of an acquired business over the fair value of the net assets acquired. In accordance with GAAP, goodwill and other indefinite-lived intangible assets are tested and reviewed annually for impairment during the fourth quarter or whenever there is a significant change in events or circumstances that indicate that the fair value of the reporting unit or indefinite-lived intangible asset is more likely than not less than the carrying amount of the reporting unit or indefinite-lived intangible asset. Recoverability of goodwill is measured at the reporting unit level. The carrying amount of the reporting unit is compared to its estimated fair value. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired. To the extent that the carrying value of the reporting unit exceeds its estimated fair value, a goodwill impairment charge will be recognized for the amount by which the carrying value of the reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. Estimated fair value of the Company's reporting units is based on two valuation techniques, a discounted cash flow model (income approach) and a market adjusted multiple of earnings and revenues (market approach), with each method being weighted in the calculation. Recoverability of other intangible assets with indefinite useful lives (i.e. Trademarks) is determined on a relief from royalty methodology (income approach), which is based on the implied royalty paid, at an appropriate discount rate, to license the use of an asset rather than owning the asset. The present value of the after-tax cost savings (i.e. royalty relief) indicates the estimated fair value of the asset. Any excess of the carrying value over the estimated fair value is recognized as an impairment loss equal to that excess. Intangible assets such as patents, customer-related intangible assets and other intangible assets with finite useful lives are amortized on a straight-line basis over their estimated economic lives. The weighted-average useful lives approximate the following: Customer relationships 25 years Trademarks 25 years Completed technology/patents 10 years Other 25 years Recoverability of intangible assets with finite useful lives is assessed in the same manner as property, plant and equipment as described above. Income Taxes: The calculation of the Company’s income taxes involves considerable judgment and the use of both estimates and allocations. Deferred tax assets and liabilities are determined based on temporary differences between financial reporting and tax bases of assets and liabilities, applying enacted tax rates expected to be in effect for the year in which the differences are expected to reverse. The Company recognizes future tax benefits, such as net operating losses and tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The Company regularly reviews the recoverability of its deferred tax assets considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance with respect to a future tax benefit. Cash paid for income taxes, net of refunds for the twelve months ended December 31, 2017 and 2016 was $86.7 million and $10.4 million , respectively. The 2016 net cash income taxes paid includes a refund of $46.2 million received from the Canadian Tax Authorities. On December 22, 2017, the President of the United States signed comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Reform Act”), which is discussed in greater detail in Note 17. The Tax Reform Act includes a provision termed the global intangible low-taxed income ("GILTI"). The GILTI provisions will require the Company to include in its U.S. income tax return foreign subsidiary earnings in excess of an allowable return on the non-U.S. subsidiary's tangible assets. Although it is uncertain whether we will incur a GILTI liability, to the extent a GILTI tax is incurred, the Company has elected to account for GILTI tax in the period in which it is incurred. Product Warranties: Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available. Refer to Note 19 for further details of product warranties. Revenue Recognition: Revenue is recognized and earned when all of the following criteria are satisfied: (a) persuasive evidence of a sales arrangement exists; (b) the price is fixed or determinable; (c) collectability is reasonably assured; and (d) delivery has occurred or service has been rendered. Delivery generally occurs when the title and the risks and rewards of ownership have transferred to the customer. Both the persuasive evidence of a sales arrangement and fixed or determinable price criteria are deemed to be satisfied upon receipt of an executed and legally binding sales agreement or contract that clearly defines the terms and conditions of the transaction including the respective obligations of the parties. If the defined terms and conditions allow variability in all or a component of the price, revenue is not recognized until such time that the price becomes fixed or determinable. At the point of sale, the Company validates the existence of an enforceable claim that requires payment within a reasonable amount of time and assesses the collectability of that claim. If collectability is not deemed to be reasonably assured, then revenue recognition is deferred until such time that collectability becomes probable or cash is received. Delivery is not considered to have occurred until the customer has taken title and assumed the risks and rewards of ownership. Service and installation revenue are recognized when earned. In some instances, customer acceptance provisions are included in sales arrangements to give the buyer the ability to ensure the delivered product or service meets the criteria established in the order. In these instances, revenue recognition is deferred until the acceptance terms specified in the arrangement are fulfilled through customer acceptance or a demonstration that established criteria have been satisfied. If uncertainty exists about customer acceptance, revenue is not recognized until acceptance has occurred. The Company offers various sales incentive programs to our customers, dealers, and distributors. Sales incentive programs do not preclude revenue recognition, but do require an accrual for the Company’s best estimate of expected activity. Examples of the sales incentives that are accrued for as a contra receivable and sales deduction at the point of sale include, but are not limited to, discounts (i.e. net 30 type), coupons, and rebates where the customer does not have to provide any additional requirements to receive the discount. Sales returns and customer disputes involving a question of quantity or price are also accounted for as a reduction in revenue and a contra receivable. At December 31, 2017 and 2016 , the Company had a customer claim accrual (contra receivable) of $32.5 million and $29.0 million , respectively. All other incentives or incentive programs where the customer is required to reach a certain level of purchases, remain a customer for a certain period, provide a rebate form or is subject to additional requirements are accounted for as a reduction of revenue and establishment of a liability. At December 31, 2017 and 2016 , the Company had a sales incentive accrual of $31.8 million and $29.6 million , respectively. Each of these accruals represents the Company’s best estimate it expects to pay related to previously sold units based on historical claim experience. These estimates are reviewed regularly for accuracy. If updated information or actual amounts are different from previous estimates, the revisions are included in the Company’s results for the period in which they become known. Historically, the aggregate differences, if any, between the Company’s estimates and actual amounts in any year have not had a material impact on the Consolidated Financial Statements. Environmental Costs: The Company is subject to laws and regulations relating to protecting the environment. Environmental expenditures relating to current operations are expensed or capitalized as appropriate. Expenditures relating to existing conditions caused by past operations, which do not contribute to current or future revenues, are expensed. Liabilities for remediation costs are recorded when they are probable and can be reasonably estimated, generally no later than the completion of feasibility studies or the Company’s commitment to a plan of action. The assessment of this liability, which is calculated based on existing technology, does not reflect any offset for possible recoveries from insurance companies, and is not discounted. Refer to Note 19 for further details of environmental matters. Research and Development Costs: The Company conducts research and development activities for the purpose of developing and improving new products and services. These expenditures are expensed when incurred. For the years ended December 31, 2017 , 2016 and 2015 , these expenditures amounted to approximately $ 48.3 million , $ 47.3 million and $ 45.2 million , respectively and consist of salaries, wages, benefits, building costs and other overhead expenses. Software Costs: The Company capitalizes certain qualified internal-use software costs during the application development stage and subsequently amortizes those costs over the software's useful life, which ranges from 2 to 7 years. Employee Benefit Plans : The Company provides a range of benefits, including pensions, postretirement and postemployment benefits to eligible current and former employees. Determining the cost associated with such benefits is dependent on various actuarial assumptions, including discount rates, expected return on plan assets, compensation increases, employee mortality, turnover rates, and healthcare cost trend rates. Actuaries perform the required calculations to determine expense in accordance with GAAP. Actual results may differ from the actuarial assumptions and are generally accumulated into Accumulated other comprehensive loss and amortized into Net earnings over future periods. The Company reviews its actuarial assumptions at each measurement date and makes modifications to the assumptions based on current rates and trends, if appropriate. Refer to Note 11 for further details on employee benefit plans. Loss Contingencies: Liabilities are recorded for various contingencies arising in the normal course of business, including litigation and administrative proceedings, environmental matters, product liability, product warranty, worker’s compensation and other claims. The Company has recorded reserves in the financial statements related to these matters, which are developed using inputs derived from actuarial estimates and historical and anticipated experience data depending on the nature of the reserve and, in certain instances, with consultation of legal counsel, internal and external consultants and engineers. Subject to the uncertainties inherent in estimating future costs for these types of liabilities, the Company believes its estimated reserves are reasonable and does not believe the final determination of the liabilities with respect to these matters would have a material effect on the financial condition, results of operations, liquidity or cash flows of the Company for any year. Refer to Note 19 for further details on loss contingencies. Derivative Instruments: The Company periodically enters into cash flow and other derivative transactions to specifically hedge exposure to various risks related to currency and interest rates. The Company recognizes all derivatives on the Consolidated Balance Sheets at their fair value as either assets or liabilities. For designated cash flow hedges, the effective portion of the changes in fair value of the derivative contract is recorded in Other comprehensive income (loss), net of tax, and in Net earnings at the time earnings are affected by the hedged transaction. For other derivative transactions, the changes in the fair value of the derivative contract are immediately recognized in Net earnings. Refer to Note 10 for further details on derivative instruments. Recent Accounting Pronouncements Recently Adopted Accounting Pronouncements: In July 2015, the FASB issued ASU 2015-11, "Inventory (Topic 330): Simplifying the Measurement of Inventory." ASU 2015-11 changes the measurement principle for inventory from the lower of cost or market to the lower of cost and net realizable value. The standard defines net realizable value as estimated selling prices in the ordinary course of business less reasonably predictable costs of completion, disposal and transportation. The Company adopted the provisions of ASU 2015-11 on January 1, 2017. The adoption of ASU 2015-11 did not have a material impact on the consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, "Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory." This update addresses the income tax consequences of intra-entity transfers of assets other than inventory. Previously, GAAP prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. In addition, interpretations of this guidance have developed in practice over the years for transfers of certain intangible and tangible assets. The amendments in the update will require recognition of current and deferred income taxes resulting from an intra-entity transfer of an asset other than inventory when the transfer occurs. The Company elected to early adopt on January 1, 2017. As a result, during the first quarter of 2017, the Company recognized a cumulative effect within retained earnings of $5.0 million with an offset to other current assets and other noncurrent assets. In January 2017, the FASB issued ASU 2017-04, "Intangibles– Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment." The amended guidance simplifies the accounting for goodwill impairment for all entities by eliminating the requirement to perform a hypothetical purchase price allocation. A goodwill impairment charge will now be recognized for the amount by which the carrying value of a reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. The ASU will be effective for fiscal years beginning after December 15, 2019. Early adoption is permitted for any impairment tests after January 1, 2017. The Company elected to early adopt on October 1, 2017; however, this new standard did not impact our annual impairment test performed on goodwill as of October 1, 2017. Recently Issued Accounting Pronouncements: In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers" (ASC 606). ASC 606 is a single, comprehensive revenue recognition model for all contracts with customers. The model is based on changes in contract assets (rights to receive consideration) and liabilities (obligations to provide a good or perform a service). Revenue is recognized based on the satisfaction of performance obligations, which occurs when control of a good or service transfers to a customer. ASC 606 contains expanded disclosure requirements relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Entities may use a full retrospective approach or report the cumulative effect as of the date of adoption ("modified retrospective method"). The FASB has also issued the following standards which clarify ASU 2014-09: ASU 2017-14, Revenue Recognition, Revenue from Contracts with Customers: Amendments to SEC Paragraphs Pursuant to Staff Accounting Bulletin No. 116 and SEC Release No. 33-10403, ASU 2017-13, Revenue Recognition, Revenue from Contracts with Customers: Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments, ASU 2016-20, Revenue from Contracts with Customers: Technical Corrections and Improvements, ASU 2016-12, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients and ASU 2016-10, Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing. The Company adopted each of these standards on January 1, 2018 on a modified retrospective basis. The Company has completed an assessment of the new standard’s impact and determined the new standards will not have a material impact on the Company's consolidated statements of comprehensive income, balance sheets or statements of cash flows. The Company will expand the consolidated financial statement disclosures in order to comply with ASU 2014-09 starting in our first quarter 10-Q of 2018. The expanded disclosure will present in a tabular format the split by business segment between 1) product and service revenue, and 2) products transferred at a point in time and services transferred over time. In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)." ASU 2016-02 requires the identification of arrangements that should be accounted for as leases by lessees. In general, for lease arrangements exceeding a twelve month term, these arrangements will be recognized as assets and liabilities on the balance sheet of the lessee. Under ASU 2016-02, a right-of-use asset and lease obligation will be recorded for all leases, whether operating or financing, while the income statement will reflect lease expense for operating leases and amortization/interest expense for financing leases. The ASU is effective for annual periods beginning after December 15, 2018, and interim periods within those annual periods. Early adoption is permitted. ASU 2016-02 is required to be applied with a modified retrospective approach to each prior reporting period presented with various optional practical expedients. The Company is continuing to assess what impact ASU 2016-02 will have on the consolidated financial statements; however, the Company anticipates that this adoption will result in a significant gross-up of assets and liabilities on its consolidated balance sheets and will require changes to its systems and processes. In June 2016, the FASB issued ASU 2016-13, "Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments." The new guidance introduces an approach based on expected losses to estimate credit losses on certain types of financial instruments. The ASU will be effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. The Company is assessing what impact ASU 2016-13 will have on the consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, "Statement of Cash Flows (Topic 230): Clarification of Certain Cash Receipts and Cash Payments." ASU 2016-15 eliminates the diversity in practice related to the classification of certain cash receipts and payments in the statement of cash flows, by adding or clarifying guidance on eight specific cash flow issues. The ASU will be effective for annual and interim reporting periods beginning after December 15, 2017, and as such, the Company adopted ASU 2016-15 on January 1, 2018. The amendments in this update will be applied retrospectively to all periods presented, beginning in 2018, unless deemed impracticable, in which case, prospective application is permitted. The Company does not expect the adoption of this standard to have a material impact on the consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-01, "Business Combinations (Topic 805): Clarifying the Definition of a Business." This update provides guidance to assist companies in evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The update provides a more robust framework to use in determining when a set of transferred assets and activities is a business. This ASU is effective for annual and interim reporting periods beginning after December 15, 2017, and requires prospective adoption. The Company adopted ASU 2017-01 on January 1, 2018. The Company does not expect the adoption of this standard to have a material impact on the consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, "Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost." ASU 2017-07 requires that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the statement of comprehensive income separately from the service cost component and outside a subtotal of operating income. ASU 2017-07 also allows only the service cost component to be eligible for capitalization when applicable (for example, as a cost of internally manufactured inventory or a self-constructed asset). The ASU is effective for annual periods beginning after December 15, 2017, and as such, the Company adopted ASU 2017-07 on January 1, 2018. The ASU will be applied retrospectively for the presentation of the service cost component and the other components of net periodic pension cost and net periodic postretirement benefit cost in the consolidated statement of comprehensive income and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic pension cost and net periodic postretirement benefit in assets. The amendments allow a practical expedient that permits an employer to use the amounts disclosed in its pension and other postretirement benefit plan note for the prior comparative periods as the estimation basis for applying the retrospective presentation requirements. The Company intends to apply these practical expedients for prior period presentation. The Company does not believe the adoption of the new standard will have a material impact on the Company's consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." ASU 2017-12 addresses previous limitations on how an entity can designate the hedged risk in certain cash flow and fair value hedging relationships by expanding and refining hedge accounting for both nonfinancial and financial risk components and aligning the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. The ASU is effective for annual periods beginning after December 15, 2018, with early adoption permitted. The Company elected to early adopt the provisions of ASU 2017-12 on January 1, 2018. The amendments in this update will be applied to hedging relationships existing on the date of adoption. Presentation and disclosure amendments will be applied prospectively. The adoption of ASU 2017-12 is not expected to have a material impact on the Company's consolidated financial statements. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventory, Net [Abstract] | |
Inventories | INVENTORIES At December 31, the major classes of inventory were as follows: In millions 2017 2016 Raw materials $ 66.6 $ 56.7 Work-in-process 29.8 23.6 Finished goods 143.4 140.3 Total $ 239.8 $ 220.6 Inventories are stated at the lower of cost and net realizable value using the first-in, first-out (FIFO) method. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | PROPERTY, PLANT AND EQUIPMENT At December 31, the major classes of property, plant and equipment were as follows: In millions 2017 2016 Land $ 16.0 $ 14.5 Buildings 142.2 127.6 Machinery and equipment 383.9 353.6 Software 141.4 126.5 Construction in progress 24.4 18.2 707.9 640.4 Accumulated depreciation (455.7 ) (413.8 ) Total $ 252.2 $ 226.6 Depreciation expense for the years ended December 31, 2017 , 2016 and 2015 was $40.0 million , $40.9 million and $36.4 million , which includes amounts for software amortization of $14.3 million , $16.6 million and $14.4 million . |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill Abstract | |
Goodwill | GOODWILL The Company records as goodwill the excess of the purchase price over the fair value of the net assets acquired. Once the final valuation has been performed for each acquisition, adjustments may be recorded. The changes in the carrying amount of Goodwill are as follows: In millions Americas EMEIA Asia Pacific Total December 31, 2015 (gross) $ 372.8 $ 733.4 $ 93.4 $ 1,199.6 Accumulated impairment * — (478.6 ) (6.9 ) (485.5 ) December 31, 2015 (net) 372.8 254.8 86.5 714.1 Acquisitions — 12.5 3.3 15.8 Currency translation 0.1 (9.8 ) (3.4 ) (13.1 ) December 31, 2016 (net) 372.9 257.5 86.4 716.8 Acquisitions and settlements 2.3 (1.6 ) 1.3 2.0 Currency translation — 35.3 7.1 42.4 December 31, 2017 (net) $ 375.2 $ 291.2 $ 94.8 $ 761.2 * Accumulated impairment consists of charges of $137.6 million (EMEIA), $341.0 million (EMEIA) and $6.9 million (Asia Pacific). As discussed in Note 8 - Divestitures, the Company sold a majority stake in its systems integration business in China within the Asia Pacific segment in the fourth quarter of 2015. In conjunction with this divestiture, the Company determined that the goodwill assigned to this business was impaired. As a result, approximately $21.0 million of the $78.1 million pre-tax charge related to the divestiture recorded in 2015 related to the write-off of goodwill. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Intangible Assets Abstract | |
Intangible Assets | INTANGIBLE ASSETS The following table sets forth the gross amount and related accumulated amortization of the Company’s intangible assets at December 31: 2017 2016 In millions Gross carrying amount Accumulated amortization Net carrying amount Gross carrying amount Accumulated amortization Net carrying amount Completed technologies/patents $ 32.6 $ (10.0 ) $ 22.6 $ 48.0 $ (25.3 ) $ 22.7 Customer relationships 324.5 (74.1 ) 250.4 278.9 (51.6 ) 227.3 Trademarks (finite-lived) 89.0 (46.1 ) 42.9 78.5 (37.3 ) 41.2 Other 7.9 (4.9 ) 3.0 11.0 (9.4 ) 1.6 Total finite-lived intangible assets 454.0 $ (135.1 ) 318.9 416.4 $ (123.6 ) 292.8 Trademarks (indefinite-lived) 75.4 75.4 64.6 64.6 Total $ 529.4 $ 394.3 $ 481.0 $ 357.4 The Company amortizes intangible assets with finite useful lives on a straight-line basis over their estimated economic lives in accordance with GAAP. Indefinite-lived intangible assets are not subject to amortization, but instead, are tested for impairment at least annually (more frequently if certain indicators are present). Intangible asset amortization expense for 2017 , 2016 and 2015 was $ 22.1 million , $ 20.5 million and $ 11.9 million , respectively. Future estimated amortization expense on existing intangible assets in each of the next five years amounts to approximately $ 22.7 million for 2018, $ 21.8 million for 2019, $ 21.8 million for 2020, $ 21.7 million for 2021, and $ 21.7 million for 2022. In accordance with the Company’s indefinite-lived intangible asset impairment testing policy outlined in Note 2, the Company performed its annual impairment test in the fourth quarter of each year. In each year, the Company determined the fair value of all indefinite-lived intangible assets exceeded their respective carrying values. Therefore, no impairment charges were recorded during 2017 , 2016 or 2015 . |
Acquisitions Acquisitions (Note
Acquisitions Acquisitions (Notes) | 12 Months Ended |
Dec. 31, 2017 | |
Business Acquisition [Line Items] | |
Business Combination Disclosure [Text Block] | ACQUISITIONS 2017 In January 2017, the Company acquired Republic Doors & Frames, LLC ("Republic") through one of its subsidiaries. During the year ended December 31, 2017 the Company incurred $4.7 million of acquisition related costs, which are included in Selling and administrative expenses in the Consolidated Statement of Comprehensive Income. 2016 In June 2016, the Company acquired 100% of Trelock GmbH, a portable safety and security provider, and certain affiliated companies. Acquisition related costs were not material to the 2016 Consolidated Statement of Comprehensive Income. 2015 In 2015, the Company completed one investment and five acquisitions: Business Date iDevices (investment) February 2015 Zero International Inc. ("Zero") April 2015 Brio (Division of RMD Industries Pty Ltd) ("Brio") May 2015 Milre Systek Co., Ltd ("Milre") July 2015 SimonsVoss Technologies GmbH ("SimonsVoss") September 2015 AXA Stenman Holding ("AXA") September 2015 iDevices is a brand and development partner in the Internet of Things industry. The investment was accounted for using the equity method. As discussed further in Note 8, the Company's equity investment in iDevices LLC was acquired by a third party on April 5, 2017. Zero manufactures door and window products for commercial spaces and products include sealing systems, such as sound control, fire and smoke protection, threshold applications, lites, door louvers, intumescent products, photo-luminescent and flood barrier for doors. Brio is a designer and manufacturer of sliding and folding door hardware for commercial and residential spaces in Australia, New Zealand, the United Kingdom and the United States. Milre is a leading security solutions manufacturer in South Korea, focused on producing high-quality and innovative electronic door locks. SimonsVoss was acquired for approximately $230.0 million . SimonsVoss, headquartered in Munich, Germany, is an electronic lock company in the European electronic market segment. AXA was acquired for approximately $208.0 million . AXA is a European residential and portable security provider headquartered in Veenendaal, the Netherlands, with production facilities in the Netherlands, France and Poland. AXA manufactures and sells a branded portfolio of portable locks and lights as well as a wide variety of window and door hardware. The products are sold throughout Europe to bicycle manufacturers, retail distributors and property builders. Total consideration paid for the acquisitions in 2015 was $511.3 million (net of cash acquired). The acquisitions in 2015 contributed revenues of $74.5 million and earnings before tax of $2.2 million to the Company from the acquisition dates to December 31, 2015. During the year ended December 31, 2015 the Company incurred $17.9 million of acquisition related costs. These expenses are included in both Cost of goods sold and Selling and administrative expenses in the Consolidated Statement of Comprehensive Income. |
Debt and Credit Facilities
Debt and Credit Facilities | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt and Credit Facilities | DEBT AND CREDIT FACILITIES At December 31, long-term debt and other borrowings consisted of the following: In millions 2017 2016 Term Loan A Facility $ — $ 879.8 Term Facility 691.3 — Revolving Facility — — 5.750% Senior Notes due 2021 — 300.0 5.875% Senior Notes due 2023 — 300.0 3.200% Senior Notes due 2024 400.0 — 3.550% Senior Notes due 2027 400.0 — Other debt 1.0 2.3 Total borrowings outstanding 1,492.3 1,482.1 Less discounts and debt issuance costs, net (15.0 ) (18.3 ) Total debt 1,477.3 1,463.8 Less current portion of long term debt 35.0 48.2 Total long-term debt $ 1,442.3 $ 1,415.6 Unsecured Credit Facilities As of December 31, 2017, the Company has an unsecured Credit Agreement in place that provides for up to $1,200.0 million in unsecured financing, consisting of a $700.0 million term loan facility (the “Term Facility”) and a $500.0 million revolving credit facility (the “Revolving Facility” and, together with the Term Facility, the “Credit Facilities”). The Credit Facilities mature on September 12, 2022 and are unconditionally guaranteed jointly and severally on an unsecured basis by the Company and Allegion US Holding Company Inc. ("Allegion US Hold Co"), the Company's wholly-owned subsidiary. The Term Facility amortizes in quarterly installments at the following rates: 1.25% per quarter starting December 31, 2017 through December 31, 2020, 2.5% per quarter from March, 31, 2021 through June 30, 2022, with the balance due on September 12, 2022. The Company may voluntarily prepay outstanding amounts under the Term Facility at any time without premium or penalty, subject to customary breakage costs. Amounts borrowed under the Term Facility that are repaid may not be reborrowed. The Revolving Facility provides aggregate commitments of up to $500.0 million , which includes up to $100.0 million for the issuance of letters of credit. At December 31, 2017, there were no borrowings outstanding on the Revolving Facility, and the Company had $17.4 million of letters of credit outstanding. Commitments under the Revolving Facility may be reduced at any time without premium or penalty, and amounts repaid may be reborrowed. The Company pays certain fees with respect to the Revolving Facility, including an unused commitment fee on the undrawn portion of the Revolving Facility of between 0.125% and 0.200% per year, depending on the Company's credit rating, as well as certain other fees. Outstanding borrowings under the Credit Facilities accrue interest, at the option of the Company of (i) a LIBOR rate plus the applicable margin or (ii) a base rate plus the applicable margin. The applicable margin ranges from 1.125% to 1.500% depending on the Company's credit ratings. At December 31, 2017, the outstanding borrowings under the Term Facility accrue interest at LIBOR plus a margin of 1.250% . To manage the Company's exposure to fluctuations in LIBOR rates, the Company has interest rate swaps to fix the interest rate for $250.0 million of the outstanding borrowings (see Note 10). The Credit Facilities contain negative and affirmative covenants and events of default that, among other things, limit or restrict the Company's ability to enter into certain transactions. In addition, the Credit Facilities require the Company to comply with a maximum leverage ratio and a minimum interest expense coverage ratio, as defined within the agreement. As of December 31, 2017, the Company was in compliance with all covenants. Senior Notes As of December 31, 2017, Allegion US Hold Co has $400.0 million outstanding of its 3.200% Senior Notes due 2024 (the “3.200% Senior Notes”) and $400.0 million outstanding of its 3.550% Senior Notes due 2027 (the “3.550% Senior Notes” and, together with the 3.200% Senior Notes, the “Notes”), both of which were issued on October 2, 2017. The Notes require semi-annual interest payments on April 1 and October 1 of each year, and will mature on October 1, 2024 and October 1, 2027, respectively. The Notes are senior unsecured obligations of Allegion US Hold Co and rank equally with all of Allegion US Hold Co’s existing and future senior unsecured and unsubordinated indebtedness. The guarantee of the Notes is the senior unsecured obligation of the Company and ranks equally with all of the Company's existing and future senior unsecured and unsubordinated indebtedness. 2017 Refinancing The Company entered into the Credit Agreement on September 12, 2017. The initial proceeds of $700.0 million from the Term Facility, along with initial borrowings of $165.0 million under the Revolving Facility, were used primarily to repay in full the outstanding borrowing under the Company’s previously outstanding secured credit facility, the Second Amended and Restated Credit Agreement, dated as of September 30, 2015. All obligations under the Second Amended and Restated Credit Agreement were satisfied, all commitments thereunder were terminated, and all guarantees and security interests that had been granted in connection therewith were released. On October 3, 2017, Allegion US Hold Co used the net proceeds from the Notes to redeem in full the $300.0 million Senior Notes due 2021 and the $300.0 million Senior Notes due 2023, as well as to repay in full the borrowings under the Revolving Facility and other costs associated with the refinancing. Related to the 2017 refinancing activities, the Company recorded a $33.2 million charge for the redemption premiums associated with the Senior Notes due 2021 and 2023, non-cash charges of $9.9 million related to the write-off of previously deferred financing costs, and $1.6 million of third party costs. These charges were all recorded within Interest expense on the Consolidated Statement of Comprehensive Income. The Company also incurred and deferred $10.8 million of discounts and financing costs associated with the new debt, which will be amortized to interest expense over the terms of the respective debt. Future Repayments Our scheduled principal repayments on indebtedness as of December 31, 2017 are as follows: In millions 2018 $ 35.0 2019 35.0 2020 35.0 2021 70.0 2022 516.3 Thereafter 801.0 Total $ 1,492.3 At December 31, 2017 , the weighted-average interest rate for borrowings was 2.82% under the Term Facility (including the effect of interest rate swaps), 3.200% under the 3.200% Senior Notes and 3.550% under the 3.550% Senior Notes. Cash paid for interest for the years ended December 31, 2017 , 2016 and 2015 was $58.4 million , $56.0 million and $39.0 million respectively. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments Abstract | |
Financial Instruments | FINANCIAL INSTRUMENTS In the normal course of business, the Company uses various financial instruments, including derivative instruments, to manage the risks associated with currency and variable interest rate exposures. These financial instruments are not used for trading or speculative purposes. On the date a derivative contract is entered into, the Company designates the derivative instrument as a cash flow hedge of a forecasted transaction, a cash flow hedge of a recognized asset or liability, or as an undesignated derivative. The Company formally documents its hedge relationships, including identification of the derivative instruments and the hedged items, as well as its risk management objectives and strategies for undertaking the hedge transaction. This process includes linking derivative instruments that are designated as hedges to specific assets, liabilities or forecasted transactions. The fair market value of derivative instruments is determined through market-based valuations and may not be representative of the actual gains or losses that will be recorded when these instruments mature due to future fluctuations in the markets in which they are traded. The Company assesses at inception and at least quarterly thereafter, whether the derivatives used in cash flow hedging transactions are highly effective in offsetting the changes in the cash flows of the hedged item. To the extent the derivative is deemed to be a highly effective hedge, the fair market value changes of the instrument are recorded to Accumulated other comprehensive income (AOCI). Any ineffective portion of a derivative instrument’s change in fair value is recorded in Net earnings in the period of change. If the hedging relationship ceases to be highly effective, or it becomes probable that a forecasted transaction is no longer expected to occur, the hedging relationship will be undesignated and any future gains and losses on the derivative instrument will be recorded in Net earnings. Currency Hedging Instruments The gross notional amount of the Company’s currency derivatives were $ 57.7 million and $ 132.6 million at December 31, 2017 and 2016 . At December 31, 2017 and 2016 , gains of $ 0.3 million and $ 0.8 million , net of tax, were included in Accumulated other comprehensive loss related to the fair value of the Company’s currency derivatives designated as accounting hedges. The approximate amount expected to be reclassified into Net earnings over the next twelve months is a gain of $ 0.3 million . The actual amounts that will be reclassified to Net earnings may vary from this amount as a result of changes in market conditions. Gains and losses associated with the Company’s currency derivatives not designated as hedges are recorded in Net earnings as changes in fair value occur. At December 31, 2017 , the maximum term of the Company’s currency derivatives was less than one year. Interest Rate Swaps The Company has forward starting interest rate swaps to fix interest rate payments during the contract period for $250.0 million of the Company's variable rate Term Facility. These swaps expire in September 2020 . These interest rate swaps met the criteria to be accounted for as cash flow hedges of variable rate interest payments. Consequently, the changes in fair value of the interest rate swaps are recognized in Accumulated other comprehensive loss. At December 31, 2017 and 2016 , $3.5 million and $2.6 million of gains, net of tax, were recorded in Accumulated other comprehensive loss related to these interest rate swaps. The approximate amount expected to be reclassified into Net earnings over the next twelve months is a gain of $1 million . The actual amounts that will be reclassified to Net earnings may vary from this amount as a result of changes in market conditions. The fair values of derivative instruments included within the Consolidated Balance Sheets as of December 31 were as follows: Asset derivatives Liability derivatives In millions 2017 2016 2017 2016 Derivatives designated as hedges: Currency derivatives $ 0.2 $ 0.7 $ 0.3 $ 0.1 Interest rate swaps 5.3 4.6 — 0.4 Derivatives not designated as hedges: Currency derivatives — 0.3 0.4 0.2 Total derivatives $ 5.5 $ 5.6 $ 0.7 $ 0.7 Asset and liability currency derivatives included in the table above are recorded within Other current assets and Accrued expenses and other current liabilities, respectively. Asset and liability interest rate swap derivatives included in the table above are recorded within Other noncurrent assets and Other noncurrent liabilities. The amounts associated with derivatives designated as hedges affecting Net earnings and Accumulated other comprehensive loss for the years ended December 31 were as follows: Amount of gain (loss) recognized in AOCI Location of gain (loss) reclassified from AOCI and recognized into Net earnings Amount of gain (loss) reclassified from AOCI and recognized into Net earnings In millions 2017 2016 2015 2017 2016 2015 Currency derivatives $ 4.0 $ 4.2 $ 6.6 Cost of goods sold $ 4.7 $ 5.4 $ 6.5 Interest rate swaps 1.2 5.4 (0.3 ) Interest expense (0.3 ) — — Total $ 5.2 $ 9.6 $ 6.3 $ 4.4 $ 5.4 $ 6.5 The gains and losses associated with the Company's non-designated currency derivatives, which are offset by changes in the fair value of the underlying transactions, are included within Other income, net in the Consolidated Statements of Comprehensive Income. Concentration of Credit Risk The counterparties to the Company’s forward contracts and swaps consist of a number of investment grade major international financial institutions. The Company could be exposed to losses in the event of nonperformance by the counterparties. However, the credit ratings and the concentration of risk in these financial institutions are monitored on a continuous basis and present no significant credit risk to the Company. |
Pensions and Postretirement Ben
Pensions and Postretirement Benefits Other Than Pensions | 12 Months Ended |
Dec. 31, 2017 | |
General Discussion of Pension and Other Postretirement Benefits [Abstract] | |
Pensions and Postretirement Benefits Other Than Pensions | PENSIONS AND POSTRETIREMENT BENEFITS OTHER THAN PENSIONS The Company sponsors several U.S. defined benefit and defined contribution plans covering substantially all of our U.S. employees. Additionally, the Company has non-U.S. defined benefit and defined contribution plans covering eligible non-U.S. employees. Postretirement benefits, other than pensions, provide healthcare benefits, and in some instances, life insurance benefits for certain eligible employees. Pension Plans The noncontributory defined benefit pension plans covering non-collectively bargained U.S. employees provide benefits on an average pay formula while most plans for collectively bargained U.S. employees provide benefits on a flat dollar benefit formula. The non-U.S. pension plans generally provide benefits based on earnings and years of service. The Company also maintains additional other supplemental plans for officers and other key employees. The following table details information regarding the Company’s pension plans at December 31: U.S. NON-U.S. In millions 2017 2016 2017 2016 Change in benefit obligations: Benefit obligation at beginning of year $ 286.9 $ 280.7 $ 380.5 $ 371.7 Service cost 8.7 9.4 3.3 3.1 Interest cost 10.5 9.8 8.9 10.7 Employee contributions — — 0.3 0.3 Actuarial losses (gains) 17.5 1.6 (15.4 ) 80.8 Benefits paid (12.4 ) (12.6 ) (13.7 ) (18.7 ) Foreign exchange rate changes — — 34.3 (63.5 ) Curtailments and settlements — — (0.9 ) (1.8 ) Acquisitions 7.3 — — — Other, including expenses paid (1.0 ) (2.0 ) (1.0 ) (2.1 ) Benefit obligation at end of year $ 317.5 $ 286.9 $ 396.3 $ 380.5 Change in plan assets: Fair value at beginning of year $ 202.4 $ 192.7 $ 353.4 $ 340.4 Actual return on plan assets 31.9 16.4 22.3 90.3 Company contributions 55.7 7.9 5.2 6.0 Employee contributions — — 0.3 0.3 Benefits paid (12.4 ) (12.6 ) (13.7 ) (18.7 ) Foreign exchange rate changes — — 33.7 (61.0 ) Settlements — — (0.9 ) (1.8 ) Acquisitions 6.5 — — — Other, including expenses paid (0.9 ) (2.0 ) (1.9 ) (2.1 ) Fair value of assets end of year $ 283.2 $ 202.4 $ 398.4 $ 353.4 Funded status: Plan assets (less than) over benefit obligations $ (34.3 ) $ (84.5 ) $ 2.1 $ (27.1 ) Amounts included in the balance sheet: Other noncurrent assets $ — $ — $ 28.5 $ — Accrued compensation and benefits (0.2 ) (0.1 ) (1.3 ) (1.5 ) Postemployment and other benefit liabilities (34.1 ) (84.4 ) (25.1 ) (25.6 ) Net amount recognized $ (34.3 ) $ (84.5 ) $ 2.1 $ (27.1 ) It is the Company’s objective to contribute to the pension plans to ensure adequate funds are available in the plans to make benefit payments to plan participants and beneficiaries when required. However, certain plans are not funded due to either legal, accounting, or tax requirements in certain jurisdictions. As of December 31, 2017 , approximately 5% of our projected benefit obligation relates to plans that are not funded of which the majority are non-U.S. plans. The pretax amounts recognized in Accumulated other comprehensive loss were as follows: U.S. In millions Prior service cost Net actuarial losses Total December 31, 2015 $ (2.8 ) $ (88.9 ) $ (91.7 ) Current year changes recorded to Accumulated other comprehensive loss — 4.5 4.5 Amortization reclassified to earnings 0.7 4.7 5.4 December 31, 2016 $ (2.1 ) $ (79.7 ) $ (81.8 ) Current year changes recorded to Accumulated other comprehensive loss — 2.4 2.4 Amortization reclassified to earnings 0.3 4.8 5.1 December 31, 2017 $ (1.8 ) $ (72.5 ) $ (74.3 ) NON-U.S. In millions Prior service cost Net actuarial losses Total December 31, 2015 $ — $ (92.2 ) $ (92.2 ) Current year changes recorded to Accumulated other comprehensive loss — (4.3 ) (4.3 ) Amortization reclassified to earnings — 2.2 2.2 Settlements/curtailments reclassified to earnings — 0.3 0.3 Currency translation and other — 14.4 14.4 December 31, 2016 $ — $ (79.6 ) $ (79.6 ) Current year changes recorded to Accumulated other comprehensive loss — 23.3 23.3 Amortization reclassified to earnings — 1.8 1.8 Settlements/curtailments reclassified to earnings — 0.1 0.1 Currency translation and other 0.1 (6.2 ) (6.1 ) December 31, 2017 $ 0.1 $ (60.6 ) $ (60.5 ) Weighted-average assumptions used: Benefit obligations at December 31, 2017 2016 Discount rate: U.S. plans 3.6 % 4.1 % Non-U.S. plans 2.5 % 2.6 % Rate of compensation increase: U.S. plans 3.0 % 3.5 % Non-U.S. plans 3.2 % 3.2 % The accumulated benefit obligation for all U.S. defined benefit pension plans was $ 304.9 million and $ 272.5 million at December 31, 2017 and 2016 . The accumulated benefit obligation for all non-U.S. defined benefit pension plans was $ 388.3 million and $ 371.9 million at December 31, 2017 and 2016 . Beginning in 2016, the Company elected to change the method used to estimate the service and interest cost components of net periodic benefit cost to a full yield-curve approach. Historically, the Company estimated the service and interest cost components using a single weighted-average discount rate, rounded to the nearest 25th basis point, derived from the yield curve used to measure the benefit obligation at the beginning of the period. Under the new approach, the Company applied discounting using the applicable spot rates derived from the yield curve to discount the cash flows used to measure the benefit obligation. These spot rates align to each of the projected benefit obligations and service cost cash flows. This change was made to better align the projected benefit cash flows and the corresponding yield curve spot rates to provide a better estimate of service and interest cost components of net periodic benefit costs. This change was considered a change in estimate and was accounted for on a prospective basis beginning January 1, 2016. This change did not have a material impact on 2016 pension expense. Information regarding pension plans with accumulated benefit obligations more than plan assets were: U.S. NON-U.S. In millions 2017 2016 2017 2016 Projected benefit obligation $ 317.5 $ 286.9 $ 34.4 $ 30.2 Accumulated benefit obligation 304.9 272.5 29.5 25.9 Fair value of plan assets $ 283.2 $ 202.4 $ 7.9 $ 6.8 Future pension benefit payments are expected to be paid as follows: In millions U.S. NON-U.S. 2018 $ 16.3 $ 16.0 2019 16.6 16.3 2020 23.6 17.0 2021 18.7 17.8 2022 19.1 18.3 2023 - 2027 $ 111.7 $ 102.3 The components of the Company’s net periodic pension benefit costs for the years ended December 31 include the following: U.S. In millions 2017 2016 2015 Service cost $ 8.7 $ 9.4 $ 9.5 Interest cost 10.5 9.8 11.0 Expected return on plan assets (12.0 ) (10.2 ) (11.2 ) Net amortization of: Prior service costs 0.3 0.7 0.7 Plan net actuarial losses 4.8 4.7 4.9 Net periodic pension benefit cost 12.3 14.4 14.9 Net curtailment and settlement losses — — 0.9 Net periodic pension benefit cost after net curtailment and settlement losses $ 12.3 $ 14.4 $ 15.8 NON-U.S. In millions 2017 2016 2015 Service cost $ 3.3 $ 3.1 $ 3.3 Interest cost 8.9 10.7 13.7 Expected return on plan assets (14.3 ) (13.7 ) (17.8 ) Other adjustments 0.7 — — Net amortization of: Plan net actuarial losses 1.9 2.2 1.4 Net periodic pension benefit cost 0.5 2.3 0.6 Net curtailment and settlement losses 0.1 0.3 0.2 Net periodic pension benefit cost after net curtailment and settlement losses $ 0.6 $ 2.6 $ 0.8 Pension expense for 2018 is projected to be approximately $5.9 million , utilizing the assumptions for calculating the pension benefit obligations at the end of 2017 . The amounts expected to be recognized in net periodic pension cost during the year ended December 31, 2018 for prior service cost and plan net actuarial losses are $0.4 million and $4.8 million , respectively. Weighted-average assumptions used: Net periodic pension cost for the year ended December 31, 2017 2016 2015 Discount rate: U.S. plans 4.1 % 4.3 % 4.0 % Non-U.S. plans 2.6 % 3.7 % 3.7 % Rate of compensation increase: U.S. plans 3.5 % 3.5 % 3.5 % Non-U.S. plans 3.2 % 3.0 % 2.9 % Expected return on plan assets: U.S. plans 4.8 % 5.5 % 5.5 % Non-U.S. plans 4.0 % 4.5 % 5.0 % The expected long-term rate of return on plan assets reflects the average rate of returns expected on the funds invested or to be invested to provide for the benefits included in the projected benefit obligation. The expected long-term rate of return on plan assets is based on what is achievable given the plan’s investment policy, the types of assets held and target asset allocations. The expected long-term rate of return is determined as of the measurement date. Each plan is reviewed, along with its historical returns and target asset allocations, to determine the appropriate expected long-term rate of return on plan assets to be used. The overall objective in managing defined benefit plan assets is to ensure that all present and future benefit obligations are met as they come due. The goal is to achieve this while trying to mitigate volatility in plan funded status, contribution, and expense by better matching the characteristics of the plan assets to that of the plan liabilities. Each plan’s funded status and asset allocation is monitored regularly in addition to investment manager performance. The fair values of the Company’s U.S. pension plan assets at December 31, 2017 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Assets measured at NAV Cash, cash equivalents, and short term investments $ — $ 3.2 $ — $ — $ 3.2 Equity mutual funds — — — 70.9 70.9 Fixed income investments: U.S. government and agency obligations — 83.6 — — 83.6 Corporate and non-U.S. bonds (a) — 111.3 — 12.8 124.1 — 194.9 — 12.8 207.7 Total assets at fair value $ — $ 198.1 $ — $ 83.7 $ 281.8 Receivables and payables, net 1.4 Net assets available for benefits $ 283.2 (a) Includes state and municipal bonds. No material transfers in or out of Level 3 occurred during the year ended December 31, 2017. The fair values of the Company’s U.S. pension plan assets at December 31, 2016 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Assets measured at NAV Cash, cash equivalents, and short term investments $ — $ 5.6 $ — $ — $ 5.6 Equity mutual funds — — — 62.9 62.9 Fixed income investments: U.S. government and agency obligations — 55.2 — — 55.2 Corporate and non-U.S. bonds (a) — 77.6 — — 77.6 — 132.8 — — 132.8 Total assets at fair value $ — $ 138.4 $ — $ 62.9 $ 201.3 Receivables and payables, net 1.1 Net assets available for benefits $ 202.4 (a) Includes state and municipal bonds. No material transfers in or out of Level 3 occurred during the year ended December 31, 2016. The Company determines the fair value of its U.S. plan assets using the following methodologies: • Cash, cash equivalents and short term investments – Short term investments are valued at the closing price or amount held on deposit by the custodian bank or at fair value by discounting the related cash flows based on current yields of similar instruments with comparable durations considering the credit-worthiness of the issuer. As these investments are not traded on active markets, these investments are classified as Level 2. • Equity mutual funds – Equity mutual funds are valued at their daily net asset value (NAV) per share or the equivalent. NAV per share or the equivalent is used for fair value purposes as a practical expedient. NAVs are calculated by the investment manager or sponsor of the fund. • U.S. government and agency obligations – Quoted market prices are not available for these securities. Fair values are estimated using pricing models and/or quoted prices of securities with similar characteristics or discounted cash flows. Such securities are classified as Level 2. • Corporate and non-U.S. bonds – Quoted market prices are not available for these securities. Fair values are estimated by using pricing models and/or quoted prices of securities with similar characteristics or discounted cash flows. Such securities are classified as Level 2. The fair values of the Company’s non-U.S. pension plan assets at December 31, 2017 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Assets measured at NAV Cash and cash equivalents $ 36.7 $ — $ — — $ 36.7 Equity mutual funds — 2.0 — 103.1 105.1 Corporate and non-U.S. bonds — 176.9 — — 176.9 Real estate — — 0.8 — 0.8 Other (a) — 46.7 2.3 29.9 78.9 Total assets at fair value $ 36.7 $ 225.6 $ 3.1 $ 133.0 $ 398.4 (a) Primarily includes insurance contracts, mortgage-backed securities, and derivative contracts. No material transfers in or out of Level 3 occurred during the year ended December 31, 2017. The fair values of the Company’s non-U.S. pension plan assets at December 31, 2016 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Cash and cash equivalents $ 58.9 $ — $ — $ 58.9 Equity mutual funds — 107.2 — 107.2 Corporate and non-U.S. bonds — 110.8 — 110.8 Real estate (a) — 9.7 0.7 10.4 Other (b) — 64.1 2.0 66.1 Total assets at fair value $ 58.9 $ 291.8 $ 2.7 $ 353.4 (a) Includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds. (b) Primarily includes insurance contracts. No material transfers in or out of Level 3 occurred during the year ended December 31, 2016. The Company determines the fair value of its non-U.S. plan assets using the following methodologies: • Cash and cash equivalents - Cash equivalents are valued using a market approach with inputs including quoted market prices for either identical or similar instruments. • Equity mutual funds - Equity mutual funds are valued at their daily net asset value (NAV) per share or the equivalent. NAV per share or the equivalent is used for fair value purposes as a practical expedient. NAVs are calculated by the investment manager or sponsor of the fund. • Corporate and non-U.S. bonds - Corporate and non-U.S. bonds are valued through a market approach with inputs including, but not limited to, benchmark yields, reported trades, broker quotes and issuer spreads. • Real estate - Private real estate fund values are reported by the fund manager and are based on valuation or appraisal of the underlying investments. The Company made employer contributions of $55.7 million to the U.S. pension plan in 2017 , of which $50.0 million was discretionary, and $7.9 million in 2016 . The Company did not make any required or discretionary contributions to the U.S. pension plans in 2015 . The Company made required and discretionary contributions to its non-U.S. pension plans of $5.2 million in 2017 , $6.0 million in 2016 , and $6.5 million in 2015 . The Company currently projects that an approximate $13.5 million will be contributed to its U.S and non-U.S. plans in 2018 . The Company’s policy allows it to fund an amount, which could be in excess of or less than the pension cost expensed, subject to the limitations imposed by current tax regulations. The Company anticipates funding the plans in 2018 in accordance with contributions required by funding regulations or the laws of each jurisdiction. Most of the Company’s U.S. employees are covered by defined contribution plans. Employer contributions are determined based on criteria specific to the individual plans and amounted to approximately $14.0 million , $13.3 million , and $12.1 million in 2017 , 2016 and 2015 . The Company’s contributions relating to non-U.S. defined contribution plans and other non-U.S. benefit plans were $7.0 million , $5.6 million and $6.2 million in 2017 , 2016 and 2015 . Deferred Compensation Plan The Company maintains an Executive Deferred Compensation Plan ("EDCP"), which is an unfunded, nonqualified plan that permits certain employees to defer receipt of up to 50% of their annual salary and up to 100% of their annual bonus awards, performance share plan awards, and restricted stock units received upon commencement of employment. As of December 31, 2017 the deferred compensation liability balance was $20.9 million . Postretirement Benefits Other Than Pensions The Company sponsors a postretirement plan that provides for healthcare benefits, and in some instances, life insurance benefits that cover certain eligible employees. The Company funds postretirement benefit obligations principally on a pay-as-you-go basis. Generally, postretirement health benefits are contributory with contributions adjusted annually. Life insurance plans for retirees are primarily noncontributory. The following table details information regarding the Company’s postretirement plans at December 31: In millions 2017 2016 Change in benefit obligations: Benefit obligation at beginning of year $ 9.7 $ 12.9 Service cost 0.1 0.1 Interest cost 0.3 0.4 Actuarial gains 0.1 (2.9 ) Benefits paid, net of Medicare Part D subsidy (0.9 ) (0.8 ) Benefit obligations at end of year $ 9.3 $ 9.7 Funded status: Plan assets less than benefit obligations $ (9.3 ) $ (9.7 ) Amounts included in the balance sheet: Accrued compensation and benefits (0.9 ) (0.9 ) Postemployment and other benefit liabilities (8.4 ) (8.8 ) Total $ (9.3 ) $ (9.7 ) The pretax amounts recognized in Accumulated other comprehensive loss were as follows: In millions Prior service gains Net actuarial losses Total December 31, 2015 $ 3.9 $ (1.2 ) $ 2.7 Current year changes recorded to Accumulated other comprehensive loss — 2.9 2.9 Amortization reclassified to earnings (1.6 ) — (1.6 ) Balance at December 31, 2016 $ 2.3 $ 1.7 $ 4.0 Current year changes recorded to Accumulated other comprehensive loss — (0.2 ) (0.2 ) Amortization reclassified to earnings (1.7 ) — (1.7 ) Balance at December 31, 2017 $ 0.6 $ 1.5 $ 2.1 The components of net periodic postretirement benefit cost (income) for the years ended December 31 were as follows: In millions 2017 2016 2015 Service cost $ 0.1 $ 0.1 $ 0.1 Interest cost 0.3 0.4 0.5 Net amortization of: Prior service gains (1.7 ) (1.6 ) (1.6 ) Net actuarial losses (0.1 ) — — Net periodic postretirement benefit income $ (1.4 ) $ (1.1 ) $ (1.0 ) Postretirement income for 2018 is projected to be $0.5 million . Amounts expected to be recognized in net periodic postretirement benefits cost in 2018 for prior service gains and plan net actuarial losses are $0.7 million and $0.1 million . Assumptions: 2017 2016 2015 Weighted-average discount rate assumption to determine: Benefit obligations at December 31 3.3 % 3.5 % 3.5 % Net periodic benefit cost 3.5 % 3.5 % 3.5 % The Company has capped the annual maximum amount it will pay for retiree healthcare costs. Accordingly, assumptions of health-care cost trend rates are no longer applicable. A 1% change in the medical trend rate assumed for postretirement benefits would have no effect on the postretirement benefit obligation as the Company has capped the annual maximum amount it will pay for retiree healthcare costs, therefore any additional costs would be assumed by the retiree. Benefit payments for postretirement benefits, which are net of expected plan participant contributions and Medicare Part D subsidy, are expected to be paid as follows: In millions 2018 $ 0.9 2019 1.0 2020 0.9 2021 0.9 2022 0.8 2023 - 2027 $ 3.5 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Measurement Abstract | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurements are based on a framework that utilizes the inputs market participants use to determine the fair value of an asset or liability and establishes a fair value hierarchy to prioritize those inputs. The fair value hierarchy is comprised of three levels that are described below: • Level 1 – Inputs based on quoted prices in active markets for identical assets or liabilities. • Level 2 – Inputs other than Level 1 quoted prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability. • Level 3 – Unobservable inputs based on little or no market activity and that are significant to the fair value of the assets and liabilities. The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs are obtained from independent sources and can be validated by a third party, whereas unobservable inputs reflect assumptions regarding what a third party would use in pricing an asset or liability based on the best information available under the circumstances. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Assets and liabilities measured at fair value at December 31, 2017 are as follows: Fair value measurements Total In millions Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Assets: Interest rate swaps $ — $ 5.3 $ — $ 5.3 Foreign currency contracts — 0.2 — 0.2 Total asset recurring fair value measurements $ — $ 5.5 $ — $ 5.5 Liabilities: Foreign currency contracts $ — $ 0.7 $ — $ 0.7 Deferred compensation plans — 20.9 — 20.9 Total liability recurring fair value measurements $ — $ 21.6 $ — $ 21.6 Financial instruments not carried at fair value: Total debt $ — $ 1,485.2 $ — $ 1,485.2 Total financial instruments not carried at fair value $ — $ 1,485.2 $ — $ 1,485.2 Assets and liabilities measured at fair value at December 31, 2016 are as follows: Fair value measurements Total In millions Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Assets: Interest rate swaps $ — $ 4.6 $ — $ 4.6 Foreign currency contracts — 1.0 — 1.0 Total asset recurring fair value measurements $ — $ 5.6 $ — $ 5.6 Liabilities: Foreign currency contracts $ — $ 0.3 $ — $ 0.3 Interest rate swaps — 0.4 — 0.4 Deferred compensation plans — 16.8 — 16.8 Total liability recurring fair value measurements $ — $ 17.5 $ — $ 17.5 Financial instruments not carried at fair value: Total debt $ — $ 1,510.6 $ — $ 1,510.6 Total financial instruments not carried at fair value $ — $ 1,510.6 $ — $ 1,510.6 The Company determines the fair value of its financial assets and liabilities using the following methodologies: • Foreign currency contracts – These instruments include foreign currency contracts for non-functional currency balance sheet exposures. The fair value of the foreign currency contracts are determined based on a pricing model that uses spot rates and forward prices from actively quoted currency markets that are readily accessible and observable. • Interest rate swaps – These instruments include forward-starting interest rate swap contracts for $250.0 million of the Company's variable rate debt. The fair value of the derivative instruments are determined based on quoted prices for the Company's swaps, which are not considered an active market. • Deferred compensation plans - These include obligations related to deferred compensation adjusted for market performance. The fair value is obtained based on observable market prices quoted on public exchanges for similar instruments. • Debt – These securities are recorded at cost and include senior notes maturing through 2027. The fair value of the long-term debt instruments is obtained based on observable market prices quoted on public exchanges for similar instruments. The carrying values of cash and cash equivalents, accounts receivable, accounts payable and short-term borrowings are a reasonable estimate of their fair value due to the short-term nature of these instruments. The methodology used by the Company to determine the fair value of its financial assets and liabilities at December 31, 2017 are the same as those used at December 31, 2016 . There have been no significant transfers between Level 1 and Level 2 categories. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | EQUITY Ordinary Shares The reconciliation of Ordinary shares is as follows: In millions Total December 31, 2016 95.3 Shares issued under incentive plans 0.6 Repurchase of ordinary shares (0.8 ) December 31, 2017 95.1 Allegion had 400.0 million ordinary shares authorized and 10.0 million $0.001 par value preferred shares authorized (with none outstanding) at December 31, 2017 . On February 2, 2017, the Company's Board of Directors approved a new stock repurchase authorization of up to $500 million of the Company's ordinary shares. This new stock repurchase authorization replaced the authorization established in 2014. During the year ended December 31, 2017 , the Company paid $60.0 million to repurchase 0.8 million ordinary shares on the open market under this new repurchase authorization. Other Comprehensive Income (Loss) The changes in Accumulated other comprehensive income (loss) are as follows: In millions Cash flow hedges and marketable securities Pension and OPEB Items Foreign Currency Items Total December 31, 2014 $ 15.7 $ (116.1 ) $ (47.8 ) $ (148.2 ) Other comprehensive loss, net of tax (1.7 ) (23.2 ) (59.1 ) (84.0 ) December 31, 2015 $ 14.0 $ (139.3 ) $ (106.9 ) $ (232.2 ) Other comprehensive (loss) income, net of tax (10.6 ) 18.8 (40.3 ) (32.1 ) December 31, 2016 $ 3.4 $ (120.5 ) $ (147.2 ) $ (264.3 ) Other comprehensive income (loss), net of tax 0.4 19.3 98.1 117.8 Other (a) — (6.4 ) — (6.4 ) December 31, 2017 $ 3.8 $ (107.6 ) $ (49.1 ) $ (152.9 ) (a) During 2017, the Company reclassified $6.4 million between Accumulated other comprehensive loss and Retained earnings to correct a prior period classification error of Pension and OPEB items. The Company does not believe this reclassification is material to 2017 or to any of its previously issued annual or interim financial statements. The amounts of Other comprehensive income (loss) attributable to noncontrolling interests are as follows: In millions 2017 2016 2015 Foreign currency items $ (0.6 ) $ (0.4 ) $ (1.4 ) Total other comprehensive loss attributable to noncontrolling interests $ (0.6 ) $ (0.4 ) $ (1.4 ) |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Share-based Arrangements with Employees and Nonemployees [Abstract] | |
Share-Based Compensation | SHARE-BASED COMPENSATION The Company records share-based compensation awards using a fair value method and recognizes compensation expense for an amount equal to the fair value of the share-based payment issued in its financial statements. The Company’s share-based compensation plans include programs for stock options, restricted stock units ("RSUs"), performance stock units ("PSUs"), and deferred compensation. Under the Company's incentive stock plan, the total number of ordinary shares authorized by the shareholders is 8.0 million , of which 3.4 million remain available as of December 31, 2017 for future incentive awards. Compensation Expense Share-based compensation expense is included in Cost of goods sold and Selling and administrative expenses. The following table summarizes the expenses recognized for the years ended December 31: In millions 2017 2016 2015 Stock options $ 3.3 $ 4.1 $ 3.7 RSUs 7.0 7.7 5.8 PSUs 5.8 4.8 5.0 Deferred compensation 2.8 0.8 0.3 Pre-tax expense 18.9 17.4 14.8 Tax benefit (6.4 ) (5.6 ) (4.4 ) Total $ 12.5 $ 11.8 $ 10.4 Stock Options / RSUs Eligible participants may receive (i) stock options, (ii) RSUs or (iii) a combination of both stock options and RSUs. The fair value of each of the Company’s stock option and RSU awards is expensed on a straight-line basis over the required service period, which is generally the 3-year vesting period. However, for stock options and RSUs granted to retirement eligible employees, the Company recognizes expense for the fair value at the grant date. The average fair value of the stock options granted for the year ended December 31, 2017 and 2016 was estimated to be $ 18.22 per share and $ 15.86 per share, respectively, using the Black-Scholes option-pricing model. The weighted average assumptions used were the following: 2017 2016 2015 Dividend yield 0.89 % 0.83 % 0.69 % Volatility 24.93 % 28.85 % 31.37 % Risk-free rate of return 2.08 % 1.38 % 1.78 % Expected life 6.0 years 6.0 years 6.0 years Expected volatility is based on the weighted average of the implied volatility of a group of the Company’s peers. The risk-free rate of return is based on the yield curve of a zero-coupon U.S. Treasury bond on the date the award is granted with a maturity equal to the expected term of the award. Historical peer data is used to estimate forfeitures within the Company’s valuation model. The expected life of the Company’s stock option awards granted post separation is derived from the simplified approach based on the weighted average time to vest and the remaining contractual term, and represents the period of time that awards are expected to be outstanding. Changes in options outstanding under the plans for the years ended December 31, 2017 , 2016 and 2015 are as follows: Shares subject to option Weighted- average exercise price (a) Aggregate intrinsic value (millions) Weighted- average remaining life (years) December 31, 2014 1,962,028 $ 28.11 Granted 220,679 57.85 Exercised (575,564 ) 22.98 Canceled (14,976 ) 47.28 December 31, 2015 1,592,167 33.91 Granted 231,521 57.91 Exercised (447,019 ) 26.04 Canceled (63,599 ) 53.40 December 31, 2016 1,313,070 39.87 Granted 165,113 71.84 Exercised (410,397 ) 31.54 Canceled (15,906 ) 60.84 Outstanding December 31, 2017 1,051,880 $ 47.80 $ 33.4 6.0 Exercisable December 31, 2017 696,929 $ 39.46 $ 27.9 4.8 (a) The weighted average exercise price of awards represents the exercise price of the awards on the grant date converted to ordinary shares of the Company. The following table summarizes information concerning currently outstanding and exercisable options: Options outstanding Options exercisable Range of exercise price Number Weighted- average remaining life (years) Weighted- average exercise price Number Weighted- average remaining life (years) Weighted- average exercise price $ 10.01 — $ 20.00 88,965 1.5 $ 15.17 88,965 1.5 $ 15.17 20.01 — 30.00 149,055 2.6 26.62 149,055 2.6 26.62 30.01 — 40.00 82,043 4.7 32.33 82,043 4.7 32.33 40.01 — 50.00 128,503 6.0 43.37 128,503 6.0 43.37 50.01 — 60.00 442,663 7.1 56.92 248,295 6.7 56.19 60.01 — 70.00 421 8.8 63.93 — — — 70.01 — 80.00 160,230 9.0 71.84 68 2.7 71.35 1,051,880 6.0 $ 47.80 696,929 4.8 $ 39.46 At December 31, 2017 , there was $ 2.4 million of total unrecognized compensation cost from stock option arrangements granted under the plan, which is primarily related to unvested shares of non-retirement eligible employees. The aggregate intrinsic value of the Company's options exercised during the year ended December 31, 2017 and 2016 was $ 17.5 million and $ 18.3 million , respectively. Generally, stock options expire ten years from their date of grant. The following table summarizes RSU activity for the years ended December 31, 2017 , 2016 and 2015 : RSUs Weighted- average grant date fair value (a) Outstanding and unvested at December 31, 2014 325,160 $ 42.15 Granted 121,153 59.69 Vested (92,029 ) 36.63 Canceled (9,354 ) 49.32 Outstanding and unvested at December 31, 2015 344,930 49.59 Granted 123,299 59.49 Vested (220,854 ) 45.83 Canceled (41,741 ) 52.40 Outstanding and unvested at December 31, 2016 205,634 58.99 Granted 124,933 73.76 Vested (90,523 ) 58.78 Canceled (10,038 ) 60.47 Outstanding and unvested at December 31, 2017 230,006 $ 66.83 (a) The weighted average grant date fair value represents the fair value of the awards on the grant date converted to ordinary shares of the Company. At December 31, 2017 , there was $ 6.5 million of total unrecognized compensation cost from RSU arrangements granted under the plan, which is related to unvested shares of non-retirement eligible employees. Performance Shares The Company has a Performance Share Program ("PSP") for key employees which provides awards in the form of Performance Share Units ("PSU") based on performance against pre-established objectives. The annual target award level is expressed as a number of the Company's ordinary shares. All PSUs are settled in the form of ordinary shares unless deferred. In February 2015, 2016 and 2017, the Company's Compensation Committee granted PSUs that were earned based 50% upon a performance condition, measured at each reporting period by earnings per share ("EPS") performance in relation to pre-established targets set by the Compensation Committee, and 50% upon a market condition, measured by the Company’s relative total shareholder return ("TSR") against the S&P 400 Capital Goods Index over a three-year performance period based on the change in the 30 day average price for the grant year index to the 30 day average price for the index over the performance period. The fair values of the market conditions are estimated using a Monte Carlo simulation approach in a risk-neutral framework to model future stock price movements based upon historical volatility, risk-free rates of return, and correlation matrix. The following table summarizes PSU activity for the maximum number of shares that may be issued for the years ended December 31, 2017 , 2016 and 2015 : PSUs Weighted-average grant date fair value (a) Outstanding and unvested at December 31, 2014 161,132 $ 57.39 Granted 58,323 66.47 Vested (17,327 ) 75.05 Forfeited (85 ) 75.05 Outstanding and unvested at December 31, 2015 202,043 64.92 Granted 94,201 64.83 Vested (64,979 ) 72.69 Forfeited (21,661 ) 57.07 Outstanding and unvested at December 31, 2016 209,604 56.02 Granted 99,832 78.13 Vested (146,830 ) 72.01 Forfeited (1,783 ) 67.10 Outstanding and unvested at December 31, 2017 160,823 $ 55.02 (a) The weighted average grant date fair value represents the fair value of the awards on the grant date converted to ordinary shares of the Company. At December 31, 2017 , there was $ 4.2 million of total unrecognized compensation cost from the PSP based on current performance, which is related to unvested shares. This compensation will be recognized over the required service period, which is generally the three-year vesting period. Deferred Compensation The Company allows key employees to defer a portion of their eligible compensation into a number of investment choices, including its ordinary share equivalents. Any amounts invested in ordinary share equivalents will be settled in ordinary shares of the Company at the time of distribution. |
Restructuring Activities
Restructuring Activities | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring Charges [Abstract] | |
Restructuring Activities | RESTRUCTURING During 2017 , 2016 , and 2015 , the Company incurred costs of $12.3 million , $3.1 million , and $ 15.1 million respectively, associated with restructuring actions. These actions included workforce reductions, costs associated with the exit of an immaterial product line, and the closure and consolidation of manufacturing facilities in an effort to increase efficiencies. Restructuring charges recorded during the years ended December 31 as part of restructuring plans were as follows: In millions 2017 2016 2015 Americas $ 5.5 $ 2.0 $ — EMEIA 6.2 0.9 14.7 Asia Pacific — 0.2 0.4 Corporate and Other 0.6 — — Total $ 12.3 $ 3.1 $ 15.1 Cost of goods sold $ 5.8 $ 0.9 $ 13.6 Selling and administrative expenses 6.5 2.2 1.5 Total $ 12.3 $ 3.1 $ 15.1 The changes in the restructuring reserve during the years ended December 31, 2017 and 2016 were as follows: In millions Americas EMEIA Asia Pacific Corporate/Other Total December 31, 2015 $ — $ 10.0 $ 0.2 $ — $ 10.2 Additions 2.0 0.9 0.2 — 3.1 Cash and non-cash uses (1.7 ) (7.5 ) (0.4 ) — (9.6 ) Currency translation — (0.2 ) — — (0.2 ) December 31, 2016 0.3 3.2 — — 3.5 Additions 5.5 6.2 — 0.6 12.3 Cash and non-cash uses (5.5 ) (5.8 ) — (0.5 ) (11.8 ) Currency translation — 0.2 — — 0.2 December 31, 2017 $ 0.3 $ 3.8 $ — $ 0.1 $ 4.2 The Company incurred other non-qualified restructuring charges of $ 1.5 million and $ 6.4 million during the years ended December 31, 2017 and 2016 , respectively, in conjunction with the other restructuring plans, which represent costs that are directly attributable to restructuring activities, but do not fall into the severance, exit or disposal category. The majority of the costs accrued as of December 31, 2017 will be paid within one year. |
Other, Net
Other, Net | 12 Months Ended |
Dec. 31, 2017 | |
Other Net [Abstract] | |
Other, Net | OTHER INCOME, NET At December 31, the components of Other income, net were as follows: In millions 2017 2016 2015 Interest income $ (1.2 ) $ (1.9 ) $ (1.5 ) Exchange loss 0.7 2.0 4.9 (Earnings) loss from and (gains) on the sale of equity investments (5.4 ) (3.6 ) 0.3 Other (7.3 ) (14.7 ) (11.5 ) Other income, net $ (13.2 ) $ (18.2 ) $ (7.8 ) Other income, net for the year ended December 31, 2017 included a gain of $5.4 million from the sale of iDevices, LLC, which is included within the (Earnings) loss from and (gains) on the sale of equity investments in the table above. Other income, net for the year ended December 31, 2017 also included gains of $7.3 million related to legal entity liquidations in our Asia Pacific region, of which $2.2 million has been attributed to noncontrolling interests. These gains are included within Other in the table above. During the year ended December 31, 2016 the Company recorded gains from the sale of marketable securities of $12.4 million , which is included within Other in the table above. During the year ended December 31, 2015 , the Company recorded gains from the sale of marketable securities of $11.0 million , which is included within Other in the table above. In February 2015, the Venezuelan government announced changes to its exchange rate system that included the launch of a new, market-based system called the Marginal Currency System, or "SIMADI." During the year ended December 31, 2015 the Company recorded a charge of $2.8 million in order to remeasure net monetary assets at the SIMADI rate and other unfavorable currency impacts. These losses are within Exchange loss in the table above. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Expense (Benefit), Continuing Operations [Abstract] | |
Income Taxes | INCOME TAXES Earnings before income taxes for the years ended December 31 were taxed within the following jurisdictions: In millions 2017 2016 2015 United States $ 166.5 $ 129.9 $ 123.1 Non-U.S. 229.2 165.1 86.2 Total $ 395.7 $ 295.0 $ 209.3 The components of the Provision for income taxes for the years ended December 31 were as follows: In millions 2017 2016 2015 Current tax expense: United States $ 78.8 $ 43.8 $ 53.4 Non-U.S. 15.0 13.8 3.5 Total: 93.8 57.6 56.9 Deferred tax expense (benefit): United States 41.2 14.4 2.1 Non-U.S. (16.0 ) (8.2 ) (4.4 ) Total: 25.2 6.2 (2.3 ) Total tax expense (benefit): United States 120.0 58.2 55.5 Non-U.S. (1.0 ) 5.6 (0.9 ) Total $ 119.0 $ 63.8 $ 54.6 The Provision for income taxes differs from the amount of income taxes determined by applying the applicable U.S. statutory income tax rate to pretax income, as a result of the following differences: Percent of pretax income 2017 2016 2015 Statutory U.S. rate 35.0 % 35.0 % 35.0 % Increase (decrease) in rates resulting from: Non-U.S. tax rate differential (1) (20.0 ) (17.4 ) (11.1 ) State and local income taxes (1) 1.8 2.0 2.8 Reserves for uncertain tax positions 0.8 2.0 (3.4 ) Tax on unremitted earnings 0.8 1.2 1.5 Tax Reform Act 13.5 — — Venezuela devaluation — — 0.9 Production incentives (0.9 ) (0.6 ) (1.0 ) Other adjustments (0.9 ) (0.6 ) 1.4 Effective tax rate 30.1 % 21.6 % 26.1 % (1) Net of changes in valuation allowances On December 22, 2017, the Tax Reform Act became law, resulting in broad and complex changes to the U.S. tax code which impact the Company's consolidated financial statements during the year ended December 31, 2017 including, but not limited to (1) reducing the U.S. federal corporate tax rate, (2) requiring a one-time transition tax on certain unrepatriated earnings of non-U.S. subsidiaries that may electively be paid over eight years, and (3) requiring a review of the future realizability of deferred tax balances. The Tax Reform Act reduces the federal corporate tax rate from 35 percent to 21 percent effective January 1, 2018. The Tax Reform Act also puts in place new tax laws which include, but are not limited to (1) a Base Erosion Anti-abuse Tax (BEAT), which is a new minimum tax, (2) generally eliminating U.S. federal income taxes on dividends from foreign subsidiaries, (3) a provision designed to tax currently global intangible low taxed income (GILTI), (4) a provision that may limit the amount of currently deductible interest expense, (5) the repeal of the domestic production incentives, (6) limitations on the deductibility of certain executive compensation, and (7) limitations on the utilization of foreign tax credits to reduce the U.S. income tax liability. Shortly after the Tax Reform Act was enacted, the SEC staff issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (SAB 118) which provides guidance on accounting for the Tax Reform Act’s impact. SAB 118 provides a measurement period, which in no case should extend beyond one year from the Tax Reform Act enactment date, during which a company acting in good faith may complete the accounting for the impacts of the Tax Reform Act under ASC Topic 740. In accordance with SAB 118, the company must reflect the income tax effects of the Tax Reform Act in the reporting period in which the accounting under ASC Topic 740 is complete. To the extent that a company’s accounting for certain income tax effects of the Tax Reform Act is incomplete, the Company can determine a reasonable estimate for those effects and record a provisional estimate in the financial statements in the first reporting period in which a reasonable estimate can be determined. If a company cannot determine a provisional estimate to be included in the financial statements, the company should continue to apply ASC 740 based on the provisions of the tax laws that were in effect immediately prior to the Tax Reform Act being enacted. If a company is unable to provide a reasonable estimate of the impacts of the Tax Reform Act in a reporting period, a provisional amount must be recorded in the first reporting period in which a reasonable estimate can be determined. The Company has recorded a provisional discrete net tax charge of $53.5 million related to the Tax Reform Act in the year ended December 31, 2017. This net charge primarily consists of a net charge of $24.5 million due to the remeasurement of deferred tax accounts to reflect the corporate rate reduction impact to the Company's net deferred tax balances, a net charge of $22.8 million due to the future realizability of certain deferred tax balances, and a net charge for the transition tax of $5.0 million , as more fully described below. Reduction in U.S. Corporate Rate: The Tax Reform Act reduces the U.S. federal statutory corporate tax rate to 21 percent in years beginning on or after January 1, 2018. The Company has recorded a provisional adjustment to the net deferred tax balances, with a corresponding discrete net tax charge of $24.5 million in the current period. While the Company can make a reasonable estimate of the impact of the reduction in corporate rate, the Company is continuing to analyze the temporary differences that existed on the date of enactment. Future Realizability of Certain Deferred Tax Balances: The Tax Reform Act contains provisions that may limit or restrict the future realizability of certain existing deferred tax balances. The Company has recorded a provisional valuation allowance related to interest limitation carryforwards and other adjustments to the net deferred tax assets, with a corresponding discrete net tax charge of $22.8 million in the current period. While the Company can make a reasonable estimate of the valuation allowance, the Company is awaiting further interpretative guidance and is continuing to gather additional information to refine its assessment. To the extent transition rules and interpretative guidance is clarified, some or all of the valuation allowance may reverse in a subsequent period. Transition Tax: The transition tax is levied on the previously untaxed accumulated and current earnings and profits (E&P) of certain of the Company's foreign subsidiaries. In order to determine the amount of the transition tax, the Company must determine, in addition to other factors, the amount of post-1986 E&P of the relevant subsidiaries, as well as the amount of non-U.S. income taxes paid on such earnings. E&P is similar to retained earnings of the subsidiary, but requires other adjustments to conform to U.S. tax rules. The Company has made a reasonable estimate of the transition tax and recorded a provisional transition tax obligation of $5.0 million which the Company expects to elect to pay over eight years. This amount is presented in current and Other long-term liabilities. However, the Company is awaiting further interpretative guidance, continuing to assess available tax methods and elections, and continuing to gather additional information to more precisely compute the amount of the transition tax. The majority of the Company's earnings are considered permanently reinvested. The $5.0 million transition tax will result in certain previously untaxed non-U.S. earnings being included in the U.S. federal and state 2017 taxable income. As a result of the Tax Reform Act, the Company is currently analyzing its global working capital requirements and the potential tax liabilities that would be incurred if certain non-U.S. subsidiaries made distributions, which include local country withholding tax and potential U.S. state taxation. For these reasons, the Company is not yet able to reasonably estimate the effect of this provision of the Tax Reform Act and has not recorded any incremental withholding or state tax liabilities on its investment in its non-U.S. subsidiaries. The Company is also currently analyzing other provisions of the Tax Reform Act that come into effect in 2018. These provisions include BEAT, eliminating U.S. federal income taxes on dividends from foreign subsidiaries, the treatment of amounts in accumulated other comprehensive income, the new provision that could limit the amount of deductible interest expense, and the limitations on the deductibility of certain executive compensation. At December 31, a summary of the deferred tax accounts were as follows: In millions 2017 2016 Deferred tax assets: Inventory and accounts receivable $ 17.0 $ 18.3 Fixed assets and intangibles 2.6 2.0 Postemployment and other benefit liabilities 29.9 42.0 Other reserves and accruals 12.5 16.0 Net operating losses, tax credits and other carryforwards 309.5 227.1 Other 4.2 5.3 Gross deferred tax assets 375.7 310.7 Less: deferred tax valuation allowances (312.9 ) (225.5 ) Deferred tax assets net of valuation allowances $ 62.8 $ 85.2 Deferred tax liabilities: Fixed assets and intangibles $ (101.7 ) $ (90.6 ) Postemployment and other benefit liabilities (4.7 ) — Unremitted earnings of foreign subsidiaries (6.0 ) (4.2 ) Other (7.4 ) (6.0 ) Gross deferred tax liabilities (119.8 ) (100.8 ) Net deferred tax liabilities $ (57.0 ) $ (15.6 ) At December 31, 2017 , $6.0 million of deferred tax was recorded for certain undistributed earnings of non-U.S. subsidiaries. Historically, no deferred taxes have been provided for any portion of the remaining undistributed earnings of the Company's subsidiaries since these earnings have been, and will continue to be, permanently reinvested in these subsidiaries. For many reasons, including the number of legal entities and jurisdictions involved, the complexity of the Company's legal entity structure, the complexity of tax laws in the relevant jurisdictions and the impact of projections of income for future years to any calculations, the Company believes it is not practicable to estimate, within any reasonable range, the amount of additional taxes which may be payable upon the distribution of earnings. At December 31, 2017 , the Company had the following tax losses and tax credit carryforwards available to offset taxable income in prior and future years: In millions Amount Expiration Period U.S. Federal tax loss carryforwards $ 15.1 2027 & 2028 U.S. Federal and State credit carryforwards 22.2 2024-2027 U.S. State tax loss carryforwards 29.6 2018-2037 Non-U.S. tax loss carryforwards $ 1,013.0 2018-Unlimited The U.S. state loss carryforwards were incurred in various jurisdictions. The non-U.S. loss carryforwards were incurred in various jurisdictions, predominantly in China, Ireland, Italy, Luxembourg and the United Kingdom. The Company evaluates its deferred income tax assets to determine if valuation allowances are required or should be adjusted. U.S. GAAP requires that companies assess whether valuation allowances should be established against their deferred tax assets based on consideration of all available evidence, both positive and negative, using a "more likely than not" standard. This assessment considers the nature, frequency and amount of recent losses, the duration of statutory carryforward periods and tax planning strategies. In making such judgments, significant weight is given to evidence that can be objectively verified. Activity associated with the Company’s valuation allowance is as follows: In millions 2017 2016 2015 Beginning balance $ 225.5 $ 133.3 $ 50.8 Increase to valuation allowance 96.9 109.0 82.2 Decrease to valuation allowance (11.9 ) (13.9 ) (3.0 ) Foreign exchange translation 2.4 (3.3 ) (1.6 ) Accumulated other comprehensive income (loss) — 0.4 4.9 Ending balance $ 312.9 $ 225.5 $ 133.3 During 2017 , the valuation allowance increased by $87.4 million . This increase is the result of changes in jurisdictional profitability, country specific tax laws and changes in judgment and facts regarding the realizability of deferred tax assets. The Company has total unrecognized tax benefits of $ 29.0 million and $ 32.0 million as of December 31, 2017 , and December 31, 2016 , respectively. The amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate are $27.4 million as of December 31, 2017 . A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: In millions 2017 2016 2015 Beginning balance $ 32.0 $ 23.8 $ 25.4 Additions based on tax positions related to the current year 6.4 9.1 3.9 Additions based on tax positions related to prior years 1.6 7.1 1.6 Reductions based on tax positions related to prior years (5.0 ) (5.5 ) (3.0 ) Reductions related to settlements with tax authorities (7.1 ) (0.6 ) — Reductions related to lapses of statute of limitations (1.2 ) (0.9 ) (1.4 ) Translation loss/(gain) 2.3 (1.0 ) (2.7 ) Ending balance $ 29.0 $ 32.0 $ 23.8 The Company records interest and penalties associated with the uncertain tax positions within its Provision for income taxes. The Company had reserves associated with interest and penalties, net of tax, of $ 4.9 million and $ 5.4 million at December 31, 2017 and 2016 . For the years ended December 31, 2017 and 2016 , the Company recognized $0.0 million and $0.3 million in net interest and penalties, net of tax, related to these uncertain tax positions. The total amount of unrecognized tax benefits relating to the Company's tax positions is subject to change based on future events including, but not limited to, the settlements of ongoing audits and/or the expiration of applicable statutes of limitations. Although the outcomes and timing of such events are highly uncertain, it is reasonably possible that the balance of gross unrecognized tax benefits, excluding interest and penalties, could potentially be reduced by up to approximately $ 10.7 million during the next 12 months. The provision for income taxes involves a significant amount of management judgment regarding interpretation of relevant facts and laws in the jurisdictions in which the Company operates. Future changes in applicable laws, projected levels of taxable income and tax planning could change the effective tax rate and tax balances recorded by the Company. In addition, tax authorities periodically review income tax returns filed by the Company and can raise issues regarding its filing positions, timing and amount of income or deductions, and the allocation of income among the jurisdictions in which the Company operates. A significant period of time may elapse between the filing of an income tax return and the ultimate resolution of an issue raised by a tax authority with respect to that return. In the normal course of business, the Company is subject to examination by taxing authorities throughout the world, including such major jurisdictions as Canada, France, Germany, Italy, Mexico, the Netherlands and the United States. In general, the examination of the material tax returns of subsidiaries of the Company is complete for the years prior to 2003, with certain matters being resolved through appeals and litigation. The Company had indemnity receivables in the amount of $5.7 million and $5.6 million included in Other noncurrent assets at December 31, 2017 and 2016 , respectively, primarily related to additional competent authority relief filings. |
Divestitures and Discontinued O
Divestitures and Discontinued Operations | 12 Months Ended |
Dec. 31, 2017 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | DIVESTITURES As previously disclosed, the Company sold its majority ownership in its Venezuelan operation to Venezuelan investors. As a result of the sale in the third quarter of 2015, the Company recorded a non-cash charge of $26.1 million , which primarily represents cumulative currency translation adjustments that were previously deferred in equity and were reclassified to a loss in the Consolidated Statement of Comprehensive Income upon sale. As previously disclosed, the Company sold a majority stake of Bocom Wincent Technologies Co., Ltd. ("Systems Integration") in the fourth quarter of 2015, retaining 15% of the shares. Under the terms of the transaction, the Company was to receive consideration of up to $75.0 million based on the future cash collection performance of Systems Integration and additional payments of approximately $8.3 million related to working capital transferred with the sale. During the twelve months ended December 31, 2015, and as a result of the sale, the Company recorded a non-cash, pre-tax charge of $78.1 million ( $82.4 million after tax charges) to write the carrying value of Systems Integration’s assets and liabilities down to their estimated fair value less costs to complete the transaction. The charge was recorded as a Loss on divestitures within the Consolidated Statement of Comprehensive Income. During the third quarter of 2016 the receivable was considered impaired, as it was determined that certain unfavorable events occurred related to the Systems Integration business requiring an impairment of the original consideration and working capital transfer amounts that were recorded at the time of the sale. A charge of $81.4 million (net of tax) was recorded, reducing the carrying value of the receivable to a fair value estimated by discounting the expected future cash flows. The assumptions used in this estimate are considered unobservable inputs. Fair value measurements that utilize significant unobservable inputs are categorized as Level 3 measurements under the accounting guidance. The total charge recorded as a Loss on divestitures within the Consolidated Statement of Comprehensive Income was $84.4 million for the twelve months ended December 31, 2016. The Company currently estimates the fair value of the consideration to be $2.6 million as of December 31, 2017 , which is classified within Other noncurrent assets within the Consolidated Balance Sheet. The Company does not expect to incur any material charges in future periods related to the Systems Integration business. In April 2017, iDevices LLC, including the Company's equity investment, was acquired by a third party. The Company recorded a cumulative gain of $5.4 million in 2017 related to this divestiture within Other income, net. |
Earnings Per Share (EPS)
Earnings Per Share (EPS) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share (EPS) | EARNINGS PER SHARE (EPS) Basic EPS is calculated by dividing Net earnings attributable to Allegion plc by the weighted-average number of ordinary shares outstanding for the applicable period. Diluted EPS is calculated after adjusting the denominator of the basic EPS calculation for the effect of all potentially dilutive ordinary shares, which in the Company’s case, includes shares issuable under share-based compensation plans. The following table summarizes the weighted-average number of ordinary shares outstanding for basic and diluted earnings per share calculations. In millions 2017 2016 2015 Weighted-average number of basic shares 95.1 95.8 95.9 Shares issuable under incentive stock plans 0.9 1.1 1.0 Weighted-average number of diluted shares 96.0 96.9 96.9 At December 31, 2017 , 0.1 million stock options were excluded from the computation of weighted average diluted shares outstanding because the effect of including these shares would have been anti-dilutive. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Abstract | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES The Company is involved in various litigations, claims and administrative proceedings, including those related to environmental and product warranty matters. Amounts recorded for identified contingent liabilities are estimates, which are reviewed periodically and adjusted to reflect additional information when it becomes available. Subject to the uncertainties inherent in estimating future costs for contingent liabilities, except as expressly set forth in this note, management believes that any liability which may result from these legal matters would not have a material adverse effect on the financial condition, results of operations, liquidity or cash flows of the Company. Environmental Matters The Company is dedicated to an environmental program to reduce the utilization and generation of hazardous materials during the manufacturing process and to remediate identified environmental concerns. As to the latter, the Company is currently engaged in site investigations and remediation activities to address environmental cleanup from past operations at current and former production facilities. The Company regularly evaluates its remediation programs and considers alternative remediation methods that are in addition to, or in replacement of, those currently utilized by the Company based upon enhanced technology and regulatory changes. Changes to the Company's remediation programs may result in increased expenses and increased environmental reserves. The Company is sometimes a party to environmental lawsuits and claims and has received notices of potential violations of environmental laws and regulations from the U.S. Environmental Protection Agency and similar state authorities. It has also been identified as a potentially responsible party ("PRP") for cleanup costs associated with off-site waste disposal at federal Superfund and state remediation sites. For all such sites, there are other PRPs and, in most instances, the Company’s involvement is minimal. In estimating its liability, the Company has assumed it will not bear the entire cost of remediation of any site to the exclusion of other PRPs who may be jointly and severally liable. The ability of other PRPs to participate has been taken into account, based on our understanding of the parties’ financial condition and probable contributions on a per site basis. Additional lawsuits and claims involving environmental matters are likely to arise from time to time in the future. The Company incurred $ 3.2 million , $ 23.3 million , and $ 4.4 million of expenses during the years ended December 31, 2017 , 2016 and 2015 , respectively, for environmental remediation at sites presently or formerly owned or leased by the Company. In the fourth-quarter of 2016, with the collaboration and approval of state regulators, the Company launched a proactive, alternative approach to remediate two sites in the United States. This approach will allow the Company to more aggressively address environmental conditions at these sites and reduce the impact of potential changes in regulatory requirements. As a result, the Company recorded a $15 million charge for environmental remediation in the fourth quarter of 2016. Environmental remediation costs are recorded in Costs of goods sold within the Consolidated Statements of Comprehensive Income. As of December 31, 2017 and 2016 , the Company has recorded reserves for environmental matters of $ 28.9 million and $ 30.6 million . The total reserve at December 31, 2017 and 2016 included $ 8.9 million and $9.6 million related to remediation of sites previously disposed by the Company. Environmental reserves are classified as Accrued expenses and other current liabilities or Other noncurrent liabilities based on their expected term. The Company's total current environmental reserve at December 31, 2017 and 2016 was $ 12.6 million and $ 6.1 million and the remainder is classified as noncurrent. Given the evolving nature of environmental laws, regulations and technology, the ultimate cost of future compliance is uncertain. Warranty Liability Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available. The changes in the standard product warranty liability for the year ended December 31, were as follows: In millions 2017 2016 2015 Balance at beginning of period $ 13.3 $ 11.7 $ 9.8 Reductions for payments (7.8 ) (6.5 ) (5.4 ) Accruals for warranties issued during the current period 9.0 8.1 7.1 Changes to accruals related to preexisting warranties (0.8 ) 0.2 0.5 Translation 0.4 (0.2 ) (0.3 ) Balance at end of period $ 14.1 $ 13.3 $ 11.7 Standard product warranty liabilities are classified as Accrued expenses and other current liabilities. Other Commitments and Contingencies Certain office and warehouse facilities, transportation vehicles and data processing equipment are leased by the Company. Total rental expense was $ 35.5 million in 2017 , $ 32.5 million in 2016 and $ 30.3 million in 2015 . Minimum lease payments required under non-cancellable operating leases with terms in excess of one year for the next five years are as follows: $ 20.5 million in 2018, $ 17.9 million in 2019, $ 13.0 million in 2020, $ 8.0 million in 2021, and $ 4.0 million in 2022. |
Business Segment Information
Business Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION The Company classifies its business into the following three reportable segments based on industry and market focus: Americas, EMEIA, and Asia Pacific. The Company largely evaluates performance based on Segment operating income and Segment operating margins. Segment operating income is the measure of profit and loss that the Company’s chief operating decision maker uses to evaluate the financial performance of the business and as the basis for resource allocation, performance reviews, and compensation. For these reasons, the Company believes that Segment operating income represents the most relevant measure of segment profit and loss. The Company’s chief operating decision maker may exclude certain charges or gains, such as corporate charges and other special charges, from Operating income to arrive at a Segment operating income that is a more meaningful measure of profit and loss upon which to base its operating decisions. The Company defines Segment operating margin as Segment operating income as a percentage of Net revenues. A summary of operations and balance sheet information by reportable segments as of and for the years ended December 31 were as follows: Dollar amounts in millions 2017 2016 2015 Americas Net revenues $ 1,767.5 $ 1,645.7 $ 1,558.4 Segment operating income 503.3 448.1 418.0 Segment operating margin 28.5 % 27.2 % 26.8 % Depreciation and amortization 26.4 26.4 26.4 Capital expenditures 26.1 21.5 18.9 Total segment assets 872.4 852.7 806.1 EMEIA Net revenues 523.5 485.9 386.3 Segment operating income 45.2 35.9 8.6 Segment operating margin 8.6 % 7.4 % 2.2 % Depreciation and amortization 28.6 27.6 17.2 Capital expenditures 17.1 13.6 5.6 Total segment assets 1,027.7 886.2 899.4 Asia Pacific Net revenues 117.2 106.4 123.4 Segment operating income (loss) 9.5 6.1 (3.4 ) Segment operating margin 8.1 % 5.7 % (2.8 )% Depreciation and amortization 2.5 2.4 2.1 Capital expenditures 1.5 1.1 2.0 Total segment assets 196.3 177.4 237.1 Total net revenues $ 2,408.2 $ 2,238.0 $ 2,068.1 Reconciliation to earnings before income taxes Segment operating income from reportable segments $ 558.0 $ 490.1 $ 423.2 Unallocated corporate expense 69.8 64.6 64.6 Interest expense 105.7 64.3 52.9 Loss on divestitures — 84.4 104.2 Other income, net (13.2 ) (18.2 ) (7.8 ) Total earnings before income taxes $ 395.7 $ 295.0 $ 209.3 Depreciation and amortization from reportable segments $ 57.5 $ 56.4 $ 45.7 Unallocated depreciation and amortization 4.1 5.0 3.1 Total depreciation and amortization $ 61.6 $ 61.4 $ 48.8 Capital expenditures from reportable segments $ 44.7 $ 36.2 $ 26.5 Corporate capital expenditures 4.6 6.3 8.7 Total capital expenditures $ 49.3 $ 42.5 $ 35.2 Assets from reportable segments $ 2,096.4 $ 1,916.3 $ 1,942.6 Unallocated assets (a) 445.6 331.1 320.4 Total assets $ 2,542.0 $ 2,247.4 $ 2,263.0 (a) Unallocated assets consists of investments in unconsolidated affiliates, fixed assets, deferred income taxes and cash. Revenues by destination and product as well as long-lived assets by geographic area for the years ended December 31 were as follows: In millions 2017 2016 2015 Revenues United States $ 1,645.6 $ 1,531.2 $ 1,425.1 Non-U.S. 762.6 706.8 643.0 Total $ 2,408.2 $ 2,238.0 $ 2,068.1 In millions 2017 2016 2015 Revenues Mechanical products $ 1,906.4 $ 1,793.1 $ 1,661.4 All other 501.8 444.9 406.7 Total $ 2,408.2 $ 2,238.0 $ 2,068.1 Less than 10% of the Company's net revenues come from the sale of services. In millions 2017 2016 Long-lived assets United States $ 131.0 $ 117.1 Non-U.S. 440.1 402.3 Total $ 571.1 $ 519.4 |
Guarantor Financial Information
Guarantor Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | GUARANTOR FINANCIAL INFORMATION Allegion US Holding Company, Inc. ("Allegion US Hold Co") is the issuer of the 3.200% and 3.550% Senior Notes. Allegion plc is the guarantor of the 3.200% and 3.550% Senior Notes. The following condensed and consolidated financial information of Allegion plc, Allegion US Hold Co, and the other Allegion subsidiaries that are not guarantors (the "Other Subsidiaries") on a combined basis as of December 31, 2017 and for the years ended December 31, 2017 , 2016 and 2015 , is being presented in order to meet the reporting requirements under the Senior Notes indenture and Rule 3-10 of Regulation S-X. In accordance with Rule 3-10(d) of Regulation S-X, separate financial statements for the Issuer, Allegion plc, whom is the guarantor, are not required to be filed with the SEC as the subsidiary debt issuer is directly or indirectly 100% owned by the Parent, whom is the guarantor, and the guarantees are full and unconditional and joint and several. In addition to reflecting the presentation of the condensed and consolidating financial statements for the new guarantor reporting structure disclosed in Form 10-Q filed with the SEC on October 26, 2017, the Company also made revisions to correct certain errors that were not material to the condensed and consolidating balance sheet as of December 31, 2016, which impacted Allegion US Hold Co, with applicable offsetting adjustments in the Consolidating Adjustments column. These revisions had no impact to the condensed and consolidating statements of comprehensive income (loss) or cash flows for any period. The effects of the revisions were as follows: Allegion US Hold Co's Investments in affiliates and Other shareholders' equity (deficit) was reduced by $2,696.3 million . The applicable offsetting effect of these corrections was included in the Consolidating Adjustments column. Subsequent to December 31, 2017 but before the issuance of this annual report, a merger of an entity currently presented in the "Other Subsidiaries" column with Allegion US Hold Co took place. As a result, the guarantor financial information presented under Rule 3-10 of Regulation S-X included in this periodic report does not reflect this merger. The entity merged with Allegion US Hold Co primarily includes intercompany investments and related equity; there is no material income statement or cash flow activity related to this entity. In future periodic filings beginning with the Company's 2018 first quarterly report included in Form 10-Q, the condensed and consolidating financial information presented below will be modified to reflect this merger. Condensed and Consolidated Statement of Comprehensive Income For the year ended December 31, 2017 In millions Allegion plc Allegion US Holding Other Subsidiaries Consolidating Adjustments Total Net revenues $ — $ — $ 2,408.2 $ — $ 2,408.2 Cost of goods sold — — 1,337.5 — 1,337.5 Selling and administrative expenses 5.3 0.2 577.0 — 582.5 Operating income (loss) (5.3 ) (0.2 ) 493.7 — 488.2 Equity earnings (loss) in affiliates, net of tax 348.2 148.9 — (497.1 ) — Interest expense 70.6 34.8 0.3 — 105.7 Intercompany interest and fees (1.0 ) 102.7 (101.7 ) — — Other income, net — — (13.2 ) — (13.2 ) Earnings (loss) before income taxes 273.3 11.2 608.3 (497.1 ) 395.7 Provision (benefit) for income taxes — (27.3 ) 146.3 — 119.0 Net earnings (loss) 273.3 38.5 462.0 (497.1 ) 276.7 Less: Net earnings attributable to noncontrolling interests — — 3.4 — 3.4 Net earnings (loss) attributable to Allegion plc $ 273.3 $ 38.5 $ 458.6 $ (497.1 ) $ 273.3 Total comprehensive income (loss) $ 391.1 $ 39.2 $ 577.6 $ (614.0 ) $ 393.9 Less: Total comprehensive income attributable to noncontrolling interests — — 2.8 — 2.8 Total comprehensive income (loss) attributable to Allegion plc $ 391.1 $ 39.2 $ 574.8 $ (614.0 ) $ 391.1 Condensed and Consolidated Statement of Comprehensive Income For the year ended December 31, 2016 In millions Allegion plc Allegion US Holding Other Consolidating Total Net revenues $ — $ — $ 2,238.0 $ — $ 2,238.0 Cost of goods sold — — 1,252.7 — 1,252.7 Selling and administrative expenses 4.7 — 555.1 — 559.8 Operating income (loss) (4.7 ) — 430.2 — 425.5 Equity earnings (loss) in affiliates, net of tax 277.4 148.3 0.3 (426.0 ) — Interest expense 43.5 20.2 0.6 — 64.3 Intercompany interest and fees (0.4 ) 97.9 (97.5 ) — — Other (income) expense, net — — 66.2 — 66.2 Earnings (loss) before income taxes 229.6 30.2 461.2 (426.0 ) 295.0 Provision (benefit) for income taxes 0.5 (45.5 ) 108.8 — 63.8 Net earnings (loss) 229.1 75.7 352.4 (426.0 ) 231.2 Less: Net earnings attributable to noncontrolling interests — — 2.1 — 2.1 Net earnings (loss) attributable to Allegion plc $ 229.1 $ 75.7 $ 350.3 $ (426.0 ) $ 229.1 Total comprehensive income (loss) $ 197.0 $ 79.4 $ 314.2 $ (391.9 ) $ 198.7 Less: Total comprehensive income attributable to noncontrolling interests — — 1.7 — 1.7 Total comprehensive income (loss) attributable to Allegion plc $ 197.0 $ 79.4 $ 312.5 $ (391.9 ) $ 197.0 Condensed and Consolidated Statement of Comprehensive Income For the year ended December 31, 2015 In millions Allegion plc Allegion US Holding Other Consolidating Total Net revenues $ — $ — $ 2,068.1 $ — $ 2,068.1 Cost of goods sold — — 1,199.0 — 1,199.0 Selling and administrative expenses 4.7 (0.1 ) 505.9 — 510.5 Operating income (loss) (4.7 ) 0.1 363.2 — 358.6 Equity earnings (loss) in affiliates, net of tax 190.6 167.2 — (357.8 ) — Interest expense 31.2 21.1 0.6 — 52.9 Intercompany interest and fees (0.4 ) 95.0 (94.6 ) — — Other (income) expense, net (0.2 ) — 96.6 — 96.4 Earnings (loss) before income taxes 155.3 51.2 360.6 (357.8 ) 209.3 Provision (benefit) for income taxes 1.2 (44.7 ) 98.1 — 54.6 Earnings (loss) from continuing operations 154.1 95.9 262.5 (357.8 ) 154.7 Discontinued operations, net of tax — — (0.4 ) — (0.4 ) Net earnings (loss) 154.1 95.9 262.1 (357.8 ) 154.3 Less: Net earnings attributable to noncontrolling interests — — 0.4 — 0.4 Net earnings (loss) attributable to Allegion plc $ 154.1 $ 95.9 $ 261.7 $ (357.8 ) $ 153.9 Total comprehensive income (loss) $ 69.8 $ 95.6 $ 177.9 $ (274.4 ) $ 68.9 Less: Total comprehensive income attributable to noncontrolling interests — — (0.9 ) — (0.9 ) Total comprehensive income (loss) attributable to Allegion plc $ 69.8 $ 95.6 $ 178.8 $ (274.4 ) $ 69.8 Consolidated Balance Sheet December 31, 2017 In millions Allegion plc Allegion US Holding Other Consolidating Total Current assets: Cash and cash equivalents $ 0.7 $ 0.2 $ 465.3 $ — $ 466.2 Accounts and notes receivable, net — — 296.6 — 296.6 Inventories — — 239.8 — 239.8 Other current assets 0.3 53.1 16.7 (40.9 ) 29.2 Assets held for sale — — 0.9 — 0.9 Accounts and notes receivable affiliates — 396.8 33.1 (429.9 ) — Total current assets 1.0 450.1 1,052.4 (470.8 ) 1,032.7 Investment in affiliates 1,079.6 215.3 — (1,294.9 ) — Property, plant and equipment, net — — 252.2 — 252.2 Intangible assets, net — — 1,155.5 — 1,155.5 Notes receivable affiliates 3.5 1,165.1 2,182.9 (3,351.5 ) — Other noncurrent assets 5.0 5.2 91.4 — 101.6 Total assets $ 1,089.1 $ 1,835.7 $ 4,734.4 $ (5,117.2 ) $ 2,542.0 Current liabilities: Accounts payable and accruals $ 1.9 $ 7.1 $ 457.7 $ (40.9 ) $ 425.8 Short-term borrowings and current maturities of long-term debt 35.0 — — — 35.0 Accounts and note payable affiliates 0.2 32.9 396.8 (429.9 ) — Total current liabilities 37.1 40.0 854.5 (470.8 ) 460.8 Long-term debt 649.3 791.9 1.1 — 1,442.3 Note payable affiliate — 2,182.9 1,168.6 (3,351.5 ) — Other noncurrent liabilities 1.1 2.1 230.2 — 233.4 Total liabilities 687.5 3,016.9 2,254.4 (3,822.3 ) 2,136.5 Equity: Total shareholders’ equity (deficit) 401.6 (1,181.2 ) 2,476.1 (1,294.9 ) 401.6 Noncontrolling interests — — 3.9 — 3.9 Total equity (deficit) 401.6 (1,181.2 ) 2,480.0 (1,294.9 ) 405.5 Total liabilities and equity $ 1,089.1 $ 1,835.7 $ 4,734.4 $ (5,117.2 ) $ 2,542.0 Condensed and Consolidated Balance Sheet December 31, 2016 In millions Allegion plc Allegion US Holding Other Consolidating Total Current assets: Cash and cash equivalents $ 0.5 $ 0.1 $ 311.8 $ — $ 312.4 Accounts and notes receivable, net — — 260.0 — 260.0 Inventories — — 220.6 — 220.6 Other current assets 0.4 49.7 17.6 (33.6 ) 34.1 Assets held for sale — — 2.2 — 2.2 Accounts and notes receivable affiliates — 331.6 36.8 (368.4 ) — Total current assets 0.9 381.4 849.0 (402.0 ) 829.3 Investment in affiliates 1,229.4 220.2 — (1,449.6 ) — Property, plant and equipment, net — — 226.6 — 226.6 Intangible assets, net — — 1,074.2 — 1,074.2 Notes receivable affiliates 53.2 1,149.8 2,690.7 (3,893.7 ) — Other noncurrent assets 5.4 14.8 97.1 — 117.3 Total assets $ 1,288.9 $ 1,766.2 $ 4,937.6 $ (5,745.3 ) $ 2,247.4 Current liabilities: Accounts payable and accruals $ 7.0 $ 4.7 $ 403.3 $ (33.6 ) $ 381.4 Short-term borrowings and current maturities of long-term debt 46.9 — 1.3 — 48.2 Accounts and note payable affiliates 0.4 36.4 331.6 (368.4 ) — Total current liabilities 54.3 41.1 736.2 (402.0 ) 429.6 Long-term debt 1,120.2 294.4 1.0 — 1,415.6 Note payable affiliate — 2,690.7 1,203.0 (3,893.7 ) — Other noncurrent liabilities 1.1 — 284.7 — 285.8 Total liabilities 1,175.6 3,026.2 2,224.9 (4,295.7 ) 2,131.0 Equity: Total shareholders’ equity (deficit) 113.3 (1,260.0 ) 2,709.6 (1,449.6 ) 113.3 Noncontrolling interests — — 3.1 — 3.1 Total equity (deficit) 113.3 (1,260.0 ) 2,712.7 (1,449.6 ) 116.4 Total liabilities and equity $ 1,288.9 $ 1,766.2 $ 4,937.6 $ (5,745.3 ) $ 2,247.4 Consolidated Statement of Cash Flows For the year ended December 31, 2017 In millions Allegion plc Allegion US Holding Other Consolidating Total Net cash provided by (used in) operating activities $ 581.3 $ 40.0 $ 510.2 $ (784.3 ) $ 347.2 Cash flows from investing activities: Capital expenditures — — (49.3 ) — (49.3 ) Acquisition of businesses, net of cash acquired — — (20.8 ) — (20.8 ) Proceeds from sale of property, plant and equipment — — 3.1 — 3.1 Proceeds from sale of equity investment — — 15.6 — 15.6 Proceeds (payments) related to business dispositions — — 1.2 — 1.2 Net cash used in investing activities — — (50.2 ) — (50.2 ) Cash flows from financing activities: Net debt repayments (488.5 ) 500.0 (1.4 ) — 10.1 Debt issuance costs (4.0 ) (5.5 ) — — (9.5 ) Redemption premium (24.6 ) (8.6 ) — — (33.2 ) Net inter-company proceeds (payments) 49.7 (523.0 ) 473.3 — — Dividends paid to shareholders (60.9 ) — — — (60.9 ) Dividends paid to noncontrolling interests — — (1.8 ) — (1.8 ) Dividends paid — — (784.3 ) 784.3 — Proceeds from shares issued under incentive plans 7.2 — — — 7.2 Repurchase of ordinary shares (60.0 ) — — — (60.0 ) Other financing activities, net — (2.8 ) — — (2.8 ) Net cash (used in) provided by financing activities (581.1 ) (39.9 ) (314.2 ) 784.3 (150.9 ) Effect of exchange rate changes on cash and cash equivalents — — 7.7 — 7.7 Net increase in cash and cash equivalents 0.2 0.1 153.5 — 153.8 Cash and cash equivalents - beginning of period 0.5 0.1 311.8 — 312.4 Cash and cash equivalents - end of period $ 0.7 $ 0.2 $ 465.3 $ — $ 466.2 Condensed and Consolidated Statement of Cash Flows For the year ended December 31, 2016 In millions Allegion plc Allegion US Holding Other Consolidating Total Net cash provided by (used in) continuing operating activities $ (25.6 ) $ 34.1 $ 528.9 $ (159.9 ) $ 377.5 Cash flows from investing activities: Capital expenditures — — (42.5 ) — (42.5 ) Acquisition of businesses, net of cash acquired — — (31.4 ) — (31.4 ) Proceeds from sales and maturities of marketable securities — — 14.1 — 14.1 Proceeds (payments) related to business disposition — — (4.3 ) — (4.3 ) Other investing activities, net — — 0.1 — 0.1 Net cash used in investing activities — — (64.0 ) — (64.0 ) Cash flows from financing activities: Net debt repayments (47.0 ) — (17.4 ) — (64.4 ) Debt issuance costs (0.3 ) — — — (0.3 ) Net inter-company proceeds (payments) 195.4 (34.3 ) (161.1 ) — — Dividends paid to shareholders (46.0 ) — — — (46.0 ) Dividends paid to noncontrolling interests — — (2.7 ) — (2.7 ) Dividends paid — — (159.9 ) 159.9 — Acquisition of noncontrolling interest — — (3.3 ) — (3.3 ) Proceeds from shares issued under incentive plans 5.8 — — — 5.8 Repurchase of ordinary shares (85.1 ) — — — (85.1 ) Net cash provided by (used in) financing activities 22.8 (34.3 ) (344.4 ) 159.9 (196.0 ) Effect of exchange rate changes on cash and cash equivalents — — (4.8 ) — (4.8 ) Net (decrease) increase in cash and cash equivalents (2.8 ) (0.2 ) 115.7 — 112.7 Cash and cash equivalents - beginning of period 3.3 0.3 196.1 — 199.7 Cash and cash equivalents - end of period $ 0.5 $ 0.1 $ 311.8 $ — $ 312.4 Condensed and Consolidated Statement of Cash Flows For the year ended December 31, 2015 In millions Allegion plc Allegion US Holding Other Consolidating Total Net cash provided by (used in) continuing operating activities $ (23.4 ) $ 125.8 $ 416.5 $ (261.5 ) $ 257.4 Net cash used in discontinued operating activities — — (0.4 ) (0.4 ) Net cash provided by (used in) operating activities (23.4 ) 125.8 416.1 (261.5 ) 257.0 Cash flows from investing activities: Capital expenditures — — (35.2 ) — (35.2 ) Acquisition of businesses, net of cash acquired — — (511.3 ) — (511.3 ) Proceeds from sale of property, plant and equipment — — 0.3 — 0.3 Proceeds from business disposition, net of cash sold — — 0.1 — 0.1 Proceeds from sale of marketable securities — — 12.3 — 12.3 Net cash used in investing activities — — (533.8 ) — (533.8 ) Cash flows from financing activities: Net debt proceeds 263.8 — 14.5 — 278.3 Debt issuance costs (9.0 ) — — — (9.0 ) Net inter-company proceeds (payments) (200.9 ) (126.0 ) 326.9 — — Dividends paid to shareholders (38.3 ) — — — (38.3 ) Dividends paid to noncontrolling interests — — (20.0 ) — (20.0 ) Dividends paid — — (261.5 ) 261.5 — Proceeds from shares issued under incentive plans 11.0 — — — 11.0 Repurchase of ordinary shares (30.0 ) — — — (30.0 ) Other financing activities, net 3.0 — — — 3.0 Net cash (used in) provided by financing activities (0.4 ) (126.0 ) 59.9 261.5 195.0 Effect of exchange rate changes on cash and cash equivalents — — (9.0 ) — (9.0 ) Net decrease in cash and cash equivalents (23.8 ) (0.2 ) (66.8 ) — (90.8 ) Cash and cash equivalents - beginning of period 27.1 0.5 262.9 — 290.5 Cash and cash equivalents - end of period $ 3.3 $ 0.3 $ 196.1 $ — $ 199.7 |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Event [Line Items] | |
Subsequent Events [Text Block] | SUBSEQUENT EVENTS Subsequent to the year ended December 31, 2017 , the Company completed three acquisitions: Business Date Technical Glass Products, Inc. ("TGP") January 2018 Hammond Enterprises, Inc. ("Hammond") January 2018 Qatar Metal Industries LLC ("QMI") February 2018 In January 2018, the Company acquired 100% of TGP through one of its subsidiaries. TGP provides glass and framing solutions for commercial buildings, as well as non-fire rated architectural glass and framing, including channel glass systems and curtain walls throughout the United States, Canada, and select markets in the Middle East. TGP will be incorporated into the Company's Americas and EMEIA segments. In January 2018, the Company acquired 100% of the machinery, equipment, and intellectual property of a division of Hammond through one of its subsidiaries. The assets acquired will be integrated into the Company's existing production facilities and are specific to the Company's Schlage branded products. In February 2018, the Company acquired 100% of QMI through one of its subsidiaries. QMI specializes in fire rated and non-fire rated steel and wooden doors, acoustic doors, and wooden cabinets, as well as fire rated curtain wall systems and access panels in Qatar, Saudi Arabia, Bahrain, Oman, Kuwait, the United Arab Emirates, and Africa. QMI will be incorporated into the Company's EMEIA segment. Total consideration paid for these three acquisitions at closing was approximately $215 million (net of cash acquired), with additional consideration approximating $10 million to be paid subject to a retention and transition period for two of these acquisitions. Cash on hand was utilized to fund these acquisitions. Based on the preliminary allocation of the aggregate purchase price to assets acquired and liabilities assumed for these acquisitions, approximately $5 million has been allocated to net working capital, approximately $15 million to long-term tangible assets, approximately $120 million to indefinite-lived and finite intangible assets, and the remaining approximately $85 million to goodwill. Goodwill is expected to be deductible for tax purposes. Supplemental pro forma information has not been provided as the acquisitions individually and in the aggregate would not have had a material impact on consolidated pro forma results of operations in 2017 or 2016. On February 7, 2018, the Company's Board of Directors declared a quarterly dividend of $0.21 cents per ordinary share. The dividend is payable March 29, 2018 to shareholders of record on March 15, 2018. |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts Valuation and Qualifying Accounts (Notes) | 12 Months Ended |
Dec. 31, 2017 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | Allowances for Doubtful Accounts: Balance December 31, 2014 $ 3.2 Additions charged to costs and expenses 1.6 Deductions* (1.5 ) Business acquisitions and divestitures, net 0.9 Currency translation (0.4 ) Balance December 31, 2015 3.8 Additions charged to costs and expenses 0.1 Deductions* (1.1 ) Currency translation (0.1 ) Balance December 31, 2016 2.7 Additions charged to costs and expenses 0.8 Deductions* (0.9 ) Currency translation 0.2 Balance December 31, 2017 $ 2.8 (*) "Deductions" include accounts and advances written off, less recoveries. |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Principles of Consolidation: The Consolidated Financial Statements include all majority-owned subsidiaries of the Company. A noncontrolling interest in a subsidiary is considered an ownership interest in a majority-owned subsidiary that is not attributable to the parent. The Company includes noncontrolling interest as a component of Total equity in the Consolidated Balance Sheet and the Net earnings attributable to noncontrolling interests are presented as an adjustment from Net earnings used to arrive at Net earnings attributable to Allegion in the Consolidated Statement of Comprehensive Income. Partially-owned equity affiliates generally represent 20 - 50 % ownership interests in investments and where we demonstrate significant influence in investments, but do not have a controlling financial interest. Partially-owned equity affiliates are accounted for under the equity method. The Company is also required to consolidate variable interest entities in which it bears a majority of the risk to the entities’ potential losses or stands to gain from a majority of the entities’ expected returns. Transactions between the Company and Ingersoll Rand and its affiliates are herein referred to as "related party" or "affiliated" transactions. The results of operations and cash flows of all discontinued operations have been separately reported as discontinued operations. |
Use of Estimates, Policy | Use of Estimates: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period. Estimates are based on several factors including the facts and circumstances available at the time the estimates are made, historical experience, risk of loss, general economic conditions and trends, and the assessment of the probable future outcome. Some of the more significant estimates include accounting for doubtful accounts, useful lives of property, plant and equipment and intangible assets, purchase price allocations of acquired businesses, valuation of assets including goodwill and other intangible assets, product warranties, sales allowances, pension plans, postretirement benefits other than pensions, taxes, environmental costs, product liability and other contingencies. Actual results could differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of changes, if any, are reflected in the Consolidated Statement of Comprehensive Income in the period that they are determined. |
Currency Translation | Currency Translation: Assets and liabilities where the functional currency is not the U.S. dollar, have been translated at year-end exchange rates, and income and expense accounts have been translated using average exchange rates throughout the year. Adjustments resulting from the process of translating an entity’s financial statements into the U.S. dollar have been recorded in the Equity section of the Consolidated Balance Sheet within Accumulated other comprehensive loss. |
Cash and Cash Equivalents | Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, demand deposits and all highly liquid investments with original maturities at the time of purchase of three months or less. |
Inventories | Inventories : Inventories are stated at the lower of cost and net realizable value using the first-in first-out (FIFO) method. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts : The Company has provided an allowance for doubtful accounts reserve, which represents the best estimate of probable loss inherent in the Company’s accounts receivable portfolio. Changes in the financial condition of customers or other unanticipated events, which may affect their ability to make payments, could result in charges for additional allowances exceeding the Company's estimates. The Company's estimates are influenced by the following considerations: a continuing credit evaluation of our customers’ financial condition; trade accounts receivable aging; and historical loss experience. The Company reserved $ 2.8 million and $ 2.7 million for doubtful accounts as of December 31, 2017 and 2016 , respectively. |
Property, Plant and Equipment | Property, Plant and Equipment: Property, plant and equipment are stated at cost, less accumulated depreciation. Assets placed in service are recorded at cost and depreciated using the straight-line method over the estimated useful life of the asset except for leasehold improvements, which are depreciated over the shorter of their economic useful life or their lease term. The range of useful lives used to depreciate property, plant and equipment is as follows: Buildings 10 to 50 years Machinery and equipment 2 to 12 years Software 2 to 7 years Repair and maintenance costs that do not extend the useful life of the asset are charged against earnings as incurred. Major replacements and significant improvements that increase asset values and extend useful lives are capitalized. The Company assesses the recoverability of the carrying value of its property, plant and equipment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability is measured by a comparison of the carrying amount of an asset to the future net undiscounted cash flows expected to be generated by the asset. If the undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized for the amount by which the carrying value of the asset exceeds the fair value of the assets. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets: The Company records as goodwill the excess of the purchase price of an acquired business over the fair value of the net assets acquired. In accordance with GAAP, goodwill and other indefinite-lived intangible assets are tested and reviewed annually for impairment during the fourth quarter or whenever there is a significant change in events or circumstances that indicate that the fair value of the reporting unit or indefinite-lived intangible asset is more likely than not less than the carrying amount of the reporting unit or indefinite-lived intangible asset. Recoverability of goodwill is measured at the reporting unit level. The carrying amount of the reporting unit is compared to its estimated fair value. If the estimated fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired. To the extent that the carrying value of the reporting unit exceeds its estimated fair value, a goodwill impairment charge will be recognized for the amount by which the carrying value of the reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. Estimated fair value of the Company's reporting units is based on two valuation techniques, a discounted cash flow model (income approach) and a market adjusted multiple of earnings and revenues (market approach), with each method being weighted in the calculation. Recoverability of other intangible assets with indefinite useful lives (i.e. Trademarks) is determined on a relief from royalty methodology (income approach), which is based on the implied royalty paid, at an appropriate discount rate, to license the use of an asset rather than owning the asset. The present value of the after-tax cost savings (i.e. royalty relief) indicates the estimated fair value of the asset. Any excess of the carrying value over the estimated fair value is recognized as an impairment loss equal to that excess. Intangible assets such as patents, customer-related intangible assets and other intangible assets with finite useful lives are amortized on a straight-line basis over their estimated economic lives. The weighted-average useful lives approximate the following: Customer relationships 25 years Trademarks 25 years Completed technology/patents 10 years Other 25 years Recoverability of intangible assets with finite useful lives is assessed in the same manner as property, plant and equipment as described above. |
Income Taxes | Income Taxes: The calculation of the Company’s income taxes involves considerable judgment and the use of both estimates and allocations. Deferred tax assets and liabilities are determined based on temporary differences between financial reporting and tax bases of assets and liabilities, applying enacted tax rates expected to be in effect for the year in which the differences are expected to reverse. The Company recognizes future tax benefits, such as net operating losses and tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The Company regularly reviews the recoverability of its deferred tax assets considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance with respect to a future tax benefit. Cash paid for income taxes, net of refunds for the twelve months ended December 31, 2017 and 2016 was $86.7 million and $10.4 million , respectively. The 2016 net cash income taxes paid includes a refund of $46.2 million received from the Canadian Tax Authorities. |
Standard Product Warranty, Policy | Product Warranties: Standard product warranty accruals are recorded at the time of sale and are estimated based upon product warranty terms and historical experience. The Company assesses the adequacy of its liabilities and will make adjustments as necessary based on known or anticipated warranty claims, or as new information becomes available. |
Revenue Recognition | Revenue Recognition: Revenue is recognized and earned when all of the following criteria are satisfied: (a) persuasive evidence of a sales arrangement exists; (b) the price is fixed or determinable; (c) collectability is reasonably assured; and (d) delivery has occurred or service has been rendered. Delivery generally occurs when the title and the risks and rewards of ownership have transferred to the customer. Both the persuasive evidence of a sales arrangement and fixed or determinable price criteria are deemed to be satisfied upon receipt of an executed and legally binding sales agreement or contract that clearly defines the terms and conditions of the transaction including the respective obligations of the parties. If the defined terms and conditions allow variability in all or a component of the price, revenue is not recognized until such time that the price becomes fixed or determinable. At the point of sale, the Company validates the existence of an enforceable claim that requires payment within a reasonable amount of time and assesses the collectability of that claim. If collectability is not deemed to be reasonably assured, then revenue recognition is deferred until such time that collectability becomes probable or cash is received. Delivery is not considered to have occurred until the customer has taken title and assumed the risks and rewards of ownership. Service and installation revenue are recognized when earned. In some instances, customer acceptance provisions are included in sales arrangements to give the buyer the ability to ensure the delivered product or service meets the criteria established in the order. In these instances, revenue recognition is deferred until the acceptance terms specified in the arrangement are fulfilled through customer acceptance or a demonstration that established criteria have been satisfied. If uncertainty exists about customer acceptance, revenue is not recognized until acceptance has occurred. The Company offers various sales incentive programs to our customers, dealers, and distributors. Sales incentive programs do not preclude revenue recognition, but do require an accrual for the Company’s best estimate of expected activity. Examples of the sales incentives that are accrued for as a contra receivable and sales deduction at the point of sale include, but are not limited to, discounts (i.e. net 30 type), coupons, and rebates where the customer does not have to provide any additional requirements to receive the discount. Sales returns and customer disputes involving a question of quantity or price are also accounted for as a reduction in revenue and a contra receivable. At December 31, 2017 and 2016 , the Company had a customer claim accrual (contra receivable) of $32.5 million and $29.0 million , respectively. All other incentives or incentive programs where the customer is required to reach a certain level of purchases, remain a customer for a certain period, provide a rebate form or is subject to additional requirements are accounted for as a reduction of revenue and establishment of a liability. At December 31, 2017 and 2016 , the Company had a sales incentive accrual of $31.8 million and $29.6 million , respectively. Each of these accruals represents the Company’s best estimate it expects to pay related to previously sold units based on historical claim experience. These estimates are reviewed regularly for accuracy. If updated information or actual amounts are different from previous estimates, the revisions are included in the Company’s results for the period in which they become known. Historically, the aggregate differences, if any, between the Company’s estimates and actual amounts in any year have not had a material impact on the Consolidated Financial Statements. |
Regulatory Environmental Costs, Policy | Environmental Costs: The Company is subject to laws and regulations relating to protecting the environment. Environmental expenditures relating to current operations are expensed or capitalized as appropriate. Expenditures relating to existing conditions caused by past operations, which do not contribute to current or future revenues, are expensed. Liabilities for remediation costs are recorded when they are probable and can be reasonably estimated, generally no later than the completion of feasibility studies or the Company’s commitment to a plan of action. The assessment of this liability, which is calculated based on existing technology, does not reflect any offset for possible recoveries from insurance companies, and is not discounted. Refer to Note 19 for further details of environmental matters. |
Research and Development Expense, Policy | Research and Development Costs: The Company conducts research and development activities for the purpose of developing and improving new products and services. These expenditures are expensed when incurred. For the years ended December 31, 2017 , 2016 and 2015 , these expenditures amounted to approximately $ 48.3 million , $ 47.3 million and $ 45.2 million , respectively and consist of salaries, wages, benefits, building costs and other overhead expenses. |
Internal Use Software, Policy | Software Costs: The Company capitalizes certain qualified internal-use software costs during the application development stage and subsequently amortizes those costs over the software's useful life, which ranges from 2 to 7 years. |
Compensation Related Costs, Policy | Employee Benefit Plans : The Company provides a range of benefits, including pensions, postretirement and postemployment benefits to eligible current and former employees. Determining the cost associated with such benefits is dependent on various actuarial assumptions, including discount rates, expected return on plan assets, compensation increases, employee mortality, turnover rates, and healthcare cost trend rates. Actuaries perform the required calculations to determine expense in accordance with GAAP. Actual results may differ from the actuarial assumptions and are generally accumulated into Accumulated other comprehensive loss and amortized into Net earnings over future periods. The Company reviews its actuarial assumptions at each measurement date and makes modifications to the assumptions based on current rates and trends, if appropriate. Refer to Note 11 for further details on employee benefit plans. |
Loss Contingencies | Loss Contingencies: Liabilities are recorded for various contingencies arising in the normal course of business, including litigation and administrative proceedings, environmental matters, product liability, product warranty, worker’s compensation and other claims. The Company has recorded reserves in the financial statements related to these matters, which are developed using inputs derived from actuarial estimates and historical and anticipated experience data depending on the nature of the reserve and, in certain instances, with consultation of legal counsel, internal and external consultants and engineers. Subject to the uncertainties inherent in estimating future costs for these types of liabilities, the Company believes its estimated reserves are reasonable and does not believe the final determination of the liabilities with respect to these matters would have a material effect on the financial condition, results of operations, liquidity or cash flows of the Company for any year. Refer to Note 19 for further details on loss contingencies. |
Derivative Instruments | Derivative Instruments: The Company periodically enters into cash flow and other derivative transactions to specifically hedge exposure to various risks related to currency and interest rates. The Company recognizes all derivatives on the Consolidated Balance Sheets at their fair value as either assets or liabilities. For designated cash flow hedges, the effective portion of the changes in fair value of the derivative contract is recorded in Other comprehensive income (loss), net of tax, and in Net earnings at the time earnings are affected by the hedged transaction. For other derivative transactions, the changes in the fair value of the derivative contract are immediately recognized in Net earnings. Refer to Note 10 for further details on derivative instruments. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Accounting Pronouncements: In July 2015, the FASB issued ASU 2015-11, "Inventory (Topic 330): Simplifying the Measurement of Inventory." ASU 2015-11 changes the measurement principle for inventory from the lower of cost or market to the lower of cost and net realizable value. The standard defines net realizable value as estimated selling prices in the ordinary course of business less reasonably predictable costs of completion, disposal and transportation. The Company adopted the provisions of ASU 2015-11 on January 1, 2017. The adoption of ASU 2015-11 did not have a material impact on the consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, "Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory." This update addresses the income tax consequences of intra-entity transfers of assets other than inventory. Previously, GAAP prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. In addition, interpretations of this guidance have developed in practice over the years for transfers of certain intangible and tangible assets. The amendments in the update will require recognition of current and deferred income taxes resulting from an intra-entity transfer of an asset other than inventory when the transfer occurs. The Company elected to early adopt on January 1, 2017. As a result, during the first quarter of 2017, the Company recognized a cumulative effect within retained earnings of $5.0 million with an offset to other current assets and other noncurrent assets. In January 2017, the FASB issued ASU 2017-04, "Intangibles– Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment." The amended guidance simplifies the accounting for goodwill impairment for all entities by eliminating the requirement to perform a hypothetical purchase price allocation. A goodwill impairment charge will now be recognized for the amount by which the carrying value of a reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. The ASU will be effective for fiscal years beginning after December 15, 2019. Early adoption is permitted for any impairment tests after January 1, 2017. The Company elected to early adopt on October 1, 2017; however, this new standard did not impact our annual impairment test performed on goodwill as of October 1, 2017. Recently Issued Accounting Pronouncements: In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers" (ASC 606). ASC 606 is a single, comprehensive revenue recognition model for all contracts with customers. The model is based on changes in contract assets (rights to receive consideration) and liabilities (obligations to provide a good or perform a service). Revenue is recognized based on the satisfaction of performance obligations, which occurs when control of a good or service transfers to a customer. ASC 606 contains expanded disclosure requirements relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Entities may use a full retrospective approach or report the cumulative effect as of the date of adoption ("modified retrospective method"). The FASB has also issued the following standards which clarify ASU 2014-09: ASU 2017-14, Revenue Recognition, Revenue from Contracts with Customers: Amendments to SEC Paragraphs Pursuant to Staff Accounting Bulletin No. 116 and SEC Release No. 33-10403, ASU 2017-13, Revenue Recognition, Revenue from Contracts with Customers: Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments, ASU 2016-20, Revenue from Contracts with Customers: Technical Corrections and Improvements, ASU 2016-12, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients and ASU 2016-10, Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing. The Company adopted each of these standards on January 1, 2018 on a modified retrospective basis. The Company has completed an assessment of the new standard’s impact and determined the new standards will not have a material impact on the Company's consolidated statements of comprehensive income, balance sheets or statements of cash flows. The Company will expand the consolidated financial statement disclosures in order to comply with ASU 2014-09 starting in our first quarter 10-Q of 2018. The expanded disclosure will present in a tabular format the split by business segment between 1) product and service revenue, and 2) products transferred at a point in time and services transferred over time. In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)." ASU 2016-02 requires the identification of arrangements that should be accounted for as leases by lessees. In general, for lease arrangements exceeding a twelve month term, these arrangements will be recognized as assets and liabilities on the balance sheet of the lessee. Under ASU 2016-02, a right-of-use asset and lease obligation will be recorded for all leases, whether operating or financing, while the income statement will reflect lease expense for operating leases and amortization/interest expense for financing leases. The ASU is effective for annual periods beginning after December 15, 2018, and interim periods within those annual periods. Early adoption is permitted. ASU 2016-02 is required to be applied with a modified retrospective approach to each prior reporting period presented with various optional practical expedients. The Company is continuing to assess what impact ASU 2016-02 will have on the consolidated financial statements; however, the Company anticipates that this adoption will result in a significant gross-up of assets and liabilities on its consolidated balance sheets and will require changes to its systems and processes. In June 2016, the FASB issued ASU 2016-13, "Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments." The new guidance introduces an approach based on expected losses to estimate credit losses on certain types of financial instruments. The ASU will be effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. The Company is assessing what impact ASU 2016-13 will have on the consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, "Statement of Cash Flows (Topic 230): Clarification of Certain Cash Receipts and Cash Payments." ASU 2016-15 eliminates the diversity in practice related to the classification of certain cash receipts and payments in the statement of cash flows, by adding or clarifying guidance on eight specific cash flow issues. The ASU will be effective for annual and interim reporting periods beginning after December 15, 2017, and as such, the Company adopted ASU 2016-15 on January 1, 2018. The amendments in this update will be applied retrospectively to all periods presented, beginning in 2018, unless deemed impracticable, in which case, prospective application is permitted. The Company does not expect the adoption of this standard to have a material impact on the consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-01, "Business Combinations (Topic 805): Clarifying the Definition of a Business." This update provides guidance to assist companies in evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The update provides a more robust framework to use in determining when a set of transferred assets and activities is a business. This ASU is effective for annual and interim reporting periods beginning after December 15, 2017, and requires prospective adoption. The Company adopted ASU 2017-01 on January 1, 2018. The Company does not expect the adoption of this standard to have a material impact on the consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, "Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost." ASU 2017-07 requires that an employer report the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the statement of comprehensive income separately from the service cost component and outside a subtotal of operating income. ASU 2017-07 also allows only the service cost component to be eligible for capitalization when applicable (for example, as a cost of internally manufactured inventory or a self-constructed asset). The ASU is effective for annual periods beginning after December 15, 2017, and as such, the Company adopted ASU 2017-07 on January 1, 2018. The ASU will be applied retrospectively for the presentation of the service cost component and the other components of net periodic pension cost and net periodic postretirement benefit cost in the consolidated statement of comprehensive income and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic pension cost and net periodic postretirement benefit in assets. The amendments allow a practical expedient that permits an employer to use the amounts disclosed in its pension and other postretirement benefit plan note for the prior comparative periods as the estimation basis for applying the retrospective presentation requirements. The Company intends to apply these practical expedients for prior period presentation. The Company does not believe the adoption of the new standard will have a material impact on the Company's consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." ASU 2017-12 addresses previous limitations on how an entity can designate the hedged risk in certain cash flow and fair value hedging relationships by expanding and refining hedge accounting for both nonfinancial and financial risk components and aligning the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. The ASU is effective for annual periods beginning after December 15, 2018, with early adoption permitted. The Company elected to early adopt the provisions of ASU 2017-12 on January 1, 2018. The amendments in this update will be applied to hedging relationships existing on the date of adoption. Presentation and disclosure amendments will be applied prospectively. The adoption of ASU 2017-12 is not expected to have a material impact on the Company's consolidated financial statements. |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Schedule of Depreciation Range of Useful Lives | The range of useful lives used to depreciate property, plant and equipment is as follows: Buildings 10 to 50 years Machinery and equipment 2 to 12 years Software 2 to 7 years At December 31, the major classes of property, plant and equipment were as follows: In millions 2017 2016 Land $ 16.0 $ 14.5 Buildings 142.2 127.6 Machinery and equipment 383.9 353.6 Software 141.4 126.5 Construction in progress 24.4 18.2 707.9 640.4 Accumulated depreciation (455.7 ) (413.8 ) Total $ 252.2 $ 226.6 |
Schedule of Intangible Assets Weighted Average Useful Lives | The weighted-average useful lives approximate the following: Customer relationships 25 years Trademarks 25 years Completed technology/patents 10 years Other 25 years |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventory [Line Items] | |
Schedule of Inventory, Current [Table Text Block] | At December 31, the major classes of inventory were as follows: In millions 2017 2016 Raw materials $ 66.6 $ 56.7 Work-in-process 29.8 23.6 Finished goods 143.4 140.3 Total $ 239.8 $ 220.6 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Major Classes of Property, Plant and Equipment | The range of useful lives used to depreciate property, plant and equipment is as follows: Buildings 10 to 50 years Machinery and equipment 2 to 12 years Software 2 to 7 years At December 31, the major classes of property, plant and equipment were as follows: In millions 2017 2016 Land $ 16.0 $ 14.5 Buildings 142.2 127.6 Machinery and equipment 383.9 353.6 Software 141.4 126.5 Construction in progress 24.4 18.2 707.9 640.4 Accumulated depreciation (455.7 ) (413.8 ) Total $ 252.2 $ 226.6 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill Abstract | |
Changes in Goodwill Carrying Amounts | The changes in the carrying amount of Goodwill are as follows: In millions Americas EMEIA Asia Pacific Total December 31, 2015 (gross) $ 372.8 $ 733.4 $ 93.4 $ 1,199.6 Accumulated impairment * — (478.6 ) (6.9 ) (485.5 ) December 31, 2015 (net) 372.8 254.8 86.5 714.1 Acquisitions — 12.5 3.3 15.8 Currency translation 0.1 (9.8 ) (3.4 ) (13.1 ) December 31, 2016 (net) 372.9 257.5 86.4 716.8 Acquisitions and settlements 2.3 (1.6 ) 1.3 2.0 Currency translation — 35.3 7.1 42.4 December 31, 2017 (net) $ 375.2 $ 291.2 $ 94.8 $ 761.2 * Accumulated impairment consists of charges of $137.6 million (EMEIA), $341.0 million (EMEIA) and $6.9 million (Asia Pacific). |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Intangible Assets Abstract | |
Schedule Of Intangible Asset Excluding Goodwill [Table Text Block] | The following table sets forth the gross amount and related accumulated amortization of the Company’s intangible assets at December 31: 2017 2016 In millions Gross carrying amount Accumulated amortization Net carrying amount Gross carrying amount Accumulated amortization Net carrying amount Completed technologies/patents $ 32.6 $ (10.0 ) $ 22.6 $ 48.0 $ (25.3 ) $ 22.7 Customer relationships 324.5 (74.1 ) 250.4 278.9 (51.6 ) 227.3 Trademarks (finite-lived) 89.0 (46.1 ) 42.9 78.5 (37.3 ) 41.2 Other 7.9 (4.9 ) 3.0 11.0 (9.4 ) 1.6 Total finite-lived intangible assets 454.0 $ (135.1 ) 318.9 416.4 $ (123.6 ) 292.8 Trademarks (indefinite-lived) 75.4 75.4 64.6 64.6 Total $ 529.4 $ 394.3 $ 481.0 $ 357.4 |
Debt and Credit Facilities (Tab
Debt and Credit Facilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | Our scheduled principal repayments on indebtedness as of December 31, 2017 are as follows: In millions 2018 $ 35.0 2019 35.0 2020 35.0 2021 70.0 2022 516.3 Thereafter 801.0 Total $ 1,492.3 |
Short-Term Borrowings and Current Maturities of Long-Term Debt | : In millions 2017 2016 Term Loan A Facility $ — $ 879.8 Term Facility 691.3 — Revolving Facility — — 5.750% Senior Notes due 2021 — 300.0 5.875% Senior Notes due 2023 — 300.0 3.200% Senior Notes due 2024 400.0 — 3.550% Senior Notes due 2027 400.0 — Other debt 1.0 2.3 Total borrowings outstanding 1,492.3 1,482.1 Less discounts and debt issuance costs, net (15.0 ) (18.3 ) Total debt 1,477.3 1,463.8 Less current portion of long term debt 35.0 48.2 Total long-term debt $ 1,442.3 $ 1,415.6 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments Abstract | |
Schedule of the Fair Values of Derivative Instruments | The fair values of derivative instruments included within the Consolidated Balance Sheets as of December 31 were as follows: Asset derivatives Liability derivatives In millions 2017 2016 2017 2016 Derivatives designated as hedges: Currency derivatives $ 0.2 $ 0.7 $ 0.3 $ 0.1 Interest rate swaps 5.3 4.6 — 0.4 Derivatives not designated as hedges: Currency derivatives — 0.3 0.4 0.2 Total derivatives $ 5.5 $ 5.6 $ 0.7 $ 0.7 |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The amounts associated with derivatives designated as hedges affecting Net earnings and Accumulated other comprehensive loss for the years ended December 31 were as follows: Amount of gain (loss) recognized in AOCI Location of gain (loss) reclassified from AOCI and recognized into Net earnings Amount of gain (loss) reclassified from AOCI and recognized into Net earnings In millions 2017 2016 2015 2017 2016 2015 Currency derivatives $ 4.0 $ 4.2 $ 6.6 Cost of goods sold $ 4.7 $ 5.4 $ 6.5 Interest rate swaps 1.2 5.4 (0.3 ) Interest expense (0.3 ) — — Total $ 5.2 $ 9.6 $ 6.3 $ 4.4 $ 5.4 $ 6.5 |
Pensions and Postretirement B37
Pensions and Postretirement Benefits Other than Pensions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Pension Plans [Member] | |
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block] | Information regarding pension plans with accumulated benefit obligations more than plan assets were: U.S. NON-U.S. In millions 2017 2016 2017 2016 Projected benefit obligation $ 317.5 $ 286.9 $ 34.4 $ 30.2 Accumulated benefit obligation 304.9 272.5 29.5 25.9 Fair value of plan assets $ 283.2 $ 202.4 $ 7.9 $ 6.8 |
Schedule of Changes in Projected Benefit Obligations [Table Text Block] | The following table details information regarding the Company’s pension plans at December 31: U.S. NON-U.S. In millions 2017 2016 2017 2016 Change in benefit obligations: Benefit obligation at beginning of year $ 286.9 $ 280.7 $ 380.5 $ 371.7 Service cost 8.7 9.4 3.3 3.1 Interest cost 10.5 9.8 8.9 10.7 Employee contributions — — 0.3 0.3 Actuarial losses (gains) 17.5 1.6 (15.4 ) 80.8 Benefits paid (12.4 ) (12.6 ) (13.7 ) (18.7 ) Foreign exchange rate changes — — 34.3 (63.5 ) Curtailments and settlements — — (0.9 ) (1.8 ) Acquisitions 7.3 — — — Other, including expenses paid (1.0 ) (2.0 ) (1.0 ) (2.1 ) Benefit obligation at end of year $ 317.5 $ 286.9 $ 396.3 $ 380.5 Change in plan assets: Fair value at beginning of year $ 202.4 $ 192.7 $ 353.4 $ 340.4 Actual return on plan assets 31.9 16.4 22.3 90.3 Company contributions 55.7 7.9 5.2 6.0 Employee contributions — — 0.3 0.3 Benefits paid (12.4 ) (12.6 ) (13.7 ) (18.7 ) Foreign exchange rate changes — — 33.7 (61.0 ) Settlements — — (0.9 ) (1.8 ) Acquisitions 6.5 — — — Other, including expenses paid (0.9 ) (2.0 ) (1.9 ) (2.1 ) Fair value of assets end of year $ 283.2 $ 202.4 $ 398.4 $ 353.4 Funded status: Plan assets (less than) over benefit obligations $ (34.3 ) $ (84.5 ) $ 2.1 $ (27.1 ) Amounts included in the balance sheet: Other noncurrent assets $ — $ — $ 28.5 $ — Accrued compensation and benefits (0.2 ) (0.1 ) (1.3 ) (1.5 ) Postemployment and other benefit liabilities (34.1 ) (84.4 ) (25.1 ) (25.6 ) Net amount recognized $ (34.3 ) $ (84.5 ) $ 2.1 $ (27.1 ) |
Schedule of Comprehensive Income (Loss) [Table Text Block] | The pretax amounts recognized in Accumulated other comprehensive loss were as follows: U.S. In millions Prior service cost Net actuarial losses Total December 31, 2015 $ (2.8 ) $ (88.9 ) $ (91.7 ) Current year changes recorded to Accumulated other comprehensive loss — 4.5 4.5 Amortization reclassified to earnings 0.7 4.7 5.4 December 31, 2016 $ (2.1 ) $ (79.7 ) $ (81.8 ) Current year changes recorded to Accumulated other comprehensive loss — 2.4 2.4 Amortization reclassified to earnings 0.3 4.8 5.1 December 31, 2017 $ (1.8 ) $ (72.5 ) $ (74.3 ) NON-U.S. In millions Prior service cost Net actuarial losses Total December 31, 2015 $ — $ (92.2 ) $ (92.2 ) Current year changes recorded to Accumulated other comprehensive loss — (4.3 ) (4.3 ) Amortization reclassified to earnings — 2.2 2.2 Settlements/curtailments reclassified to earnings — 0.3 0.3 Currency translation and other — 14.4 14.4 December 31, 2016 $ — $ (79.6 ) $ (79.6 ) Current year changes recorded to Accumulated other comprehensive loss — 23.3 23.3 Amortization reclassified to earnings — 1.8 1.8 Settlements/curtailments reclassified to earnings — 0.1 0.1 Currency translation and other 0.1 (6.2 ) (6.1 ) December 31, 2017 $ 0.1 $ (60.6 ) $ (60.5 ) |
Schedule of Assumptions Used [Table Text Block] | Benefit obligations at December 31, 2017 2016 Discount rate: U.S. plans 3.6 % 4.1 % Non-U.S. plans 2.5 % 2.6 % Rate of compensation increase: U.S. plans 3.0 % 3.5 % Non-U.S. plans 3.2 % 3.2 % |
Schedule of Expected Benefit Payments [Table Text Block] | Future pension benefit payments are expected to be paid as follows: In millions U.S. NON-U.S. 2018 $ 16.3 $ 16.0 2019 16.6 16.3 2020 23.6 17.0 2021 18.7 17.8 2022 19.1 18.3 2023 - 2027 $ 111.7 $ 102.3 |
Schedule of Net Benefit Costs [Table Text Block] | The components of the Company’s net periodic pension benefit costs for the years ended December 31 include the following: U.S. In millions 2017 2016 2015 Service cost $ 8.7 $ 9.4 $ 9.5 Interest cost 10.5 9.8 11.0 Expected return on plan assets (12.0 ) (10.2 ) (11.2 ) Net amortization of: Prior service costs 0.3 0.7 0.7 Plan net actuarial losses 4.8 4.7 4.9 Net periodic pension benefit cost 12.3 14.4 14.9 Net curtailment and settlement losses — — 0.9 Net periodic pension benefit cost after net curtailment and settlement losses $ 12.3 $ 14.4 $ 15.8 NON-U.S. In millions 2017 2016 2015 Service cost $ 3.3 $ 3.1 $ 3.3 Interest cost 8.9 10.7 13.7 Expected return on plan assets (14.3 ) (13.7 ) (17.8 ) Other adjustments 0.7 — — Net amortization of: Plan net actuarial losses 1.9 2.2 1.4 Net periodic pension benefit cost 0.5 2.3 0.6 Net curtailment and settlement losses 0.1 0.3 0.2 Net periodic pension benefit cost after net curtailment and settlement losses $ 0.6 $ 2.6 $ 0.8 |
Pension Costs [Member] | |
Schedule of Assumptions Used [Table Text Block] | Weighted-average assumptions used: Net periodic pension cost for the year ended December 31, 2017 2016 2015 Discount rate: U.S. plans 4.1 % 4.3 % 4.0 % Non-U.S. plans 2.6 % 3.7 % 3.7 % Rate of compensation increase: U.S. plans 3.5 % 3.5 % 3.5 % Non-U.S. plans 3.2 % 3.0 % 2.9 % Expected return on plan assets: U.S. plans 4.8 % 5.5 % 5.5 % Non-U.S. plans 4.0 % 4.5 % 5.0 % |
United States Pension Plan of US Entity [Member] | |
Schedule of Allocation of Plan Assets [Table Text Block] | The fair values of the Company’s U.S. pension plan assets at December 31, 2017 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Assets measured at NAV Cash, cash equivalents, and short term investments $ — $ 3.2 $ — $ — $ 3.2 Equity mutual funds — — — 70.9 70.9 Fixed income investments: U.S. government and agency obligations — 83.6 — — 83.6 Corporate and non-U.S. bonds (a) — 111.3 — 12.8 124.1 — 194.9 — 12.8 207.7 Total assets at fair value $ — $ 198.1 $ — $ 83.7 $ 281.8 Receivables and payables, net 1.4 Net assets available for benefits $ 283.2 (a) Includes state and municipal bonds. No material transfers in or out of Level 3 occurred during the year ended December 31, 2017. The fair values of the Company’s U.S. pension plan assets at December 31, 2016 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Assets measured at NAV Cash, cash equivalents, and short term investments $ — $ 5.6 $ — $ — $ 5.6 Equity mutual funds — — — 62.9 62.9 Fixed income investments: U.S. government and agency obligations — 55.2 — — 55.2 Corporate and non-U.S. bonds (a) — 77.6 — — 77.6 — 132.8 — — 132.8 Total assets at fair value $ — $ 138.4 $ — $ 62.9 $ 201.3 Receivables and payables, net 1.1 Net assets available for benefits $ 202.4 (a) Includes state and municipal bonds. |
Foreign Pension Plan [Member] | |
Schedule of Allocation of Plan Assets [Table Text Block] | The fair values of the Company’s non-U.S. pension plan assets at December 31, 2017 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Assets measured at NAV Cash and cash equivalents $ 36.7 $ — $ — — $ 36.7 Equity mutual funds — 2.0 — 103.1 105.1 Corporate and non-U.S. bonds — 176.9 — — 176.9 Real estate — — 0.8 — 0.8 Other (a) — 46.7 2.3 29.9 78.9 Total assets at fair value $ 36.7 $ 225.6 $ 3.1 $ 133.0 $ 398.4 (a) Primarily includes insurance contracts, mortgage-backed securities, and derivative contracts. No material transfers in or out of Level 3 occurred during the year ended December 31, 2017. The fair values of the Company’s non-U.S. pension plan assets at December 31, 2016 by asset category are as follows: Fair value measurements Total fair value In millions Level 1 Level 2 Level 3 Cash and cash equivalents $ 58.9 $ — $ — $ 58.9 Equity mutual funds — 107.2 — 107.2 Corporate and non-U.S. bonds — 110.8 — 110.8 Real estate (a) — 9.7 0.7 10.4 Other (b) — 64.1 2.0 66.1 Total assets at fair value $ 58.9 $ 291.8 $ 2.7 $ 353.4 (a) Includes several private equity funds that invest in real estate. It includes both direct investment funds and funds-of-funds. (b) Primarily includes insurance contracts. |
Postretirement [Member] | |
Schedule of Changes in Projected Benefit Obligations [Table Text Block] | The following table details information regarding the Company’s postretirement plans at December 31: In millions 2017 2016 Change in benefit obligations: Benefit obligation at beginning of year $ 9.7 $ 12.9 Service cost 0.1 0.1 Interest cost 0.3 0.4 Actuarial gains 0.1 (2.9 ) Benefits paid, net of Medicare Part D subsidy (0.9 ) (0.8 ) Benefit obligations at end of year $ 9.3 $ 9.7 |
Schedule of Comprehensive Income (Loss) [Table Text Block] | The pretax amounts recognized in Accumulated other comprehensive loss were as follows: In millions Prior service gains Net actuarial losses Total December 31, 2015 $ 3.9 $ (1.2 ) $ 2.7 Current year changes recorded to Accumulated other comprehensive loss — 2.9 2.9 Amortization reclassified to earnings (1.6 ) — (1.6 ) Balance at December 31, 2016 $ 2.3 $ 1.7 $ 4.0 Current year changes recorded to Accumulated other comprehensive loss — (0.2 ) (0.2 ) Amortization reclassified to earnings (1.7 ) — (1.7 ) Balance at December 31, 2017 $ 0.6 $ 1.5 $ 2.1 |
Schedule of Assumptions Used [Table Text Block] | Assumptions: 2017 2016 2015 Weighted-average discount rate assumption to determine: Benefit obligations at December 31 3.3 % 3.5 % 3.5 % Net periodic benefit cost 3.5 % 3.5 % 3.5 % |
Schedule of Expected Benefit Payments [Table Text Block] | Benefit payments for postretirement benefits, which are net of expected plan participant contributions and Medicare Part D subsidy, are expected to be paid as follows: In millions 2018 $ 0.9 2019 1.0 2020 0.9 2021 0.9 2022 0.8 2023 - 2027 $ 3.5 |
Schedule of Net Funded Status [Table Text Block] | Funded status: Plan assets less than benefit obligations $ (9.3 ) $ (9.7 ) Amounts included in the balance sheet: Accrued compensation and benefits (0.9 ) (0.9 ) Postemployment and other benefit liabilities (8.4 ) (8.8 ) Total $ (9.3 ) $ (9.7 ) |
Schedule of Costs of Retirement Plans [Table Text Block] | The components of net periodic postretirement benefit cost (income) for the years ended December 31 were as follows: In millions 2017 2016 2015 Service cost $ 0.1 $ 0.1 $ 0.1 Interest cost 0.3 0.4 0.5 Net amortization of: Prior service gains (1.7 ) (1.6 ) (1.6 ) Net actuarial losses (0.1 ) — — Net periodic postretirement benefit income $ (1.4 ) $ (1.1 ) $ (1.0 ) |
Schedule of Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates [Table Text Block] | 1% change in the medical trend rate assumed for postretirement benefits would have no effect on the postretirement benefit obligation as the Company has capped the annual maximum amount it will pay for retiree healthcare costs, therefore any additional costs would be assumed by the retiree. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value Measurement Abstract | ||
Fair Value of Assets Measured on a Recurring Basis | Assets and liabilities measured at fair value at December 31, 2017 are as follows: Fair value measurements Total In millions Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Assets: Interest rate swaps $ — $ 5.3 $ — $ 5.3 Foreign currency contracts — 0.2 — 0.2 Total asset recurring fair value measurements $ — $ 5.5 $ — $ 5.5 Liabilities: Foreign currency contracts $ — $ 0.7 $ — $ 0.7 Deferred compensation plans — 20.9 — 20.9 Total liability recurring fair value measurements $ — $ 21.6 $ — $ 21.6 Financial instruments not carried at fair value: Total debt $ — $ 1,485.2 $ — $ 1,485.2 Total financial instruments not carried at fair value $ — $ 1,485.2 $ — $ 1,485.2 | Assets and liabilities measured at fair value at December 31, 2016 are as follows: Fair value measurements Total In millions Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Assets: Interest rate swaps $ — $ 4.6 $ — $ 4.6 Foreign currency contracts — 1.0 — 1.0 Total asset recurring fair value measurements $ — $ 5.6 $ — $ 5.6 Liabilities: Foreign currency contracts $ — $ 0.3 $ — $ 0.3 Interest rate swaps — 0.4 — 0.4 Deferred compensation plans — 16.8 — 16.8 Total liability recurring fair value measurements $ — $ 17.5 $ — $ 17.5 Financial instruments not carried at fair value: Total debt $ — $ 1,510.6 $ — $ 1,510.6 Total financial instruments not carried at fair value $ — $ 1,510.6 $ — $ 1,510.6 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Reconciliation of ordinary shares | The reconciliation of Ordinary shares is as follows: In millions Total December 31, 2016 95.3 Shares issued under incentive plans 0.6 Repurchase of ordinary shares (0.8 ) December 31, 2017 95.1 |
Components of Accumulated Other Comprehensive Income (Loss) | The changes in Accumulated other comprehensive income (loss) are as follows: In millions Cash flow hedges and marketable securities Pension and OPEB Items Foreign Currency Items Total December 31, 2014 $ 15.7 $ (116.1 ) $ (47.8 ) $ (148.2 ) Other comprehensive loss, net of tax (1.7 ) (23.2 ) (59.1 ) (84.0 ) December 31, 2015 $ 14.0 $ (139.3 ) $ (106.9 ) $ (232.2 ) Other comprehensive (loss) income, net of tax (10.6 ) 18.8 (40.3 ) (32.1 ) December 31, 2016 $ 3.4 $ (120.5 ) $ (147.2 ) $ (264.3 ) Other comprehensive income (loss), net of tax 0.4 19.3 98.1 117.8 Other (a) — (6.4 ) — (6.4 ) December 31, 2017 $ 3.8 $ (107.6 ) $ (49.1 ) $ (152.9 ) |
Other Comprehensive Income, Noncontrolling Interest [Text Block] | The amounts of Other comprehensive income (loss) attributable to noncontrolling interests are as follows: In millions 2017 2016 2015 Foreign currency items $ (0.6 ) $ (0.4 ) $ (1.4 ) Total other comprehensive loss attributable to noncontrolling interests $ (0.6 ) $ (0.4 ) $ (1.4 ) |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block] | The following table summarizes the expenses recognized for the years ended December 31: In millions 2017 2016 2015 Stock options $ 3.3 $ 4.1 $ 3.7 RSUs 7.0 7.7 5.8 PSUs 5.8 4.8 5.0 Deferred compensation 2.8 0.8 0.3 Pre-tax expense 18.9 17.4 14.8 Tax benefit (6.4 ) (5.6 ) (4.4 ) Total $ 12.5 $ 11.8 $ 10.4 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The weighted average assumptions used were the following: 2017 2016 2015 Dividend yield 0.89 % 0.83 % 0.69 % Volatility 24.93 % 28.85 % 31.37 % Risk-free rate of return 2.08 % 1.38 % 1.78 % Expected life 6.0 years 6.0 years 6.0 years |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Changes in options outstanding under the plans for the years ended December 31, 2017 , 2016 and 2015 are as follows: Shares subject to option Weighted- average exercise price (a) Aggregate intrinsic value (millions) Weighted- average remaining life (years) December 31, 2014 1,962,028 $ 28.11 Granted 220,679 57.85 Exercised (575,564 ) 22.98 Canceled (14,976 ) 47.28 December 31, 2015 1,592,167 33.91 Granted 231,521 57.91 Exercised (447,019 ) 26.04 Canceled (63,599 ) 53.40 December 31, 2016 1,313,070 39.87 Granted 165,113 71.84 Exercised (410,397 ) 31.54 Canceled (15,906 ) 60.84 Outstanding December 31, 2017 1,051,880 $ 47.80 $ 33.4 6.0 Exercisable December 31, 2017 696,929 $ 39.46 $ 27.9 4.8 (a) The weighted average exercise price of awards represents the exercise price of the awards on the grant date converted to ordinary shares of the Company. |
Schedule of Share-based Compensation, Activity [Table Text Block] | The following table summarizes information concerning currently outstanding and exercisable options: Options outstanding Options exercisable Range of exercise price Number Weighted- average remaining life (years) Weighted- average exercise price Number Weighted- average remaining life (years) Weighted- average exercise price $ 10.01 — $ 20.00 88,965 1.5 $ 15.17 88,965 1.5 $ 15.17 20.01 — 30.00 149,055 2.6 26.62 149,055 2.6 26.62 30.01 — 40.00 82,043 4.7 32.33 82,043 4.7 32.33 40.01 — 50.00 128,503 6.0 43.37 128,503 6.0 43.37 50.01 — 60.00 442,663 7.1 56.92 248,295 6.7 56.19 60.01 — 70.00 421 8.8 63.93 — — — 70.01 — 80.00 160,230 9.0 71.84 68 2.7 71.35 1,051,880 6.0 $ 47.80 696,929 4.8 $ 39.46 |
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | The following table summarizes RSU activity for the years ended December 31, 2017 , 2016 and 2015 : RSUs Weighted- average grant date fair value (a) Outstanding and unvested at December 31, 2014 325,160 $ 42.15 Granted 121,153 59.69 Vested (92,029 ) 36.63 Canceled (9,354 ) 49.32 Outstanding and unvested at December 31, 2015 344,930 49.59 Granted 123,299 59.49 Vested (220,854 ) 45.83 Canceled (41,741 ) 52.40 Outstanding and unvested at December 31, 2016 205,634 58.99 Granted 124,933 73.76 Vested (90,523 ) 58.78 Canceled (10,038 ) 60.47 Outstanding and unvested at December 31, 2017 230,006 $ 66.83 (a) The weighted average grant date fair value represents the fair value of the awards on the grant date converted to ordinary shares of the Company. |
Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Share-based Compensation, Performance Shares [Table Text Block] | The following table summarizes PSU activity for the maximum number of shares that may be issued for the years ended December 31, 2017 , 2016 and 2015 : PSUs Weighted-average grant date fair value (a) Outstanding and unvested at December 31, 2014 161,132 $ 57.39 Granted 58,323 66.47 Vested (17,327 ) 75.05 Forfeited (85 ) 75.05 Outstanding and unvested at December 31, 2015 202,043 64.92 Granted 94,201 64.83 Vested (64,979 ) 72.69 Forfeited (21,661 ) 57.07 Outstanding and unvested at December 31, 2016 209,604 56.02 Granted 99,832 78.13 Vested (146,830 ) 72.01 Forfeited (1,783 ) 67.10 Outstanding and unvested at December 31, 2017 160,823 $ 55.02 (a) The weighted average grant date fair value represents the fair value of the awards on the grant date converted to ordinary shares of the Company. |
Restructuring Activities (Table
Restructuring Activities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | |
Schedule of Restructuring Charges Recorded | Restructuring charges recorded during the years ended December 31 as part of restructuring plans were as follows: In millions 2017 2016 2015 Americas $ 5.5 $ 2.0 $ — EMEIA 6.2 0.9 14.7 Asia Pacific — 0.2 0.4 Corporate and Other 0.6 — — Total $ 12.3 $ 3.1 $ 15.1 Cost of goods sold $ 5.8 $ 0.9 $ 13.6 Selling and administrative expenses 6.5 2.2 1.5 Total $ 12.3 $ 3.1 $ 15.1 |
Schedule of Changes in Restructuring Reserve | The changes in the restructuring reserve during the years ended December 31, 2017 and 2016 were as follows: In millions Americas EMEIA Asia Pacific Corporate/Other Total December 31, 2015 $ — $ 10.0 $ 0.2 $ — $ 10.2 Additions 2.0 0.9 0.2 — 3.1 Cash and non-cash uses (1.7 ) (7.5 ) (0.4 ) — (9.6 ) Currency translation — (0.2 ) — — (0.2 ) December 31, 2016 0.3 3.2 — — 3.5 Additions 5.5 6.2 — 0.6 12.3 Cash and non-cash uses (5.5 ) (5.8 ) — (0.5 ) (11.8 ) Currency translation — 0.2 — — 0.2 December 31, 2017 $ 0.3 $ 3.8 $ — $ 0.1 $ 4.2 |
Other, Net (Tables)
Other, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Net [Abstract] | |
Other, Net | At December 31, the components of Other income, net were as follows: In millions 2017 2016 2015 Interest income $ (1.2 ) $ (1.9 ) $ (1.5 ) Exchange loss 0.7 2.0 4.9 (Earnings) loss from and (gains) on the sale of equity investments (5.4 ) (3.6 ) 0.3 Other (7.3 ) (14.7 ) (11.5 ) Other income, net $ (13.2 ) $ (18.2 ) $ (7.8 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Expense (Benefit), Continuing Operations [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | Earnings before income taxes for the years ended December 31 were taxed within the following jurisdictions: In millions 2017 2016 2015 United States $ 166.5 $ 129.9 $ 123.1 Non-U.S. 229.2 165.1 86.2 Total $ 395.7 $ 295.0 $ 209.3 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The components of the Provision for income taxes for the years ended December 31 were as follows: In millions 2017 2016 2015 Current tax expense: United States $ 78.8 $ 43.8 $ 53.4 Non-U.S. 15.0 13.8 3.5 Total: 93.8 57.6 56.9 Deferred tax expense (benefit): United States 41.2 14.4 2.1 Non-U.S. (16.0 ) (8.2 ) (4.4 ) Total: 25.2 6.2 (2.3 ) Total tax expense (benefit): United States 120.0 58.2 55.5 Non-U.S. (1.0 ) 5.6 (0.9 ) Total $ 119.0 $ 63.8 $ 54.6 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The Provision for income taxes differs from the amount of income taxes determined by applying the applicable U.S. statutory income tax rate to pretax income, as a result of the following differences: Percent of pretax income 2017 2016 2015 Statutory U.S. rate 35.0 % 35.0 % 35.0 % Increase (decrease) in rates resulting from: Non-U.S. tax rate differential (1) (20.0 ) (17.4 ) (11.1 ) State and local income taxes (1) 1.8 2.0 2.8 Reserves for uncertain tax positions 0.8 2.0 (3.4 ) Tax on unremitted earnings 0.8 1.2 1.5 Tax Reform Act 13.5 — — Venezuela devaluation — — 0.9 Production incentives (0.9 ) (0.6 ) (1.0 ) Other adjustments (0.9 ) (0.6 ) 1.4 Effective tax rate 30.1 % 21.6 % 26.1 % (1) Net of changes in valuation allowances |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | At December 31, a summary of the deferred tax accounts were as follows: In millions 2017 2016 Deferred tax assets: Inventory and accounts receivable $ 17.0 $ 18.3 Fixed assets and intangibles 2.6 2.0 Postemployment and other benefit liabilities 29.9 42.0 Other reserves and accruals 12.5 16.0 Net operating losses, tax credits and other carryforwards 309.5 227.1 Other 4.2 5.3 Gross deferred tax assets 375.7 310.7 Less: deferred tax valuation allowances (312.9 ) (225.5 ) Deferred tax assets net of valuation allowances $ 62.8 $ 85.2 Deferred tax liabilities: Fixed assets and intangibles $ (101.7 ) $ (90.6 ) Postemployment and other benefit liabilities (4.7 ) — Unremitted earnings of foreign subsidiaries (6.0 ) (4.2 ) Other (7.4 ) (6.0 ) Gross deferred tax liabilities (119.8 ) (100.8 ) Net deferred tax liabilities $ (57.0 ) $ (15.6 ) |
Summary of Tax Credit Carryforwards [Table Text Block] | At December 31, 2017 , the Company had the following tax losses and tax credit carryforwards available to offset taxable income in prior and future years: In millions Amount Expiration Period U.S. Federal tax loss carryforwards $ 15.1 2027 & 2028 U.S. Federal and State credit carryforwards 22.2 2024-2027 U.S. State tax loss carryforwards 29.6 2018-2037 Non-U.S. tax loss carryforwards $ 1,013.0 2018-Unlimited |
Summary of Valuation Allowance | Activity associated with the Company’s valuation allowance is as follows: In millions 2017 2016 2015 Beginning balance $ 225.5 $ 133.3 $ 50.8 Increase to valuation allowance 96.9 109.0 82.2 Decrease to valuation allowance (11.9 ) (13.9 ) (3.0 ) Foreign exchange translation 2.4 (3.3 ) (1.6 ) Accumulated other comprehensive income (loss) — 0.4 4.9 Ending balance $ 312.9 $ 225.5 $ 133.3 |
Summary of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: In millions 2017 2016 2015 Beginning balance $ 32.0 $ 23.8 $ 25.4 Additions based on tax positions related to the current year 6.4 9.1 3.9 Additions based on tax positions related to prior years 1.6 7.1 1.6 Reductions based on tax positions related to prior years (5.0 ) (5.5 ) (3.0 ) Reductions related to settlements with tax authorities (7.1 ) (0.6 ) — Reductions related to lapses of statute of limitations (1.2 ) (0.9 ) (1.4 ) Translation loss/(gain) 2.3 (1.0 ) (2.7 ) Ending balance $ 29.0 $ 32.0 $ 23.8 |
Earnings Per Share (EPS) (Table
Earnings Per Share (EPS) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Weighted-Average Number of Ordinary Shares Outstanding for Basic and Diluted Earnings Per Share Calculations | The following table summarizes the weighted-average number of ordinary shares outstanding for basic and diluted earnings per share calculations. In millions 2017 2016 2015 Weighted-average number of basic shares 95.1 95.8 95.9 Shares issuable under incentive stock plans 0.9 1.1 1.0 Weighted-average number of diluted shares 96.0 96.9 96.9 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Schedule of Product Warranty Liability [Table Text Block] | The changes in the standard product warranty liability for the year ended December 31, were as follows: In millions 2017 2016 2015 Balance at beginning of period $ 13.3 $ 11.7 $ 9.8 Reductions for payments (7.8 ) (6.5 ) (5.4 ) Accruals for warranties issued during the current period 9.0 8.1 7.1 Changes to accruals related to preexisting warranties (0.8 ) 0.2 0.5 Translation 0.4 (0.2 ) (0.3 ) Balance at end of period $ 14.1 $ 13.3 $ 11.7 |
Business Segment Information (T
Business Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Schedule of Segment Reporting Information by Segment | Dollar amounts in millions 2017 2016 2015 Americas Net revenues $ 1,767.5 $ 1,645.7 $ 1,558.4 Segment operating income 503.3 448.1 418.0 Segment operating margin 28.5 % 27.2 % 26.8 % Depreciation and amortization 26.4 26.4 26.4 Capital expenditures 26.1 21.5 18.9 Total segment assets 872.4 852.7 806.1 EMEIA Net revenues 523.5 485.9 386.3 Segment operating income 45.2 35.9 8.6 Segment operating margin 8.6 % 7.4 % 2.2 % Depreciation and amortization 28.6 27.6 17.2 Capital expenditures 17.1 13.6 5.6 Total segment assets 1,027.7 886.2 899.4 Asia Pacific Net revenues 117.2 106.4 123.4 Segment operating income (loss) 9.5 6.1 (3.4 ) Segment operating margin 8.1 % 5.7 % (2.8 )% Depreciation and amortization 2.5 2.4 2.1 Capital expenditures 1.5 1.1 2.0 Total segment assets 196.3 177.4 237.1 Total net revenues $ 2,408.2 $ 2,238.0 $ 2,068.1 Reconciliation to earnings before income taxes Segment operating income from reportable segments $ 558.0 $ 490.1 $ 423.2 Unallocated corporate expense 69.8 64.6 64.6 Interest expense 105.7 64.3 52.9 Loss on divestitures — 84.4 104.2 Other income, net (13.2 ) (18.2 ) (7.8 ) Total earnings before income taxes $ 395.7 $ 295.0 $ 209.3 Depreciation and amortization from reportable segments $ 57.5 $ 56.4 $ 45.7 Unallocated depreciation and amortization 4.1 5.0 3.1 Total depreciation and amortization $ 61.6 $ 61.4 $ 48.8 Capital expenditures from reportable segments $ 44.7 $ 36.2 $ 26.5 Corporate capital expenditures 4.6 6.3 8.7 Total capital expenditures $ 49.3 $ 42.5 $ 35.2 Assets from reportable segments $ 2,096.4 $ 1,916.3 $ 1,942.6 Unallocated assets (a) 445.6 331.1 320.4 Total assets $ 2,542.0 $ 2,247.4 $ 2,263.0 (a) Unallocated assets consists of investments in unconsolidated affiliates, fixed assets, deferred income taxes and cash. |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | Revenues by destination and product as well as long-lived assets by geographic area for the years ended December 31 were as follows: In millions 2017 2016 2015 Revenues United States $ 1,645.6 $ 1,531.2 $ 1,425.1 Non-U.S. 762.6 706.8 643.0 Total $ 2,408.2 $ 2,238.0 $ 2,068.1 |
Revenue from External Customers by Products and Services [Table Text Block] | In millions 2017 2016 2015 Revenues Mechanical products $ 1,906.4 $ 1,793.1 $ 1,661.4 All other 501.8 444.9 406.7 Total $ 2,408.2 $ 2,238.0 $ 2,068.1 Less than 10% of the Company's net revenues come from the sale of services. |
Long-lived Assets by Geographic Areas [Table Text Block] | In millions 2017 2016 Long-lived assets United States $ 131.0 $ 117.1 Non-U.S. 440.1 402.3 Total $ 571.1 $ 519.4 |
Guarantor Financial Informati47
Guarantor Financial Information Condensed Statement of Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Guarantor Financial Information Abstract | |
Condensed Statement Of Comprehensive Income [Table Text Block] | Condensed and Consolidated Statement of Comprehensive Income For the year ended December 31, 2017 In millions Allegion plc Allegion US Holding Other Subsidiaries Consolidating Adjustments Total Net revenues $ — $ — $ 2,408.2 $ — $ 2,408.2 Cost of goods sold — — 1,337.5 — 1,337.5 Selling and administrative expenses 5.3 0.2 577.0 — 582.5 Operating income (loss) (5.3 ) (0.2 ) 493.7 — 488.2 Equity earnings (loss) in affiliates, net of tax 348.2 148.9 — (497.1 ) — Interest expense 70.6 34.8 0.3 — 105.7 Intercompany interest and fees (1.0 ) 102.7 (101.7 ) — — Other income, net — — (13.2 ) — (13.2 ) Earnings (loss) before income taxes 273.3 11.2 608.3 (497.1 ) 395.7 Provision (benefit) for income taxes — (27.3 ) 146.3 — 119.0 Net earnings (loss) 273.3 38.5 462.0 (497.1 ) 276.7 Less: Net earnings attributable to noncontrolling interests — — 3.4 — 3.4 Net earnings (loss) attributable to Allegion plc $ 273.3 $ 38.5 $ 458.6 $ (497.1 ) $ 273.3 Total comprehensive income (loss) $ 391.1 $ 39.2 $ 577.6 $ (614.0 ) $ 393.9 Less: Total comprehensive income attributable to noncontrolling interests — — 2.8 — 2.8 Total comprehensive income (loss) attributable to Allegion plc $ 391.1 $ 39.2 $ 574.8 $ (614.0 ) $ 391.1 Condensed and Consolidated Statement of Comprehensive Income For the year ended December 31, 2016 In millions Allegion plc Allegion US Holding Other Consolidating Total Net revenues $ — $ — $ 2,238.0 $ — $ 2,238.0 Cost of goods sold — — 1,252.7 — 1,252.7 Selling and administrative expenses 4.7 — 555.1 — 559.8 Operating income (loss) (4.7 ) — 430.2 — 425.5 Equity earnings (loss) in affiliates, net of tax 277.4 148.3 0.3 (426.0 ) — Interest expense 43.5 20.2 0.6 — 64.3 Intercompany interest and fees (0.4 ) 97.9 (97.5 ) — — Other (income) expense, net — — 66.2 — 66.2 Earnings (loss) before income taxes 229.6 30.2 461.2 (426.0 ) 295.0 Provision (benefit) for income taxes 0.5 (45.5 ) 108.8 — 63.8 Net earnings (loss) 229.1 75.7 352.4 (426.0 ) 231.2 Less: Net earnings attributable to noncontrolling interests — — 2.1 — 2.1 Net earnings (loss) attributable to Allegion plc $ 229.1 $ 75.7 $ 350.3 $ (426.0 ) $ 229.1 Total comprehensive income (loss) $ 197.0 $ 79.4 $ 314.2 $ (391.9 ) $ 198.7 Less: Total comprehensive income attributable to noncontrolling interests — — 1.7 — 1.7 Total comprehensive income (loss) attributable to Allegion plc $ 197.0 $ 79.4 $ 312.5 $ (391.9 ) $ 197.0 Condensed and Consolidated Statement of Comprehensive Income For the year ended December 31, 2015 In millions Allegion plc Allegion US Holding Other Consolidating Total Net revenues $ — $ — $ 2,068.1 $ — $ 2,068.1 Cost of goods sold — — 1,199.0 — 1,199.0 Selling and administrative expenses 4.7 (0.1 ) 505.9 — 510.5 Operating income (loss) (4.7 ) 0.1 363.2 — 358.6 Equity earnings (loss) in affiliates, net of tax 190.6 167.2 — (357.8 ) — Interest expense 31.2 21.1 0.6 — 52.9 Intercompany interest and fees (0.4 ) 95.0 (94.6 ) — — Other (income) expense, net (0.2 ) — 96.6 — 96.4 Earnings (loss) before income taxes 155.3 51.2 360.6 (357.8 ) 209.3 Provision (benefit) for income taxes 1.2 (44.7 ) 98.1 — 54.6 Earnings (loss) from continuing operations 154.1 95.9 262.5 (357.8 ) 154.7 Discontinued operations, net of tax — — (0.4 ) — (0.4 ) Net earnings (loss) 154.1 95.9 262.1 (357.8 ) 154.3 Less: Net earnings attributable to noncontrolling interests — — 0.4 — 0.4 Net earnings (loss) attributable to Allegion plc $ 154.1 $ 95.9 $ 261.7 $ (357.8 ) $ 153.9 Total comprehensive income (loss) $ 69.8 $ 95.6 $ 177.9 $ (274.4 ) $ 68.9 Less: Total comprehensive income attributable to noncontrolling interests — — (0.9 ) — (0.9 ) Total comprehensive income (loss) attributable to Allegion plc $ 69.8 $ 95.6 $ 178.8 $ (274.4 ) $ 69.8 |
Guarantor Financial Informati48
Guarantor Financial Information Condensed Balance Sheet (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Balance Sheet Statements, Captions [Line Items] | |
Condensed Balance Sheet [Table Text Block] | Consolidated Balance Sheet December 31, 2017 In millions Allegion plc Allegion US Holding Other Consolidating Total Current assets: Cash and cash equivalents $ 0.7 $ 0.2 $ 465.3 $ — $ 466.2 Accounts and notes receivable, net — — 296.6 — 296.6 Inventories — — 239.8 — 239.8 Other current assets 0.3 53.1 16.7 (40.9 ) 29.2 Assets held for sale — — 0.9 — 0.9 Accounts and notes receivable affiliates — 396.8 33.1 (429.9 ) — Total current assets 1.0 450.1 1,052.4 (470.8 ) 1,032.7 Investment in affiliates 1,079.6 215.3 — (1,294.9 ) — Property, plant and equipment, net — — 252.2 — 252.2 Intangible assets, net — — 1,155.5 — 1,155.5 Notes receivable affiliates 3.5 1,165.1 2,182.9 (3,351.5 ) — Other noncurrent assets 5.0 5.2 91.4 — 101.6 Total assets $ 1,089.1 $ 1,835.7 $ 4,734.4 $ (5,117.2 ) $ 2,542.0 Current liabilities: Accounts payable and accruals $ 1.9 $ 7.1 $ 457.7 $ (40.9 ) $ 425.8 Short-term borrowings and current maturities of long-term debt 35.0 — — — 35.0 Accounts and note payable affiliates 0.2 32.9 396.8 (429.9 ) — Total current liabilities 37.1 40.0 854.5 (470.8 ) 460.8 Long-term debt 649.3 791.9 1.1 — 1,442.3 Note payable affiliate — 2,182.9 1,168.6 (3,351.5 ) — Other noncurrent liabilities 1.1 2.1 230.2 — 233.4 Total liabilities 687.5 3,016.9 2,254.4 (3,822.3 ) 2,136.5 Equity: Total shareholders’ equity (deficit) 401.6 (1,181.2 ) 2,476.1 (1,294.9 ) 401.6 Noncontrolling interests — — 3.9 — 3.9 Total equity (deficit) 401.6 (1,181.2 ) 2,480.0 (1,294.9 ) 405.5 Total liabilities and equity $ 1,089.1 $ 1,835.7 $ 4,734.4 $ (5,117.2 ) $ 2,542.0 Condensed and Consolidated Balance Sheet December 31, 2016 In millions Allegion plc Allegion US Holding Other Consolidating Total Current assets: Cash and cash equivalents $ 0.5 $ 0.1 $ 311.8 $ — $ 312.4 Accounts and notes receivable, net — — 260.0 — 260.0 Inventories — — 220.6 — 220.6 Other current assets 0.4 49.7 17.6 (33.6 ) 34.1 Assets held for sale — — 2.2 — 2.2 Accounts and notes receivable affiliates — 331.6 36.8 (368.4 ) — Total current assets 0.9 381.4 849.0 (402.0 ) 829.3 Investment in affiliates 1,229.4 220.2 — (1,449.6 ) — Property, plant and equipment, net — — 226.6 — 226.6 Intangible assets, net — — 1,074.2 — 1,074.2 Notes receivable affiliates 53.2 1,149.8 2,690.7 (3,893.7 ) — Other noncurrent assets 5.4 14.8 97.1 — 117.3 Total assets $ 1,288.9 $ 1,766.2 $ 4,937.6 $ (5,745.3 ) $ 2,247.4 Current liabilities: Accounts payable and accruals $ 7.0 $ 4.7 $ 403.3 $ (33.6 ) $ 381.4 Short-term borrowings and current maturities of long-term debt 46.9 — 1.3 — 48.2 Accounts and note payable affiliates 0.4 36.4 331.6 (368.4 ) — Total current liabilities 54.3 41.1 736.2 (402.0 ) 429.6 Long-term debt 1,120.2 294.4 1.0 — 1,415.6 Note payable affiliate — 2,690.7 1,203.0 (3,893.7 ) — Other noncurrent liabilities 1.1 — 284.7 — 285.8 Total liabilities 1,175.6 3,026.2 2,224.9 (4,295.7 ) 2,131.0 Equity: Total shareholders’ equity (deficit) 113.3 (1,260.0 ) 2,709.6 (1,449.6 ) 113.3 Noncontrolling interests — — 3.1 — 3.1 Total equity (deficit) 113.3 (1,260.0 ) 2,712.7 (1,449.6 ) 116.4 Total liabilities and equity $ 1,288.9 $ 1,766.2 $ 4,937.6 $ (5,745.3 ) $ 2,247.4 |
Guarantor Financial Informati49
Guarantor Financial Information Condensed Cash Flow Statement (Tables) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Cash Flow Statements, Captions [Line Items] | |||
Condensed Cash Flow Statement [Table Text Block] | In millions Allegion plc Allegion US Holding Other Consolidating Total Net cash provided by (used in) operating activities $ 581.3 $ 40.0 $ 510.2 $ (784.3 ) $ 347.2 Cash flows from investing activities: Capital expenditures — — (49.3 ) — (49.3 ) Acquisition of businesses, net of cash acquired — — (20.8 ) — (20.8 ) Proceeds from sale of property, plant and equipment — — 3.1 — 3.1 Proceeds from sale of equity investment — — 15.6 — 15.6 Proceeds (payments) related to business dispositions — — 1.2 — 1.2 Net cash used in investing activities — — (50.2 ) — (50.2 ) Cash flows from financing activities: Net debt repayments (488.5 ) 500.0 (1.4 ) — 10.1 Debt issuance costs (4.0 ) (5.5 ) — — (9.5 ) Redemption premium (24.6 ) (8.6 ) — — (33.2 ) Net inter-company proceeds (payments) 49.7 (523.0 ) 473.3 — — Dividends paid to shareholders (60.9 ) — — — (60.9 ) Dividends paid to noncontrolling interests — — (1.8 ) — (1.8 ) Dividends paid — — (784.3 ) 784.3 — Proceeds from shares issued under incentive plans 7.2 — — — 7.2 Repurchase of ordinary shares (60.0 ) — — — (60.0 ) Other financing activities, net — (2.8 ) — — (2.8 ) Net cash (used in) provided by financing activities (581.1 ) (39.9 ) (314.2 ) 784.3 (150.9 ) Effect of exchange rate changes on cash and cash equivalents — — 7.7 — 7.7 Net increase in cash and cash equivalents 0.2 0.1 153.5 — 153.8 Cash and cash equivalents - beginning of period 0.5 0.1 311.8 — 312.4 Cash and cash equivalents - end of period $ 0.7 $ 0.2 $ 465.3 $ — $ 466.2 | In millions Allegion plc Allegion US Holding Other Consolidating Total Net cash provided by (used in) continuing operating activities $ (25.6 ) $ 34.1 $ 528.9 $ (159.9 ) $ 377.5 Cash flows from investing activities: Capital expenditures — — (42.5 ) — (42.5 ) Acquisition of businesses, net of cash acquired — — (31.4 ) — (31.4 ) Proceeds from sales and maturities of marketable securities — — 14.1 — 14.1 Proceeds (payments) related to business disposition — — (4.3 ) — (4.3 ) Other investing activities, net — — 0.1 — 0.1 Net cash used in investing activities — — (64.0 ) — (64.0 ) Cash flows from financing activities: Net debt repayments (47.0 ) — (17.4 ) — (64.4 ) Debt issuance costs (0.3 ) — — — (0.3 ) Net inter-company proceeds (payments) 195.4 (34.3 ) (161.1 ) — — Dividends paid to shareholders (46.0 ) — — — (46.0 ) Dividends paid to noncontrolling interests — — (2.7 ) — (2.7 ) Dividends paid — — (159.9 ) 159.9 — Acquisition of noncontrolling interest — — (3.3 ) — (3.3 ) Proceeds from shares issued under incentive plans 5.8 — — — 5.8 Repurchase of ordinary shares (85.1 ) — — — (85.1 ) Net cash provided by (used in) financing activities 22.8 (34.3 ) (344.4 ) 159.9 (196.0 ) Effect of exchange rate changes on cash and cash equivalents — — (4.8 ) — (4.8 ) Net (decrease) increase in cash and cash equivalents (2.8 ) (0.2 ) 115.7 — 112.7 Cash and cash equivalents - beginning of period 3.3 0.3 196.1 — 199.7 Cash and cash equivalents - end of period $ 0.5 $ 0.1 $ 311.8 $ — $ 312.4 | In millions Allegion plc Allegion US Holding Other Consolidating Total Net cash provided by (used in) continuing operating activities $ (23.4 ) $ 125.8 $ 416.5 $ (261.5 ) $ 257.4 Net cash used in discontinued operating activities — — (0.4 ) (0.4 ) Net cash provided by (used in) operating activities (23.4 ) 125.8 416.1 (261.5 ) 257.0 Cash flows from investing activities: Capital expenditures — — (35.2 ) — (35.2 ) Acquisition of businesses, net of cash acquired — — (511.3 ) — (511.3 ) Proceeds from sale of property, plant and equipment — — 0.3 — 0.3 Proceeds from business disposition, net of cash sold — — 0.1 — 0.1 Proceeds from sale of marketable securities — — 12.3 — 12.3 Net cash used in investing activities — — (533.8 ) — (533.8 ) Cash flows from financing activities: Net debt proceeds 263.8 — 14.5 — 278.3 Debt issuance costs (9.0 ) — — — (9.0 ) Net inter-company proceeds (payments) (200.9 ) (126.0 ) 326.9 — — Dividends paid to shareholders (38.3 ) — — — (38.3 ) Dividends paid to noncontrolling interests — — (20.0 ) — (20.0 ) Dividends paid — — (261.5 ) 261.5 — Proceeds from shares issued under incentive plans 11.0 — — — 11.0 Repurchase of ordinary shares (30.0 ) — — — (30.0 ) Other financing activities, net 3.0 — — — 3.0 Net cash (used in) provided by financing activities (0.4 ) (126.0 ) 59.9 261.5 195.0 Effect of exchange rate changes on cash and cash equivalents — — (9.0 ) — (9.0 ) Net decrease in cash and cash equivalents (23.8 ) (0.2 ) (66.8 ) — (90.8 ) Cash and cash equivalents - beginning of period 27.1 0.5 262.9 — 290.5 Cash and cash equivalents - end of period $ 3.3 $ 0.3 $ 196.1 $ — $ 199.7 |
Valuation and Qualifying Acco50
Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | Allowances for Doubtful Accounts: Balance December 31, 2014 $ 3.2 Additions charged to costs and expenses 1.6 Deductions* (1.5 ) Business acquisitions and divestitures, net 0.9 Currency translation (0.4 ) Balance December 31, 2015 3.8 Additions charged to costs and expenses 0.1 Deductions* (1.1 ) Currency translation (0.1 ) Balance December 31, 2016 2.7 Additions charged to costs and expenses 0.8 Deductions* (0.9 ) Currency translation 0.2 Balance December 31, 2017 $ 2.8 (*) "Deductions" include accounts and advances written off, less recoveries. |
Summary of Significant Accoun51
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | $ 6.4 | $ 5.6 | $ 4.4 |
Unamortized Debt Issuance Expense | 15 | 18.3 | |
Income Taxes Paid | 86.7 | 10.4 | |
Allowance for doubtful accounts receivable, current | 2.8 | 2.7 | |
Research and development expense | 48.3 | 47.3 | $ 45.2 |
Canada Revenue Agency [Member] | |||
Proceeds from Income Tax Refunds | 46.2 | ||
Customer Claim accrual [Member] | |||
Other Accrued Liabilities, Current | 32.5 | 29 | |
Sales Incentive accrual [Member] | |||
Other Accrued Liabilities, Current | $ 31.8 | $ 29.6 |
Summary of Significant Accoun52
Summary of Significant Accounting Policies (Depreciation) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Minimum [Member] | Buildings [Member] | |
Property, plant and equipment, useful life | 10 years |
Minimum [Member] | Machinery and Equipment [Member] | |
Property, plant and equipment, useful life | 2 years |
Minimum [Member] | Software [Member] | |
Property, plant and equipment, useful life | 2 years |
Maximum [Member] | Buildings [Member] | |
Property, plant and equipment, useful life | 50 years |
Maximum [Member] | Machinery and Equipment [Member] | |
Property, plant and equipment, useful life | 12 years |
Maximum [Member] | Software [Member] | |
Property, plant and equipment, useful life | 7 years |
Summary of Significant Accoun53
Summary of Significant Accounting Policies (Weighted-Average) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Customer Relationships [Member] | |
Weighted-average useful life | 25 years |
Trademarks [Member] | |
Weighted-average useful life | 25 years |
Completed Technology/Patents [Member] | |
Weighted-average useful life | 10 years |
Other Intangible Assets [Member] | |
Weighted-average useful life | 25 years |
Inventories (Schedule of Major
Inventories (Schedule of Major Classes of Inventory) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Inventory, Net [Abstract] | ||
Raw materials | $ 66.6 | $ 56.7 |
Work-in-process | 29.8 | 23.6 |
Finished goods | 143.4 | 140.3 |
Total | $ 239.8 | $ 220.6 |
Property, Plant and Equipment55
Property, Plant and Equipment (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $ 40 | $ 40.9 | $ 36.4 |
Software amortization | $ 14.3 | $ 16.6 | $ 14.4 |
Property, Plant and Equipment56
Property, Plant and Equipment (Schedule of Major Classes of Property, Plant and Equipment) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 707.9 | $ 640.4 |
Accumulated depreciation | (455.7) | (413.8) |
Total | 252.2 | 226.6 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 16 | 14.5 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 142.2 | 127.6 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 383.9 | 353.6 |
Software and Software Development Costs [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 141.4 | 126.5 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 24.4 | $ 18.2 |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 | Dec. 31, 2012 | |
Goodwill, Impaired, Accumulated Impairment Loss | $ 485.5 | ||||
Goodwill, gross, beginning balance | $ 1,199.6 | ||||
Acquisitions and adjustments | $ 2 | 15.8 | |||
Currency translation | 42.4 | (13.1) | |||
Goodwill, gross, ending balance | 1,199.6 | ||||
Goodwill, net | 761.2 | 716.8 | 714.1 | ||
Disposal Group, Not Discontinued Operation, Loss on Disposal | 0 | 84.4 | 104.2 | ||
Asia Pacific [Member] | |||||
Goodwill, Impaired, Accumulated Impairment Loss | 6.9 | ||||
Goodwill, gross, beginning balance | 93.4 | ||||
Acquisitions and adjustments | 1.3 | 3.3 | |||
Currency translation | 7.1 | (3.4) | |||
Goodwill, gross, ending balance | 93.4 | ||||
Goodwill, net | 94.8 | 86.4 | 86.5 | ||
Goodwill, Impairment Loss | $ 6.9 | ||||
Americas [Member] | |||||
Goodwill, Impaired, Accumulated Impairment Loss | 0 | ||||
Goodwill, gross, beginning balance | 372.8 | ||||
Acquisitions and adjustments | 2.3 | 0 | |||
Currency translation | 0 | 0.1 | |||
Goodwill, gross, ending balance | 372.8 | ||||
Goodwill, net | 375.2 | 372.9 | 372.8 | ||
EMEIA [Member] | |||||
Goodwill, Impaired, Accumulated Impairment Loss | 478.6 | ||||
Goodwill, gross, beginning balance | 733.4 | ||||
Acquisitions and adjustments | (1.6) | 12.5 | |||
Currency translation | 35.3 | (9.8) | |||
Goodwill, gross, ending balance | 733.4 | ||||
Goodwill, net | $ 291.2 | $ 257.5 | 254.8 | ||
Goodwill, Impairment Loss | $ 137.6 | $ 341 | |||
Bocom Divestiture [Member] | |||||
Goodwill, Written off Related to Sale of Business Unit | (21) | ||||
Disposal Group, Not Discontinued Operation, Loss on Disposal | $ (78.1) |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Future estimated amortization expense, Year Three | $ 21.8 | |
Finite-lived intangible assets, gross | 454 | $ 416.4 |
Accumulated amortization | (135.1) | (123.6) |
Total net finite-lived intangible assets | 318.9 | 292.8 |
Total intangible assets, excluding goodwill, gross | 529.4 | 481 |
Intangible assets, net | 394.3 | 357.4 |
Completed Technology/Patents [Member] | ||
Finite-lived intangible assets, gross | 32.6 | 48 |
Accumulated amortization | (10) | (25.3) |
Total net finite-lived intangible assets | 22.6 | 22.7 |
Customer Relationships [Member] | ||
Finite-lived intangible assets, gross | 324.5 | 278.9 |
Accumulated amortization | (74.1) | (51.6) |
Total net finite-lived intangible assets | 250.4 | 227.3 |
Trademarks [Member] | ||
Finite-lived intangible assets, gross | 89 | 78.5 |
Accumulated amortization | (46.1) | (37.3) |
Total net finite-lived intangible assets | 42.9 | 41.2 |
Other Intangible Assets [Member] | ||
Finite-lived intangible assets, gross | 7.9 | 11 |
Accumulated amortization | (4.9) | (9.4) |
Total net finite-lived intangible assets | 3 | 1.6 |
Trademarks [Member] | ||
Trademarks, indefinite lived | $ 75.4 | $ 64.6 |
Intangible Assets Intangible As
Intangible Assets Intangible Assets Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Intangible Assets Abstract | |||
Amortization of intangible assets | $ 22.1 | $ 20.5 | $ 11.9 |
Future estimated amortization expense, year one | 22.7 | ||
Future estimated amortization expense, year two | 21.8 | ||
Future estimated amortization expense, Year Three | 21.8 | ||
Future estimated amortization expense, year four | 21.7 | ||
Future estimated amortization expense, year five | $ 21.7 |
Acquisitions Acquisitions (Deta
Acquisitions Acquisitions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Business Acquisition [Line Items] | |||
Business Acquisition, Transaction Costs | $ 4.7 | ||
Payments to Acquire Businesses, Net of Cash Acquired | 20.8 | $ 31.4 | $ 511.3 |
Goodwill | $ 761.2 | $ 716.8 | 714.1 |
SimonsVoss Acquisition [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Consideration Transferred | 230 | ||
AXA Acquisition [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Consideration Transferred | 208 | ||
All 2015 acquisitions [Domain] | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Transaction Costs | 17.9 | ||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 74.5 | ||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 2.2 | ||
Business Combination, Consideration Transferred | $ 511.3 |
Debt and Credit Facilities (Nar
Debt and Credit Facilities (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt and Capital Lease Obligations | $ 1 | $ 2.3 | |
Unamortized Debt Issuance Expense | (15) | (18.3) | |
Short-term borrowings and current maturities of long-term debt | 1,492.3 | ||
Short-term borrowings and current maturities of long-term debt | 35 | 48.2 | |
Gain (Loss) on Extinguishment of Debt | (43.1) | 0 | $ 0 |
Proceeds from Lines of Credit | 165 | 0 | 400 |
Repayments of Long-term Debt | 197.3 | 47 | 440.5 |
Write off of Deferred Debt Issuance Cost | 9.9 | ||
Long-term Debt, Excluding Current Maturities | 1,442.3 | 1,415.6 | |
Interest Paid | 58.4 | 56 | 39 |
Redemption Premium | (33.2) | 0 | $ 0 |
Interest and Debt Expense | 1.6 | ||
Payment of Financing and Stock Issuance Costs | 10.8 | ||
Revolving Credit Facility [Member] | Unsecured Debt [Member] | |||
Long-term Debt | 0 | 0 | |
Term Loan A Facility Due 2020 [Member] | Secured Debt [Member] | |||
Long-term Debt | 0 | 879.8 | |
Term Loan Facility due 2022 [Member] | Unsecured Debt [Member] | |||
Long-term Debt | 691.3 | 0 | |
Five Point Seven Five Percent Senior Notes Due 2021 [Member] | Senior Notes [Member] | |||
Long-term Debt | 0 | 300 | |
Five Point Eight Seven Five Percent Senior Notes Due 2023 [Member] | Senior Notes [Member] | |||
Long-term Debt | 0 | 300 | |
Three point two zero percent Senior Note due 2024 [Domain] | Senior Notes [Member] | |||
Long-term Debt | 400 | 0 | |
Three point five five percent Senior Note due 2027 [Domain] | Senior Notes [Member] | |||
Long-term Debt | 400 | 0 | |
Interest Rate Swap [Member] | |||
Derivative, Notional Amount | 250 | ||
Revolving capacity available for letters of credit [Member] | |||
Line of Credit Facility, Capacity Available for Specific Purpose Other than for Trade Purchases | 100 | ||
Letter of Credit [Member] | |||
Letters of Credit Outstanding, Amount | $ 17.4 | ||
London Interbank Offered Rate (LIBOR) [Member] | Unsecured Debt [Member] | |||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 1.25% | ||
Maximum [Member] | |||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.20% | ||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | Unsecured Debt [Member] | |||
Debt instrument, interest rate | 1.50% | ||
Minimum [Member] | |||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.125% | ||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | Unsecured Debt [Member] | |||
Debt instrument, interest rate | 1.125% | ||
Unsecured Debt [Member] | |||
Long-term Debt | $ 1,200 | ||
Unsecured Debt [Member] | Term Loan Facility due 2022 [Member] | |||
Weighted average interest rate on short term borrowings and current maturities of long term debt | 2.80% | ||
Unsecured Debt [Member] | Senior Notes [Member] | |||
Redemption Premium | $ 33.2 | ||
Unsecured Debt [Member] | Three point two zero percent Senior Note due 2024 [Domain] | Senior Notes [Member] | |||
Long-term Debt | 400 | ||
Unsecured Debt [Member] | Three point five five percent Senior Note due 2027 [Domain] | Senior Notes [Member] | |||
Long-term Debt | 400 | ||
Unsecured Debt [Member] | Five Point Eight Seven Five Percent Senior Notes Due 2023 [Member] | Senior Notes [Member] | |||
Repayments of Debt | 300 | ||
Unsecured Debt [Member] | Five Point Seven Five Percent Senior Notes Due 2021 [Member] | Senior Notes [Member] | |||
Repayments of Debt | $ 300 | ||
Unsecured Debt [Member] | Three point five five percent Senior Note due 2027 [Domain] | Senior Notes [Member] | |||
Weighted average interest rate on short term borrowings and current maturities of long term debt | 3.55% | ||
Unsecured Debt [Member] | Three point two zero percent Senior Note due 2024 [Domain] | Senior Notes [Member] | |||
Weighted average interest rate on short term borrowings and current maturities of long term debt | 3.20% | ||
Unsecured Debt [Member] | Revolving Credit Facility [Member] | |||
Line of credit facility, maximum borrowing capacity | $ 500 | ||
Proceeds from Issuance of Debt | 165 | ||
Unsecured Debt [Member] | Term Loan Facility due 2022 [Member] | |||
Long-term Debt | 700 | ||
Proceeds from Issuance of Debt | $ 700 | ||
Due 10/1/2024 [Domain] | Three point two zero percent Senior Note due 2024 [Domain] | Senior Notes [Member] | |||
Debt instrument, interest rate | 3.20% | ||
Due 10/1/2027 [Domain] | Three point five five percent Senior Note due 2027 [Domain] | Senior Notes [Member] | |||
Debt instrument, interest rate | 3.55% | ||
12/31/2017 through 12/31/2020 [Domain] | Term Loan Facility due 2022 [Member] | |||
Long-term Debt, Maturities, Repayment Terms | 0.0125 | ||
1/1/2021 through 9/12/2022 [Domain] | Term Loan Facility due 2022 [Member] | |||
Long-term Debt, Maturities, Repayment Terms | 0.025 | ||
Total borrowings excluding deferred debt costs [Member] | |||
Debt, Long-term and Short-term, Combined Amount | $ 1,492.3 | 1,482.1 | |
Total debt net of deferred debt costs [Member] | |||
Debt, Long-term and Short-term, Combined Amount | $ 1,477.3 | $ 1,463.8 |
Debt and Credit Facilities (Sho
Debt and Credit Facilities (Short-Term Borrowings and Current Maturities of Long-Term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Short-term Debt [Line Items] | ||
Short-term borrowings and current maturities of long-term debt | $ 35 | $ 48.2 |
Debt and Credit Facilities (Lon
Debt and Credit Facilities (Long-Term Debt Excluding Current Maturities) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Long-term Debt, Excluding Current Maturities | $ 1,442.3 | $ 1,415.6 |
Other Debt and Capital Leases | 1 | 2.3 |
Unamortized Debt Issuance Expense | 15 | 18.3 |
Short-term borrowings and current maturities of long-term debt | 35 | 48.2 |
Term Loan A Facility Due 2020 [Member] | Secured Debt [Member] | ||
Long-term Debt | 0 | 879.8 |
Revolving Credit Facility [Member] | Unsecured Debt [Member] | ||
Long-term Debt | 0 | 0 |
Five Point Seven Five Percent Senior Notes Due 2021 [Member] | Senior Notes [Member] | ||
Long-term Debt | 0 | 300 |
Five Point Eight Seven Five Percent Senior Notes Due 2023 [Member] | Senior Notes [Member] | ||
Long-term Debt | 0 | 300 |
Total borrowings excluding deferred debt costs [Member] | ||
Debt, Long-term and Short-term, Combined Amount | 1,492.3 | 1,482.1 |
Total debt net of deferred debt costs [Member] | ||
Debt, Long-term and Short-term, Combined Amount | $ 1,477.3 | $ 1,463.8 |
Debt and Credit Facilities (L64
Debt and Credit Facilities (Long-Term Debt Maturities and Repayment of Principle) (Details) $ in Millions | Dec. 31, 2017USD ($) |
2,016 | $ 35 |
2,017 | 35 |
2,018 | 35 |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 70 |
2,020 | 516.3 |
Long-term Debt, Maturities, Repayments of Principal after Year Five | 801 |
Debt and Capital Lease Obligations | $ 1,492.3 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Accumulated other comprehensive income (loss), derivatives qualifying as hedges, net of tax | $ (152.9) | $ (264.3) | $ (232.2) | $ (148.2) |
Currency derivatives expected to be reclassified into earnings over the next twelve months | 0.3 | |||
Amount expected to be reclassified into interest expense over the next twelve months | 1 | |||
Interest Rate Swap [Member] | ||||
Derivative, Notional Amount | 250 | |||
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||||
Derivative, Notional Amount | 57.7 | 132.6 | ||
Accumulated other comprehensive income (loss), derivatives qualifying as hedges, net of tax | 0.3 | 0.8 | ||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||||
Derivative, Notional Amount | 250 | |||
Designated as Hedging Instrument [Member] | Interest Rate Contract [Member] | ||||
Accumulated other comprehensive income (loss), derivatives qualifying as hedges, net of tax | $ 3.5 | $ 2.6 |
Financial Instruments Schedule
Financial Instruments Schedule of Fair Values of Derivative Instruments (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Long-term Debt, Fair Value | $ 1,485.2 | $ 1,510.6 |
Assets, Fair Value Disclosure, Recurring | 5.5 | 5.6 |
Fair Value, Inputs, Level 2 [Member] | ||
Long-term Debt, Fair Value | 1,485.2 | 1,510.6 |
Assets, Fair Value Disclosure, Recurring | 5.5 | 5.6 |
Fair Value, Inputs, Level 3 [Member] | ||
Long-term Debt, Fair Value | 0 | 0 |
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | ||
Long-term Debt, Fair Value | 0 | 0 |
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Foreign Exchange Contract [Member] | ||
Derivative instruments, gross asset | 0.2 | 1 |
Derivative instruments, gross liability | 0.7 | 0.3 |
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivatives not designated as hedges, liability | 0.7 | 0.3 |
Derivative instruments, gross asset | 0.2 | 1 |
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative instruments, gross asset | 0 | 0 |
Derivative instruments, gross liability | 0 | 0 |
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative instruments, gross asset | 0 | 0 |
Derivative instruments, gross liability | 0 | 0 |
Interest Rate Swap [Member] | ||
Interest Rate Derivative Liabilities, at Fair Value | 0.4 | |
Derivative instruments, gross asset | 5.3 | 4.6 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Interest Rate Derivative Liabilities, at Fair Value | 0.4 | |
Derivative instruments, gross asset | 5.3 | 4.6 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Interest Rate Derivative Liabilities, at Fair Value | 0 | |
Derivative instruments, gross asset | 0 | 0 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Interest Rate Derivative Liabilities, at Fair Value | 0 | |
Derivative instruments, gross asset | 0 | 0 |
Other Current Assets [Member] | Designated as Hedging Instrument [Member] | ||
Derivatives designated as hedges, asset | 0.2 | 0.7 |
Interest Rate Derivative Assets, at Fair Value | 5.3 | 4.6 |
Other Current Assets [Member] | Undesignated Hedges [Member] | ||
Derivatives not designated as hedges, asset | 0 | 0.3 |
Other Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure, Recurring | 5.5 | |
Derivative instruments, gross asset | 5.6 | |
Other Current Liabilities [Member] | Designated as Hedging Instrument [Member] | ||
Foreign Currency Cash Flow Hedge Liability at Fair Value | 0.3 | 0.1 |
Other Current Liabilities [Member] | Undesignated Hedges [Member] | ||
Derivatives not designated as hedges, liability | 0.2 | |
Other Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Designated as Hedging Instrument [Member] | ||
Interest Rate Derivative Liabilities, at Fair Value | 0 | 0.4 |
Other Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative instruments, gross liability | 0.7 | $ 0.7 |
Other Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Undesignated Hedges [Member] | ||
Derivatives not designated as hedges, liability | $ 0.4 |
Financial Instruments Schedul67
Financial Instruments Schedule of Derivatives Designated as Hedges Affecting Income Statement and Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net | $ 5.2 | $ 9.6 | $ 6.3 |
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net | 4.4 | 5.4 | 6.5 |
Interest Rate Swap [Member] | |||
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net | (0.3) | ||
Cost of goods sold [Member] | Currency Derivatives [Member] | |||
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net | 4 | 4.2 | 6.6 |
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net | 4.7 | 5.4 | 6.5 |
Interest Expense [Member] | Interest Rate Swap [Member] | |||
Derivative instruments, gain (loss) recognized in Other comprehensive income (loss), effective portion, net | 1.2 | 5.4 | |
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net | $ (0.3) | $ 0 | |
Interest Expense [Member] | Interest Rate Contract [Member] | |||
Derivative instruments, gain (loss) reclassified from Accumulated OCI into Income, effective portion, net | $ 0 |
Pensions and Postretirement B68
Pensions and Postretirement Benefits Other Than Pensions (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Deferred Compensation Liability, Current and Noncurrent | $ 20.9 | $ 16.8 | |
Pension Plans [Member] | |||
Projected company contributions in 2013 | $ 13.5 | ||
Percentage of Benefit Obligation not funded [Domain] | |||
Accumulated benefit obligation | 5.00% | ||
United States Pension Plan of US Entity [Member] | |||
Discount rate | 3.58% | 4.07% | |
Accumulated benefit obligation for all defined benefit pension plans | $ 304.9 | $ 272.5 | |
Foreign Pension Plan [Member] | |||
Discount rate | 2.45% | 2.58% | |
Accumulated benefit obligation for all defined benefit pension plans | $ 388.3 | $ 371.9 | |
Postretirement [Member] | |||
Discount rate | 3.25% | 3.50% | 3.50% |
Postretirement Benefit Costs [Member] | |||
Projected prior service cost for 2013 | $ (1.7) | $ (1.6) | $ (1.6) |
Postretirement benefit cost | 0.5 | ||
Projected Prior Service Gains | 0.7 | ||
Projected prior service gains in 2013 | 0.1 | ||
Pension Costs [Member] | |||
Projected pension expenses for 2013 | 5.9 | ||
Projected prior service cost for 2013 | 0.4 | ||
Projected net actuarial losses for 2013 | 4.8 | ||
Fair Value, Inputs, Level 1 [Member] | |||
Deferred Compensation Liability, Current and Noncurrent | 0 | 0 | |
UNITED STATES | |||
Defined benefit plan, fair value of pension plan assets | 281.8 | 201.3 | |
Defined Contribution Plan, Cost Recognized | 14 | 13.3 | 12.1 |
UNITED STATES | Pension Plans [Member] | |||
Defined benefit plan, fair value of pension plan assets | 283.2 | 202.4 | 192.7 |
Fair value of plan assets | 283.2 | 202.4 | |
Defined Benefit Plan, Contributions by Employer | 55.7 | 7.9 | |
UNITED STATES | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Fixed Income Investments [Member] | |||
Defined benefit plan, fair value of pension plan assets | 207.7 | 132.8 | |
UNITED STATES | Fixed Income Investments [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
Foreign Pension Plan [Member] | |||
Defined benefit plan, fair value of pension plan assets | 398.4 | 353.4 | |
Foreign Pension Plan [Member] | Pension Plans [Member] | |||
Defined Benefit Plan, Contributions by Employer | 5.2 | 6 | 6.5 |
Foreign Pension Plan [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 36.7 | 58.9 | |
United States Pension Plan of US Entity [Member] | Pension Costs [Member] | |||
Projected prior service cost for 2013 | (0.3) | (0.7) | (0.7) |
Non-US [Member] | |||
Defined Contribution Plan, Cost Recognized | 7 | 5.6 | 6.2 |
Non-US [Member] | Pension Plans [Member] | |||
Defined benefit plan, fair value of pension plan assets | 398.4 | 353.4 | $ 340.4 |
Fair value of plan assets | 7.9 | $ 6.8 | |
Discretionary contributions [Member] | UNITED STATES | Pension Plans [Member] | |||
Defined Benefit Plan, Contributions by Employer | $ 50 |
Pensions and Postretirement B69
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Company's Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Company contributions | $ 50 | $ 0 | $ 0 |
Other noncurrent assets | 66.2 | 45 | |
Non-US [Member] | |||
Other, including expenses paid | 6.1 | (14.4) | |
Non-US [Member] | Pension Plans [Member] | |||
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation | 29.5 | 25.9 | |
Defined benefit plan, plan with benefit obligation in excess of asset, project benefit obligation | 34.4 | 30.2 | |
Benefit obligation at end of year | 396.3 | 380.5 | 371.7 |
Fair value at beginning of year | 353.4 | 340.4 | |
Fair value at end of year | 398.4 | 353.4 | 340.4 |
Other noncurrent assets | 28.5 | 0 | |
Accrued compensation and benefits | (1.3) | (1.5) | |
Postemployment and other benefit liabilities | (25.1) | (25.6) | |
Plan assets less than benefit obligations | (2.1) | (27.1) | |
Defined Benefit Plan, Funded Status of Plan | 2.1 | (27.1) | |
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets | 7.9 | 6.8 | |
Non-US [Member] | Change In Benefit Obligations [Member] | Pension Plans [Member] | |||
Service cost | 3.3 | 3.1 | |
Interest cost | 8.9 | 10.7 | |
Employee contributions | 0.3 | 0.3 | |
Defined Benefit Plan, Business Combinations and Acquisitions, Benefit Obligation | 0 | 0 | |
Actuarial (gains) losses | (15.4) | 80.8 | |
Benefits paid | (13.7) | (18.7) | |
Currency translation | 34.3 | (63.5) | |
Defined Benefit Plan, Curtailments | (0.9) | (1.8) | |
Other, including expenses paid | (1) | (2.1) | |
Non-US [Member] | Change In Plan Assets [Member] | Pension Plans [Member] | |||
Employee contributions | 0.3 | 0.3 | |
Benefits paid | (13.7) | (18.7) | |
Other, including expenses paid | (1.9) | (2.1) | |
Actual return on assets | 22.3 | 90.3 | |
Currency translation | 33.7 | (61) | |
Settlements | (0.9) | (1.8) | |
Defined Benefit Plan, Business Combinations and Acquisitions, Plan Assets | 0 | 0 | |
Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 353.4 | ||
Fair value at end of year | 398.4 | 353.4 | |
Foreign Pension Plan [Member] | Pension Plans [Member] | |||
Defined Benefit Plan, Contributions by Employer | 5.2 | 6 | 6.5 |
Foreign Pension Plan [Member] | Real Estate Funds [Member] | |||
Fair value at beginning of year | 10.4 | ||
Fair value at end of year | 0.8 | 10.4 | |
Foreign Pension Plan [Member] | Other Defined Benefit [Member] | |||
Fair value at beginning of year | 66.1 | ||
Fair value at end of year | 78.9 | 66.1 | |
United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Receivables and payables, net | 1.4 | 1.1 | |
Fair value at beginning of year | 201.3 | ||
Fair value at end of year | 281.8 | 201.3 | |
United States Pension Plan of US Entity, Defined Benefit [Member] | Pension Plans [Member] | |||
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation | 304.9 | 272.5 | |
Defined benefit plan, plan with benefit obligation in excess of asset, project benefit obligation | 317.5 | 286.9 | |
Benefit obligation at end of year | 317.5 | 286.9 | 280.7 |
Fair value at beginning of year | 202.4 | 192.7 | |
Defined Benefit Plan, Contributions by Employer | 55.7 | 7.9 | |
Fair value at end of year | 283.2 | 202.4 | $ 192.7 |
Other noncurrent assets | 0 | 0 | |
Accrued compensation and benefits | (0.2) | (0.1) | |
Postemployment and other benefit liabilities | (34.1) | (84.4) | |
Plan assets less than benefit obligations | (34.3) | (84.5) | |
Defined Benefit Plan, Funded Status of Plan | (34.3) | (84.5) | |
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets | 283.2 | 202.4 | |
United States Pension Plan of US Entity, Defined Benefit [Member] | Change In Benefit Obligations [Member] | Pension Plans [Member] | |||
Service cost | 8.7 | 9.4 | |
Interest cost | 10.5 | 9.8 | |
Employee contributions | 0 | 0 | |
Defined Benefit Plan, Business Combinations and Acquisitions, Benefit Obligation | 7.3 | 0 | |
Actuarial (gains) losses | 17.5 | 1.6 | |
Benefits paid | (12.4) | (12.6) | |
Currency translation | 0 | 0 | |
Defined Benefit Plan, Curtailments | 0 | 0 | |
Other, including expenses paid | (1) | (2) | |
United States Pension Plan of US Entity, Defined Benefit [Member] | Change In Plan Assets [Member] | Pension Plans [Member] | |||
Employee contributions | 0 | 0 | |
Benefits paid | (12.4) | (12.6) | |
Other, including expenses paid | (0.9) | (2) | |
Actual return on assets | 31.9 | 16.4 | |
Currency translation | 0 | 0 | |
Settlements | 0 | 0 | |
Defined Benefit Plan, Business Combinations and Acquisitions, Plan Assets | 6.5 | 0 | |
Cash and Cash Equivalents [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 58.9 | ||
Fair value at end of year | 36.7 | 58.9 | |
Cash and Cash Equivalents [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 5.6 | ||
Fair value at end of year | 3.2 | 5.6 | |
Equity Funds [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 107.2 | ||
Fair value at end of year | 105.1 | 107.2 | |
Fixed Income Investments [Member] | Foreign Pension Plan [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 110.8 | ||
Fair value at end of year | 176.9 | 110.8 | |
Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 132.8 | ||
Fair value at end of year | 207.7 | 132.8 | |
Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 77.6 | ||
Fair value at end of year | 124.1 | 77.6 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 58.9 | ||
Fair value at end of year | 36.7 | 58.9 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plan [Member] | Real Estate Funds [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plan [Member] | Other Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Cash and Cash Equivalents [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 58.9 | ||
Fair value at end of year | 36.7 | 58.9 | |
Fair Value, Inputs, Level 1 [Member] | Cash and Cash Equivalents [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Equity Funds [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Fixed Income Investments [Member] | Foreign Pension Plan [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 291.8 | ||
Fair value at end of year | 225.6 | 291.8 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plan [Member] | Real Estate Funds [Member] | |||
Fair value at beginning of year | 9.7 | ||
Fair value at end of year | 0 | 9.7 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plan [Member] | Other Defined Benefit [Member] | |||
Fair value at beginning of year | 64.1 | ||
Fair value at end of year | 46.7 | 64.1 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 138.4 | ||
Fair value at end of year | 198.1 | 138.4 | |
Fair Value, Inputs, Level 2 [Member] | Cash and Cash Equivalents [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Cash and Cash Equivalents [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 5.6 | ||
Fair value at end of year | 3.2 | 5.6 | |
Fair Value, Inputs, Level 2 [Member] | Equity Funds [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 107.2 | ||
Fair value at end of year | 2 | 107.2 | |
Fair Value, Inputs, Level 2 [Member] | Fixed Income Investments [Member] | Foreign Pension Plan [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 110.8 | ||
Fair value at end of year | 176.9 | 110.8 | |
Fair Value, Inputs, Level 2 [Member] | Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 132.8 | ||
Fair value at end of year | 194.9 | 132.8 | |
Fair Value, Inputs, Level 2 [Member] | Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 77.6 | ||
Fair value at end of year | 111.3 | 77.6 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 2.7 | ||
Fair value at end of year | 3.1 | 2.7 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plan [Member] | Real Estate Funds [Member] | |||
Fair value at beginning of year | 0.7 | ||
Fair value at end of year | 0.8 | 0.7 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plan [Member] | Other Defined Benefit [Member] | |||
Fair value at beginning of year | 2 | ||
Fair value at end of year | 2.3 | 2 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Cash and Cash Equivalents [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Cash and Cash Equivalents [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Equity Funds [Member] | Foreign Pension Plan [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Fixed Income Investments [Member] | Foreign Pension Plan [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Fixed Income Investments [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | Corporate and Non-U.S. Bonds [Member] | |||
Fair value at beginning of year | 0 | ||
Fair value at end of year | 0 | 0 | |
Net of receivables and payables [Member] | United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Fair value at beginning of year | 202.4 | ||
Fair value at end of year | $ 283.2 | $ 202.4 |
Pensions and Postretirement B70
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Pretax Amounts Recognized in Accumulated Other Comprehensive Income or (Loss)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings | $ 0.1 | $ 0.3 | $ 1.1 |
Net Actuarial Losses [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | (0.2) | 2.9 | |
Balance at December 31, 2011 | 1.7 | (1.2) | |
Balance at December 31, 2012 | 1.5 | 1.7 | (1.2) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | |
Non-US [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 23.3 | (4.3) | |
Balance at December 31, 2011 | (79.6) | (92.2) | |
Settlements/curtailments reclassified to earnings | 0.1 | ||
Balance at December 31, 2012 | (60.5) | (79.6) | (92.2) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 1.8 | 2.2 | |
Defined Benefit Plan, Other Costs | (6.1) | 14.4 | |
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings | 0.3 | ||
Non-US [Member] | Prior Service Cost [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 0 | 0 | |
Balance at December 31, 2011 | 0 | 0 | |
Settlements/curtailments reclassified to earnings | 0 | ||
Balance at December 31, 2012 | 0.1 | 0 | 0 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | |
Defined Benefit Plan, Other Costs | 0.1 | 0 | |
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings | 0 | ||
Non-US [Member] | Net Actuarial Losses [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 23.3 | (4.3) | |
Balance at December 31, 2011 | (79.6) | (92.2) | |
Settlements/curtailments reclassified to earnings | 0.1 | ||
Balance at December 31, 2012 | (60.6) | (79.6) | (92.2) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 1.8 | 2.2 | |
Defined Benefit Plan, Other Costs | (6.2) | 14.4 | |
Other comprehensive income loss pension and other postretirement benefits settlements and curtailments reclassified to earnings | 0.3 | ||
UNITED STATES | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 2.4 | 4.5 | |
Balance at December 31, 2011 | (81.8) | (91.7) | |
Balance at December 31, 2012 | (74.3) | (81.8) | (91.7) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 5.1 | 5.4 | |
UNITED STATES | Prior Service Cost [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 0 | 0 | |
Balance at December 31, 2011 | (2.1) | (2.8) | |
Balance at December 31, 2012 | (1.8) | (2.1) | (2.8) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0.3 | 0.7 | |
UNITED STATES | Net Actuarial Losses [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 2.4 | 4.5 | |
Balance at December 31, 2011 | (79.7) | (88.9) | |
Balance at December 31, 2012 | (72.5) | (79.7) | $ (88.9) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | $ 4.8 | $ 4.7 |
Pensions and Postretirement B71
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Defined Benefit Plan Weighted Average Assumptions) (Details) | Dec. 31, 2017 | Dec. 31, 2016 |
United States Pension Plan of US Entity [Member] | ||
Discount rate | 3.58% | 4.07% |
Rate of compensation increase | 3.00% | 3.50% |
Foreign Pension Plan [Member] | ||
Discount rate | 2.45% | 2.58% |
Rate of compensation increase | 3.19% | 3.18% |
Pensions and Postretirement B72
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Defined Benefit Plan Pension Benefit Payments) (Details) - Pension Plans [Member] $ in Millions | Dec. 31, 2017USD ($) |
United States Pension Plan of US Entity [Member] | |
2,017 | $ 16.3 |
2,018 | 16.6 |
2,019 | 23.6 |
2,020 | 18.7 |
2,021 | 19.1 |
2022-2026 | 111.7 |
Non-U.S. [Member] | |
2,017 | 16 |
2,018 | 16.3 |
2,019 | 17 |
2,020 | 17.8 |
2,021 | 18.3 |
2022-2026 | $ 102.3 |
Pensions and Postretirement B73
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Net Periodic Benefit Cost) (Details) - Pension Costs [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Prior service costs, net amortization of | $ (0.4) | ||
United States Pension Plan of US Entity [Member] | |||
Service cost | 8.7 | $ 9.4 | $ 9.5 |
Interest cost | 10.5 | 9.8 | 11 |
Expected return on plan assets | (12) | (10.2) | (11.2) |
Prior service costs, net amortization of | 0.3 | 0.7 | 0.7 |
Plan net actuarial losses, net amortization of | 4.8 | 4.7 | 4.9 |
Net periodic benefit cost | 12.3 | 14.4 | 14.9 |
Net curtailment and settlement (gains) losses | 0 | 0 | 0.9 |
Net periodic benefit cost after net curtailment and settlement (gains) losses | 12.3 | 14.4 | 15.8 |
United States Pension Plan of US Entity, Defined Benefit [Member] | |||
Service cost | 3.3 | 3.1 | 3.3 |
Interest cost | 8.9 | 10.7 | 13.7 |
Expected return on plan assets | (14.3) | (13.7) | (17.8) |
Defined Benefit Plan, Other Costs | 0.7 | 0 | 0 |
Plan net actuarial losses, net amortization of | 1.9 | 2.2 | 1.4 |
Net periodic benefit cost | 0.5 | 2.3 | 0.6 |
Net curtailment and settlement (gains) losses | 0.1 | 0.3 | 0.2 |
Net periodic benefit cost after net curtailment and settlement (gains) losses | $ 0.6 | $ 2.6 | $ 0.8 |
Pensions and Postretirement B74
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Weighted Average Assumptions Net Periodic Pension Cost) (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Postretirement [Member] | |||
Discount rate | 3.25% | 3.50% | 3.50% |
Discount rate | 3.50% | 3.50% | 3.50% |
United States Pension Plan of US Entity [Member] | |||
Discount rate | 3.58% | 4.07% | |
Discount rate | 4.07% | 4.31% | 3.98% |
Rate of compensation increase | 3.50% | 3.50% | 3.50% |
Percentage of expected return on plan assets | 4.75% | 5.50% | 5.50% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 3.00% | 3.50% | |
Foreign Pension Plan [Member] | |||
Discount rate | 2.45% | 2.58% | |
Discount rate | 2.58% | 3.65% | 3.69% |
Rate of compensation increase | 3.16% | 2.95% | 2.94% |
Percentage of expected return on plan assets | 3.97% | 4.47% | 4.96% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 3.19% | 3.18% |
Pensions and Postretirement B75
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Fair Values of Company's Pension Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Foreign Pension Plan [Member] | |||
Defined benefit plan, fair value of pension plan assets | $ 398.4 | $ 353.4 | |
Assets measured at NAV | 133 | ||
Foreign Pension Plan [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 36.7 | 58.9 | |
Foreign Pension Plan [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 225.6 | 291.8 | |
Foreign Pension Plan [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 3.1 | 2.7 | |
Foreign Pension Plan [Member] | Real Estate Funds [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0.8 | 10.4 | |
Assets measured at NAV | 0 | ||
Foreign Pension Plan [Member] | Real Estate Funds [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
Foreign Pension Plan [Member] | Real Estate Funds [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 9.7 | |
Foreign Pension Plan [Member] | Real Estate Funds [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0.8 | 0.7 | |
Foreign Pension Plan [Member] | Other Defined Benefit [Member] | |||
Defined benefit plan, fair value of pension plan assets | 78.9 | 66.1 | |
Assets measured at NAV | 29.9 | ||
Foreign Pension Plan [Member] | Other Defined Benefit [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
Foreign Pension Plan [Member] | Other Defined Benefit [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 46.7 | 64.1 | |
Foreign Pension Plan [Member] | Other Defined Benefit [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 2.3 | 2 | |
Foreign Pension Plan [Member] | Cash and Cash Equivalents [Member] | |||
Defined benefit plan, fair value of pension plan assets | 36.7 | 58.9 | |
Assets measured at NAV | 0 | ||
Foreign Pension Plan [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 36.7 | 58.9 | |
Foreign Pension Plan [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
Foreign Pension Plan [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
Foreign Pension Plan [Member] | Equity Funds [Member] | |||
Defined benefit plan, fair value of pension plan assets | 105.1 | 107.2 | |
Assets measured at NAV | 103.1 | ||
Foreign Pension Plan [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
Foreign Pension Plan [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 2 | 107.2 | |
Foreign Pension Plan [Member] | Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | |||
Defined benefit plan, fair value of pension plan assets | 281.8 | 201.3 | |
Assets measured at NAV | 83.7 | 62.9 | |
Receivables and payables, net | 1.4 | 1.1 | |
UNITED STATES | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 198.1 | 138.4 | |
UNITED STATES | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Pension Plans [Member] | |||
Defined benefit plan, fair value of pension plan assets | 283.2 | 202.4 | $ 192.7 |
UNITED STATES | Cash and Cash Equivalents [Member] | |||
Defined benefit plan, fair value of pension plan assets | 3.2 | 5.6 | |
Assets measured at NAV | 0 | 0 | |
UNITED STATES | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 3.2 | 5.6 | |
UNITED STATES | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Fixed Income Investments [Member] | |||
Defined benefit plan, fair value of pension plan assets | 207.7 | 132.8 | |
Assets measured at NAV | 12.8 | 0 | |
UNITED STATES | Fixed Income Investments [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Fixed Income Investments [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 194.9 | 132.8 | |
UNITED STATES | Fixed Income Investments [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Mutual Fund [Member] | |||
Defined benefit plan, fair value of pension plan assets | 70.9 | 62.9 | |
Assets measured at NAV | 70.9 | 62.9 | |
UNITED STATES | Mutual Fund [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Mutual Fund [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Mutual Fund [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Defined benefit plan, fair value of pension plan assets | 0 | 0 | |
UNITED STATES | Net of receivables and payables [Member] | |||
Defined benefit plan, fair value of pension plan assets | $ 283.2 | $ 202.4 |
Pensions and Postretirement B76
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Company's Postretirement Plans Benefit Obligations) (Details) - Postretirement [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Benefit obligation at beginning of year | $ 9.7 | $ 12.9 |
Service cost | 0.1 | 0.1 |
Interest cost | 0.3 | 0.4 |
Actuarial (gains) losses | 0.1 | (2.9) |
Benefits paid, net of Medicare Part D subsidy | (0.9) | (0.8) |
Benefit obligation at end of year | $ 9.3 | $ 9.7 |
Pensions and Postretirement B77
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Company's Postretirement Plans Funded Status) (Details) - Postretirement [Member] - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Plan assets less than benefit obligations | $ (9.3) | $ (9.7) |
Accrued compensation and benefits | (0.9) | (0.9) |
Postemployment and other benefit liabilities | $ (8.4) | $ (8.8) |
Pensions and Postretirement B78
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Pretax Amounts Recognized in Accumulated Other Comprehensive Income (Loss) Other Than Pension) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Postretirement [Member] | ||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | $ (0.2) | $ 2.9 |
Balance at December 31, 2011 | 4 | 2.7 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (1.7) | (1.6) |
Balance at December 31, 2012 | 2.1 | 4 |
Net Actuarial Losses [Member] | ||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | (0.2) | 2.9 |
Balance at December 31, 2011 | 1.7 | (1.2) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 |
Balance at December 31, 2012 | 1.5 | 1.7 |
prior service gains [Member] | ||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 0 | 0 |
Balance at December 31, 2011 | 2.3 | 3.9 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (1.7) | (1.6) |
Balance at December 31, 2012 | $ 0.6 | $ 2.3 |
Pensions and Postretirement B79
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Net Periodic Postretirement Benefit Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
prior service gains [Member] | |||
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | $ (0.6) | $ (2.3) | $ (3.9) |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 0 | 0 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (1.7) | (1.6) | |
Net Actuarial Losses [Member] | |||
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | (1.5) | (1.7) | 1.2 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | (0.2) | 2.9 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | |
Postretirement Benefit Costs [Member] | |||
Projected Prior Service Gains | 0.7 | ||
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 0.3 | 0.4 | 0.5 |
Prior service gains, net amortization of | (1.7) | (1.6) | (1.6) |
Plan net actuarial losses, net amortization of | (0.1) | 0 | 0 |
Net periodic benefit cost after net curtailment and settlement (gains) losses | $ (1.4) | $ (1.1) | $ (1) |
Pensions and Postretirement B80
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Defined Benefit Plan Weighted Average Discount Rate Assumptions) (Details) - Postretirement [Member] | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Discount rate | 3.25% | 3.50% | 3.50% |
Net periodic benefit cost | 3.50% | 3.50% | 3.50% |
Pensions and Postretirement B81
Pensions and Postretirement Benefits Other Than Pensions (Schedule of Benefit Payments for Postretirement Benefits) (Details) - Postretirement [Member] $ in Millions | Dec. 31, 2017USD ($) |
2,017 | $ 0.9 |
2,018 | 1 |
2,019 | 0.9 |
2,020 | 0.9 |
2,021 | 0.8 |
2022-2026 | $ 3.5 |
Pensions and Postretirement B82
Pensions and Postretirement Benefits Other Than Pensions Pensions and Postretirement Benefits Other Than Pensions (Schedule of Benefit Payments Defined Benefit Plan) (Details) - Pension Plans [Member] $ in Millions | Dec. 31, 2017USD ($) |
United States Pension Plan of US Entity [Member] | |
2,017 | $ 16.3 |
2,018 | 16.6 |
2,019 | 23.6 |
2,020 | 18.7 |
2,021 | 19.1 |
2022-2026 | 111.7 |
Non-U.S. [Member] | |
2,017 | 16 |
2,018 | 16.3 |
2,019 | 17 |
2,020 | 17.8 |
2,021 | 18.3 |
2022-2026 | $ 102.3 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Assets, Fair Value Disclosure, Recurring | $ 5.5 | $ 5.6 |
Deferred Compensation Liability, Current and Noncurrent | 20.9 | 16.8 |
Total liability recurring fair value measurements | 21.6 | 17.5 |
Long-term Debt, Fair Value | 1,485.2 | 1,510.6 |
Fair Value, Net Asset (Liability) | 1,485.2 | 1,510.6 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Deferred Compensation Liability, Current and Noncurrent | 0 | 0 |
Total liability recurring fair value measurements | 0 | 0 |
Long-term Debt, Fair Value | 0 | 0 |
Fair Value, Net Asset (Liability) | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure, Recurring | 5.5 | 5.6 |
Deferred Compensation Liability, Current and Noncurrent | 20.9 | 16.8 |
Total liability recurring fair value measurements | 21.6 | 17.5 |
Long-term Debt, Fair Value | 1,485.2 | 1,510.6 |
Fair Value, Net Asset (Liability) | 1,485.2 | 1,510.6 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Deferred Compensation Liability, Current and Noncurrent | 0 | 0 |
Total liability recurring fair value measurements | 0 | 0 |
Long-term Debt, Fair Value | 0 | 0 |
Fair Value, Net Asset (Liability) | 0 | 0 |
Interest Rate Swap [Member] | ||
Derivative, Notional Amount | 250 | |
Derivative instruments | 5.3 | 4.6 |
Interest Rate Derivative Liabilities, at Fair Value | 0.4 | |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative instruments | 0 | 0 |
Interest Rate Derivative Liabilities, at Fair Value | 0 | |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative instruments | 5.3 | 4.6 |
Interest Rate Derivative Liabilities, at Fair Value | 0.4 | |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative instruments | 0 | 0 |
Interest Rate Derivative Liabilities, at Fair Value | 0 | |
Foreign Exchange Contract [Member] | ||
Derivative instruments | 0.2 | 1 |
Derivative instruments | 0.7 | 0.3 |
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative instruments | 0 | 0 |
Derivative instruments | 0 | 0 |
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative instruments | 0.2 | 1 |
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | 0.7 | 0.3 |
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative instruments | 0 | 0 |
Derivative instruments | $ 0 | $ 0 |
Equity (Narrative) (Details)
Equity (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Comprehensive Income (Loss), Net of Tax | $ 117.2 | $ (32.5) | $ (85.4) |
Treasury Stock, Value, Acquired, Cost Method | 60 | 85.1 | $ 30 |
Stockholders' Equity, Other | (0.1) | $ (0.2) | |
Stock repurchase program, authorized amount | $ (500) | ||
Common stock, dividends, in dollars per share, declared | $ 0.64 | $ 0.48 | $ 0.40 |
Number of ordinary shares | 400 | ||
Number of preference shares | 10 | ||
Preference shares, par value, in dollars per share | $ 0.001 | ||
Treasury Stock, Shares, Acquired | 0.8 | ||
Accumulated Defined Benefit Plans Adjustment [Member] | |||
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Reclassification Adjustments, Net of Tax | $ 6.4 | ||
Other Comprehensive Income (Loss), Net of Tax | 19.3 | $ 18.8 | $ (23.2) |
Accumulated Translation Adjustment [Member] | |||
Other Comprehensive Income (Loss), Net of Tax | 98.1 | (40.3) | (59.1) |
Noncontrolling interest [Member] | |||
Other Comprehensive Income (Loss), Net of Tax | (0.6) | (0.4) | (1.3) |
Treasury Stock, Value, Acquired, Cost Method | 0 | 0 | $ 0 |
Stockholders' Equity, Other | $ 0.2 | $ 0 |
Equity (Reconciliation of Ordin
Equity (Reconciliation of Ordinary Shares) (Details) - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Treasury Stock, Shares, Acquired | (0.8) | ||
Ordinary shares [Member] | |||
Beginning balance, shares | 95.3 | 96 | 95.8 |
Shares issued under incentive plans | 0.6 | 0.6 | 0.7 |
Treasury Stock, Shares, Acquired | (0.8) | 1.3 | (0.5) |
Ending balance, shares | 95.1 | 95.3 | 96 |
Equity (Changes In Accumulated
Equity (Changes In Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Comprehensive Income (Loss), Net of Tax | $ 117.2 | $ (32.5) | $ (85.4) |
Accumulated other comprehensive income (loss) | (264.3) | (232.2) | (148.2) |
Accumulated other comprehensive income (loss) | (152.9) | (264.3) | (232.2) |
Cash flow hedges and marketable securities [Member] | |||
Other Comprehensive Income (Loss), Net of Tax | 0.4 | (10.6) | (1.7) |
Accumulated other comprehensive income (loss) | 3.4 | 14 | 15.7 |
Accumulated other comprehensive income (loss) | 3.8 | 3.4 | 14 |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Tax | 0 | ||
Accumulated Defined Benefit Plans Adjustment [Member] | |||
Other Comprehensive Income (Loss), Net of Tax | 19.3 | 18.8 | (23.2) |
Accumulated other comprehensive income (loss) | (120.5) | (139.3) | (116.1) |
Accumulated other comprehensive income (loss) | (107.6) | (120.5) | (139.3) |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Tax | (6.4) | ||
Accumulated Translation Adjustment [Member] | |||
Other Comprehensive Income (Loss), Net of Tax | 98.1 | (40.3) | (59.1) |
Accumulated other comprehensive income (loss) | (147.2) | (106.9) | (47.8) |
Accumulated other comprehensive income (loss) | (49.1) | (147.2) | (106.9) |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Tax | 0 | ||
Reclassification out of Accumulated Other Comprehensive Income [Domain] | |||
Other Comprehensive Income (Loss), Net of Tax | 117.8 | $ (32.1) | $ (84) |
Accumulated other comprehensive income (loss) | (152.9) | ||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Tax | $ (6.4) |
Equity Equity (Other Comprehens
Equity Equity (Other Comprehensive Income in Noncontrolling Interest) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Noncontrolling Interest [Line Items] | |||
Other comprehensive income (loss) attributable to noncontrolling interest, net of tax | $ (0.6) | $ (0.4) | $ (1.4) |
Accumulated Foreign Currency Adjustment Attributable to Noncontrolling Interest [Member] | |||
Noncontrolling Interest [Line Items] | |||
Other comprehensive income (loss) attributable to noncontrolling interest, net of tax | $ (0.6) | $ (0.4) | $ (1.4) |
Share-Based Compensation (Narra
Share-Based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total number of shares authorized by the shareholders | 8 | ||
Remains available for future incentive awards | 3.4 | ||
Share-based compensation expense reversal | $ 18.9 | $ 17.4 | $ 14.8 |
Share-based compensation expense reversal, net of tax | $ 12.5 | $ 11.8 | 10.4 |
Average fair value of stock options granted, in dollars per share | $ 18.22 | $ 15.86 | |
Aggregate intrinsic value of options exercised, in USD | $ 17.5 | $ 18.3 | |
Performance Shares [Member] | |||
Total unrecognized compensation cost from stock option arrangements granted under the plan, in USD | 4.2 | ||
Restricted Stock Units (RSUs) [Member] | |||
Total unrecognized compensation cost from stock option arrangements granted under the plan, in USD | 6.5 | ||
Stock Option [Member] | |||
Total unrecognized compensation cost from stock option arrangements granted under the plan, in USD | 2.4 | ||
Stock Options [Member] | |||
Share-based compensation expense reversal | $ 3.3 | $ 4.1 | $ 3.7 |
Share-Based Compensation (Compe
Share-Based Compensation (Compensation Expenses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 18.9 | $ 17.4 | $ 14.8 |
Tax benefit | (6.4) | (5.6) | (4.4) |
Share-based compensation expense, net of tax | 12.5 | 11.8 | 10.4 |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 3.3 | 4.1 | 3.7 |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 7 | 7.7 | 5.8 |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 5.8 | 4.8 | 5 |
Deferred Compensation, Share-based Payments [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 2.8 | $ 0.8 | $ 0.3 |
Share-Based Compensation Share-
Share-Based Compensation Share-Based Compensation (Fair Value of Stock Options Assumptions) (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Dividend yield | 0.89% | 0.83% | 0.69% |
Volatility | 24.93% | 28.85% | 31.37% |
Risk free rate of return | 2.08% | 1.38% | 1.78% |
Expected life | 6 years | 6 years | 6 years |
Share-Based Compensation (Chang
Share-Based Compensation (Changes in Options Outstanding Under the Plans) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Weighted average remaining life, Exercisable, in years | 4 years 10 months | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Other Increases (Decreases) in Period | (14,976) | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Other Share Increase (Decrease) in Period, Weighted Average Exercise Price | $ 47.28 | ||
Stock Options [Member] | |||
Shares subject to options, Beginning balance | 1,313,070 | 1,592,167 | 1,962,028 |
Shares subject to options, Granted | 165,113 | 231,521 | 220,679 |
Shares subject to options, Exercised | (410,397) | (447,019) | (575,564) |
Shares subject to options, Cancelled | (15,906) | (63,599) | |
Shares subject to options, Ending balance | 1,051,880 | 1,313,070 | 1,592,167 |
Shares subject to options, Exercisable | 696,929 | ||
Weighted average exercise price, Beginning balance, in dollars per share | $ 39.87 | $ 33.91 | $ 28.11 |
Weighted average exercise price, Granted, in dollars per share | 71.84 | 57.91 | 57.85 |
Weighted average exercise price, Exercised, in dollars per share | 31.54 | 26.04 | 22.98 |
Weighted average exercise price, Cancelled, in dollars per share | 60.84 | 53.40 | |
Weighted average exercise price, Ending Balance, in dollars per share | 47.80 | $ 39.87 | $ 33.91 |
Weighted average exercise price, Exercisable, in dollars per share | $ 39.46 | ||
Aggregate intrinsic value, Outstanding, in USD | $ 33.4 | ||
Aggregate intrinsic value, Exercisable, in USD | $ 27.9 | ||
Weighted average remaining life, Outstanding, in years | 5 years 12 months | ||
Weighted average remaining life, Exercisable, in years | 4 years 10 months |
Share-Based Compensation (Infor
Share-Based Compensation (Information Concerning Currently Outstanding and Exercisable Options) (Details) | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Number of options outstanding, in shares | shares | 1,051,880 |
Weighted average remaining life, Outstanding, in years | 6 years |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 47.80 |
Number of options exercisable, in shares | shares | 696,929 |
Weighted average remaining life, Exercisable, in years | 4 years 10 months |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 39.46 |
10.01 - 20.00 [Member] | |
Number of options outstanding, in shares | shares | 88,965 |
Weighted average remaining life, Outstanding, in years | 1 year 6 months |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 15.17 |
Number of options exercisable, in shares | shares | 88,965 |
Weighted average remaining life, Exercisable, in years | 1 year 6 months |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 15.17 |
20.01 - 30.00 [Member] | |
Number of options outstanding, in shares | shares | 149,055 |
Weighted average remaining life, Outstanding, in years | 2 years 7 months |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 26.62 |
Number of options exercisable, in shares | shares | 149,055 |
Weighted average remaining life, Exercisable, in years | 2 years 7 months |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 26.62 |
30.01 - 40.00 [Member] | |
Number of options outstanding, in shares | shares | 82,043 |
Weighted average remaining life, Outstanding, in years | 4 years 8 months |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 32.33 |
Number of options exercisable, in shares | shares | 82,043 |
Weighted average remaining life, Exercisable, in years | 4 years 8 months |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 32.33 |
40.01 - 50.00 [Member] | |
Number of options outstanding, in shares | shares | 128,503 |
Weighted average remaining life, Outstanding, in years | 6 years |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 43.37 |
Number of options exercisable, in shares | shares | 128,503 |
Weighted average remaining life, Exercisable, in years | 6 years |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 43.37 |
50.01 - 60.00 [Member] | |
Number of options outstanding, in shares | shares | 442,663 |
Weighted average remaining life, Outstanding, in years | 7 years 1 month |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 56.92 |
Number of options exercisable, in shares | shares | 248,295 |
Weighted average remaining life, Exercisable, in years | 6 years 8 months |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 56.19 |
Sixty point zero one dollars to seventy dollars [Domain] | |
Number of options outstanding, in shares | shares | 421 |
Weighted average remaining life, Outstanding, in years | 8 years 10 months |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 63.93 |
Number of options exercisable, in shares | shares | 0 |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 0 |
Seventy point zero one dollars to eighty dollars [Domain] | |
Number of options outstanding, in shares | shares | 160,230 |
Weighted average remaining life, Outstanding, in years | 9 years |
Weighted average exercise price, options outstanding, in dollars per share | $ / shares | $ 71.84 |
Number of options exercisable, in shares | shares | 68 |
Weighted average exercise price, option exercisable, in dollars per share | $ / shares | $ 71.35 |
Share-Based Compensation (RSU A
Share-Based Compensation (RSU Activity During the Year) (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Outstanding and unvested, beginning balance, in shares | 205,634 | 344,930 | 325,160 |
RSUs, granted, in shares | 124,933 | 123,299 | 121,153 |
RSUs, vested, in shares | (90,523) | (220,854) | (92,029) |
RSUs, cancelled, in shares | (10,038) | (41,741) | |
Outstanding and unvested, ending balance, in shares | 230,006 | 205,634 | 344,930 |
Weighted average grant date fair value, beginning of Period, in dollars per share | $ 58.99 | $ 49.59 | $ 42.15 |
Weighted average grant date fair value, granted, in dollars per share | 73.76 | 59.49 | 59.69 |
Weighted average grant date fair value, vested, in dollars per share | 58.78 | 45.83 | $ 36.63 |
Weighted average grant date fair value, cancelled, in dollars per share | 60.47 | 52.40 | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Other | (9,354) | ||
Weighted average grant date fair value, end of Period, in dollars per share | $ 66.83 | $ 58.99 | $ 49.59 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Other, Weighted Average Grant Date Fair Value | $ 49.32 |
Share-Based Compensation Share
Share-Based Compensation Share Based Compensation (Performance Shares Rollforward) (Details) - Performance Shares [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Outstanding and unvested, beginning balance, in shares | 209,604 | 202,043 | 161,132 |
Weighted average grant date fair value, beginning of Period, in dollars per share | $ 56.02 | $ 64.92 | $ 57.39 |
Share based compensation (SARs or Performance shares), granted, in shares | 99,832 | 94,201 | 58,323 |
Weighted average grant date fair value, granted, in dollars per share | $ 78.13 | $ 64.83 | $ 66.47 |
Performance shares, vested in period, in shares | (146,830) | (64,979) | (17,327) |
Performance shares, vested, weighted average grant date fair value | $ 72.01 | $ 72.69 | $ 75.05 |
Share based compensation (SARs or Performance shares), cancelled, in shares | (1,783) | (21,661) | (85) |
Weighted average grant date fair value, cancelled, in dollars per share | $ 67.10 | ||
Outstanding and unvested, ending balance, in shares | 160,823 | 209,604 | 202,043 |
Weighted average grant date fair value, end of Period, in dollars per share | $ 55.02 | $ 56.02 | $ 64.92 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Other, Weighted Average Grant Date Fair Value | $ 57.07 | $ 75.05 |
Restructuring Activities (Narra
Restructuring Activities (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring and related cost, incurred cost | $ 12.3 | $ 3.1 | $ 15.1 |
Restructuring reserve, current | 4.2 | 3.5 | $ 10.2 |
Other Restructuring [Member] | Non-qualified restructuring plan [Domain] | |||
Restructuring and related cost, incurred cost | $ 1.5 | $ 6.4 |
Restructuring Activities (Restr
Restructuring Activities (Restructuring Charges) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring and related cost, incurred cost | $ 12.3 | $ 3.1 | $ 15.1 |
Americas [Member] | |||
Restructuring and related cost, incurred cost | 5.5 | 2 | 0 |
EMEIA [Member] | |||
Restructuring and related cost, incurred cost | 6.2 | 0.9 | 14.7 |
Asia Pacific [Member] | |||
Restructuring and related cost, incurred cost | 0 | 0.2 | 0.4 |
Corporate and Other [Member] | |||
Restructuring and related cost, incurred cost | 0.6 | 0 | 0 |
selling and administrative expenses [Member] | |||
Restructuring and related cost, incurred cost | 6.5 | 2.2 | 1.5 |
Cost of goods sold [Member] | |||
Restructuring and related cost, incurred cost | $ 5.8 | $ 0.9 | $ 13.6 |
Restructuring Activities (Res97
Restructuring Activities (Restructuring Reserve) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring reserve, beginning balance | $ 3.5 | $ 10.2 | |
Additions | 12.3 | 3.1 | $ 15.1 |
Cash and non-cash uses | (11.8) | (9.6) | |
Currency translation | 0.2 | (0.2) | |
Restructuring reserve, ending balance | 4.2 | 3.5 | 10.2 |
Americas [Member] | |||
Restructuring reserve, beginning balance | 0.3 | 0 | |
Additions | 5.5 | 2 | 0 |
Cash and non-cash uses | (5.5) | (1.7) | |
Currency translation | 0 | 0 | |
Restructuring reserve, ending balance | 0.3 | 0.3 | 0 |
EMEIA [Member] | |||
Restructuring reserve, beginning balance | 3.2 | 10 | |
Additions | 6.2 | 0.9 | 14.7 |
Cash and non-cash uses | (5.8) | (7.5) | |
Currency translation | 0.2 | (0.2) | |
Restructuring reserve, ending balance | 3.8 | 3.2 | 10 |
Asia Pacific [Member] | |||
Restructuring reserve, beginning balance | 0 | 0.2 | |
Additions | 0 | 0.2 | 0.4 |
Cash and non-cash uses | 0 | (0.4) | |
Currency translation | 0 | 0 | |
Restructuring reserve, ending balance | 0 | 0 | 0.2 |
Corporate and Other [Member] | |||
Restructuring reserve, beginning balance | 0 | 0 | |
Additions | 0.6 | 0 | 0 |
Cash and non-cash uses | (0.5) | 0 | |
Currency translation | 0 | 0 | |
Restructuring reserve, ending balance | $ 0.1 | $ 0 | $ 0 |
Other, Net (Narrative) (Details
Other, Net (Narrative) (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Interest income | $ 1.2 | $ 1.9 | $ 1.5 |
Weighted-average number of basic shares | 95.1 | 95.8 | 95.9 |
Equity Method Investment, Realized Gain (Loss) on Disposal | $ 5.4 | ||
Foreign Currency Transaction Gain (Loss), before Tax | 0.7 | $ 2 | $ 4.9 |
Earnings (loss) from equity investments | $ (5.4) | $ (3.6) | $ 0.3 |
Shares issuable under incentive stock plans | 0.9 | 1.1 | 1 |
Weighted-average number of diluted shares | 96 | 96.9 | 96.9 |
miscellaneous other nonoperating income expense | $ (7.3) | $ (14.7) | $ (11.5) |
Other income, net | $ 13.2 | 18.2 | 7.8 |
Other, net [Member] | |||
Marketable Securities, Realized Gain (Loss) | $ 12.4 | 11 | |
Other Nonoperating Expense | $ 2.8 | ||
Legal entity liquidation [Member] | Other, net [Member] | |||
Other Income Disclosure, Nonoperating | 7.3 | ||
Legal entity liquidation [Member] | Noncontrolling Interest [Member] | |||
Other Income Disclosure, Nonoperating | 2.2 |
Other, Net Table (Details)
Other, Net Table (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Net [Abstract] | |||
Interest income | $ (1.2) | $ (1.9) | $ (1.5) |
Foreign Currency Transaction Gain (Loss), before Tax | 0.7 | 2 | 4.9 |
Earnings (loss) from equity investments | (5.4) | (3.6) | 0.3 |
miscellaneous other nonoperating income expense | (7.3) | (14.7) | (11.5) |
Other, net | $ (13.2) | $ (18.2) | $ (7.8) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Deferred Tax Liabilities, Undistributed Foreign Earnings | $ 6 | $ 4.2 | ||
Undistributed earnings | 544.4 | 376.6 | ||
Unrecognized tax benefits | 29 | 32 | $ 23.8 | $ 25.4 |
Unrecognized tax benefits, income tax penalties and interest accrued | 4.9 | 5.4 | ||
Income Tax Examination, Penalties and Interest Expense | 0 | (0.3) | ||
Unrecognized Tax Benefits, Decreases Resulting from Settlements with Taxing Authorities | 7.1 | 0.6 | 0 | |
Benefit (provision) for income taxes | 119 | 63.8 | $ 54.6 | |
Income Taxes Paid | 86.7 | 10.4 | ||
Income Taxes Receivable, Current | 12.2 | 11.9 | ||
Foreign Tax Authority [Member] | ||||
Unrecognized tax benefits | 27.4 | |||
Total Increase (Decrease) to Valuation Allowance [Member] | ||||
Valuation Allowance, Deferred Tax Asset, Change in Amount | 87.4 | |||
Provision for income taxes [Member] | Remeasurement of deferred taxes due to Tax Reform [Member] | ||||
Other Asset Impairment Charges | 24.5 | |||
Provision for income taxes [Member] | Reassessment of future realizability of deferred taxes due to Tax Reform [Member] | ||||
Other Asset Impairment Charges | 22.8 | |||
Provision for income taxes [Member] | Toll Tax [Member] | ||||
Other Asset Impairment Charges | 5 | |||
Canada Revenue Agency [Member] | ||||
Tax Indemnity Receivable from Former Parent | 5.7 | 5.6 | ||
Unrecognized Tax Benefits, Decreases Resulting from Settlements with Taxing Authorities | $ 10.7 | |||
Proceeds from Income Tax Refunds | $ 46.2 |
Income Taxes Schedule of Earnin
Income Taxes Schedule of Earnings (Loss) Before Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings (loss) before income taxes | $ 395.7 | $ 295 | $ 209.3 |
UNITED STATES | |||
Earnings (loss) before income taxes, United States | 166.5 | 129.9 | 123.1 |
Non-US [Member] | |||
Earnings (loss) before income taxes, Non-U.S. | 229.2 | $ 165.1 | $ 86.2 |
Provision for income taxes [Member] | Discrete net tax charge due to Tax Reform [Member] | |||
Other Asset Impairment Charges | $ 53.5 |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Provision for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Current tax expense (benefit) | $ 93.8 | $ 57.6 | $ 56.9 |
Deferred tax expense (benefit) | 25.2 | 6.2 | (2.3) |
Benefit (provision) for income taxes | 119 | 63.8 | 54.6 |
United States [Member] | |||
Current tax expense (benefit) | 78.8 | 43.8 | 53.4 |
Deferred tax expense (benefit) | 41.2 | 14.4 | 2.1 |
Benefit (provision) for income taxes | 120 | 58.2 | 55.5 |
Non-U.S. [Member] | |||
Current tax expense (benefit) | 15 | 13.8 | 3.5 |
Deferred tax expense (benefit) | (16) | (8.2) | (4.4) |
Benefit (provision) for income taxes | $ (1) | $ 5.6 | $ (0.9) |
Income Taxes (Schedule of Recon
Income Taxes (Schedule of Reconciliation Between Statutory and Effective Tax Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statutory U.S. rate | 35.00% | 35.00% | 35.00% |
Non US tax rate differential | (20.00%) | (17.40%) | (11.10%) |
State and local income taxes | 1.80% | 2.00% | 2.80% |
Reserves for uncertain tax positions | 0.80% | 2.00% | (3.40%) |
Effective Income Tax Rate Reconciliation, Deduction, Extraterritorial Income Exclusion, Percent | 0.80% | 1.20% | 1.50% |
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Percent | 13.50% | 0.00% | 0.00% |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Other, Percent | 0.00% | 0.00% | 0.90% |
Effective Income Tax Rate Reconciliation, Deduction, Qualified Production Activity, Percent | (0.90%) | (0.60%) | (1.00%) |
Other adjustments | (0.90%) | (0.60%) | 1.40% |
Effective tax rate | 30.10% | 21.60% | 26.10% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Accounts) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Inventory and accounts receivable, deferred tax asset | $ 17 | $ 18.3 | ||
Fixed assets and intangibles, deferred tax asset | 2.6 | 2 | ||
Postemployment and other benefit liabilities, deferred tax asset | 29.9 | 42 | ||
Other reserves and accruals, deferred tax asset | 12.5 | 16 | ||
Net operating losses and credit carryforwards, deferred tax asset | 309.5 | 227.1 | ||
Other, deferred tax asset | 4.2 | 5.3 | ||
Gross deferred tax assets | 375.7 | 310.7 | ||
Deferred tax valuation allowances | (312.9) | (225.5) | $ (133.3) | $ (50.8) |
Deferred tax assets net of valuation allowances | 62.8 | 85.2 | ||
Fixed assets and intangibles, deferred tax liability | (101.7) | (90.6) | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Pensions | (4.7) | 0 | ||
Deferred Tax Liabilities, Undistributed Foreign Earnings | (6) | (4.2) | ||
Other, deferred tax liability | (7.4) | (6) | ||
Deferred Tax Liabilities, Gross | 119.8 | 100.8 | ||
Gross deferred tax liability | $ (57) | $ (15.6) |
Income Taxes (Operating Loss an
Income Taxes (Operating Loss and Tax Credit Carryforwards) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
U.S. Federal net operating loss carryforwards | $ 309.5 | $ 227.1 |
United States [Member] | ||
U.S. Federal net operating loss carryforwards | 15.1 | |
U.S. credit carryforwards | 22.2 | |
State and Local Jurisdiction [Member] | ||
U.S. State net operating loss carryforwards | 29.6 | |
Non-U.S. [Member] | ||
Non-U.S. credit carryforwards | $ 1,013 |
Income Taxes (Valuation Allowan
Income Taxes (Valuation Allowance) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Beginning balance | $ 225.5 | $ 133.3 | $ 50.8 |
Ending balance | 312.9 | 225.5 | 133.3 |
Increase to valuation allowance [Member] | |||
Valuation Allowance, Deferred Tax Asset, Change in Amount | (96.9) | (109) | (82.2) |
Decrease to valuation allowance [Member] | |||
Valuation Allowance, Deferred Tax Asset, Change in Amount | 11.9 | 13.9 | 3 |
Foreign Exchange [Member] | |||
Valuation Allowance, Deferred Tax Asset, Change in Amount | (2.4) | (3.3) | (1.6) |
Change due to AOCI [Domain] | |||
Accumulated other comprehensive income (loss) | $ 0 | $ 0.4 | $ 4.9 |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Benefit) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Beginning balance | $ 32 | $ 23.8 | $ 25.4 |
Additions based on tax positions related to the current year | 6.4 | 9.1 | 3.9 |
Additions based on tax positions related to prior years | 1.6 | 7.1 | 1.6 |
Reductions based on tax positions related to prior years | (5) | (5.5) | (3) |
Reductions related to settlements with tax authorities | (7.1) | (0.6) | 0 |
Reductions related to lapses of statute of limitations | (1.2) | (0.9) | (1.4) |
Translation (gain)/loss | 2.3 | (1) | (2.7) |
Ending balance | 29 | $ 32 | $ 23.8 |
Foreign Tax Authority [Member] | |||
Ending balance | $ 27.4 |
Divestitures and Discontinue108
Divestitures and Discontinued Operations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | $ 0 | $ (84.4) | $ (104.2) |
Equity Method Investment, Realized Gain (Loss) on Disposal | 5.4 | ||
Venezuela Divestiture [Member] | |||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | 26.1 | ||
Bocom Divestiture [Member] | |||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | 78.1 | ||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal, After Tax | 82.4 | ||
Loans and Leases Receivable, Impaired, Description | 81.4 | ||
Other Significant Noncash Transaction, Value of Consideration Received | 75 | ||
Business Combination, Consideration Transferred | $ 8.3 | ||
Nontrade Receivables | $ 2.6 |
Earnings Per Share (EPS) (Detai
Earnings Per Share (EPS) (Details) - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of ordinary shares | The reconciliation of Ordinary shares is as follows: In millions Total December 31, 2016 95.3 Shares issued under incentive plans 0.6 Repurchase of ordinary shares (0.8 ) December 31, 2017 95.1 | ||
Weighted-average number of basic shares | 95.1 | 95.8 | 95.9 |
Shares issuable under incentive stock plans | 0.9 | 1.1 | 1 |
Weighted-average number of diluted shares | 96 | 96.9 | 96.9 |
Anti-dilutive shares | 0.1 |
Commitments and Contingencie110
Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Standard Product Warranty Accrual | $ 13.3 | $ 14.1 | $ 13.3 | $ 11.7 | $ 9.8 |
Expense for environmental remediation | 3.2 | 23.3 | 4.4 | ||
Reserves for environmental matters | 30.6 | 28.9 | 30.6 | ||
Reserve for environmental matters, current | 6.1 | 12.6 | 6.1 | ||
Total rental expense | 35.5 | 32.5 | 30.3 | ||
Minimum lease payments, due in current year | 20.5 | ||||
Minimum lease payments, due in second year | 17.9 | ||||
Minimum lease payments, due in third year | 13 | ||||
Minimum lease payments, due in fourth year | 8 | ||||
Minimum lease payments, due in fifth year | 4 | ||||
Standard Product Warranty Accrual, Decrease for Payments | 7.8 | 6.5 | 5.4 | ||
Accruals for warranties issued during the current period | 9 | 8.1 | 7.1 | ||
Standard Product Warranty Accrual, Increase (Decrease) for Preexisting Warranties | (0.8) | 0.2 | 0.5 | ||
Standard Product Warranty Accrual, Foreign Currency Translation Gain (Loss) | 0.4 | (0.2) | $ (0.3) | ||
Segment, Discontinued Operations [Member] | |||||
Reserves for environmental matters | 9.6 | $ 8.9 | $ 9.6 | ||
Remediation costs associated with new proactive remediation approach [Domain] | |||||
Expense for environmental remediation | $ 15 |
Commitments and Contingencies S
Commitments and Contingencies Schedule of Asbestos Related Balances (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Accrued expenses and other current liabilities | $ 134.6 | $ 117.8 |
Other noncurrent liabilities | 23.9 | 32.6 |
Other current assets | 17 | 22.2 |
Other noncurrent assets | $ 66.2 | $ 45 |
Commitments and Contingencie112
Commitments and Contingencies (Standard Product Warranty Liability) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Balance at beginning of period | $ 13.3 | $ 11.7 | $ 9.8 |
Reductions for payments | (7.8) | (6.5) | (5.4) |
Accruals for warranties issued during the current period | 9 | 8.1 | 7.1 |
Standard Product Warranty Accrual, Increase (Decrease) for Preexisting Warranties | (0.8) | 0.2 | 0.5 |
Standard Product Warranty Accrual, Foreign Currency Translation Gain (Loss) | 0.4 | (0.2) | (0.3) |
Balance at end of period | $ 14.1 | $ 13.3 | $ 11.7 |
Business Segment Information (S
Business Segment Information (Summary of Operations by Reportable Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2013 | Dec. 31, 2012 | |
Net revenues | $ 2,408.2 | $ 2,238 | $ 2,068.1 | ||
Operating Income (Loss) | 488.2 | 425.5 | 358.6 | ||
Depreciation and amortization | 61.6 | 61.4 | 48.8 | ||
Capital expenditures | 49.3 | 42.5 | 35.2 | ||
Assets | 2,542 | 2,247.4 | 2,263 | ||
Interest Expense | 105.7 | 64.3 | 52.9 | ||
Disposal Group, Not Discontinued Operation, Loss on Disposal | 0 | 84.4 | 104.2 | ||
Other Nonoperating Income (Expense) | 13.2 | 18.2 | 7.8 | ||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 395.7 | 295 | 209.3 | ||
Americas [Member] | |||||
Net revenues | 1,767.5 | 1,645.7 | 1,558.4 | ||
Operating Income (Loss) | $ 503.3 | $ 448.1 | $ 418 | ||
Segment Operating Income As a Percentage Of Revenues | 28.50% | 27.20% | 26.80% | ||
Depreciation and amortization | $ 26.4 | $ 26.4 | $ 26.4 | ||
Capital expenditures | 26.1 | 21.5 | 18.9 | ||
Assets | 872.4 | 852.7 | 806.1 | ||
EMEIA [Member] | |||||
Net revenues | 523.5 | 485.9 | 386.3 | ||
Operating Income (Loss) | $ 45.2 | $ 35.9 | $ 8.6 | ||
Segment Operating Income As a Percentage Of Revenues | 8.60% | 7.40% | 2.20% | ||
Depreciation and amortization | $ 28.6 | $ 27.6 | $ 17.2 | ||
Capital expenditures | 17.1 | 13.6 | 5.6 | ||
Assets | 1,027.7 | 886.2 | 899.4 | ||
Goodwill, Impairment Loss | $ 137.6 | $ 341 | |||
Asia Pacific [Member] | |||||
Net revenues | 117.2 | 106.4 | 123.4 | ||
Operating Income (Loss) | $ 9.5 | $ 6.1 | $ (3.4) | ||
Segment Operating Income As a Percentage Of Revenues | 8.10% | 5.70% | (2.80%) | ||
Depreciation and amortization | $ 2.5 | $ 2.4 | $ 2.1 | ||
Capital expenditures | 1.5 | 1.1 | 2 | ||
Assets | 196.3 | 177.4 | 237.1 | ||
Goodwill, Impairment Loss | $ 6.9 | ||||
Segment Reconciling Items [Member] | |||||
Depreciation and amortization | 4.1 | 5 | 3.1 | ||
Operating Segments [Member] | |||||
Operating Income (Loss) | 558 | 490.1 | 423.2 | ||
Depreciation and amortization | 57.5 | 56.4 | 45.7 | ||
Capital expenditures | 44.7 | 36.2 | 26.5 | ||
Assets | 2,096.4 | 1,916.3 | 1,942.6 | ||
Corporate and Other [Member] | |||||
Capital expenditures | 4.6 | 6.3 | 8.7 | ||
Assets | 445.6 | 331.1 | 320.4 | ||
Operating Expenses | $ 69.8 | $ 64.6 | $ 64.6 |
Business Segment Information114
Business Segment Information (Schedule of Revenues by Destination) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues | $ 2,408.2 | $ 2,238 | $ 2,068.1 |
UNITED STATES | |||
Revenues | 1,645.6 | 1,531.2 | 1,425.1 |
Non-US [Member] | |||
Revenues | $ 762.6 | $ 706.8 | $ 643 |
Business Segment Information115
Business Segment Information (Schedule of Long-Lived Asset by Geographic Area) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
United States | $ 571.1 | $ 519.4 |
Long lived assets | 571.1 | 519.4 |
UNITED STATES | ||
United States | 131 | 117.1 |
Long lived assets | 131 | 117.1 |
Non-US [Member] | ||
United States | 440.1 | 402.3 |
Long lived assets | $ 440.1 | $ 402.3 |
Business Segment Information Bu
Business Segment Information Business Segment Information (Schedule of Revenue by Product) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenue from External Customer [Line Items] | |||
Net revenues | $ 2,408.2 | $ 2,238 | $ 2,068.1 |
Mechanical Revenue [Member] | |||
Revenue from External Customer [Line Items] | |||
Net revenues | 1,906.4 | 1,793.1 | 1,661.4 |
Non Mechanical Product Revenues [Domain] | |||
Revenue from External Customer [Line Items] | |||
Net revenues | 501.8 | 444.9 | 406.7 |
UNITED STATES | |||
Revenue from External Customer [Line Items] | |||
Net revenues | $ 1,645.6 | $ 1,531.2 | $ 1,425.1 |
Guarantor Financial Informat117
Guarantor Financial Information (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Guarantor Subsidiaries [Member] | |
Immaterial Error Correction | 2,696.3 |
Guarantor Financial Informat118
Guarantor Financial Information (Condensed Consolidating Statement of Comprehensive Income) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net revenues | $ 2,408.2 | $ 2,238 | $ 2,068.1 |
Cost of goods sold | (1,337.5) | (1,252.7) | (1,199) |
Selling and administrative expenses | (582.5) | (559.8) | (510.5) |
Operating Income (Loss) | 488.2 | 425.5 | 358.6 |
Equity earnings (loss) in affiliates, net of tax | 0 | 0 | 0 |
Interest Expense | 105.7 | 64.3 | 52.9 |
Intercompany Interest And Fees | 0 | 0 | 0 |
Disposal Group, Not Discontinued Operation, Loss on Disposal | 0 | 84.4 | 104.2 |
Other, net | (13.2) | 66.2 | (96.4) |
Earnings (loss) before income taxes | 395.7 | 295 | 209.3 |
Benefit (provision) for income taxes | (119) | (63.8) | (54.6) |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 276.7 | 231.2 | 154.7 |
Discontinued operations, net of tax | 0 | 0 | (0.4) |
Net earnings | 276.7 | 231.2 | 154.3 |
Less: Net earnings attributable to noncontrolling interests | (3.4) | (2.1) | (0.4) |
Net earnings (loss) attributable to Allegion plc | 273.3 | 229.1 | 153.9 |
Total comprehensive income (loss), net of tax | 393.9 | 198.7 | 68.9 |
Total comprehensive (income) loss attributable to noncontrolling interests | (2.8) | (1.7) | 0.9 |
Total comprehensive income (loss) attributable to Allegion plc | 391.1 | 197 | 69.8 |
Parent Company [Member] | |||
Net revenues | 0 | 0 | 0 |
Cost of goods sold | 0 | 0 | 0 |
Selling and administrative expenses | (5.3) | (4.7) | (4.7) |
Operating Income (Loss) | (5.3) | (4.7) | (4.7) |
Equity earnings (loss) in affiliates, net of tax | 348.2 | 277.4 | 190.6 |
Interest Expense | 70.6 | 43.5 | 31.2 |
Intercompany Interest And Fees | 1 | 0.4 | 0.4 |
Other, net | 0 | 0 | 0.2 |
Earnings (loss) before income taxes | 273.3 | 229.6 | 155.3 |
Benefit (provision) for income taxes | 0 | (0.5) | (1.2) |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 154.1 | ||
Discontinued operations, net of tax | 0 | ||
Net earnings | 273.3 | 229.1 | 154.1 |
Less: Net earnings attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Allegion plc | 273.3 | 229.1 | 154.1 |
Total comprehensive income (loss), net of tax | 391.1 | 197 | 69.8 |
Total comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Total comprehensive income (loss) attributable to Allegion plc | 391.1 | 197 | 69.8 |
Other Subsidiaries [Member] | |||
Net revenues | 2,408.2 | 2,238 | 2,068.1 |
Cost of goods sold | (1,337.5) | (1,252.7) | (1,199) |
Selling and administrative expenses | (577) | (555.1) | (505.9) |
Operating Income (Loss) | 493.7 | 430.2 | 363.2 |
Equity earnings (loss) in affiliates, net of tax | 0 | 0.3 | 0 |
Interest Expense | 0.3 | 0.6 | 0.6 |
Intercompany Interest And Fees | 101.7 | 97.5 | 94.6 |
Other, net | 13.2 | (66.2) | (96.6) |
Earnings (loss) before income taxes | 608.3 | 461.2 | 360.6 |
Benefit (provision) for income taxes | (146.3) | (108.8) | (98.1) |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 262.5 | ||
Discontinued operations, net of tax | (0.4) | ||
Net earnings | 462 | 352.4 | 262.1 |
Less: Net earnings attributable to noncontrolling interests | (3.4) | (2.1) | (0.4) |
Net earnings (loss) attributable to Allegion plc | 458.6 | 350.3 | 261.7 |
Total comprehensive income (loss), net of tax | 577.6 | 314.2 | 177.9 |
Total comprehensive (income) loss attributable to noncontrolling interests | (2.8) | (1.7) | 0.9 |
Total comprehensive income (loss) attributable to Allegion plc | 574.8 | 312.5 | 178.8 |
Subsidiary Issuer [Member] | |||
Net revenues | 0 | 0 | 0 |
Cost of goods sold | 0 | 0 | 0 |
Selling and administrative expenses | 0.2 | 0 | 0.1 |
Operating Income (Loss) | (0.2) | 0 | 0.1 |
Equity earnings (loss) in affiliates, net of tax | 148.9 | 148.3 | 167.2 |
Interest Expense | 34.8 | 20.2 | 21.1 |
Intercompany Interest And Fees | (102.7) | (97.9) | (95) |
Other, net | 0 | 0 | 0 |
Earnings (loss) before income taxes | 11.2 | 30.2 | 51.2 |
Benefit (provision) for income taxes | 27.3 | 45.5 | 44.7 |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 95.9 | ||
Discontinued operations, net of tax | 0 | ||
Net earnings | 38.5 | 75.7 | 95.9 |
Less: Net earnings attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Allegion plc | 38.5 | 75.7 | 95.9 |
Total comprehensive income (loss), net of tax | 39.2 | 79.4 | 95.6 |
Total comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Total comprehensive income (loss) attributable to Allegion plc | 39.2 | 79.4 | 95.6 |
Consolidation, Eliminations [Member] | |||
Net revenues | 0 | 0 | 0 |
Cost of goods sold | 0 | 0 | 0 |
Selling and administrative expenses | 0 | 0 | 0 |
Operating Income (Loss) | 0 | 0 | 0 |
Equity earnings (loss) in affiliates, net of tax | (497.1) | (426) | (357.8) |
Interest Expense | 0 | 0 | 0 |
Intercompany Interest And Fees | 0 | 0 | 0 |
Other, net | 0 | 0 | 0 |
Earnings (loss) before income taxes | (497.1) | (426) | (357.8) |
Benefit (provision) for income taxes | 0 | 0 | 0 |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | (357.8) | ||
Discontinued operations, net of tax | 0 | ||
Net earnings | (497.1) | (426) | (357.8) |
Less: Net earnings attributable to noncontrolling interests | 0 | 0 | 0 |
Net earnings (loss) attributable to Allegion plc | (497.1) | (426) | (357.8) |
Total comprehensive income (loss), net of tax | (614) | (391.9) | (274.4) |
Total comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | 0 |
Total comprehensive income (loss) attributable to Allegion plc | $ (614) | $ (391.9) | $ (274.4) |
Guarantor Financial Informat119
Guarantor Financial Information (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||||
Cash and cash equivalents | $ 466.2 | $ 312.4 | $ 199.7 | $ 290.5 |
Accounts and notes receivable, net | 296.6 | 260 | ||
Inventories | 239.8 | 220.6 | ||
Other Assets, Current | 29.2 | 34.1 | ||
Assets Held-for-sale, Current | 0.9 | 2.2 | ||
Accounts and notes receivable affiliates | 0 | 0 | ||
Total current assets | 1,032.7 | 829.3 | ||
Investment in affiliates | 0 | 0 | ||
Property, plant and equipment, net | 252.2 | 226.6 | ||
Intangible assets, net | 1,155.5 | 1,074.2 | ||
Due from Affiliate, Noncurrent | 0 | 0 | ||
Other noncurrent assets | 101.6 | 117.3 | ||
Total assets | 2,542 | 2,247.4 | 2,263 | |
Current liabilities: | ||||
Accounts payable and accruals | 425.8 | 381.4 | ||
Short-term borrowings and current maturities of long-term debt | 35 | 48.2 | ||
Accounts and note payable affiliates | 0 | 0 | ||
Total current liabilities | 460.8 | 429.6 | ||
Long-term debt | 1,442.3 | 1,415.6 | ||
Note payable affiliate | 0 | 0 | ||
Other noncurrent liabilities | 233.4 | 285.8 | ||
Total liabilities | 2,136.5 | 2,131 | ||
Equity: | ||||
Stockholders' Equity Attributable to Parent | 401.6 | 113.3 | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 3.9 | 3.1 | ||
Total equity | 405.5 | 116.4 | 29.7 | 18.5 |
Total liabilities and equity | 2,542 | 2,247.4 | ||
Parent Company [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 0.7 | 0.5 | 3.3 | 27.1 |
Accounts and notes receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Other Assets, Current | 0.3 | 0.4 | ||
Assets Held-for-sale, Current | 0 | 0 | ||
Accounts and notes receivable affiliates | 0 | 0 | ||
Total current assets | 1 | 0.9 | ||
Investment in affiliates | 1,079.6 | 1,229.4 | ||
Property, plant and equipment, net | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Due from Affiliate, Noncurrent | 3.5 | 53.2 | ||
Other noncurrent assets | 5 | 5.4 | ||
Total assets | 1,089.1 | 1,288.9 | ||
Current liabilities: | ||||
Accounts payable and accruals | 1.9 | 7 | ||
Short-term borrowings and current maturities of long-term debt | 35 | 46.9 | ||
Accounts and note payable affiliates | 0.2 | 0.4 | ||
Total current liabilities | 37.1 | 54.3 | ||
Long-term debt | 649.3 | 1,120.2 | ||
Note payable affiliate | 0 | 0 | ||
Other noncurrent liabilities | 1.1 | 1.1 | ||
Total liabilities | 687.5 | 1,175.6 | ||
Equity: | ||||
Stockholders' Equity Attributable to Parent | 401.6 | 113.3 | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 | ||
Total equity | 401.6 | 113.3 | ||
Total liabilities and equity | 1,089.1 | 1,288.9 | ||
Other Subsidiaries [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 465.3 | 311.8 | 196.1 | 262.9 |
Accounts and notes receivable, net | 296.6 | 260 | ||
Inventories | 239.8 | 220.6 | ||
Other Assets, Current | 16.7 | 17.6 | ||
Assets Held-for-sale, Current | 0.9 | 2.2 | ||
Accounts and notes receivable affiliates | 33.1 | 36.8 | ||
Total current assets | 1,052.4 | 849 | ||
Investment in affiliates | 0 | 0 | ||
Property, plant and equipment, net | 252.2 | 226.6 | ||
Intangible assets, net | 1,155.5 | 1,074.2 | ||
Due from Affiliate, Noncurrent | 2,182.9 | 2,690.7 | ||
Other noncurrent assets | 91.4 | 97.1 | ||
Total assets | 4,734.4 | 4,937.6 | ||
Current liabilities: | ||||
Accounts payable and accruals | 457.7 | 403.3 | ||
Short-term borrowings and current maturities of long-term debt | 0 | 1.3 | ||
Accounts and note payable affiliates | 396.8 | 331.6 | ||
Total current liabilities | 854.5 | 736.2 | ||
Long-term debt | 1.1 | 1 | ||
Note payable affiliate | 1,168.6 | 1,203 | ||
Other noncurrent liabilities | 230.2 | 284.7 | ||
Total liabilities | 2,254.4 | 2,224.9 | ||
Equity: | ||||
Stockholders' Equity Attributable to Parent | 2,476.1 | 2,709.6 | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 3.9 | 3.1 | ||
Total equity | 2,480 | 2,712.7 | ||
Total liabilities and equity | 4,734.4 | 4,937.6 | ||
Subsidiary Issuer [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 0.2 | 0.1 | 0.3 | 0.5 |
Accounts and notes receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Other Assets, Current | 53.1 | 49.7 | ||
Assets Held-for-sale, Current | 0 | 0 | ||
Accounts and notes receivable affiliates | 396.8 | 331.6 | ||
Total current assets | 450.1 | 381.4 | ||
Investment in affiliates | 215.3 | 220.2 | ||
Property, plant and equipment, net | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Due from Affiliate, Noncurrent | 1,165.1 | 1,149.8 | ||
Other noncurrent assets | 5.2 | 14.8 | ||
Total assets | 1,835.7 | 1,766.2 | ||
Current liabilities: | ||||
Accounts payable and accruals | 7.1 | 4.7 | ||
Short-term borrowings and current maturities of long-term debt | 0 | 0 | ||
Accounts and note payable affiliates | 32.9 | 36.4 | ||
Total current liabilities | 40 | 41.1 | ||
Long-term debt | 791.9 | 294.4 | ||
Note payable affiliate | 2,182.9 | 2,690.7 | ||
Other noncurrent liabilities | 2.1 | 0 | ||
Total liabilities | 3,016.9 | 3,026.2 | ||
Equity: | ||||
Stockholders' Equity Attributable to Parent | (1,181.2) | (1,260) | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 | ||
Total equity | (1,181.2) | (1,260) | ||
Total liabilities and equity | 1,835.7 | 1,766.2 | ||
Consolidation, Eliminations [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Accounts and notes receivable, net | 0 | 0 | ||
Inventories | 0 | 0 | ||
Other Assets, Current | (40.9) | (33.6) | ||
Assets Held-for-sale, Current | 0 | 0 | ||
Accounts and notes receivable affiliates | (429.9) | (368.4) | ||
Total current assets | (470.8) | (402) | ||
Investment in affiliates | (1,294.9) | (1,449.6) | ||
Property, plant and equipment, net | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Due from Affiliate, Noncurrent | (3,351.5) | (3,893.7) | ||
Other noncurrent assets | 0 | 0 | ||
Total assets | (5,117.2) | (5,745.3) | ||
Current liabilities: | ||||
Accounts payable and accruals | (40.9) | (33.6) | ||
Short-term borrowings and current maturities of long-term debt | 0 | 0 | ||
Accounts and note payable affiliates | (429.9) | (368.4) | ||
Total current liabilities | (470.8) | (402) | ||
Long-term debt | 0 | 0 | ||
Note payable affiliate | (3,351.5) | (3,893.7) | ||
Other noncurrent liabilities | 0 | 0 | ||
Total liabilities | (3,822.3) | (4,295.7) | ||
Equity: | ||||
Stockholders' Equity Attributable to Parent | (1,294.9) | (1,449.6) | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 | ||
Total equity | (1,294.9) | (1,449.6) | ||
Total liabilities and equity | $ (5,117.2) | $ (5,745.3) |
Guarantor Financial Informat120
Guarantor Financial Information (Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net cash (used in) provided by continuing operating activities | $ 347.2 | $ 377.5 | $ 257.4 |
Net cash (used in) provided by discontinued operating activities | 0 | 0 | (0.4) |
Net cash provided by (used in) operating activities | 347.2 | 377.5 | 257 |
Cash flows from investing activities: | |||
Capital expenditures | (49.3) | (42.5) | (35.2) |
Acquisition of businesses, net of cash acquired | (20.8) | (31.4) | (511.3) |
Proceeds from sale of property, plant and equipment | 3.1 | 0.1 | 0.3 |
Proceeds from Sale of Equity Method Investments | 15.6 | 0 | 0 |
Proceeds from Sale and Maturity of Marketable Securities | 0 | 14.1 | 12.3 |
Proceeds from Divestiture of Businesses | (1.2) | (4.3) | (0.1) |
Other investing activities, net | 0.1 | ||
Net cash provided by (used in) investing activities | (50.2) | (64) | (533.8) |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Net proceeds (repayments) in debt | 10.1 | (64.4) | 278.3 |
Debt issuance costs | (9.5) | (0.3) | (9) |
Redemption Premium | (33.2) | 0 | 0 |
Net Intercompany Proceeds Payments | 0 | 0 | 0 |
Payments of Ordinary Dividends, Common Stock | (60.9) | (46) | (38.3) |
Payments of Ordinary Dividends, Noncontrolling Interest | 1.8 | 2.7 | 20 |
Payments of Dividends | 0 | 0 | 0 |
Proceeds shares issued under incentive plans | 7.2 | 5.8 | 11 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 3.3 | ||
Repurchase of ordinary shares | (60) | (85.1) | (30) |
Other, net | (2.8) | 3 | |
Net cash (used in) provided by continuing financing activities | (150.9) | (196) | 195 |
Effect of exchange rate changes on cash and cash equivalents | 7.7 | (4.8) | (9) |
Net (decrease) increase in cash and cash equivalents | 153.8 | 112.7 | (90.8) |
Cash and cash equivalents - beginning of period | 312.4 | 199.7 | 290.5 |
Cash and cash equivalents - end of period | 466.2 | 312.4 | 199.7 |
Parent Company [Member] | |||
Net cash (used in) provided by continuing operating activities | (25.6) | (23.4) | |
Net cash (used in) provided by discontinued operating activities | 0 | ||
Net cash provided by (used in) operating activities | 581.3 | (23.4) | |
Cash flows from investing activities: | |||
Capital expenditures | 0 | 0 | 0 |
Acquisition of businesses, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of property, plant and equipment | 0 | 0 | |
Proceeds from Sale of Equity Method Investments | 0 | ||
Proceeds from Sale and Maturity of Marketable Securities | 0 | 0 | |
Proceeds from Divestiture of Businesses | 0 | 0 | 0 |
Other investing activities, net | 0 | ||
Net cash provided by (used in) investing activities | 0 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Net proceeds (repayments) in debt | (488.5) | (47) | 263.8 |
Debt issuance costs | (4) | (0.3) | (9) |
Redemption Premium | (24.6) | ||
Net Intercompany Proceeds Payments | 49.7 | 195.4 | (200.9) |
Payments of Ordinary Dividends, Common Stock | (60.9) | (46) | (38.3) |
Payments of Ordinary Dividends, Noncontrolling Interest | 0 | 0 | 0 |
Payments of Dividends | 0 | 0 | 0 |
Proceeds shares issued under incentive plans | 7.2 | 5.8 | 11 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 0 | ||
Repurchase of ordinary shares | (60) | (85.1) | (30) |
Other, net | 0 | 3 | |
Net cash (used in) provided by continuing financing activities | (581.1) | 22.8 | (0.4) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Net (decrease) increase in cash and cash equivalents | 0.2 | (2.8) | (23.8) |
Cash and cash equivalents - beginning of period | 0.5 | 3.3 | 27.1 |
Cash and cash equivalents - end of period | 0.7 | 0.5 | 3.3 |
Other Subsidiaries [Member] | |||
Net cash (used in) provided by continuing operating activities | 528.9 | 416.5 | |
Net cash (used in) provided by discontinued operating activities | (0.4) | ||
Net cash provided by (used in) operating activities | 510.2 | 416.1 | |
Cash flows from investing activities: | |||
Capital expenditures | (49.3) | (42.5) | (35.2) |
Acquisition of businesses, net of cash acquired | (20.8) | (31.4) | (511.3) |
Proceeds from sale of property, plant and equipment | 3.1 | 0.3 | |
Proceeds from Sale of Equity Method Investments | 15.6 | ||
Proceeds from Sale and Maturity of Marketable Securities | 14.1 | 12.3 | |
Proceeds from Divestiture of Businesses | (1.2) | (4.3) | (0.1) |
Other investing activities, net | 0.1 | ||
Net cash provided by (used in) investing activities | (50.2) | (64) | (533.8) |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Net proceeds (repayments) in debt | (1.4) | (17.4) | 14.5 |
Debt issuance costs | 0 | 0 | 0 |
Redemption Premium | 0 | ||
Net Intercompany Proceeds Payments | 473.3 | (161.1) | 326.9 |
Payments of Ordinary Dividends, Common Stock | 0 | 0 | 0 |
Payments of Ordinary Dividends, Noncontrolling Interest | 1.8 | 2.7 | 20 |
Payments of Dividends | (784.3) | (159.9) | (261.5) |
Proceeds shares issued under incentive plans | 0 | 0 | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 3.3 | ||
Repurchase of ordinary shares | 0 | 0 | 0 |
Other, net | 0 | 0 | |
Net cash (used in) provided by continuing financing activities | (314.2) | (344.4) | 59.9 |
Effect of exchange rate changes on cash and cash equivalents | 7.7 | (4.8) | (9) |
Net (decrease) increase in cash and cash equivalents | 153.5 | 115.7 | (66.8) |
Cash and cash equivalents - beginning of period | 311.8 | 196.1 | 262.9 |
Cash and cash equivalents - end of period | 465.3 | 311.8 | 196.1 |
Subsidiary Issuer [Member] | |||
Net cash (used in) provided by continuing operating activities | 34.1 | 125.8 | |
Net cash (used in) provided by discontinued operating activities | 0 | ||
Net cash provided by (used in) operating activities | 40 | 125.8 | |
Cash flows from investing activities: | |||
Capital expenditures | 0 | 0 | 0 |
Acquisition of businesses, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of property, plant and equipment | 0 | 0 | |
Proceeds from Sale of Equity Method Investments | 0 | ||
Proceeds from Sale and Maturity of Marketable Securities | 0 | 0 | |
Proceeds from Divestiture of Businesses | 0 | 0 | 0 |
Other investing activities, net | 0 | ||
Net cash provided by (used in) investing activities | 0 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Net proceeds (repayments) in debt | 500 | 0 | 0 |
Debt issuance costs | (5.5) | 0 | 0 |
Redemption Premium | (8.6) | ||
Net Intercompany Proceeds Payments | (523) | (34.3) | (126) |
Payments of Ordinary Dividends, Common Stock | 0 | 0 | 0 |
Payments of Ordinary Dividends, Noncontrolling Interest | 0 | 0 | 0 |
Payments of Dividends | 0 | 0 | 0 |
Proceeds shares issued under incentive plans | 0 | 0 | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 0 | ||
Repurchase of ordinary shares | 0 | 0 | 0 |
Other, net | (2.8) | 0 | |
Net cash (used in) provided by continuing financing activities | (39.9) | (34.3) | (126) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Net (decrease) increase in cash and cash equivalents | 0.1 | (0.2) | (0.2) |
Cash and cash equivalents - beginning of period | 0.1 | 0.3 | 0.5 |
Cash and cash equivalents - end of period | 0.2 | 0.1 | 0.3 |
Consolidation, Eliminations [Member] | |||
Net cash (used in) provided by continuing operating activities | (159.9) | (261.5) | |
Net cash (used in) provided by discontinued operating activities | |||
Net cash provided by (used in) operating activities | (784.3) | (261.5) | |
Cash flows from investing activities: | |||
Capital expenditures | 0 | 0 | 0 |
Acquisition of businesses, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of property, plant and equipment | 0 | 0 | |
Proceeds from Sale of Equity Method Investments | 0 | ||
Proceeds from Sale and Maturity of Marketable Securities | 0 | 0 | |
Proceeds from Divestiture of Businesses | 0 | 0 | 0 |
Other investing activities, net | 0 | ||
Net cash provided by (used in) investing activities | 0 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Net proceeds (repayments) in debt | 0 | 0 | 0 |
Debt issuance costs | 0 | 0 | 0 |
Redemption Premium | 0 | ||
Net Intercompany Proceeds Payments | 0 | 0 | 0 |
Payments of Ordinary Dividends, Common Stock | 0 | 0 | 0 |
Payments of Ordinary Dividends, Noncontrolling Interest | 0 | 0 | 0 |
Payments of Dividends | 784.3 | 159.9 | 261.5 |
Proceeds shares issued under incentive plans | 0 | 0 | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 0 | ||
Repurchase of ordinary shares | 0 | 0 | 0 |
Other, net | 0 | 0 | |
Net cash (used in) provided by continuing financing activities | 784.3 | 159.9 | 261.5 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Net (decrease) increase in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents - beginning of period | 0 | 0 | 0 |
Cash and cash equivalents - end of period | $ 0 | $ 0 | $ 0 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | Feb. 07, 2018 | Feb. 20, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 01, 2018 |
Subsequent Event [Line Items] | ||||||
Net revenues | $ 2,408.2 | $ 2,238 | $ 2,068.1 | |||
Common stock, dividends, in dollars per share, declared | $ 0.64 | $ 0.48 | $ 0.40 | |||
Stock repurchase program, authorized amount | $ (500) | |||||
Goodwill | 761.2 | $ 716.8 | $ 714.1 | |||
Net earnings (loss) attributable to Allegion plc | $ 273.3 | $ 229.1 | $ 153.9 | |||
Earnings Per Share, Basic | $ 2.87 | $ 2.39 | $ 1.60 | |||
Earnings Per Share, Diluted | $ 2.85 | $ 2.36 | $ 1.59 | |||
Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Common stock, dividends, in dollars per share, declared | $ 0.21 | |||||
Cash paid at closing [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Business Combination, Consideration Transferred | $ 215 | |||||
Consideration to be transferred subsequent to closing [Member] | Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 10 | |||||
Net Working Capital [Member] | Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets | $ 5 | |||||
Property, Plant and Equipment [Member] | Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 15 | |||||
Finite and indefinite-lived Intangible assets [Member] | Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 120 | |||||
Goodwill [Member] | Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | $ 85 |
Valuation and Qualifying Acc122
Valuation and Qualifying Accounts (Valuation and Qualifying Accounts Allowance For Doubtful Accounts) (Details) - Allowances for Doubtful Accounts [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Balance at the beginning of period | $ 2.7 | $ 3.8 | $ 3.2 |
Additions charged to costs and expenses | 0.8 | 0.1 | 1.6 |
Deductions | (0.9) | (1.1) | (1.5) |
Business acquisitions and divestitures, net | 0.9 | ||
Currency translation | 0.2 | (0.1) | (0.4) |
Balance at the end of period | $ 2.8 | $ 2.7 | $ 3.8 |
Uncategorized Items - alle-2017
Label | Element | Value |
Corporate and Non-U.S. Bonds [Member] | UNITED STATES | Fixed Income Investments [Member] | ||
Defined Benefit Plan, Alternative Investments, Fair Value Of Plan Assets | alle_DefinedBenefitPlanAlternativeInvestmentsFairValueOfPlanAssets | $ 0 |
Defined Benefit Plan, Alternative Investments, Fair Value Of Plan Assets | alle_DefinedBenefitPlanAlternativeInvestmentsFairValueOfPlanAssets | 12,800,000 |
Corporate and Non-U.S. Bonds [Member] | Foreign Pension Plan [Member] | Fixed Income Investments [Member] | ||
Defined Benefit Plan, Alternative Investments, Fair Value Of Plan Assets | alle_DefinedBenefitPlanAlternativeInvestmentsFairValueOfPlanAssets | 0 |
U.S. Government and Agency Obligations [Member] | UNITED STATES | Fixed Income Investments [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 55,200,000 |
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 83,600,000 |
Defined Benefit Plan, Alternative Investments, Fair Value Of Plan Assets | alle_DefinedBenefitPlanAlternativeInvestmentsFairValueOfPlanAssets | 0 |
Defined Benefit Plan, Alternative Investments, Fair Value Of Plan Assets | alle_DefinedBenefitPlanAlternativeInvestmentsFairValueOfPlanAssets | 0 |
U.S. Government and Agency Obligations [Member] | Fair Value, Inputs, Level 1 [Member] | UNITED STATES | Fixed Income Investments [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 0 |
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 0 |
U.S. Government and Agency Obligations [Member] | Fair Value, Inputs, Level 2 [Member] | UNITED STATES | Fixed Income Investments [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 55,200,000 |
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 83,600,000 |
U.S. Government and Agency Obligations [Member] | Fair Value, Inputs, Level 3 [Member] | UNITED STATES | Fixed Income Investments [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | 0 |
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | $ 0 |