Knowles (KN) 10-Q 4 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Oct. 28, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	Knowles Corp
Entity Central Index Key	1,587,523
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		88,439,130
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015

CONSOLIDATED STATEMENTS OF EARN

CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Statement [Abstract]
Revenues	$ 294.6	$ 300.8	$ 774.1	$ 855.3
Cost of goods sold	205.4	243.9	574.6	665.2
Restructuring charges - cost of goods sold	0.5	4.7	0.4	21.1
Gross profit	88.7	52.2	199.1	169
Research and development expenses	33	21	75.3	62
Selling and administrative expenses	59.2	46.5	151.4	150.8
Restructuring charges	8.9	1.1	9.5	5.6
Operating expenses	101.1	68.6	236.2	218.4
Operating loss	(12.4)	(16.4)	(37.1)	(49.4)
Interest expense	3.7	2	9.2	4.5
Other expense (income), net	2.2	(2.3)	0.1	(2.1)
Loss before income taxes	(18.3)	(16.1)	(46.4)	(51.8)
(Benefit from) provision for income taxes	(3.4)	(1.5)	0.4	34.1
Net loss	$ (14.9)	$ (14.6)	$ (46.8)	$ (85.9)
Earnings per share:
Basic loss per share (usd per share)	$ (0.17)	$ (0.17)	$ (0.54)	$ (1.01)
Diluted loss per share (usd per share)	$ (0.17)	$ (0.17)	$ (0.54)	$ (1.01)
Weighted average common shares outstanding:
Basic (in shares)	88,429,627	85,047,991	86,239,337	85,038,151
Diluted (in shares)	88,429,627	85,047,991	86,239,337	85,038,151

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Statement of Comprehensive Income [Abstract]
Net loss	$ (14.9)	$ (14.6)	$ (46.8)	$ (85.9)
Other comprehensive loss, net of tax
Foreign currency translation, net of tax	(17)	(34.5)	(60.1)	(45.4)
Employee benefit plans:
Actuarial losses arising during period	0	0	0	(0.1)
Amortization or settlement of actuarial losses included in net periodic pension cost	0	0.3	0.2	0.4
Net change in employee benefit plans	0	0.3	0.2	0.3
Changes in fair value of cash flow hedges:
Unrealized net losses arising during period	(1.4)	0	(2.1)	0
Total cash flow hedges	(1.4)	0	(2.1)	0
Other comprehensive loss, net of tax	(18.4)	(34.2)	(62)	(45.1)
Comprehensive loss	$ (33.3)	$ (48.8)	$ (108.8)	$ (131)

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 57.9	$ 55.2
Receivables, net of allowances of $0.7 and $0.8	220.5	236.3
Inventories, net	172	162
Prepaid and other current assets	14.7	10.7
Deferred tax assets	6.5	9.8
Total current assets	471.6	474
Property, plant and equipment, net	293.4	315.9
Goodwill	934.1	914.7
Intangible assets, net	255.8	270.3
Other assets and deferred charges	25.9	23.6
Total assets	1,980.8	1,998.5
Current liabilities:
Current maturities of long-term debt	26.3	15
Accounts payable	142.3	172.1
Accrued compensation and employee benefits	34.5	38.7
Other accrued expenses	39.1	48.8
Federal and other taxes on income	3	14
Total current liabilities	245.2	288.6
Long-term debt	448.5	385
Deferred income taxes	36.6	49.2
Other liabilities	50.2	39.5
Commitments and contingencies (Note 12)	0	0
Stockholders' equity:
Preferred stock - $0.01 par value; 10,000,000 shares authorized; none issued	0	0
Common stock - $0.01 par value; 400,000,000 shares authorized; 88,437,011 and 85,061,449 shares issued at September 30, 2015 and December 31, 2014, respectively	0.9	0.9
Additional paid-in capital	1,445.5	1,372.6
Accumulated deficit	(130.8)	(84)
Accumulated other comprehensive loss	(115.3)	(53.3)
Total stockholders' equity	1,200.3	1,236.2
Total liabilities and stockholders' equity	$ 1,980.8	$ 1,998.5

CONSOLIDATED BALANCE SHEETS (u5

CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Allowance for doubtful accounts receivable	$ 0.7	$ 0.8
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	400,000,000	400,000,000
Common stock, shares issued (in shares)	88,437,011	85,061,449

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (unaudited) - 9 months ended Sep. 30, 2015 - USD ($) $ in Millions	Total	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Loss	Audience, Inc.	Audience, Inc.Additional Paid-In Capital
Balance at Dec. 31, 2014	$ 1,236.2	$ 0.9	$ 1,372.6	$ (84)	$ (53.3)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(46.8)
Other comprehensive loss, net of tax	(62)				(62)
Stock-based compensation expense	11.6		11.6
Stock-based restructuring charges	1.4					$ 1.4	$ 1.4
Employee taxes related to vesting of stock-based awards	(1.7)		(1.7)
Cash consideration to be paid to Audience shareholders and equity award holders	61.6						$ 61.6
Balance at Sep. 30, 2015	$ 1,200.3	$ 0.9	$ 1,445.5	$ (130.8)	$ (115.3)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Operating Activities
Net loss	$ (46.8)	$ (85.9)
Adjustments to reconcile net loss to cash from operating activities:
Depreciation and amortization	101	118.5
Non-cash restructuring related charges	0.8	20.4
Stock-based compensation	11.6	6.5
Impairment charges on fixed and intangible assets	3.9	0
Other, net	(4.1)	0.1
Cash effect of changes in assets and liabilities (excluding effects of foreign exchange):
Receivables, net	18	2.7
Inventories, net	(6.9)	(15.7)
Prepaid and other current assets	(0.5)	(3.8)
Accounts payable	(23)	27.2
Accrued compensation and employee benefits	(2.7)	(4.2)
Other accrued expenses	(18.1)	11.9
Accrued and deferred taxes, net	(19.4)	17.4
Other non-current assets and non-current liabilities	(1.4)	(5.9)
Net cash provided by operating activities	12.4	89.2
Investing Activities
Additions to property, plant and equipment	(48.5)	(68.1)
Acquisition of business (net of cash acquired)	(35.1)	0
Proceeds from the sale of investments	4	0
Capitalized patent defense costs	(0.9)	(14.7)
Purchase of intellectual property license	(0.5)	0
Proceeds from the sale of property, plant and equipment	0.4	0.2
Purchase of investment	0	(8)
Net cash used in investing activities	(80.6)	(90.6)
Financing Activities
Payments under revolving credit facility	(44)	0
Borrowings under revolving credit facility	130	0
Principal payments on term loan debt	(11.3)	0
Proceeds from term loan debt	0	400
Debt issuance costs	(0.3)	(2.9)
Payments of capital lease obligations	(1)	0
Payments for employee tax obligations upon vesting of stock-based awards	(1.7)	0
Net transfers to Former Parent Company	0	(466.5)
Net proceeds from exercise of stock options and SSARs, including tax benefits	0	0.1
Net cash provided by (used in) financing activities	71.7	(69.3)
Effect of exchange rate changes on cash and cash equivalents	(0.8)	(0.6)
Net increase (decrease) in cash and cash equivalents	2.7	(71.3)
Cash and cash equivalents at beginning of period	55.2	105.6
Cash and cash equivalents at end of period	$ 57.9	$ 34.3

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation Description of Business - On February 28, 2014, the spin-off of Knowles Corporation from Dover Corporation ("Dover" or "Former Parent") into an independent, publicly-traded company (the "Separation") was completed. For more information regarding the Separation, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 filed with the Securities and Exchange Commission ("SEC") on February 25, 2015. References to “Knowles,” “the Company,” “we,” “our” and “us” refer to Knowles Corporation and its consolidated subsidiaries. Knowles Corporation (NYSE: KN) is a market leader and global supplier of advanced micro-acoustic, audio processing, and specialty component solutions, serving the mobile consumer electronics, communications, medical, military, aerospace, and industrial markets. Knowles uses its leading position in MEMS (micro-electro-mechanical systems) microphones and strong capabilities in speaker, receiver, and audio processing technologies to optimize audio systems and improve the user experience in smartphones, tablets, and wearables. Knowles is also the leader in acoustics components used in hearing aids and has a strong position in high end oscillators (timing devices) and capacitors. Financial Statement Presentation - The accompanying unaudited interim Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the SEC for quarterly reports on Form 10-Q and do not include all of the information and note disclosures required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. These unaudited interim Consolidated Financial Statements should therefore be read in conjunction with the Consolidated Financial Statements and Notes thereto for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K. The accompanying unaudited interim Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future, actual results may differ from those estimates. The unaudited interim Consolidated Financial Statements reflect all adjustments of a normal, recurring nature that are, in the opinion of management, necessary for a fair presentation of results for these interim periods. The results of operations of any interim period are not necessarily indicative of the results of operations for the full year. On July 1, 2015, the Company completed its acquisition of all of the outstanding shares of common stock (“Shares”) of Audience, Inc. ("Audience"). The financial results of Audience were included in the Company's consolidated statements of comprehensive earnings and statement of cash flows beginning July 1, 2015 and the consolidated balance sheet as of September 30, 2015. Prior to the Separation on February 28, 2014, the Company’s financial statements were prepared on a stand-alone basis and were derived from Dover’s consolidated financial statements and accounting records. The financial statements for those periods include allocations of costs that were incurred by Dover for functions such as corporate human resources, finance and legal, including the costs of salaries, benefits and other related costs. These expenses were allocated to Knowles based on direct usage or benefit where identifiable, with the remainder allocated on the basis of revenues, headcount, or other measures. Knowles considers the previously employed expense allocation methodology reasonable. However, the allocations may not be indicative of the actual expenses had Knowles operated as an independent, publicly-traded company for all periods presented. These allocations, which ceased as of the Separation date, totaled $3.4 million during the nine months ended September 30, 2014 . Related Party Transactions - Knowles made a cash payment of $400.0 million to Dover immediately prior to the Separation, which is reflected in Net transfers to Former Parent Company on the Consolidated Statements of Cash Flows. Separation-related Adjustments - During the nine months ended September 30, 2014 , certain Separation-related adjustments were recorded in stockholders' equity, principally due to the transfer of certain pension plan liabilities from Dover upon the legal split of those plans, as well as to adjust the Company's income tax balances to reflect the Company's post-Separation stand-alone income tax positions. In addition, because the historical financial statements were derived from Dover’s accounting records, included in the Separation-related adjustments were adjustments to foreign currency translation adjustments to reflect the appropriate opening balances related to Knowles' legal entities at the Separation date. Non-cash Investing Activities - Purchases of property, plant and equipment included in accounts payable at September 30, 2015 and 2014 were $6.8 million and $9.9 million , respectively. The Company also entered into a capital lease for new equipment in the second quarter of 2015 with a corresponding capital lease obligation of $13.6 million . In addition, legal costs incurred in the defense of the Company's patents included in accounts payable at September 30, 2014 were $1.0 million . These non-cash amounts are not reflected as outflows to Additions to property, plant and equipment or Capitalized patent defense costs within investing activities of the Consolidated Statements of Cash Flows for the respective periods.

Acquisition

Acquisition	9 Months Ended
	Sep. 30, 2015
Business Combinations [Abstract]
Acquisition	Acquisition On July 1, 2015, the Company completed the acquisition of all of the outstanding shares of common stock of Audience (“Shares”) for consideration per Share of $2.51 in cash and 0.13207 shares of Knowles common stock pursuant to the Agreement and Plan of Merger dated April 29, 2015. Audience is a leader in the area of digital signal processing as well as algorithm and software development. The transaction is expected to help the Company achieve its strategic goals and drive future growth through advancements in the Company’s capabilities of delivering end-to-end solutions for intelligent audio, from microphones to signal processing to speakers, and allow optimization of the audio signal path for customers. As a result of the acquisition, the Company issued 3.2 million shares and paid $61.6 million in cash to former holders of Shares and for the conversion of vested in-the-money Audience stock options. The Company also converted unvested in-the-money Audience stock options and restricted stock units for an aggregate of 461,371 shares of its common stock. The fair value of unvested equity awards relating to future services, and not yet earned, will be recorded as operating expenses over the remaining service periods. Total consideration was approximately $92.8 million , net of cash and short-term investments acquired of $30.5 million . The revenues and net losses from Audience operations in the three months ending September 30, 2015 were $12.1 million and $23.3 million , respectively. The total purchase consideration of approximately $123.3 million consists of the following (in millions except per share amounts): Cash consideration to be paid to Audience shareholders and equity award holders $ 61.6 Fair value of shares of Knowles common stock issued to Audience shareholders and equity award holders 60.2 Fair value of restricted stock units assumed 1.5 Fair value of total consideration $ 123.3 The table below represents the preliminary allocation of the purchase price to the net assets acquired on their estimated fair values as of July 1, 2015 (in millions): Goodwill $ 47.7 Cash 26.5 Identified intangible assets 25.9 Inventories 10.4 Property, plant, and equipment 10.7 Other assets 19.5 Total liabilities and accruals (17.4 ) Net Assets Acquired $ 123.3 The preceding purchase price allocation has been determined provisionally and is subject to revision as additional information about the fair value of individual assets and liabilities becomes available. The Company is in the process of finalizing valuations of certain tangible and intangible assets, including developed technology. The provisional measurement of property, plant and equipment, intangible assets, goodwill, deferred income taxes, and other assets and liabilities is subject to change. Any change in the acquisition date fair value of the acquired net assets will change the amount of the purchase price allocable to goodwill. Intangible Assets Recorded The fair value of Audience’s developed technologies intangible asset were determined based on the Multi-Period Excess Earnings Method (MPEEM) of the income approach. The measure is based upon certain unobservable inputs and key assumptions surrounding revenues, growth rates, obsolescence factors and other market based metrics. The developed technologies intangible asset will be amortized on a straight line based over an estimated 5 year useful life. The intangible asset is included in Intangible assets, net within the Knowles Consolidated Balance Sheet. Developed technologies acquired include Audience’s existing technologies related to improving the performance of speech-based services and enhancing audio quality for multimedia. An income approach was used to value Audience’s customer relationships and developed technologies. Using this approach, the estimated fair value was calculated using expected future cash flows from specific products discounted to their net present values at an appropriate risk-adjusted rate of return. A discount rate of 27.0% was used to discount the cash flows to the present value. The excess of the fair value of the merger consideration over the fair values of these identifiable assets and liabilities was recorded as goodwill. The goodwill recognized is primarily attributable to the assembled workforce, a reduction in costs and other synergies and an increase in product development capabilities. The goodwill resulting from the merger is not deductible for tax purposes. Goodwill has been allocated to the Mobile Consumer Electronics reportable segment, which is the operating segment expected to benefit from the merger. Impact of Acquisition and Pro-forma The following unaudited pro-forma summary presents consolidated financial information as if Audience had been acquired on January 1, 2014. The unaudited pro-forma financial information is based on historical results of operations and financial position of the Company and Audience. The pro-forma results include: • estimated amortization of a definite-lived developed technology intangible asset, • the estimated cost of the inventory step-up to fair value, • the estimated depreciation expense of the fixed asset step-up to fair value, • interest expense associated with debt that would have been incurred in connection with the acquisition and • the reclassification of Audience transaction costs from 2015 to the first quarter of 2014 The unaudited pro-forma financial information does not necessarily represent the results that would have occurred had the acquisition occurred on January 1, 2014. In addition, the unaudited pro-forma information should not be deemed to be indicative of future results. Summary Selected Unaudited Pro-forma Combined Statements of Earnings (in millions except share and per share amounts) Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Revenues $ 294.6 $ 323.5 $ 804.1 $ 951.4 Net loss (9.0 ) (33.4 ) (104.3 ) (128.5 ) Basic loss per share (0.10 ) (0.38 ) (1.19 ) (1.46 ) Diluted loss per share $ (0.10 ) $ (0.38 ) $ (1.19 ) $ (1.46 )

Inventories

Inventories	9 Months Ended
	Sep. 30, 2015
Inventory, Net [Abstract]
Inventories, net	Inventories, net The following table details the major components of inventories, net (in millions): September 30, 2015 December 31, 2014 Raw materials $ 69.9 $ 69.9 Work in progress 33.3 35.8 Finished goods 109.5 92.2 Subtotal 212.7 197.9 Less reserves (40.7 ) (35.9 ) Total $ 172.0 $ 162.0

Property, Plant and Equipment,

Property, Plant and Equipment, net	9 Months Ended
	Sep. 30, 2015
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment, net	Property, Plant and Equipment, net The following table details the major components of property, plant and equipment, net (in millions): September 30, 2015 December 31, 2014 Land $ 11.5 $ 11.9 Buildings and improvements 130.8 112.8 Machinery, equipment and other 659.2 657.6 Subtotal 801.5 782.3 Less accumulated depreciation (1) (508.1 ) (466.4 ) Total $ 293.4 $ 315.9 (1) During the nine months ended September 30, 2015, the Company recorded an impairment charge on fixed assets at its Beijing, China facility totaling $3.5 million .

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	9 Months Ended
	Sep. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	Goodwill and Other Intangible Assets The following table provides the changes in carrying value of goodwill by reportable segment for the nine months ended September 30, 2015 (in millions): Mobile Consumer Electronics Specialty Components Total Balance at December 31, 2014 $ 729.1 $ 185.6 $ 914.7 Acquisition 47.7 — 47.7 Foreign currency translation (28.5 ) 0.2 (28.3 ) Balance at September 30, 2015 $ 748.3 $ 185.8 $ 934.1 The gross carrying value and accumulated amortization for each major class of intangible asset are as follows (in millions): September 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortized intangible assets: Trademarks $ 7.1 $ 2.1 $ 7.5 $ 1.9 Patents 50.4 16.5 50.0 12.3 Customer Relationships 389.0 230.4 404.6 210.3 Unpatented Technologies 92.5 67.3 65.5 64.8 Other (1) 4.6 3.5 1.6 1.6 Total 543.6 319.8 529.2 290.9 Unamortized intangible assets: Trademarks 32.0 32.0 Total intangible assets, net $ 255.8 $ 270.3 (1) During the nine months ended September 30, 2015, the Company recorded an impairment charge on licenses totaling $0.4 million . As discussed in Note 2. Acquisition, Knowles acquired developed technologies of $25.9 million during the three months ended September 30, 2015, as a result of the Company's acquisition of Audience. It is included in "Unpatented Technologies" in the table above. This developed technologies intangible asset has been determined provisionally and is subject to revision as additional information about the fair value becomes available. The Company is in the process of finalizing valuations of these developed technologies, and this provisional measurement is subject to change. Amortization expense totaled $11.1 million and $10.6 million for the three months ended September 30, 2015 and 2014 , respectively. For the nine months ended September 30, 2015 and 2014 , amortization expense was $31.0 million and $32.2 million , respectively.

Restructuring and Related Activ

Restructuring and Related Activities	9 Months Ended
	Sep. 30, 2015
Restructuring and Related Activities [Abstract]
Restructuring and Related Activities	Restructuring and Related Activities During the three and nine months ended September 30, 2015 , the Company recorded restructuring charges resulting from its acquisition of Audience, which is reported as part of the Mobile Consumer Electronics ("MCE") reportable segment. In connection with the acquisition, the Company also incurred expenses related to integration activities within MCE. During the three and nine months ended September 30, 2015 , the Company recorded restructuring charges of $8.0 million related to the Audience acquisition. This included severance pay and benefits of $7.2 million and contract termination costs of $0.8 million . All charges were classified as Operating expenses. In addition, the Company recorded restructuring charges during the three and nine months ended September 30, 2015 and 2014 related to other actions. These actions included residual expenses related to the previously announced plans to consolidate its manufacturing footprint, which are designed to better align the Company's operations with current market conditions through targeted facility consolidations, headcount reductions and other measures to further optimize operations. Actions include of the cessation of manufacturing operations at its Vienna, Austria facility that was authorized on April 1, 2014 (“Vienna action”), the continued transfer of its capacitor business into lower-cost Asian manufacturing facilities, as well as the reduction in headcount in the MCE business. For the nine months ended September 30, 2014, the Company incurred $19.4 million of charges related to the Vienna action. This included $14.8 million related to severance pay and benefits and $4.6 million related to contract termination and other costs, of which $13.9 million were classified as Cost of goods sold and $5.5 million were classified as Operating expenses. The following table details restructuring charges incurred by reportable segment for the periods presented (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Mobile Consumer Electronics $ 8.7 $ 2.6 $ 9.4 $ 20.7 Specialty Components 0.3 3.2 0.1 6.0 Corporate 0.4 — 0.4 — Total $ 9.4 $ 5.8 $ 9.9 $ 26.7 The following table details the Company’s severance and other restructuring accrual activity (in millions): Severance Pay and Benefits Contract Termination and Other Costs Total Balance at December 31, 2014 $ 10.9 $ 3.0 $ 13.9 Restructuring charges 8.8 1.1 9.9 Payments (14.2 ) (1.7 ) (15.9 ) Other, including foreign currency (0.4 ) (0.2 ) (0.6 ) Balance at September 30, 2015 $ 5.1 $ 2.2 $ 7.3 The severance and restructuring accruals are recorded in the following accounts on the Consolidated Balance Sheet (in millions): September 30, 2015 December 31, 2014 Other accrued expenses $ 6.9 $ 13.0 Other liabilities 0.4 0.9 Total $ 7.3 $ 13.9

Borrowings

Borrowings	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Borrowings	Borrowings Borrowings consist of the following (in millions): September 30, 2015 December 31, 2014 Term loan due January 2019 $ 288.8 $ 300.0 $350.0 million revolving credit facility due January 2019 186.0 100.0 Total 474.8 400.0 Less: current maturities 26.3 15.0 Total long-term debt $ 448.5 $ 385.0 The $350.0 million five -year senior secured revolving credit facility, as well as a five -year senior secured term loan facility, which are referred to collectively as the "Credit Facilities," include a requirement, to be tested quarterly, that the Company maintains both (i) a minimum ratio of consolidated EBITDA to consolidated interest expense of 3.25 to 1.0 and (ii) a maximum ratio of consolidated total indebtedness to consolidated EBITDA of 3.25 to 1.0. For these ratios, consolidated EBITDA and consolidated interest expense are calculated using the most recent four consecutive fiscal quarters in a manner defined in the credit agreement. At September 30, 2015 , the Company was in compliance with these covenants and it expects to remain in compliance with all of its debt covenants over the next twelve months. As discussed in Note 2. Acquisition, the Company completed its acquisition of Audience. We funded the cash portion of the consideration through a draw down from our existing revolving credit facility and cash on hand. In addition, the Company amended its existing credit agreement to permit the acquisition, which became effective upon the closing of the acquisition. The amendment modified specific terms and conditions, including the definition of certain covenants. The interest rate under the Credit Facilities is variable based on LIBOR at the time of the borrowing and the Company's leverage as measured by a total indebtedness to consolidated EBITDA ratio. Based upon the Company's total indebtedness to consolidated EBITDA ratio, the Company's borrowing rate could range from LIBOR + 1.25% to LIBOR + 2.25% . In addition, a commitment fee accrues on the average daily unused portion of the revolving facility at a rate of 0.2% to 0.4% . The weighted-average interest rate for the Credit Facilities was 2.27% and 1.66% for the nine months ended September 30, 2015 and 2014 , respectively. The weighted-average commitment fee on the revolving line of credit was 0.37% and 0.25% for the nine months ended September 30, 2015 and 2014 , respectively. The fair value of the Company's interest rate swap, which will convert variable interest rate payments into a fixed rate on a notional amount of $100.0 million of debt for monthly interest payments starting in January 2016 and ending in July 2018, was a liability of $2.3 million and $0.2 million at September 30, 2015 and December 31, 2014 , respectively.

Other Comprehensive Loss

Other Comprehensive Loss	9 Months Ended
	Sep. 30, 2015
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Other Comprehensive Loss	Other Comprehensive Loss The amounts recognized in other comprehensive loss were as follows (in millions): Three Months Ended Three Months Ended September 30, 2015 September 30, 2014 Pre-tax Tax Net of tax Pre-tax Tax Net of tax Foreign currency translation $ (17.0 ) $ — $ (17.0 ) $ (34.5 ) $ — $ (34.5 ) Employee benefit plans — — — 0.4 (0.1 ) 0.3 Changes in fair value of cash flow hedges (1.0 ) (0.4 ) (1.4 ) — — — Total other comprehensive loss $ (18.0 ) $ (0.4 ) $ (18.4 ) $ (34.1 ) $ (0.1 ) $ (34.2 ) Nine Months Ended Nine Months Ended September 30, 2015 September 30, 2014 Pre-tax Tax Net of tax Pre-tax Tax Net of tax Foreign currency translation $ (60.1 ) $ — $ (60.1 ) $ (45.4 ) $ — $ (45.4 ) Employee benefit plans 0.3 (0.1 ) 0.2 0.4 (0.1 ) 0.3 Changes in fair value of cash flow hedges (2.1 ) — (2.1 ) — — — Total other comprehensive loss $ (61.9 ) $ (0.1 ) $ (62.0 ) $ (45.0 ) $ (0.1 ) $ (45.1 ) The following tables summarize the changes in balances of each component of accumulated other comprehensive loss, net of tax, during the nine months ended September 30, 2015 and 2014 (in millions). Cash flow hedges Cumulative foreign currency translation adjustments Employee benefit plans Total Balance at December 31, 2014 $ (0.2 ) $ (41.4 ) $ (11.7 ) $ (53.3 ) Other comprehensive loss (2.1 ) (60.1 ) 0.2 (62.0 ) Balance at September 30, 2015 $ (2.3 ) $ (101.5 ) $ (11.5 ) $ (115.3 ) Cumulative foreign currency translation adjustments Employee benefit plans Total Balance at December 31, 2013 $ 44.4 $ (7.9 ) $ 36.5 Other comprehensive loss (45.4 ) 0.3 (45.1 ) Separation-related adjustments (7.2 ) (0.3 ) (7.5 ) Balance at September 30, 2014 $ (8.2 ) $ (7.9 ) $ (16.1 )

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income taxes for the interim periods presented have been included in the accompanying Consolidated Financial Statements on the basis of an estimated annual effective tax rate ("ETR"). The determination of the consolidated provision for income taxes requires management to make certain judgments and estimates. Changes in the estimated level of annual pre-tax earnings, tax laws and changes resulting from tax audits can affect the overall effective income tax rate, which impacts the level of income tax expense and net income. Judgments and estimates related to the Company’s projections and assumptions are inherently uncertain; therefore, actual results could differ materially from projections. The ETR deviates from the statutory U.S. federal income tax rate, mainly due to the taxing jurisdictions in which the Company and its foreign subsidiaries generate taxable income or loss, the favorable impact of its significant tax holidays in Malaysia and judgments as to the realizability of the Company’s deferred tax assets. The Company's ETR for the three and nine months ended September 30, 2015 was an 18.6% benefit and a 0.9% provision , respectively. During the three and nine months ended September 30, 2015, the Company recorded a $3.0 million discrete tax benefit and $1.1 million discrete tax benefit , respectively, for U.S. operations inclusive of the impact of assessing the recoverability of the deferred tax assets in the United States. As of September 30, 2015, the Company does not expect to benefit any future losses or deferred tax assets generated in the United States. The Company's ETR for the three and nine months ended September 30, 2014 was a 9.3% benefit and a 65.8% provision , respectively. During the three and nine months ended September 30, 2014, the ETR was impacted by discrete items totaling $1.8 million and $37.5 million , respectively. During the three months ended September 30, 2014 , the Company recorded tax expense of $1.7 million related to Chinese withholding taxes paid on 2013 royalty income. During the nine months ended September 30, 2014 , the Company also recorded a valuation allowance of $36.8 million on certain foreign subsidiaries' net deferred tax assets, primarily net operating losses, as the Company believes it is more likely than not that these assets will not be realized, which was partially offset by a benefit related to an additional Malaysia tax holiday of $4.4 million . Absent the discrete items, the ETR for the three and nine months ended September 30, 2015 was a 2.2% benefit and a 3.5% provision , respectively. Absent the discrete items, the ETR for the three and nine months ended September 30, 2014 was a 20.5% benefit and a 6.6% benefit , respectively. The change in the ETR, excluding the discrete items, was due to the mix of earnings by taxing jurisdictions. The ETR is impacted by two tax holidays granted to the Company in Malaysia effective through December 31, 2021. These tax holidays are subject to the Company's satisfaction of certain conditions, including investment or sales thresholds, which the Company expects to satisfy. If the Company fails to satisfy such conditions, the Company's ETR may be significantly adversely impacted. The impact of these incentives for the three and nine months ended September 30, 2015 was approximately a $6.0 million benefit and a $7.9 million benefit , respectively. The impact of the tax holidays on a per share basis for the three and nine months ended September 30, 2015 was a $0.07 benefit per share and a $0.09 benefit per share, respectively. The Company recognizes tax benefits from uncertain tax positions only if it believes that it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The Company evaluates those tax positions quarterly and adjustments are made to reserves when facts and circumstances change. During the nine months ended September 30, 2015, the Company recorded a $0.6 million benefit from the release of a reserve in the second quarter of 2015 related to an uncertain tax position due to the expiration of the statute of limitations.

Equity Incentive Program

Equity Incentive Program	9 Months Ended
	Sep. 30, 2015
Share-based Compensation [Abstract]
Equity Incentive Program	Equity Incentive Program Stock-based compensation expense recognized in the Consolidated Statements of Earnings totaled $6.4 million and $2.6 million for the three months ended September 30, 2015 and 2014, respectively. For the nine months ended September 30, 2015 and 2014 stock-based compensation expense was $13.0 million and $6.5 million , respectively. Included in stock-based compensation expense for the three and nine months ended September 30, 2015 is $1.4 million of charges associated with accelerated change-in-control expense recognized as a result of the Audience acquisition, which was paid out during the three months ending September 30, 2015. Stock Option s The expense related to stock options granted in the nine months ended September 30, 2015 and 2014 was estimated on the date of grant using a Black-Scholes option-pricing model based on the assumptions shown in the table below. Nine Months Ended September 30, 2015 2014 Risk-free interest rate 1.24 % to 1.50 % 1.32 % to 1.63 % Dividend yield —% —% Expected life (years) 4.5 4.5 to 5.3 Volatility 41.9 % to 42.4 % 42.9 % to 49.9 % Fair value at date of grant $6.59 to $6.88 $ 10.73 to $ 13.50 The following table summarizes the Company's stock-settled stock appreciation right ("SSAR") and stock option activity for the nine months ended September 30, 2015 (in millions except share and per share amounts). SSARs Stock Options Number of Shares Weighted-Average Exercise Price Aggregate Intrinsic Value Weighted-Average Remaining Contractual Term (Years) Number of Shares Weighted-Average Exercise Price Aggregate Intrinsic Value Weighted-Average Remaining Contractual Term (Years) Outstanding at December 31, 2014 1,064,383 $ 20.81 1,327,990 $ 29.31 Granted — — 1,955,707 18.01 Assumed from Audience acquisition — — 29,117 17.50 Exercised (18,947 ) 11.79 (2,100 ) 12.65 Forfeited (13,380 ) 23.92 (128,282 ) 20.91 Expired (10,925 ) 21.97 (2,966 ) 27.82 Outstanding at September 30, 2015 1,021,131 $ 20.93 $ 0.9 6.0 3,179,466 $ 22.61 $ 0.9 6.3 Exercisable at September 30, 2015 695,248 $ 19.52 $ 0.9 5.4 221,060 $ 29.29 $ — 5.5 Unrecognized compensation expense related to SSARs and stock options not yet exercisable at September 30, 2015 were $0.3 million and $19.1 million , respectively. This cost is expected to be recognized over a weighted-average period of 0.4 years for SSARs and 1.5 years for stock options. RSUs The following table summarizes the Company's restricted stock unit ("RSU") balances for the nine months ended September 30, 2015 . Share units Weighted-average grant date fair value Unvested at December 31, 2014 390,939 $ 28.41 Granted 535,492 18.51 Assumed from Audience acquisition 432,254 17.92 Vested (194,876 ) 21.08 Forfeited (49,242 ) 20.42 Unvested at September 30, 2015 1,114,567 $ 21.35 At September 30, 2015 , $18.0 million of unrecognized compensation expense related to RSUs is expected to be recognized over a weighted-average period of 1.5 years.

Earnings per Share

Earnings per Share	9 Months Ended
	Sep. 30, 2015
Earnings Per Share [Abstract]
Earnings per Share	Earnings per Share Basic and diluted earnings per share were computed as follows (in millions except share and per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net loss $ (14.9 ) $ (14.6 ) $ (46.8 ) $ (85.9 ) Basic loss per common share: Basic weighted-average shares outstanding 88,429,627 85,047,991 86,239,337 85,038,151 Basic loss per share $ (0.17 ) $ (0.17 ) $ (0.54 ) $ (1.01 ) Diluted loss per common share: Basic weighted-average shares outstanding 88,429,627 85,047,991 86,239,337 85,038,151 Dilutive effect of stock-based awards — — — — Diluted weighted-average shares outstanding 88,429,627 85,047,991 86,239,337 85,038,151 Diluted loss per share $ (0.17 ) $ (0.17 ) $ (0.54 ) $ (1.01 ) For the three and nine months ended September 30, 2015 , the weighted-average number of anti-dilutive potential common shares excluded from the calculation above was 3,979,018 and 3,169,495 , respectively. For the three and nine months ended September 30 , 2014, the weighted-average number of anti-dilutive potential common shares excluded from the calculation above was 1,807,022 and 1,353,762 , respectively.

Commitments and Contingent Liab

Commitments and Contingent Liabilities	9 Months Ended
	Sep. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingent Liabilities	Commitments and Contingent Liabilities The Company is involved in various legal proceedings and claims arising in the normal course of its business and the Company will periodically review the probable outcome of such proceedings, their impact on its operations, the associated costs and expenses incurred and reasonably expected to be incurred, and the amounts accrued. Such legal proceedings and claims are not expected to have a material adverse effect on the Company’s financial condition. Audience IPO-Related Litigation On September 13, 2012, a purported shareholder filed a class action complaint in the Superior Court of the State of California for Santa Clara County against Audience, Inc., the members of its board of directors, two of its executive officers and the underwriters of Audience’s initial public offering ("IPO"). An amended complaint was filed on February 25, 2013, which purported to be brought on behalf of a class of purchasers of Audience’s common stock issued in or traceable to the IPO. On April 3, 2013, the outside members of the board of directors of Audience and the underwriters were dismissed without prejudice. The amended complaint added additional shareholder plaintiffs and contains claims under Sections 11 and 15 of the Securities Act. The complaint seeks, among other things, compensatory damages, rescission and attorney’s fees and costs. On March 1, 2013, defendants responded to the amended complaint by filing a demurrer moving to dismiss the amended complaint on the grounds that the court lacks subject matter jurisdiction. The court overruled that demurrer. On March 27, 2013, defendants filed a demurrer moving to dismiss the amended complaint on other grounds. The court denied the demurrer on September 4, 2013. On January 16, 2015, the court granted plaintiff’s motion to certify a class. A trial has been scheduled for January 25, 2016. On July 23, 2015, an agreement in principle to settle the action was reached. In exchange for broad releases from the Plaintiffs, the settlement provides for the Plaintiffs to receive a cash payment of $6.0 million (the “Settlement Amount”). The Settlement Amount will be paid entirely by Audience’s insurance carriers. None of the individual defendants, Audience or Knowles admitted any wrongdoing in conjunction with the settlement and none of them is responsible for payment of any portion of the Settlement Amount. The settlement is subject to approval by the court and members of the class may opt out of, or object to, the settlement. If the court approves the settlement, Audience’s insurance carriers will pay the Settlement Amount to the class. There can be no assurance that the court will approve the settlement and class members may opt out of the settlement and file individual actions. As of September 30, 2015, the Company has accrued $6.0 million of legal reserves with a corresponding accounts receivable amount of $6.0 million on Knowles Consolidated Balance Sheet. Audience Acquisition-Related Litigation Between May 15 and May 29, 2015, five substantially similar class action lawsuits challenging the proposed acquisition of Audience, Inc. were filed in the Superior Court of California, Santa Clara County, against the members of Audience’s board of directors and the Company, among others. The lawsuits were subsequently consolidated into a single action. The complaints allege that the members of Audience’s board of directors breached their fiduciary duties to Audience shareholders in connection with the proposed acquisition and that the Company aided and abetted these alleged violations. The plaintiffs seek to enjoin the acquisition, as well as, among other things, compensatory damages and attorney’s fees and costs. In June 2015, the parties reached an agreement-in-principle providing for the settlement of the litigation on the terms and conditions set forth in a memorandum of understanding (the “MOU”). Pursuant to the terms of the MOU, without agreeing that any of the claims in the litigation have merit or that any supplemental disclosure was required under any applicable statute, rule, regulation or law, Audience agreed to make certain supplemental and amended disclosures in its statement in support of the acquisition filed with the Securities and Exchange Commission. The MOU further provides that, following the successful completion of confirmatory discovery, among other things: (a) the parties to the MOU will enter into a definitive stipulation of settlement (the “Stipulation”) and will submit the Stipulation to the court for review and approval; (b) the Stipulation will provide for dismissal of the litigation; (c) the Stipulation will include a general release of defendants to the litigation and certain other persons or entities acting for or on behalf of any of them and each of them of claims relating to the transaction; and (d) the proposed settlement is conditioned on final approval by the court after notice to Audience shareholders. The parties completed the confirmatory discovery during the quarter and are now proceeding to finalize the Stipulation. There can be no assurance that the settlement will be finalized or that the court will approve the settlement. As of September 30, 2015, the Company has accrued $0.5 million of legal reserves on Knowles Consolidated Balance Sheet. Intellectual Property Infringement Claims The Company may, on a limited customer specific basis, provide contractual indemnities for certain losses that arise out of claims that its products infringe on the intellectual property of others. Historically, the Company has not made significant payments under such indemnity arrangements. Other than the litigation noted above, the Company’s legal reserves were not significant at September 30, 2015 and 2014 .

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2015
Segment Reporting [Abstract]
Segment Information	Segment Information The Company's two reportable segments are Mobile Consumer Electronics and Specialty Components. Information regarding the Company's reportable segments is as follows (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Revenue: Mobile Consumer Electronics $ 189.2 $ 182.5 $ 456.2 $ 513.2 Specialty Components 105.4 118.3 317.9 342.1 Total consolidated revenue $ 294.6 $ 300.8 $ 774.1 $ 855.3 (Loss) earnings before interest and income taxes: Mobile Consumer Electronics $ (15.9 ) $ (21.7 ) $ (43.1 ) $ (62.4 ) Specialty Components 17.7 20.5 46.7 51.0 Total segments 1.8 (1.2 ) 3.6 (11.4 ) Corporate expense / other 16.4 12.9 40.8 35.9 Interest expense 3.7 2.0 9.2 4.5 Loss before income taxes (18.3 ) (16.1 ) (46.4 ) (51.8 ) (Benefit from) provision for income taxes (3.4 ) (1.5 ) 0.4 34.1 Net loss $ (14.9 ) $ (14.6 ) $ (46.8 ) $ (85.9 )

Recent Accounting Standards

Recent Accounting Standards	9 Months Ended
	Sep. 30, 2015
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Recent Accounting Standards	Recent Accounting Standards Recently Issued Accounting Standards In September 2015, the Financial Accounting Standards Board ("FASB") issued an Accounting Standards Update ("ASU") 2015-16 that eliminates the requirement for an acquirer in a business combination to account for measurement-period adjustments retrospectively. Instead, an acquirer will recognize a measurement-period adjustment during the period in which it determines the amount of the adjustment. This standard is effective for public business entities for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted. In July 2015, the FASB issued ASU 2015-49, a final standard that simplifies the subsequent measurement of inventory by replacing the lower of cost or market test under current U.S. GAAP. Under the current guidance, the subsequent measurement of inventory is measured at the lower of cost or market, where “market” may have multiple possible outcomes. The new guidance requires subsequent measurement of inventory at the lower of cost or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs to sell (completion, disposal, and transportation). This standard is effective for public business entities for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted. The Company has not yet determined the effect of the standard on its ongoing financial reporting. In April 2015, the FASB issued ASU 2015-03 and updated the aforementioned in August 2015 through the issuance of 2015-15, which require debt issuance costs related to a recognized debt liability or line of credit, respectively, be presented in the balance sheet as a direct reduction from the carrying amount of that debt liability or line of credit, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this update. This standard will be effective for the Company in the first quarter of 2016 and the guidance is required to be applied retrospectively to all prior periods presented. This is a presentational matter only and the balance will be reclassified as required. In August 2014, the FASB issued ASU 2014-15 that requires management to evaluate, for each annual and interim reporting period, whether there are conditions and events, considered in the aggregate, that raise substantial doubt about an entity’s ability to continue as a going concern within one year after the date the financial statements are issued or are available to be issued. If substantial doubt is raised, additional disclosures around management’s plan to alleviate these doubts are required. This standard will become effective for fiscal years ending after December 15, 2016 and for all reporting periods thereafter. In May 2014, the FASB issued ASU 2014-09 that provides a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. The guidance also requires additional disclosure about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer contracts. Subsequently, in July 2015, the FASB elected to delay the effective date of the standard by one year to annual and interim periods beginning after December 15, 2017, which will require the Company to adopt these provisions in the first quarter of fiscal year 2018. Early application is permitted beginning with annual and interim periods beginning after December 15, 2016. This update permits the use of either the retrospective or cumulative effect transition method. The Company is currently evaluating the effect this guidance will have on the Company's Consolidated Financial Statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. Recently Adopted Accounting Standards In April 2014, the FASB issued ASU 2014-08, which includes amendments that change the requirements for reporting discontinued operations and require additional disclosures about discontinued operations. Under the new guidance, only disposals representing a strategic shift in operations - that is, a major effect on the organization's operations and financial results - should be presented as discontinued operations. Examples include a disposal of a major geographic area, a major line of business, or a major equity method investment. Additionally, the ASU requires expanded disclosures about discontinued operations that provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. This standard is effective for disposals (or classifications as held for sale) of components of an entity that occur within reporting periods beginning on or after December 15, 2014. The Company adopted this guidance effective January 1, 2015; however, the Company has not had any discontinued operations since that time.

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Accounting Policy	The accompanying unaudited interim Consolidated Financial Statements have been prepared pursuant to the rules and regulations of the SEC for quarterly reports on Form 10-Q and do not include all of the information and note disclosures required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. These unaudited interim Consolidated Financial Statements should therefore be read in conjunction with the Consolidated Financial Statements and Notes thereto for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K. The accompanying unaudited interim Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future, actual results may differ from those estimates. The unaudited interim Consolidated Financial Statements reflect all adjustments of a normal, recurring nature that are, in the opinion of management, necessary for a fair presentation of results for these interim periods. The results of operations of any interim period are not necessarily indicative of the results of operations for the full year.
Consolidation Policy	Prior to the Separation on February 28, 2014, the Company’s financial statements were prepared on a stand-alone basis and were derived from Dover’s consolidated financial statements and accounting records. The financial statements for those periods include allocations of costs that were incurred by Dover for functions such as corporate human resources, finance and legal, including the costs of salaries, benefits and other related costs. These expenses were allocated to Knowles based on direct usage or benefit where identifiable, with the remainder allocated on the basis of revenues, headcount, or other measures. Knowles considers the previously employed expense allocation methodology reasonable. However, the allocations may not be indicative of the actual expenses had Knowles operated as an independent, publicly-traded company for all periods presented.
New Accounting Pronouncements	Recently Issued Accounting Standards In September 2015, the Financial Accounting Standards Board ("FASB") issued an Accounting Standards Update ("ASU") 2015-16 that eliminates the requirement for an acquirer in a business combination to account for measurement-period adjustments retrospectively. Instead, an acquirer will recognize a measurement-period adjustment during the period in which it determines the amount of the adjustment. This standard is effective for public business entities for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted. In July 2015, the FASB issued ASU 2015-49, a final standard that simplifies the subsequent measurement of inventory by replacing the lower of cost or market test under current U.S. GAAP. Under the current guidance, the subsequent measurement of inventory is measured at the lower of cost or market, where “market” may have multiple possible outcomes. The new guidance requires subsequent measurement of inventory at the lower of cost or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs to sell (completion, disposal, and transportation). This standard is effective for public business entities for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted. The Company has not yet determined the effect of the standard on its ongoing financial reporting. In April 2015, the FASB issued ASU 2015-03 and updated the aforementioned in August 2015 through the issuance of 2015-15, which require debt issuance costs related to a recognized debt liability or line of credit, respectively, be presented in the balance sheet as a direct reduction from the carrying amount of that debt liability or line of credit, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this update. This standard will be effective for the Company in the first quarter of 2016 and the guidance is required to be applied retrospectively to all prior periods presented. This is a presentational matter only and the balance will be reclassified as required. In August 2014, the FASB issued ASU 2014-15 that requires management to evaluate, for each annual and interim reporting period, whether there are conditions and events, considered in the aggregate, that raise substantial doubt about an entity’s ability to continue as a going concern within one year after the date the financial statements are issued or are available to be issued. If substantial doubt is raised, additional disclosures around management’s plan to alleviate these doubts are required. This standard will become effective for fiscal years ending after December 15, 2016 and for all reporting periods thereafter. In May 2014, the FASB issued ASU 2014-09 that provides a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. The guidance also requires additional disclosure about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer contracts. Subsequently, in July 2015, the FASB elected to delay the effective date of the standard by one year to annual and interim periods beginning after December 15, 2017, which will require the Company to adopt these provisions in the first quarter of fiscal year 2018. Early application is permitted beginning with annual and interim periods beginning after December 15, 2016. This update permits the use of either the retrospective or cumulative effect transition method. The Company is currently evaluating the effect this guidance will have on the Company's Consolidated Financial Statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. Recently Adopted Accounting Standards In April 2014, the FASB issued ASU 2014-08, which includes amendments that change the requirements for reporting discontinued operations and require additional disclosures about discontinued operations. Under the new guidance, only disposals representing a strategic shift in operations - that is, a major effect on the organization's operations and financial results - should be presented as discontinued operations. Examples include a disposal of a major geographic area, a major line of business, or a major equity method investment. Additionally, the ASU requires expanded disclosures about discontinued operations that provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. This standard is effective for disposals (or classifications as held for sale) of components of an entity that occur within reporting periods beginning on or after December 15, 2014. The Company adopted this guidance effective January 1, 2015; however, the Company has not had any discontinued operations since that time.

Acquisiton (Tables)

Acquisiton (Tables)	9 Months Ended
	Sep. 30, 2015
Business Combinations [Abstract]
Schedule of Purchase Consideration and Asset Allocation	The total purchase consideration of approximately $123.3 million consists of the following (in millions except per share amounts): Cash consideration to be paid to Audience shareholders and equity award holders $ 61.6 Fair value of shares of Knowles common stock issued to Audience shareholders and equity award holders 60.2 Fair value of restricted stock units assumed 1.5 Fair value of total consideration $ 123.3 The table below represents the preliminary allocation of the purchase price to the net assets acquired on their estimated fair values as of July 1, 2015 (in millions): Goodwill $ 47.7 Cash 26.5 Identified intangible assets 25.9 Inventories 10.4 Property, plant, and equipment 10.7 Other assets 19.5 Total liabilities and accruals (17.4 ) Net Assets Acquired $ 123.3
Selected Unaudited Pro-forma Combined Statement of Earnings	Summary Selected Unaudited Pro-forma Combined Statements of Earnings (in millions except share and per share amounts) Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Revenues $ 294.6 $ 323.5 $ 804.1 $ 951.4 Net loss (9.0 ) (33.4 ) (104.3 ) (128.5 ) Basic loss per share (0.10 ) (0.38 ) (1.19 ) (1.46 ) Diluted loss per share $ (0.10 ) $ (0.38 ) $ (1.19 ) $ (1.46 )

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Sep. 30, 2015
Inventory, Net [Abstract]
Components of Inventory	The following table details the major components of inventories, net (in millions): September 30, 2015 December 31, 2014 Raw materials $ 69.9 $ 69.9 Work in progress 33.3 35.8 Finished goods 109.5 92.2 Subtotal 212.7 197.9 Less reserves (40.7 ) (35.9 ) Total $ 172.0 $ 162.0

Property, Plant and Equipment25

Property, Plant and Equipment, net (Tables)	9 Months Ended
	Sep. 30, 2015
Property, Plant and Equipment [Abstract]
Components of property, plant and equipment, net	The following table details the major components of property, plant and equipment, net (in millions): September 30, 2015 December 31, 2014 Land $ 11.5 $ 11.9 Buildings and improvements 130.8 112.8 Machinery, equipment and other 659.2 657.6 Subtotal 801.5 782.3 Less accumulated depreciation (1) (508.1 ) (466.4 ) Total $ 293.4 $ 315.9 (1) During the nine months ended September 30, 2015, the Company recorded an impairment charge on fixed assets at its Beijing, China facility totaling $3.5 million .

Goodwill and Other Intangible26

Goodwill and Other Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	The following table provides the changes in carrying value of goodwill by reportable segment for the nine months ended September 30, 2015 (in millions): Mobile Consumer Electronics Specialty Components Total Balance at December 31, 2014 $ 729.1 $ 185.6 $ 914.7 Acquisition 47.7 — 47.7 Foreign currency translation (28.5 ) 0.2 (28.3 ) Balance at September 30, 2015 $ 748.3 $ 185.8 $ 934.1
Schedule of Intangible Assets	The gross carrying value and accumulated amortization for each major class of intangible asset are as follows (in millions): September 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortized intangible assets: Trademarks $ 7.1 $ 2.1 $ 7.5 $ 1.9 Patents 50.4 16.5 50.0 12.3 Customer Relationships 389.0 230.4 404.6 210.3 Unpatented Technologies 92.5 67.3 65.5 64.8 Other (1) 4.6 3.5 1.6 1.6 Total 543.6 319.8 529.2 290.9 Unamortized intangible assets: Trademarks 32.0 32.0 Total intangible assets, net $ 255.8 $ 270.3

Restructuring and Related Act27

Restructuring and Related Activities (Tables)	9 Months Ended
	Sep. 30, 2015
Restructuring and Related Activities [Abstract]
Schedule of Restructuring and Related Costs	The following table details restructuring charges incurred by reportable segment for the periods presented (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Mobile Consumer Electronics $ 8.7 $ 2.6 $ 9.4 $ 20.7 Specialty Components 0.3 3.2 0.1 6.0 Corporate 0.4 — 0.4 — Total $ 9.4 $ 5.8 $ 9.9 $ 26.7
Schedule of Restructuring Reserve by Type of Cost	The following table details the Company’s severance and other restructuring accrual activity (in millions): Severance Pay and Benefits Contract Termination and Other Costs Total Balance at December 31, 2014 $ 10.9 $ 3.0 $ 13.9 Restructuring charges 8.8 1.1 9.9 Payments (14.2 ) (1.7 ) (15.9 ) Other, including foreign currency (0.4 ) (0.2 ) (0.6 ) Balance at September 30, 2015 $ 5.1 $ 2.2 $ 7.3
Schedule of Restructuring Reserve by Balance Sheet Location	The severance and restructuring accruals are recorded in the following accounts on the Consolidated Balance Sheet (in millions): September 30, 2015 December 31, 2014 Other accrued expenses $ 6.9 $ 13.0 Other liabilities 0.4 0.9 Total $ 7.3 $ 13.9

Borrowings (Tables)

Borrowings (Tables)	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	Borrowings consist of the following (in millions): September 30, 2015 December 31, 2014 Term loan due January 2019 $ 288.8 $ 300.0 $350.0 million revolving credit facility due January 2019 186.0 100.0 Total 474.8 400.0 Less: current maturities 26.3 15.0 Total long-term debt $ 448.5 $ 385.0

Other Comprehensive Loss (Table

Other Comprehensive Loss (Tables)	9 Months Ended
	Sep. 30, 2015
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Components of other comprehensive (loss) earnings	The amounts recognized in other comprehensive loss were as follows (in millions): Three Months Ended Three Months Ended September 30, 2015 September 30, 2014 Pre-tax Tax Net of tax Pre-tax Tax Net of tax Foreign currency translation $ (17.0 ) $ — $ (17.0 ) $ (34.5 ) $ — $ (34.5 ) Employee benefit plans — — — 0.4 (0.1 ) 0.3 Changes in fair value of cash flow hedges (1.0 ) (0.4 ) (1.4 ) — — — Total other comprehensive loss $ (18.0 ) $ (0.4 ) $ (18.4 ) $ (34.1 ) $ (0.1 ) $ (34.2 ) Nine Months Ended Nine Months Ended September 30, 2015 September 30, 2014 Pre-tax Tax Net of tax Pre-tax Tax Net of tax Foreign currency translation $ (60.1 ) $ — $ (60.1 ) $ (45.4 ) $ — $ (45.4 ) Employee benefit plans 0.3 (0.1 ) 0.2 0.4 (0.1 ) 0.3 Changes in fair value of cash flow hedges (2.1 ) — (2.1 ) — — — Total other comprehensive loss $ (61.9 ) $ (0.1 ) $ (62.0 ) $ (45.0 ) $ (0.1 ) $ (45.1 )
Schedule of (Loss) Earnings	The following tables summarize the changes in balances of each component of accumulated other comprehensive loss, net of tax, during the nine months ended September 30, 2015 and 2014 (in millions). Cash flow hedges Cumulative foreign currency translation adjustments Employee benefit plans Total Balance at December 31, 2014 $ (0.2 ) $ (41.4 ) $ (11.7 ) $ (53.3 ) Other comprehensive loss (2.1 ) (60.1 ) 0.2 (62.0 ) Balance at September 30, 2015 $ (2.3 ) $ (101.5 ) $ (11.5 ) $ (115.3 ) Cumulative foreign currency translation adjustments Employee benefit plans Total Balance at December 31, 2013 $ 44.4 $ (7.9 ) $ 36.5 Other comprehensive loss (45.4 ) 0.3 (45.1 ) Separation-related adjustments (7.2 ) (0.3 ) (7.5 ) Balance at September 30, 2014 $ (8.2 ) $ (7.9 ) $ (16.1 )

Equity Incentive Program (Table

Equity Incentive Program (Tables)	9 Months Ended
	Sep. 30, 2015
Share-based Compensation [Abstract]
Schedule of Black-Scholes Option-Pricing Assumptions	The expense related to stock options granted in the nine months ended September 30, 2015 and 2014 was estimated on the date of grant using a Black-Scholes option-pricing model based on the assumptions shown in the table below. Nine Months Ended September 30, 2015 2014 Risk-free interest rate 1.24 % to 1.50 % 1.32 % to 1.63 % Dividend yield —% —% Expected life (years) 4.5 4.5 to 5.3 Volatility 41.9 % to 42.4 % 42.9 % to 49.9 % Fair value at date of grant $6.59 to $6.88 $ 10.73 to $ 13.50
Schedule of SSAR and Stock Options Activity	The following table summarizes the Company's stock-settled stock appreciation right ("SSAR") and stock option activity for the nine months ended September 30, 2015 (in millions except share and per share amounts). SSARs Stock Options Number of Shares Weighted-Average Exercise Price Aggregate Intrinsic Value Weighted-Average Remaining Contractual Term (Years) Number of Shares Weighted-Average Exercise Price Aggregate Intrinsic Value Weighted-Average Remaining Contractual Term (Years) Outstanding at December 31, 2014 1,064,383 $ 20.81 1,327,990 $ 29.31 Granted — — 1,955,707 18.01 Assumed from Audience acquisition — — 29,117 17.50 Exercised (18,947 ) 11.79 (2,100 ) 12.65 Forfeited (13,380 ) 23.92 (128,282 ) 20.91 Expired (10,925 ) 21.97 (2,966 ) 27.82 Outstanding at September 30, 2015 1,021,131 $ 20.93 $ 0.9 6.0 3,179,466 $ 22.61 $ 0.9 6.3 Exercisable at September 30, 2015 695,248 $ 19.52 $ 0.9 5.4 221,060 $ 29.29 $ — 5.5
Schedule of Restricted Stock Units Award Activity	The following table summarizes the Company's restricted stock unit ("RSU") balances for the nine months ended September 30, 2015 . Share units Weighted-average grant date fair value Unvested at December 31, 2014 390,939 $ 28.41 Granted 535,492 18.51 Assumed from Audience acquisition 432,254 17.92 Vested (194,876 ) 21.08 Forfeited (49,242 ) 20.42 Unvested at September 30, 2015 1,114,567 $ 21.35

Earnings per Share (Tables)

Earnings per Share (Tables)	9 Months Ended
	Sep. 30, 2015
Earnings Per Share [Abstract]
Reconciliation of information used in computing basic and diluted earnings per share	Basic and diluted earnings per share were computed as follows (in millions except share and per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net loss $ (14.9 ) $ (14.6 ) $ (46.8 ) $ (85.9 ) Basic loss per common share: Basic weighted-average shares outstanding 88,429,627 85,047,991 86,239,337 85,038,151 Basic loss per share $ (0.17 ) $ (0.17 ) $ (0.54 ) $ (1.01 ) Diluted loss per common share: Basic weighted-average shares outstanding 88,429,627 85,047,991 86,239,337 85,038,151 Dilutive effect of stock-based awards — — — — Diluted weighted-average shares outstanding 88,429,627 85,047,991 86,239,337 85,038,151 Diluted loss per share $ (0.17 ) $ (0.17 ) $ (0.54 ) $ (1.01 )

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2015
Segment Reporting [Abstract]
Revenue and Earnings from continuing operations by market segment	Information regarding the Company's reportable segments is as follows (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Revenue: Mobile Consumer Electronics $ 189.2 $ 182.5 $ 456.2 $ 513.2 Specialty Components 105.4 118.3 317.9 342.1 Total consolidated revenue $ 294.6 $ 300.8 $ 774.1 $ 855.3 (Loss) earnings before interest and income taxes: Mobile Consumer Electronics $ (15.9 ) $ (21.7 ) $ (43.1 ) $ (62.4 ) Specialty Components 17.7 20.5 46.7 51.0 Total segments 1.8 (1.2 ) 3.6 (11.4 ) Corporate expense / other 16.4 12.9 40.8 35.9 Interest expense 3.7 2.0 9.2 4.5 Loss before income taxes (18.3 ) (16.1 ) (46.4 ) (51.8 ) (Benefit from) provision for income taxes (3.4 ) (1.5 ) 0.4 34.1 Net loss $ (14.9 ) $ (14.6 ) $ (46.8 ) $ (85.9 )

Basis of Presentation (Details)

Basis of Presentation (Details) - USD ($) $ in Millions	Feb. 27, 2014	Sep. 30, 2015	Sep. 30, 2014	Jun. 30, 2015
Related Party Transaction [Line Items]
Allocated expenses			$ 3.4
Noncash Investing and Financing Items [Abstract]
Purchases of property and equipment included in accounts payable		$ 6.8	9.9
Capital Lease Obligations				$ 13.6
Noncash capitalized patent defense costs			$ 1
Affiliated Entity [Member]
Related Party Transactions [Abstract]
Cash paid to former parent prior to separation	$ 400

Acquisition (Details)

Acquisition (Details) - USD ($) $ / shares in Units, $ in Millions	Jul. 01, 2015	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Business Acquisition [Line Items]
Cash consideration to be paid to Audience shareholders and equity award holders				$ 61.6
Revenues		$ 294.6	$ 300.8	774.1	$ 855.3
Net loss		14.9	$ 14.6	$ 46.8	$ 85.9
Audience, Inc.
Business Acquisition [Line Items]
Cash equivalent price (usd per share)	$ 2.51
Consideration transfer, number of shares for each share of acquired entity's shares (in shares)	0.13207
Number of shares issued (in shares)	3,200,000
Cash consideration to be paid to Audience shareholders and equity award holders	$ 61.6
Consideration transferred, number of shares for all unvested equity awards assumed (in shares)	461,371
Consideration transferred, enterprise value, net of cash and short-term investments	$ 92.8
Cash and short-term investments	30.5
Revenues		12.1
Net loss		$ 23.3
Consideration transferred, total	$ 123.3
Discount rate used to discount cash flows to present value	27.00%

Acquisition - Schedule of Purch

Acquisition - Schedule of Purchase Consideration and Net Asset Allocation (Details) - USD ($) $ in Millions	Jul. 01, 2015	Sep. 30, 2015	Dec. 31, 2014
Consideration Transferred [Abstract]
Cash consideration to be paid to Audience shareholders and equity award holders		$ 61.6
Net Assets Acquired [Abstract]
Goodwill		$ 934.1	$ 914.7
Audience, Inc.
Consideration Transferred [Abstract]
Cash consideration to be paid to Audience shareholders and equity award holders	$ 61.6
Fair value of shares of Knowles common stock issued to Audience shareholders and equity award holders	60.2
Fair value of restricted stock units assumed	1.5
Fair value of total consideration	123.3
Net Assets Acquired [Abstract]
Goodwill	47.7
Cash	26.5
Identified intangible assets	25.9
Inventories	10.4
Property, plant, and equipment	10.7
Other assets	19.5
Total liabilities and accruals	(17.4)
Net Assets Acquired	$ 123.3

Acquisition - Selected Unaudite

Acquisition - Selected Unaudited Pro-forma Combined Statement of Earnings (Details) - Audience, Inc. - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Business Acquisition, Pro Forma Information [Abstract]
Revenues	$ 294.6	$ 323.5	$ 804.1	$ 951.4
Net loss	$ (9)	$ (33.4)	$ (104.3)	$ (128.5)
Basic loss per share (USD per share)	$ (0.10)	$ (0.38)	$ (1.19)	$ (1.46)
Diluted loss per share (USD per share)	$ (0.10)	$ (0.38)	$ (1.19)	$ (1.46)

Inventories (Details)

Inventories (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Inventory, Net [Abstract]
Raw materials	$ 69.9	$ 69.9
Work in progress	33.3	35.8
Finished goods	109.5	92.2
Subtotal	212.7	197.9
Less reserves	(40.7)	(35.9)
Total	$ 172	$ 162

Property, Plant and Equipment38

Property, Plant and Equipment, net (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Cost	$ 801.5	$ 782.3
Accumulated depreciation	(508.1)	(466.4)
Total	293.4	315.9
Impairment of Long-Lived Assets to be Disposed of	3.5
Land
Property, Plant and Equipment [Line Items]
Cost	11.5	11.9
Buildings and improvements
Property, Plant and Equipment [Line Items]
Cost	130.8	112.8
Machinery, equipment and other
Property, Plant and Equipment [Line Items]
Cost	$ 659.2	$ 657.6

Goodwill and Other Intangible39

Goodwill and Other Intangible Assets - Goodwill (Details) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2013
Goodwill [Roll Forward]
Beginning balance	$ 914.7
Goodwill, Acquired During Period		$ 47.7
Foreign currency translation	(28.3)
Ending balance	934.1
Mobile Consumer Electronics
Goodwill [Roll Forward]
Beginning balance	729.1
Goodwill, Acquired During Period		47.7
Foreign currency translation	(28.5)
Ending balance	748.3
Specialty Components
Goodwill [Roll Forward]
Beginning balance	185.6
Goodwill, Acquired During Period		$ 0
Foreign currency translation	0.2
Ending balance	$ 185.8

Goodwill and Other Intangible40

Goodwill and Other Intangible Assets - Intangible Assets and Amortization Expense (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Jul. 01, 2015	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	$ 543.6		$ 543.6			$ 529.2
Accumulated amortization	319.8		319.8			290.9
Intangible assets, net	255.8		$ 255.8			270.3
Schedule of Impaired Intangible Assets [Table Text Block]			0.4
Amortization expense	11.1	$ 10.6	$ 31	$ 32.2
Trademarks
Finite-Lived Intangible Assets [Line Items]
Unamortized intangible assets, gross carrying amount	32		32			32
Trademarks
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	7.1		7.1			7.5
Accumulated amortization	2.1		2.1			1.9
Patents
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	50.4		50.4			50
Accumulated amortization	16.5		16.5			12.3
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	389		389			404.6
Accumulated amortization	230.4		230.4			210.3
Unpatented Technologies
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	92.5		92.5			65.5
Accumulated amortization	67.3		67.3			64.8
Other (1)
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	4.6		4.6			1.6
Accumulated amortization	$ 3.5		$ 3.5			$ 1.6
Audience, Inc.
Finite-Lived Intangible Assets [Line Items]
Identified intangible assets					$ 25.9

Restructuring and Related Act41

Restructuring and Related Activities - Restructuring Charges by Segment (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 8.9	$ 1.1	$ 9.5	$ 5.6
Restructuring and Related Cost, Incurred Cost			9.9
Severance Pay and Benefits
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost			8.8
Severance Pay and Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring charges	9.4	5.8	9.9	26.7
Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost			1.1
Operating Segments | Mobile Consumer Electronics | Severance Pay and Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring charges	8.7	2.6	9.4	20.7
Operating Segments | Specialty Components | Severance Pay and Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring charges	0.3	3.2	0.1	6
Corporate and Reconciling Items | Severance Pay and Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring charges	0.4	$ 0	0.4	0
Vienna Action
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost				19.4
Vienna Action | Severance Pay and Benefits
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost				14.8
Vienna Action | Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost				4.6
Restructuring Charges | Audience, Inc.
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost	8		8
Restructuring Charges | Audience, Inc. | Severance Pay and Benefits
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost	7.2		7.2
Restructuring Charges | Audience, Inc. | Contract Termination and Other Costs
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost	$ 0.8		$ 0.8
Restructuring Charges | Vienna Action
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost				5.5
Cost of Goods Sold, Restructuring Charges | Vienna Action
Restructuring Cost and Reserve [Line Items]
Restructuring and Related Cost, Incurred Cost				$ 13.9

Restructuring and Related Act42

Restructuring and Related Activities - Restructuring Accrual Activities (Details) $ in Millions	9 Months Ended
	Sep. 30, 2015USD ($)
Restructuring Reserve [Roll Forward]
Severance and other restructuring reserve, beginning balance	$ 13.9
Restructuring charges	9.9
Payments	(15.9)
Other, including foreign currency	(0.6)
Severance and other restructuring reserve, ending balance	7.3
Severance Pay and Benefits
Restructuring Reserve [Roll Forward]
Severance and other restructuring reserve, beginning balance	10.9
Restructuring charges	8.8
Payments	(14.2)
Other, including foreign currency	(0.4)
Severance and other restructuring reserve, ending balance	5.1
Contract Termination and Other Costs
Restructuring Reserve [Roll Forward]
Severance and other restructuring reserve, beginning balance	3
Restructuring charges	1.1
Payments	(1.7)
Other, including foreign currency	(0.2)
Severance and other restructuring reserve, ending balance	$ 2.2

Restructuring and Related Act43

Restructuring and Related Activities - Balance Sheet Location (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Restructuring Cost and Reserve [Line Items]
Severance and restructuring accrual	$ 7.3	$ 13.9
Other accrued expenses
Restructuring Cost and Reserve [Line Items]
Severance and restructuring accrual	6.9	13
Other liabilities
Restructuring Cost and Reserve [Line Items]
Severance and restructuring accrual	$ 0.4	$ 0.9

Borrowings (Details)

Borrowings (Details) $ in Millions	9 Months Ended
	Sep. 30, 2015USD ($)	Sep. 30, 2014	Dec. 31, 2014USD ($)
Long-term borrowings [Abstract]
Long-term debt	$ 474.8		$ 400
Less: current maturities	26.3		15
Long-term debt (noncurrent)	448.5		385
Derivative, notional amount	100
Derivative liability	$ 2.3		0.2
Senior Notes
Long-term borrowings [Abstract]
Debt term	5 years
Senior Notes | Term Loan due January 2019
Long-term borrowings [Abstract]
Long-term debt	$ 288.8		300
Line of Credit | Revolving Credit Facility
Long-term borrowings [Abstract]
Secured revolving credit facility, maximum borrowing capacity	$ 350
Debt term	5 years
Line of Credit | Revolving Credit Facility | Revolving Credit Facility due January 2019
Long-term borrowings [Abstract]
Long-term debt	$ 186		$ 100
Credit Facilities
Long-term borrowings [Abstract]
Debt covenant, EBITDA to interest ratio	3.25
Debt covenant, debt to EBITDA	3.25
Credit Facilities | Minimum
Long-term borrowings [Abstract]
commitment fee percentage	0.20%
Credit Facilities | Maximum
Long-term borrowings [Abstract]
commitment fee percentage	0.40%
Credit Facilities | Weighted Average
Long-term borrowings [Abstract]
commitment fee percentage	0.37%	0.25%
Credit Facilities | LIBOR
Long-term borrowings [Abstract]
Interest rate at period end	2.27%	1.66%
Credit Facilities | LIBOR | Minimum
Long-term borrowings [Abstract]
Basis spread on variable rate	1.25%
Credit Facilities | LIBOR | Maximum
Long-term borrowings [Abstract]
Basis spread on variable rate	2.25%

Other Comprehensive Loss - OCI

Other Comprehensive Loss - OCI (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Foreign currency translation adjustments [Abstract]
Foreign currency translation	$ (17)	$ (34.5)	$ (60.1)	$ (45.4)
Foreign currency translation, tax	0	0	0	0
Foreign currency translation, net of tax	(17)	(34.5)	(60.1)	(45.4)
Employee benefit plans:
Employee benefit plans, before tax	0	0.4	0.3	0.4
Employee benefit plans, tax	0	(0.1)	(0.1)	(0.1)
Net change in employee benefit plans	0	0.3	0.2	0.3
Changes in fair value of cash flow hedges:
Changes in fair value of cash flow hedges, before tax	(1)	0	(2.1)	0
Changes in fair value of cash flow hedges, tax	(0.4)	0	0	0
Changes in fair value of cash flow hedges, net of tax	(1.4)	0	(2.1)	0
Total other comprehensive earnings [Abstract]
Other comprehensive loss, before tax	(18)	(34.1)	(61.9)	(45)
Other comprehensive loss, tax	(0.4)	(0.1)	(0.1)	(0.1)
Other comprehensive loss, net of tax	$ (18.4)	$ (34.2)	$ (62)	$ (45.1)

Other Comprehensive Loss - AOCI

Other Comprehensive Loss - AOCI (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Foreign currency translation, net of tax	$ (17)	$ (34.5)	$ (60.1)	$ (45.4)
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax, Portion Attributable to Parent	0	(0.3)	(0.2)	(0.3)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Beginning balance			(53.3)	36.5
Other comprehensive loss	(18.4)	(34.2)	(62)	(45.1)
Separation-related adjustments				(7.5)
Ending balance	(115.3)	(16.1)	(115.3)	(16.1)
Cash flow hedges
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Beginning balance			(0.2)
Other comprehensive loss			(2.1)
Ending balance	(2.3)		(2.3)
Cumulative foreign currency translation adjustments
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Foreign currency translation, net of tax			(60.1)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Beginning balance			(41.4)	44.4
Other comprehensive loss			(60.1)	(45.4)
Separation-related adjustments				(7.2)
Ending balance	(101.5)	(8.2)	(101.5)	(8.2)
Employee benefit plans
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Beginning balance			(11.7)	(7.9)
Other comprehensive loss			0.2	0.3
Separation-related adjustments				(0.3)
Ending balance	$ (11.5)	$ (7.9)	$ (11.5)	$ (7.9)

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Tax Holiday [Line Items]
Effective tax rate (benefit) provision	18.60%	9.30%	(0.90%)	(65.80%)
Effective income tax rate reconciliation, discrete items	$ (3)	$ 1.8	$ (1.1)	$ 37.5
Effective Income Tax Rate Reconciliation, Foreign Taxes Due on Royalty Income		1.7
Valuation allowance		$ 36.8
Pre-discrete tax rate (benefit) provision	2.20%	20.50%	(3.50%)	6.60%
Unrecognized tax benefits, increase resulting from prior period tax positions			$ 0.6
Foreign Tax Authority
Income Tax Holiday [Line Items]
Effective income tax rate reconciliation, tax holiday	$ 6	$ 4.4	$ 7.9
Holiday benefit (usd per share)	$ 0.07		$ 0.09

Equity Incentive Program - Stoc

Equity Incentive Program - Stock Options and SSARs (Details) - USD ($) $ / shares in Units, number in Thousands, $ in Millions	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
SSARs
SSARs, Number of Shares
Beginning balance	1,064,383
Granted	0
Assumed from Audience acquisition	0
Exercised	(18,947)
Forfeited	(13,380)
Expired	(10,925)
Ending balance	1,021,131
Exercisable	695,248
SSARs, Weighted-average grant date fair value
Beginning balance	$ 20.81
Granted	0
Assumed from Audience acquisition	0
Exercised	11.79
Forfeited	23.92
Expired	21.97
Ending balance	20.93
Exercisable	$ 19.52
SARS and Options, Additional Disclosures
SSARs, aggregate intrinsic value, outstanding	$ 0.9
SSARs, aggregate intrinsic value, exercisable	$ 0.9
SSARs, weighted average remaining contractual terms, outstanding	6 years
SSARs, weighted average remaining contractual term, exercisable	5 years 5 months
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Dividend yield	0.00%	0.00%
Expected life (years)	4 years 6 months
Stock Options, Number of Shares
Beginning balance	1,327,990
Granted	1,955,707
Assumed from Audience acquisition	29,117
Exercised	(2,100)
Forfeited	(128,282)
Expired	(2,966)
Ending balance	3,179,466
Exercisable	221,060
Stock Options, Weighted Average Exercise Price
Beginning balance	$ 29.31
Granted	18.01
Assumed from Audience acquisition	17.50
Exercised	12.65
Forfeited	20.91
Expired	27.82
Ending balance	22.61
Exercisable	$ 29.29
SARS and Options, Additional Disclosures
Options, aggregate intrinsic value, outstanding	$ 0.9
Options, aggregate intrinsic value, exercisable	$ 0
Options, weighted average remaining contractual term, outstanding	6 years 4 months
Options, weighted average remaining contractual term, exercisable	5 years 6 months
Minimum | Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Risk-free interest rate	0.00%	0.00%
Expected life (years)		4 years 6 months
Volatility	0.00%	0.00%
Fair value at date of grant	$ 6.59	$ 10.73
Maximum | Stock Options
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Risk-free interest rate	0.00%	0.00%
Expected life (years)		5 years 3 months
Volatility	0.00%	0.00%
Fair value at date of grant	$ 6.88	$ 13.50

Equity Incentive Program - RSUs

Equity Incentive Program - RSUs (Details) - Restricted Stock Units (RSUs)	9 Months Ended
	Sep. 30, 2015$ / sharesshares
Number of Shares [Roll Forward]
Beginning balance	390,939
Granted	535,492
Assumed from Audience acquisition	432,254
Vested	(194,876)
Forfeited	(49,242)
Ending balance	1,114,567
Weighted Average Grant Date Fair Value
Beginning balance | $ / shares	$ 28.41
Granted | $ / shares	18.51
Assumed from Audience acquisition | $ / shares	17.92
Vested | $ / shares	21.08
Forfeited | $ / shares	20.42
Ending balance | $ / shares	$ 21.35

Equity Incentive Program - Addi

Equity Incentive Program - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Allocated share-based compensation expense	$ 6.4	$ 2.6	$ 13	$ 6.5
Stock-based restructuring charges			1.4
SSARs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense	0.3		$ 0.3
Weighted average period for compensation expense to be recognized			5 months
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense	19.1		$ 19.1
Weighted average period for compensation expense to be recognized			1 year 6 months
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense	18		$ 18
Weighted average period for compensation expense to be recognized			1 year 6 months
Audience, Inc.
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based restructuring charges	$ 1.4		$ 1.4

Earnings per Share (Details)

Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Reconciliation of information used in computing basic and diluted earnings per share [Abstract]
Net loss	$ (14.9)	$ (14.6)	$ (46.8)	$ (85.9)
Basic loss per common share:
Basic weighted-average shares outstanding	88,429,627	85,047,991	86,239,337	85,038,151
Basic loss per share	$ (0.17)	$ (0.17)	$ (0.54)	$ (1.01)
Diluted earnings (loss) per common share:
Basic weighted-average shares outstanding	88,429,627	85,047,991	86,239,337	85,038,151
Dilutive effect of stock-based awards	0	0	0	0
Diluted weighted-average shares outstanding	88,429,627	85,047,991	86,239,337	85,038,151
Diluted loss per share	$ (0.17)	$ (0.17)	$ (0.54)	$ (1.01)
Weighted average number of anti-dilutive shares excluded from the calculation (in shares)	3,979,018	1,807,022	3,169,495	1,353,762

Commitments and Contingent Li52

Commitments and Contingent Liabilities Commitments and Contingencies - Loss Contingency (Details) $ in Millions	9 Months Ended
	Sep. 30, 2015USD ($)
Loss Contingencies [Line Items]
Loss Contingency Accrual, Payments	$ 6
Loss Contingency Accrual	6
Loss Contingency, Receivable	6
Audience, Inc.
Loss Contingencies [Line Items]
Loss Contingency, Accrual, Current	$ 0.5

Segment Information (Details)

Segment Information (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)segments	Sep. 30, 2014USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | segments			2
Reconciliation from Segment Totals to Consolidated [Abstract]
Revenues	$ 294.6	$ 300.8	$ 774.1	$ 855.3
Reconciliation of Net Earnings from Segments [Abstract]
Interest expense	3.7	2	9.2	4.5
Loss before income taxes	(18.3)	(16.1)	(46.4)	(51.8)
(Benefit from) provision for income taxes	(3.4)	(1.5)	0.4	34.1
Net loss	(14.9)	(14.6)	(46.8)	(85.9)
Operating Segments
Reconciliation of Net Earnings from Segments [Abstract]
(Loss) earnings before interest and income taxes	1.8	(1.2)	3.6	(11.4)
Operating Segments | Mobile Consumer Electronics
Reconciliation from Segment Totals to Consolidated [Abstract]
Revenues	189.2	182.5	456.2	513.2
Reconciliation of Net Earnings from Segments [Abstract]
(Loss) earnings before interest and income taxes	(15.9)	(21.7)	(43.1)	(62.4)
Operating Segments | Specialty Components
Reconciliation from Segment Totals to Consolidated [Abstract]
Revenues	105.4	118.3	317.9	342.1
Reconciliation of Net Earnings from Segments [Abstract]
(Loss) earnings before interest and income taxes	17.7	20.5	46.7	51
Corporate and Reconciling Items
Reconciliation of Net Earnings from Segments [Abstract]
Corporate expense / other	16.4	12.9	40.8	35.9
Segment Reconciling Items
Reconciliation of Net Earnings from Segments [Abstract]
Interest expense	$ (3.7)	$ (2)	$ (9.2)	$ (4.5)