Document and Entity Information
Document and Entity Information | 3 Months Ended |
Mar. 31, 2015 | |
Document And Entity Information [Abstract] | |
Document Type | S1 |
Amendment Flag | false |
Document Period End Date | Mar. 31, 2015 |
Trading Symbol | AXTA |
Entity Registrant Name | AXALTA COATING SYSTEMS LTD. |
Entity Central Index Key | 1,616,862 |
Entity Filer Category | Non-accelerated Filer |
Consolidated (Successor) and Du
Consolidated (Successor) and DuPont Performance Coatings Combined (Predecessor) Statements of Operations - USD ($) shares in Millions, $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Net sales | $ 989.2 | $ 1,047.4 | $ 0 | $ 4,361.7 | $ 3,951.1 | ||
Other revenue | 8.3 | 7 | 0 | 29.8 | 35.7 | ||
Total revenue | 997.5 | 1,054.4 | 0 | 4,391.5 | 3,986.8 | ||
Cost of goods sold | 649.8 | 703.5 | 0 | 2,897.2 | 2,772.8 | ||
Selling, general and administrative expenses | 213 | 246.7 | 0 | 991.5 | 1,040.6 | ||
Research and development expenses | 12.9 | 11.3 | 0 | 49.5 | 40.5 | ||
Amortization of acquired intangibles | 20 | 21.1 | 0 | 83.8 | 79.9 | ||
Merger and acquisition related expenses | 29 | 0 | 28.1 | ||||
Income (loss) from operations | 101.8 | 71.8 | (29) | 369.5 | 24.9 | ||
Interest expense, net | 50 | 59 | 0 | 217.7 | 215.1 | ||
Bridge financing commitment fees | 0 | 0 | 25 | ||||
Other expense, net | 3.9 | 4.5 | 0 | 115 | 48.5 | ||
Income (loss) before income taxes | 47.9 | 8.3 | (29) | 36.8 | (263.7) | ||
Provision (benefit) for income taxes | 1.2 | 12 | 0 | 2.1 | (44.8) | ||
Net income (loss) | 46.7 | (3.7) | (29) | 34.7 | (218.9) | ||
Less: Net income attributable to noncontrolling interests | 1.6 | 0.6 | 0 | 7.3 | 6 | ||
Net income (loss) attributable to controlling interests | $ 45.1 | $ (4.3) | $ (29) | $ 27.4 | $ (224.9) | ||
Basic net income (loss) per share (dollars per share) | $ 0.20 | $ (0.02) | $ 0 | $ 0.12 | $ (0.97) | ||
Diluted net income (loss) per share (dollars per share) | $ 0.19 | $ (0.02) | $ 0 | $ 0.12 | $ (0.97) | ||
Basic weighted average shares outstanding | 229.8 | 229.1 | 0 | 229.3 | 228.3 | ||
Diluted weighted average shares outstanding | 237 | 229.1 | 0 | 230.3 | 228.3 | ||
Predecessor [Member] | |||||||
Net sales | $ 326.2 | $ 4,219.4 | |||||
Other revenue | 1.1 | 37.4 | |||||
Total revenue | 327.3 | 4,256.8 | |||||
Cost of goods sold | 232.2 | 2,932.6 | |||||
Selling, general and administrative expenses | 70.8 | 873.4 | |||||
Research and development expenses | 3.7 | 41.5 | |||||
Amortization of acquired intangibles | 0 | 0 | |||||
Merger and acquisition related expenses | 0 | 0 | |||||
Income (loss) from operations | 20.6 | 409.3 | |||||
Interest expense, net | 0 | 0 | |||||
Bridge financing commitment fees | 0 | 0 | |||||
Other expense, net | 5 | 16.3 | |||||
Income (loss) before income taxes | 15.6 | 393 | |||||
Provision (benefit) for income taxes | 7.1 | 145.2 | |||||
Net income (loss) | 8.5 | 247.8 | |||||
Less: Net income attributable to noncontrolling interests | 0.6 | 4.5 | |||||
Net income (loss) attributable to controlling interests | $ 7.9 | $ 243.3 |
Consolidated (Successor) and D3
Consolidated (Successor) and DuPont Performance Coatings Combined (Predecessor) Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Net income (loss) | $ 46.7 | $ (3.7) | $ (29) | $ 34.7 | $ (218.9) | ||
Other comprehensive income (loss), before tax: | |||||||
Foreign currency translation adjustments | (109.6) | (7.5) | 0 | (101.1) | 24.3 | ||
Unrealized gain (loss) on securities | 0.5 | (0.2) | 0 | 0.7 | (0.9) | ||
Unrealized gain (loss) on derivatives | (4.8) | 0.5 | 0 | (4.6) | 5 | ||
Unrealized gain (loss) on pension and other benefit plan obligations | (1.2) | 5.5 | 0 | (55.6) | 11 | ||
Other comprehensive income (loss), before tax | (115.1) | (1.7) | 0 | (160.6) | 39.4 | ||
Income tax benefit (provision) related to items of other comprehensive income | 2.6 | (1.3) | 0 | 18.6 | (5.4) | ||
Other comprehensive income (loss), net of tax | (112.5) | (3) | 0 | (142) | 34 | ||
Comprehensive income (loss) | (65.8) | (6.7) | (29) | (107.3) | (184.9) | ||
Less: Comprehensive income attributable to noncontrolling interests | 1.2 | 0.6 | 0 | 2.6 | 6 | ||
Comprehensive income (loss) attributable to controlling interests | $ (67) | $ (7.3) | $ (29) | $ (109.9) | $ (190.9) | ||
Predecessor [Member] | |||||||
Net income (loss) | $ 8.5 | $ 247.8 | |||||
Other comprehensive income (loss), before tax: | |||||||
Foreign currency translation adjustments | 0 | 0 | |||||
Unrealized gain (loss) on securities | 0.2 | 0.3 | |||||
Unrealized gain (loss) on derivatives | 0 | 0 | |||||
Unrealized gain (loss) on pension and other benefit plan obligations | 1.1 | (99.6) | |||||
Other comprehensive income (loss), before tax | 1.3 | (99.3) | |||||
Income tax benefit (provision) related to items of other comprehensive income | (0.4) | 34.7 | |||||
Other comprehensive income (loss), net of tax | 0.9 | (64.6) | |||||
Comprehensive income (loss) | 9.4 | 183.2 | |||||
Less: Comprehensive income attributable to noncontrolling interests | 0.6 | 4.5 | |||||
Comprehensive income (loss) attributable to controlling interests | $ 8.8 | $ 178.7 |
Consolidated Balance Sheets
Consolidated Balance Sheets - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Current assets: | |||
Cash and cash equivalents | $ 222.9 | $ 382.1 | $ 459.3 |
Restricted cash | 2.8 | 4.7 | 0 |
Accounts and notes receivable, net | 833 | 820.4 | 865.9 |
Inventories | 541.3 | 538.3 | 550.2 |
Prepaid expenses and other | 82.6 | 62.9 | 50.2 |
Deferred income taxes | 68.2 | 64.5 | 30 |
Total current assets | 1,750.8 | 1,872.9 | 1,955.6 |
Property, plant and equipment, net | 1,411.7 | 1,514.1 | 1,622.6 |
Goodwill | 916.8 | 1,001.1 | 1,113.6 |
Identifiable intangibles, net | 1,246.8 | 1,300 | 1,439.6 |
Deferred financing costs, net | 86.8 | 91 | 110.6 |
Other assets | 485.5 | 473.7 | 495.1 |
Total assets | 5,898.4 | 6,252.8 | 6,737.1 |
Current liabilities: | |||
Accounts payable | 458.3 | 494.5 | 478.5 |
Current portion of borrowings | 41.6 | 40.1 | 46.7 |
Deferred income taxes | 6.4 | 7.3 | 5.5 |
Other accrued liabilities | 291.7 | 404.8 | 472.7 |
Total current liabilities | 798 | 946.7 | 1,003.4 |
Long-term borrowings | 3,566.7 | 3,656.3 | 3,874.2 |
Accrued pensions and other long-term employee benefits | 272.6 | 306.4 | 313.2 |
Deferred income taxes | 190.6 | 208.2 | 280.4 |
Other liabilities | 22.3 | 23.2 | 54.1 |
Total liabilities | $ 4,850.2 | $ 5,140.8 | $ 5,525.3 |
Commitments and contingencies | |||
Shareholders' equity | |||
Common shares, value | $ 229.8 | $ 229.8 | $ 229.1 |
Capital in excess of par | 1,145.9 | 1,144.7 | 1,133.7 |
Accumulated deficit | (181.4) | (226.5) | (253.9) |
Accumulated other comprehensive income (loss) | (215.4) | (103.3) | 34 |
Total Axalta shareholders' equity | 978.9 | 1,044.7 | 1,142.9 |
Noncontrolling interests | 69.3 | 67.3 | 68.9 |
Total shareholders' equity | 1,048.2 | 1,112 | 1,211.8 |
Total liabilities and shareholders' equity | $ 5,898.4 | $ 6,252.8 | $ 6,737.1 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - Successor [Member] - $ / shares shares in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 | $ 1 |
Common shares, shares authorized | 1,000 | 1,000 | 1,000 |
Common shares, shares issued | 229.8 | 229.8 | 229.1 |
Common shares, shares outstanding | 229.8 | 229.8 | 229.1 |
Consolidated (Successor) and D6
Consolidated (Successor) and DuPont Performance Coatings Combined (Predecessor) Statements of Cash Flows - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Operating activities: | |||||||
Net income (loss) | $ 46.7 | $ (3.7) | $ (29) | $ 34.7 | $ (218.9) | ||
Adjustment to reconcile net income (loss) to cash provided by operating activities: | |||||||
Depreciation and amortization | 72.6 | 81.1 | 0 | 308.7 | 300.7 | ||
Amortization of financing costs and original issue discount | 5 | 5.2 | 0 | 21 | 18.4 | ||
Loss on extinguishment and modification of debt | 0 | 3.1 | 0 | 6.1 | 0 | ||
Fair value step up of acquired inventory sold | 0 | 0 | 103.7 | ||||
Bridge financing commitment fees | 0 | 0 | 25 | ||||
Deferred income taxes | (17.2) | (15.1) | 0 | (38.2) | (120.8) | ||
Unrealized loss on derivatives | 1.2 | 3.1 | |||||
Realized and unrealized foreign exchange losses, net | 4.8 | 3.4 | 0 | 75.1 | 48.9 | ||
Stock-based compensation | 1.8 | 1.8 | 0 | 8 | 7.4 | ||
Other non-cash, net | (1.1) | (4.9) | 0 | (25.3) | 13.2 | ||
Decrease (increase) in operating assets and liabilities: | |||||||
Trade accounts and notes receivable | (53.5) | (65.3) | 0 | (40.2) | (6.4) | ||
Inventories | (25.9) | (28.3) | 0 | (24.7) | 33.9 | ||
Prepaid expenses and other assets | (36.3) | 1.9 | 0 | (54.1) | (90.9) | ||
Accounts payable | (1) | 29.3 | 0 | 53.6 | 67.1 | ||
Other accrued liabilities | (91.1) | (76.9) | 29 | (54.8) | 193.1 | ||
Other liabilities | (4.7) | (1.9) | 0 | (18.5) | 2.4 | ||
Cash provided by (used for) operating activities | (98.7) | (67.2) | 0 | 251.4 | 376.8 | ||
Investing activities: | |||||||
Acquisition of controlling interest in investment affiliate (net of cash acquired) | (3.2) | 0 | 0 | 0 | (4,827.6) | ||
Purchase of property, plant and equipment | (31.5) | (50.2) | 0 | (188.4) | (107.3) | ||
Investment in real estate property | 0 | 0 | (54.5) | ||||
Purchase of interest rate cap | 0 | 0 | (3.1) | ||||
Settlement of foreign currency contract | 0 | 0 | (19.4) | ||||
Restricted cash | 1.8 | (2) | 0 | (4.7) | 0 | ||
Purchase of intangibles | 0 | (0.2) | 0 | (0.2) | 0 | ||
Purchase of investment in affiliate | 0 | (6.5) | 0 | ||||
Proceeds from sale of intangible assets | 0.4 | 0 | |||||
Proceeds from sale of assets | 0 | 21.3 | 0.7 | ||||
Proceeds from sale of affiliate | 2.3 | 0 | |||||
Cash used for investing activities | (30.2) | (52.4) | 0 | (178.5) | (5,011.2) | ||
Financing activities: | |||||||
Proceeds from long-term borrowings | 0 | 0.7 | 3,906.7 | ||||
Proceeds from short-term borrowings | 1.5 | 16.7 | 0 | 30.7 | 38.8 | ||
Payments on short-term borrowings | (10.7) | (9.6) | 0 | (33.8) | (25.3) | ||
Payments on long-term debt | (6.8) | 0 | 0 | (121.1) | (21.3) | ||
Payments of deferred financing costs | 0 | 0 | (126) | ||||
Bridge financing commitment fees | 0 | 0 | (25) | ||||
Dividends paid to noncontrolling interests | (3.5) | (0.9) | 0 | (2.2) | (5.2) | ||
Debt modification fees | 0 | (3) | 0 | (3) | 0 | ||
Equity contribution | 0 | 2.5 | 1,355.4 | ||||
Other financing activities | (0.2) | 0 | |||||
Cash received from exercises of stock options | 0 | 3 | 0 | ||||
Net transfer (to) from DuPont | 0 | 0 | 0 | ||||
Cash provided by (used for) financing activities | (19.7) | 3.2 | 0 | (123.2) | 5,098.1 | ||
Increase (decrease) in cash and cash equivalents | (148.6) | (116.4) | 0 | (50.3) | 463.7 | ||
Effect of exchange rate changes on cash | (10.6) | (3.3) | 0 | (26.9) | (4.4) | ||
Cash and cash equivalents at beginning of period | $ 0 | 382.1 | 459.3 | 0 | 459.3 | 0 | |
Cash and cash equivalents at end of period | $ 222.9 | $ 339.6 | 0 | 382.1 | 459.3 | $ 0 | |
Cash paid during the year for: | |||||||
Interest, net of amounts capitalized | 0 | 192 | 171.9 | ||||
Income taxes, net of refunds | 0 | $ 57 | 83.1 | ||||
Predecessor [Member] | |||||||
Operating activities: | |||||||
Net income (loss) | 8.5 | 247.8 | |||||
Adjustment to reconcile net income (loss) to cash provided by operating activities: | |||||||
Depreciation and amortization | 9.9 | 110.7 | |||||
Amortization of financing costs and original issue discount | 0 | 0 | |||||
Loss on extinguishment and modification of debt | 0 | 0 | |||||
Fair value step up of acquired inventory sold | 0 | 0 | |||||
Bridge financing commitment fees | 0 | 0 | |||||
Deferred income taxes | 9.1 | 9.1 | |||||
Realized and unrealized foreign exchange losses, net | 4.5 | 0 | |||||
Stock-based compensation | 0 | 0 | |||||
Other non-cash, net | (3.9) | 7.6 | |||||
Decrease (increase) in operating assets and liabilities: | |||||||
Trade accounts and notes receivable | 25.8 | (58.9) | |||||
Inventories | (19.3) | 5.7 | |||||
Prepaid expenses and other assets | 3.1 | 1.4 | |||||
Accounts payable | (29.9) | 54.9 | |||||
Other accrued liabilities | (43.8) | 36.4 | |||||
Other liabilities | (1.7) | (25.9) | |||||
Cash provided by (used for) operating activities | (37.7) | 388.8 | |||||
Investing activities: | |||||||
Acquisition of controlling interest in investment affiliate (net of cash acquired) | 0 | 0 | |||||
Purchase of property, plant and equipment | (2.4) | (73.2) | |||||
Investment in real estate property | 0 | 0 | |||||
Purchase of interest rate cap | 0 | 0 | |||||
Settlement of foreign currency contract | 0 | 0 | |||||
Restricted cash | 0 | 0 | |||||
Purchase of intangibles | (6.3) | (21.6) | |||||
Purchase of investment in affiliate | (1.2) | 0.1 | |||||
Proceeds from sale of assets | 1.6 | 6.5 | |||||
Cash used for investing activities | (8.3) | (88.2) | |||||
Financing activities: | |||||||
Proceeds from long-term borrowings | 0 | 0 | |||||
Proceeds from short-term borrowings | 0 | 0 | |||||
Payments on short-term borrowings | 0 | (0.7) | |||||
Payments on long-term debt | 0 | 0 | |||||
Payments of deferred financing costs | 0 | 0 | |||||
Bridge financing commitment fees | 0 | 0 | |||||
Dividends paid to noncontrolling interests | 0 | 0 | |||||
Debt modification fees | 0 | 0 | |||||
Equity contribution | 0 | 0 | |||||
Cash received from exercises of stock options | 0 | 0 | |||||
Net transfer (to) from DuPont | 43 | (289.9) | |||||
Cash provided by (used for) financing activities | 43 | (290.6) | |||||
Increase (decrease) in cash and cash equivalents | (3) | 10 | |||||
Effect of exchange rate changes on cash | 0 | (0.1) | |||||
Cash and cash equivalents at beginning of period | 28.7 | $ 28.7 | 18.8 | ||||
Cash and cash equivalents at end of period | 25.7 | $ 28.7 | 28.7 | ||||
Cash paid during the year for: | |||||||
Interest, net of amounts capitalized | 0 | 0 | |||||
Income taxes, net of refunds | $ 13.3 | $ 15.9 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity (Successor) and Combined Statement of Changes in DuPonts Net Investment in DuPont Performance Coatings (Predecessor) - USD ($) $ in Millions | Total | Parent [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Noncontrolling Interest [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] |
Total stockholders' equity, beginning balance (Predecessor [Member]) at Dec. 31, 2011 | $ 1,805.2 | $ 1,846.7 | $ (76.3) | $ 34.8 | |||
Comprehensive Income (Loss) | |||||||
Net income (loss) | Predecessor [Member] | 247.8 | 243.3 | 4.5 | ||||
Net unrealized gain (loss) on securities, net of tax | Predecessor [Member] | 0.2 | 0.2 | |||||
Long-term employee benefit plans, net of tax | Predecessor [Member] | (64.8) | (64.8) | |||||
Comprehensive income (loss) | Predecessor [Member] | 183.2 | 243.3 | (64.6) | 4.5 | |||
Net transfers from (to) DuPont | Predecessor [Member] | (287.7) | (283.8) | (3.9) | ||||
Deconsolidation of joint venture | Predecessor [Member] | (3.7) | (1.9) | (1.8) | ||||
Total stockholders' equity, ending balance (Predecessor [Member]) at Dec. 31, 2012 | 1,697 | 1,804.3 | (140.9) | 33.6 | |||
Total stockholders' equity, ending balance (Successor [Member]) at Dec. 31, 2012 | (29) | $ (29) | |||||
Comprehensive Income (Loss) | |||||||
Net income (loss) | Predecessor [Member] | 8.5 | 7.9 | 0.6 | ||||
Net unrealized gain (loss) on securities, net of tax | Predecessor [Member] | 0.2 | 0.2 | |||||
Long-term employee benefit plans, net of tax | Predecessor [Member] | 0.7 | 0.7 | |||||
Comprehensive income (loss) | Predecessor [Member] | 9.4 | 7.9 | 0.9 | 0.6 | |||
Net transfers from (to) DuPont | Predecessor [Member] | 43 | 43 | |||||
Dividends declared to noncontrolling interests | Predecessor [Member] | (1.5) | (1.5) | |||||
Total stockholders' equity, ending balance (Predecessor [Member]) at Jan. 31, 2013 | 1,747.9 | 1,855.2 | (140) | 32.7 | |||
Total stockholders' equity, beginning balance (Predecessor [Member]) at Dec. 31, 2012 | 1,697 | 1,804.3 | (140.9) | 33.6 | |||
Total stockholders' equity, beginning balance (Successor [Member]) at Dec. 31, 2012 | (29) | (29) | |||||
Comprehensive Income (Loss) | |||||||
Net income (loss) | Successor [Member] | (218.9) | 6 | (224.9) | ||||
Net unrealized gain (loss) on securities, net of tax | Successor [Member] | (0.9) | (0.9) | |||||
Net realized and unrealized gain (loss) on derivatives, net of tax | Successor [Member] | 3.1 | 3.1 | |||||
Long-term employee benefit plans, net of tax | Successor [Member] | 7.5 | 7.5 | |||||
Foreign currency translation | Successor [Member] | 24.3 | 24.3 | |||||
Comprehensive income (loss) | Successor [Member] | (184.9) | 34 | 6 | (224.9) | |||
Equity contributions | Successor [Member] | 1,355.4 | $ 0.1 | $ 1,355.3 | ||||
Recognition of stock-based compensation | Successor [Member] | 7.4 | 7.4 | |||||
Capitalization of capital in excess of par | Successor [Member] | 229 | (229) | |||||
Noncontrolling interests of acquired subsidiaries | Successor [Member] | 66.7 | 66.7 | |||||
Dividends declared to noncontrolling interests | Successor [Member] | (3.8) | (3.8) | |||||
Total stockholders' equity, ending balance (Successor [Member]) at Dec. 31, 2013 | 1,211.8 | 1,142.9 | 34 | 68.9 | 229.1 | 1,133.7 | (253.9) |
Comprehensive Income (Loss) | |||||||
Net income (loss) | Successor [Member] | (3.7) | (4.3) | 0.6 | ||||
Comprehensive income (loss) | Successor [Member] | (6.7) | ||||||
Recognition of stock-based compensation | Successor [Member] | 1.8 | 1.8 | 0 | ||||
Dividends declared to noncontrolling interests | Successor [Member] | (0.9) | 0 | (0.9) | ||||
Total stockholders' equity, ending balance (Successor [Member]) at Mar. 31, 2014 | 1,206 | 1,137.4 | 68.6 | ||||
Total stockholders' equity, beginning balance (Successor [Member]) at Dec. 31, 2013 | 1,211.8 | 1,142.9 | 34 | 68.9 | 229.1 | 1,133.7 | (253.9) |
Comprehensive Income (Loss) | |||||||
Net income (loss) | Successor [Member] | 34.7 | 7.3 | 27.4 | ||||
Net unrealized gain (loss) on securities, net of tax | Successor [Member] | 0.7 | 0.7 | |||||
Net realized and unrealized gain (loss) on derivatives, net of tax | Successor [Member] | (2.9) | (2.9) | |||||
Long-term employee benefit plans, net of tax | Successor [Member] | (38.7) | (38.7) | |||||
Foreign currency translation | Successor [Member] | (101.1) | (96.4) | (4.7) | ||||
Comprehensive income (loss) | Successor [Member] | (107.3) | (137.3) | 2.6 | 27.4 | |||
Equity contributions | Successor [Member] | 2.5 | 0.3 | 2.2 | ||||
Recognition of stock-based compensation | Successor [Member] | 8 | 8 | |||||
Exercises of stock options | Successor [Member] | 3 | 0.4 | 2.6 | ||||
Noncontrolling interests of acquired subsidiaries | Successor [Member] | (3.8) | (2) | (1.8) | ||||
Dividends declared to noncontrolling interests | Successor [Member] | (2.2) | (2.2) | |||||
Total stockholders' equity, ending balance (Successor [Member]) at Dec. 31, 2014 | 1,112 | 1,044.7 | $ (103.3) | 67.3 | $ 229.8 | $ 1,144.7 | $ (226.5) |
Comprehensive Income (Loss) | |||||||
Net income (loss) | Successor [Member] | 46.7 | 45.1 | 1.6 | ||||
Comprehensive income (loss) | Successor [Member] | (65.8) | ||||||
Recognition of stock-based compensation | Successor [Member] | 1.8 | 1.8 | 0 | ||||
Exercises of stock options | Successor [Member] | (0.6) | (0.6) | 0 | ||||
Noncontrolling interests of acquired subsidiaries | Successor [Member] | 4.3 | 0 | 4.3 | ||||
Dividends declared to noncontrolling interests | Successor [Member] | (3.5) | 0 | (3.5) | ||||
Total stockholders' equity, ending balance (Successor [Member]) at Mar. 31, 2015 | $ 1,048.2 | $ 978.9 | $ 69.3 |
Consolidated Statement of Chan8
Consolidated Statement of Changes in Stockholders' Equity (Successor) and Combined Statement of Changes in DuPonts Net Investment in DuPont Performance Coatings (Predecessor) (Parenthetical) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Predecessor [Member] | ||||
Net unrealized gain (loss) on securities, tax | $ 0 | $ 0.1 | ||
Long-term employee benefit plans, tax | $ 0.4 | $ 34.8 | ||
Successor [Member] | ||||
Net unrealized gain (loss) on securities, tax | $ 0 | $ 0 | ||
Net realized and unrealized gain (loss) on derivatives, tax | 1.7 | 1.9 | ||
Long-term employee benefit plans, tax | $ 16.9 | $ 3.5 |
Basis of Presentation of the Co
Basis of Presentation of the Condensed Consolidated Financial Statements | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Basis of Presentation of the Condensed Consolidated Financial Statements | (1) BASIS OF PRESENTATION OF THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS The interim condensed consolidated financial statements included herein are unaudited. In the opinion of management, these statements include all adjustments, consisting only of normal, recurring adjustments, necessary for a fair statement of the financial position of Axalta Coating Systems Ltd., a Bermuda exempted company limited by shares, and its consolidated subsidiaries (“Axalta,” the “Company,” “we,” “our” and “us”) at March 31, 2015 and December 31, 2014, the results of operations and comprehensive income (loss) for the three months ended March 31, 2015 and 2014, and their cash flows for the three months then ended. All intercompany balances and transactions have been eliminated. These interim unaudited condensed consolidated financial statements should be read in conjunction with the consolidated and combined financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. The accompanying financial statements include the interim unaudited condensed consolidated balance sheets of Axalta at March 31, 2015 and December 31, 2014, the related interim unaudited condensed consolidated statements of operations and statements of comprehensive income (loss) for the three months ended March 31, 2015 and 2014 and of cash flows for the three months ended March 31, 2015 and 2014. The interim unaudited condensed consolidated financial statements include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. The results of operations for the three months ended March 31, 2015 are not necessarily indicative of the results to be expected for a full year. The acquisition (“Acquisition”) by Axalta and certain of its indirect subsidiaries of all the capital stock, other equity interests and assets of certain entities which, together with their subsidiaries, comprised the assets and legal entities, which together with their subsidiaries, compromised the DuPont Performance Coatings business (“DPC”), which was formerly owned by E. I. du Pont de Nemours and Company (“DuPont”), closed on February 1, 2013. On November 11, 2014, we priced our initial public offering (the “Offering”, or the “IPO”), in which certain selling shareholders affiliated with Carlyle sold 57,500,000 common shares at a price of $19.50 per share. We received no proceeds from the Offering. Certain of our joint ventures are accounted for on a one-month lag basis, the effect of which is not material. Reclassification and revisions During 2014, the Company identified errors in the determination of the effective interest rate amortization for the Deferred Financing Costs and Original Issue Discounts that were incurred in 2013. The correction of these items impacted the interim unaudited condensed consolidated statements of operations and statements of comprehensive income (loss) for the three months ended March 31, 2014. Refer to Note 15 for further details. | (2) BASIS OF PRESENTATION OF THE CONSOLIDATED AND COMBINED FINANCIAL STATEMENTS The accompanying consolidated balance sheets of Axalta at December 31, 2014 and 2013 and the related consolidated statements of operations, consolidated statements of comprehensive income, consolidated statements of cash flows and of changes in shareholders’ equity for the years ended December 31, 2014 and 2013 and for the period from August 24, 2012 through December 31, 2012 are labeled as “Successor”. The Successor financial statements as of and for the years ended December 31, 2014 and 2013 were prepared reflecting acquisition accounting resulting from the Acquisition. The consolidated financial statements for the Successor include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. The accompanying combined balance sheet of DPC as of December 31, 2012 and the related combined statements of operations and statements of comprehensive income for the period from January 1, 2013 through January 31, 2013 and for the year ended December 31, 2012 and consolidated statements of cash flows and of changes in parent company net investment for the period from January 1, 2013 through January 31, 2013 and for the year ended December 31, 2012 do not include adjustments or transactions attributable to the Acquisition, and are labeled as “Predecessor”. As a result of the application of acquisition accounting as of the closing date of the Acquisition, the financial statements for the Successor periods and the Predecessor periods are presented on a different basis and are, therefore, not comparable. During the Predecessor periods, DPC operated either as a reportable segment or part of a reportable segment within DuPont; consequently, standalone financial statements were not historically prepared for DPC. The accompanying combined financial statements of DPC have been prepared from DuPont’s historical accounting records and are presented on a standalone basis as if the operations had been conducted independently from DuPont. In this context, prior to presale structuring activities occurring in the latter part of 2012, no direct ownership relationship existed among all of the various legal entities comprising DPC. Accordingly, DuPont and its subsidiaries’ net investment in these operations is shown in lieu of shareholders’ equity in the Predecessor combined financial statements. The Predecessor combined financial statements include the historical operations, assets and liabilities of the legal entities that are considered to comprise the DPC business. DPC comprised certain standalone legal entities for which discrete financial information was available, as well as portions of legal entities for which discrete financial information was not available (shared entities). Discrete financial information was not available for DPC within shared entities as DuPont did not record every transaction at the DPC level, but rather at the DuPont corporate level. For shared entities for which discrete financial information was not available, allocation methodologies were applied to certain accounts to allocate amounts to DPC as discussed in Note 8. The Predecessor combined statements of operations include all revenues and costs directly attributable to DPC, including costs for facilities, functions and services used by DPC. Costs for certain functions and services performed by centralized DuPont organizations were directly charged to DPC based on usage or other allocations methods. The results of operations also include allocations of (i) costs for administrative functions and services performed on behalf of DPC by centralized staff groups within DuPont, (ii) DuPont’s general corporate expenses, and (iii) certain pension and other postretirement benefit costs. As more fully described in Note 14 current and deferred income taxes and related tax expense were determined on the standalone results of the DPC operations in each country as if it were a separate taxpayer (i.e., following the separate return methodology). All charges and allocations of cost for facilities, functions and services performed by DuPont organizations were deemed paid by DPC to DuPont, in cash, in the period in which the costs were recorded in the Predecessor combined statement of operations. Allocations to DPC of current income taxes payable were deemed to have been remitted, in cash, to DuPont in the period the related tax expense was recorded. Allocations of current income taxes receivable were deemed to have been remitted to DPC, in cash, by DuPont in the period in which the receivable applies only to the extent that a refund of such taxes could have been recognized by DPC on a standalone basis under the law of the relevant taxing jurisdiction. DuPont used a centralized approach to cash management and financing its operations. Accordingly, cash, cash equivalents, debt and interest expense were not allocated to DPC in the Predecessor combined financial statements. Transactions between DPC and DuPont were accounted for through the parent company net investment. DPC purchased materials and services from, and sold materials and services to, DuPont operations not included in the defined scope of DPC. Transactions between DuPont and DPC were deemed to be settled immediately through the parent company net investment. Cash, cash equivalents, debt and interest expense in the Predecessor combined balance sheet and statement of operations represent cash, cash equivalents, debt and interest expense held locally by certain of DPC’s majority owned joint ventures. DuPont’s current and long-term debt was not pushed down to the Predecessor combined financial statements because it was not specifically identifiable to DPC. All of the allocations and estimates in the Predecessor combined financial statements were based on assumptions that management of DuPont and DPC believed were reasonable. However, the Predecessor combined financial statements included herein may not be indicative of the financial position, results of operations and cash flows of the Company in the future or if DPC had been a separate, standalone entity during the Predecessor periods presented. Certain of our joint ventures are accounted for on a one-month lag basis, the effect of which is not material. |
Recent Accounting Guidance
Recent Accounting Guidance | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | ||
Recent Accounting Guidance | (2) RECENT ACCOUNTING GUIDANCE Accounting Guidance Issued But Not Yet Adopted In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs” , In February 2015, the FASB issued ASU 2015-02 (Accounting Standard Codification 810), “Consolidation”, which sets forth guidance on accounting for consolidation of certain legal entities. This ASU is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Although early adoption is permitted, we are still in the process of assessing the impact the adoption of this ASU will have on our financial position, results of operations and cash flows. In May 2014, the FASB issued ASU 2014-09 (Accounting Standard Codification 606), “Revenue from Contracts with Customers”, which sets forth the guidance that an entity should use related to revenue recognition. This ASU is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is not permitted. In April 2015 the FASB proposed a one-year delay in the effective date of the new revenue accounting standard to fiscal years beginning after December 15, 2017, and proposed that companies would be allowed to early adopt the guidance as of the original effective date. We are in the process of assessing the impact the adoption of this ASU will have on our financial position, results of operations and cash flows. | (4) RECENT ACCOUNTING GUIDANCE Recently Adopted Accounting Guidance In April 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity”, which amended the guidance for reporting discontinued operations and disposals of components of an entity. The amended guidance requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. The amendments also expand the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The amendments are effective prospectively for fiscal years, and interim reporting periods within those years, beginning after December 15, 2014 and early adoption is permitted. We have adopted this guidance as of December 31, 2014. In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income,” issuing changes to the reporting of amounts reclassified out of accumulated other comprehensive income. These changes require an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required to be reclassified in its entirety to net income. For other amounts that are not required to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other disclosures that provide additional detail about those amounts. These requirements are to be applied to each component of accumulated other comprehensive income. This guidance is effective prospectively for annual reporting periods beginning on or after January 1, 2014, and the interim periods within those annual periods. We have included the additional disclosures requirements within Note 26. Accounting Guidance Issued But Not Yet Adopted In May 2014, the FASB issued ASU 2014-09 (Accounting Standard Codification 606), “Revenue from Contracts with Customers”, which sets forth the guidance that an entity should use related to revenue recognition. This ASU is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is not permitted. We are in the process of assessing the impact the adoption of this ASU will have on our financial position, results of operations and cash flows. |
Goodwill and Identifiable Intan
Goodwill and Identifiable Intangible Assets | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill and Identifiable Intangible Assets | (3) GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS Goodwill The following table shows changes in the carrying amount of goodwill from December 31, 2014 to March 31, 2015 by reportable segment: Performance Coatings Transportation Coatings Total At December 31, 2014 $ 933.6 $ 67.5 1,001.1 Goodwill from acquisition 12.5 — 12.5 Foreign currency translation (90.3 ) (6.5 ) (96.8 ) March 31, 2015 $ 855.8 $ 61.0 $ 916.8 In March 2015, we purchased an additional 25% interest in a previously held equity method investment. See Note 9 for additional information. Identifiable Intangible Assets The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class: March 31, 2015 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted amortization Technology $ 411.8 $ (86.5 ) $ 325.3 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.9 (6.2 ) 35.7 14.8 Customer relationships 676.9 (76.5 ) 600.4 19.4 Non-compete agreements 1.9 (0.9 ) 1.0 4.6 Total $ 1,416.9 $ (170.1 ) $ 1,246.8 December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted average amortization Technology $ 411.8 $ (76.3 ) $ 335.5 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.8 (5.5 ) 36.3 14.8 Customer relationships 713.9 (71.3 ) 642.6 19.4 Non-compete agreements 2.0 (0.8 ) 1.2 4.6 Total $ 1,453.9 $ (153.9 ) $ 1,300.0 Activity related to in process research and development projects for the three months ended March 31, 2015 was: In Process Research and Development Activity Balance at December 31, 2014 $ 5.2 Completed (1.5 ) Abandoned — Balance at March 31, 2015 $ 3.7 For the three months ended March 31, 2015 and 2014, amortization expense for acquired intangibles was $20.0 million and $21.1 million, respectively. The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2015 and each of the succeeding four years is: Remainder of 2015 $ 59.7 2016 $ 79.6 2017 $ 79.2 2018 $ 79.2 2019 $ 79.2 | (6) GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS Goodwill The following table shows changes in the carrying amount of goodwill for the Successor years ended December 31, 2014 and 2013 by reportable segment: Performance Transportation Total At January 1, 2013 $ — $ — $ — Goodwill resulting from Acquisition 1,012.5 72.9 1,085.4 Foreign currency translation 26.3 1.9 28.2 At December 31, 2013 $ 1,038.8 $ 74.8 $ 1,113.6 Purchase accounting adjustments 5.7 0.4 6.1 Divestitures (4.7 ) — (4.7 ) Foreign currency translation (106.2 ) (7.7 ) (113.9 ) December 31, 2014 $ 933.6 $ 67.5 $ 1,001.1 During the Successor year ended December 31, 2014, we identified and recorded purchase accounting adjustments of $6.1 million related to corrections subsequent to the end of the purchase accounting measurement period. The following table shows changes in the carrying amount of goodwill for the Predecessor year ended December 31, 2012 and the Predecessor period from January 1, 2013 to January 31, 2013 by reportable segment: Performance Transportation Total At January 1, 2012 $ 517.9 $ 70.9 $ 588.8 Foreign currency translation — — — December 31, 2012 $ 517.9 $ 70.9 $ 588.8 Foreign currency translation — — — January 31, 2013 $ 517.9 $ 70.9 $ 588.8 Identifiable Intangible Assets The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class: December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted average amortization periods (years) Technology $ 411.8 $ (76.3 ) $ 335.5 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.8 (5.5 ) 36.3 14.8 Customer relationships 713.9 (71.3 ) 642.6 19.4 Non-compete agreements 2.0 (0.8 ) 1.2 4.6 Total $ 1,453.9 $ (153.9 ) $ 1,300.0 December 31, 2013 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted average amortization Technology $ 425.2 $ (37.3 ) $ 387.9 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.7 (2.6 ) 39.1 14.8 Customer relationships 761.9 (34.9 ) 727.0 19.4 Non-compete agreements 1.5 (0.3 ) 1.2 4.0 Total $ 1,514.7 $ (75.1 ) $ 1,439.6 Activity related to in process research and development projects for the successor years ended December 31, 2013 and 2014: In Process Research and Development Activity Balance at February 1, 2013 $ 25.4 Completed (6.5 ) Abandoned (3.2 ) Balance at December 31, 2013 $ 15.7 Completed (10.4 ) Abandoned (0.1 ) Balance at December 31, 2014 $ 5.2 In the Successor years ended December 31, 2014 and 2013, amortization expense for acquired intangibles was $83.8 million and $79.9 million, respectively. Amortization expense for the years ended December 31, 2014 and 2013 included losses of $0.1 million and $3.2 million, respectively, associated with abandoned acquired in process research and development projects, all of which was related to the Acquisition. Amortization expense for the Predecessor period from January 1, 2013 through January 31, 2013 and the Predecessor year ended December 31, 2012 was $2.6 million and $25.7 million, respectively, which were primarily reported as a reduction in net sales. The estimated amortization expense related to the fair value of acquired intangible assets for each of the succeeding five years is: 2015 $ 81.6 2016 $ 81.6 2017 $ 81.1 2018 $ 81.0 2019 $ 81.0 |
Restructuring
Restructuring | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Restructuring and Related Activities [Abstract] | ||
Restructuring | (4) RESTRUCTURING In accordance with the applicable guidance for Nonretirement Postemployment Benefits, we accounted for termination benefits and recognized liabilities when the loss was considered probable that employees were entitled to benefits and the amounts could be reasonably estimated. We have incurred costs associated with involuntary termination benefits associated with corporate-related initiatives associated with our transition and cost-saving opportunities related to the separation from DuPont and our Axalta Way initiatives. During the three months ended March 31, 2015 and 2014 we incurred restructuring costs of $2.2 million and $0.1 million, respectively. These amounts are recorded within selling, general and administrative expenses in the interim unaudited condensed consolidated statements of operations. The payments associated with these actions are expected to be completed by December 2015. The following table summarizes the activities related to the restructuring reserves, recorded within other accrued liabilities, and expenses from December 31, 2014 to March 31, 2015: 2015 Activity Balance at December 31, 2014 $ 48.5 Expense Recorded 2.2 Payments Made (14.0 ) Foreign Currency Changes (5.0 ) Balance at March 31, 2015 $ 31.7 | (7) RESTRUCTURING Successor Periods In accordance with the applicable guidance for Nonretirement Postemployment Benefits, we accounted for termination benefits and recognized liabilities when the loss was considered probable that employees were entitled to benefits and the amounts could be reasonably estimated. Since the Acquisition date, we have incurred costs associated with involuntary termination benefits associated with corporate-related initiatives associated with our transition and cost-saving opportunities related to the separation from DuPont. During the Successor years ended December 31, 2014 and 2013 we incurred restructuring costs of $8.5 million and $120.7 million, respectively. These amounts are recorded within selling, general, and administrative expenses in the consolidated statements of operations. The payments associated with these actions are expected to be completed by December 2015. The following tables summarize the activities related to the restructuring reserves, recorded within other accrued liabilities, and expenses for the Successor years ended December 31, 2013 and 2014: 2013 Activity Balance at February 1, 2013 (At acquisition date) $ 0.5 Expense recorded 120.7 Payments (23.7 ) Foreign currency translation 0.9 Balance at December 31, 2013 $ 98.4 2014 Activity Balance at December 31, 2013 $ 98.4 Expense Recorded 8.5 Payments Made (51.6 ) Foreign Currency Changes (6.8 ) Balance at December 31, 2014 $ 48.5 Predecessor Periods There was no expense recorded during the Predecessor periods January 1, 2013 through January 31, 2013 associated with restructuring. At December 31, 2012 of the Predecessor period, total liabilities relating to restructuring activities were $2.1 million. For the Predecessor year ended December 31, 2012 there were reductions in expense resulting from changes in estimates of $0.3 million. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments and Contingencies | (5) COMMITMENTS AND CONTINGENCIES Guarantees We directly guarantee certain obligations under agreements with third parties. At March 31, 2015 and December 31, 2014, we had directly guaranteed $2.1 million and $2.2 million of such obligations, respectively. These guarantees represent the maximum potential amount of future (undiscounted) payments that we could be required to make under the guarantees in the event of default by the guaranteed parties. No amounts were accrued at March 31, 2015 and December 31, 2014. Other We are subject to various pending lawsuits and other claims including civil, regulatory, and environmental matters. Certain of these lawsuits and other claims may have an impact on us. These litigation matters may involve indemnification obligations by third parties and/or insurance coverage covering all or part of any potential damage awards against DuPont and/or us. All of the above matters are subject to many uncertainties and, accordingly, we cannot determine the ultimate outcome of the lawsuits at this time. The potential effects, if any, on the unaudited condensed consolidated financial statements of Axalta will be recorded in the period in which these matters are probable and estimable, and such effects, could be material. In addition to the aforementioned matters, we are party to various legal proceedings in the ordinary course of business. Although the ultimate resolution of these various proceedings cannot be determined at this time, management does not believe that such proceedings, individually or in the aggregate, will have a material adverse effect on the unaudited condensed consolidated financial statements of Axalta. | (9) COMMITMENTS AND CONTINGENCIES Guarantees In connection with the Acquisition, we assumed certain guarantee obligations which directly guarantee various debt obligations under agreements with third parties related to the following: equity affiliates, customers, suppliers and other affiliated companies. At December 31, 2014 and 2013, we had directly guaranteed $2.2 million and $1.6 million of such obligations, respectively. These guarantees represent the maximum potential amount of future (undiscounted) payments that we could be required to make under the guarantees in the event of default by the guaranteed parties. No amounts were accrued at December 31, 2014 and 2013. Product Warranty We warrant that our products meet standard specifications. Our product warranty liability at December 31, 2014 and 2013 was $0.5 million and $0.6 million, respectively. Estimates for warranty costs are based on historical claims experience. Operating Lease Commitments We use various leased facilities and equipment in our operations. The terms for these leased assets vary depending on the lease agreement. Net rental expense under operating leases were $61.6 million and $50.0 million for the Successor years ended December 31, 2014 and 2013, respectively. Net rental expense under operating leases was $4.6 million and $43.6 million for the Predecessor period from January 1, 2013 through January 31, 2013 and the Predecessor year ended December 31, 2012, respectively. At December 31, 2014, future minimum payments under non-cancelable operating leases were as follows over each of the next five years and thereafter: Operating Leases 2015 $ 50.6 2016 35.5 2017 27.6 2018 24.5 2019 22.7 Thereafter 47.7 Total minimum payments $ 208.6 Other We are subject to various pending lawsuits and other claims including civil, regulatory, and environmental matters. Certain of these lawsuits and other claims may impact us. These litigation matters may involve indemnification obligations by third parties and/or insurance coverage covering all or part of any potential damage awards against DuPont and/or us. All of the above matters are subject to many uncertainties and, accordingly, we cannot determine the ultimate outcome of the lawsuits at this time. The potential effects, if any, on the consolidated financial statements of Axalta will be recorded in the period in which these matters are probable and estimable, and such effects, could be material. In addition to the aforementioned matters, we are party to various legal proceedings in the ordinary course of business. Although the ultimate resolution of these various proceedings cannot be determined at this time, management does not believe that such proceedings, individually or in the aggregate, will have a material adverse effect on the consolidated financial statements of Axalta. |
Long-term Employee Benefits
Long-term Employee Benefits | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | ||
Long-term Employee Benefits | (6) LONG-TERM EMPLOYEE BENEFITS Components of Net Periodic Benefit Cost The following table sets forth the components of net periodic benefit (gain) cost for the three months ended March 31, 2015 and 2014. Pension Benefits Three Months Ended March 31, 2015 2014 Components of net periodic benefit cost: Net periodic benefit cost: Service cost $ 3.1 $ 4.6 Interest cost 4.6 6.0 Expected return on plan assets (3.7 ) (3.7 ) Amortization of actuarial (gain) loss, net 0.3 (0.1 ) Amortization of prior service credit, net (0.1 ) — Net periodic benefit cost $ 4.2 $ 6.8 Other Long-Term Employee Benefits Three Months Ended March 31, 2015 2014 Components of net periodic benefit (gain) cost: Net periodic benefit (gain) cost: Service cost $ — $ — Interest cost — 0.1 Amortization of prior service credit (0.9 ) — Net periodic benefit (gain) cost $ (0.9 ) $ 0.1 Significant Events During the three months ended March 31, 2014, the Company amended one of our Non-U.S. defined benefit pension plans. The amendment effectively eliminated the accrual of future benefits for all participants as of March 31, 2014, resulting in a curtailment gain of $5.6 million. As the plan had unrealized losses in excess of the reduction of the projected benefit obligation at the date of amendment, the gain was recorded as a reduction of the projected benefit obligation and a corresponding reduction of unrealized losses within Accumulated other comprehensive loss. | (10) LONG-TERM EMPLOYEE BENEFITS Defined Benefit Pension and Other Long-Term Employee Benefits Plans Successor period Defined Benefit Pensions In connection with the Acquisition, we assumed certain defined benefit plan obligations for both current and former employees of our non-U.S. subsidiaries. All defined benefit pension plan obligations for current and former employees in the U.S. were retained by DuPont. The defined benefit obligations for remaining current employees of non-U.S. subsidiaries assumed by Axalta were carved out of defined benefit pension plans retained by DuPont, where required. We have created new defined benefit pension plans for all effected participants. The Acquisition Agreement required DuPont to transfer assets generally in the form of cash, insurance contracts or marketable securities from DuPont’s funded defined benefit pension plans to our defined benefit pension plans within 180 days of the closing date of the Acquisition. The determination of asset transfers has been completed at December 31, 2014 for all plans except the plan covering our Canadian employees. During the Predecessor period, DuPont had accounted for the benefit obligations of all the defined benefit plans as though the employees were participants in a multiemployer plan in the Predecessor period. For multiemployer plans, ASC 805, Business Combinations Other Long-Term Employee Benefits We also assumed in connection with the Acquisition certain long-term employee health care and life insurance benefits for certain eligible employees in Canada and Brazil. These programs require retiree contributions based on retiree-selected coverage levels for certain retirees. Predecessor period DuPont offered various long-term benefits to its employees. DuPont offered U.S. plans that were shared amongst its businesses. In these cases, the costs, assets, and liabilities of participating employees in these plans are reflected in the Predecessor combined financial statements as though DPC participated in a multiemployer plan. The total cost of the plan was determined by actuarial valuation and the business received an allocation of the cost of the plan based upon several factors, including a percentage of salaries, headcount and fixed costs. For the non-U.S. plans, the Predecessor combined financial statements have been prepared as though the DPC employees who participated in the non-U.S. plans were considered separate plans. As such a portion of DuPont’s liabilities, assets and expenses are included in the Predecessor combined financial statements. Pension asset allocation for funded plans outside of the U.S. was based on either predominant local country calculation, or in other cases, by relative benefit obligation of the standalone DPC plan. Defined Benefit Pensions DuPont had both funded and unfunded noncontributory defined benefit pension plans covering a majority of the U.S. employees hired before January 1, 2007, including U.S. employees of DPC. The benefits under these plans were based primarily on years of service and employees’ pay near retirement. DuPont’s funding policy was consistent with the funding requirements of federal laws and regulations. Pension coverage for employees of DuPont’s non-U.S. subsidiaries was provided, to the extent deemed appropriate, through separate plans. Obligations under such plans were funded by depositing funds with trustees, covered by insurance contracts, or were unfunded. Other Long-Term Employee Benefits DuPont and its Canadian and Brazilian subsidiaries provided medical, dental and life insurance benefits to pensioners and survivors, and disability and life insurance protection to employees. The associated plans for retiree benefits were unfunded and the cost of the approved claims was paid from DuPont funds. Essentially all of the cost and liabilities for these retiree benefit plans were attributable to DuPont’s U.S. plans. The retiree medical plan was contributory with pensioners and survivors’ contributions adjusted annually to achieve a 50/50 target sharing of cost increases between DuPont and pensioners and survivors. In addition, limits were applied to DuPont’s portion of the retiree medical cost coverage. U.S. employees hired after December 31, 2006 were not eligible to participate in the postretirement medical, dental and life insurance plans. Employee life insurance and disability benefit plans were insured in many countries. However, primarily in the U.S., such plans were generally self-insured or were fully experience rated. Expenses for self-insured and fully experience rated plans are reflected in the Predecessor combined financial statements. Participation in the U.S. Plans DPC participated in DuPont’s U.S. plans as though they were participants in a multiemployer plan with the other businesses of DuPont. The following table presents pension expense allocated by DuPont to DPC for DuPont’s significant plans in which DPC participated. Predecessor Plan Name EIN/ January 1, 2013 through January 31, 2013 Year Ended December 31, 2012 DuPont Pension and Retirement Plan 51-0014090/001 $ 4.2 $ 40.6 All Other Plans $ 0.7 $ 16.7 Obligations and Funded Status The measurement date used to determine defined benefit and other long-term employee benefit obligations was December 31. The following table sets forth the changes to the projected benefit obligations (“PBO”) and plan assets for the Successor year ended December 31, 2014 and 2013 and the funded status and amounts recognized in the accompanying consolidated balance sheets at December 31, 2014 and 2013 for the Company’s defined benefit pension and other long-term benefit plans: Defined Benefits Other Long-Term Employee Benefits Successor Successor Year Ended December 31, Year Ended December 31, Obligations and Funded Status 2014 2013 2014 2013 Change in benefit obligation: Projected benefit obligation at beginning of year $ 603.0 $ — $ 4.6 $ — Fair value of assumed obligation at Acquisition date — 579.5 — 5.2 Service cost 15.4 17.0 0.1 0.2 Interest cost 22.9 21.2 0.1 0.2 Participant contributions 1.0 1.0 — — Actuarial losses (gains)—net 85.8 (5.8 ) 1.1 (0.7 ) Plan curtailments and settlements (16.3 ) (1.4 ) — — Benefits paid (30.1 ) (20.7 ) — — Amendments (4.3 ) (0.4 ) (5.7 ) — Currency translation adjustment (64.3 ) 12.6 (0.1 ) (0.3 ) Projected benefit obligation at end of year 613.1 603.0 0.1 4.6 Change in plan assets: Fair value of plan assets at beginning of year 281.3 — — — Fair value of plan assets at Acquisition date — 250.7 — — Actual return on plan assets 26.5 16.0 — — Employer contributions 40.9 28.6 — — Participant contributions 1.0 1.0 — — Benefits paid (30.1 ) (20.7 ) — — Settlements (2.7 ) (0.6 ) — — Currency translation adjustment (22.4 ) 6.3 — — Fair value of plan assets at end of year 294.5 281.3 — — Funded status, net $ (318.6 ) $ (321.7 ) $ (0.1 ) $ (4.6 ) Amounts recognized in the consolidated balance sheets consist of: Other assets $ 0.1 $ 0.2 $ — $ — Other accrued liabilities (12.4 ) (13.3 ) — — Accrued pension and other long-term employee benefits (306.3 ) (308.6 ) (0.1 ) (4.6 ) Net amount recognized $ (318.6 ) $ (321.7 ) $ (0.1 ) $ (4.6 ) The PBO is the actuarial present value of benefits attributable to employee service rendered to date, including the effects of estimated future pay increases. The accumulated benefit obligation (“ABO”) is the actuarial present value of benefits attributable to employee service rendered to date, but does not include the effects of estimated future pay increases. The following table reflects the ABO for all defined benefit pension plans as of December 31, 2014 and 2013. Further, the table reflects the aggregate PBO, ABO and fair value of plan assets for pension plans with PBO in excess of plan assets and for pension plans with ABO in excess of plan assets. Successor Year Ended December 31, 2014 2013 ABO $ 559.4 $ 541.5 Plans with PBO in excess of plan assets: PBO $ 606.2 $ 595.7 ABO $ 553.2 $ 534.9 Fair value plan assets $ 287.5 $ 273.8 Plans with ABO in excess of plan assets: PBO $ 602.0 $ 537.8 ABO $ 550.9 $ 488.9 Fair value plan assets $ 285.1 $ 227.2 The pretax amounts not yet reflected in net periodic benefit cost and included in Accumulated other comprehensive income (loss) include the following: Defined Benefits: Successor Year Ended December 31, 2014 2013 Accumulated net actuarial gains (losses) $ (52.6 ) $ 10.0 Accumulated prior service (cost) credit 4.3 0.4 Total $ (48.3 ) $ 10.4 Other Long-Term Employee Benefits: Successor Year Ended December 31, 2014 2013 Accumulated net actuarial gains (losses) $ (0.4 ) $ 0.6 Accumulated prior service (cost) credit 4.1 — Total $ 3.7 $ 0.6 The accumulated actuarial gains (losses), net for pensions and other long-term employee benefits relate primarily to differences between the actual net periodic expense and the expected net periodic expense resulting from differences in the significant assumptions, including primarily return on assets, discount rates and healthcare trends, used in these estimates. The estimated pre-tax amounts that are expected to be amortized from Accumulated other comprehensive income (loss) into net periodic benefit cost during 2015 for the defined benefit plans and other long-term employee benefit plans is as follows: 2015 Defined Benefits Other Long-Term Employee Benefits Amortization of net actuarial gains (losses) $ (1.1 ) $ — Amortization of prior service (cost) credit 0.3 4.1 Total $ (0.8 ) $ 4.1 Components of Net Periodic Benefit Cost The following table sets forth the components of net periodic benefit costs for the Successor years ended December 31, 2014 and 2013 and the Predecessor year ended December 31, 2012. Pension Benefits Successor Predecessor Year Ended Period from August 24, 2012 through December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Components of net periodic benefit cost and amounts recognized in other comprehensive (income) loss: Net periodic benefit (credit) cost: Service cost $ 15.4 $ 17.0 $ — $ 1.6 $ 14.8 Interest cost 22.9 21.2 — 1.8 22.0 Expected return on plan assets (14.8 ) (11.9 ) — (1.9 ) (18.4 ) Amortization of actuarial (gain) loss, net (0.3 ) — — 1.1 5.2 Amortization of prior service cost — — — — 0.2 Curtailment gain (7.3 ) — — — — Settlement loss 0.1 — — — 3.9 Net periodic benefit cost 16.0 26.3 — 2.6 27.7 Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: Net actuarial (gain) loss, net 60.6 (10.6 ) — — 112.7 Amortization of actuarial gain (loss), net 0.3 — — (1.1 ) (5.2 ) Prior service benefit (4.3 ) (0.4 ) — — (0.3 ) Amortization of prior service cost — — — — (0.2 ) Curtailment gain 7.3 — — — — Settlement loss (0.1 ) — — — (3.9 ) Net translation adjustment (4.9 ) 0.6 — — — Total (gain) loss recognized in other comprehensive income 58.9 (10.4 ) — (1.1 ) 103.1 Total recognized in net periodic benefit cost and other comprehensive (income) loss $ 74.9 $ 15.9 $ — $ 1.5 $ 130.8 Other Long-Term Employee Benefits Successor Predecessor Year Ended Period from August 24, 2012 through December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Components of net periodic benefit cost and amounts recognized in other comprehensive (income) loss: Net periodic benefit credit cost: Service cost $ 0.1 $ 0.2 $ — $ — $ 0.3 Interest cost 0.1 0.2 — — 0.5 Amortization of actuarial loss, net 0.1 — — — — Amortization of prior service cost (benefit) (1.4 ) — — — 0.2 Net periodic benefit cost (1.1 ) 0.4 — — 1.0 Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: Net actuarial (gain) loss (4.6 ) (0.7 ) — — 2.7 Amortization of actuarial gain (loss) (0.1 ) — — — — Prior service benefit — — — — (5.9 ) Amortization of prior service benefit (cost) 1.4 — — — (0.2 ) Net translation adjustment — 0.1 — — — Total (gain) loss recognized in other comprehensive income (3.3 ) (0.6 ) — — (3.4 ) Total recognized in net periodic benefit cost and other comprehensive income $ (4.4 ) $ (0.2 ) $ — $ — $ (2.4 ) Significant Events During the Successor year ended December 31, 2014, we recorded a curtailment gain of $7.3 million within Selling, general and administrative expenses due to an amendment to one of our pension plans. In addition, amendments to our long-term employee benefit plans resulted in increases to Accumulated other comprehensive income of $12.0 million at December 31, 2014. These amounts will continue to be recognized in earnings over the remaining future service periods of active participants. Assumptions We used the following assumptions in determining the benefit obligations and net periodic benefit cost: Successor Predecessor 2014 2013 2012 Defined benefits Weighted-average assumptions: Discount rate to determine benefit obligations 3.23 % 4.11 % 3.38 % Discount rate to determine net cost 4.11 % 4.15 % 4.73 % Rate of future compensation increases to determine benefit obligation 3.57 % 3.52 % 3.16 % Rate of future compensation increases to determine net cost 3.52 % 3.69 % 3.33 % Rate of return on plan assets to determine net cost 5.23 % 5.22 % 7.71 % Successor Predecessor 2014 2013 2012 Other Long-Term Employee benefits Weighted-average assumptions: Discount rate to determine benefit obligations 1.50 % 4.80 % 4.86 % Discount rate to determine net cost 4.80 % 4.20 % 7.28 % Rate of future compensation increases to determine benefit obligations — — 3.00 % Rate of future compensation increases to determine net cost — — 4.00 % The discount rates used reflect the expected future cash flow based on plan provisions, participant data as of the closing date of the Acquisition and the currencies in which the expected future cash flows will occur. For the majority of our defined benefit pension obligations, we utilize prevailing long-term high quality corporate bond indices applicable to the respective country at the measurement date. In countries where established corporate bond markets do not exist, we utilize other index movement and duration analysis to determine discount rates. The long-term rate of return on plan assets assumptions reflect economic assumptions applicable to each country and assumptions related to the preliminary assessments regarding the type of investments to be held by the respective plans. Estimated future benefit payments The following reflects the total benefit payments expected to be paid for defined benefits: Year ended December 31, Benefits 2015 $ 34.8 2016 $ 27.1 2017 $ 29.8 2018 $ 31.0 2019 $ 37.6 2020—2024 $ 180.3 The following reflects the total benefit payments expected to be paid for other long-term employee benefits: Year ended December 31, Benefits 2015 $ — 2016 $ 0.1 2017 $ — 2018 $ — 2019 $ — 2020—2024 $ — Plan Assets As discussed above, the defined benefit pension plans for the subsidiaries in Austria, the United Kingdom and Germany represent single-employer plans and the related plan assets are invested within separate trusts. The defined benefit plan obligations for remaining current employees of non-U.S. subsidiaries assumed by us were carved out of the defined benefit pension plans retained by DuPont. At December 31, 2014, DuPont had completed the asset transfers for all funded plans except the plan covering our Canadian employees. The Canadian plan assets continue to be invested and managed by DuPont until the required regulatory approvals are received at which time the assets will be transferred to a newly created trust. Equity securities include varying market capitalization levels. U.S. equity investments are primarily large-cap companies. Fixed income investments include corporate issued, government issued and asset backed securities. Corporate debt investments include a range of credit risk and industry diversification. Other investments include real estate and private market securities such as insurance contracts, interests in private equity, and venture capital partnerships. Fair value calculations may not be indicative of net realizable value or reflective of future fair values. Furthermore, although we believe the valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. The Company’s investment strategy in pension plan assets is to generate earnings over an extended time to help fund the cost of benefits while maintaining an adequate level of diversification for a prudent level of risk. The table below summarizes the weighted average target pension plan asset allocation at December 31 for all Axalta defined benefit plans. Asset Category 2014 2013 Target Allocation Equity securities 35-40 % 35-40 % 35-40 % Debt securities 35-40 % 35-40 % 35-40 % Real estate 0-1 % 0-1 % 0-1 % Other 20-25 % 20-25 % 20-25 % The table below presents the fair values of the defined benefit pension plan assets by level within the fair value hierarchy, as described in Note 3, at December 31, 2014 and 2013, respectively. Fair value measurements at December 31, 2014 Total Level 1 Level 2 Level 3 Asset Category: Cash and cash equivalents $ 4.4 $ 4.4 $ — $ — U.S. equity securities 16.1 16.1 — — Non-U.S. equity securities 79.2 78.7 0.4 0.1 Debt—government issued 36.9 36.3 0.6 — Debt—corporate issued 55.3 53.0 — 2.3 Hedge Funds 0.2 0.1 0.1 — Private market securities 63.2 0.1 0.1 63.0 Real estate 0.4 — — 0.4 255.7 $ 188.7 $ 1.2 $ 65.8 Pension trust receivables 38.8 Total $ 294.5 Fair value measurements at December 31, 2013 Total Level 1 Level 2 Level 3 Asset Category: Cash and cash equivalents $ 6.7 $ 6.7 $ — $ — U.S. equity securities 13.6 13.2 0.4 — Non-U.S. equity securities 71.3 70.8 0.5 — Debt—government issued 34.4 34.4 — — Debt—corporate issued 52.2 49.3 2.9 — Hedge Funds 0.4 0.2 0.2 — Private market securities 59.5 — 0.2 59.3 Real estate 0.3 — — 0.3 238.4 $ 174.6 $ 4.2 $ 59.6 Pension trust receivables 42.9 Total $ 281.3 Level 3 assets are primarily insurance contracts pledged on behalf of employees with benefits in certain countries, ownership interests in investment partnerships, trusts that own private market securities, and real estate. The tables below present a roll forward of activity for these assets for the years ended December 31, 2014 and 2013. Level 3 assets Total Private market securities Debt and Real estate Ending balance at December 31, 2012 $ 12.2 $ 10.5 $ — $ 1.7 Realized (loss) (0.1 ) — — (0.1 ) Change in unrealized gain 0.2 0.2 — — Purchases, sales, issues and settlements 45.6 46.9 — (1.3 ) Transfers in/(out) of Level 3 1.7 1.7 — — Ending balance at December 31, 2013 $ 59.6 $ 59.3 $ — $ 0.3 Realized (loss) — — — — Change in unrealized gain 0.2 — — 0.2 Purchases, sales, issues and settlements 6.0 3.7 2.4 (0.1 ) Transfers in/(out) of Level 3 — — — — Ending balance at December 31, 2014 $ 65.8 $ 63.0 $ 2.4 $ 0.4 Assumptions and Sensitivities The discount rate is determined as of each measurement date, based on a review of yield rates associated with long-term, high-quality corporate bonds. The calculation separately discounts benefit payments using the spot rates from a long-term, high-quality corporate bond yield curve. The long-term rate of return assumption represents the expected average rate of earnings on the funds invested to provide for the benefits included in the benefit obligations. The long-term rate of return assumption is determined based on a number of factors, including historical market index returns, the anticipated long-term asset allocation of the plans, historical plan return data, plan expenses and the potential to outperform market index returns. The expected long-term rate of return on assets was 5.23% for 2014. For 2015, the expected long-term rate of return is 5.21%. A significant factor used in estimating future per capita cost of covered healthcare benefits for our retirees and us is the healthcare cost trend rate assumption. The rate used at December 31, 2014 was 5.00% and is assumed to remain at that level thereafter. Increasing the assumed healthcare cost trend rates by one percentage point would result in additional annual costs of approximately $0.1 million. Decreasing the assumed health care cost trend rates by one percentage point would result in a decrease of approximately $0.1 million in annual costs. There is no effect on other long-term employee benefit obligations at December 31, 2014 of a one percentage point increase or decrease in assumed health care cost trend rates. Anticipated Contributions to Defined Benefit Plan For funded pension plans, our funding policy is to fund amounts for pension plans sufficient to meet minimum requirements set forth in applicable benefit laws and local tax laws. Based on the same assumptions used to measure our benefit obligations at December 31, 2014 we expect to contribute $16.5 million to our defined benefit plans during 2015. No contributions to our other long-term employee benefit plans are expected during 2015. No plan assets are expected to be returned to the Company in 2015. Defined Contribution Plans The Company sponsors defined contribution plans in both its US and non-US subsidiaries, under which salaried and certain hourly employees may defer a portion of their compensation. Eligible participants may contribute to the plan up to the allowable amount as determined by the plan of their regular compensation before taxes. All contributions and Company matches are invested at the direction of the employee. Company matching contributions vest immediately and aggregated $35.9 million for the Successor year ended December 31, 2014. |
Stock-based Compensation
Stock-based Compensation | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Stock-based Compensation | (7) STOCK-BASED COMPENSATION During both the three months ended March 31, 2015 and 2014, we recognized $1.8 million, in stock-based compensation expense which was allocated to costs of goods sold, selling, general and administrative expenses, and research and development expenses. At March 31, 2015, there was $8.6 million of unrecognized compensation cost relating to outstanding unvested stock options expected to be recognized over the weighted average period of 3.1 years. Compensation expense is recognized for the fair values of the stock options over the requisite service period of the awards using the graded-vesting attribution method. During the three months ended March 31, 2015, we granted 100,945 stock options at an exercise price of $25.49 and a fair value of $6.88 per option. These options have a ten year life and vest serially over three years. We also granted 41,430 shares of restricted stock at a fair value of $25.49. The shares vest serially over three years. | (11) STOCK-BASED COMPENSATION Successor period During the years ended December 31, 2014 and 2013, we recognized $8.0 million and $7.4 million, respectively, in stock-based compensation expense which was allocated to costs of goods sold, selling, general and administrative expenses, and research and development expenses. We, with respect to stock-based compensation, recognized a tax benefit of $2.8 million and $2.6 million for the years ended December 31, 2014 and 2013, respectively. Description of Equity Incentive Plan In 2013, Axalta’s Board of Directors approved the Axalta Coating Systems Bermuda Co., Ltd. 2013 Equity Incentive Plan (the “2013 Plan”) which reserved an aggregate of 19,839,143 common shares of the Company for issuance to employees, directors and consultants. The 2013 Plan provides for the issuance of stock options, restricted stock or other stock-based awards. Options and restricted shares granted pursuant to the equity incentive plan must be authorized by the Board of Directors of Axalta or a designated committee thereof. In 2014, Axalta’s Board of Directors approved the Axalta Coating Systems Ltd. 2014 Incentive Award Plan (the “2014” Plan) which reserved an aggregate 11,830,000 shares of common stock of the Company for issuance to employees, directors and consultants. The 2014 Plan provides for the issuance of stock options, restricted stock or other stock-based awards. Options and restricted shares granted pursuant to the equity incentive plan must be authorized by the Board of Directors of Axalta or a designated committee thereof. No awards have been granted under the 2014 Plan. The terms of the options may vary with each grant and are determined by the Compensation Committee within the guidelines of the equity incentive plan. Options currently vest over 4.4 to 5 years, and vesting of a portion of the options could accelerate in the event of certain changes in control. Option life cannot exceed ten years. In 2013, we granted approximately 4.1 million, 5.7 million and 6.4 million in non-qualified stock options to certain employees with strike prices of $5.92, $8.88 and $11.84 (per share), respectively. During 2014, we granted 1.6 million non-qualified service-based stock options to certain employees and directors with strike prices of $5.92, $7.21, $8.88 and $11.84 per share. Stock Options The Black-Scholes option pricing model was used to estimate fair values of the options as of the date of the grant. The weighted average fair value of options granted in 2014 and 2013 was $1.92 and $1.38 per share, respectively. Principal weighted average assumptions used in applying the Black-Scholes model were as follows: 2014 Grants 2013 Grants Expected Term 7.81 years 7.81 years Volatility 28.28 % 28.61 % Dividend Yield — — Discount Rate 2.21 % 2.13 % For the 2014 stock awards, we estimated the per share fair value of our common stock using a contemporaneous valuation consistent with the American Institute of Certified Public Accountants Practice Aid, “Valuation of Privately-Held Company Equity Securities Issued as Compensation” (the “Practice Aid”). In conducting this valuation, we considered all objective and subjective factors that we believed to be relevant, including our best estimate of our business condition, prospects and operating performance. Within this contemporaneous valuation, a range of factors, assumptions and methodologies were used. The significant factors included: • the fact that we were a private company with illiquid securities; • our historical operating results; • our discounted future cash flows, based on our projected operating results; • valuations of comparable public companies; and • the risk involved in the investment, as related to earnings stability, capital structure, competition and market potential. For the contemporaneous valuation of our common stock, management estimated, as of the issuance date, our enterprise value on a continuing operations basis, using the income and market approaches, as described in the Practice Aid. The income approach utilized the discounted cash flow (“DCF”) methodology based on our financial forecasts and projections, as detailed below. The market approach utilized the Guideline Public Company and Guideline Transactions methods, as detailed below. For the DCF methodology, we prepared annual projections of future cash flows through 2018. Beyond 2018, projected cash flows through the terminal year were projected at long-term sustainable growth rates consistent with long-term inflationary and industry expectations. Our projections of future cash flows were based on our estimated net debt-free cash flows and were discounted to the valuation date using a weighted-average cost of capital estimated based on market participant assumptions. For the Guideline Public Company and Guideline Transactions methods, we identified a group of comparable public companies and recent transactions within the chemicals industry. For the comparable companies, we estimated market multiples based on trading prices and trailing 12 months EBITDA. These multiples were then applied to our trailing 12 months EBITDA. When selecting comparable companies, consideration was given to industry similarity, their specific products offered, financial data availability and capital structure. For the comparable transactions, we estimated market multiples based on prices paid for the related transactions and trailing 12 months EBITDA. These multiples were then applied to our trailing 12 months EBITDA. The results of the market approaches corroborated the fair value determined using the income approach. For the 2013 grants, the market value of the stock was estimated based upon the Acquisition transaction since the Company was not publicly traded at that time and there had been no significant changes in operations since the closing date of February 1, 2013. To estimate the expected stock option term for the $5.92 and $7.21 stock options referred to above, we used the simplified method as the options were granted at fair value and Axalta, a privately-held company, had no exercise history. Based upon this simplified method the $5.92 and $7.21 per share stock options have an expected term of 6.5 years. The strike price for the $8.88 per share and $11.84 per share tranches of options exceeded fair value at the grant date which required the use of an estimate of an implicitly longer holding period, resulting in the term of 8.25 years. We do not anticipate paying cash dividends in the foreseeable future and, therefore, use an expected dividend yield of zero. Volatility for outstanding grants is based upon the peer group since the Company was privately-held at the date of grant. The discount rate was derived from the U.S. Treasury yield curve. The exercise price and market value per share amounts presented above were as of the date the stock options were granted. A summary of stock option award activity as of December 31, 2014 and changes during the year then ended, is presented below: Awards Weighted- Aggregate Weighted Outstanding at January 1, 2014 16.2 $ 9.32 Granted 1.6 $ 9.62 Exercised (0.4 ) $ 8.03 Forfeited (0.3 ) $ 9.32 Outstanding at December 31, 2014 17.1 $ 9.38 Vested and expected to vest at December 31, 2014 17.1 $ 9.38 $ 284.5 8.58 Exercisable at December 31, 2014 2.9 $ 9.49 $ 47.6 8.44 Cash received by the company upon exercise of options in 2014 was $3.0 million. The tax benefit related to these exercises is immaterial. The Company may settle option exercises by issuing new shares, treasury shares or shares purchased on the open market. The intrinsic value of options exercised in 2014 was not material. The fair value of shares vested during 2014 and 2013 was $4.5 million and $0.0 million, respectively. Compensation cost is recorded net of forfeitures. The forfeiture rate assumption is the estimated annual rate at which unvested awards are expected to be forfeited during the vesting period. Periodically, management will assess whether it is necessary to adjust the estimated rate to reflect changes in actual forfeitures or changes in expectations. At December 31, 2014 and 2013, the Company has estimated its annual forfeiture rate at 0% due to its limited history and expectations of forfeitures. At December 31, 2014, there was $9.7 million of unrecognized compensation cost relating to outstanding unvested stock options expected to be recognized over the weighted average period of 3.4 years. Compensation expense is recognized for the fair values of the stock options over the requisite service period of the awards using the graded-vesting attribution method. Predecessor periods DuPont maintained certain stock-based compensation plans for the benefit of certain of its officers, directors’ and employees, including, prior to the Acquisition, certain DPC employees. DPC recognized stock-based compensation within the combined statement of operations based upon fair values. The fair value of awards granted totaled $2.0 million for the Predecessor year ended December 31, 2012. Total stock-based compensation expense included in the combined statement of operations was $0.1 million and $0.5 million for the Predecessor period from January 1, 2013 through January 31, 2013 and the Predecessor year ended December 31, 2012, respectively. |
Related Party Transactions
Related Party Transactions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Related Party Transactions [Abstract] | ||
Related Party Transactions | (8) RELATED PARTY TRANSACTIONS Carlyle Group L.P. and its affiliates (“Carlyle”) We entered into a consulting agreement with Carlyle Investment Management L.L.C. (“Carlyle Investment”), an affiliate of Carlyle pursuant to which Carlyle Investment provides certain consulting services to Axalta. Under this agreement, subject to certain conditions, we were required to pay an annual consulting fee to Carlyle Investment of $3.0 million payable in equal quarterly installments and reimburse Carlyle Investment for out-pocket expenses incurred in providing the consulting services. During the three months ended March 31, 2014, we recorded expense of $0.8 million related to this consulting agreement. During the three months ended March 31, 2015, we recorded no expense as a result of the termination of the consulting agreement upon completion of the IPO in November 2014. Service King Collision Repair Service King Collision Repair, a portfolio company of Carlyle, has purchased products from our distributors in the past and may continue to do so in the future. During the third quarter of 2014, Carlyle sold their majority interest in Service King Collision Repair, thus making the entity no longer a related party. Related party sales prior to this transaction were $2.0 million for the three months ended March 31, 2014. | (12) RELATED PARTY TRANSACTIONS Carlyle Group L.P. and its affiliates (“Carlyle”) We entered into a consulting agreement with Carlyle Investment Management L.L.C. (“Carlyle Investment”), an affiliate of Carlyle pursuant to which Carlyle Investment provides certain consulting services to Axalta. Under this agreement, subject to certain conditions, we were required to pay an annual consulting fee to Carlyle Investment of $3.0 million payable in equal quarterly installments and reimburse Carlyle Investment for out-pocket expenses incurred in providing the consulting services. During the Successor year ended December 31, 2014, we recorded expense of $3.2 million in regular monthly management fees and out of pocket costs as well as a $13.4 million pre-tax charge related to the termination of the agreement upon completion of the IPO. During the Successor year ended December 31, 2013, we recorded expense of $3.1 million related to this consulting agreement. In addition, Carlyle Investment received a one-time fee of $35.0 million upon effectiveness of the Acquisition for services rendered in connection with the Acquisition and related acquisition financing. Of this amount, $21.0 million was recorded as merger and acquisition expenses in the Successor year ended December 31, 2013, and $14.0 million was recorded as a component of deferred financing costs, which is amortized to interest expense. Service King Collision Repair Service King Collision Repair, a portfolio company of funds affiliated with Carlyle, has purchased products from our distributors in the past and may continue to do so in the future. During the third quarter 2014, Carlyle sold their majority interest in Service King Collision Repair, thus making the entity no longer a related party. Related party sales prior to this transaction were $4.0 million and $2.0 million for the Successor years ended December 31, 2014 and 2013, respectively. During the Predecessor period from January 1, 2013 through January 31, 2013 sales to Service King Collision Repair were immaterial. Other A director of the Company is the Chairman and Chief Executive Officer of an international management consulting firm focused on the automotive and industrial sectors. In connection with the Acquisition, we incurred consulting fees and expenses from the consulting firm of approximately $2.1 million, of which $0.1 million was incurred in the Successor year ended December 31, 2013 and the remainder was incurred in the Successor period from August 24, 2012 through December 31, 2012. As part of the compensation for the consulting services, we granted the consulting firm a stock option award to purchase up to 352,143 of our common shares which had a fair value of approximately $0.5 million. |
Other Expense, Net
Other Expense, Net | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Other Income and Expenses [Abstract] | ||
Other Expense, Net | (9) OTHER EXPENSE, NET Three Months Ended March 31, 2015 2014 Exchange losses, net $ 8.7 $ 0.1 Management fees and expenses — 0.8 Other (income) expense (4.8 ) 3.6 Total $ 3.9 $ 4.5 Our net exchange losses for the three months ended March 31, 2015 and 2014 consisted of remeasurement losses primarily related to intercompany transactions denominated in currencies different from the functional currency of the relevant subsidiary partially offset by gains on our Euro borrowings and our Venezuela operations, as discussed below. Based on our participation in Venezuela’s Complementary System of Foreign Currency Administration (SICAD I) auction process during the year ended December 31, 2014, we changed the exchange rate we used to remeasure our Venezuelan subsidiary’s financial statements into U.S. dollars to an exchange rate of 12.0 to 1 at December 31, 2014. We determined that the exchange rate of 12.0 to 1 remained the appropriate rate at March 31, 2015 given that we believe the equity of our Venezuelan subsidiary would be realized through a dividend utilizing the auction process through SICAD I. In February 2015, the Venezuelan government enacted additional changes to its foreign exchange regime. The changes maintain a three-tiered system, including the Official Rate determined by CENCOEX, which remains at 6.3 to 1, and the SICAD I auction market which continued to trade at 12.0 to 1. There was a third market, SICAD II, which has been eliminated and a new, alternative currency market, the Marginal Foreign Exchange System (“SIMADI”), has been created with a floating exchange rate generally based on supply and demand. At March 31, 2015 the exchange rate for the SIMADI market was approximately 180.0 to 1. At March 31, 2015, our Venezuelan subsidiary was in a net monetary asset position of $13.7 million and had non-U.S. dollar denominated net non-monetary assets of $155.7 million. We continue to assess the impact, if any, of the SIMADI exchange rate as the government of Venezuela issues regulations to implement it, but at this time it is unclear based on the current governmental policies, when considered with the foreign exchange process and other circumstances in Venezuela, whether these events will have any financial impact on the operations of our Venezuelan subsidiary. A change of our exchange rate to the SIMADI exchange rate would potentially have a material impact on our unaudited condensed consolidated financial statements. In March 2015, we acquired an additional 25% interest in an equity method investee for a purchase price of $4.3 million, which was previously accounted for as an equity method investment. As a result of the acquisition, we obtained a controlling interest and recognized a gain of $5.4 million on the remeasurement of our previously held equity interest as of the acquisition date. As a result of the acquisition, we consolidated the fair value of the net assets of the joint venture in our interim unaudited condensed consolidated balance sheet at March 31, 2015, with the excess of the purchase price over the net assets acquired resulting in preliminary goodwill of $12.5 million. | (13) OTHER EXPENSE, NET Successor Predecessor Year Ended Period from August 24, 2012 December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Exchange losses, net $ 81.2 $ 48.9 $ — $ 4.5 $ 17.7 Management fees and expenses 16.6 3.1 — — — Other 17.2 (3.5 ) — 0.5 (1.4 ) Total $ 115.0 $ 48.5 $ — $ 5.0 $ 16.3 Our net foreign exchange losses for the year ended December 31, 2014 and 2013 consisted of remeasurement losses primarily related to intercompany transactions denominated in currencies different from the functional currency of the relevant subsidiary partially offset by gains on our Euro borrowings and our Venezuela operations, as discussed below. Based on changes to the Venezuelan currency exchange rate mechanisms in 2014 and our participation in Venezuela’s Complementary System of Foreign Currency Administration (SICAD I) auction process during the year ended December 31, 2014, we changed the exchange rate we used to remeasure our Venezuelan subsidiary’s financial statements into U.S. dollars. The exchange rate was determined by such auction process, which was 12.0 to 1 as of December 31, 2014 compared to the historical indexed rate of 6.3 to 1. We determined that the exchange rate of 12.0 to 1 was appropriate given trends in the SICAD 1 auction process. Further, we also believe the equity of our Venezuelan subsidiary would be realized through a dividend utilizing the auction process through SICAD I. The devaluations of the exchange rates resulted in net gains of $17.0 million for the year ended December 31, 2014 primarily due to our Venezuelan operations being in a net monetary liability position. In February 2015, the Venezuelan government enacted additional changes to its foreign exchange regime. The changes maintain a three-tiered system, including the Official Rate determined by CENCOEX, which remains at 6.3 to 1, and the SICAD I auction market which continued to trade at 12.0 to 1. The SICAD II market has been eliminated and a new, alternative currency market, the Marginal Foreign Exchange System (“SIMADI”), has been created with a floating exchange rate generally based on supply and demand. An initial exchange rate for the SIMADI market was established at approximately 170.0 to 1. At December 31, 2014, our Venezuelan subsidiary was in a net monetary liability position of $9.1 million and had non-U.S. Dollar denominated net non-monetary assets of $150.9 million. We continue to assess the impact, if any, of these changes as the government of Venezuela issues regulations to implement them, but at this time it is unclear based on the current governmental policies, when considered with the foreign exchange process and other circumstances in Venezuela, whether these events will have any financial impact on the operations of our Venezuelan subsidiary. |
Income Taxes
Income Taxes | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | ||
Income Taxes | (10) INCOME TAXES Our effective income tax rates for the three months ended March 31, 2015 and March 31, 2014 are as follows: Three Months Ended March 31, 2015 2014 Effective Tax Rate 2.5 % 144.6 % The lower effective tax rate for the three months ended March 31, 2015 was primarily due to the favorable impact of the tax benefits associated with currency exchange losses, which had no impact to income before taxes, and the impact of earnings in jurisdictions where the statutory rate is lower than the U.S. Federal statutory rate of 35%. | (14) INCOME TAXES Domestic and Foreign Components of Income (Loss) Before Income Taxes Successor Predecessor Year Ended Period from August 24, 2012 December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Domestic $ (8.8 ) $ (153.8 ) $ — $ (1.5 ) $ 82.8 Foreign 45.6 (109.9 ) (29.0 ) 17.1 310.2 Total $ 36.8 $ (263.7 ) $ (29.0 ) $ 15.6 $ 393.0 Provision (Benefit) for Income Taxes Successor Year Ended December 31, Year Ended December 31, Period from August 24, 2012 through December 31, 2012 Current Deferred Total Current Deferred Total Current Deferred Total U.S. Federal $ — $ (2.1 ) $ (2.1 ) $ — $ (43.7 ) $ (43.7 ) $ — $ — $ — State 2.0 (2.9 ) (0.9 ) 2.3 (2.5 ) (0.2 ) — — — Foreign 38.3 (33.2 ) 5.1 73.7 (74.6 ) (0.9 ) — — — Total $ 40.3 $ (38.2 ) $ 2.1 $ 76.0 $ (120.8 ) $ (44.8 ) $ — $ — $ — Predecessor Period from January 1, 2013 Year Ended December 31, 2012 Current Deferred Total Current Deferred Total U.S. Federal $ (8.8 ) $ 7.0 $ (1.8 ) $ 30.9 $ (4.5 ) $ 26.4 State 0.1 (0.2 ) (0.1 ) 6.6 (0.4 ) 6.2 Foreign 6.7 2.3 9.0 98.6 14.0 112.6 Total $ (2.0 ) $ 9.1 $ 7.1 $ 136.1 $ 9.1 $ 145.2 Reconciliation to US Statutory Rate Successor Predecessor Year Ended Year Ended Period from August 24, 2012 through December 31, 2012 Period from January 1 2013 through January 31, 2013 Year Ended December 31, 2012 Statutory U.S. federal income tax / rate (1) $ 12.9 35.0 % $ (92.3 ) 35.0 % $ (10.1 ) 35.0 % $ 5.5 35.0 % $ 137.6 35.0 % Foreign income taxed at rates other than 35% (46.7 ) (127.0 ) (36.6 ) 13.9 10.1 (35.0 ) 1.0 6.6 (10.9 ) (2.8 ) Changes in valuation allowances 44.4 120.9 55.0 (20.9 ) — — 1.4 8.9 9.8 2.5 Foreign exchange (gain) loss 8.7 23.7 8.7 (3.3 ) — — 0.5 3.1 4.7 1.2 Unrecognized tax benefits (2) (44.0 ) (119.7 ) 35.1 (13.2 ) — — — — — — Withholding taxes, net (0.3 ) (0.8 ) 8.3 (3.2 ) — — — — — — Non-deductible interest 15.4 41.9 6.4 (2.4 ) — — — — — — Non-deductible expenses 14.2 38.6 19.4 (7.4 ) — — — — — — Tax credits (3.6 ) (9.8 ) (1.0 ) 0.4 — — — — — — Capital loss (3) — — (46.7 ) 17.7 — — — — — — Other—net 1.1 2.9 (1.1 ) 0.4 — — (1.3 ) (8.0 ) 4.0 1.1 Total income tax (benefit)/ effective tax rate $ 2.1 5.7 % $ (44.8 ) 17.0 % $ — — $ 7.1 45.6 % $ 145.2 37.0 % (1) The U.S. statutory rate has been used as management believes it is more meaningful to the Company. (2) Within this amount, the Company released and recorded an unrecognized tax benefit of $21.1 million related to non-deductible interest and debt acquisition costs in 2014 and 2013. These adjustments were fully offset by changes in the valuation allowance. (3) In 2013, the Company recognized a tax benefit of $46.7 million related to a capital loss, which is fully offset by a $46.7 million increase to the valuation allowance. Deferred Tax Balances Successor Year Ended 2014 2013 Deferred tax asset Tax loss and credit carryforwards $ 185.6 $ 111.7 Goodwill and intangibles 90.8 89.4 Compensation & employee benefits 92.4 79.1 Accruals & other reserves 58.0 40.5 Interest expense 13.4 8.6 Total deferred tax assets 440.2 329.3 Less: Valuation allowance (101.9 ) (63.4 ) Net, deferred tax assets 338.3 265.9 Deferred tax liabilities Inventory (3.0 ) (1.3 ) Property, Plant & Equipment (215.0 ) (218.5 ) Accounts Receivable & Other Assets (2.5 ) (8.4 ) Equity Investment & Other Securities (2.2 ) (5.8 ) Unremitted earnings (8.5 ) (15.9 ) Long-Term Debt (8.1 ) — Total deferred tax liabilities (239.3 ) (249.9 ) Net deferred tax asset/(liability) $ 99.0 $ 16.0 Current asset $ 64.5 $ 30.0 Current liability (7.3 ) (5.5 ) Non-current assets 250.0 271.9 Non-current liability (208.2 ) (280.4 ) Net deferred tax asset $ 99.0 $ 16.0 At December 31, 2014, the Company had $118.3 million of net operating and capital loss carryforwards (tax effected) in certain non-U.S. jurisdictions, net of uncertain tax positions. Of these, $78.2 million have indefinite carryforward periods, and the remaining $40.1 million are subject to expiration between the years 2019 through 2026. In the U.S., there were approximately $53.2 million of federal net operating loss carryforwards (tax effected) subject to expiration in years beyond 2032, and $2.5 million of state net operating loss carryforwards (tax effected) subject to expiration between the years 2018 and 2034. Tax credit carryforwards at December 31, 2014 amounted to $11.6 million, of which $0.6 million is subject to expiration in 2016. The remaining tax credit carryforwards expire between the years 2018 and 2034. At December 31, 2013, the Company had $83.1 million of net operating and capital loss carryforwards (tax effected) in certain non-U.S. jurisdictions, net of uncertain tax positions. Of these, $53.2 million have indefinite carryforward periods, and the remaining $29.9 million are subject to expiration between the years 2018 through 2023. In the U.S., there were approximately $24.3 million of federal net operating loss carryforwards (tax effected) subject to expirations in years beyond 2032, and $0.6 million of state net operating loss carryforwards (tax effected) subject to expiration between the years 2019 and 2034. Tax credit carryforwards at December 31, 2013, amounted to $3.7 million, which are subject to expiration between the years 2023 through 2033. The Company had valuation allowances that primarily related to the realization of recorded tax benefits on tax loss carryforwards from operations in Austria, Luxembourg, Netherlands and the United Kingdom at December 31, 2014 and 2013 of $101.9 million and $63.4 million, respectively. The Company has determined that the unremitted earnings of our subsidiaries will not be permanently reinvested, and accordingly, has provided a deferred tax liability at December 31, 2014 and 2013 of $8.5 million and $15.9 million, respectively. The Company has included in the current income tax provision a total benefit of $4.7 million, of which $1.5 million relates to subsidiary earnings and $3.2 million relates to the benefit of reduced withholding tax rates on prior year earnings. Total Gross Unrecognized Tax Benefits Successor Predecessor Year Ended Period from January 1 2013 through January 31, Period from January 1 2013 through January 31, Year Ended December 31, 2014 2013 2013 2013 2012 Balance at January 1 $ 38.9 $ — $ — $ — $ — Increases related to acquisition — 11.3 — — — Increases related to positions taken on items from prior years — — — — — Decreases related to positions taken on items from prior years (33.6 ) — — — — Increases related to positions taken in the current year — 27.6 — — — Settlement of uncertain tax positions with tax authorities — — — — — Decreases due to expiration of statutes of limitations — — — — — Balance at December 31 $ 5.3 $ 38.9 $ — $ — $ — At December 31, 2014, the total amount of gross unrecognized tax benefits was $5.3 million ($38.9 million at December 31, 2013), of which $5.3 million would impact the effective tax rate, if recognized ($17.8 million at December 31, 2013). Interest and penalties associated with gross unrecognized tax benefits are included as components of the “Provision (benefit) for income taxes,” and totaled $6.8 million in 2014 and a charge of $7.4 million in 2013. Accrued interest and penalties are included within the related tax liability line in the balance sheet. The Company’s accrual for interest and penalties at December 31, 2014 and 2013 was $0.3 million and $7.1 million, respectively. During 2014, resolution on two separate tax matters resulted in the adjustment of gross unrecognized tax benefits. In April 2014, documentation was secured to support tax deductions related to pre-acquisition activities. Additionally, in December 2014, the Company received affirmative guidance with respect to the treatment of certain 2013 charges. As a result, the Company believes it is more likely than not to sustain the position and adjusted the unrecognized tax benefits related to these matters, resulting in a tax benefit of $31.0 million (offset by an unfavorable change in the valuation allowance of $21.1 million). The Company is subject to income tax in approximately 40 jurisdictions outside the U.S. The Company’s significant operations outside the U.S. are located in Belgium, China, Germany, Mexico, and United Kingdom. The statute of limitations varies by jurisdiction with 2006 being the oldest tax year still open in the material jurisdictions. The Company is currently under audit in certain jurisdictions for tax years under responsibility of the predecessor, as well as tax periods under the Company’s ownership. Pursuant to the acquisition agreement, all tax liabilities related to tax years prior to 2013 acquisition will be indemnified by DuPont. As of December 31, 2014 and 2013, we had gross unrecognized tax benefits of $5.6 million and $46.1 million, respectively, including interest and penalties. Due to the high degree of uncertainty regarding future timing of cash flows associated with these liabilities, we are unable to estimate the years in which settlement will occur with the respective taxing authorities. |
Earnings (Loss) Per Common Shar
Earnings (Loss) Per Common Share | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | ||
Earnings (Loss) Per Common Share | (11) EARNINGS (LOSS) PER COMMON SHARE Basic earnings (loss) per common share excludes the dilutive impact of potentially dilutive securities and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per common share includes the effect of potential dilution from the exercise of outstanding stock options and restricted shares. Potentially dilutive securities have been excluded in the weighted average number of common shares used for the calculation of earnings (loss) per share in periods of net loss because the effect of such securities would be anti-dilutive. A reconciliation of the Company’s basic and diluted earnings (loss) per common share is as follows (in millions, except earnings (loss) per share): Three Months Ended March 31, (In millions, except per share data) 2015 2014 Net income (loss) to common shareholders $ 45.1 $ (4.3 ) Basic weighted average shares outstanding 229.8 229.1 Diluted weighted average shares outstanding 237.0 229.1 Earnings per Common Share: Basic net income (loss) per share $ 0.20 $ (0.02 ) Diluted net income (loss) per share $ 0.19 $ (0.02 ) The number of anti-dilutive shares that have been excluded in the computation of diluted earnings (loss) per share for the three months ended March 31, 2015 and 2014 were 0.0 million and 16.2 million, respectively. | (15) EARNINGS PER COMMON SHARE Basic earnings per common share excludes the dilutive impact of potentially dilutive securities and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per common share includes the effect of potential dilution from the exercise of outstanding stock options. Potentially dilutive securities have been excluded in the weighted average number of common shares used for the calculation of earnings per share in periods of net loss because the effect of such securities would be anti-dilutive. A reconciliation of the Company’s basic and diluted earnings per common share is as follows (in millions, except earnings per share): Successor Year Ended Period from (In millions, except per share data) 2014 2013 2012 Net income (loss) attributable to Axalta $ 27.4 $ (224.9 ) $ (29.0 ) Pre-Acquisition net loss attributable to Axalta — (3.9 ) (29.0 ) Net income (loss) to common shareholders (1) $ 27.4 $ (221.0 ) $ — Basic and diluted weighted average shares outstanding (1) 229.3 228.3 — Diluted weighted average shares outstanding 230.3 228.3 — Earnings per Common Share: Basic net income (loss) per share $ 0.12 $ (0.97 ) $ — Diluted net income (loss) per share $ 0.12 $ (0.97 ) $ — (1) As of February 1, 2013, the date of the Acquisition, the Company received the initial Equity Contribution of $1,350.0 million. Accordingly, the net loss to common shareholders and the weighted average shares outstanding calculation is based on the period from February 1, 2013 to December 31, 2013. The number of anti-dilutive shares (stock options) that have been excluded in the computation of diluted earnings per share for the Successor years ended December 31, 2014 and 2013 were 7.2 million and 16.3 million, respectively. There were no anti-dilutive shares for the Successor period ending December 31, 2012. Basic and diluted weighted average shares outstanding have been adjusted to reflect the Company’s 100,000 for 1 stock split which occurred in July 2013, and the Company’s 1.69 for 1 stock split which occurred in October 2014. |
Accounts and Notes Receivable,
Accounts and Notes Receivable, Net | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Receivables [Abstract] | ||
Accounts and Notes Receivable, Net | (12) ACCOUNTS AND NOTES RECEIVABLE, NET March 31, 2015 December 31, 2014 Accounts receivable—trade, net $ 664.1 $ 638.3 Notes receivable 42.9 45.5 Other 126.0 136.6 Total $ 833.0 $ 820.4 Accounts and notes receivable are carried at amounts that approximate fair value. Accounts receivable—trade, net are net of allowances of $9.5 million and $9.9 million at March 31, 2015 and December 31, 2014, respectively. Bad debt expense, within selling, general, and administration expenses, was $0.7 million and $1.2 million for the three months ended March 31, 2015 and 2014, respectively. | (16) ACCOUNTS AND NOTES RECEIVABLE, NET Successor Year Ended 2014 2013 Accounts receivable—trade, net $ 638.3 $ 637.5 Notes receivable 45.5 44.7 Other 136.6 183.7 Total $ 820.4 $ 865.9 Accounts and notes receivable are carried at amounts that approximate fair value. Accounts receivable—trade, net are net of allowances of $9.9 million and $6.5 million at December 31, 2014 and 2013, respectively. Bad debt expense was $5.1 million and $5.4 million for the Successor years ended December 31, 2014 and 2013, respectively, $0.2 million for the Predecessor period from January 1, 2013 through January 31, 2013 and $5.0 million for the Predecessor year ended December 31, 2012. |
Inventories
Inventories | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Inventory Disclosure [Abstract] | ||
Inventories | (13) INVENTORIES March 31, 2015 December 31, 2014 Finished products $ 316.3 $ 323.7 Semi-finished products 87.9 81.3 Raw materials and supplies 137.1 133.3 Total $ 541.3 $ 538.3 Stores and supplies inventories of $20.8 million and $20.9 million at March 31, 2015 and December 31, 2014, respectively, were valued under the weighted average cost method. | (17) INVENTORIES Successor Year Ended 2014 2013 Finished products $ 323.7 $ 329.3 Semi-finished products 81.3 90.2 Raw materials and supplies 133.3 130.7 Total $ 538.3 $ 550.2 Stores and supplies inventories of $20.9 million and $21.2 million at December 31, 2014 and December 31, 2013 were valued under the weighted average cost method. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | ||
Property, Plant and Equipment, Net | (14) PROPERTY, PLANT AND EQUIPMENT, NET Depreciation expense amounted to $41.3 million and $48.4 million for the three months ended March 31, 2015 and 2014, respectively. March 31, 2015 December 31, 2014 Property, plant and equipment $ 1,776.3 $ 1,858.2 Accumulated depreciation (364.6 ) (344.1 ) Property, plant, and equipment, net $ 1,411.7 $ 1,514.1 | (18) PROPERTY, PLANT AND EQUIPMENT, NET Depreciation expense amounted to $176.6 million and $174.3 million for the Successor years ended December 31, 2014 and 2013, respectively. Depreciation expense amounted to $7.2 million for the Predecessor period from January 1, 2013 through January 31, 2013 and $82.9 million for the Predecessor year ended December 31, 2012. Successor Year Ended Useful Lives (years) 2014 2013 Land $ 90.5 $ 99.9 Buildings and improvements 5 -25 418.4 430.7 Machinery and equipment 3 -25 1,060.1 1,087.0 Software 5 - 7 122.1 42.4 Other 3 -20 29.1 26.3 Construction in progress 138.0 119.9 Total 1,858.2 1,806.2 Accumulated depreciation (344.1 ) (183.6 ) Property, plant, and equipment, net $ 1,514.1 $ 1,622.6 |
Borrowings
Borrowings | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Debt Disclosure [Abstract] | ||
Borrowings | (15) BORROWINGS Borrowings are summarized as follows: March 31, 2015 December 31, 2014 Dollar Term Loan $ 2,159.8 $ 2,165.5 Euro Term Loan 425.0 481.0 Dollar Senior Notes 750.0 750.0 Euro Senior Notes 270.4 305.3 Short-term borrowings 14.3 12.2 Other borrowings 6.1 0.7 Unamortized original issue discount (17.3 ) (18.3 ) $ 3,608.3 $ 3,696.4 Less: Short term borrowings $ 14.3 $ 12.2 Current portion of long-term borrowings 27.3 27.9 Long-term debt $ 3,566.7 $ 3,656.3 Senior Secured Credit Facilities, as amended On February 3, 2014, Axalta Coating Systems Dutch B B.V. (“Dutch B B.V.”), as “Dutch Borrower”, and its indirect wholly-owned subsidiary, Axalta Coating Systems U.S. Holdings Inc. (“Axalta US Holdings”), as “US Borrower”, executed the second amendment to the Senior Secured Credit Facilities (the “Amendment” or the “Refinancing”). The Amendment (i) converted all of the outstanding Dollar Term Loans ($2,282.8 million) into a new class of term loans (the “New Dollar Term Loans”), and (ii) converted all of the outstanding Euro Term Loans (€397.0 million) into a new class of term loans (the “New Euro Term Loans” and, together with the New Dollar Term Loans and the Revolving Credit Facility (as defined herein), the “Senior Secured Credit Facilities”). The New Dollar Term Loans are subject to a floor of 1.00%, plus an applicable rate after the Amendment Effective Date. The applicable rate for such New Dollar Term Loans is 3.00% per annum for Eurocurrency Rate Loans as defined in the credit agreement governing the Senior Secured Credit Facilities (the “Credit Agreement”) and 2.00% per annum for Base Rate Loans as defined in the Credit Agreement. The applicable rate for both Eurocurrency Rate Loans as well as Base Rate Loans is subject to a further 25 basis point reduction if the Total Net Leverage Ratio as defined in the credit agreement governing the Senior Secured Credit Facilities is less than or equal to 4.50:1.00. The New Euro Term Loans are also subject to a floor of 1.00%, plus an applicable rate after the Amendment Effective Date. The applicable rate for such New Euro Term Loans is 3.25% per annum for Eurocurrency Rate Loans. New Euro Term Loans may not be Base Rate Loans. The applicable rate is subject to a further 25 basis point reduction if the Total Net Leverage Ratio is less than or equal to 4.50:1.00. During the third quarter of 2014, our Total Net Leverage Ratio was confirmed to be less than 4.50:1.00. Consequently, the applicable rates were changed to 2.75% for the New Dollar Term Loans and 3.00% for the New Euro Term Loans through March 31, 2015. The Senior Secured Credit Facilities are secured by substantially all assets of Axalta Coating Systems Dutch A B. V. (“Dutch A B.V.”) and the guarantors. The Dollar Term Loan and Euro Term Loan mature on February 1, 2020 and the Revolving Credit Facility matures on February 1, 2018. Principal is paid quarterly on both the Dollar Term Loan and the Euro Term Loan based on 1% per annum of the original principal amount with the unpaid balance due at maturity. Interest is payable quarterly on both the New Dollar Term Loan and the New Euro Term Loan. Prior to the Amendment, interest on the Dollar Term Loan was subject to a floor of 1.25% for Eurocurrency Rate Loans plus an applicable rate of 3.50%. For Base Rate Loans, the interest was subject to a floor of the greater of the federal funds rate plus 0.50%, the Prime Lending Rate, an Adjusted Eurocurrency Rate, or 2.25% plus an applicable rate of 2.50%. Interest on the Euro Term Loan, a Eurocurrency Loan, was subject to a floor of 1.25% plus an applicable rate of 4.00%. Under the Senior Secured Credit Facilities, interest on any outstanding borrowings under the Revolving Credit Facility is subject to a floor of 1.00% for Eurocurrency Rate Loans plus an applicable rate of 3.50% (subject to an additional step-down to 3.25%). For Base Rate Loans, the interest is subject to a floor of the greater of the federal funds rate plus 0.50%, the Prime Lending Rate, an Adjusted Eurocurrency Rate, or 2.00% plus an applicable rate of 2.50% (subject to an additional step-down to 2.25%). Under circumstances described in the Credit Agreement, we may increase available revolving or term facility borrowings by up to $400.0 million plus an additional amount subject to the Company not exceeding a maximum first lien leverage ratio described in the Credit Agreement. Any indebtedness under the Senior Secured Credit Facilities may be voluntarily prepaid in whole or in part, in minimum amounts, subject to the make-whole provisions set forth in the Credit Agreement. Such indebtedness is subject to mandatory prepayments amounting to the proceeds of asset sales over $25.0 million annually, proceeds from certain debt issuances not otherwise permitted under the Credit Agreement and 50% (subject to a step-down to 25.0% or 0% if the First Lien Leverage Ratio falls below 4.25:1.00 or 3.50:1.00, respectively) of Excess Cash Flow. We are subject to customary negative covenants as well as a financial covenant which is a maximum First Lien Leverage Ratio. This financial covenant is applicable only when greater than 25% of the Revolving Credit Facility (including letters of credit not cash collateralized to at least 103%) is outstanding at the end of the fiscal quarter. Deferred financing costs of $92.9 million and original issue discounts of $25.7 million were incurred at the inception of the Senior Secured Credit Facilities. These amounts are amortized as interest expense over the life of the Senior Secured Credit Facilities. Amortization expense related to deferred financing costs, net for the three months ended March 31, 2015 and 2014 was $3.2 million and $3.3 million, respectively. Amortization expense related to original issue discounts for the three months ended March 31, 2015 and 2014 were $0.8 million and $0.9 million, respectively. At March 31, 2015 and December 31, 2014 there were no borrowings under the Revolving Credit Facility. At March 31, 2015 and December 31, 2014, letters of credit issued under the Revolving Credit Facility totaled $21.3 million and $15.5 million, respectively, which reduced the availability under the Revolving Credit Facility. Availability under the Revolving Credit Facility was $378.7 million and $384.5 million at March 31, 2015 and December 31, 2014, respectively. Senior Notes On February 1, 2013, Dutch B B.V., as “Dutch Issuer”, and Axalta US Holdings, as “US Issuer” (collectively the “Issuers”) issued $750.0 million aggregate principal amount of 7.375% senior unsecured notes due 2021 (the “Dollar Senior Notes”) and related guarantees thereof. Additionally, the Issuers issued €250.0 million aggregate principal amount of 5.750% senior secured notes due 2021 (the “Euro Senior Notes” and, together with the Dollar Senior Notes, the “Senior Notes”) and related guarantees thereof. Cash fees related to the issuance of the Senior Notes were $33.1 million, are recorded within deferred financing costs, net and are amortized as interest expense over the life of the Senior Notes. At March 31, 2015 and December 31, 2014, the remaining unamortized balance was $24.3 million and $25.3 million, respectively. The expense related to the amortization of the deferred financing costs was $1.0 million for both of the three months ended March 31, 2015 and 2014. The Senior Notes are unconditionally guaranteed on a senior basis by Dutch A B.V. and certain of the Issuers’ subsidiaries. The indentures governing the Senior Notes contain covenants that restrict the ability of the Issuers and their subsidiaries to, among other things, incur additional debt, make certain payments including payment of dividends or repurchase equity interest of the Issuers, make loans or acquisitions or capital contributions and certain investments, incur certain liens, sell assets, merge or consolidate or liquidate other entities, and enter into transactions with affiliates. (i) Euro Senior Notes The Euro Senior Notes were sold at par and are due February 1, 2021. The Euro Senior Notes bear interest at 5.750% and are payable semi-annually on February 1 and August 1. Cash fees related to the issuance of the Euro Senior Notes were $10.2 million, are recorded within “Deferred financing costs, net” and are amortized into interest expense over the life of the Euro Senior Notes. At March 31, 2015 and December 31, 2014, the remaining unamortized balances was $7.4 million and $7.7 million, respectively. On or after February 1, 2016, we have the option to redeem all or part of the Euro Senior Notes at the following redemption prices (expressed as percentages of principal amount): Period Euro Notes Percentage 2016 104.313 % 2017 102.875 % 2018 101.438 % 2019 and thereafter 100.000 % Notwithstanding the foregoing, at any time and from time to time prior to February 1, 2016, we may at our option redeem in the aggregate up to 40% of the original aggregate principal amount of the Euro Senior Notes with the net cash proceeds of one or more Equity Offerings (as defined in the indenture governing the Euro Senior Notes), at a redemption price of 105.750% plus accrued and unpaid interest, if any, to the redemption date. In addition, we have the option to redeem up to 10% of the Euro Senior Notes during any 12-month period from issue date until February 1, 2016 at a redemption price of 103.0%, plus accrued and unpaid interest, if any, to the redemption date. Upon the occurrence of certain events constituting a change of control, holders of the Euro Senior Notes have the right to require us to repurchase all or any part of the Euro Senior Notes at a purchase price equal to 101% of the principal amount plus accrued and unpaid interest, if any, to the repurchase date. The indebtedness evidenced by the Euro Senior Notes and related guarantees is secured on a first-lien basis by the same assets that secure the obligations under the Senior Secured Credit Facilities, subject to permitted liens and applicable local law limitations, is senior in right of payment to all future subordinated indebtedness of the Issuers, is equal in right of payment to all existing and future senior indebtedness of the Issuers and is effectively senior to any unsecured indebtedness of the Issuers, including the Dollar Senior Notes, to the extent of the value securing the Euro Senior Notes. (ii) Dollar Senior Notes The Dollar Senior Notes were sold at par and are due May 1, 2021. The Dollar Senior Notes bear interest at 7.375% and are payable semi-annually on February 1 and August 1. Cash fees related to the issuance of the Dollar Senior Notes were $22.9 million, are recorded within “Deferred financing costs, net” and are amortized as interest expense over the life of the Dollar Senior Notes. At March 31, 2015 and December 31, 2014, the remaining unamortized balances was $16.9 million and $17.6 million, respectively. On or after February 1, 2016, we have the option to redeem all or part of the Dollar Senior Notes at the following redemption prices (expressed as percentages of principal amount) Period Dollar Notes Percentage 2016 105.531 % 2017 103.688 % 2018 101.844 % 2019 and thereafter 100.000 % Notwithstanding the foregoing, at any time and from time to time prior to February 1, 2016, we may at our option redeem in the aggregate up to 40% of the original aggregate principal amount of the Dollar Senior Notes with the net cash proceeds of one or more Equity Offerings (as defined in the indenture governing the Dollar Senior Notes), at a redemption price of 107.375% plus accrued and unpaid interest, if any, to the redemption date. Upon the occurrence of certain events constituting a change of control, holders of the Dollar Senior Notes have the right to require us to repurchase all or any part of the Dollar Senior Notes at a purchase price equal to 101% of the principal amount plus accrued and unpaid interest, if any, to the repurchase date. The indebtedness evidenced by the Dollar Senior Notes is senior unsecured indebtedness of the Issuers, is senior in right of payment to all future subordinated indebtedness of the Issuers and is equal in right of payment to all existing and future senior indebtedness of the Issuers. The Dollar Senior Notes are effectively subordinated to any secured indebtedness of the Issuers (including indebtedness of the Issuers outstanding under the Senior Secured Credit Facilities and the Euro Senior Notes) to the extent of the value of the assets securing such indebtedness. Future repayments Below is a schedule of required future repayments of all borrowings outstanding at March 31, 2015. Remainder of 2015 $ 34.2 2016 29.7 2017 29.2 2018 28.1 2019 27.3 Thereafter 3,477.1 $ 3,625.6 Reclassifications and revisions During 2014, the Company identified errors in the determination of the effective interest rate amortization for the Deferred Financing Costs and Original Issue Discounts that were incurred in 2013. The correction of these items impacted the condensed consolidated statement of operations and statements of comprehensive income (loss) for the three months ended March 31, 2014. The Company assessed the applicable guidance and concluded that these errors were not material to the Company’s consolidated financial statements for the aforementioned prior periods; however, the Company did conclude that correcting these prior misstatements would be significant to the three and nine-month periods ended September 30, 2014 condensed consolidated statement of operations. As a result of this analysis, the unaudited condensed consolidated financial statements at March 31, 2014 presented herein have been revised to reflect the correction of the aforementioned errors. The correction had an impact of $2.8 million on Net income (loss) and Net income (loss) attributable to controlling interests for the three months ended March 31, 2014 through a reduction in interest expense of $3.1 million (net of a tax provision of $0.3 million). | (22) BORROWINGS Borrowings are summarized as follows: Successor Year Ended 2014 2013 Dollar Term Loan $ 2,165.5 $ 2,282.8 Euro Term Loan 481.0 547.7 Dollar Senior Notes 750.0 750.0 Euro Senior Notes 305.3 344.9 Short-term borrowings 12.2 18.2 Other borrowings 0.7 — Unamortized original issue discount (18.3 ) (22.7 ) $ 3,696.4 $ 3,920.9 Less: Short term borrowings $ 12.2 $ 18.2 Current portion of long-term borrowings 27.9 28.5 Long-term debt $ 3,656.3 $ 3,874.2 (a) Senior Secured Credit Facilities, as amended On February 3, 2014, Axalta Coating Systems Dutch B B.V. (“Dutch B B.V.”), as “Dutch Borrower”, and its indirect wholly-owned subsidiary, Axalta Coating Systems U.S. Holdings Inc. (“Axalta US Holdings”), as “US Borrower”, executed the second amendment to the Senior Secured Credit Facilities (the “Amendment”). The Amendment (i) converted all of the outstanding Dollar Term Loans ($2,282.8 million) into a new class of term loans (the “New Dollar Term Loans”), and (ii) converted all of the outstanding Euro Term Loans (€397.0 million) into a new class of term loans (the “New Euro Term Loans”). The New Dollar Term Loans are subject to a floor of 1.00%, plus an applicable rate after the Amendment Effective Date. The applicable rate for such New Dollar Term Loans is 3.00% per annum for Eurocurrency Rate Loans as defined in the credit agreement governing the Senior Secured Credit Facilities and 2.00% per annum for Base Rate Loans as defined in the credit agreement governing the Senior Secured Credit Facilities. The applicable rate for both Eurocurrency Rate Loans as well as Base Rate Loans is subject to a further 25 basis point reduction if the Total Net Leverage Ratio as defined in the credit agreement governing the Senior Secured Credit Facilities is less than or equal to 4.50:1.00. The New Euro Term Loans are also subject to a floor of 1.00%, plus an applicable rate after the Amendment Effective Date. The applicable rate for such New Euro Term Loans is 3.25% per annum for Eurocurrency Rate Loans. New Euro Term Loans may not be Base Rate Loans. The applicable rate is subject to a further 25 basis point reduction if the Total Net Leverage Ratio is less than or equal to 4.50:1.00. During the third quarter 2014, our Total Net Leverage Ratio was confirmed to be less than 4.50:1.00. Concurrently, the applicable rates were changed to 2.75% for the New Dollar Term Loans and 3.00% for the New Euro Term Loans through December 31, 2014. The Senior Secured Credit Facilities are secured by substantially all assets of Axalta Coating Systems Dutch A B. V. (“Dutch A B.V.”) and the guarantors. The Dollar Term Loan and Euro Term Loan mature on February 1, 2020 and the Revolving Credit Facility matures on February 1, 2018. Principal is paid quarterly on both the Dollar Term Loan and the Euro Term Loan based on 1% per annum of the original principal amount with the unpaid balance due at maturity. Interest is payable quarterly on both the New Dollar Term Loan and the New Euro Term Loan. Prior to the Amendment, interest on the Dollar Term Loan was subject to a floor of 1.25% for Eurocurrency Rate Loans plus an applicable rate of 3.50%. For Base Rate Loans, the interest was subject to a floor of the greater of the federal funds rate plus 0.50%, the Prime Lending Rate, an Adjusted Eurocurrency Rate, or 2.25% plus an applicable rate of 2.50%. Interest on the Euro Term Loan, a Eurocurrency Loan, was subject to a floor of 1.25% plus an applicable rate of 4.00%. Under the Senior Secured Credit Facilities, interest on any outstanding borrowings under the Revolving Credit Facility is subject to a floor of 1.00% for Eurocurrency Rate Loans plus an applicable rate of 3.50% (subject to an additional step-down to 3.25%). For Base Rate Loans, the interest is subject to a floor of the greater of the federal funds rate plus 0.50%, the Prime Lending Rate, an Adjusted Eurocurrency Rate, or 2.00% plus an applicable rate of 2.50% (subject to an additional step-down to 2.25%). Under circumstances described in the Credit Agreement, the Company may increase available revolving or term facility borrowings up to $400.0 million plus an additional amount subject to the Company not exceeding a maximum first lien leverage ratio described in the Credit Agreement. Any indebtedness under the Senior Secured Credit Facilities may be voluntarily prepaid in whole or in part, in minimum amounts, subject to the make-whole provisions set forth in the Credit Agreement. Such indebtedness is subject to mandatory prepayments amounting to the proceeds of asset sales over $25.0 million annually, proceeds from certain debt issuances not otherwise permitted under the Credit Agreement and 50% (subject to a step-down to 25.0% or 0% if the First Lien Leverage Ratio falls below 4.25:1 or 3.50:1, respectively) of Excess Cash Flow. During the year ended December 31, 2014, we voluntarily repaid $100.0 million of the outstanding New Dollar Term Loan. Concurrent with this action, we recorded a pre-tax loss on extinguishment of $3.0 million, consisting of the write-off of $2.2 million and $0.8 million of unamortized deferred financing costs and original issue discounts, respectively. We are subject to customary negative covenants as well as a financial covenant which is a maximum First Lien Leverage Ratio. This financial covenant is applicable only when greater than 25% of the Revolving Credit Facility (including letters of credit not cash collateralized to at least 103%) is outstanding at the end of the fiscal quarter. Deferred financing costs of $92.9 million and original issue discounts of $25.7 million were incurred at the inception of the Senior Secured Credit Facilities. These amounts are amortized as interest expense over the life of the Senior Secured Credit Facilities. Amortization expense related to deferred financing costs, net for years ended December 31, 2014 and 2013 were $13.3 million and $11.7 million, respectively. Amortization expense related to original issue discounts for the years ended December 31, 2014 and 2013 were $3.6 million and $3.0 million, respectively. At December 31, 2014 and 2013 there were no borrowings under the Revolving Credit Facility. At December 31, 2014 and 2013, letters of credit issued under the Revolving Credit Facility totaled $15.5 million and $20.7 million, respectively, which reduced the availability under the Revolving Credit Facility. Availability under the Revolving Credit Facility was $384.5 million and $379.3 million at December 31, 2014 and 2013, respectively. (b) Significant Terms of the Senior Notes On February 1, 2013, Dutch B B.V., as “Dutch Issuer”, and Axalta US Holdings, as “US Issuer”, (collectively the “Issuers”) issued $750.0 million aggregate principal amount of 7.375% senior unsecured notes due 2021 (the “Dollar Senior Notes”) and related guarantees thereof. Additionally, Dutch B B.V. issued €250.0 million aggregate principal amount of 5.750% senior secured notes due 2021 (the “Euro Senior Notes”) and related guarantees thereof. Cash fees related to the issuance of the Senior Notes were $33.1 million, are recorded within deferred financing costs, net and are amortized as interest expense over the life of the Notes. At December 31, 2014 and 2013, the remaining unamortized balances were $25.3 million and $29.4 million, respectively. The expense related to the amortization of the deferred financing costs for the Successor year ended December 31, 2014 and 2013, were $4.1 million and $3.7 million, respectively. The Senior Notes are unconditionally guaranteed on a senior basis by certain of the Issuers’ subsidiaries. The indentures governing the Senior Notes contain covenants that restrict the ability of the Issuers and their subsidiaries to, among other things, incur additional debt, make certain payments including payment of dividends or repurchase equity interest of the Issuers, make loans or acquisitions or capital contributions and certain investments, incur certain liens, sell assets, merge or consolidate or liquidate other entities, and enter into transactions with affiliates. (i) Euro Senior Notes The Euro Senior Notes were sold at par and are due February 1, 2021. The Euro Senior Notes bear interest at 5.750% payable semi-annually on February 1 and August 1. Cash fees related to the issuance of the Euro Senior Notes were $10.2 million, and are recorded within “Deferred financing costs, net” and are amortized into interest expense over the life of the Senior Notes. At December 31, 2014 and 2013, the remaining unamortized balances were $7.7 million and $9.0 million, respectively. On or after February 1, 2016, we have the option to redeem all or part of the Euro Senior Notes at the following redemption prices (expressed as percentages of principal amount): Period Euro Notes Percentage 2016 104.313 % 2017 102.875 % 2018 101.438 % 2019 100.000 % 2020 and thereafter 100.000 % Notwithstanding the foregoing, at any time and from time to time prior to February 1, 2016, we may at our option redeem in the aggregate up to 40% of the original aggregate principal amount of the Euro Senior Notes with the net cash proceeds of one or more Equity Offerings (as defined in the indenture governing the Euro Senior Notes), at a redemption price of 105.750% plus accrued and unpaid interest, if any, to the redemption date. In addition, we have the option to redeem up to 10% of the Euro Senior Notes during any 12-month period from issue date until February 1, 2016 at a redemption price of 103.0%, plus accrued and unpaid interest, if any, to the redemption date. Upon the occurrence of certain events constituting a change of control, holders of the Euro Senior Notes have the right to require us to repurchase all or any part of the Euro Senior Notes at a purchase price equal to 101% of the principal amount plus accrued and unpaid interest, if any, to the repurchase date. The indebtedness evidenced by the Euro Senior Notes and related guarantees is secured on a first-lien basis by the same assets that secure the obligations under the Senior Secured Credit Facilities, subject to permitted liens and applicable local law limitations, is senior in right of payment to all future subordinated indebtedness of the Issuers, is equal in right of payment to all existing and future senior indebtedness of the Issuers and is effectively senior to any unsecured indebtedness of the Issuers, including the Dollar Senior Notes, to the extent of the value securing the Euro Senior Notes. (ii) Dollar Senior Notes The Dollar Senior Notes were sold at par and are due May 1, 2021. The Dollar Senior Notes bear interest at 7.375% payable semi-annually on February 1 and August 1. Cash fees related to the issuance of the Dollar Senior Notes were $22.9 million, are recorded within “Deferred financing costs, net” and are amortized as interest expense over the life of the Senior Notes. At December 31, 2014 and 2013, the remaining unamortized balances were $17.6 million and $20.4 million, respectively. On or after February 1, 2016, we have the option to redeem all or part of the Dollar Senior Notes at the following redemption prices (expressed as percentages of principal amount) Period Dollar Notes Percentage 2016 105.531 % 2017 103.688 % 2018 101.844 % 2019 100.000 % 2020 and thereafter 100.000 % Notwithstanding the foregoing, at any time and from time to time prior to February 1, 2016, we may at our option redeem in the aggregate up to 40% of the original aggregate principal amount of the Dollar Senior Notes with the net cash proceeds of one or more Equity Offerings (as defined in the indenture governing the Dollar Senior Notes), at a redemption price of 107.375% plus accrued and unpaid interest, if any, to the redemption date. Upon the occurrence of certain events constituting a change of control, holders of the Dollar Senior Notes have the right to require us to repurchase all or any part of the Dollar Senior Notes at a purchase price equal to 101% of the principal amount plus accrued and unpaid interest, if any, to the repurchase date. The indebtedness evidenced by the Dollar Senior Notes is senior unsecured indebtedness of the Issuers, is senior in right of payment to all future subordinated indebtedness of the Issuers and is equal in right of payment to all existing and future senior indebtedness of the Issuers. The Dollar Senior Notes are effectively subordinated to any secured indebtedness of the Issuers (including indebtedness of the Issuers outstanding under the Senior Secured Credit Facilities and the Euro Senior Notes) to the extent of the value of the assets securing such indebtedness. (c) Short-term borrowings On September 12, 2013, we entered into short-term borrowings in the amount of $27.8 million to partially fund the acquisition of a real estate investment property which closed in October 2013. The short-term borrowings associated with this acquisition were paid in full upon reaching maturity during the three months ended September 30, 2014. Other miscellaneous short-term borrowings had outstanding balances of $12.2 million and $0.4 million at December 31, 2014 and 2013, respectively. (d) Bridge financing commitment fees On August 30, 2012, we signed a debt commitment letter, which was subsequently amended and restated, that included a bridge facility comprised of $1,100.0 million of unsecured U.S. bridge loans and a $300.0 million of secured bridge loans (the “Bridge Facility”), which was to be utilized to partially fund the Acquisition in the event that permanent financing was not obtained. Drawings under the Bridge Facility were subject to certain conditions. Upon the issuance of the Senior Notes and the entry into the Senior Secured Credit Facilities, the commitments under the Bridge Facility terminated. Commitment fees related to the Bridge Facility of $21.0 million and associated fees of $4.0 million were expensed upon the termination of the Bridge Facility during the year ended December 31, 2013. (e) Future repayments Below is a schedule of required future repayments of all borrowings outstanding at December 31, 2014. 2015 $ 40.1 2016 27.9 2017 27.9 2018 28.6 2019 27.9 Thereafter 3,562.3 $ 3,714.7 |
Fair Value Accounting
Fair Value Accounting | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Fair Value Disclosures [Abstract] | ||
Fair Value Accounting | (16) FAIR VALUE ACCOUNTING Fair value of financial instruments Available for sale securities Long-term borrowings The fair values of the New Dollar Term Loan and the New Euro Term Loan at March 31, 2015 were $2,149.0 million and $428.2 million, respectively. The fair values at December 31, 2014 were $2,100.5 million and $478.0 million, respectively. The estimated fair values of the Dollar Term Loan and the Euro Term Loan are based on recent trades, as reported by a third party pricing service. Due to the infrequency of trades of the Dollar Term Loan and the Euro Term Loan, these inputs are considered to be Level 2 inputs. | (23) FAIR VALUE ACCOUNTING (a) Assets measured at fair value on a nonrecurring basis During the Successor years ended December 31, 2014 and December 31, 2013 we recorded impairment losses of $0.1 million and $3.2 million, respectively, associated with the abandonment of certain in process research and development projects acquired in the Acquisition. During the Predecessor period from January 1, 2013 through January 31, 2013 no assets were adjusted to their fair values on a nonrecurring basis. See Note 3 for further discussion of recording the fair values of the indefinite-lived in-process research and development intangible assets acquired in the Acquisition, and the subsequent testing of these assets for impairment. (b) Fair value of financial instruments Available for sale securities Long-term borrowings The fair values of the Dollar Term Loan and the Euro Term Loan at December 31, 2014 were $2,100.5 million and $478.0 million, respectively. The fair values at December 31, 2013 were $2,297.1 million and $552.5 million, respectively. The estimated fair values of the Dollar Term Loan and the Euro Term Loan are based on recent trades, as reported by a third party pricing service. Due to the infrequency of trades of the Dollar Term Loan and the Euro Term Loan, these inputs are considered to be Level 2 inputs. |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Derivative Financial Instruments | (17) DERIVATIVE FINANCIAL INSTRUMENTS We selectively use derivative instruments to reduce market risk associated with changes in foreign currency exchange rates and interest rates. The use of derivatives is intended for hedging purposes only and we do not enter into derivative instruments for speculative purposes. A description of each type of derivative used to manage risk is included in the following paragraphs. During the year ended December 31, 2013, we entered into five interest rate swaps with notional amounts totaling $1,173.0 million to hedge interest rate exposures related to variable rate borrowings under the Senior Secured Credit Facilities. The interest rate swaps are in place until September 29, 2017. The interest rate swaps qualify and are designated as effective cash flow hedges. The following table presents the location and fair values using Level 2 inputs of derivative instruments that qualify and have been designated as cash flow hedges included in our condensed consolidated balance sheet: March 31, 2015 December 31, 2014 Other assets: Interest rate swaps $ 0.8 $ 5.9 Total assets $ 0.8 $ 5.9 Other liabilities: Interest rate swaps $ 2.5 $ 1.5 Total liabilities $ 2.5 $ 1.5 The following table presents the location and fair values using Level 2 inputs of derivative instruments that have not been designated as hedges included in our condensed consolidated balance sheet: March 31, 2015 December 31, 2014 Other assets: Interest rate cap $ 0.1 $ 0.1 Total assets $ 0.1 $ 0.1 For derivative instruments that qualify and are designated as cash flow hedges, the effective portion of the gain or loss on the derivative is reported as a component of Accumulated other comprehensive loss and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. The following tables set forth the locations and amounts recognized during the three months ended March 31, 2015 and 2014 for these cash flow hedges. Derivatives in Cash Flow Relationships in three Amount of in OCI on Portion) Location of (Gain) Amount of (Gain) Loss from Income (Effective Location of (Gains) Amount of (Gain) Loss in Income on Interest rate contracts $ 4.8 Interest expense, net $ 1.6 Interest expense, net $ 1.2 Derivatives in Cash Flow Relationships in three Amount of (Gain) Loss Recognized in OCI on Derivatives (Effective Portion) Location of (Gain) Amount of (Gain) Loss Reclassified from Accumulated OCI to Income (Effective Portion) Location of (Gains) Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) Interest rate contracts $ (0.5 ) Interest expense, net $ 1.6 Interest expense, net $ 1.3 Also during the year ended December 31, 2013, we purchased a €300.0 million 1.5% interest rate cap on our Euro Term Loan that is in place until September 29, 2017. We paid a premium of $3.1 million for the interest rate cap. The interest rate cap was not designated as a hedge and the changes in the fair value of the derivative instrument are recorded in current period earnings and are included in interest expense. Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that do not qualify for hedge accounting treatment are recorded in income as follows: Derivatives Not Designated as Hedging Instruments under ASC 815 Location of (Gain) Loss Derivatives Three Months Ended March 31, 2015 2014 Foreign currency forward contract Other expense, net as a component of Exchange (gains) losses $ (1.8 ) $ 1.2 Interest rate cap Interest expense, net — 1.8 $ (1.8 ) $ 3.0 | (24) DERIVATIVE FINANCIAL INSTRUMENTS We selectively use derivative instruments to reduce market risk associated with changes in foreign currency exchange rates and interest rates. The use of derivatives is intended for hedging purposes only and we do not enter into derivative instruments for speculative purposes. A description of each type of derivative used to manage risk is included in the following paragraphs. During the Successor year ended December 31, 2013, we entered into a foreign currency contract to hedge the variability of the US dollar equivalent of the original borrowings under the Euro Term Loan and the proceeds from the issuance of the Euro Senior Notes. Changes in the fair value of this instrument were recorded in current period earnings and were presented in Other expense, net as a component of Exchange (gains) losses. Losses related to the settlement of this contract recognized during the Successor year ended December 31, 2013 totaled $19.4 million. Cash flows resulting from the settlement of the derivative instrument on February 1, 2013 are reported as investing activities. During the Successor year ended December 31, 2013, we entered into five interest rate swaps with notional amounts totaling $1,173.0 million to hedge interest rate exposures related to variable rate borrowings under the Senior Secured Credit Facilities. The interest rate swaps are in place until September 29, 2017. The interest rate swaps qualify and are designated as effective cash flow hedges. The following table presents the location and fair values using Level 2 inputs of derivative instruments that qualify and have been designated as cash flow hedges included in our consolidated and combined balance sheet: Successor Year Ended December 31, 2014 2013 Foreign currency contracts $ — $ — Other assets: Interest rate swaps 5.9 10.5 Total assets $ 5.9 $ 10.5 Other liabilities: Interest rate swaps $ 1.5 $ 1.2 Total liabilities $ 1.5 $ 1.2 The following table presents the location and fair values using Level 2 inputs of derivative instruments that have not been designated as hedges included in our consolidated and combined balance sheet: Successor Year Ended December 31, 2014 2013 Foreign currency contracts $ — $ — Other assets: Interest rate cap 0.1 3.4 Total assets $ 0.1 $ 3.4 Other liabilities: Foreign currency contracts $ — $ — Total liabilities $ — $ — For derivative instruments that qualify and are designated as cash flow hedges, the effective portion of the gain or loss on the derivative is reported as a component of “Accumulated other comprehensive loss” and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. The following table sets forth the locations and amounts recognized during the Successor years ended December 31, 2014 and 2013, respectively, for these cash flow hedges. Derivatives in Cash Flow Hedging Relationships in 2014: Amount of (Gain) Loss Recognized Derivatives (Effective Portion) Location of (Gain) Amount of (Gain) Loss Reclassified Accumulated OCI to (Effective Portion) Location of (Gains) Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) Interest rate contracts $ 4.6 Interest expense, net $ 6.5 Interest expense, net $ 0.3 Derivatives in Cash Flow Hedging Relationships in 2013: Amount of (Gain) Loss Recognized Derivatives (Effective Portion) Location of (Gain) Amount of (Gain) Loss Reclassified Accumulated OCI to (Effective Portion) Location of (Gains) Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) Interest rate contracts $ (5.0 ) Interest expense, net $ 4.4 Interest expense, net $ (4.3 ) Also during the Successor year ended December 31, 2013, we purchased a €300.0 million 1.5% interest rate cap on our Euro Term Loan that is in place until September 29, 2017. We paid a premium of $3.1 million for the interest rate cap. The interest rate cap was not designated as a hedge and the changes in the fair value of the derivative instrument are recorded in current period earnings and are included in interest expense. DPC, through DuPont, entered into contractual arrangements (derivatives) to reduce its exposure to foreign currency risk. The foreign currency derivative program was utilized for financial risk management and consisted of forward contracts. The derivative instruments were not designated as hedging instruments. Changes in the fair value of the derivative instruments were recorded in current period earnings and were presented in Other expense, net as a component of exchange (gains) losses. Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that do not qualify for hedge accounting treatment are recorded in income as follows: Successor Predecessor Derivatives Not Designated as ASC 815 Location of (Gain) Loss Recognized in Income on Derivatives Year Ended Year Ended Period from January 1, 2013 through January 31, 2013 Year Ended December 31, 2012 Foreign currency forward contract Other expense, net as a component of Exchange (gains) losses $ 1.4 $ 20.9 $ 2.0 $ 3.9 Interest rate cap Interest expense, net 3.4 (0.3 ) — — $ 4.8 $ 20.6 $ 2.0 $ 3.9 |
Segments
Segments | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting [Abstract] | ||
Segments | (18) SEGMENTS The Company identifies an operating segment as a component: (i) that engages in business activities from which it may earn revenues and incur expenses; (ii) whose operating results are regularly reviewed by the Chief Operating Decision Maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance; and (iii) that has available discrete financial information. We have two operating segments, which are also our reportable segments: Performance Coatings and Transportation Coatings. The CODM reviews financial information at the operating segment level to allocate resources and to assess the operating results and financial performance for each operating segment. Our CODM is identified as the Chief Executive Officer because he has final authority over performance assessment and resource allocation decisions. Our segments are based on the type and concentration of customers served, service requirements, methods of distribution and major product lines. Through our Performance Coatings segment, we provide high-quality liquid and powder coatings solutions to a fragmented and local customer base. We are one of only a few suppliers with the technology to provide precise color matching and highly durable coatings systems. The end-markets within this segment are refinish and industrial. Through our Transportation Coatings segment, we provide advanced coating technologies to OEMs of light and commercial vehicles. These increasingly global customers require a high level of technical support coupled with cost-effective, environmentally responsible coatings systems that can be applied with a high degree of precision, consistency and speed. The end-markets within this segment are light vehicle and commercial vehicle. Our business serves four end-markets globally as follows: Three Months Ended March 31, 2015 2014 Performance Coatings Refinish $ 393.2 $ 435.2 Industrial 164.0 180.9 Total Net sales Performance Coatings 557.2 616.1 Transportation Coatings Light Vehicle 333.2 339.6 Commercial Vehicle 98.8 91.7 Total Net sales Transportation Coatings 432.0 431.3 Total Net sales $ 989.2 $ 1,047.4 Asset information is not reviewed or included with our internal management reporting. Therefore, the Company has not disclosed asset information for each reportable segment. Performance Coatings Transportation Coatings Total For the Three Months Ended March 31, 2015 Net sales (1) $ 557.2 $ 432.0 $ 989.2 Equity in earnings in unconsolidated affiliates 0.1 0.3 0.4 Adjusted EBITDA (2) 107.1 74.9 182.0 Investment in unconsolidated affiliates 4.0 6.5 10.5 Performance Coatings Transportation Coatings Total For the Three Months Ended March 31, 2014 Net sales (1) $ 616.1 $ 431.3 $ 1,047.4 Equity in earnings in unconsolidated affiliates 0.3 0.3 0.6 Adjusted EBITDA (2) 124.5 62.2 186.7 Investment in unconsolidated affiliates 8.0 8.4 16.4 (1) The Company has no intercompany sales between segments. (2) The primary measure of segment operating performance is Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization and other unusual items impacting operating results. Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts, and prior year financial results, providing a measure that management believes reflects the Company’s core operating performance. Reconciliation of Adjusted EBITDA to income (loss) before income taxes follows: Three Months Ended March 31, 2015 2014 Income before income taxes $ 47.9 $ 8.3 Interest expense, net 50.0 59.0 Depreciation and amortization 72.6 81.1 EBITDA 170.5 148.4 Financing costs (a) — 3.1 Foreign exchange remeasurement losses (b) 8.7 0.1 Long-term employee benefit plan adjustments (c) 0.2 2.3 Termination benefits and other employee related costs (d) 3.7 3.2 Consulting and advisory fees (e) 3.1 13.0 Transition-related costs (f) — 13.9 Secondary offering costs (g) 1.4 — Other adjustments (h) (2.1 ) 2.8 Dividends in respect of noncontrolling interest (i) (3.5 ) (0.9 ) Management fee expense (j) — 0.8 Adjusted EBITDA $ 182.0 $ 186.7 (a) In connection with an amendment to the Senior Secured Credit Facilities in February 2014, we recognized $3.1 million of costs during the three months ended March 31, 2014. (b) Eliminates foreign exchange gains and losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies. (c) Eliminates the non-service cost components of long-term employee benefit costs. (d) Represents expenses primarily related to employee termination benefits, including our initiative to improve the overall cost structure within the European region, and other employee-related costs. Termination benefits include the costs associated with our headcount initiatives associated with cost saving opportunities that were related to our transition to a standalone entity and our Axalta Way cost savings initiatives in 2015. (e) Represents fees paid to consultants, advisors, and other third-party professional organizations for professional services rendered in conjunction with the transition from DuPont to a standalone entity during 2014. Amounts incurred for the three months ended March 31, 2015 primarily relate to our Axalta Way cost savings initiatives. (f) Represents charges associated with the transition from DuPont to a standalone entity, including branding and marketing, information technology related costs, and facility transition costs. (g) Represents costs associated with the secondary offering of our common shares by Carlyle that closed in April 2015 (the “Secondary Offering”). (h) Represents costs for certain unusual or non-operational (gains) and losses, including a $5.4 million gain recognized in 2015 resulting from the remeasurement of our previously held interest in an equity method investee upon the acquisition of a controlling interest, stock-based compensation, equity investee dividends, indemnity losses associated with the Acquisition, and loss (gain) on sale and disposal of property, plant and equipment. (i) Represents the payment of dividends to our joint venture partners by our consolidated entities that are not wholly owned. (j) Pursuant to Axalta’s management agreement with Carlyle Investment for management and financial advisory services and oversight provided to Axalta and its subsidiaries, Axalta was required to pay an annual management fee of $3.0 million and out-of-pocket expenses. This agreement terminated upon completion of the IPO in November 2014. | (25) SEGMENTS The Company identifies an operating segment as a component: (i) that engages in business activities from which it may earn revenues and incur expenses; (ii) whose operating results are regularly reviewed by the Chief Operating Decision Maker (CODM) to make decisions about resources to be allocated to the segment and assess its performance; and (iii) that has available discrete financial information. We have two operating segments: Performance Coatings and Transportation Coatings. The CODM reviews financial information at the operating segment level to allocate resources and to assess the operating results and financial performance for each operating segment. Our CODM is identified as the Chief Executive Officer because he has final authority over performance assessment and resource allocation decisions. Our segments are based on the type and concentration of customers served, service requirements, methods of distribution and major product lines. Through our Performance Coatings segment we provide high-quality liquid and powder coatings solutions to a fragmented and local customer base. We are one of only a few suppliers with the technology to provide precise color matching and highly durable coatings systems. The end-markets within this segment are refinish and industrial. Through our Transportation Coatings segment we provide advanced coating technologies to OEMs of light and commercial vehicles. These increasingly global customers require a high level of technical support coupled with cost-effective, environmentally responsible coatings systems that can be applied with a high degree of precision, consistency and speed. Our business serves four end-markets globally as follows: Successor Predecessor Year Ended December 31, January 1 Year Ended 2014 2013 2013 2012 Performance Coatings Refinish $ 1,850.8 $ 1,670.0 $ 129.4 $ 1,759.3 Industrial 734.2 655.3 57.4 720.2 Total Net sales Performance Coatings 2,585.0 2,325.3 186.8 2,479.5 Transportation Coatings Light Vehicle 1,384.5 1,291.5 111.6 1,390.6 Commercial Vehicle 392.2 334.3 27.8 349.3 Total Net sales Transportation Coatings 1,776.7 1,625.8 139.4 1,739.9 Total Net sales $ 4,361.7 $ 3,951.1 $ 326.2 $ 4,219.4 Segment information for the Predecessor period has been recast to conform to the Successor segment presentation. Asset information is not reviewed or included with our internal management reporting. Therefore, the Company has not disclosed asset information for each reportable segment. Successor Performance Transportation Total For the Year ended December 31, 2014 Net sales (1) $ 2,585.0 $ 1,776.7 $ 4,361.7 Equity in earnings in unconsolidated affiliates (1.2 ) (0.2 ) (1.4 ) Adjusted EBITDA (2) 547.6 292.9 840.5 Investment in unconsolidated affiliates 7.2 7.1 14.3 Successor Performance Transportation Total For the Year ended December 31, 2013 Net sales (1) $ 2,325.3 $ 1,625.8 $ 3,951.1 Equity in earnings in unconsolidated affiliates 1.8 0.3 2.1 Adjusted EBITDA (2) 500.2 198.8 699.0 Investment in unconsolidated affiliates 7.7 8.1 15.8 Predecessor Performance Transportation Total January 1 through January 31, 2013 Net sales (1) $ 186.8 $ 139.4 $ 326.2 Equity in earnings (losses) in unconsolidated affiliates — (0.3 ) (0.3 ) Adjusted EBITDA (2) 15.0 17.7 32.7 Investment in unconsolidated affiliates 2.0 6.7 8.7 Predecessor Performance Transportation Total For the Year ended December 31, 2012 Net sales (1) $ 2,479.5 $ 1,739.9 $ 4,219.4 Equity in earnings in unconsolidated affiliates — 0.6 0.6 Adjusted EBITDA (2) 426.0 151.6 577.6 Investment in unconsolidated affiliates 0.8 7.1 7.9 (1) The Company has no intercompany sales. (2) The primary measure of segment operating performance is Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization and other unusual items impacting operating results. Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts, and prior year financial results, providing a measure that management believes reflects the Company’s core operating performance. Reconciliation of Adjusted EBITDA to income (loss) before income taxes follows: Successor Predecessor Year Ended August 24 January 1 Year ended 2014 2013 2012 2013 2012 Adjusted EBITDA $ 840.5 $ 699.0 $ — $ 32.7 $ 577.6 Inventory step-up (a) — (103.7 ) — — — Merger and acquisition related costs (b) — (28.1 ) (29.0 ) — — Financing fees (c) (6.1 ) (25.0 ) — — — Foreign exchange remeasurement losses (d) (81.2 ) (48.9 ) — (4.5 ) (17.7 ) Long-term employee benefit plan adjustments (e) 0.6 (9.5 ) — (2.3 ) (36.9 ) Termination benefits and other employee related costs (f) (18.4 ) (147.5 ) — (0.3 ) (8.6 ) Consulting and advisory fees (g) (36.3 ) (54.7 ) — — — Transition-related costs (h) (101.8 ) (29.3 ) — — — IPO-related costs (i) (22.3 ) — — — — Other adjustments (j) (10.8 ) (2.3 ) — (0.1 ) (12.6 ) Dividends in respect of noncontrolling interest (k) 2.2 5.2 — — 1.9 Management fee expense (l) (3.2 ) (3.1 ) — — — EBITDA 563.2 252.1 (29.0 ) 25.5 503.7 Interest expense, net 217.7 215.1 — — — Depreciation and amortization 308.7 300.7 — 9.9 110.7 Income before income taxes $ 36.8 $ (263.7 ) $ (29.0 ) $ 15.6 $ 393.0 (a) During the Successor year ended December 31, 2013, we recorded a non-cash fair value adjustment associated with our acquisition accounting for inventories. These amounts increased cost of goods sold by $103.7 million. (b) In connection with the Acquisition, we incurred $28.1 million and $29.0 million of merger and acquisition costs during the Successor years ended December 31, 2013 and December 31, 2012, respectively. These costs consisted primarily of investment banking, legal and other professional advisory services costs. (c) On August 30, 2012, we signed a debt commitment letter, which included the Bridge Facility. Upon the issuance of the Senior Notes and the entry into the Senior Secured Credit Facilities, the commitments under the Bridge Facility terminated. Commitment fees related to the Bridge Facility of $21.0 million and associated fees of $4.0 million were expensed upon the payment and termination of the Bridge Facility. In connection with the amendment to the Senior Secured Credit Facilities in February 2014, we recognized $3.1 million of costs during the Successor year ended December 31, 2014. In addition to the credit facility amendment, we also incurred a $3.0 million loss on extinguishment of debt recognized during the Successor year ended December 31, 2014, which resulted directly from the pro-rata write off of unamortized deferred financing costs and original issue discounts associated with the pay-down of $100.0 million of principal on the New Dollar Term Loan (discussed further at Note 22 to the consolidated and combined financial statements. (d) Eliminates foreign exchange gains and losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, including a $19.4 million loss related to the acquisition date settlement of a foreign currency contract used to hedge the variability of Euro-based financing. (e) For the Successor years ended December 31, 2014 and 2013, eliminates the non-service cost components of employee benefit costs. Additionally, we deducted a pension curtailment gain of $7.3 million recorded during the Successor year ended December 31, 2014. For the Predecessor period January 1, 2013 through January 31, 2013 and the Predecessor year ended December 31, 2012 eliminates (1) all U.S. pension and other long-term employee benefit costs that were not assumed as part of the Acquisition and (2) the non-service cost component of the pension and other long-term employee benefit costs for the foreign pension plans that were assumed as part of the Acquisition. (f) Represents expenses primarily related to employee termination benefits, including our initiative to improve the overall cost structure within the European region, and other employee-related costs. Termination benefits include the costs associated with our headcount initiatives for establishment of new roles and elimination of old roles and other costs associated with cost saving opportunities that were related to our transition to a standalone entity. (g) Represents fees paid to consultants, advisors, and other third-party professional organizations for professional services rendered in conjunction with the transition from DuPont to a standalone entity. (h) Represents charges associated with the transition from DuPont to a standalone entity, including branding and marketing, information technology related costs, and facility transition costs. (i) Represents costs associated with the IPO, including a $13.4 million pre-tax charge associated with the termination of the management agreement with Carlyle Investment Management, L.L.C., an affiliate of Carlyle, upon the completion of the IPO. (j) Represent costs for certain unusual or non-operational losses and the non-cash impact of natural gas and currency hedge losses allocated to DPC by DuPont, stock-based compensation, asset impairments, equity investee dividends, indemnity income associated with the Transaction, and loss (gain) on sale and disposal of property, plant and equipment. (k) Represents the payment of dividends to our joint venture partners by our consolidated entities that are not wholly owned. (l) Pursuant to Axalta’s management agreement with Carlyle Investment Management, L.L.C., for management and financial advisory services and oversight provided to Axalta and its subsidiaries, Axalta was required to pay an annual management fee of $3.0 million and out-of-pocket expenses. Segment information for the Predecessor periods has been recast to conform to the Successor segment presentation. Geographic Area Information: The information within the following tables provides disaggregated information related to our net sales and long-lived assets. Net sales by region were as follows: Successor Predecessor Year Ended Year Ended Period from August 24 through December 31, Period from January 1 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 North America $ 1,307.8 $ 1,165.4 $ — $ 81.6 $ 1,238.6 EMEA 1,672.0 1,540.4 — 141.0 1,675.4 Asia Pacific 715.0 593.7 — 51.7 595.0 Latin America 666.9 651.6 — 51.9 710.4 Total (a) $ 4,361.7 $ 3,951.1 $ — $ 326.2 $ 4,219.4 Net long-lived assets by region were as follows: Successor December 31, December 31, North America $ 481.4 $ 483.8 EMEA 542.0 623.5 Asia Pacific 234.3 218.1 Latin America 256.4 297.2 Total (b) $ 1,514.1 $ 1,622.6 (a) Net Sales are attributed to countries based on location of the customer. Sales to external customers in China represented approximately 11% and 10% of the total for the Successor years ended December 31, 2014 and 2013, respectively, as well as 11% for the Predecessor period ended January 31, 2013 and 8% in the Predecessor year ended December 31, 2012. Sales to external customers in Germany represented approximately 10% and 10% of the total for the Successor years ended December 31, 2014 and 2013, respectively, as well as 11% for the Predecessor period ended January 31, 2013 and 16% in the Predecessor year ended December 31, 2012. Canada, which is included in the North America region, represents approximately 3% of total sales in all periods. (b) Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $302.8 million and $348.1 million in the years ended December 31, 2014 and 2013, respectively. China long-lived assets amounted to $189.4 million and $167.5 million in the years ended December 31, 2014 and 2013, respectively. |
Shareholders' Equity
Shareholders' Equity | 3 Months Ended |
Mar. 31, 2015 | |
Equity [Abstract] | |
Shareholders' Equity | (19) SHAREHOLDERS’ EQUITY The following tables present the change in total shareholders’ equity for the three months ended March 31, 2015 and 2014, respectively. Total Axalta Noncontrolling Total Balance January 1, 2015 $ 1,044.7 $ 67.3 $ 1,112.0 Net income 45.1 1.6 46.7 Other comprehensive (loss), net of tax (112.1 ) (0.4 ) (112.5 ) Exercise of stock options (0.6 ) — (0.6 ) Recognition of stock-based compensation 1.8 — 1.8 Noncontrolling interests of acquired subsidiaries — 4.3 4.3 Dividends declared to noncontrolling interests — (3.5 ) (3.5 ) Balance March 31, 2015 $ 978.9 $ 69.3 $ 1,048.2 Total Axalta Noncontrolling Interests Total Balance January 1, 2014 $ 1,142.9 $ 68.9 $ 1,211.8 Net income (loss) (4.3 ) 0.6 (3.7 ) Other comprehensive (loss), net of tax (3.0 ) — (3.0 ) Recognition of stock-based compensation 1.8 — 1.8 Dividends declared to noncontrolling interests — (0.9 ) (0.9 ) Balance March 31, 2014 $ 1,137.4 $ 68.6 $ 1,206.0 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Equity [Abstract] | ||
Accumulated Other Comprehensive Income | (20) ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Gain Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income (loss) December 31, 2014 $ (72.1 ) $ (31.2 ) $ (0.2 ) $ 0.2 $ (103.3 ) Current year deferrals to AOCI (109.2 ) — 0.5 (1.4 ) (110.1 ) Reclassifications from AOCI to Net income — (0.4 ) — (1.6 ) (2.0 ) Net Change (109.2 ) (0.4 ) 0.5 (3.0 ) (112.1 ) March 31, 2015 $ (181.3 ) $ (31.6 ) $ 0.3 $ (2.8 ) $ (215.4 ) The income tax benefit related to the changes in pension and other long-term employee benefits for the three months ended March 31, 2015 was $0.8 million. The cumulative income tax benefit related to the adjustments for pension and other long-term employee benefits at March 31, 2015 was $14.1 million. The income tax benefit related to the change in the unrealized loss on derivatives for the three months ended March 31, 2015 was $1.8 million. The cumulative income tax benefit related to the adjustments for unrealized loss on derivatives at March 31, 2015 was $1.6 million. Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Loss on Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income December 31, 2013 $ 24.3 $ 7.5 $ (0.9 ) $ 3.1 $ 34.0 Current year deferrals to AOCI (7.5 ) 4.5 (0.2 ) 1.9 (1.3 ) Reclassifications from AOCI to Net income — (0.1 ) — (1.6 ) (1.7 ) Net Change (7.5 ) 4.4 (0.2 ) 0.3 (3.0 ) March 31, 2014 $ 16.8 $ 11.9 $ (1.1 ) $ 3.4 $ 31.0 Included within reclassifications from AOCI to Net income for the three months ended March 31, 2014 was $5.6 million of curtailment gains related to an amendment to one of our pension plans. The income tax expense related to the changes in pension and other long-term employee benefits for the three months ended March 31, 2014 was $1.1 million. The cumulative income tax expense related to the adjustment for pension and other long-term employee benefits at March 31, 2014 was $4.6 million. The income tax expense related to the change in the unrealized gain on derivatives for the three months ended March 31, 2014 was $0.2 million. The cumulative income tax expense related to the adjustment for unrealized gain on derivatives at March 31, 2014 was $2.1 million. | (26) ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Gain Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income Successor Balance, December 31, 2013 $ 24.3 $ 7.5 $ (0.9 ) $ 3.1 $ 34.0 Current year deferrals to AOCI (96.4 ) (29.7 ) 0.7 3.6 (121.8 ) Reclassifications from AOCI to Net income — (9.0 ) — (6.5 ) (15.5 ) Net Change (96.4 ) (38.7 ) 0.7 (2.9 ) (137.3 ) Successor Balance, December 31, 2014 $ (72.1 ) $ (31.2 ) $ (0.2 ) $ 0.2 $ (103.3 ) Included within reclassifications from AOCI to Net income for the Successor year ended December 31, 2014 was $7.3 million of curtailment gains related to an amendment to one of our pension plans. The income tax related to the changes in pension and other long-term employee benefits for the year ended December 31, 2014 was $16.9 million. The cumulative income tax impact related to the adjustments for pension and other long-term employee benefits at December 31, 2014 was a benefit of $13.4 million compared to the cumulative income tax expense at December 31, 2013 of $3.5 million. The income tax related to the change in the unrealized gain on derivatives for the year ended December 31, 2014 was $1.7 million. The cumulative income tax expense related to the adjustments for unrealized gain on derivatives at December 31, 2014 and 2013 were $0.2 million and $1.9 million, respectively. Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Loss on Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income Successor Balance, December 31, 2012 $ — $ — $ — $ — $ — Current year deferrals to AOCI 24.3 7.5 (0.9 ) 7.5 38.4 Reclassifications from AOCI to Net income — — — (4.4 ) (4.4 ) Net Change 24.3 7.5 (0.9 ) 3.1 34.0 Successor Balance, December 31, 2013 $ 24.3 $ 7.5 $ (0.9 ) $ 3.1 $ 34.0 The income tax related to the changes in pension and other long-term employee benefits for the Successor year ended December 31, 2013 was $3.5 million. The cumulative income tax expense related to the adjustment for pension and other long-term employee benefits at December 31, 2013 was $3.5 million. The income tax related to the change in the unrealized gain on derivatives for the Successor year ended December 31, 2013 was $1.9 million. The cumulative income tax expense related to the adjustment for unrealized gain on derivatives at December 31, 2013 was $1.9 million. Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized loss on securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income Predecessor Balance, December 31, 2012 $ — $ (142.3 ) $ 1.4 $ — $ (140.9 ) Current year deferrals to AOCI — 0.7 0.2 — 0.9 Reclassifications from AOCI to Net income — — — — — Net Change — 0.7 0.2 — 0.9 Predecessor Balance, January 31, 2013 $ — $ (141.6 ) $ 1.6 $ — $ (140.0 ) The income tax related to the changes in pension and other long-term employee benefits for the Predecessor one month ended January 31, 2013 was $0.4 million. The cumulative income tax benefit related to the adjustment for pension and other long-term employee benefits at January 31, 2013 was $76.3 million. The income tax related to the change in the unrealized gain on derivatives for the Predecessor one month ended January 31, 2013 was $0.0 million. The cumulative income tax expense related to the adjustment for unrealized gain on derivatives at January 31, 2013 was $0.0 million. The income tax related to the change in the unrealized loss on securities for the Predecessor one month ended January 31, 2013 was $0.0 million. The cumulative income tax expense related to the adjustment for unrealized loss on securities at January 31, 2013 was $0.9 million. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | (21) SUBSEQUENT EVENTS On April 8, 2015, we completed a Secondary Offering in which Carlyle sold an aggregate of 40,000,000 common shares at a price of $28.00 per share. The underwriters also exercised their over-allotment option and purchased an additional 6,000,000 common shares. We did not receive any proceeds from the sale of common shares in the Secondary Offering. On April 8, 2015, Carlyle sold 20,000,000 common shares in a private placement offering to an affiliate of Berkshire Hathaway Inc. for $28.00 per share. We did not receive any proceeds from the sale of common shares in the private placement offering. As a result of the transactions above, Carlyle’s interest in Axalta decreased below 50% and triggered a liquidity event, as defined in the Axalta Coating Systems Bermuda Co., Ltd. 2013 Equity Incentive Plan (the “2013 Plan”). Upon the liquidity event, all issued and outstanding stock options issued under the 2013 Plan became fully vested. As a result of these shares becoming fully vested, the remaining unrecognized stock-based compensation expense of $8.0 million will be recognized for the three months ended June 30, 2015. |
General and Description of the
General and Description of the Business | 12 Months Ended |
Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
General and Description of the Business | (1) GENERAL AND DESCRIPTION OF THE BUSINESS Axalta Coating Systems Ltd. (“Axalta,” the “Company,” “we,” “our” and “us”), a Bermuda exempted company limited by shares formed at the direction of The Carlyle Group L.P. (“Carlyle”), was incorporated on August 24, 2012 for the purpose of consummating the acquisition of DuPont Performance Coatings (“DPC”), a business formerly owned by E. I. du Pont de Nemours and Company (“DuPont”), including certain assets of DPC and all of the capital stock and other equity interests of certain entities engaged in the DPC business (the “Acquisition”). Axalta, through its wholly-owned indirect subsidiaries, acquired DPC on February 1, 2013. The Acquisition Axalta is a holding company with no business operations or assets other than cash, cash equivalents, certain indemnity receivables from DuPont and 100% of the ownership interest of Axalta Coating Systems Dutch Co. Top Coöperatief U.A., which itself is a holding company with no operations or assets other than 100% of the capital stock of Axalta Coating Systems Dutch Holdings A B.V. (“Dutch A B.V.”), which itself is a holding company with no operations or assets other than 100% of the capital stock of Axalta Coating Systems Dutch Holdings B B.V. (“Dutch B B.V.”). Dutch B B.V., together with its indirect wholly-owned subsidiary, Axalta Coating Systems U.S. Holdings, Inc. (“Axalta US Holdings”), are co-borrowers under the Senior Secured Credit Facilities and co-issuers of the Senior Notes (each as defined below). Our global operations are conducted by indirect wholly-owned subsidiaries and indirect majority-owned subsidiaries. The purchase price for the Acquisition was funded by (i) an equity contribution of $1,350.0 million into the Company by affiliates of Carlyle (the “Equity Contribution”), (ii) proceeds from borrowings under senior secured credit facilities (the “Senior Secured Credit Facilities”) consisting of a $2,300.0 million Dollar Term Loan facility and a €400.0 million Euro Term Loan facility both of which are due February 1, 2020 and (iii) proceeds from the issuance of $750.0 million aggregate principal amount of 7.375% senior unsecured notes due 2021 and the issuance of €250.0 million aggregate principal amount of 5.750% senior secured notes due 2021 (collectively the “Senior Notes”). The Senior Secured Credit Facilities and the Senior Notes are more fully described in Note 22. Initial Public Offering On November 14, 2014, the Company completed its initial public offering (“IPO”). In the IPO, certain of the Company’s shareholders sold an aggregate of 50,000,000 common shares at a public offering price of $19.50 per share. The underwriters also exercised their over-allotment option and purchased an additional 7,500,000 common shares. The Company did not receive any proceeds from the sale of common shares in the IPO. The Business Axalta is a leading global manufacturer, marketer and distributor of innovative high performance coatings products primarily serving the transportation industry. Products are offered in four key end-markets including the refinish automotive aftermarket, industrial, light vehicle or automotive original equipment manufacturers (“OEM”) market, and commercial vehicle market. These products include high performance liquid and powder coatings for motor vehicles OEMs, the motor vehicle aftermarket, and general industrial applications, such as coatings for heavy equipment, pipes, appliances and electrical insulation. Aftermarket coatings products are marketed using the Standox, Spies Hecker, Cromax and Nason brand names. Standox, Spies Hecker and Cromax are focused on the high-end motor vehicle aftermarkets, while Nason is primarily focused on economy coating applications. Axalta is globally operated with manufacturing facilities, sales centers, administrative offices and warehouses located throughout the world. Axalta’s operations are primarily located in the United States, Canada, Brazil, Mexico, Austria, Belgium, Germany, France, the United Kingdom and China. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2014 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | (3) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The consolidated financial statements of Axalta and its subsidiaries and the combined financial statements of DPC have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the financial statements have been included. Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the closing date of the Acquisition and the date of the financial statements and the reported amounts of sales and expenses during the period. The estimates and assumptions include, but are not limited to, receivable and inventory valuations, fixed asset valuations, valuations of goodwill and identifiable intangible assets, including analysis of impairment, valuations of long-term employee benefit obligations, income taxes, environmental matters, litigation, stock-based compensation, restructuring, and allocations of costs. Our estimates are based on historical experience, facts and circumstances available at the time and various other assumptions that are believed to be reasonable. Actual results could differ materially from those estimates. Accounting for Business Combinations We account for business combinations under the acquisition method of accounting. This method requires the recording of acquired assets, including separately identifiable intangible assets and assumed liabilities at their acquisition date fair values. The method records any excess purchase price over the fair value of acquired net assets as goodwill. The determination of the fair value of assets acquired, liabilities assumed, and noncontrolling interests involves assessments of factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the closing date of the Acquisition. When necessary, we consult with external advisors to help determine fair value. For non-observable market values, we determine fair value using acceptable valuation principles (e.g., multiple excess earnings, relief from royalty and cost methods). We included the results of operations from the acquisition date in the financial statements for all businesses acquired. Principles of Consolidation and Combination The consolidated financial statements of the Successor (“the Successor statements”) include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. For those consolidated subsidiaries in which the Company’s ownership is less than 100%, the outside shareholders’ interests are shown as noncontrolling interests. Investments in companies in which Axalta, directly or indirectly, owns 20% to 50% of the voting stock and has the ability to exercise significant influence over operating and financial policies of the investee are accounted for using the equity method of accounting. As a result, Axalta’s share of the earnings or losses of such equity affiliates is included in the accompanying consolidated statement of operations and our share of these companies’ stockholders’ equity is included in the accompanying consolidated balance sheet. The combined financial statements for the Predecessor (“the Predecessor statements”) include the combined assets, liabilities, revenues, and expenses of DPC. We eliminated all intercompany accounts and transactions in the preparation of the accompanying consolidated and combined financial statements. On September 4, 2012, the three partners of the DPC majority-owned DuPont Powder Coatings Saudi Company Ltd. (“DPC Saudi”), a non-US joint venture, signed a new shareholder resolution agreement requiring all partners to unanimously agree to all financial decisions and payments of the business. As a result, DPC concluded that consolidating DPC Saudi was no longer appropriate due to a lack of financial control in the operations of the business. Consequently, DPC deconsolidated the joint venture, and accounted for it under the equity method of accounting in the Predecessor statements. This joint venture investment in DPC Saudi was not an asset acquired from DuPont in the Acquisition. The deconsolidation of DPC Saudi resulted in a loss of $1.0 million for the year ended December 31, 2012, which was recorded in Selling, general and administrative expenses in the combined statement of operations. Revenue Recognition We recognize revenue after completing the earnings process. We recognize revenue for product sales when we ship products to the customer in accordance with the terms of the agreement, when there is persuasive evidence of the arrangement, title and risk of loss have been transferred, collectability is reasonably assured and pricing is fixed or determinable. For a majority of our product sales, title transfers at the shipping point and delivery is considered complete. For certain OEM customers, revenue is recognized at the time the customer applies our coatings to its vehicles, as this represents the point in time that risk of loss has been transferred and delivery is considered complete. We accrue for sales returns and other allowances based on our historical experience. We incur up-front costs in order to obtain contracts with certain customers. During the Successor periods, we capitalized these up-front costs as a component of Other assets. During the Predecessor periods, we capitalized costs as a component of Identifiable intangibles, net. We amortize the related amounts over the estimated life of the contract as a reduction of net sales. We include the amounts billed to customers for shipping and handling fees in net sales and costs incurred for the delivery of goods as cost of goods sold in the statement of operations. Recognition for licensing and royalty income occurs in accordance with agreed upon terms, when performance obligations are satisfied, the amount is fixed or determinable, and collectability is reasonably assured. Other Revenue Other revenue includes various elements of income resulting from the normal operation of our business. Other revenue includes, but is not limited to, income for services provided to customers and royalty income. Cash and Cash Equivalents Cash equivalents represent highly liquid investments with maturities of three months or less from time of purchase. They are carried at cost plus accrued interest, which approximates fair value because of the short-term maturity of these instruments. Cash balances may exceed government insured limits in certain jurisdictions. Fair Value Measurements GAAP defines a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The following valuation techniques are used to measure fair value for assets and liabilities: Level 1—Quoted market prices in active markets for identical assets or liabilities; Level 2—Significant other observable inputs (e.g., quoted prices for similar items in active markets, quoted prices for identical or similar items in markets that are not active, inputs other than quoted prices that are observable such as interest rate and yield curves, and market-corroborated inputs); and Level 3—Unobservable inputs for the asset or liability, which are valued based on management’s estimates of assumptions that market participants would use in pricing the asset or liability. Derivatives and Hedging The Company from time to time utilizes derivatives to manage exposures to currency exchange rates and interest rate risk. The fair values of all derivatives are recognized as assets or liabilities at the balance sheet date. Changes in the fair value of these instruments are reported in income or Accumulated other comprehensive income (“AOCI”), depending on the use of the derivative and whether it qualifies for hedge accounting treatment and is designated as such. Gains and losses on derivatives that qualify and are designated as cash flow hedging instruments are recorded in AOCI, to the extent the hedges are effective, until the underlying transactions are recognized in income. Gains and losses on derivatives qualifying and designated as fair value hedging instruments, as well as the offsetting losses and gains on the hedged items, are reported in income in the same accounting period. Derivatives not designated as hedging instruments are marked-to-market at the end of each accounting period with the results included in income. Cash flows from derivatives are recognized in the consolidated and combined statements of cash flows in a manner consistent with the underlying transactions. Receivables and Allowance for Doubtful Accounts Receivables are recognized net of an allowance for doubtful accounts receivable. The allowance for doubtful accounts receivable reflects the best estimate of losses inherent in the accounts receivable portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other available evidence. Accounts receivable are written down or off when a portion or all of such account receivable is determined to be uncollectible. Inventories Inventories of the Successor are valued at the lower of cost or market with cost being determined on the weighted average cost method. Elements of cost in inventories include: • raw materials, • direct labor, and • manufacturing overhead Stores and supplies are valued at the lower of cost or market; cost is generally determined by the weighted average cost method. Inventories deemed to have costs greater than their respective market values are reduced to net realizable value with a loss recorded in income in the period recognized. Inventories of the Predecessor were valued at the lower of cost or market with cost determined by the last-in, first-out (“LIFO”) method. Property, Plant and Equipment Successor periods Property, plant and equipment of the Successor acquired in the Acquisition were recorded at fair value as of the acquisition date and are depreciated using the straight-line method. Subsequent additions to property, plant and equipment, including the fair value of any asset retirement obligations upon initial recognition of the liability, are recorded at cost and are depreciated using the straight-line method. Software included in property, plant and equipment represents the costs of software developed or obtained for internal use. Software costs are amortized on a straight-line basis over their estimated useful lives. Upgrades and enhancements are capitalized if they result in added functionality, which enables the software to perform tasks it was previously incapable of performing. Software maintenance and training costs are expensed in the period in which they are incurred. Property, plant and equipment acquired in the Acquisition are depreciated over their estimated remaining useful lives. The weighted average estimated remaining useful lives of property, plant and equipment acquired in connection with the Acquisition was approximately 11 years. Subsequent additions are either amortized or depreciated on a straight-line basis over a range of estimated useful lives. See Note 18 for a range of estimated useful lives used for each property, plant and equipment class. Predecessor periods Property, plant and equipment of the Predecessor were carried at cost and were depreciated using the straight-line method. Property, plant and equipment placed in service prior to 1995 were depreciated using the sum-of-the-years’ digits method or other substantially similar methods. Substantially all Predecessor buildings and equipment were depreciated over useful lives ranging from 15 to 25 years. Goodwill and Other Identifiable Intangible Assets Goodwill represents the excess of purchase price over the fair values of underlying net assets acquired in an acquisition. Goodwill and indefinite-lived intangible assets are tested for impairment on an annual basis as of October 1; however, these tests are performed more frequently if events or changes in circumstances indicate that the asset may be impaired. The fair value methodology is based on prices of similar assets or other valuation methodologies including discounted cash flow techniques. When testing goodwill and indefinite-lived intangible assets for impairment, we first have an option to assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (more than 50%) that an impairment exists. Such qualitative factors may include the following: macroeconomic conditions; industry and market considerations; cost factors; overall financial performance; and other relevant entity-specific events. In the event the qualitative assessment indicates that an impairment is more likely than not, we would be required to perform a quantitative impairment test, otherwise no further analysis is required. Under the quantitative goodwill impairment test, the evaluation of impairment involves comparing the current fair value of each reporting unit to its carrying value, including goodwill. If the carrying amount of a reporting unit, including goodwill, exceeds the estimated fair value, then individual assets (including identifiable intangible assets) and liabilities of the reporting unit are estimated at fair value. The excess of the estimated fair value of the reporting unit over the estimated fair value of its net assets would establish the implied value of goodwill. The excess of the recorded amount of goodwill over the implied value is then charged to earnings as an impairment loss. Definite-lived intangible assets, such as technology, trademarks, customer relationships and non-compete agreements are amortized over their estimated useful lives, generally for periods ranging from four to 20 years. The reasonableness of the useful lives of these assets is regularly evaluated. Once these assets are fully amortized, they are removed from the balance sheet. We evaluate these assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets might not be recoverable. Impairment of Long-Lived Assets The carrying value of long-lived assets to be held and used is evaluated when events or changes in circumstances indicate the carrying value may not be recoverable. The carrying value of a long-lived asset is considered impaired when the total projected undiscounted cash flows from the asset are less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset. The fair value methodology used is an estimate of fair market value and is based on prices of similar assets or other valuation methodologies including present value techniques. Long-lived assets to be disposed of other than by sale are classified as held for use until their disposal. Long-lived assets to be disposed of by sale are classified as held for sale and are reported at the lower of carrying amount or fair market value less cost to sell. Depreciation is discontinued for long-lived assets classified as held for sale. Research and Development Research and development costs incurred in the normal course of business consist primarily of employee-related costs and are expensed as incurred. In process research and development projects acquired in a business combination are recorded as intangible assets at their fair value as of the acquisition date. Subsequent costs related to acquired in process research and development projects are expensed as incurred. Research and development intangible assets are considered indefinite-lived until the abandonment or completion of the associated research and development efforts. These indefinite-lived intangible assets are tested for impairment consistent with the impairment testing performed on other indefinite-lived intangible assets discussed above. Upon completion of the research and development process, the carrying value of acquired in process research and development projects is reclassified as a finite-lived asset and is amortized over its useful life. Environmental Liabilities and Expenditures Accruals for environmental matters are recorded when it is probable that a liability has been incurred and the amount of the liability can be reasonably estimated. Accrued environmental liabilities are not discounted. Claims for recovery from third parties, if any, are reflected separately as an asset. We record recoveries at the earlier of when the gain is probable or realized. For the periods ending December 31, 2014, 2013 and 2012, and January 1, 2013 through January 31, 2013, we have not recognized any assets or income associated with recoveries from third parties. Costs related to environmental remediation are charged to expense in the period incurred. Other environmental costs are also charged to expense in the period incurred, unless they increase the value of the property or reduce or prevent contamination from future operations, in which case, they are capitalized and depreciated. Litigation We accrue for liabilities related to litigation matters when available information indicates that the liability is probable and the amount can be reasonably estimated. Legal costs such as outside counsel fees and expenses are charged to expense in the period incurred. Income Taxes Successor periods Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets are also recognized for operating losses and tax credit carry forwards. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates applicable in the years in which they are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax law is recognized in income in the period that includes the enactment date. Where we do not intend to indefinitely reinvest earnings of our foreign subsidiaries, we provide for income taxes and foreign withholding taxes, where applicable, on undistributed earnings. We do not provide for income taxes on undistributed earnings of our foreign subsidiaries that are intended to be indefinitely reinvested. We recognize the benefit of an income tax position only if it is “more likely than not” that the tax position will be sustained. The tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized. Additionally, we recognize interest and penalties accrued related to unrecognized tax benefits as a component of provision for income taxes. The current portion of unrecognized tax benefits is included in “Income taxes payable” and the long-term portion is included in the long-term income tax payable in the consolidated balance sheets. Predecessor periods For all Predecessor periods presented, although DPC was included in the consolidated income tax return of DuPont, DPC’s income taxes are computed and reported under the “separate return method.” Use of the separate return method may result in differences when the sum of the amounts allocated to standalone tax provisions are compared with amounts presented in combined financial statements. In that event, related deferred tax assets and liabilities could be significantly different from those presented herein for the Predecessor periods. Certain tax attributes, e.g., net operating loss carryforwards, which were reflected in the DuPont consolidated financial statements may or may not exist at the standalone DPC level. Foreign Currency Translation Successor periods The reporting currency is the U.S. dollar. In most cases, our non-U.S. based subsidiaries use their local currency as the functional currency for their respective business operations. Assets and liabilities of these operations are translated into U.S. dollars at end-of-period exchange rates; income and expenses are translated using the average exchange rates for the reporting period. Resulting cumulative translation adjustments are recorded as a component of shareholders’ equity in the consolidated balance sheet in Accumulated other comprehensive income (loss). Gains and losses from transactions denominated in currencies other than the functional currencies are included in the consolidated statement of operations in Other expense, net. Predecessor periods The reporting currency is the U.S. dollar. For the Predecessor period, DuPont management determined that the U.S. dollar was the functional currency of DPC’s legal entities and this functional currency was appropriate for the economic environment in which DPC operated during the period covered by the Predecessor combined financial statements. For these legal entities, foreign currency denominated asset and liability amounts were remeasured into U.S. dollars at the end-of-period exchange rates. Nonmonetary assets, such as inventories, prepaid expenses, fixed assets and intangible assets were remeasured into U.S. dollars at historical exchange rates. Foreign currency denominated income and expense elements were remeasured into U.S. dollars at average exchange rates in effect during the year, except for expenses related to nonmonetary assets, which were remeasured at historical exchange rates. Employee Benefits Successor periods In connection with the Acquisition, we assumed certain defined benefit plan obligations and related plan assets for current employees of non-U.S. subsidiaries and certain defined benefit plan obligations and plan assets of former employees of subsidiaries. All defined pension plan obligations for current and former employees in the United States were retained by DuPont. Defined benefit plans specify an amount of pension benefit that an employee will receive upon retirement, usually dependent on factors such as age, years of service and compensation. The net obligation in respect of defined benefit plans is calculated separately for each plan by estimating the amount of the future benefits that employees have earned in return for their service in the current and prior periods. These benefits are then discounted to determine the present value of the obligations and are then adjusted for the impact of any unamortized prior service costs. As required by ASC 805, Business Combinations Predecessor periods Certain of DPC’s employees participated in defined benefit pension and other long-term employee benefit plans (the Plans) accounted for in accordance with ASC 715, Compensation—Retirement Benefits Stock-Based Compensation Successor periods Our stock-based compensation for the Successor period, comprised of Axalta stock options, is measured at fair value on the grant date or date of modification, as applicable. We recognize compensation expense on a graded-vesting attribution basis over the requisite service period. Predecessor periods DuPont maintained certain stock compensation plans for the benefit of certain of its officers, directors and employees, including DPC’s employees in the Predecessor periods. DPC accounted for all share-based payments to employees, including grants of stock options, based upon their fair values. For additional information on our stock-based compensation plan, see Note 11. Earnings per Common Share Basic earnings per common share is computed by dividing net income attributable to Axalta’s common shareholders by the weighted average number of shares outstanding during the period. Diluted earnings per common share is computed by dividing net income attributable to Axalta’s common shareholders by the weighted average number of shares outstanding during the period increased by the number of additional shares that would have been outstanding related to potentially dilutive securities; anti-dilutive securities are excluded from the calculation. These potentially dilutive securities are calculated under the treasury stock method and consist of stock options. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | (5) ACQUISITIONS AND DIVESTITURES Acquisition of DuPont Performance Coatings On August 30, 2012, we entered into a purchase agreement with DuPont whereby, Axalta acquired from DuPont and its affiliates certain assets of DPC and all of the capital stock and other equity interests of certain entities engaged in the DPC business (the “Acquisition Agreement”) pursuant to which we acquired the assets and legal entities of DPC from DuPont for a purchase price of $4,925.9 million plus or minus a working capital adjustment and pension adjustment. Axalta and DuPont finalized the working capital and pension adjustments to the purchase price which resulted in a reduction to the purchase price of $18.6 million to $4,907.3 million. We accounted for the Acquisition as a business combination in accordance with ASC 805, Business Combinations The following table summarizes the fair values of the net assets acquired as of the February 1, 2013 Acquisition date adjusted for measurement period adjustments: February 1, 2013 Measurement February 1, 2013 Cash and cash equivalents $ 79.7 $ — $ 79.7 Accounts and notes receivable—trade 855.8 22.7 878.5 Inventories 673.0 3.0 676.0 Prepaid expenses and other 8.2 (1.3 ) 6.9 Property, plant and equipment 1,707.7 (1.8 ) 1,705.9 Identifiable intangibles 1,539.3 (19.0 ) 1,520.3 Other assets—noncurrent 98.8 19.1 117.9 Accounts payable (409.1 ) (6.9 ) (416.0 ) Other accrued liabilities (232.0 ) 7.5 (224.5 ) Other liabilities (331.1 ) (35.3 ) (366.4 ) Deferred income taxes (312.9 ) 223.2 (89.7 ) Noncontrolling interests (66.7 ) — (66.7 ) Net assets acquired before goodwill on acquisition 3,610.7 211.2 3,821.9 Goodwill on acquisition 1,315.2 (229.8 ) 1,085.4 Net assets acquired $ 4,925.9 $ (18.6 ) $ 4,907.3 The measurement period adjustments reflect new information obtained about facts and circumstances that existed at the closing date of the Acquisition, primarily related to indemnification assets, inventories, other miscellaneous current assets and liabilities, property, plant and equipment, intangible assets, and the related deferred income taxes. No measurement period adjustments had a material impact on the statement of operations or cash flows requiring retrospective application. Goodwill was recognized for the Acquisition as the excess of the purchase price over the net identifiable assets recognized. The Goodwill is primarily attributed to our assembled workforce, corporate and operational synergies and the going concern value of the anticipated future economic benefits associated with DPC being operated as a standalone entity. The goodwill recognized at December 31, 2014 that is expected to be deductible for income tax purposes is $708.0 million. The fair values of intangible assets were estimated using either the income approach, the excess earnings method (customer relationships) or the relief from royalty method (technology and trademarks). Under the excess earnings method, an intangible asset’s fair value is equal to the present value of the incremental after-tax cash flows attributable solely to the intangible asset over its remaining useful life. Under the relief from royalty method, fair value is measured by estimating future revenue associated with the intangible asset over its useful life and applying a royalty rate to the revenue estimate. These intangible assets enable us to develop new products to meet the evolving business needs as well as competitively produce our existing products. The fair value of real properties acquired was based on the consideration of their highest and best use in the market. The fair values of property, plant, and equipment, other than real properties, were based on the consideration that unless otherwise identified, they will continue to be used “as is” and as part of the ongoing business. In contemplation of the in-use premise and the nature of the assets, the fair value was developed primarily using a cost approach. The determination of the fair value of assets acquired and liabilities assumed involves assessing factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the date of the acquisition. The fair value of the noncontrolling interests, related to acquired joint ventures, were estimated by applying an income approach. This fair value measurement is based on significant inputs that are not observable in the market and thus represents a fair value measurement categorized within Level 3 of the fair value hierarchy. Key assumptions included a discount rate, a terminal value based on a range of long-term sustainable growth rates and adjustments because of the lack of control that market participants would consider when measuring the fair value of the noncontrolling interests. The Company was formed on August 24, 2012 for the purpose of consummating the Acquisition of DPC and, consequently has no financial statements as of and for periods prior to that date. Prior to the Acquisition, we generated no revenue and incurred no expenses other than merger and acquisition costs and debt financing costs in anticipation of the Acquisition. We incurred merger and acquisition related costs of $29.0 million which were expensed during the Successor period August 24, 2012 through December 31, 2012 and incurred debt financing costs of $4.6 million which were recorded as Other assets and Other accrued liabilities as of December 31, 2012 (Successor). The $33.6 million of merger and acquisition related costs and debt financing costs incurred were accrued as a component of Other accrued liabilities at December 31, 2012 (Successor). The amounts were paid at closing of the Acquisition with proceeds from the borrowings under the Senior Secured Credit Facilities. The following unaudited supplemental pro forma information presents the financial results as if the acquisition of DPC had occurred at January 1, 2012. This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made at January 1, 2012, nor is it indicative of any future results. Year Ended December 31, (in millions, except per share data) 2013 2012 Net sales $ 4,277.3 $ 4,219.4 Net loss $ (87.1 ) $ (270.1 ) Net loss attributable to controlling interests $ (93.7 ) $ (274.6 ) Earnings per share (Basic and Diluted) $ (0.41 ) $ — The 2013 supplemental pro forma net loss was adjusted to exclude $53.1 million ($43.5 million, net of pro forma income tax impact) of acquisition-related costs incurred in 2013 and $123.1 million ($88.6 million, net of pro forma income tax impact) of non-recurring expense consisting primarily of $103.7 million related to the fair market value adjustment to acquisition-date inventory. The 2012 supplemental pro forma net loss was adjusted to include these charges. Dispositions In September 2014, we completed the sale of a business within the Performance Coatings reportable segment, which primarily included technology that had been developed as an integrated software solution for the collision repair supply chain market. The sale resulted in the receipt of $17.5 million during the year ended December 31, 2014. As a result, we recognized a pre-tax gain on sale of $1.2 million ($0.7 million after tax) recorded within Other expense, net for the year ended December 31, 2014. |
Relationship with DuPont
Relationship with DuPont | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Relationship with DuPont | (8) RELATIONSHIP WITH DUPONT Predecessor Periods Historically, the DPC businesses were managed and operated in the normal course of business with other affiliates of DuPont. Accordingly, certain shared costs were allocated to DPC and reflected as expenses in the standalone Predecessor combined financial statements. Management of DuPont considered the allocation methodologies used to be reasonable and appropriate reflections of the historical DuPont expenses attributable to DPC for purposes of the standalone combined financial statements of DPC; however, the expenses reflected in the Predecessor combined financial statements may not be indicative of the actual expenses that would have been incurred during the periods presented if DPC had operated as a separate, standalone entity. In addition, the expenses reflected in the Predecessor combined financial statements may not be indicative of related expenses that will be incurred in the future by us. Cash Management and Financing Except for its joint ventures, DPC participated in DuPont’s centralized cash management and financing programs. Disbursements were made through centralized accounts payable systems which were operated by DuPont, while cash receipts were transferred to centralized accounts maintained by DuPont. As cash was disbursed and received by DuPont, it was accounted for by DPC through the parent company net investment. All short and long-term debt requirements of the DPC business were financed by DuPont and financing decisions for wholly owned subsidiaries and majority owned joint ventures were determined by DuPont’s central treasury operations. Allocated Corporate Costs The Predecessor combined financial statements include significant transactions with DuPont involving leveraged functional services (such as information systems, accounting, other financial services, purchasing and legal) and general corporate expenses that were provided to DPC by centralized DuPont organizations. Throughout the Predecessor periods covered by the combined financial statements of DPC, the costs of these leveraged functions and services were directly charged or allocated to DPC using methods management believes were reasonable. The methods for directly charging specifically identifiable functions and services to DPC included negotiated usage rates and dedicated employee assignments. The method for allocating shared leveraged functional services to DPC was based on proportionate formulas involving controllable fixed costs and in certain instances was allocated to DPC based on demand. Controllable fixed costs are fixed costs less depreciation and amortization and nonrecurring transactions. The methods for allocating general corporate expenses to DPC were based on revenue. However, the expenses reflected in the Predecessor combined financial statements may not be indicative of the actual expenses that would have been incurred during the periods presented if DPC had operated as a separate, standalone entity. The allocated leveraged functional service expenses and general corporate expenses included in cost of goods sold, selling, general, and administrative expenses and research and development expenses in the Predecessor combined statement of operations were as follows: Predecessor Period from January 31, Year Ended Cost of goods sold $ 14.2 $ 224.7 Selling, general, and administrative expenses 1.4 21.6 Research and development expenses 0.1 2.2 Total $ 15.7 $ 248.5 Allocated leveraged functional service expenses and general corporate expenses are recorded in the Predecessor combined statement of operations as follows: Predecessor Period from Year Ended Leveraged functional services $ 14.2 $ 226.4 General corporate expenses 1.5 22.1 Total $ 15.7 $ 248.5 Shared Sites DPC conducted manufacturing operations at 35 plant sites globally. DPC shared three of these plant sites with other non-DPC DuPont manufacturing operations. Additionally, DPC shared warehouse, sales centers, office space, and research and development facilities with other DuPont businesses. In general, the property, plant, and equipment primarily or exclusively used by DPC for these shared locations are included in the Predecessor combined balance sheet. The full historical cost, accumulated depreciation and depreciation expense for assets at shared manufacturing plant sites and other facilities where DPC was the primary or exclusive user of the assets have been included in the Predecessor combined balance sheet and statement of operations. Accordingly, when the use of a DPC primary asset was shared with a non-DPC DuPont business (manufacturing or otherwise), the cost for the non-DPC usage was deemed to have been charged to the non-DPC business. The amounts credited to cost of goods sold in the Predecessor combined statement of operations for the use of a DPC primary asset by non-DPC businesses, were less than $0.3 million for the Predecessor period from January 1, 2013 through January 31, 2013 and $1.0 million for the Predecessor year ended December 31, 2012. At shared manufacturing plant sites and other facilities where DPC was not the primary or exclusive user of the assets, the assets were excluded from the Predecessor combined balance sheet. Accordingly, where DPC used these shared assets, DPC was deemed to have been charged a cost for its usage of these shared assets by the other DuPont businesses. The amounts charged to the cost of goods sold in the Predecessor combined statement of operations for the DPC usage of the shared assets were less than $0.2 million for the Predecessor period from January 1, 2013 through January 31, 2013 and $0.4 million for the Predecessor year ended December 31, 2012. Purchases from and Sales to Other DuPont Businesses Throughout the Predecessor periods covered by the Predecessor combined financial statements, DPC purchased materials (Titanium Dioxide and DuPont Sontara ® Purchases include the following amounts: Predecessor Period from Year Ended DPC purchases of products from other DuPont businesses $ 7.9 $ 91.7 There were no material sales to other DuPont businesses during the periods covered by the Predecessor combined financial statements. |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2014 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets | (19) OTHER ASSETS Successor Year Ended 2014 2013 Available for sale securities $ 4.5 $ 4.9 Deferred income taxes—non-current 250.0 271.9 Other 219.2 218.3 Total $ 473.7 $ 495.1 |
Accounts Payable
Accounts Payable | 12 Months Ended |
Dec. 31, 2014 | |
Payables and Accruals [Abstract] | |
Accounts Payable | (20) ACCOUNTS PAYABLE Successor Year Ended 2014 2013 Trade payables $ 463.6 $ 428.8 Non-income taxes 21.4 40.5 Other 9.5 9.2 Total $ 494.5 $ 478.5 |
Other Accrued Liabilities
Other Accrued Liabilities | 12 Months Ended |
Dec. 31, 2014 | |
Payables and Accruals [Abstract] | |
Other Accrued Liabilities | (21) OTHER ACCRUED LIABILITIES Successor Year Ended 2014 2013 Compensation and other employee-related costs $ 153.0 $ 168.0 Current portion of long-term employee benefit plans 12.4 13.3 Restructuring 48.5 98.4 Discounts, rebates, and warranties 68.6 65.0 Income taxes payable 20.8 25.1 Derivative liabilities 1.5 1.2 Other 100.0 101.7 Total $ 404.8 $ 472.7 |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | (27) QUARTERLY FINANCIAL INFORMATION (UNAUDITED) The following is a summary of the quarterly results of operations for the Successor years ended December 31, 2014 and 2013, respectively (in millions, except per share data): 2014 March 31 June 30 (b) September 30 (b) December 31 (c) Full Year Total revenue $ 1,054.4 $ 1,134.3 $ 1,115.8 $ 1,087.0 $ 4,391.5 Cost of goods sold 703.5 742.5 728.1 723.1 2,897.2 Net income (loss) (3.7 ) 55.8 (18.3 ) 0.9 34.7 Net income (loss) attributable to controlling interests (4.3 ) 53.8 (19.9 ) (2.2 ) 27.4 Basic net income (loss) per share (0.02 ) 0.23 (0.09 ) (0.01 ) 0.12 Diluted net income (loss) per share (0.02 ) 0.23 (0.09 ) (0.01 ) 0.12 2013 March 31 (a) June 30 (a) September 30 December 31 Full Year Total revenue $ 675.1 $ 1,122.2 $ 1,082.8 $ 1,106.7 $ 3,986.8 Cost of goods sold 539.1 788.5 739.1 706.1 2,772.8 Net income (loss) (156.5 ) (21.8 ) 6.4 (47.0 ) (218.9 ) Net income (loss) attributable to controlling interests (157.8 ) (22.8 ) 5.0 (49.3 ) (224.9 ) Basic net income (loss) per share (0.67 ) (0.10 ) 0.02 (0.22 ) (0.97 ) Diluted net income (loss) per share (0.67 ) (0.10 ) 0.02 (0.22 ) (0.97 ) (a) The Company recorded $72.6 million and $31.1 million of non-cash inventory adjustments associated with the fair value adjustment associated with our acquisition during the three months ended March 31, 2013 and June 30, 2013, respectively. (b) The Company recorded gains of $7.7 million and $7.3 million related to amendments to benefit plans during the three months ended June 30, 2014 and September 30, 2014, respectively. (c) During the three-months ended December 31, 2014, the Company recorded a $13.4 million pre-tax charge associated with the termination of the management agreement with Carlyle Investment Management, L.L.C., upon the completion of the IPO and a cumulative net benefit of $3.8 million ($0.4 million for the full year) associated with the correction of an error originating in prior periods. The Company concluded the error was not material to the current or previously reported periods. Reclassification and revisions During the quarter ended September 30, 2014, the Company identified errors in the determination of the effective interest rate amortization for the Deferred Financing Costs and Original Issue Discounts that were incurred in 2013. The correction of these items impacted the consolidated balance sheet at December 31, 2013, and the consolidated statements of operations, and statements of comprehensive income (loss) for the year ended December 31, 2013. The Company assessed the applicable guidance and concluded that these errors were not material to the Company’s consolidated financial statements for the aforementioned prior periods; however, the Company did conclude that correcting these prior misstatements would be significant to the three and nine-month periods ended September 30, 2014 consolidated statement of operations. The correction had an impact of $3.0 million, $5.1 million, $1.4 million and $2.0 million on Net income (loss) and Net income (loss) attributable to controlling interests in the first, second, third and fourth quarter of 2013, respectively. The correction had an impact of $2.8 million and $2.5 million on Net income (loss) and Net income (loss) attributable to controlling interests in the first and second quarters of 2014, respectively. |
SCHEDULE II - VALUATION AND QUA
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2014 | |
Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS Allowance for Doubtful Accounts for the Successor and Predecessor years ended December 31, 2014 and 2013 and the Predecessor period from January 1, 2013 to January 31, 2013: (in millions) Balance at Charged to Deductions (1) Balance at End Successor 2014 $ 6.5 $ 5.1 $ 1.7 $ 9.9 2013 — 5.4 (1.1 ) 6.5 Predecessor January 1 through January 31, 2013 $ 29.6 $ 0.2 $ (1.1 ) $ 30.9 2012 31.4 5.0 6.8 29.6 (1) Deductions include uncollectible accounts written off and foreign currency translation impact. |
Summary of Significant Accoun39
Summary of Significant Accounting Policies (Policies) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | ||
New Accounting Pronouncements, Policy | Accounting Guidance Issued But Not Yet Adopted In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs” , In February 2015, the FASB issued ASU 2015-02 (Accounting Standard Codification 810), “Consolidation”, which sets forth guidance on accounting for consolidation of certain legal entities. This ASU is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Although early adoption is permitted, we are still in the process of assessing the impact the adoption of this ASU will have on our financial position, results of operations and cash flows. In May 2014, the FASB issued ASU 2014-09 (Accounting Standard Codification 606), “Revenue from Contracts with Customers”, which sets forth the guidance that an entity should use related to revenue recognition. This ASU is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is not permitted. In April 2015 the FASB proposed a one-year delay in the effective date of the new revenue accounting standard to fiscal years beginning after December 15, 2017, and proposed that companies would be allowed to early adopt the guidance as of the original effective date. We are in the process of assessing the impact the adoption of this ASU will have on our financial position, results of operations and cash flows. | Recently Adopted Accounting Guidance In April 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity”, which amended the guidance for reporting discontinued operations and disposals of components of an entity. The amended guidance requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. The amendments also expand the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The amendments are effective prospectively for fiscal years, and interim reporting periods within those years, beginning after December 15, 2014 and early adoption is permitted. We have adopted this guidance as of December 31, 2014. In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income,” issuing changes to the reporting of amounts reclassified out of accumulated other comprehensive income. These changes require an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required to be reclassified in its entirety to net income. For other amounts that are not required to be reclassified in their entirety to net income in the same reporting period, an entity is required to cross-reference other disclosures that provide additional detail about those amounts. These requirements are to be applied to each component of accumulated other comprehensive income. This guidance is effective prospectively for annual reporting periods beginning on or after January 1, 2014, and the interim periods within those annual periods. We have included the additional disclosures requirements within Note 26. Accounting Guidance Issued But Not Yet Adopted In May 2014, the FASB issued ASU 2014-09 (Accounting Standard Codification 606), “Revenue from Contracts with Customers”, which sets forth the guidance that an entity should use related to revenue recognition. This ASU is effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is not permitted. We are in the process of assessing the impact the adoption of this ASU will have on our financial position, results of operations and cash flows. |
Initial Public Offering | Initial Public Offering On November 14, 2014, the Company completed its initial public offering (“IPO”). In the IPO, certain of the Company’s shareholders sold an aggregate of 50,000,000 common shares at a public offering price of $19.50 per share. The underwriters also exercised their over-allotment option and purchased an additional 7,500,000 common shares. The Company did not receive any proceeds from the sale of common shares in the IPO. | |
Basis of Accounting, Policy | The consolidated financial statements of Axalta and its subsidiaries and the combined financial statements of DPC have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the financial statements have been included. | |
Use of Estimates, Policy | Use of Estimates The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the closing date of the Acquisition and the date of the financial statements and the reported amounts of sales and expenses during the period. The estimates and assumptions include, but are not limited to, receivable and inventory valuations, fixed asset valuations, valuations of goodwill and identifiable intangible assets, including analysis of impairment, valuations of long-term employee benefit obligations, income taxes, environmental matters, litigation, stock-based compensation, restructuring, and allocations of costs. Our estimates are based on historical experience, facts and circumstances available at the time and various other assumptions that are believed to be reasonable. Actual results could differ materially from those estimates. | |
Business Combinations Policy | Accounting for Business Combinations We account for business combinations under the acquisition method of accounting. This method requires the recording of acquired assets, including separately identifiable intangible assets and assumed liabilities at their acquisition date fair values. The method records any excess purchase price over the fair value of acquired net assets as goodwill. The determination of the fair value of assets acquired, liabilities assumed, and noncontrolling interests involves assessments of factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the closing date of the Acquisition. When necessary, we consult with external advisors to help determine fair value. For non-observable market values, we determine fair value using acceptable valuation principles (e.g., multiple excess earnings, relief from royalty and cost methods). We included the results of operations from the acquisition date in the financial statements for all businesses acquired. | |
Consolidation, Policy | Principles of Consolidation and Combination The consolidated financial statements of the Successor (“the Successor statements”) include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. For those consolidated subsidiaries in which the Company’s ownership is less than 100%, the outside shareholders’ interests are shown as noncontrolling interests. Investments in companies in which Axalta, directly or indirectly, owns 20% to 50% of the voting stock and has the ability to exercise significant influence over operating and financial policies of the investee are accounted for using the equity method of accounting. As a result, Axalta’s share of the earnings or losses of such equity affiliates is included in the accompanying consolidated statement of operations and our share of these companies’ stockholders’ equity is included in the accompanying consolidated balance sheet. The combined financial statements for the Predecessor (“the Predecessor statements”) include the combined assets, liabilities, revenues, and expenses of DPC. We eliminated all intercompany accounts and transactions in the preparation of the accompanying consolidated and combined financial statements. On September 4, 2012, the three partners of the DPC majority-owned DuPont Powder Coatings Saudi Company Ltd. (“DPC Saudi”), a non-US joint venture, signed a new shareholder resolution agreement requiring all partners to unanimously agree to all financial decisions and payments of the business. As a result, DPC concluded that consolidating DPC Saudi was no longer appropriate due to a lack of financial control in the operations of the business. Consequently, DPC deconsolidated the joint venture, and accounted for it under the equity method of accounting in the Predecessor statements. This joint venture investment in DPC Saudi was not an asset acquired from DuPont in the Acquisition. The deconsolidation of DPC Saudi resulted in a loss of $1.0 million for the year ended December 31, 2012, which was recorded in Selling, general and administrative expenses in the combined statement of operations. | |
Revenue Recognition, Policy | Revenue Recognition We recognize revenue after completing the earnings process. We recognize revenue for product sales when we ship products to the customer in accordance with the terms of the agreement, when there is persuasive evidence of the arrangement, title and risk of loss have been transferred, collectability is reasonably assured and pricing is fixed or determinable. For a majority of our product sales, title transfers at the shipping point and delivery is considered complete. For certain OEM customers, revenue is recognized at the time the customer applies our coatings to its vehicles, as this represents the point in time that risk of loss has been transferred and delivery is considered complete. We accrue for sales returns and other allowances based on our historical experience. We incur up-front costs in order to obtain contracts with certain customers. During the Successor periods, we capitalized these up-front costs as a component of Other assets. During the Predecessor periods, we capitalized costs as a component of Identifiable intangibles, net. We amortize the related amounts over the estimated life of the contract as a reduction of net sales. We include the amounts billed to customers for shipping and handling fees in net sales and costs incurred for the delivery of goods as cost of goods sold in the statement of operations. Recognition for licensing and royalty income occurs in accordance with agreed upon terms, when performance obligations are satisfied, the amount is fixed or determinable, and collectability is reasonably assured. Other Revenue Other revenue includes various elements of income resulting from the normal operation of our business. Other revenue includes, but is not limited to, income for services provided to customers and royalty income. | |
Cash and Cash Equivalents, Policy | Cash and Cash Equivalents Cash equivalents represent highly liquid investments with maturities of three months or less from time of purchase. They are carried at cost plus accrued interest, which approximates fair value because of the short-term maturity of these instruments. Cash balances may exceed government insured limits in certain jurisdictions. | |
Fair Value Measurement, Policy | Fair Value Measurements GAAP defines a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The following valuation techniques are used to measure fair value for assets and liabilities: Level 1—Quoted market prices in active markets for identical assets or liabilities; Level 2—Significant other observable inputs (e.g., quoted prices for similar items in active markets, quoted prices for identical or similar items in markets that are not active, inputs other than quoted prices that are observable such as interest rate and yield curves, and market-corroborated inputs); and Level 3—Unobservable inputs for the asset or liability, which are valued based on management’s estimates of assumptions that market participants would use in pricing the asset or liability. | |
Derivatives, Policy | Derivatives and Hedging The Company from time to time utilizes derivatives to manage exposures to currency exchange rates and interest rate risk. The fair values of all derivatives are recognized as assets or liabilities at the balance sheet date. Changes in the fair value of these instruments are reported in income or Accumulated other comprehensive income (“AOCI”), depending on the use of the derivative and whether it qualifies for hedge accounting treatment and is designated as such. Gains and losses on derivatives that qualify and are designated as cash flow hedging instruments are recorded in AOCI, to the extent the hedges are effective, until the underlying transactions are recognized in income. Gains and losses on derivatives qualifying and designated as fair value hedging instruments, as well as the offsetting losses and gains on the hedged items, are reported in income in the same accounting period. Derivatives not designated as hedging instruments are marked-to-market at the end of each accounting period with the results included in income. Cash flows from derivatives are recognized in the consolidated and combined statements of cash flows in a manner consistent with the underlying transactions. | |
Receivables, Policy | Receivables and Allowance for Doubtful Accounts Receivables are recognized net of an allowance for doubtful accounts receivable. The allowance for doubtful accounts receivable reflects the best estimate of losses inherent in the accounts receivable portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other available evidence. Accounts receivable are written down or off when a portion or all of such account receivable is determined to be uncollectible. | |
Inventory, Policy | Inventories Inventories of the Successor are valued at the lower of cost or market with cost being determined on the weighted average cost method. Elements of cost in inventories include: • raw materials, • direct labor, and • manufacturing overhead Stores and supplies are valued at the lower of cost or market; cost is generally determined by the weighted average cost method. Inventories deemed to have costs greater than their respective market values are reduced to net realizable value with a loss recorded in income in the period recognized. Inventories of the Predecessor were valued at the lower of cost or market with cost determined by the last-in, first-out (“LIFO”) method. | |
Property, Plant and Equipment, Policy | Property, Plant and Equipment Successor periods Property, plant and equipment of the Successor acquired in the Acquisition were recorded at fair value as of the acquisition date and are depreciated using the straight-line method. Subsequent additions to property, plant and equipment, including the fair value of any asset retirement obligations upon initial recognition of the liability, are recorded at cost and are depreciated using the straight-line method. Software included in property, plant and equipment represents the costs of software developed or obtained for internal use. Software costs are amortized on a straight-line basis over their estimated useful lives. Upgrades and enhancements are capitalized if they result in added functionality, which enables the software to perform tasks it was previously incapable of performing. Software maintenance and training costs are expensed in the period in which they are incurred. Property, plant and equipment acquired in the Acquisition are depreciated over their estimated remaining useful lives. The weighted average estimated remaining useful lives of property, plant and equipment acquired in connection with the Acquisition was approximately 11 years. Subsequent additions are either amortized or depreciated on a straight-line basis over a range of estimated useful lives. See Note 18 for a range of estimated useful lives used for each property, plant and equipment class. Predecessor periods Property, plant and equipment of the Predecessor were carried at cost and were depreciated using the straight-line method. Property, plant and equipment placed in service prior to 1995 were depreciated using the sum-of-the-years’ digits method or other substantially similar methods. Substantially all Predecessor buildings and equipment were depreciated over useful lives ranging from 15 to 25 years. | |
Goodwill and Intangible Assets, Policy | Goodwill and Other Identifiable Intangible Assets Goodwill represents the excess of purchase price over the fair values of underlying net assets acquired in an acquisition. Goodwill and indefinite-lived intangible assets are tested for impairment on an annual basis as of October 1; however, these tests are performed more frequently if events or changes in circumstances indicate that the asset may be impaired. The fair value methodology is based on prices of similar assets or other valuation methodologies including discounted cash flow techniques. When testing goodwill and indefinite-lived intangible assets for impairment, we first have an option to assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (more than 50%) that an impairment exists. Such qualitative factors may include the following: macroeconomic conditions; industry and market considerations; cost factors; overall financial performance; and other relevant entity-specific events. In the event the qualitative assessment indicates that an impairment is more likely than not, we would be required to perform a quantitative impairment test, otherwise no further analysis is required. Under the quantitative goodwill impairment test, the evaluation of impairment involves comparing the current fair value of each reporting unit to its carrying value, including goodwill. If the carrying amount of a reporting unit, including goodwill, exceeds the estimated fair value, then individual assets (including identifiable intangible assets) and liabilities of the reporting unit are estimated at fair value. The excess of the estimated fair value of the reporting unit over the estimated fair value of its net assets would establish the implied value of goodwill. The excess of the recorded amount of goodwill over the implied value is then charged to earnings as an impairment loss. Definite-lived intangible assets, such as technology, trademarks, customer relationships and non-compete agreements are amortized over their estimated useful lives, generally for periods ranging from four to 20 years. The reasonableness of the useful lives of these assets is regularly evaluated. Once these assets are fully amortized, they are removed from the balance sheet. We evaluate these assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets might not be recoverable. | |
Impairment or Disposal of Long-Lived Assets, Policy | Impairment of Long-Lived Assets The carrying value of long-lived assets to be held and used is evaluated when events or changes in circumstances indicate the carrying value may not be recoverable. The carrying value of a long-lived asset is considered impaired when the total projected undiscounted cash flows from the asset are less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset. The fair value methodology used is an estimate of fair market value and is based on prices of similar assets or other valuation methodologies including present value techniques. Long-lived assets to be disposed of other than by sale are classified as held for use until their disposal. Long-lived assets to be disposed of by sale are classified as held for sale and are reported at the lower of carrying amount or fair market value less cost to sell. Depreciation is discontinued for long-lived assets classified as held for sale. | |
Research, Development, and Computer Software, Policy | Research and Development Research and development costs incurred in the normal course of business consist primarily of employee-related costs and are expensed as incurred. In process research and development projects acquired in a business combination are recorded as intangible assets at their fair value as of the acquisition date. Subsequent costs related to acquired in process research and development projects are expensed as incurred. Research and development intangible assets are considered indefinite-lived until the abandonment or completion of the associated research and development efforts. These indefinite-lived intangible assets are tested for impairment consistent with the impairment testing performed on other indefinite-lived intangible assets discussed above. Upon completion of the research and development process, the carrying value of acquired in process research and development projects is reclassified as a finite-lived asset and is amortized over its useful life. | |
Environmental Costs, Policy | Environmental Liabilities and Expenditures Accruals for environmental matters are recorded when it is probable that a liability has been incurred and the amount of the liability can be reasonably estimated. Accrued environmental liabilities are not discounted. Claims for recovery from third parties, if any, are reflected separately as an asset. We record recoveries at the earlier of when the gain is probable or realized. For the periods ending December 31, 2014, 2013 and 2012, and January 1, 2013 through January 31, 2013, we have not recognized any assets or income associated with recoveries from third parties. Costs related to environmental remediation are charged to expense in the period incurred. Other environmental costs are also charged to expense in the period incurred, unless they increase the value of the property or reduce or prevent contamination from future operations, in which case, they are capitalized and depreciated. | |
Commitments and Contingencies, Policy | Litigation We accrue for liabilities related to litigation matters when available information indicates that the liability is probable and the amount can be reasonably estimated. Legal costs such as outside counsel fees and expenses are charged to expense in the period incurred. | |
Income Tax, Policy | Income Taxes Successor periods Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets are also recognized for operating losses and tax credit carry forwards. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates applicable in the years in which they are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax law is recognized in income in the period that includes the enactment date. Where we do not intend to indefinitely reinvest earnings of our foreign subsidiaries, we provide for income taxes and foreign withholding taxes, where applicable, on undistributed earnings. We do not provide for income taxes on undistributed earnings of our foreign subsidiaries that are intended to be indefinitely reinvested. We recognize the benefit of an income tax position only if it is “more likely than not” that the tax position will be sustained. The tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized. Additionally, we recognize interest and penalties accrued related to unrecognized tax benefits as a component of provision for income taxes. The current portion of unrecognized tax benefits is included in “Income taxes payable” and the long-term portion is included in the long-term income tax payable in the consolidated balance sheets. Predecessor periods For all Predecessor periods presented, although DPC was included in the consolidated income tax return of DuPont, DPC’s income taxes are computed and reported under the “separate return method.” Use of the separate return method may result in differences when the sum of the amounts allocated to standalone tax provisions are compared with amounts presented in combined financial statements. In that event, related deferred tax assets and liabilities could be significantly different from those presented herein for the Predecessor periods. Certain tax attributes, e.g., net operating loss carryforwards, which were reflected in the DuPont consolidated financial statements may or may not exist at the standalone DPC level. | |
Foreign Currency Transactions and Translations Policy | Foreign Currency Translation Successor periods The reporting currency is the U.S. dollar. In most cases, our non-U.S. based subsidiaries use their local currency as the functional currency for their respective business operations. Assets and liabilities of these operations are translated into U.S. dollars at end-of-period exchange rates; income and expenses are translated using the average exchange rates for the reporting period. Resulting cumulative translation adjustments are recorded as a component of shareholders’ equity in the consolidated balance sheet in Accumulated other comprehensive income (loss). Gains and losses from transactions denominated in currencies other than the functional currencies are included in the consolidated statement of operations in Other expense, net. Predecessor periods The reporting currency is the U.S. dollar. For the Predecessor period, DuPont management determined that the U.S. dollar was the functional currency of DPC’s legal entities and this functional currency was appropriate for the economic environment in which DPC operated during the period covered by the Predecessor combined financial statements. For these legal entities, foreign currency denominated asset and liability amounts were remeasured into U.S. dollars at the end-of-period exchange rates. Nonmonetary assets, such as inventories, prepaid expenses, fixed assets and intangible assets were remeasured into U.S. dollars at historical exchange rates. Foreign currency denominated income and expense elements were remeasured into U.S. dollars at average exchange rates in effect during the year, except for expenses related to nonmonetary assets, which were remeasured at historical exchange rates. | |
Pension and Other Postretirement Plans, Pensions, Policy | Employee Benefits Successor periods In connection with the Acquisition, we assumed certain defined benefit plan obligations and related plan assets for current employees of non-U.S. subsidiaries and certain defined benefit plan obligations and plan assets of former employees of subsidiaries. All defined pension plan obligations for current and former employees in the United States were retained by DuPont. Defined benefit plans specify an amount of pension benefit that an employee will receive upon retirement, usually dependent on factors such as age, years of service and compensation. The net obligation in respect of defined benefit plans is calculated separately for each plan by estimating the amount of the future benefits that employees have earned in return for their service in the current and prior periods. These benefits are then discounted to determine the present value of the obligations and are then adjusted for the impact of any unamortized prior service costs. As required by ASC 805, Business Combinations Predecessor periods Certain of DPC’s employees participated in defined benefit pension and other long-term employee benefit plans (the Plans) accounted for in accordance with ASC 715, Compensation—Retirement Benefits | |
Share-based Compensation, Option and Incentive Plans Policy | Stock-Based Compensation Successor periods Our stock-based compensation for the Successor period, comprised of Axalta stock options, is measured at fair value on the grant date or date of modification, as applicable. We recognize compensation expense on a graded-vesting attribution basis over the requisite service period. Predecessor periods DuPont maintained certain stock compensation plans for the benefit of certain of its officers, directors and employees, including DPC’s employees in the Predecessor periods. DPC accounted for all share-based payments to employees, including grants of stock options, based upon their fair values. For additional information on our stock-based compensation plan, see Note 11. | |
Earnings Per Share, Policy | Earnings per Common Share Basic earnings per common share is computed by dividing net income attributable to Axalta’s common shareholders by the weighted average number of shares outstanding during the period. Diluted earnings per common share is computed by dividing net income attributable to Axalta’s common shareholders by the weighted average number of shares outstanding during the period increased by the number of additional shares that would have been outstanding related to potentially dilutive securities; anti-dilutive securities are excluded from the calculation. These potentially dilutive securities are calculated under the treasury stock method and consist of stock options. |
Goodwill and Identifiable Int40
Goodwill and Identifiable Intangible Assets (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Schedule of Goodwill | The following table shows changes in the carrying amount of goodwill from December 31, 2014 to March 31, 2015 by reportable segment: Performance Coatings Transportation Coatings Total At December 31, 2014 $ 933.6 $ 67.5 1,001.1 Goodwill from acquisition 12.5 — 12.5 Foreign currency translation (90.3 ) (6.5 ) (96.8 ) March 31, 2015 $ 855.8 $ 61.0 $ 916.8 | The following table shows changes in the carrying amount of goodwill for the Successor years ended December 31, 2014 and 2013 by reportable segment: Performance Transportation Total At January 1, 2013 $ — $ — $ — Goodwill resulting from Acquisition 1,012.5 72.9 1,085.4 Foreign currency translation 26.3 1.9 28.2 At December 31, 2013 $ 1,038.8 $ 74.8 $ 1,113.6 Purchase accounting adjustments 5.7 0.4 6.1 Divestitures (4.7 ) — (4.7 ) Foreign currency translation (106.2 ) (7.7 ) (113.9 ) December 31, 2014 $ 933.6 $ 67.5 $ 1,001.1 |
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class | The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class: March 31, 2015 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted amortization Technology $ 411.8 $ (86.5 ) $ 325.3 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.9 (6.2 ) 35.7 14.8 Customer relationships 676.9 (76.5 ) 600.4 19.4 Non-compete agreements 1.9 (0.9 ) 1.0 4.6 Total $ 1,416.9 $ (170.1 ) $ 1,246.8 December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted average amortization Technology $ 411.8 $ (76.3 ) $ 335.5 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.8 (5.5 ) 36.3 14.8 Customer relationships 713.9 (71.3 ) 642.6 19.4 Non-compete agreements 2.0 (0.8 ) 1.2 4.6 Total $ 1,453.9 $ (153.9 ) $ 1,300.0 | The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class: December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted average amortization periods (years) Technology $ 411.8 $ (76.3 ) $ 335.5 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.8 (5.5 ) 36.3 14.8 Customer relationships 713.9 (71.3 ) 642.6 19.4 Non-compete agreements 2.0 (0.8 ) 1.2 4.6 Total $ 1,453.9 $ (153.9 ) $ 1,300.0 December 31, 2013 Gross Carrying Amount Accumulated Amortization Net Book Value Weighted average amortization Technology $ 425.2 $ (37.3 ) $ 387.9 10.0 Trademarks—indefinite-lived 284.4 — 284.4 Indefinite Trademarks—definite-lived 41.7 (2.6 ) 39.1 14.8 Customer relationships 761.9 (34.9 ) 727.0 19.4 Non-compete agreements 1.5 (0.3 ) 1.2 4.0 Total $ 1,514.7 $ (75.1 ) $ 1,439.6 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2015 and each of the succeeding four years is: Remainder of 2015 $ 59.7 2016 $ 79.6 2017 $ 79.2 2018 $ 79.2 2019 $ 79.2 | The estimated amortization expense related to the fair value of acquired intangible assets for each of the succeeding five years is: 2015 $ 81.6 2016 $ 81.6 2017 $ 81.1 2018 $ 81.0 2019 $ 81.0 |
In Process Research and Development [Member] | ||
Schedule of Finite-Lived Intangible Assets | Activity related to in process research and development projects for the three months ended March 31, 2015 was: In Process Research and Development Activity Balance at December 31, 2014 $ 5.2 Completed (1.5 ) Abandoned — Balance at March 31, 2015 $ 3.7 | Activity related to in process research and development projects for the successor years ended December 31, 2013 and 2014: In Process Research and Development Activity Balance at February 1, 2013 $ 25.4 Completed (6.5 ) Abandoned (3.2 ) Balance at December 31, 2013 $ 15.7 Completed (10.4 ) Abandoned (0.1 ) Balance at December 31, 2014 $ 5.2 |
Predecessor [Member] | ||
Schedule of Goodwill | The following table shows changes in the carrying amount of goodwill for the Predecessor year ended December 31, 2012 and the Predecessor period from January 1, 2013 to January 31, 2013 by reportable segment: Performance Transportation Total At January 1, 2012 $ 517.9 $ 70.9 $ 588.8 Foreign currency translation — — — December 31, 2012 $ 517.9 $ 70.9 $ 588.8 Foreign currency translation — — — January 31, 2013 $ 517.9 $ 70.9 $ 588.8 |
Restructuring (Tables)
Restructuring (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Restructuring and Related Activities [Abstract] | ||
Restructuring and Related Costs | The following table summarizes the activities related to the restructuring reserves, recorded within other accrued liabilities, and expenses from December 31, 2014 to March 31, 2015: 2015 Activity Balance at December 31, 2014 $ 48.5 Expense Recorded 2.2 Payments Made (14.0 ) Foreign Currency Changes (5.0 ) Balance at March 31, 2015 $ 31.7 | The following tables summarize the activities related to the restructuring reserves, recorded within other accrued liabilities, and expenses for the Successor years ended December 31, 2013 and 2014: 2013 Activity Balance at February 1, 2013 (At acquisition date) $ 0.5 Expense recorded 120.7 Payments (23.7 ) Foreign currency translation 0.9 Balance at December 31, 2013 $ 98.4 2014 Activity Balance at December 31, 2013 $ 98.4 Expense Recorded 8.5 Payments Made (51.6 ) Foreign Currency Changes (6.8 ) Balance at December 31, 2014 $ 48.5 |
Long-term Employee Benefits (Ta
Long-term Employee Benefits (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | ||
Schedule of Net Benefit Costs | The following table sets forth the components of net periodic benefit (gain) cost for the three months ended March 31, 2015 and 2014. Pension Benefits Three Months Ended March 31, 2015 2014 Components of net periodic benefit cost: Net periodic benefit cost: Service cost $ 3.1 $ 4.6 Interest cost 4.6 6.0 Expected return on plan assets (3.7 ) (3.7 ) Amortization of actuarial (gain) loss, net 0.3 (0.1 ) Amortization of prior service credit, net (0.1 ) — Net periodic benefit cost $ 4.2 $ 6.8 Other Long-Term Employee Benefits Three Months Ended March 31, 2015 2014 Components of net periodic benefit (gain) cost: Net periodic benefit (gain) cost: Service cost $ — $ — Interest cost — 0.1 Amortization of prior service credit (0.9 ) — Net periodic benefit (gain) cost $ (0.9 ) $ 0.1 | The following table sets forth the components of net periodic benefit costs for the Successor years ended December 31, 2014 and 2013 and the Predecessor year ended December 31, 2012. Pension Benefits Successor Predecessor Year Ended Period from August 24, 2012 through December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Components of net periodic benefit cost and amounts recognized in other comprehensive (income) loss: Net periodic benefit (credit) cost: Service cost $ 15.4 $ 17.0 $ — $ 1.6 $ 14.8 Interest cost 22.9 21.2 — 1.8 22.0 Expected return on plan assets (14.8 ) (11.9 ) — (1.9 ) (18.4 ) Amortization of actuarial (gain) loss, net (0.3 ) — — 1.1 5.2 Amortization of prior service cost — — — — 0.2 Curtailment gain (7.3 ) — — — — Settlement loss 0.1 — — — 3.9 Net periodic benefit cost 16.0 26.3 — 2.6 27.7 Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: Net actuarial (gain) loss, net 60.6 (10.6 ) — — 112.7 Amortization of actuarial gain (loss), net 0.3 — — (1.1 ) (5.2 ) Prior service benefit (4.3 ) (0.4 ) — — (0.3 ) Amortization of prior service cost — — — — (0.2 ) Curtailment gain 7.3 — — — — Settlement loss (0.1 ) — — — (3.9 ) Net translation adjustment (4.9 ) 0.6 — — — Total (gain) loss recognized in other comprehensive income 58.9 (10.4 ) — (1.1 ) 103.1 Total recognized in net periodic benefit cost and other comprehensive (income) loss $ 74.9 $ 15.9 $ — $ 1.5 $ 130.8 Other Long-Term Employee Benefits Successor Predecessor Year Ended Period from August 24, 2012 through December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Components of net periodic benefit cost and amounts recognized in other comprehensive (income) loss: Net periodic benefit credit cost: Service cost $ 0.1 $ 0.2 $ — $ — $ 0.3 Interest cost 0.1 0.2 — — 0.5 Amortization of actuarial loss, net 0.1 — — — — Amortization of prior service cost (benefit) (1.4 ) — — — 0.2 Net periodic benefit cost (1.1 ) 0.4 — — 1.0 Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: Net actuarial (gain) loss (4.6 ) (0.7 ) — — 2.7 Amortization of actuarial gain (loss) (0.1 ) — — — — Prior service benefit — — — — (5.9 ) Amortization of prior service benefit (cost) 1.4 — — — (0.2 ) Net translation adjustment — 0.1 — — — Total (gain) loss recognized in other comprehensive income (3.3 ) (0.6 ) — — (3.4 ) Total recognized in net periodic benefit cost and other comprehensive income $ (4.4 ) $ (0.2 ) $ — $ — $ (2.4 ) |
Schedule of Multiemployer Plans | The following table presents pension expense allocated by DuPont to DPC for DuPont’s significant plans in which DPC participated. Predecessor Plan Name EIN/ January 1, 2013 through January 31, 2013 Year Ended December 31, 2012 DuPont Pension and Retirement Plan 51-0014090/001 $ 4.2 $ 40.6 All Other Plans $ 0.7 $ 16.7 | |
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets | The following table sets forth the changes to the projected benefit obligations (“PBO”) and plan assets for the Successor year ended December 31, 2014 and 2013 and the funded status and amounts recognized in the accompanying consolidated balance sheets at December 31, 2014 and 2013 for the Company’s defined benefit pension and other long-term benefit plans: Defined Benefits Other Long-Term Employee Benefits Successor Successor Year Ended December 31, Year Ended December 31, Obligations and Funded Status 2014 2013 2014 2013 Change in benefit obligation: Projected benefit obligation at beginning of year $ 603.0 $ — $ 4.6 $ — Fair value of assumed obligation at Acquisition date — 579.5 — 5.2 Service cost 15.4 17.0 0.1 0.2 Interest cost 22.9 21.2 0.1 0.2 Participant contributions 1.0 1.0 — — Actuarial losses (gains)—net 85.8 (5.8 ) 1.1 (0.7 ) Plan curtailments and settlements (16.3 ) (1.4 ) — — Benefits paid (30.1 ) (20.7 ) — — Amendments (4.3 ) (0.4 ) (5.7 ) — Currency translation adjustment (64.3 ) 12.6 (0.1 ) (0.3 ) Projected benefit obligation at end of year 613.1 603.0 0.1 4.6 Change in plan assets: Fair value of plan assets at beginning of year 281.3 — — — Fair value of plan assets at Acquisition date — 250.7 — — Actual return on plan assets 26.5 16.0 — — Employer contributions 40.9 28.6 — — Participant contributions 1.0 1.0 — — Benefits paid (30.1 ) (20.7 ) — — Settlements (2.7 ) (0.6 ) — — Currency translation adjustment (22.4 ) 6.3 — — Fair value of plan assets at end of year 294.5 281.3 — — Funded status, net $ (318.6 ) $ (321.7 ) $ (0.1 ) $ (4.6 ) Amounts recognized in the consolidated balance sheets consist of: Other assets $ 0.1 $ 0.2 $ — $ — Other accrued liabilities (12.4 ) (13.3 ) — — Accrued pension and other long-term employee benefits (306.3 ) (308.6 ) (0.1 ) (4.6 ) Net amount recognized $ (318.6 ) $ (321.7 ) $ (0.1 ) $ (4.6 ) | |
Schedule of Accumulated and Projected Benefit Obligations | The following table reflects the ABO for all defined benefit pension plans as of December 31, 2014 and 2013. Further, the table reflects the aggregate PBO, ABO and fair value of plan assets for pension plans with PBO in excess of plan assets and for pension plans with ABO in excess of plan assets. Successor Year Ended December 31, 2014 2013 ABO $ 559.4 $ 541.5 Plans with PBO in excess of plan assets: PBO $ 606.2 $ 595.7 ABO $ 553.2 $ 534.9 Fair value plan assets $ 287.5 $ 273.8 Plans with ABO in excess of plan assets: PBO $ 602.0 $ 537.8 ABO $ 550.9 $ 488.9 Fair value plan assets $ 285.1 $ 227.2 | |
Schedule of Net Periodic Benefit Cost Not yet Recognized | The pretax amounts not yet reflected in net periodic benefit cost and included in Accumulated other comprehensive income (loss) include the following: Defined Benefits: Successor Year Ended December 31, 2014 2013 Accumulated net actuarial gains (losses) $ (52.6 ) $ 10.0 Accumulated prior service (cost) credit 4.3 0.4 Total $ (48.3 ) $ 10.4 Other Long-Term Employee Benefits: Successor Year Ended December 31, 2014 2013 Accumulated net actuarial gains (losses) $ (0.4 ) $ 0.6 Accumulated prior service (cost) credit 4.1 — Total $ 3.7 $ 0.6 | |
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year | The estimated pre-tax amounts that are expected to be amortized from Accumulated other comprehensive income (loss) into net periodic benefit cost during 2015 for the defined benefit plans and other long-term employee benefit plans is as follows: 2015 Defined Benefits Other Long-Term Employee Benefits Amortization of net actuarial gains (losses) $ (1.1 ) $ — Amortization of prior service (cost) credit 0.3 4.1 Total $ (0.8 ) $ 4.1 | |
Schedule of Assumptions Used | We used the following assumptions in determining the benefit obligations and net periodic benefit cost: Successor Predecessor 2014 2013 2012 Defined benefits Weighted-average assumptions: Discount rate to determine benefit obligations 3.23 % 4.11 % 3.38 % Discount rate to determine net cost 4.11 % 4.15 % 4.73 % Rate of future compensation increases to determine benefit obligation 3.57 % 3.52 % 3.16 % Rate of future compensation increases to determine net cost 3.52 % 3.69 % 3.33 % Rate of return on plan assets to determine net cost 5.23 % 5.22 % 7.71 % Successor Predecessor 2014 2013 2012 Other Long-Term Employee benefits Weighted-average assumptions: Discount rate to determine benefit obligations 1.50 % 4.80 % 4.86 % Discount rate to determine net cost 4.80 % 4.20 % 7.28 % Rate of future compensation increases to determine benefit obligations — — 3.00 % Rate of future compensation increases to determine net cost — — 4.00 % | |
Schedule of Expected Benefit Payments | The following reflects the total benefit payments expected to be paid for defined benefits: Year ended December 31, Benefits 2015 $ 34.8 2016 $ 27.1 2017 $ 29.8 2018 $ 31.0 2019 $ 37.6 2020—2024 $ 180.3 The following reflects the total benefit payments expected to be paid for other long-term employee benefits: Year ended December 31, Benefits 2015 $ — 2016 $ 0.1 2017 $ — 2018 $ — 2019 $ — 2020—2024 $ — | |
Schedule of Allocation of Plan Assets | The table below summarizes the weighted average target pension plan asset allocation at December 31 for all Axalta defined benefit plans. Asset Category 2014 2013 Target Allocation Equity securities 35-40 % 35-40 % 35-40 % Debt securities 35-40 % 35-40 % 35-40 % Real estate 0-1 % 0-1 % 0-1 % Other 20-25 % 20-25 % 20-25 % The table below presents the fair values of the defined benefit pension plan assets by level within the fair value hierarchy, as described in Note 3, at December 31, 2014 and 2013, respectively. Fair value measurements at December 31, 2014 Total Level 1 Level 2 Level 3 Asset Category: Cash and cash equivalents $ 4.4 $ 4.4 $ — $ — U.S. equity securities 16.1 16.1 — — Non-U.S. equity securities 79.2 78.7 0.4 0.1 Debt—government issued 36.9 36.3 0.6 — Debt—corporate issued 55.3 53.0 — 2.3 Hedge Funds 0.2 0.1 0.1 — Private market securities 63.2 0.1 0.1 63.0 Real estate 0.4 — — 0.4 255.7 $ 188.7 $ 1.2 $ 65.8 Pension trust receivables 38.8 Total $ 294.5 Fair value measurements at December 31, 2013 Total Level 1 Level 2 Level 3 Asset Category: Cash and cash equivalents $ 6.7 $ 6.7 $ — $ — U.S. equity securities 13.6 13.2 0.4 — Non-U.S. equity securities 71.3 70.8 0.5 — Debt—government issued 34.4 34.4 — — Debt—corporate issued 52.2 49.3 2.9 — Hedge Funds 0.4 0.2 0.2 — Private market securities 59.5 — 0.2 59.3 Real estate 0.3 — — 0.3 238.4 $ 174.6 $ 4.2 $ 59.6 Pension trust receivables 42.9 Total $ 281.3 | |
Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets [Table Text Block] | The tables below present a roll forward of activity for these assets for the years ended December 31, 2014 and 2013. Level 3 assets Total Private market securities Debt and Real estate Ending balance at December 31, 2012 $ 12.2 $ 10.5 $ — $ 1.7 Realized (loss) (0.1 ) — — (0.1 ) Change in unrealized gain 0.2 0.2 — — Purchases, sales, issues and settlements 45.6 46.9 — (1.3 ) Transfers in/(out) of Level 3 1.7 1.7 — — Ending balance at December 31, 2013 $ 59.6 $ 59.3 $ — $ 0.3 Realized (loss) — — — — Change in unrealized gain 0.2 — — 0.2 Purchases, sales, issues and settlements 6.0 3.7 2.4 (0.1 ) Transfers in/(out) of Level 3 — — — — Ending balance at December 31, 2014 $ 65.8 $ 63.0 $ 2.4 $ 0.4 |
Other Expense, Net (Tables)
Other Expense, Net (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Other Income and Expenses [Abstract] | ||
Schedule of Other Nonoperating Income (Expense) | Three Months Ended March 31, 2015 2014 Exchange losses, net $ 8.7 $ 0.1 Management fees and expenses — 0.8 Other (income) expense (4.8 ) 3.6 Total $ 3.9 $ 4.5 | Successor Predecessor Year Ended Period from August 24, 2012 December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Exchange losses, net $ 81.2 $ 48.9 $ — $ 4.5 $ 17.7 Management fees and expenses 16.6 3.1 — — — Other 17.2 (3.5 ) — 0.5 (1.4 ) Total $ 115.0 $ 48.5 $ — $ 5.0 $ 16.3 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | ||
Schedule of Effective Income Tax Rate Reconciliation | Our effective income tax rates for the three months ended March 31, 2015 and March 31, 2014 are as follows: Three Months Ended March 31, 2015 2014 Effective Tax Rate 2.5 % 144.6 % | Reconciliation to US Statutory Rate Successor Predecessor Year Ended Year Ended Period from August 24, 2012 through December 31, 2012 Period from January 1 2013 through January 31, 2013 Year Ended December 31, 2012 Statutory U.S. federal income tax / rate (1) $ 12.9 35.0 % $ (92.3 ) 35.0 % $ (10.1 ) 35.0 % $ 5.5 35.0 % $ 137.6 35.0 % Foreign income taxed at rates other than 35% (46.7 ) (127.0 ) (36.6 ) 13.9 10.1 (35.0 ) 1.0 6.6 (10.9 ) (2.8 ) Changes in valuation allowances 44.4 120.9 55.0 (20.9 ) — — 1.4 8.9 9.8 2.5 Foreign exchange (gain) loss 8.7 23.7 8.7 (3.3 ) — — 0.5 3.1 4.7 1.2 Unrecognized tax benefits (2) (44.0 ) (119.7 ) 35.1 (13.2 ) — — — — — — Withholding taxes, net (0.3 ) (0.8 ) 8.3 (3.2 ) — — — — — — Non-deductible interest 15.4 41.9 6.4 (2.4 ) — — — — — — Non-deductible expenses 14.2 38.6 19.4 (7.4 ) — — — — — — Tax credits (3.6 ) (9.8 ) (1.0 ) 0.4 — — — — — — Capital loss (3) — — (46.7 ) 17.7 — — — — — — Other—net 1.1 2.9 (1.1 ) 0.4 — — (1.3 ) (8.0 ) 4.0 1.1 Total income tax (benefit)/ effective tax rate $ 2.1 5.7 % $ (44.8 ) 17.0 % $ — — $ 7.1 45.6 % $ 145.2 37.0 % (1) The U.S. statutory rate has been used as management believes it is more meaningful to the Company. (2) Within this amount, the Company released and recorded an unrecognized tax benefit of $21.1 million related to non-deductible interest and debt acquisition costs in 2014 and 2013. These adjustments were fully offset by changes in the valuation allowance. (3) In 2013, the Company recognized a tax benefit of $46.7 million related to a capital loss, which is fully offset by a $46.7 million increase to the valuation allowance. |
Schedule of Income before Income Tax, Domestic and Foreign | Domestic and Foreign Components of Income (Loss) Before Income Taxes Successor Predecessor Year Ended Period from August 24, 2012 December 31, Period from January 1, 2013 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 Domestic $ (8.8 ) $ (153.8 ) $ — $ (1.5 ) $ 82.8 Foreign 45.6 (109.9 ) (29.0 ) 17.1 310.2 Total $ 36.8 $ (263.7 ) $ (29.0 ) $ 15.6 $ 393.0 | |
Schedule of Components of Income Tax Expense (Benefit) | Provision (Benefit) for Income Taxes Successor Year Ended December 31, Year Ended December 31, Period from August 24, 2012 through December 31, 2012 Current Deferred Total Current Deferred Total Current Deferred Total U.S. Federal $ — $ (2.1 ) $ (2.1 ) $ — $ (43.7 ) $ (43.7 ) $ — $ — $ — State 2.0 (2.9 ) (0.9 ) 2.3 (2.5 ) (0.2 ) — — — Foreign 38.3 (33.2 ) 5.1 73.7 (74.6 ) (0.9 ) — — — Total $ 40.3 $ (38.2 ) $ 2.1 $ 76.0 $ (120.8 ) $ (44.8 ) $ — $ — $ — Predecessor Period from January 1, 2013 Year Ended December 31, 2012 Current Deferred Total Current Deferred Total U.S. Federal $ (8.8 ) $ 7.0 $ (1.8 ) $ 30.9 $ (4.5 ) $ 26.4 State 0.1 (0.2 ) (0.1 ) 6.6 (0.4 ) 6.2 Foreign 6.7 2.3 9.0 98.6 14.0 112.6 Total $ (2.0 ) $ 9.1 $ 7.1 $ 136.1 $ 9.1 $ 145.2 | |
Schedule of Deferred Tax Assets and Liabilities | Deferred Tax Balances Successor Year Ended 2014 2013 Deferred tax asset Tax loss and credit carryforwards $ 185.6 $ 111.7 Goodwill and intangibles 90.8 89.4 Compensation & employee benefits 92.4 79.1 Accruals & other reserves 58.0 40.5 Interest expense 13.4 8.6 Total deferred tax assets 440.2 329.3 Less: Valuation allowance (101.9 ) (63.4 ) Net, deferred tax assets 338.3 265.9 Deferred tax liabilities Inventory (3.0 ) (1.3 ) Property, Plant & Equipment (215.0 ) (218.5 ) Accounts Receivable & Other Assets (2.5 ) (8.4 ) Equity Investment & Other Securities (2.2 ) (5.8 ) Unremitted earnings (8.5 ) (15.9 ) Long-Term Debt (8.1 ) — Total deferred tax liabilities (239.3 ) (249.9 ) Net deferred tax asset/(liability) $ 99.0 $ 16.0 Current asset $ 64.5 $ 30.0 Current liability (7.3 ) (5.5 ) Non-current assets 250.0 271.9 Non-current liability (208.2 ) (280.4 ) Net deferred tax asset $ 99.0 $ 16.0 | |
Schedule of Unrecognized Tax Benefits Roll Forward | Total Gross Unrecognized Tax Benefits Successor Predecessor Year Ended Period from January 1 2013 through January 31, Period from January 1 2013 through January 31, Year Ended December 31, 2014 2013 2013 2013 2012 Balance at January 1 $ 38.9 $ — $ — $ — $ — Increases related to acquisition — 11.3 — — — Increases related to positions taken on items from prior years — — — — — Decreases related to positions taken on items from prior years (33.6 ) — — — — Increases related to positions taken in the current year — 27.6 — — — Settlement of uncertain tax positions with tax authorities — — — — — Decreases due to expiration of statutes of limitations — — — — — Balance at December 31 $ 5.3 $ 38.9 $ — $ — $ — |
Earnings (Loss) Per Common Sh45
Earnings (Loss) Per Common Share (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | ||
Schedule of Earnings Per Share, Basic and Diluted | A reconciliation of the Company’s basic and diluted earnings (loss) per common share is as follows (in millions, except earnings (loss) per share): Three Months Ended March 31, (In millions, except per share data) 2015 2014 Net income (loss) to common shareholders $ 45.1 $ (4.3 ) Basic weighted average shares outstanding 229.8 229.1 Diluted weighted average shares outstanding 237.0 229.1 Earnings per Common Share: Basic net income (loss) per share $ 0.20 $ (0.02 ) Diluted net income (loss) per share $ 0.19 $ (0.02 ) | A reconciliation of the Company’s basic and diluted earnings per common share is as follows (in millions, except earnings per share): Successor Year Ended Period from (In millions, except per share data) 2014 2013 2012 Net income (loss) attributable to Axalta $ 27.4 $ (224.9 ) $ (29.0 ) Pre-Acquisition net loss attributable to Axalta — (3.9 ) (29.0 ) Net income (loss) to common shareholders (1) $ 27.4 $ (221.0 ) $ — Basic and diluted weighted average shares outstanding (1) 229.3 228.3 — Diluted weighted average shares outstanding 230.3 228.3 — Earnings per Common Share: Basic net income (loss) per share $ 0.12 $ (0.97 ) $ — Diluted net income (loss) per share $ 0.12 $ (0.97 ) $ — (1) As of February 1, 2013, the date of the Acquisition, the Company received the initial Equity Contribution of $1,350.0 million. Accordingly, the net loss to common shareholders and the weighted average shares outstanding calculation is based on the period from February 1, 2013 to December 31, 2013. |
Accounts and Notes Receivable46
Accounts and Notes Receivable, Net (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Receivables [Abstract] | ||
Schedule of Accounts, Notes, Loans and Financing Receivable | March 31, 2015 December 31, 2014 Accounts receivable—trade, net $ 664.1 $ 638.3 Notes receivable 42.9 45.5 Other 126.0 136.6 Total $ 833.0 $ 820.4 | Successor Year Ended 2014 2013 Accounts receivable—trade, net $ 638.3 $ 637.5 Notes receivable 45.5 44.7 Other 136.6 183.7 Total $ 820.4 $ 865.9 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Inventory Disclosure [Abstract] | ||
Schedule of Inventory, Current | March 31, 2015 December 31, 2014 Finished products $ 316.3 $ 323.7 Semi-finished products 87.9 81.3 Raw materials and supplies 137.1 133.3 Total $ 541.3 $ 538.3 | Successor Year Ended 2014 2013 Finished products $ 323.7 $ 329.3 Semi-finished products 81.3 90.2 Raw materials and supplies 133.3 130.7 Total $ 538.3 $ 550.2 |
Property, Plant and Equipment48
Property, Plant and Equipment, Net (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | ||
Property, Plant and Equipment | Depreciation expense amounted to $41.3 million and $48.4 million for the three months ended March 31, 2015 and 2014, respectively. March 31, 2015 December 31, 2014 Property, plant and equipment $ 1,776.3 $ 1,858.2 Accumulated depreciation (364.6 ) (344.1 ) Property, plant, and equipment, net $ 1,411.7 $ 1,514.1 | Successor Year Ended Useful Lives (years) 2014 2013 Land $ 90.5 $ 99.9 Buildings and improvements 5 -25 418.4 430.7 Machinery and equipment 3 -25 1,060.1 1,087.0 Software 5 - 7 122.1 42.4 Other 3 -20 29.1 26.3 Construction in progress 138.0 119.9 Total 1,858.2 1,806.2 Accumulated depreciation (344.1 ) (183.6 ) Property, plant, and equipment, net $ 1,514.1 $ 1,622.6 |
Borrowings (Tables)
Borrowings (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Schedule of Debt | Borrowings are summarized as follows: March 31, 2015 December 31, 2014 Dollar Term Loan $ 2,159.8 $ 2,165.5 Euro Term Loan 425.0 481.0 Dollar Senior Notes 750.0 750.0 Euro Senior Notes 270.4 305.3 Short-term borrowings 14.3 12.2 Other borrowings 6.1 0.7 Unamortized original issue discount (17.3 ) (18.3 ) $ 3,608.3 $ 3,696.4 Less: Short term borrowings $ 14.3 $ 12.2 Current portion of long-term borrowings 27.3 27.9 Long-term debt $ 3,566.7 $ 3,656.3 | Borrowings are summarized as follows: Successor Year Ended 2014 2013 Dollar Term Loan $ 2,165.5 $ 2,282.8 Euro Term Loan 481.0 547.7 Dollar Senior Notes 750.0 750.0 Euro Senior Notes 305.3 344.9 Short-term borrowings 12.2 18.2 Other borrowings 0.7 — Unamortized original issue discount (18.3 ) (22.7 ) $ 3,696.4 $ 3,920.9 Less: Short term borrowings $ 12.2 $ 18.2 Current portion of long-term borrowings 27.9 28.5 Long-term debt $ 3,656.3 $ 3,874.2 |
Schedule of Maturities of Long-term Debt | Below is a schedule of required future repayments of all borrowings outstanding at March 31, 2015. Remainder of 2015 $ 34.2 2016 29.7 2017 29.2 2018 28.1 2019 27.3 Thereafter 3,477.1 $ 3,625.6 | Below is a schedule of required future repayments of all borrowings outstanding at December 31, 2014. 2015 $ 40.1 2016 27.9 2017 27.9 2018 28.6 2019 27.9 Thereafter 3,562.3 $ 3,714.7 |
Euro Senior Notes [Member] | ||
Debt Instrument Redemption | On or after February 1, 2016, we have the option to redeem all or part of the Euro Senior Notes at the following redemption prices (expressed as percentages of principal amount): Period Euro Notes Percentage 2016 104.313 % 2017 102.875 % 2018 101.438 % 2019 and thereafter 100.000 % | On or after February 1, 2016, we have the option to redeem all or part of the Euro Senior Notes at the following redemption prices (expressed as percentages of principal amount): Period Euro Notes Percentage 2016 104.313 % 2017 102.875 % 2018 101.438 % 2019 100.000 % 2020 and thereafter 100.000 % |
Dollar Senior Notes [Member] | ||
Debt Instrument Redemption | On or after February 1, 2016, we have the option to redeem all or part of the Dollar Senior Notes at the following redemption prices (expressed as percentages of principal amount) Period Dollar Notes Percentage 2016 105.531 % 2017 103.688 % 2018 101.844 % 2019 and thereafter 100.000 % | On or after February 1, 2016, we have the option to redeem all or part of the Dollar Senior Notes at the following redemption prices (expressed as percentages of principal amount) Period Dollar Notes Percentage 2016 105.531 % 2017 103.688 % 2018 101.844 % 2019 100.000 % 2020 and thereafter 100.000 % |
Derivative Financial Instrume50
Derivative Financial Instruments (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following tables set forth the locations and amounts recognized during the three months ended March 31, 2015 and 2014 for these cash flow hedges. Derivatives in Cash Flow Relationships in three Amount of in OCI on Portion) Location of (Gain) Amount of (Gain) Loss from Income (Effective Location of (Gains) Amount of (Gain) Loss in Income on Interest rate contracts $ 4.8 Interest expense, net $ 1.6 Interest expense, net $ 1.2 Derivatives in Cash Flow Relationships in three Amount of (Gain) Loss Recognized in OCI on Derivatives (Effective Portion) Location of (Gain) Amount of (Gain) Loss Reclassified from Accumulated OCI to Income (Effective Portion) Location of (Gains) Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) Interest rate contracts $ (0.5 ) Interest expense, net $ 1.6 Interest expense, net $ 1.3 | The following table sets forth the locations and amounts recognized during the Successor years ended December 31, 2014 and 2013, respectively, for these cash flow hedges. Derivatives in Cash Flow Hedging Relationships in 2014: Amount of (Gain) Loss Recognized Derivatives (Effective Portion) Location of (Gain) Amount of (Gain) Loss Reclassified Accumulated OCI to (Effective Portion) Location of (Gains) Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) Interest rate contracts $ 4.6 Interest expense, net $ 6.5 Interest expense, net $ 0.3 Derivatives in Cash Flow Hedging Relationships in 2013: Amount of (Gain) Loss Recognized Derivatives (Effective Portion) Location of (Gain) Amount of (Gain) Loss Reclassified Accumulated OCI to (Effective Portion) Location of (Gains) Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) Interest rate contracts $ (5.0 ) Interest expense, net $ 4.4 Interest expense, net $ (4.3 ) |
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location | Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that do not qualify for hedge accounting treatment are recorded in income as follows: Derivatives Not Designated as Hedging Instruments under ASC 815 Location of (Gain) Loss Derivatives Three Months Ended March 31, 2015 2014 Foreign currency forward contract Other expense, net as a component of Exchange (gains) losses $ (1.8 ) $ 1.2 Interest rate cap Interest expense, net — 1.8 $ (1.8 ) $ 3.0 | Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that do not qualify for hedge accounting treatment are recorded in income as follows: Successor Predecessor Derivatives Not Designated as ASC 815 Location of (Gain) Loss Recognized in Income on Derivatives Year Ended Year Ended Period from January 1, 2013 through January 31, 2013 Year Ended December 31, 2012 Foreign currency forward contract Other expense, net as a component of Exchange (gains) losses $ 1.4 $ 20.9 $ 2.0 $ 3.9 Interest rate cap Interest expense, net 3.4 (0.3 ) — — $ 4.8 $ 20.6 $ 2.0 $ 3.9 |
Designated as Hedging Instrument [Member] | ||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following table presents the location and fair values using Level 2 inputs of derivative instruments that qualify and have been designated as cash flow hedges included in our condensed consolidated balance sheet: March 31, 2015 December 31, 2014 Other assets: Interest rate swaps $ 0.8 $ 5.9 Total assets $ 0.8 $ 5.9 Other liabilities: Interest rate swaps $ 2.5 $ 1.5 Total liabilities $ 2.5 $ 1.5 | The following table presents the location and fair values using Level 2 inputs of derivative instruments that qualify and have been designated as cash flow hedges included in our consolidated and combined balance sheet: Successor Year Ended December 31, 2014 2013 Foreign currency contracts $ — $ — Other assets: Interest rate swaps 5.9 10.5 Total assets $ 5.9 $ 10.5 Other liabilities: Interest rate swaps $ 1.5 $ 1.2 Total liabilities $ 1.5 $ 1.2 |
Not Designated as Hedging Instrument [Member] | ||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following table presents the location and fair values using Level 2 inputs of derivative instruments that have not been designated as hedges included in our condensed consolidated balance sheet: March 31, 2015 December 31, 2014 Other assets: Interest rate cap $ 0.1 $ 0.1 Total assets $ 0.1 $ 0.1 | The following table presents the location and fair values using Level 2 inputs of derivative instruments that have not been designated as hedges included in our consolidated and combined balance sheet: Successor Year Ended December 31, 2014 2013 Foreign currency contracts $ — $ — Other assets: Interest rate cap 0.1 3.4 Total assets $ 0.1 $ 3.4 Other liabilities: Foreign currency contracts $ — $ — Total liabilities $ — $ — |
Segments (Tables)
Segments (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting [Abstract] | ||
Reconciliation of Revenue from Segments to Consolidated | Our business serves four end-markets globally as follows: Three Months Ended March 31, 2015 2014 Performance Coatings Refinish $ 393.2 $ 435.2 Industrial 164.0 180.9 Total Net sales Performance Coatings 557.2 616.1 Transportation Coatings Light Vehicle 333.2 339.6 Commercial Vehicle 98.8 91.7 Total Net sales Transportation Coatings 432.0 431.3 Total Net sales $ 989.2 $ 1,047.4 | Our business serves four end-markets globally as follows: Successor Predecessor Year Ended December 31, January 1 Year Ended 2014 2013 2013 2012 Performance Coatings Refinish $ 1,850.8 $ 1,670.0 $ 129.4 $ 1,759.3 Industrial 734.2 655.3 57.4 720.2 Total Net sales Performance Coatings 2,585.0 2,325.3 186.8 2,479.5 Transportation Coatings Light Vehicle 1,384.5 1,291.5 111.6 1,390.6 Commercial Vehicle 392.2 334.3 27.8 349.3 Total Net sales Transportation Coatings 1,776.7 1,625.8 139.4 1,739.9 Total Net sales $ 4,361.7 $ 3,951.1 $ 326.2 $ 4,219.4 |
Schedule of Segment Reporting Information, by Segment | Performance Coatings Transportation Coatings Total For the Three Months Ended March 31, 2015 Net sales (1) $ 557.2 $ 432.0 $ 989.2 Equity in earnings in unconsolidated affiliates 0.1 0.3 0.4 Adjusted EBITDA (2) 107.1 74.9 182.0 Investment in unconsolidated affiliates 4.0 6.5 10.5 Performance Coatings Transportation Coatings Total For the Three Months Ended March 31, 2014 Net sales (1) $ 616.1 $ 431.3 $ 1,047.4 Equity in earnings in unconsolidated affiliates 0.3 0.3 0.6 Adjusted EBITDA (2) 124.5 62.2 186.7 Investment in unconsolidated affiliates 8.0 8.4 16.4 (1) The Company has no intercompany sales between segments. (2) The primary measure of segment operating performance is Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization and other unusual items impacting operating results. Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts, and prior year financial results, providing a measure that management believes reflects the Company’s core operating performance. | Successor Performance Transportation Total For the Year ended December 31, 2014 Net sales (1) $ 2,585.0 $ 1,776.7 $ 4,361.7 Equity in earnings in unconsolidated affiliates (1.2 ) (0.2 ) (1.4 ) Adjusted EBITDA (2) 547.6 292.9 840.5 Investment in unconsolidated affiliates 7.2 7.1 14.3 Successor Performance Transportation Total For the Year ended December 31, 2013 Net sales (1) $ 2,325.3 $ 1,625.8 $ 3,951.1 Equity in earnings in unconsolidated affiliates 1.8 0.3 2.1 Adjusted EBITDA (2) 500.2 198.8 699.0 Investment in unconsolidated affiliates 7.7 8.1 15.8 Predecessor Performance Transportation Total January 1 through January 31, 2013 Net sales (1) $ 186.8 $ 139.4 $ 326.2 Equity in earnings (losses) in unconsolidated affiliates — (0.3 ) (0.3 ) Adjusted EBITDA (2) 15.0 17.7 32.7 Investment in unconsolidated affiliates 2.0 6.7 8.7 Predecessor Performance Transportation Total For the Year ended December 31, 2012 Net sales (1) $ 2,479.5 $ 1,739.9 $ 4,219.4 Equity in earnings in unconsolidated affiliates — 0.6 0.6 Adjusted EBITDA (2) 426.0 151.6 577.6 Investment in unconsolidated affiliates 0.8 7.1 7.9 (1) The Company has no intercompany sales. (2) The primary measure of segment operating performance is Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization and other unusual items impacting operating results. Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts, and prior year financial results, providing a measure that management believes reflects the Company’s core operating performance. |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | Reconciliation of Adjusted EBITDA to income (loss) before income taxes follows: Three Months Ended March 31, 2015 2014 Income before income taxes $ 47.9 $ 8.3 Interest expense, net 50.0 59.0 Depreciation and amortization 72.6 81.1 EBITDA 170.5 148.4 Financing costs (a) — 3.1 Foreign exchange remeasurement losses (b) 8.7 0.1 Long-term employee benefit plan adjustments (c) 0.2 2.3 Termination benefits and other employee related costs (d) 3.7 3.2 Consulting and advisory fees (e) 3.1 13.0 Transition-related costs (f) — 13.9 Secondary offering costs (g) 1.4 — Other adjustments (h) (2.1 ) 2.8 Dividends in respect of noncontrolling interest (i) (3.5 ) (0.9 ) Management fee expense (j) — 0.8 Adjusted EBITDA $ 182.0 $ 186.7 (a) In connection with an amendment to the Senior Secured Credit Facilities in February 2014, we recognized $3.1 million of costs during the three months ended March 31, 2014. (b) Eliminates foreign exchange gains and losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies. (c) Eliminates the non-service cost components of long-term employee benefit costs. (d) Represents expenses primarily related to employee termination benefits, including our initiative to improve the overall cost structure within the European region, and other employee-related costs. Termination benefits include the costs associated with our headcount initiatives associated with cost saving opportunities that were related to our transition to a standalone entity and our Axalta Way cost savings initiatives in 2015. (e) Represents fees paid to consultants, advisors, and other third-party professional organizations for professional services rendered in conjunction with the transition from DuPont to a standalone entity during 2014. Amounts incurred for the three months ended March 31, 2015 primarily relate to our Axalta Way cost savings initiatives. (f) Represents charges associated with the transition from DuPont to a standalone entity, including branding and marketing, information technology related costs, and facility transition costs. (g) Represents costs associated with the secondary offering of our common shares by Carlyle that closed in April 2015 (the “Secondary Offering”). (h) Represents costs for certain unusual or non-operational (gains) and losses, including a $5.4 million gain recognized in 2015 resulting from the remeasurement of our previously held interest in an equity method investee upon the acquisition of a controlling interest, stock-based compensation, equity investee dividends, indemnity losses associated with the Acquisition, and loss (gain) on sale and disposal of property, plant and equipment. (i) Represents the payment of dividends to our joint venture partners by our consolidated entities that are not wholly owned. (j) Pursuant to Axalta’s management agreement with Carlyle Investment for management and financial advisory services and oversight provided to Axalta and its subsidiaries, Axalta was required to pay an annual management fee of $3.0 million and out-of-pocket expenses. This agreement terminated upon completion of the IPO in November 2014. | Reconciliation of Adjusted EBITDA to income (loss) before income taxes follows: Successor Predecessor Year Ended August 24 January 1 Year ended 2014 2013 2012 2013 2012 Adjusted EBITDA $ 840.5 $ 699.0 $ — $ 32.7 $ 577.6 Inventory step-up (a) — (103.7 ) — — — Merger and acquisition related costs (b) — (28.1 ) (29.0 ) — — Financing fees (c) (6.1 ) (25.0 ) — — — Foreign exchange remeasurement losses (d) (81.2 ) (48.9 ) — (4.5 ) (17.7 ) Long-term employee benefit plan adjustments (e) 0.6 (9.5 ) — (2.3 ) (36.9 ) Termination benefits and other employee related costs (f) (18.4 ) (147.5 ) — (0.3 ) (8.6 ) Consulting and advisory fees (g) (36.3 ) (54.7 ) — — — Transition-related costs (h) (101.8 ) (29.3 ) — — — IPO-related costs (i) (22.3 ) — — — — Other adjustments (j) (10.8 ) (2.3 ) — (0.1 ) (12.6 ) Dividends in respect of noncontrolling interest (k) 2.2 5.2 — — 1.9 Management fee expense (l) (3.2 ) (3.1 ) — — — EBITDA 563.2 252.1 (29.0 ) 25.5 503.7 Interest expense, net 217.7 215.1 — — — Depreciation and amortization 308.7 300.7 — 9.9 110.7 Income before income taxes $ 36.8 $ (263.7 ) $ (29.0 ) $ 15.6 $ 393.0 (a) During the Successor year ended December 31, 2013, we recorded a non-cash fair value adjustment associated with our acquisition accounting for inventories. These amounts increased cost of goods sold by $103.7 million. (b) In connection with the Acquisition, we incurred $28.1 million and $29.0 million of merger and acquisition costs during the Successor years ended December 31, 2013 and December 31, 2012, respectively. These costs consisted primarily of investment banking, legal and other professional advisory services costs. (c) On August 30, 2012, we signed a debt commitment letter, which included the Bridge Facility. Upon the issuance of the Senior Notes and the entry into the Senior Secured Credit Facilities, the commitments under the Bridge Facility terminated. Commitment fees related to the Bridge Facility of $21.0 million and associated fees of $4.0 million were expensed upon the payment and termination of the Bridge Facility. In connection with the amendment to the Senior Secured Credit Facilities in February 2014, we recognized $3.1 million of costs during the Successor year ended December 31, 2014. In addition to the credit facility amendment, we also incurred a $3.0 million loss on extinguishment of debt recognized during the Successor year ended December 31, 2014, which resulted directly from the pro-rata write off of unamortized deferred financing costs and original issue discounts associated with the pay-down of $100.0 million of principal on the New Dollar Term Loan (discussed further at Note 22 to the consolidated and combined financial statements. (d) Eliminates foreign exchange gains and losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies, including a $19.4 million loss related to the acquisition date settlement of a foreign currency contract used to hedge the variability of Euro-based financing. (e) For the Successor years ended December 31, 2014 and 2013, eliminates the non-service cost components of employee benefit costs. Additionally, we deducted a pension curtailment gain of $7.3 million recorded during the Successor year ended December 31, 2014. For the Predecessor period January 1, 2013 through January 31, 2013 and the Predecessor year ended December 31, 2012 eliminates (1) all U.S. pension and other long-term employee benefit costs that were not assumed as part of the Acquisition and (2) the non-service cost component of the pension and other long-term employee benefit costs for the foreign pension plans that were assumed as part of the Acquisition. (f) Represents expenses primarily related to employee termination benefits, including our initiative to improve the overall cost structure within the European region, and other employee-related costs. Termination benefits include the costs associated with our headcount initiatives for establishment of new roles and elimination of old roles and other costs associated with cost saving opportunities that were related to our transition to a standalone entity. (g) Represents fees paid to consultants, advisors, and other third-party professional organizations for professional services rendered in conjunction with the transition from DuPont to a standalone entity. (h) Represents charges associated with the transition from DuPont to a standalone entity, including branding and marketing, information technology related costs, and facility transition costs. (i) Represents costs associated with the IPO, including a $13.4 million pre-tax charge associated with the termination of the management agreement with Carlyle Investment Management, L.L.C., an affiliate of Carlyle, upon the completion of the IPO. (j) Represent costs for certain unusual or non-operational losses and the non-cash impact of natural gas and currency hedge losses allocated to DPC by DuPont, stock-based compensation, asset impairments, equity investee dividends, indemnity income associated with the Transaction, and loss (gain) on sale and disposal of property, plant and equipment. (k) Represents the payment of dividends to our joint venture partners by our consolidated entities that are not wholly owned. (l) Pursuant to Axalta’s management agreement with Carlyle Investment Management, L.L.C., for management and financial advisory services and oversight provided to Axalta and its subsidiaries, Axalta was required to pay an annual management fee of $3.0 million and out-of-pocket expenses. |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | Net sales by region were as follows: Successor Predecessor Year Ended Year Ended Period from August 24 through December 31, Period from January 1 through January 31, Year Ended December 31, 2014 2013 2012 2013 2012 North America $ 1,307.8 $ 1,165.4 $ — $ 81.6 $ 1,238.6 EMEA 1,672.0 1,540.4 — 141.0 1,675.4 Asia Pacific 715.0 593.7 — 51.7 595.0 Latin America 666.9 651.6 — 51.9 710.4 Total (a) $ 4,361.7 $ 3,951.1 $ — $ 326.2 $ 4,219.4 Net long-lived assets by region were as follows: Successor December 31, December 31, North America $ 481.4 $ 483.8 EMEA 542.0 623.5 Asia Pacific 234.3 218.1 Latin America 256.4 297.2 Total (b) $ 1,514.1 $ 1,622.6 (a) Net Sales are attributed to countries based on location of the customer. Sales to external customers in China represented approximately 11% and 10% of the total for the Successor years ended December 31, 2014 and 2013, respectively, as well as 11% for the Predecessor period ended January 31, 2013 and 8% in the Predecessor year ended December 31, 2012. Sales to external customers in Germany represented approximately 10% and 10% of the total for the Successor years ended December 31, 2014 and 2013, respectively, as well as 11% for the Predecessor period ended January 31, 2013 and 16% in the Predecessor year ended December 31, 2012. Canada, which is included in the North America region, represents approximately 3% of total sales in all periods. (b) Long-lived assets consist of property, plant and equipment, net. Germany long-lived assets amounted to approximately $302.8 million and $348.1 million in the years ended December 31, 2014 and 2013, respectively. China long-lived assets amounted to $189.4 million and $167.5 million in the years ended December 31, 2014 and 2013, respectively. |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2015 | |
Equity [Abstract] | |
Schedule of Stockholders Equity | The following tables present the change in total shareholders’ equity for the three months ended March 31, 2015 and 2014, respectively. Total Axalta Noncontrolling Total Balance January 1, 2015 $ 1,044.7 $ 67.3 $ 1,112.0 Net income 45.1 1.6 46.7 Other comprehensive (loss), net of tax (112.1 ) (0.4 ) (112.5 ) Exercise of stock options (0.6 ) — (0.6 ) Recognition of stock-based compensation 1.8 — 1.8 Noncontrolling interests of acquired subsidiaries — 4.3 4.3 Dividends declared to noncontrolling interests — (3.5 ) (3.5 ) Balance March 31, 2015 $ 978.9 $ 69.3 $ 1,048.2 Total Axalta Noncontrolling Interests Total Balance January 1, 2014 $ 1,142.9 $ 68.9 $ 1,211.8 Net income (loss) (4.3 ) 0.6 (3.7 ) Other comprehensive (loss), net of tax (3.0 ) — (3.0 ) Recognition of stock-based compensation 1.8 — 1.8 Dividends declared to noncontrolling interests — (0.9 ) (0.9 ) Balance March 31, 2014 $ 1,137.4 $ 68.6 $ 1,206.0 |
Accumulated Other Comprehensi53
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Equity [Abstract] | ||
Schedule of Accumulated Other Comprehensive Income | Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Gain Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income (loss) December 31, 2014 $ (72.1 ) $ (31.2 ) $ (0.2 ) $ 0.2 $ (103.3 ) Current year deferrals to AOCI (109.2 ) — 0.5 (1.4 ) (110.1 ) Reclassifications from AOCI to Net income — (0.4 ) — (1.6 ) (2.0 ) Net Change (109.2 ) (0.4 ) 0.5 (3.0 ) (112.1 ) March 31, 2015 $ (181.3 ) $ (31.6 ) $ 0.3 $ (2.8 ) $ (215.4 ) The income tax benefit related to the changes in pension and other long-term employee benefits for the three months ended March 31, 2015 was $0.8 million. The cumulative income tax benefit related to the adjustments for pension and other long-term employee benefits at March 31, 2015 was $14.1 million. The income tax benefit related to the change in the unrealized loss on derivatives for the three months ended March 31, 2015 was $1.8 million. The cumulative income tax benefit related to the adjustments for unrealized loss on derivatives at March 31, 2015 was $1.6 million. Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Loss on Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income December 31, 2013 $ 24.3 $ 7.5 $ (0.9 ) $ 3.1 $ 34.0 Current year deferrals to AOCI (7.5 ) 4.5 (0.2 ) 1.9 (1.3 ) Reclassifications from AOCI to Net income — (0.1 ) — (1.6 ) (1.7 ) Net Change (7.5 ) 4.4 (0.2 ) 0.3 (3.0 ) March 31, 2014 $ 16.8 $ 11.9 $ (1.1 ) $ 3.4 $ 31.0 | Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Gain Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income Successor Balance, December 31, 2013 $ 24.3 $ 7.5 $ (0.9 ) $ 3.1 $ 34.0 Current year deferrals to AOCI (96.4 ) (29.7 ) 0.7 3.6 (121.8 ) Reclassifications from AOCI to Net income — (9.0 ) — (6.5 ) (15.5 ) Net Change (96.4 ) (38.7 ) 0.7 (2.9 ) (137.3 ) Successor Balance, December 31, 2014 $ (72.1 ) $ (31.2 ) $ (0.2 ) $ 0.2 $ (103.3 ) Included within reclassifications from AOCI to Net income for the Successor year ended December 31, 2014 was $7.3 million of curtailment gains related to an amendment to one of our pension plans. The income tax related to the changes in pension and other long-term employee benefits for the year ended December 31, 2014 was $16.9 million. The cumulative income tax impact related to the adjustments for pension and other long-term employee benefits at December 31, 2014 was a benefit of $13.4 million compared to the cumulative income tax expense at December 31, 2013 of $3.5 million. The income tax related to the change in the unrealized gain on derivatives for the year ended December 31, 2014 was $1.7 million. The cumulative income tax expense related to the adjustments for unrealized gain on derivatives at December 31, 2014 and 2013 were $0.2 million and $1.9 million, respectively. Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized Loss on Securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income Successor Balance, December 31, 2012 $ — $ — $ — $ — $ — Current year deferrals to AOCI 24.3 7.5 (0.9 ) 7.5 38.4 Reclassifications from AOCI to Net income — — — (4.4 ) (4.4 ) Net Change 24.3 7.5 (0.9 ) 3.1 34.0 Successor Balance, December 31, 2013 $ 24.3 $ 7.5 $ (0.9 ) $ 3.1 $ 34.0 The income tax related to the changes in pension and other long-term employee benefits for the Successor year ended December 31, 2013 was $3.5 million. The cumulative income tax expense related to the adjustment for pension and other long-term employee benefits at December 31, 2013 was $3.5 million. The income tax related to the change in the unrealized gain on derivatives for the Successor year ended December 31, 2013 was $1.9 million. The cumulative income tax expense related to the adjustment for unrealized gain on derivatives at December 31, 2013 was $1.9 million. Unrealized Currency Translation Adjustments Pension and Other Long-term Employee Benefit Adjustments Unrealized loss on securities Unrealized Gain Derivatives Accumulated Other Comprehensive Income Predecessor Balance, December 31, 2012 $ — $ (142.3 ) $ 1.4 $ — $ (140.9 ) Current year deferrals to AOCI — 0.7 0.2 — 0.9 Reclassifications from AOCI to Net income — — — — — Net Change — 0.7 0.2 — 0.9 Predecessor Balance, January 31, 2013 $ — $ (141.6 ) $ 1.6 $ — $ (140.0 ) |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the fair values of the net assets acquired as of the February 1, 2013 Acquisition date adjusted for measurement period adjustments: February 1, 2013 Measurement February 1, 2013 Cash and cash equivalents $ 79.7 $ — $ 79.7 Accounts and notes receivable—trade 855.8 22.7 878.5 Inventories 673.0 3.0 676.0 Prepaid expenses and other 8.2 (1.3 ) 6.9 Property, plant and equipment 1,707.7 (1.8 ) 1,705.9 Identifiable intangibles 1,539.3 (19.0 ) 1,520.3 Other assets—noncurrent 98.8 19.1 117.9 Accounts payable (409.1 ) (6.9 ) (416.0 ) Other accrued liabilities (232.0 ) 7.5 (224.5 ) Other liabilities (331.1 ) (35.3 ) (366.4 ) Deferred income taxes (312.9 ) 223.2 (89.7 ) Noncontrolling interests (66.7 ) — (66.7 ) Net assets acquired before goodwill on acquisition 3,610.7 211.2 3,821.9 Goodwill on acquisition 1,315.2 (229.8 ) 1,085.4 Net assets acquired $ 4,925.9 $ (18.6 ) $ 4,907.3 |
Business Acquisition, Pro Forma Information | The following unaudited supplemental pro forma information presents the financial results as if the acquisition of DPC had occurred at January 1, 2012. This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made at January 1, 2012, nor is it indicative of any future results. Year Ended December 31, (in millions, except per share data) 2013 2012 Net sales $ 4,277.3 $ 4,219.4 Net loss $ (87.1 ) $ (270.1 ) Net loss attributable to controlling interests $ (93.7 ) $ (274.6 ) Earnings per share (Basic and Diluted) $ (0.41 ) $ — |
Relationship with DuPont (Table
Relationship with DuPont (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Schedule Of Allocated Corporate Costs | The allocated leveraged functional service expenses and general corporate expenses included in cost of goods sold, selling, general, and administrative expenses and research and development expenses in the Predecessor combined statement of operations were as follows: Predecessor Period from January 31, Year Ended Cost of goods sold $ 14.2 $ 224.7 Selling, general, and administrative expenses 1.4 21.6 Research and development expenses 0.1 2.2 Total $ 15.7 $ 248.5 Allocated leveraged functional service expenses and general corporate expenses are recorded in the Predecessor combined statement of operations as follows: Predecessor Period from Year Ended Leveraged functional services $ 14.2 $ 226.4 General corporate expenses 1.5 22.1 Total $ 15.7 $ 248.5 |
Schedule Of Purchases From And Sales To Other Acquisition | Purchases include the following amounts: Predecessor Period from Year Ended DPC purchases of products from other DuPont businesses $ 7.9 $ 91.7 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | At December 31, 2014, future minimum payments under non-cancelable operating leases were as follows over each of the next five years and thereafter: Operating Leases 2015 $ 50.6 2016 35.5 2017 27.6 2018 24.5 2019 22.7 Thereafter 47.7 Total minimum payments $ 208.6 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | Principal weighted average assumptions used in applying the Black-Scholes model were as follows: 2014 Grants 2013 Grants Expected Term 7.81 years 7.81 years Volatility 28.28 % 28.61 % Dividend Yield — — Discount Rate 2.21 % 2.13 % |
Schedule of Stock Options Roll Forward | A summary of stock option award activity as of December 31, 2014 and changes during the year then ended, is presented below: Awards Weighted- Aggregate Weighted Outstanding at January 1, 2014 16.2 $ 9.32 Granted 1.6 $ 9.62 Exercised (0.4 ) $ 8.03 Forfeited (0.3 ) $ 9.32 Outstanding at December 31, 2014 17.1 $ 9.38 Vested and expected to vest at December 31, 2014 17.1 $ 9.38 $ 284.5 8.58 Exercisable at December 31, 2014 2.9 $ 9.49 $ 47.6 8.44 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets | Successor Year Ended 2014 2013 Available for sale securities $ 4.5 $ 4.9 Deferred income taxes—non-current 250.0 271.9 Other 219.2 218.3 Total $ 473.7 $ 495.1 |
Accounts Payable (Tables)
Accounts Payable (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable | Successor Year Ended 2014 2013 Trade payables $ 463.6 $ 428.8 Non-income taxes 21.4 40.5 Other 9.5 9.2 Total $ 494.5 $ 478.5 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable | Successor Year Ended 2014 2013 Compensation and other employee-related costs $ 153.0 $ 168.0 Current portion of long-term employee benefit plans 12.4 13.3 Restructuring 48.5 98.4 Discounts, rebates, and warranties 68.6 65.0 Income taxes payable 20.8 25.1 Derivative liabilities 1.5 1.2 Other 100.0 101.7 Total $ 404.8 $ 472.7 |
Quarterly Financial Informati61
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | The following is a summary of the quarterly results of operations for the Successor years ended December 31, 2014 and 2013, respectively (in millions, except per share data): 2014 March 31 June 30 (b) September 30 (b) December 31 (c) Full Year Total revenue $ 1,054.4 $ 1,134.3 $ 1,115.8 $ 1,087.0 $ 4,391.5 Cost of goods sold 703.5 742.5 728.1 723.1 2,897.2 Net income (loss) (3.7 ) 55.8 (18.3 ) 0.9 34.7 Net income (loss) attributable to controlling interests (4.3 ) 53.8 (19.9 ) (2.2 ) 27.4 Basic net income (loss) per share (0.02 ) 0.23 (0.09 ) (0.01 ) 0.12 Diluted net income (loss) per share (0.02 ) 0.23 (0.09 ) (0.01 ) 0.12 2013 March 31 (a) June 30 (a) September 30 December 31 Full Year Total revenue $ 675.1 $ 1,122.2 $ 1,082.8 $ 1,106.7 $ 3,986.8 Cost of goods sold 539.1 788.5 739.1 706.1 2,772.8 Net income (loss) (156.5 ) (21.8 ) 6.4 (47.0 ) (218.9 ) Net income (loss) attributable to controlling interests (157.8 ) (22.8 ) 5.0 (49.3 ) (224.9 ) Basic net income (loss) per share (0.67 ) (0.10 ) 0.02 (0.22 ) (0.97 ) Diluted net income (loss) per share (0.67 ) (0.10 ) 0.02 (0.22 ) (0.97 ) (a) The Company recorded $72.6 million and $31.1 million of non-cash inventory adjustments associated with the fair value adjustment associated with our acquisition during the three months ended March 31, 2013 and June 30, 2013, respectively. (b) The Company recorded gains of $7.7 million and $7.3 million related to amendments to benefit plans during the three months ended June 30, 2014 and September 30, 2014, respectively. (c) During the three-months ended December 31, 2014, the Company recorded a $13.4 million pre-tax charge associated with the termination of the management agreement with Carlyle Investment Management, L.L.C., upon the completion of the IPO and a cumulative net benefit of $3.8 million ($0.4 million for the full year) associated with the correction of an error originating in prior periods. The Company concluded the error was not material to the current or previously reported periods. |
Basis of Presentation of the 62
Basis of Presentation of the Condensed Consolidated Financial Statements Basis of Presentation of the Condensed Consolidated Financial Statements (Detail) - IPO [Member] - Successor [Member] - Common Stock [Member] - $ / shares | Nov. 14, 2014 | Nov. 11, 2014 |
Subsidiary, Sale of Stock [Line Items] | ||
Number of shares issued in transaction | 50,000,000 | 57,500,000 |
Sale of stock, price per share (dollars per share) | $ 19.50 | $ 19.50 |
Recent Accounting Guidance (Det
Recent Accounting Guidance (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Decrease in total assets from early adoption | $ (5,898.4) | $ (6,252.8) | $ (6,737.1) |
Decrease in total liabilities from early adoption | (4,850.2) | (5,140.8) | $ (5,525.3) |
New Accounting Pronouncement, Early Adoption, Effect [Member] | |||
New Accounting Pronouncement, Early Adoption [Line Items] | |||
Decrease in total assets from early adoption | 86.8 | 91 | |
Decrease in total liabilities from early adoption | $ 86.8 | $ 91 |
Goodwill and Identifiable Int64
Goodwill and Identifiable Intangible Assets - Schedule of Goodwill (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Successor [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | $ 1,001.1 | $ 1,113.6 | |
Purchase accounting adjustments | 6.1 | ||
Goodwill resulting from Acquisition | 12.5 | $ 1,085.4 | |
Divestitures | (4.7) | ||
Foreign currency translation | (96.8) | (113.9) | 28.2 |
Goodwill, ending balance | 916.8 | 1,001.1 | 1,113.6 |
Predecessor [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 588.8 | 588.8 | |
Goodwill, ending balance | 588.8 | ||
Performance Coatings [Member] | Successor [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 933.6 | 1,038.8 | |
Purchase accounting adjustments | 5.7 | ||
Goodwill resulting from Acquisition | 12.5 | 1,012.5 | |
Divestitures | (4.7) | ||
Foreign currency translation | (90.3) | (106.2) | 26.3 |
Goodwill, ending balance | 855.8 | 933.6 | 1,038.8 |
Performance Coatings [Member] | Predecessor [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 517.9 | 517.9 | |
Goodwill, ending balance | 517.9 | ||
Transportation Coatings [Member] | Successor [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | 67.5 | 74.8 | |
Purchase accounting adjustments | 0.4 | ||
Goodwill resulting from Acquisition | 0 | 72.9 | |
Foreign currency translation | (6.5) | (7.7) | 1.9 |
Goodwill, ending balance | $ 61 | 67.5 | 74.8 |
Transportation Coatings [Member] | Predecessor [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, beginning balance | $ 70.9 | 70.9 | |
Goodwill, ending balance | $ 70.9 |
Goodwill and Identifiable Int65
Goodwill and Identifiable Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Goodwill [Line Items] | |||||||
Amortization of acquired intangibles | $ 20 | $ 21.1 | $ 0 | $ 83.8 | $ 79.9 | ||
Purchase accounting adjustments | 6.1 | ||||||
Goodwill and intangible asset impairment | $ 0.1 | $ 3.2 | |||||
Successor [Member] | Equity Method Investee [Member] | |||||||
Goodwill [Line Items] | |||||||
Additional interest purchased | 25.00% | ||||||
Predecessor [Member] | |||||||
Goodwill [Line Items] | |||||||
Amortization of acquired intangibles | $ 0 | $ 0 | |||||
Predecessor [Member] | Other Intangible Assets [Member] | |||||||
Goodwill [Line Items] | |||||||
Amortization of acquired intangibles | $ 2.6 | $ 25.7 |
Goodwill and Identifiable Int66
Goodwill and Identifiable Intangible Assets - Gross Carrying Amounts and Accumulated Amortization of Identifiable Intangible Assets by Major Class (Detail) - Successor [Member] - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Gross Carrying Amount | $ 1,416.9 | $ 1,453.9 | $ 1,514.7 |
Accumulated Amortization | (170.1) | (153.9) | (75.1) |
Net Book Value, definite-lived | 1,246.8 | 1,300 | 1,439.6 |
Trademarks [Member] | |||
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Net Book Value, indefinite-lived | 284.4 | 284.4 | 284.4 |
Technology-Based Intangible Assets [Member] | |||
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Gross Carrying Amount | 411.8 | 411.8 | 425.2 |
Accumulated Amortization | (86.5) | (76.3) | (37.3) |
Net Book Value, definite-lived | $ 325.3 | $ 335.5 | $ 387.9 |
Weighted average amortization periods (years) | 10 years | 10 years | 10 years |
Trademarks [Member] | |||
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Gross Carrying Amount | $ 41.9 | $ 41.8 | $ 41.7 |
Accumulated Amortization | (6.2) | (5.5) | (2.6) |
Net Book Value, definite-lived | $ 35.7 | $ 36.3 | $ 39.1 |
Weighted average amortization periods (years) | 14 years 9 months 18 days | 14 years 9 months 18 days | 14 years 9 months 18 days |
Customer Relationships [Member] | |||
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Gross Carrying Amount | $ 676.9 | $ 713.9 | $ 761.9 |
Accumulated Amortization | (76.5) | (71.3) | (34.9) |
Net Book Value, definite-lived | $ 600.4 | $ 642.6 | $ 727 |
Weighted average amortization periods (years) | 19 years 4 months 24 days | 19 years 4 months 24 days | 19 years 4 months 24 days |
Noncompete Agreements [Member] | |||
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Gross Carrying Amount | $ 1.9 | $ 2 | $ 1.5 |
Accumulated Amortization | (0.9) | (0.8) | (0.3) |
Net Book Value, definite-lived | $ 1 | $ 1.2 | $ 1.2 |
Weighted average amortization periods (years) | 4 years 7 months 6 days | 4 years 7 months 6 days | 4 years |
Goodwill and Identifiable Int67
Goodwill and Identifiable Intangible Assets - Schedule of Activity Related to In Process Research and Development Projects (Detail) - Successor [Member] - USD ($) $ in Millions | 3 Months Ended | 11 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2013 | Dec. 31, 2014 | |
Finite-lived Intangible Assets [Roll Forward] | |||
Beginning balance | $ 1,300 | $ 1,439.6 | |
Ending balance | 1,246.8 | $ 1,439.6 | 1,300 |
In Process Research and Development [Member] | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Beginning balance | 5.2 | 25.4 | 15.7 |
Completed | (1.5) | (6.5) | (10.4) |
Abandoned | (3.2) | (0.1) | |
Ending balance | $ 3.7 | $ 15.7 | $ 5.2 |
Goodwill and Identifiable Int68
Goodwill and Identifiable Intangible Assets - Schedule of Expected Amortization Expense (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2015 | $ 59.7 | |
2,015 | $ 81.6 | |
2,016 | 79.6 | 81.6 |
2,017 | 79.2 | 81.1 |
2,018 | 79.2 | 81 |
2,019 | $ 79.2 | $ 81 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Restructuring and Related Activities [Abstract] | |||||||
Restructuring costs | $ 2,200,000 | $ 100,000 | $ 120,700,000 | $ 8,500,000 | $ 120,700,000 | ||
Successor [Member] | Selling, General and Administrative Expenses [Member] | |||||||
Restructuring and Related Activities [Abstract] | |||||||
Restructuring costs | $ 8,500,000 | $ 120,700,000 | |||||
Predecessor [Member] | |||||||
Restructuring and Related Activities [Abstract] | |||||||
Restructuring costs | $ 0 | ||||||
Restructuring reserve | $ 2,100,000 | ||||||
Adjustment of restructuring accrual | $ 300,000 |
Restructuring - Restructuring R
Restructuring - Restructuring Reserve (Detail) - Successor [Member] - USD ($) $ in Millions | 3 Months Ended | 11 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | |
Restructuring Reserve [Roll Forward] | |||||
Beginning balance | $ 48.5 | $ 98.4 | $ 0.5 | $ 98.4 | |
Expense recorded | 2.2 | $ 0.1 | 120.7 | 8.5 | $ 120.7 |
Payments made | (14) | (23.7) | (51.6) | ||
Foreign Currency Changes | (5) | 0.9 | (6.8) | ||
Ending balance | $ 31.7 | $ 98.4 | $ 48.5 | $ 98.4 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2015 | |
Successor [Member] | |||||
Commitments and Contingencies Disclosure [Abstract] | |||||
Maximum exposure, undiscounted | $ 2,200,000 | $ 1,600,000 | $ 2,100,000 | ||
Accrued in period | 0 | 0 | $ 0 | ||
Product warranty liability | 500,000 | 600,000 | |||
Rent expense, net | $ 61,600,000 | $ 50,000,000 | |||
Predecessor [Member] | |||||
Commitments and Contingencies Disclosure [Abstract] | |||||
Rent expense, net | $ 4,600,000 | $ 43,600,000 |
Long-term Employee Benefits - S
Long-term Employee Benefits - Schedule of Net Benefit Cost (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Net periodic benefit cost: | |||||||
Curtailment gain | $ (5.6) | ||||||
Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: | |||||||
Net actuarial (gain) loss | $ 1.2 | (5.5) | $ 0 | $ 55.6 | $ (11) | ||
Successor [Member] | Pension Plan [Member] | |||||||
Net periodic benefit cost: | |||||||
Service cost | 3.1 | 4.6 | 0 | 15.4 | 17 | ||
Interest cost | 4.6 | 6 | 0 | 22.9 | 21.2 | ||
Expected return on plan assets | (3.7) | (3.7) | 0 | (14.8) | (11.9) | ||
Amortization of actuarial (gain) loss, net | 0.3 | (0.1) | 0 | (0.3) | 0 | ||
Amortization of prior service cost | (0.1) | 0 | 0 | 0 | |||
Curtailment gain | 0 | (7.3) | 0 | ||||
Settlement loss | 0 | 0.1 | 0 | ||||
Net periodic benefit cost | 4.2 | 6.8 | 0 | 16 | 26.3 | ||
Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: | |||||||
Net actuarial (gain) loss | 0 | 60.6 | (10.6) | ||||
Amortization of actuarial gain (loss) | 0 | 0.3 | 0 | ||||
Prior service benefit | 0 | (4.3) | (0.4) | ||||
Amortization of prior service benefit (cost) | 0 | 0 | 0 | ||||
Curtailment gain | 0 | 7.3 | 0 | ||||
Settlement loss | 0 | (0.1) | 0 | ||||
Net translation adjustment | 0 | (4.9) | 0.6 | ||||
Total (gain) loss recognized in other comprehensive income | 0 | 58.9 | (10.4) | ||||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | 0 | 74.9 | 15.9 | ||||
Successor [Member] | Other Postretirement Benefit Plan [Member] | |||||||
Net periodic benefit cost: | |||||||
Service cost | 0 | 0 | 0 | 0.1 | 0.2 | ||
Interest cost | 0 | 0.1 | 0 | 0.1 | 0.2 | ||
Amortization of actuarial (gain) loss, net | 0 | 0.1 | 0 | ||||
Amortization of prior service cost | (0.9) | 0 | 0 | (1.4) | 0 | ||
Net periodic benefit cost | $ (0.9) | $ 0.1 | 0 | (1.1) | 0.4 | ||
Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: | |||||||
Net actuarial (gain) loss | 0 | (4.6) | (0.7) | ||||
Amortization of actuarial gain (loss) | 0 | (0.1) | 0 | ||||
Prior service benefit | 0 | 0 | 0 | ||||
Amortization of prior service benefit (cost) | 0 | 1.4 | 0 | ||||
Net translation adjustment | 0 | 0 | 0.1 | ||||
Total (gain) loss recognized in other comprehensive income | 0 | (3.3) | (0.6) | ||||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | $ 0 | $ (4.4) | $ (0.2) | ||||
Predecessor [Member] | |||||||
Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: | |||||||
Net actuarial (gain) loss | $ (1.1) | $ 99.6 | |||||
Predecessor [Member] | Pension Plan [Member] | |||||||
Net periodic benefit cost: | |||||||
Service cost | 1.6 | 14.8 | |||||
Interest cost | 1.8 | 22 | |||||
Expected return on plan assets | (1.9) | (18.4) | |||||
Amortization of actuarial (gain) loss, net | 1.1 | 5.2 | |||||
Amortization of prior service cost | 0 | 0.2 | |||||
Curtailment gain | 0 | 0 | |||||
Settlement loss | 0 | 3.9 | |||||
Net periodic benefit cost | 2.6 | 27.7 | |||||
Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: | |||||||
Net actuarial (gain) loss | 0 | 112.7 | |||||
Amortization of actuarial gain (loss) | (1.1) | (5.2) | |||||
Prior service benefit | 0 | (0.3) | |||||
Amortization of prior service benefit (cost) | 0 | (0.2) | |||||
Curtailment gain | 0 | 0 | |||||
Settlement loss | 0 | (3.9) | |||||
Net translation adjustment | 0 | 0 | |||||
Total (gain) loss recognized in other comprehensive income | (1.1) | 103.1 | |||||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | 1.5 | 130.8 | |||||
Predecessor [Member] | Other Postretirement Benefit Plan [Member] | |||||||
Net periodic benefit cost: | |||||||
Service cost | 0 | 0.3 | |||||
Interest cost | 0 | 0.5 | |||||
Amortization of actuarial (gain) loss, net | 0 | 0 | |||||
Amortization of prior service cost | 0 | 0.2 | |||||
Net periodic benefit cost | 0 | 1 | |||||
Changes in plan assets and benefit obligations recognized in other comprehensive (income) loss: | |||||||
Net actuarial (gain) loss | 0 | 2.7 | |||||
Amortization of actuarial gain (loss) | 0 | 0 | |||||
Prior service benefit | 0 | (5.9) | |||||
Amortization of prior service benefit (cost) | 0 | (0.2) | |||||
Net translation adjustment | 0 | 0 | |||||
Total (gain) loss recognized in other comprehensive income | 0 | (3.4) | |||||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | $ 0 | $ (2.4) |
Long-term Employee Benefits - A
Long-term Employee Benefits - Additional Information (Detail) - Successor [Member] - USD ($) | Feb. 01, 2013 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 |
Compensation and Retirement Disclosure [Abstract] | |||||||
Recognized gain (loss) due to curtailments | $ 5,600,000 | ||||||
Transfer period | 180 days | ||||||
Increases in AOCI due to amendments | $ 12,000,000 | ||||||
Rate of return on plan assets to determine net cost | 5.21% | 5.23% | |||||
Health care cost trend rate assumed | 5.00% | ||||||
Effect of 1% increase on cost components | $ 100,000 | ||||||
Effect of 1% decrease on cost components | 100,000 | ||||||
Effect of 1% increase on postretirement benefit obligation | 0 | ||||||
Defined contribution plan, employer contribution amount | 35,900,000 | ||||||
Pension Plan [Member] | |||||||
Compensation and Retirement Disclosure [Abstract] | |||||||
Recognized gain (loss) due to curtailments | $ 0 | $ 7,300,000 | $ 0 | ||||
Rate of return on plan assets to determine net cost | 5.23% | 5.22% | |||||
Estimated future employer contribution | $ 16,500,000 | ||||||
Other Postretirement Benefit Plan [Member] | |||||||
Compensation and Retirement Disclosure [Abstract] | |||||||
Estimated future employer contribution | 0 | ||||||
Selling, General and Administrative Expenses [Member] | Pension Plan [Member] | |||||||
Compensation and Retirement Disclosure [Abstract] | |||||||
Recognized gain (loss) due to curtailments | $ 7,300,000 | $ 7,700,000 | $ 7,300,000 |
Stock-based Compensation - Addi
Stock-based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | $ 1.8 | $ 1.8 | $ 8 | $ 7.4 | ||
Compensation not yet recognized | $ 8.6 | $ 9.7 | ||||
Grants in period | 100,945 | 1,558,159 | ||||
Weighted average exercise price | $ 25.49 | $ 9.62 | ||||
Grant date fair value | $ 6.88 | $ 1.92 | $ 1.38 | |||
Tax benefit from compensation expense | $ 2.8 | $ 2.6 | ||||
Cash received from exercise of stock options | 3 | |||||
Vested in period, fair value | $ 4.5 | $ 0 | ||||
Forfeiture rate | 0.00% | |||||
Successor [Member] | July 31, 2013, Strike Price 1 and 4 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Expected term | 6 years 6 months | |||||
Successor [Member] | July 312013 Strike Price 2 and 3 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Expected term | 8 years 3 months | |||||
Successor [Member] | 2013 Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized | 19,839,143 | |||||
Successor [Member] | 2014 Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized | 11,830,000 | |||||
Awards granted | 0 | |||||
Predecessor [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based compensation expense | $ 0.1 | $ 0.5 | ||||
Value of stock grants, net of forfeitures | $ 2 | |||||
Employee Stock Option [Member] | Successor [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Period for recognition of compensation not yet recognized | 3 years 1 month 6 days | 3 years 4 months 24 days | ||||
Expiration period | 10 years | 10 years | ||||
Award vesting period | 3 years | |||||
Employee Stock Option [Member] | Successor [Member] | Minimum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting period | 4 years 4 months 24 days | |||||
Employee Stock Option [Member] | Successor [Member] | Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting period | 5 years | |||||
Employee Stock Option [Member] | Successor [Member] | 2013 Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Expected term | 7 years 9 months 22 days | |||||
Employee Stock Option [Member] | Successor [Member] | 2014 Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Expected term | 7 years 9 months 22 days | |||||
Stock Compensation Plan [Member] | Successor [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Grants in period | 1,600,000 | |||||
Stock Compensation Plan [Member] | Successor [Member] | July 31, 2013, Strike Price 1 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Grants in period | 4,100,000 | |||||
Weighted average exercise price | $ 5.92 | $ 5.92 | ||||
Stock Compensation Plan [Member] | Successor [Member] | July 31, 2013, Strike Price 2 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Grants in period | 5,700,000 | |||||
Weighted average exercise price | 8.88 | $ 8.88 | ||||
Stock Compensation Plan [Member] | Successor [Member] | July 31, 2013, Strike Price 3 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Grants in period | 6,400,000 | |||||
Weighted average exercise price | 11.84 | $ 11.84 | ||||
Stock Compensation Plan [Member] | Successor [Member] | July 312013 Strike Price 4 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Weighted average exercise price | $ 7.21 | |||||
Restricted Stock [Member] | Successor [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Award vesting period | 3 years | |||||
Grants in period | 41,430 | |||||
Weighted average grant date fair value (dollars per share) | $ 25.49 |
Related Party Transactions (Det
Related Party Transactions (Detail) - Successor [Member] - USD ($) $ in Millions | 3 Months Ended | 4 Months Ended | 12 Months Ended | 16 Months Ended | |||
Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | |
Related Party Transaction [Line Items] | |||||||
Management fee expense | $ 0 | $ 0.8 | $ 0 | $ 3.2 | $ 3.1 | ||
Carlyle Investment Management Llc [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Fees and commissions | 3 | 3 | |||||
Management fee expense | $ 0 | 0.8 | 3.2 | 3.1 | |||
Pre tax charge related to management agreement | $ 13.4 | 13.4 | |||||
Carlyle Investment Management Llc [Member] | One-time Fee [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Fees and commissions | 35 | ||||||
Carlyle Investment Management Llc [Member] | Deferred Financing Costs [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Fees and commissions | 14 | ||||||
Carlyle Investment Management Llc [Member] | Acquisition-related Costs [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Fees and commissions | 21 | ||||||
Service King Collision Repair [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Related parties sales | $ 2 | $ 4 | 2 | ||||
Other Related Party [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Fees and commissions | $ 0.1 | $ 2.1 | |||||
Stock issued during period, shares, acquisitions | 352,143 | ||||||
Stock issued during period, value, acquisitions | $ 0.5 |
Other Expense, Net - Schedule o
Other Expense, Net - Schedule of Other Non-operating Income (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Other Income Expense [Line Items] | |||||||
Exchange losses, net | $ 8.7 | $ 0.1 | $ 0 | $ 81.2 | $ 48.9 | ||
Management fees and expenses | 0 | 0.8 | 0 | 16.6 | 3.1 | ||
Other | (4.8) | 3.6 | 0 | 17.2 | (3.5) | ||
Total | $ 3.9 | $ 4.5 | $ 0 | $ 115 | $ 48.5 | ||
Predecessor [Member] | |||||||
Other Income Expense [Line Items] | |||||||
Exchange losses, net | $ 4.5 | $ 17.7 | |||||
Management fees and expenses | 0 | 0 | |||||
Other | 0.5 | (1.4) | |||||
Total | $ 5 | $ 16.3 |
Other Expense, Net - Additional
Other Expense, Net - Additional Information (Detail) - Successor [Member] - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Income Expense [Line Items] | ||||
Goodwill, acquired during period | $ 12.5 | $ 1,085.4 | ||
Equity Method Investee [Member] | ||||
Other Income Expense [Line Items] | ||||
Additional interest purchased | 25.00% | 25.00% | ||
Business combination, consideration transferred | $ 4.3 | |||
Equity method investments, remeasurement gain | 5.4 | |||
Goodwill, acquired during period | 12.5 | |||
Venezuelan Subsidiary [Member] | ||||
Other Income Expense [Line Items] | ||||
Asset, reporting currency denominated, value | 13.7 | $ 13.7 | $ 150.9 | |
Asset, reporting currency-denominated, non-monetary value | $ 155.7 | $ 155.7 | ||
Foreign currency transaction gain (loss), realized | 17 | |||
Liability, reporting currency denominated, value | $ 9.1 |
Income Taxes (Detail)
Income Taxes (Detail) - Successor [Member] | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Line Items] | |||||
Effective income tax rate, percent | 2.50% | 144.60% | 0.00% | 5.70% | 17.00% |
Federal statutory income tax rate, percent | 35.00% | 35.00% | 35.00% | 35.00% |
Earnings Per Common Share - Sch
Earnings Per Common Share - Schedule of Earnings Per Share, Basic and Diluted (Detail) - Successor [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions | Feb. 01, 2013 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||||
Net income (loss) to common shareholders | $ 45.1 | $ (2.2) | $ (19.9) | $ 53.8 | $ (4.3) | $ (49.3) | $ 5 | $ (22.8) | $ (157.8) | $ (29) | $ 27.4 | $ (224.9) | |
Basic and diluted weighted average shares outstanding | 229.8 | 229.1 | 0 | 229.3 | 228.3 | ||||||||
Diluted weighted average shares outstanding | 237 | 229.1 | 0 | 230.3 | 228.3 | ||||||||
Earnings per Common Share: | |||||||||||||
Basic net income (loss) per share | $ 0.20 | $ (0.01) | $ (0.09) | $ 0.23 | $ (0.02) | $ (0.22) | $ 0.02 | $ (0.10) | $ (0.67) | $ 0 | $ 0.12 | $ (0.97) | |
Diluted net income (loss) per share | $ 0.19 | $ (0.01) | $ (0.09) | $ 0.23 | $ (0.02) | $ (0.22) | $ 0.02 | $ (0.10) | $ (0.67) | $ 0 | $ 0.12 | $ (0.97) | |
Pre-Acquisition net loss attributable to Axalta | $ (29) | $ 0 | $ (3.9) | ||||||||||
Net income (loss) to common shareholders | $ 0 | $ 27.4 | $ (221) | ||||||||||
Consideration transferred, equity interests issued and issuable | $ 1,350 |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Detail) - Successor [Member] shares in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Oct. 31, 2014 | Jul. 31, 2013 | Mar. 31, 2015shares | Mar. 31, 2014shares | Dec. 31, 2012shares | Dec. 31, 2014shares | Dec. 31, 2013shares | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||
Antidilutive securities excluded from computation of earnings per share (in shares) | 0 | 16.2 | 0 | 7.2 | 16.3 | ||
Stock split conversion ratio (in shares) | 1.69 | 100,000 |
Accounts and Notes Receivable81
Accounts and Notes Receivable, Net - Schedule of Accounts, Notes, Loans, and Financing Receivable (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Balance Sheet Components [Line Items] | |||
Accounts receivable-trade, net | $ 664.1 | $ 638.3 | $ 637.5 |
Notes receivable | 42.9 | 45.5 | 44.7 |
Other | 126 | 136.6 | 183.7 |
Total | $ 833 | $ 820.4 | $ 865.9 |
Accounts and Notes Receivable82
Accounts and Notes Receivable, Net - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||||
Balance Sheet Components [Line Items] | ||||||
Allowance for doubtful accounts | $ 9.5 | $ 9.9 | $ 6.5 | |||
Provision for Doubtful Accounts | $ 0.7 | $ 1.2 | $ 5.1 | $ 5.4 | ||
Predecessor [Member] | ||||||
Balance Sheet Components [Line Items] | ||||||
Provision for Doubtful Accounts | $ 0.2 | $ 5 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventory (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Inventory [Line Items] | |||
Finished products | $ 316.3 | $ 323.7 | $ 329.3 |
Semi-finished products | 87.9 | 81.3 | 90.2 |
Raw materials and supplies | 137.1 | 133.3 | 130.7 |
Inventories | $ 541.3 | $ 538.3 | $ 550.2 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Successor [Member] | |||
Inventory [Line Items] | |||
Stores and supplies inventories | $ 20.8 | $ 20.9 | $ 21.2 |
Property, Plant and Equipment85
Property, Plant and Equipment, Net - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Depreciation | $ 41.3 | $ 48.4 | $ 176.6 | $ 174.3 | ||
Predecessor [Member] | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Depreciation | $ 7.2 | $ 82.9 |
Property, Plant and Equipment86
Property, Plant and Equipment, Net - Schedule of Property, Plant and Equipment (Detail) - Successor [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2014 | Mar. 31, 2015 | Dec. 31, 2013 | |
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | $ 1,858.2 | $ 1,776.3 | $ 1,806.2 |
Accumulated depreciation | (344.1) | (364.6) | (183.6) |
Property, plant, and equipment, net | 1,514.1 | $ 1,411.7 | 1,622.6 |
Land [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | 90.5 | 99.9 | |
Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | $ 418.4 | 430.7 | |
Building and Building Improvements [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 5 years | ||
Building and Building Improvements [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 25 years | ||
Machinery and Equipment [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | $ 1,060.1 | 1,087 | |
Machinery and Equipment [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 3 years | ||
Machinery and Equipment [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 25 years | ||
Software and Software Development Costs [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | $ 122.1 | 42.4 | |
Software and Software Development Costs [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 5 years | ||
Software and Software Development Costs [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 7 years | ||
Property, Plant and Equipment, Other Types [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | $ 29.1 | 26.3 | |
Property, Plant and Equipment, Other Types [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 3 years | ||
Property, Plant and Equipment, Other Types [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Useful life of PP&E | 20 years | ||
Construction in Progress [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, gross | $ 138 | $ 119.9 |
Borrowings - Schedule of Debt (
Borrowings - Schedule of Debt (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | |||
Short-term borrowings | $ 14.3 | $ 12.2 | $ 18.2 |
Other borrowings | 6.1 | 0.7 | |
Unamortized original issue discount | (17.3) | (18.3) | (22.7) |
Debt and Capital Lease Obligations | 3,608.3 | 3,696.4 | 3,920.9 |
Current portion of long-term borrowings | 27.3 | 27.9 | 28.5 |
Long-term borrowings | 3,566.7 | 3,656.3 | 3,874.2 |
Dollar Term Loan Due 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Term loan | 2,159.8 | 2,165.5 | 2,282.8 |
Euro Term Loan Due 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Term loan | 425 | 481 | 547.7 |
Dollar Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | 750 | 750 | 750 |
Euro Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | $ 270.4 | $ 305.3 | $ 344.9 |
Borrowings - Senior Secured Cre
Borrowings - Senior Secured Credit Facilities (Detail) - Successor [Member] € in Millions | Feb. 03, 2014USD ($) | Mar. 31, 2015USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Feb. 03, 2014EUR (€) |
Debt Instrument [Line Items] | |||||||
Line of credit facility, maximum borrowing capacity | $ 400,000,000 | ||||||
Proceeds from maturities, prepayments and calls of other investments (more than) | $ 25,000,000 | ||||||
Percentage on excess cash flow for mandatory prepayments of debt | 50.00% | ||||||
Decrease in percentage on excess cash flow for mandatory prepayments of debt | 25.00% | ||||||
Percentage on first lien leverage ratio for mandatory prepayments of debt | 0.00% | ||||||
First lien leverage ratio upper limit | 4.25 | ||||||
First lien leverage ratio lower limit | 3.50 | ||||||
Debt instrument, percent of credit facility outstanding for financial covenant to be applicable | 25.00% | ||||||
Debt instrument, percent of letters of credit not cash collateralized for financial covenant to be applicable | 103.00% | ||||||
Unamortized original issue discount | $ 17,300,000 | $ 18,300,000 | $ 22,700,000 | ||||
Gains (losses) on extinguishment of debt | $ 0 | $ (3,100,000) | $ 0 | (6,100,000) | 0 | ||
Dollar Term Loan Due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt, long-term and short-term, combined amount | $ 2,282,800,000 | ||||||
Debt instrument, maturity date | Feb. 1, 2020 | ||||||
Debt instrument periodic payment principal percentage | 1.00% | ||||||
Amortization of debt discount (premium) | 800,000 | ||||||
Repayments of debt | 100,000,000 | ||||||
Gains (losses) on extinguishment of debt | (3,000,000) | ||||||
Write off of deferred debt issuance cost | 2,200,000 | ||||||
Euro Term Loan Due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt, long-term and short-term, combined amount | € | € 397 | ||||||
Debt instrument periodic payment principal percentage | 1.00% | ||||||
New Dollar Term Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 2.75% | ||||||
Debt instrument covenant maximum consolidated leverage ratio | 4.5 | ||||||
Repayments of debt | 100,000,000 | ||||||
Gains (losses) on extinguishment of debt | (3,000,000) | ||||||
New Dollar Term Loans [Member] | Eurocurrency Rate Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||
Debt instrument basis spread reduced on variable rate | 0.25% | ||||||
New Euro Term Loan [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 3.25% | 3.00% | |||||
Debt instrument covenant maximum consolidated leverage ratio | 4.50 | ||||||
Senior Secured Credit Facilities [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Deferred finance costs, net | $ 92,900,000 | 13,300,000 | 11,700,000 | ||||
Unamortized original issue discount | $ 25,700,000 | ||||||
Amortization of financing costs | $ 3,200,000 | 3,300,000 | |||||
Amortization of debt discount (premium) | 800,000 | $ 900,000 | 3,600,000 | 3,000,000 | |||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, maturity date | Feb. 1, 2018 | ||||||
Line of credit facility, maximum amount outstanding during period | 0 | 0 | 0 | ||||
Letters of credit outstanding, amount | 21,300,000 | 15,500,000 | 20,700,000 | ||||
Line of credit facility, remaining borrowing capacity | $ 378,700,000 | $ 384,500,000 | $ 379,300,000 | ||||
Interest Rate Floor [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument basis spread reduced on variable rate | 3.25% | 3.25% | |||||
Interest Rate Floor [Member] | New Dollar Term Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||
Interest Rate Floor [Member] | Senior Secured Credit Facilities [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 3.50% | ||||||
Debt instrument basis spread reduced on variable rate | 3.25% | 3.25% | |||||
Interest Rate Floor [Member] | Senior Secured Credit Facilities [Member] | Eurocurrency Rate Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||
Interest Rate Floor [Member] | Prior to Amendment [Member] | Dollar Term Loan Due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 3.50% | ||||||
Interest Rate Floor [Member] | Prior to Amendment [Member] | Dollar Term Loan Due 2020 [Member] | Eurocurrency Rate Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.25% | ||||||
Interest Rate Floor [Member] | Prior to Amendment [Member] | Euro Term Loan Due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 2.50% | ||||||
Debt instrument, basis spread on variable rate | 1.25% | 1.25% | |||||
Debt instrument, interest rate, effective percentage rate range, minimum | 4.00% | ||||||
Base Rate [Member] | Dollar Term Loan Due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||
Base Rate [Member] | New Dollar Term Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||
Base Rate [Member] | New Euro Term Loan [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument basis spread reduced on variable rate | 0.25% | ||||||
Base Rate [Member] | Senior Secured Credit Facilities [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||
Base Rate [Member] | Prior to Amendment [Member] | Dollar Term Loan Due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||
Prime Rate [Member] | Adjusted Euro Currency Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument basis spread reduced on variable rate | 2.25% | 2.25% | |||||
Prime Rate [Member] | Senior Secured Credit Facilities [Member] | Adjusted Euro Currency Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||
Debt instrument basis spread reduced on variable rate | 2.25% | 2.25% | |||||
Debt instrument, basis spread on additional variable rate | 2.50% | ||||||
Eurocurrency Rate Loans [Member] | New Dollar Term Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 3.00% |
Borrowings - Senior Notes (Deta
Borrowings - Senior Notes (Detail) - Successor [Member] | Feb. 01, 2013USD ($) | Mar. 31, 2015USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Feb. 01, 2013EUR (€) |
Dollar Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate, stated percentage | 7.375% | 7.375% | ||||
Debt issuance cost | $ 22,900,000 | |||||
Unamortized debt issuance expense | $ 16,900,000 | $ 17,600,000 | $ 20,400,000 | |||
Debt instrument, maturity date | May 1, 2021 | |||||
Debt instrument, redemption price, percentage | 101.00% | |||||
Dollar Senior Notes [Member] | Any Time Prior to February 1, 2016 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, redemption price, percentage of principal amount redeemed | 40.00% | |||||
Debt instrument, redemption price, percentage | 107.375% | |||||
7.375% Senior Unsecured Notes Due 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, face amount | $ 750,000,000 | |||||
Debt instrument, interest rate, stated percentage | 7.375% | 7.375% | ||||
Debt instrument maturity year | 2,021 | |||||
5.750% Senior Secured Notes Due 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, face amount | € | € 250,000,000 | |||||
Debt instrument, interest rate, stated percentage | 5.75% | 5.75% | ||||
Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt issuance cost | $ 33,100,000 | |||||
Unamortized debt issuance expense | 24,300,000 | 25,300,000 | 29,400,000 | |||
Amortization of financing costs | 1,000,000 | $ 1,000,000 | 4,100,000 | 3,700,000 | ||
Euro Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate, stated percentage | 5.75% | 5.75% | ||||
Debt issuance cost | $ 10,200,000 | |||||
Unamortized debt issuance expense | $ 7,400,000 | $ 7,700,000 | $ 9,000,000 | |||
Debt instrument, maturity date | Feb. 1, 2021 | |||||
Euro Senior Notes [Member] | Any Time Prior to February 1, 2016 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, redemption price, percentage of principal amount redeemed | 40.00% | |||||
Debt instrument, redemption price, percentage | 105.75% | |||||
Euro Senior Notes [Member] | Debt Instrument Redemption Period [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, redemption price, percentage of principal amount redeemed | 10.00% | |||||
Euro Senior Notes [Member] | 12 Month Period Prior to February 1, 2016 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, redemption price, percentage | 103.00% |
Borrowings - Debt Instrument Re
Borrowings - Debt Instrument Redemption (Detail) - Successor [Member] | Feb. 01, 2013 | Mar. 31, 2015 | Dec. 31, 2014 |
Dollar Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 101.00% | ||
2016 [Member] | Dollar Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 105.531% | 105.531% | |
2016 [Member] | Euro Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 104.313% | 104.313% | |
2017 [Member] | Dollar Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 103.688% | 103.688% | |
2017 [Member] | Euro Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 102.875% | 102.875% | |
2018 [Member] | Dollar Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 101.844% | 101.844% | |
2018 [Member] | Euro Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 101.438% | 101.438% | |
2019 and thereafter [Member] | Dollar Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 100.00% | 100.00% | |
2019 and thereafter [Member] | Euro Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 100.00% | 100.00% | |
Debt Instrument, Redemption, Period Five [Member] | Dollar Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 100.00% | ||
Debt Instrument, Redemption, Period Five [Member] | Euro Senior Notes [Member] | |||
Debt Instrument, Redemption [Line Items] | |||
Debt instrument, redemption price, percentage | 100.00% |
Borrowings - Schedule of Maturi
Borrowings - Schedule of Maturities of Long-term Debt (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 |
Debt Disclosure [Line Items] | ||
2,015 | $ 34.2 | $ 40.1 |
2,016 | 29.7 | 27.9 |
2,017 | 29.2 | 27.9 |
2,018 | 28.1 | 28.6 |
2,019 | 27.3 | 27.9 |
Thereafter | 3,477.1 | 3,562.3 |
Long-term Debt | $ 3,625.6 | $ 3,714.7 |
Borrowings - Reclassifications
Borrowings - Reclassifications and Revisions (Detail) - Prior Period Reclassification Adjustment [Member] - USD ($) $ in Millions | 3 Months Ended | |||||
Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | |
Debt Instrument [Line Items] | ||||||
Net income | $ 2.5 | $ 2.8 | $ 2 | $ 1.4 | $ 5.1 | $ 3 |
Determination of Effective Interest Rate Amortization [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Net income | 2.8 | |||||
Interest expense, debt | 3.1 | |||||
Provision for income taxes | $ 0.3 |
Fair Value Accounting (Detail)
Fair Value Accounting (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2015 | |
Successor [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-sale securities | $ 4.5 | $ 4.9 | $ 4.5 |
Goodwill and intangible asset impairment | 0.1 | 3.2 | |
Successor [Member] | In Process Research and Development [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Goodwill and intangible asset impairment | 0.1 | 3.2 | |
Successor [Member] | Dollar Senior Notes [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | 795 | 798.8 | 813.8 |
Successor [Member] | Euro Senior Notes [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | 320.5 | 362.1 | 284.6 |
Successor [Member] | Dollar Term Loan Due 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | 2,100.5 | 2,297.1 | 2,149 |
Successor [Member] | Euro Term Loan Due 2020 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | $ 478 | 552.5 | $ 428.2 |
Predecessor [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | $ 0 |
Derivative Financial Instrume94
Derivative Financial Instruments - Additional Information (Detail) - Successor [Member] € in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013USD ($)Interest_Rate_Swaps | Dec. 31, 2013EUR (€)Interest_Rate_Swaps | |
Derivatives, Fair Value [Line Items] | ||||
Number Of interest rate swaps | Interest_Rate_Swaps | 5 | 5 | ||
Gain (loss) on sale of derivatives | $ 19.4 | |||
Euro Term Loan Due 2020 [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Long-term debt, gross | € | € 300 | |||
Derivative, cap interest rate | 1.50% | 1.50% | ||
Interest Rate Swap [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Derivative, notional amount | $ 1,173 | |||
Derivative, maturity date | Sep. 29, 2017 | Sep. 29, 2017 | ||
Interest Rate Cap [Member] | Euro Term Loan Due 2020 [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Debt instrument, unamortized premium | $ 3.1 |
Derivative Financial Instrume95
Derivative Financial Instruments - Schedule of Derivative Instruments in Statement of Financial Position, Fair Value (Detail) - Successor [Member] - Fair Value, Inputs, Level 2 [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | $ 0.8 | $ 5.9 | $ 10.5 |
Derivative liability | 2.5 | 1.5 | 1.2 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | Other Assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | 0 | 0 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | 0.8 | 5.9 | 10.5 |
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Liabilities [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative liability | 2.5 | 1.5 | 1.2 |
Not Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | 0.1 | 0.1 | 3.4 |
Derivative liability | 0 | 0 | |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | Other Assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | 0 | 0 | |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | 0.1 | 3.4 | |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Other Liabilities [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative liability | 0 | $ 0 | |
Not Designated as Hedging Instrument [Member] | Interest Rate Cap [Member] | Other Assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset | $ 0.1 | $ 0.1 |
Derivative Financial Instrume96
Derivative Financial Instruments - Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location (Detail) - Interest Rate Contracts [Member] - Successor [Member] - Cash Flow Hedging [Member] - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount of (Gain) Loss Recognized in OCI on Derivatives (Effective Portion) | $ 4.8 | $ (0.5) | $ 4.6 | $ (5) |
Interest Expense [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Amount of (Gain) Loss Reclassified from Accumulated OCI to Income (Effective Portion) | 1.6 | 1.6 | 6.5 | 4.4 |
Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion) | $ 1.2 | $ 1.3 | $ 0.3 | $ (4.3) |
Derivative Financial Instrume97
Derivative Financial Instruments - Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | $ (1.8) | $ 3 | $ 4.8 | $ 20.6 | ||
Predecessor [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | $ 2 | $ 3.9 | ||||
Other Nonoperating Income (Expense) [Member] | Successor [Member] | Foreign Exchange Contract [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | 1.4 | 20.9 | ||||
Other Nonoperating Income (Expense) [Member] | Successor [Member] | Foreign Exchange Contract [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | (1.8) | 1.2 | ||||
Other Nonoperating Income (Expense) [Member] | Predecessor [Member] | Foreign Exchange Contract [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | 2 | 3.9 | ||||
Interest Expense [Member] | Successor [Member] | Interest Rate Cap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | $ 3.4 | $ (0.3) | ||||
Interest Expense [Member] | Successor [Member] | Interest Rate Cap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | $ 0 | $ 1.8 | ||||
Interest Expense [Member] | Predecessor [Member] | Interest Rate Cap [Member] | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
(Gain) loss on non-derivative instruments, net | $ 0 | $ 0 |
Segments - Reconciliation of Re
Segments - Reconciliation of Revenue from Segments to Consolidated (Detail) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013USD ($) | Mar. 31, 2015USD ($)Segment | Mar. 31, 2014USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2014USD ($)Segment | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | |
Successor [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Number of operating segments | Segment | 2 | 2 | |||||
Net sales | $ 989.2 | $ 1,047.4 | $ 0 | $ 4,361.7 | $ 3,951.1 | ||
Successor [Member] | Performance Coatings [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 557.2 | 616.1 | 2,585 | 2,325.3 | |||
Successor [Member] | Performance Coatings [Member] | Refinish [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 393.2 | 435.2 | 1,850.8 | 1,670 | |||
Successor [Member] | Performance Coatings [Member] | Industrial [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 164 | 180.9 | 734.2 | 655.3 | |||
Successor [Member] | Transportation Coatings [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 432 | 431.3 | 1,776.7 | 1,625.8 | |||
Successor [Member] | Transportation Coatings [Member] | Light Vehicle [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 333.2 | 339.6 | 1,384.5 | 1,291.5 | |||
Successor [Member] | Transportation Coatings [Member] | Commercial Vehicle [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | $ 98.8 | $ 91.7 | $ 392.2 | $ 334.3 | |||
Predecessor [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | $ 326.2 | $ 4,219.4 | |||||
Predecessor [Member] | Performance Coatings [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 186.8 | 2,479.5 | |||||
Predecessor [Member] | Performance Coatings [Member] | Refinish [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 129.4 | 1,759.3 | |||||
Predecessor [Member] | Performance Coatings [Member] | Industrial [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 57.4 | 720.2 | |||||
Predecessor [Member] | Transportation Coatings [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 139.4 | 1,739.9 | |||||
Predecessor [Member] | Transportation Coatings [Member] | Light Vehicle [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | 111.6 | 1,390.6 | |||||
Predecessor [Member] | Transportation Coatings [Member] | Commercial Vehicle [Member] | |||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||
Net sales | $ 27.8 | $ 349.3 |
Segments - Schedule of Segment
Segments - Schedule of Segment Reporting Information, by Segment (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Net sales | $ 989.2 | $ 1,047.4 | $ 0 | $ 4,361.7 | $ 3,951.1 | ||
Equity in earnings in unconsolidated affiliates | 0.4 | 0.6 | (1.4) | 2.1 | |||
Adjusted EBITDA | 182 | 186.7 | 0 | 840.5 | 699 | ||
Investment in unconsolidated affiliates | 10.5 | 16.4 | 14.3 | 15.8 | |||
Successor [Member] | Performance Coatings [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Net sales | 557.2 | 616.1 | 2,585 | 2,325.3 | |||
Equity in earnings in unconsolidated affiliates | 0.1 | 0.3 | (1.2) | 1.8 | |||
Adjusted EBITDA | 107.1 | 124.5 | 547.6 | 500.2 | |||
Investment in unconsolidated affiliates | 4 | 8 | 7.2 | 7.7 | |||
Successor [Member] | Transportation Coatings [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Net sales | 432 | 431.3 | 1,776.7 | 1,625.8 | |||
Equity in earnings in unconsolidated affiliates | 0.3 | 0.3 | (0.2) | 0.3 | |||
Adjusted EBITDA | 74.9 | 62.2 | 292.9 | 198.8 | |||
Investment in unconsolidated affiliates | $ 6.5 | $ 8.4 | $ 7.1 | $ 8.1 | |||
Predecessor [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Net sales | $ 326.2 | $ 4,219.4 | |||||
Equity in earnings in unconsolidated affiliates | (0.3) | 0.6 | |||||
Adjusted EBITDA | 32.7 | 577.6 | |||||
Investment in unconsolidated affiliates | 8.7 | 7.9 | 7.9 | ||||
Predecessor [Member] | Performance Coatings [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Net sales | 186.8 | 2,479.5 | |||||
Equity in earnings in unconsolidated affiliates | 0 | 0 | |||||
Adjusted EBITDA | 15 | 426 | |||||
Investment in unconsolidated affiliates | 2 | 0.8 | 0.8 | ||||
Predecessor [Member] | Transportation Coatings [Member] | |||||||
Segment Reporting Information [Line Items] | |||||||
Net sales | 139.4 | 1,739.9 | |||||
Equity in earnings in unconsolidated affiliates | (0.3) | 0.6 | |||||
Adjusted EBITDA | 17.7 | 151.6 | |||||
Investment in unconsolidated affiliates | $ 6.7 | $ 7.1 | $ 7.1 |
Segments - Reconciliation of Op
Segments - Reconciliation of Operating Profit (Loss) from Segments to Consolidated (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||||||
Mar. 31, 2015 | Jan. 31, 2013 | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Income (loss) before income taxes | $ 47.9 | $ 8.3 | $ (29) | $ 36.8 | $ (263.7) | ||||||
Interest expense, net | 50 | 59 | 0 | 217.7 | 215.1 | ||||||
Depreciation and amortization | 72.6 | 81.1 | 0 | 308.7 | 300.7 | ||||||
EBITDA | 170.5 | 148.4 | (29) | 563.2 | 252.1 | ||||||
Debt modification costs | 0 | 3.1 | 0 | 6.1 | 25 | ||||||
Exchange losses, net | (8.7) | (0.1) | 0 | (81.2) | (48.9) | ||||||
Long-term employee benefit plan adjustments | (0.2) | (2.3) | 0 | 0.6 | (9.5) | ||||||
Termination benefits and other employee related costs | 3.7 | 3.2 | 0 | 18.4 | 147.5 | ||||||
Consulting and advisory fees | 3.1 | 13 | 0 | 36.3 | 54.7 | ||||||
Transition-related costs | 0 | 13.9 | 0 | 101.8 | 29.3 | ||||||
Secondary offering costs | 1.4 | 0 | |||||||||
Other adjustments | (2.1) | 2.8 | 0 | 10.8 | 2.3 | ||||||
Dividends in respect of noncontrolling interest | 3.5 | 0.9 | 0 | 2.2 | 5.2 | ||||||
Management fee expense | 0 | 0.8 | 0 | 3.2 | 3.1 | ||||||
Adjusted EBITDA | 182 | 186.7 | 0 | 840.5 | 699 | ||||||
Inventory step-up | $ (31.1) | $ (72.6) | 0 | 0 | (103.7) | ||||||
Merger and acquisition related costs | (29) | 0 | (28.1) | ||||||||
Cost of Initial Public Offering | 0 | (22.3) | 0 | ||||||||
Bridge financing commitment fees | 0 | 0 | 25 | ||||||||
Gains (losses) on extinguishment of debt | 0 | (3.1) | $ 0 | (6.1) | 0 | ||||||
Gain (loss) on sale of derivatives | 19.4 | ||||||||||
Successor [Member] | Bridge Facility [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Bridge financing commitment fees | 21 | ||||||||||
Successor [Member] | Bridge Facility [Member] | Debt Associated Fees [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Bridge financing commitment fees | 4 | ||||||||||
Successor [Member] | Senior Secured Credit Facilities [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Refinancing costs | 3.1 | 3.1 | |||||||||
Equity method investments, remeasurement gain | $ 5.4 | ||||||||||
Successor [Member] | New Dollar Term Loans [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Gains (losses) on extinguishment of debt | (3) | ||||||||||
Repayments of debt | 100 | ||||||||||
Successor [Member] | Carlyle Investment Management Llc [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Consulting and advisory fees | 3 | ||||||||||
Management fee expense | $ 0 | $ 0.8 | 3.2 | $ 3.1 | |||||||
Pre tax charge related to management agreement | $ 13.4 | $ 13.4 | |||||||||
Predecessor [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Income (loss) before income taxes | $ 15.6 | $ 393 | |||||||||
Interest expense, net | 0 | 0 | |||||||||
Depreciation and amortization | 9.9 | 110.7 | |||||||||
EBITDA | 25.5 | 503.7 | |||||||||
Debt modification costs | 0 | 0 | |||||||||
Exchange losses, net | (4.5) | (17.7) | |||||||||
Long-term employee benefit plan adjustments | (2.3) | (36.9) | |||||||||
Termination benefits and other employee related costs | 0.3 | 8.6 | |||||||||
Consulting and advisory fees | 0 | 0 | |||||||||
Transition-related costs | 0 | 0 | |||||||||
Other adjustments | 0.1 | 12.6 | |||||||||
Dividends in respect of noncontrolling interest | 0 | 0 | |||||||||
Management fee expense | 0 | 0 | |||||||||
Adjusted EBITDA | 32.7 | 577.6 | |||||||||
Inventory step-up | 0 | 0 | |||||||||
Merger and acquisition related costs | 0 | 0 | |||||||||
Cost of Initial Public Offering | 0 | 0 | |||||||||
Bridge financing commitment fees | 0 | 0 | |||||||||
Gains (losses) on extinguishment of debt | $ 0 | 0 | |||||||||
Predecessor [Member] | Noncontrolling Interest [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Dividends in respect of noncontrolling interest | $ 1.9 |
Shareholders' Equity (Detail)
Shareholders' Equity (Detail) - Successor [Member] - USD ($) $ in Millions | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Total stockholders' equity, beginning balance | $ 1,112 | $ 1,206 | $ 1,211.8 | $ (29) | $ 1,211.8 | $ (29) | ||||||
Net income | 46.7 | $ 0.9 | $ (18.3) | 55.8 | (3.7) | $ (47) | $ 6.4 | $ (21.8) | $ (156.5) | $ (29) | 34.7 | (218.9) |
Other comprehensive (loss), net of tax | (112.5) | (3) | 0 | (142) | 34 | |||||||
Exercise of stock options | (0.6) | 3 | ||||||||||
Recognition of stock-based compensation | 1.8 | 1.8 | 8 | 7.4 | ||||||||
Noncontrolling interests of acquired subsidiaries | 4.3 | (3.8) | 66.7 | |||||||||
Dividends declared to noncontrolling interests | (3.5) | (0.9) | (2.2) | (3.8) | ||||||||
Total stockholders' equity, ending balance | 1,048.2 | 1,112 | 1,206 | 1,211.8 | $ (29) | 1,112 | 1,211.8 | |||||
Parent [Member] | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Total stockholders' equity, beginning balance | 1,044.7 | 1,137.4 | 1,142.9 | 1,142.9 | ||||||||
Net income | 45.1 | (4.3) | ||||||||||
Other comprehensive (loss), net of tax | (112.1) | (3) | ||||||||||
Exercise of stock options | (0.6) | |||||||||||
Recognition of stock-based compensation | 1.8 | 1.8 | ||||||||||
Noncontrolling interests of acquired subsidiaries | 0 | |||||||||||
Dividends declared to noncontrolling interests | 0 | 0 | ||||||||||
Total stockholders' equity, ending balance | 978.9 | 1,044.7 | 1,137.4 | 1,142.9 | 1,044.7 | 1,142.9 | ||||||
Noncontrolling Interest [Member] | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Total stockholders' equity, beginning balance | 67.3 | $ 68.6 | 68.9 | 68.9 | ||||||||
Net income | 1.6 | 0.6 | 7.3 | 6 | ||||||||
Other comprehensive (loss), net of tax | (0.4) | 0 | ||||||||||
Exercise of stock options | 0 | |||||||||||
Recognition of stock-based compensation | 0 | 0 | ||||||||||
Noncontrolling interests of acquired subsidiaries | 4.3 | (2) | 66.7 | |||||||||
Dividends declared to noncontrolling interests | (3.5) | (0.9) | (2.2) | (3.8) | ||||||||
Total stockholders' equity, ending balance | $ 69.3 | $ 67.3 | $ 68.6 | $ 68.9 | $ 67.3 | $ 68.9 |
Accumulated Other Comprehens102
Accumulated Other Comprehensive Income (Loss) - Schedule of Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||
Jan. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | $ (103.3) | $ 34 | $ 34 | |||||
Other comprehensive income (loss), net of tax | (112.5) | (3) | $ 0 | (142) | $ 34 | |||
Accumulated other comprehensive income (loss), ending balance | (215.4) | (103.3) | 34 | |||||
Predecessor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Other comprehensive income (loss), net of tax | $ 0.9 | $ (64.6) | ||||||
Unrealized Currency Translation Adjustments | Successor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | (72.1) | 24.3 | 24.3 | |||||
Current year deferrals to AOCI | (109.2) | (7.5) | (96.4) | 24.3 | ||||
Reclassifications from AOCI to Net income | 0 | 0 | 0 | 0 | ||||
Other comprehensive income (loss), net of tax | (109.2) | (7.5) | (96.4) | 24.3 | ||||
Accumulated other comprehensive income (loss), ending balance | (181.3) | 16.8 | (72.1) | 24.3 | ||||
Accumulated Defined Benefit Plans Adjustment [Member] | Successor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | (31.2) | 7.5 | 7.5 | |||||
Current year deferrals to AOCI | 0 | 4.5 | (29.7) | 7.5 | ||||
Reclassifications from AOCI to Net income | (0.4) | (0.1) | (9) | 0 | ||||
Other comprehensive income (loss), net of tax | (0.4) | 4.4 | (38.7) | 7.5 | ||||
Accumulated other comprehensive income (loss), ending balance | (31.6) | 11.9 | (31.2) | 7.5 | ||||
Accumulated Defined Benefit Plans Adjustment [Member] | Predecessor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | (141.6) | $ (142.3) | (141.6) | |||||
Current year deferrals to AOCI | 0.7 | |||||||
Other comprehensive income (loss), net of tax | 0.7 | |||||||
Accumulated other comprehensive income (loss), ending balance | (141.6) | (141.6) | (141.6) | |||||
Unrealized (Gain) Loss on Securities | Successor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | (0.2) | (0.9) | (0.9) | |||||
Current year deferrals to AOCI | 0.5 | (0.2) | 0.7 | (0.9) | ||||
Reclassifications from AOCI to Net income | 0 | 0 | 0 | 0 | ||||
Other comprehensive income (loss), net of tax | 0.5 | (0.2) | 0.7 | (0.9) | ||||
Accumulated other comprehensive income (loss), ending balance | 0.3 | (1.1) | (0.2) | (0.9) | ||||
Unrealized (Gain) Loss on Securities | Predecessor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | 1.6 | 1.4 | 1.6 | |||||
Current year deferrals to AOCI | 0.2 | |||||||
Other comprehensive income (loss), net of tax | 0.2 | |||||||
Accumulated other comprehensive income (loss), ending balance | 1.6 | 1.6 | 1.6 | |||||
Unrealized Gain (Losses) on Derivatives | Successor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | 0.2 | 3.1 | 3.1 | |||||
Current year deferrals to AOCI | (1.4) | 1.9 | 3.6 | 7.5 | ||||
Reclassifications from AOCI to Net income | (1.6) | (1.6) | (6.5) | (4.4) | ||||
Other comprehensive income (loss), net of tax | (3) | 0.3 | (2.9) | 3.1 | ||||
Accumulated other comprehensive income (loss), ending balance | (2.8) | 3.4 | 0.2 | 3.1 | ||||
Accumulated Other Comprehensive Income (Loss) [Member] | Successor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | (103.3) | 34 | 34 | |||||
Current year deferrals to AOCI | (110.1) | (1.3) | (121.8) | 38.4 | ||||
Reclassifications from AOCI to Net income | (2) | (1.7) | (15.5) | (4.4) | ||||
Other comprehensive income (loss), net of tax | (112.1) | (3) | (137.3) | 34 | ||||
Accumulated other comprehensive income (loss), ending balance | $ (215.4) | $ 31 | $ (103.3) | 34 | ||||
Accumulated Other Comprehensive Income (Loss) [Member] | Predecessor [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||
Accumulated other comprehensive income (loss), beginning balance | $ (140) | (140.9) | $ (140) | |||||
Current year deferrals to AOCI | 0.9 | |||||||
Other comprehensive income (loss), net of tax | 0.9 | |||||||
Accumulated other comprehensive income (loss), ending balance | $ (140) | $ (140) | $ (140) |
Accumulated Other Comprehens103
Accumulated Other Comprehensive Income (Loss) - Additional Information (Detail) - Successor [Member] - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Pension and other postretirement benefit plans, tax benefit | $ 0.4 | $ (0.8) | $ 1.1 | $ (16.9) | $ 3.5 | |
Cumulative pension and other postretirement benefit plans, tax (benefits) expense | 76.3 | (14.1) | 4.6 | (13.4) | 3.5 | |
Unrealized gain (loss) on derivatives, tax | 0 | (1.8) | 0.2 | 1.7 | 1.9 | |
Cumulative unrealized gain (loss) on derivatives, tax | 0 | $ (1.6) | 2.1 | 0.2 | 1.9 | |
Recognized gain (loss) due to curtailments | $ 5.6 | |||||
Unrealized holding gain (loss) on securities, tax | 0 | |||||
Cumulative unrealized holding gain (loss) on securities, tax benefits | $ 0.9 | |||||
Pension Plan [Member] | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Recognized gain (loss) due to curtailments | $ 0 | $ 7.3 | $ 0 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Successor [Member] - USD ($) | Apr. 08, 2015 | Mar. 31, 2015 | Dec. 31, 2013 |
Subsequent Event [Line Items] | |||
Share-based compensation expense | $ 8,600,000 | $ 9,700,000 | |
2013 Plan [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Share-based compensation expense | $ 8,000,000 | ||
The Carlyle Group L.P. [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Percentage of ownership after transaction (below 50%) | 50.00% | ||
The Carlyle Group L.P. [Member] | Secondary Offering [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Number of shares issued in transaction | 40,000,000 | ||
Sale of stock, price per share (dollars per share) | $ 28 | ||
Proceeds from issuance of common stock | $ 0 | ||
The Carlyle Group L.P. [Member] | Over-Allotment Option [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Number of shares issued in transaction | 6,000,000 | ||
The Carlyle Group L.P. [Member] | Private Placement [Member] | Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Number of shares issued in transaction | 20,000,000 | ||
Sale of stock, price per share (dollars per share) | $ 28 | ||
Proceeds from issuance of common stock | $ 0 |
General and Description of t105
General and Description of the Business (Detail) - Successor [Member] | Nov. 14, 2014$ / sharesshares | Nov. 11, 2014$ / sharesshares | Feb. 01, 2013USD ($) | Dec. 31, 2014 | Feb. 01, 2013EUR (€) |
Entity Information [Line Items] | |||||
Ownership percentage | 100.00% | ||||
Consideration transferred, equity interests issued and issuable | $ 1,350,000,000 | ||||
Axalta Coating Systems Dutch Co. Top Cooperatief U.A. [Member] | |||||
Entity Information [Line Items] | |||||
Ownership percentage | 100.00% | ||||
Axalta Coating Systems Dutch Holdings A B.V. [Member] | |||||
Entity Information [Line Items] | |||||
Ownership percentage | 100.00% | ||||
The Carlyle Group L.P. [Member] | |||||
Entity Information [Line Items] | |||||
Consideration transferred, equity interests issued and issuable | 1,350,000,000 | ||||
Common Stock [Member] | IPO [Member] | |||||
Entity Information [Line Items] | |||||
Number of shares issued in transaction | shares | 50,000,000 | 57,500,000 | |||
Sale price per share | $ / shares | $ 19.50 | $ 19.50 | |||
Common Stock [Member] | Over-Allotment Option [Member] | |||||
Entity Information [Line Items] | |||||
Number of shares issued in transaction | shares | 7,500,000 | ||||
Secured Debt [Member] | Dollar Term Loan Due 2020 [Member] | |||||
Entity Information [Line Items] | |||||
Debt instrument, face amount | $ 2,300,000,000 | ||||
Secured Debt [Member] | Euro Term Loan Due 2020 [Member] | |||||
Entity Information [Line Items] | |||||
Debt instrument, face amount | € | € 400,000,000 | ||||
Secured Debt [Member] | 5.750% Senior Secured Notes Due 2021 [Member] | |||||
Entity Information [Line Items] | |||||
Debt instrument, face amount | € | € 250,000,000 | ||||
Debt instrument, interest rate, stated percentage | 5.75% | 5.75% | |||
Unsecured Debt [Member] | 7.375% Senior Unsecured Notes Due 2021 [Member] | |||||
Entity Information [Line Items] | |||||
Debt instrument, face amount | $ 750,000,000 | ||||
Debt instrument, interest rate, stated percentage | 7.375% | 7.375% |
Summary of Significant Accou106
Summary of Significant Accounting Policies (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2012USD ($) | Sep. 04, 2012Partner | |
Successor [Member] | Selling, General and Administrative Expenses [Member] | |||
Accounting Policies [Line Items] | |||
Loss from deconsolidation of DPC Saudi | $ | $ 1 | ||
Successor [Member] | Dupont Performance Coatings Business [Member] | |||
Accounting Policies [Line Items] | |||
PP&E, weighted average useful life | 11 years | ||
Successor [Member] | DuPont Powder Coatings Saudi Company Ltd. [Member] | |||
Accounting Policies [Line Items] | |||
Number of partners in joint venture | 3 | ||
Minimum [Member] | Successor [Member] | |||
Accounting Policies [Line Items] | |||
Useful life of finite lived intangible assets | 4 years | ||
Minimum [Member] | Predecessor [Member] | Building and Equipment [Member] | |||
Accounting Policies [Line Items] | |||
Useful life of PP&E | 15 years | ||
Maximum [Member] | Successor [Member] | |||
Accounting Policies [Line Items] | |||
Useful life of finite lived intangible assets | 20 years | ||
Maximum [Member] | Predecessor [Member] | Building and Equipment [Member] | |||
Accounting Policies [Line Items] | |||
Useful life of PP&E | 25 years |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 01, 2013 |
Business Acquisition [Line Items] | ||||||
Date of acquisition agreement | Aug. 30, 2012 | |||||
Successor [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill expected tax deductible amount | $ 708 | |||||
Merger and acquisition related expenses | $ 29 | $ 0 | $ 28.1 | |||
Date of incorporation | Aug. 24, 2012 | |||||
Successor [Member] | Performance Coatings [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Proceeds from divestiture of businesses | 17.5 | |||||
Successor [Member] | Performance Coatings [Member] | Other Nonoperating Income (Expense) [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Gain (loss) from disposal of discontinued operation, before income tax | 1.2 | |||||
Gain (loss) on disposal of discontinued operation, net of tax | 0.7 | |||||
Du Pont [Member] | Scenario, Previously Reported [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Recognized identifiable assets acquired, goodwill, and liabilities assumed, net | $ 4,925.9 | |||||
Du Pont [Member] | Scenario, Adjustment [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Recognized identifiable assets acquired, goodwill, and liabilities assumed, net | (18.6) | |||||
Du Pont [Member] | Scenario, Actual [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Recognized identifiable assets acquired, goodwill, and liabilities assumed, net | $ 4,907.3 | |||||
Du Pont [Member] | Successor [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Merger and acquisition related expenses | $ 29 | |||||
Debt issuance cost | $ 4.6 | |||||
Cost of acquired entity transaction and debt financing costs | $ 33.6 | |||||
Pro forma net loss | 87.1 | $ 270.1 | ||||
Du Pont [Member] | Successor [Member] | Acquisition-related Costs [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Pro forma net loss | 53.1 | |||||
Du Pont [Member] | Successor [Member] | Acquisition-related Costs, Net of Tax [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Pro forma net loss | 43.5 | |||||
Du Pont [Member] | Successor [Member] | Nonrecurring Costs [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Pro forma net loss | 123.1 | |||||
Du Pont [Member] | Successor [Member] | Nonrecurring Costs, Net of Tax [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Pro forma net loss | 88.6 | |||||
Du Pont [Member] | Successor [Member] | Fair Value Adjustment to Inventory [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Pro forma net loss | $ 103.7 |
Acquisitions and Divestiture108
Acquisitions and Divestitures - Fair Value of Net Assets Acquired (Detail) - Du Pont [Member] $ in Millions | Feb. 01, 2013USD ($) |
Scenario, Previously Reported [Member] | |
Business Acquisition [Line Items] | |
Cash and cash equivalents | $ 79.7 |
Accounts and notes receivable-trade | 855.8 |
Inventories | 673 |
Prepaid expenses and other | 8.2 |
Property, plant and equipment | 1,707.7 |
Identifiable intangibles | 1,539.3 |
Other assets-noncurrent | 98.8 |
Accounts payable | (409.1) |
Other accrued liabilities | (232) |
Other liabilities | (331.1) |
Deferred income taxes | (312.9) |
Noncontrolling interests | (66.7) |
Net assets acquired before goodwill on acquisition | 3,610.7 |
Goodwill | 1,315.2 |
Net assets acquired | 4,925.9 |
Scenario, Adjustment [Member] | |
Business Acquisition [Line Items] | |
Cash and cash equivalents | 0 |
Accounts and notes receivable-trade | 22.7 |
Inventories | 3 |
Prepaid expenses and other | (1.3) |
Property, plant and equipment | (1.8) |
Identifiable intangibles | (19) |
Other assets-noncurrent | 19.1 |
Accounts payable | (6.9) |
Other accrued liabilities | 7.5 |
Other liabilities | (35.3) |
Deferred income taxes | 223.2 |
Noncontrolling interests | 0 |
Net assets acquired before goodwill on acquisition | 211.2 |
Goodwill | (229.8) |
Net assets acquired | (18.6) |
Scenario, Actual [Member] | |
Business Acquisition [Line Items] | |
Cash and cash equivalents | 79.7 |
Accounts and notes receivable-trade | 878.5 |
Inventories | 676 |
Prepaid expenses and other | 6.9 |
Property, plant and equipment | 1,705.9 |
Identifiable intangibles | 1,520.3 |
Other assets-noncurrent | 117.9 |
Accounts payable | (416) |
Other accrued liabilities | (224.5) |
Other liabilities | (366.4) |
Deferred income taxes | (89.7) |
Noncontrolling interests | (66.7) |
Net assets acquired before goodwill on acquisition | 3,821.9 |
Goodwill | 1,085.4 |
Net assets acquired | $ 4,907.3 |
Acquisitions and Divestiture109
Acquisitions and Divestitures - Supplemental Pro Forma Information (Detail) - Successor [Member] - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Business Acquisition [Line Items] | |||||||||||||
Net loss attributable to controlling interests | $ 45.1 | $ (2.2) | $ (19.9) | $ 53.8 | $ (4.3) | $ (49.3) | $ 5 | $ (22.8) | $ (157.8) | $ (29) | $ 27.4 | $ (224.9) | |
Du Pont [Member] | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Net sales | 4,277.3 | $ 4,219.4 | |||||||||||
Net loss | (87.1) | (270.1) | |||||||||||
Net loss attributable to controlling interests | $ (93.7) | $ (274.6) | |||||||||||
Earnings per share (Basic and Diluted) (in dollars per share) | $ (0.41) | $ 0 |
Relationship with DuPont - Allo
Relationship with DuPont - Allocated Corporate Costs (Detail) - Predecessor [Member] - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended |
Jan. 31, 2013 | Dec. 31, 2012 | |
Related Party Transaction [Line Items] | ||
Allocated corporate cost | $ 15.7 | $ 248.5 |
Leveraged functional services | 14.2 | 226.4 |
General corporate expenses | 1.5 | 22.1 |
Cost of Sales [Member] | ||
Related Party Transaction [Line Items] | ||
Allocated corporate cost | 14.2 | 224.7 |
Selling, General and Administrative Expenses [Member] | ||
Related Party Transaction [Line Items] | ||
Allocated corporate cost | 1.4 | 21.6 |
Research and Development Expense [Member] | ||
Related Party Transaction [Line Items] | ||
Allocated corporate cost | $ 0.1 | $ 2.2 |
Relationship with DuPont - Addi
Relationship with DuPont - Additional Information (Detail) - Predecessor [Member] $ in Millions | 1 Months Ended | 12 Months Ended |
Jan. 31, 2013USD ($)Plant | Dec. 31, 2012USD ($) | |
Related Party Transaction [Line Items] | ||
Number of plants where manufacturing was conducted | 35 | |
Number of plants shared with non-DPC operations | 3 | |
Amount credited to cost of goods sold for use by non-DPC businesses (less than $.3 million for Jan. 1, 2013 through Jan. 31, 2013) | $ | $ 0.3 | $ 1 |
Amount charged to cost of goods sold for use of shared assets (less than $.2 million for Jan. 1, 2013 through Jan. 31, 2013) | $ | $ 0.2 | $ 0.4 |
Relationship with DuPont - Purc
Relationship with DuPont - Purchases from and Sales to Other DuPont Businesses (Detail) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended |
Jan. 31, 2013 | Dec. 31, 2012 | |
Dupont Performance Coatings Business [Member] | Predecessor [Member] | ||
Related Party Transaction [Line Items] | ||
Purchases From And Sales To Other Acquisition | $ 7.9 | $ 91.7 |
Commitments and Contingencie113
Commitments and Contingencies - Schedule of Future Minimum Rental Payments for Operating Leases (Detail) - Successor [Member] $ in Millions | Dec. 31, 2014USD ($) |
Commitments And Contingencies [Line Items] | |
2,015 | $ 50.6 |
2,016 | 35.5 |
2,017 | 27.6 |
2,018 | 24.5 |
2,019 | 22.7 |
Thereafter | 47.7 |
Total minimum payments | $ 208.6 |
Long-term Employee Benefits 114
Long-term Employee Benefits - Schedule of Multiemployer Plans (Detail) - Predecessor [Member] - Multiemployer Plans, Pension [Member] - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |
Jan. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2012 | |
DuPont Pension and Retirement Plan [Member] | |||
Multiemployer Plans [Line Items] | |||
Multiemployer plan, period contributions | $ 4.2 | $ 40.6 | |
EIN Number | 510,014,090 | ||
Pension Number | 1 | 1 | |
Multiemployer Plan, Individually Insignificant Multiemployer Plans [Member] | |||
Multiemployer Plans [Line Items] | |||
Multiemployer plan, period contributions | $ 0.7 | $ 16.7 |
Long-term Employee Benefits 115
Long-term Employee Benefits - Schedule of Defined Benefit Plans (Detail) - Successor [Member] - USD ($) $ in Millions | 3 Months Ended | 4 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | |
Amounts recognized in the consolidated balance sheets consist of: | |||||
Accrued pension and other long-term employee benefits | $ (272.6) | $ (306.4) | $ (313.2) | ||
Pension Plan [Member] | |||||
Change in benefit obligation: | |||||
Projected benefit obligation at beginning of year | 613.1 | $ 603 | 603 | 0 | |
Fair value of assumed obligation at Acquisition date | 0 | 579.5 | |||
Service cost | 3.1 | 4.6 | $ 0 | 15.4 | 17 |
Interest cost | 4.6 | 6 | 0 | 22.9 | 21.2 |
Participant contributions | 1 | 1 | |||
Actuarial losses (gains)-net | 85.8 | (5.8) | |||
Plan curtailments and settlements | (16.3) | (1.4) | |||
Benefits paid | (30.1) | (20.7) | |||
Amendments | (4.3) | (0.4) | |||
Currency translation adjustment | (64.3) | 12.6 | |||
Projected benefit obligation at end of year | 0 | 613.1 | 603 | ||
Change in plan assets: | |||||
Fair value of plan assets at: | 294.5 | 281.3 | 281.3 | 0 | |
Actual return on plan assets | 26.5 | 16 | |||
Employer contributions | 40.9 | 28.6 | |||
Participant contributions | 1 | 1 | |||
Benefits paid | (30.1) | (20.7) | |||
Settlements | (2.7) | (0.6) | |||
Currency translation adjustment | (22.4) | 6.3 | |||
Fair value of plan assets at: | 0 | 294.5 | 281.3 | ||
Funded status, net | (318.6) | (321.7) | |||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Net amount recognized | (318.6) | (321.7) | |||
Other Postretirement Benefit Plan [Member] | |||||
Change in benefit obligation: | |||||
Projected benefit obligation at beginning of year | 0.1 | 4.6 | 4.6 | 0 | |
Fair value of assumed obligation at Acquisition date | 0 | 5.2 | |||
Service cost | 0 | 0 | 0 | 0.1 | 0.2 |
Interest cost | 0 | 0.1 | 0 | 0.1 | 0.2 |
Participant contributions | 0 | 0 | |||
Actuarial losses (gains)-net | 1.1 | (0.7) | |||
Plan curtailments and settlements | 0 | 0 | |||
Benefits paid | 0 | 0 | |||
Amendments | (5.7) | 0 | |||
Currency translation adjustment | (0.1) | (0.3) | |||
Projected benefit obligation at end of year | 0 | 0.1 | 4.6 | ||
Change in plan assets: | |||||
Fair value of plan assets at: | $ 0 | $ 0 | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |||
Employer contributions | 0 | 0 | |||
Participant contributions | 0 | 0 | |||
Benefits paid | 0 | 0 | |||
Settlements | 0 | 0 | |||
Currency translation adjustment | 0 | 0 | |||
Fair value of plan assets at: | $ 0 | 0 | 0 | ||
Funded status, net | (0.1) | (4.6) | |||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Net amount recognized | (0.1) | (4.6) | |||
Other Assets [Member] | Pension Plan [Member] | |||||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Other assets | 0.1 | 0.2 | |||
Other Assets [Member] | Other Postretirement Benefit Plan [Member] | |||||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Other assets | 0 | 0 | |||
Other Current Liabilities [Member] | Pension Plan [Member] | |||||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Other accrued liabilities | (12.4) | (13.3) | |||
Other Current Liabilities [Member] | Other Postretirement Benefit Plan [Member] | |||||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Other accrued liabilities | 0 | 0 | |||
Accounts Payable and Accrued Liabilities [Member] | Pension Plan [Member] | |||||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Accrued pension and other long-term employee benefits | (306.3) | (308.6) | |||
Accounts Payable and Accrued Liabilities [Member] | Other Postretirement Benefit Plan [Member] | |||||
Amounts recognized in the consolidated balance sheets consist of: | |||||
Accrued pension and other long-term employee benefits | $ (0.1) | $ (4.6) |
Long-term Employee Benefits 116
Long-term Employee Benefits - Schedule of Accumulated and Projected Benefit Obligations (Detail) - Successor [Member] - Pension Plan [Member] - USD ($) $ in Millions | Dec. 31, 2014 | Dec. 31, 2013 |
Defined Benefit Plan Disclosure [Line Items] | ||
ABO | $ 559.4 | $ 541.5 |
Plans with PBO in excess of plan assets: | ||
PBO | 606.2 | 595.7 |
ABO | 553.2 | 534.9 |
Fair value plan assets | 287.5 | 273.8 |
Plans with ABO in excess of plan assets: | ||
PBO | 602 | 537.8 |
ABO | 550.9 | 488.9 |
Fair value plan assets | $ 285.1 | $ 227.2 |
Long-term Employee Benefits 117
Long-term Employee Benefits - Schedule of Amounts Recognized in Accumulated Other Comprehensive Income (Detail) - Successor [Member] - USD ($) $ in Millions | Dec. 31, 2014 | Dec. 31, 2013 |
Accumulated Defined Benefit Plans Adjustment, Net Unamortized Gain (Loss) [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | $ (52.6) | $ 10 |
Accumulated Defined Benefit Plans Adjustment, Net Unamortized Gain (Loss) [Member] | Other Postretirement Benefit Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | (0.4) | 0.6 |
Accumulated Defined Benefit Plans Adjustment, Net Prior Service Cost (Credit) [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | 4.3 | 0.4 |
Accumulated Defined Benefit Plans Adjustment, Net Prior Service Cost (Credit) [Member] | Other Postretirement Benefit Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | 4.1 | 0 |
Accumulated Defined Benefit Plans Adjustment [Member] | Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | (48.3) | 10.4 |
Accumulated Defined Benefit Plans Adjustment [Member] | Other Postretirement Benefit Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | $ 3.7 | $ 0.6 |
Long-term Employee Benefits 118
Long-term Employee Benefits - Schedule of Amounts in Accumulated Other Comprehensive Income to be Amortized (Detail) - Successor [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2014USD ($) | |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of net actuarial gains (losses) | $ (1.1) |
Amortization of prior service (cost) credit | 0.3 |
Total | (0.8) |
Other Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of net actuarial gains (losses) | 0 |
Amortization of prior service (cost) credit | 4.1 |
Total | $ 4.1 |
Long-term Employee Benefits 119
Long-term Employee Benefits - Schedule of Assumptions Used (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Rate of return on plan assets to determine net cost | 5.21% | 5.23% | |
Pension Plan [Member] | Successor [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate to determine benefit obligations | 3.23% | 4.11% | |
Discount rate to determine net cost | 4.11% | 4.15% | |
Rate of future compensation increases to determine benefit obligation | 3.57% | 3.52% | |
Rate of future compensation increases to determine net cost | 3.52% | 3.69% | |
Rate of return on plan assets to determine net cost | 5.23% | 5.22% | |
Pension Plan [Member] | Predecessor [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate to determine benefit obligations | 3.38% | ||
Discount rate to determine net cost | 4.73% | ||
Rate of future compensation increases to determine benefit obligation | 3.16% | ||
Rate of future compensation increases to determine net cost | 3.33% | ||
Rate of return on plan assets to determine net cost | 7.71% | ||
Other Postretirement Benefit Plan [Member] | Successor [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate to determine benefit obligations | 1.50% | 4.80% | |
Discount rate to determine net cost | 4.80% | 4.20% | |
Rate of future compensation increases to determine benefit obligation | 0.00% | 0.00% | |
Rate of future compensation increases to determine net cost | 0.00% | 0.00% | |
Other Postretirement Benefit Plan [Member] | Predecessor [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate to determine benefit obligations | 4.86% | ||
Discount rate to determine net cost | 7.28% | ||
Rate of future compensation increases to determine benefit obligation | 3.00% | ||
Rate of future compensation increases to determine net cost | 4.00% |
Long-term Employee Benefits 120
Long-term Employee Benefits - Schedule of Expected Benefit Payments (Detail) - Successor [Member] $ in Millions | Dec. 31, 2014USD ($) |
Pension Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,015 | $ 34.8 |
2,016 | 27.1 |
2,017 | 29.8 |
2,018 | 31 |
2,019 | 37.6 |
2020-2024 | 180.3 |
Other Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2,015 | 0 |
2,016 | 0.1 |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2020-2024 | $ 0 |
Long-term Employee Benefits 121
Long-term Employee Benefits - Schedule of Allocation of Plan Assets (Detail) - Successor [Member] - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Feb. 01, 2013 | Dec. 31, 2012 | |
Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 65.8 | $ 59.6 | $ 12.2 | |
Real Estate [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.4 | 0.3 | 1.7 | |
Private Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 63 | 59.3 | 10.5 | |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 294.5 | $ 281.3 | $ 250.7 | $ 0 |
Pension Plan [Member] | Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations minimum | 35.00% | |||
Target plan asset allocations maximum | 40.00% | |||
Pension Plan [Member] | Equity Securities [Member] | Minimum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 35.00% | 35.00% | ||
Pension Plan [Member] | Equity Securities [Member] | Maximum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 40.00% | 40.00% | ||
Pension Plan [Member] | Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations minimum | 35.00% | |||
Target plan asset allocations maximum | 40.00% | |||
Pension Plan [Member] | Debt Securities [Member] | Minimum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 35.00% | 35.00% | ||
Pension Plan [Member] | Debt Securities [Member] | Maximum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 40.00% | 40.00% | ||
Pension Plan [Member] | Real Estate [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations minimum | 0.00% | |||
Target plan asset allocations maximum | 1.00% | |||
Fair value of plan assets | $ 0.4 | $ 0.3 | ||
Pension Plan [Member] | Real Estate [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | Real Estate [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 0.4 | $ 0.3 | ||
Pension Plan [Member] | Real Estate [Member] | Minimum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 0.00% | 0.00% | ||
Pension Plan [Member] | Real Estate [Member] | Maximum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 1.00% | 1.00% | ||
Pension Plan [Member] | Other Assets [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target plan asset allocations minimum | 20.00% | |||
Target plan asset allocations maximum | 25.00% | |||
Pension Plan [Member] | Other Assets [Member] | Minimum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 20.00% | 20.00% | ||
Pension Plan [Member] | Other Assets [Member] | Maximum [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual plan asset allocations | 25.00% | 25.00% | ||
Pension Plan [Member] | Cash and Cash Equivalents [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 4.4 | $ 6.7 | ||
Pension Plan [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 4.4 | 6.7 | ||
Pension Plan [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | US Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 16.1 | 13.6 | ||
Pension Plan [Member] | US Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 16.1 | 13.2 | ||
Pension Plan [Member] | US Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0.4 | ||
Pension Plan [Member] | US Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | Non US Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 79.2 | 71.3 | ||
Pension Plan [Member] | Non US Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 78.7 | 70.8 | ||
Pension Plan [Member] | Non US Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.4 | 0.5 | ||
Pension Plan [Member] | Non US Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.1 | 0 | ||
Pension Plan [Member] | Government Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 36.9 | 34.4 | ||
Pension Plan [Member] | Government Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 36.3 | 34.4 | ||
Pension Plan [Member] | Government Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.6 | 0 | ||
Pension Plan [Member] | Government Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | Corporate Debt Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 55.3 | 52.2 | ||
Pension Plan [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 53 | 49.3 | ||
Pension Plan [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 2.9 | ||
Pension Plan [Member] | Corporate Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 2.3 | 0 | ||
Pension Plan [Member] | Hedge Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.2 | 0.4 | ||
Pension Plan [Member] | Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.1 | 0.2 | ||
Pension Plan [Member] | Hedge Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.1 | 0.2 | ||
Pension Plan [Member] | Hedge Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Pension Plan [Member] | Private Equity Funds [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 63.2 | 59.5 | ||
Pension Plan [Member] | Private Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.1 | 0 | ||
Pension Plan [Member] | Private Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.1 | 0.2 | ||
Pension Plan [Member] | Private Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 63 | 59.3 | ||
Pension Plan [Member] | Defined Benefit Plan Assets Excluding Pension Trust Receivables [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 255.7 | 238.4 | ||
Pension Plan [Member] | Defined Benefit Plan Assets Excluding Pension Trust Receivables [Member] | Fair Value, Inputs, Level 1 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 188.7 | 174.6 | ||
Pension Plan [Member] | Defined Benefit Plan Assets Excluding Pension Trust Receivables [Member] | Fair Value, Inputs, Level 2 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1.2 | 4.2 | ||
Pension Plan [Member] | Defined Benefit Plan Assets Excluding Pension Trust Receivables [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 65.8 | 59.6 | ||
Pension Plan [Member] | Pension Trust Receivables [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 38.8 | $ 42.9 |
Long-term Employee Benefits 122
Long-term Employee Benefits - Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets (Detail) - Successor [Member] - Fair Value, Inputs, Level 3 [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Change in plan assets: | ||
Fair value of plan assets at: | $ 59.6 | $ 12.2 |
Realized (loss) | 0 | (0.1) |
Change in unrealized gain | 0.2 | 0.2 |
Purchases, sales, issues and settlements | 6 | 45.6 |
Transfers in/(out) of Level 3 | 0 | 1.7 |
Fair value of plan assets at: | 65.8 | 59.6 |
Private Equity Funds [Member] | ||
Change in plan assets: | ||
Fair value of plan assets at: | 59.3 | 10.5 |
Realized (loss) | 0 | 0 |
Change in unrealized gain | 0 | 0.2 |
Purchases, sales, issues and settlements | 3.7 | 46.9 |
Transfers in/(out) of Level 3 | 0 | 1.7 |
Fair value of plan assets at: | 63 | 59.3 |
Debt and Equity [Member] | ||
Change in plan assets: | ||
Fair value of plan assets at: | 0 | 0 |
Realized (loss) | 0 | 0 |
Change in unrealized gain | 0 | 0 |
Purchases, sales, issues and settlements | 2.4 | 0 |
Transfers in/(out) of Level 3 | 0 | 0 |
Fair value of plan assets at: | 2.4 | 0 |
Real Estate [Member] | ||
Change in plan assets: | ||
Fair value of plan assets at: | 0.3 | 1.7 |
Realized (loss) | 0 | (0.1) |
Change in unrealized gain | 0.2 | 0 |
Purchases, sales, issues and settlements | (0.1) | (1.3) |
Transfers in/(out) of Level 3 | 0 | 0 |
Fair value of plan assets at: | $ 0.4 | $ 0.3 |
Stock-based Compensation - Sche
Stock-based Compensation - Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions (Detail) - Employee Stock Option [Member] - Successor [Member] | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
2014 Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected term | 7 years 9 months 22 days | |
Volatility | 28.28% | |
Dividend Yield | 0.00% | |
Discount Rate | 2.21% | |
2013 Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected term | 7 years 9 months 22 days | |
Volatility | 28.61% | |
Dividend Yield | 0.00% | |
Discount Rate | 2.13% |
Stock-based Compensation - S124
Stock-based Compensation - Schedule of Stock Options Roll Forward (Detail) - Successor [Member] - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | ||
Beginning balance | 17,100,000 | 16,177,882 |
Granted | 100,945 | 1,558,159 |
Exercised | (363,248) | |
Forfeited | (275,757) | |
Ending balance | 17,100,000 | |
Vested and expected to vest, shares | 17,097,036 | |
Exercisable, shares | 2,878,469 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||
Beginning balance (in dollars per share) | $ 9.38 | $ 9.32 |
Granted (in dollars per share) | $ 25.49 | 9.62 |
Exercised (in dollars per share) | 8.03 | |
Forfeited (in dollars per share) | 9.32 | |
Ending balance (in dollars per share) | 9.38 | |
Vested and expected to vest, weighted average exercise price (in dollars per share) | 9.38 | |
Exercisable, weighted average exercise price (in dollars per share) | $ 9.49 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Vested and expected to vest, aggregate intrinsic value | $ 284.5 | |
Exercisable, aggregate intrinsic value | $ 47.6 | |
Vested and expected to vest, aggregate intrinsic value | ||
Vested and expected to vest, weighted average remaining contractual term | 8 years 6 months 29 days | |
Exercisable, weighted average remaining contractual term | 8 years 5 months 9 days |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income before Income Tax, Domestic and Foreign (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Schedule Of Income Tax [Line Items] | |||||||
Domestic | $ 0 | $ (8.8) | $ (153.8) | ||||
Foreign | (29) | 45.6 | (109.9) | ||||
Income (loss) before income taxes | $ 47.9 | $ 8.3 | $ (29) | $ 36.8 | $ (263.7) | ||
Predecessor [Member] | |||||||
Schedule Of Income Tax [Line Items] | |||||||
Domestic | $ (1.5) | $ 82.8 | |||||
Foreign | 17.1 | 310.2 | |||||
Income (loss) before income taxes | $ 15.6 | $ 393 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax Expense (Benefit) (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Current Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||||||
U.S. Federal | $ 0 | $ 0 | $ 0 | ||||
State | 0 | 2 | 2.3 | ||||
Foreign | 0 | 38.3 | 73.7 | ||||
Total | 0 | 40.3 | 76 | ||||
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||||||
U.S. Federal | 0 | (2.1) | (43.7) | ||||
State | 0 | (2.9) | (2.5) | ||||
Foreign | 0 | (33.2) | (74.6) | ||||
Total | $ (17.2) | $ (15.1) | 0 | (38.2) | (120.8) | ||
U.S. Federal | 0 | (2.1) | (43.7) | ||||
State | 0 | (0.9) | (0.2) | ||||
Foreign | 0 | 5.1 | (0.9) | ||||
Total | $ 1.2 | $ 12 | $ 0 | $ 2.1 | $ (44.8) | ||
Predecessor [Member] | |||||||
Current Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||||||
U.S. Federal | $ (8.8) | $ 30.9 | |||||
State | 0.1 | 6.6 | |||||
Foreign | 6.7 | 98.6 | |||||
Total | (2) | 136.1 | |||||
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||||||
U.S. Federal | 7 | (4.5) | |||||
State | (0.2) | (0.4) | |||||
Foreign | 2.3 | 14 | |||||
Total | 9.1 | 9.1 | |||||
U.S. Federal | (1.8) | 26.4 | |||||
State | (0.1) | 6.2 | |||||
Foreign | 9 | 112.6 | |||||
Total | $ 7.1 | $ 145.2 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||||||
Statutory U.S. federal income tax / rate(1) | $ (10.1) | $ 12.9 | $ (92.3) | ||||
Foreign income taxed at rates other than 35% | 10.1 | (46.7) | (36.6) | ||||
Changes in valuation allowances | 44.4 | 55 | |||||
Foreign exchange (gain) loss | 8.7 | 8.7 | |||||
Unrecognized tax benefits(2) | (44) | 35.1 | |||||
Withholding taxes, net | (0.3) | 8.3 | |||||
Non-deductible interest | 15.4 | 6.4 | |||||
Non-deductible expenses | 14.2 | 19.4 | |||||
Tax credits | (3.6) | (1) | |||||
Capital loss(3) | (46.7) | ||||||
Other-net | 1.1 | (1.1) | |||||
Total | $ 1.2 | $ 12 | $ 0 | $ 2.1 | $ (44.8) | ||
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||||||
Statutory U.S. federal income tax / rate(1) | 35.00% | 35.00% | 35.00% | 35.00% | |||
Interest and debt acquisition costs | $ 21.1 | $ 21.1 | |||||
Foreign income taxed at rates other than 35% | (35.00%) | (127.00%) | 13.90% | ||||
Changes in valuation allowances | 0.00% | 120.90% | (20.90%) | ||||
Foreign exchange (gain) loss | 0.00% | 23.70% | (3.30%) | ||||
Unrecognized tax benefits(2) | 0.00% | (119.70%) | (13.20%) | ||||
Withholding taxes, net | 0.00% | (0.80%) | (3.20%) | ||||
Non-deductible interest | 0.00% | 41.90% | (2.40%) | ||||
Non-deductible expenses | 0.00% | 38.60% | (7.40%) | ||||
Tax credits | 0.00% | (9.80%) | 0.40% | ||||
Capital loss(3) | 0.00% | 0.00% | 17.70% | ||||
Other-net | 0.00% | 2.90% | 0.40% | ||||
Total income tax (benefit)/ effective tax rate | 2.50% | 144.60% | 0.00% | 5.70% | 17.00% | ||
Successor [Member] | Valuation Allowance, Operating Loss Carryforwards [Member] | |||||||
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||||||
Valuation allowances and reserves, charged to cost and expense | $ 46.7 | ||||||
Predecessor [Member] | |||||||
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||||||
Statutory U.S. federal income tax / rate(1) | $ 5.5 | $ 137.6 | |||||
Foreign income taxed at rates other than 35% | 1 | (10.9) | |||||
Changes in valuation allowances | 1.4 | 9.8 | |||||
Foreign exchange (gain) loss | 0.5 | 4.7 | |||||
Other-net | (1.3) | 4 | |||||
Total | $ 7.1 | $ 145.2 | |||||
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||||||
Statutory U.S. federal income tax / rate(1) | 35.00% | 35.00% | |||||
Foreign income taxed at rates other than 35% | 6.60% | (2.80%) | |||||
Changes in valuation allowances | 8.90% | 2.50% | |||||
Foreign exchange (gain) loss | 3.10% | 1.20% | |||||
Unrecognized tax benefits(2) | 0.00% | 0.00% | |||||
Withholding taxes, net | 0.00% | 0.00% | |||||
Non-deductible interest | 0.00% | 0.00% | |||||
Non-deductible expenses | 0.00% | 0.00% | |||||
Tax credits | 0.00% | 0.00% | |||||
Capital loss(3) | 0.00% | 0.00% | |||||
Other-net | (8.00%) | 1.10% | |||||
Total income tax (benefit)/ effective tax rate | 45.60% | 37.00% |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Deferred tax asset | |||
Tax loss and credit carryforwards | $ 185.6 | $ 111.7 | |
Goodwill and intangibles | 90.8 | 89.4 | |
Compensation & employee benefits | 92.4 | 79.1 | |
Accruals & other reserves | 58 | 40.5 | |
Interest expense | 13.4 | 8.6 | |
Total deferred tax assets | 440.2 | 329.3 | |
Less: Valuation allowance | (101.9) | (63.4) | |
Net, deferred tax assets | 338.3 | 265.9 | |
Deferred tax liabilities | |||
Inventory | (3) | (1.3) | |
Property, Plant & Equipment | (215) | (218.5) | |
Accounts Receivable & Other Assets | (2.5) | (8.4) | |
Equity Investment & Other Securities | (2.2) | (5.8) | |
Unremitted earnings | (8.5) | (15.9) | |
Long-Term Debt | (8.1) | ||
Total deferred tax liabilities | (239.3) | (249.9) | |
Net deferred tax asset | 99 | 16 | |
Deferred Tax Assets, Net, Classification [Abstract] | |||
Current asset | $ 68.2 | 64.5 | 30 |
Current liability | (6.4) | (7.3) | (5.5) |
Non-current assets | 250 | 271.9 | |
Non-current liability | $ (190.6) | (208.2) | (280.4) |
Net deferred tax asset | $ 99 | $ 16 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - Successor [Member] $ in Millions | 12 Months Ended | |||
Dec. 31, 2014USD ($)JurisdictionsTax_Positions | Dec. 31, 2013USD ($) | Jan. 31, 2013USD ($) | Dec. 31, 2012USD ($) | |
Schedule Of Income Tax [Line Items] | ||||
Tax credit carryforward | $ 11.6 | $ 3.7 | ||
Undistributed foreign earnings | 8.5 | 15.9 | ||
Expense (benefit) from subsidiary earnings and reduced withholding taxes on prior year earnings, amount | 4.7 | |||
Subsidiary earnings, amount | 1.5 | |||
Witholding taxes on prior year earnings, amount | 3.2 | |||
Unrecognized tax benefits | 5.3 | 38.9 | $ 0 | $ 0 |
Unrecognized tax benefits that would impact effective tax rate | 5.3 | 17.8 | ||
Penalties and interest expense | 6.8 | 7.4 | ||
Penalties and interest accrued | $ 0.3 | 7.1 | ||
Number of tax matters resolved | Tax_Positions | 2 | |||
Unrecognized tax benefits, period increase (decrease) | $ 31 | |||
Number of foreign income tax jurisdictions | Jurisdictions | 40 | |||
Unrecognized Tax Benefit [Member] | ||||
Schedule Of Income Tax [Line Items] | ||||
Valuation allowances deduction | $ 21.1 | |||
Earliest Tax Year [Member] | ||||
Schedule Of Income Tax [Line Items] | ||||
Tax credit carryforward | 0.6 | |||
Foreign Tax Authority [Member] | ||||
Schedule Of Income Tax [Line Items] | ||||
Operating loss carryforwards | 118.3 | 83.1 | ||
Operating and capital loss carryforwards with no expiration | 78.2 | 53.2 | ||
Operating and capital loss carryforwards, subject to expiration | 40.1 | 29.9 | ||
Domestic Tax Authority [Member] | ||||
Schedule Of Income Tax [Line Items] | ||||
Operating and capital loss carryforwards, subject to expiration | 53.2 | 24.3 | ||
State and Local Jurisdiction [Member] | ||||
Schedule Of Income Tax [Line Items] | ||||
Operating and capital loss carryforwards, subject to expiration | 2.5 | 0.6 | ||
Her Majesty's Revenue and Customs, Luxembourg Inland Revenue, and Federal Ministry of Finance [Member] | ||||
Schedule Of Income Tax [Line Items] | ||||
Tax credit carryforward, valuation allowance | $ 101.9 | $ 63.4 |
Income Taxes - Schedule of Tota
Income Taxes - Schedule of Total Gross Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||||
Beginning Balance | $ 0 | $ 38.9 | $ 0 | |
Increases related to acquisition | 0 | 0 | 11.3 | |
Increases related to positions taken on items from prior years | 0 | 0 | 0 | |
Decreases related to positions taken on items from prior years | 0 | (33.6) | 0 | |
Increases related to positions taken in the current year | 0 | 0 | 27.6 | |
Settlement of uncertain tax positions with tax authorities | 0 | 0 | 0 | |
Decreases due to expiration of statutes of limitations | 0 | 0 | 0 | |
Ending Balance | 0 | $ 5.3 | 38.9 | $ 0 |
Predecessor [Member] | ||||
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||||
Beginning Balance | 0 | $ 0 | 0 | |
Increases related to acquisition | 0 | 0 | ||
Increases related to positions taken on items from prior years | 0 | 0 | ||
Decreases related to positions taken on items from prior years | 0 | 0 | ||
Increases related to positions taken in the current year | 0 | 0 | ||
Settlement of uncertain tax positions with tax authorities | 0 | 0 | ||
Decreases due to expiration of statutes of limitations | 0 | 0 | ||
Ending Balance | $ 0 | $ 0 |
Other Assets (Detail)
Other Assets (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Balance Sheet Components [Line Items] | |||
Available for sale securities | $ 4.5 | $ 4.9 | |
Deferred income taxes-non-current | 250 | 271.9 | |
Other | 219.2 | 218.3 | |
Total | $ 485.5 | $ 473.7 | $ 495.1 |
Accounts Payable (Detail)
Accounts Payable (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Balance Sheet Components [Line Items] | |||
Trade payables | $ 463.6 | $ 428.8 | |
Non-income taxes | 21.4 | 40.5 | |
Other | 9.5 | 9.2 | |
Total | $ 458.3 | $ 494.5 | $ 478.5 |
Other Accrued Liabilities (Deta
Other Accrued Liabilities (Detail) - Successor [Member] - USD ($) $ in Millions | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Feb. 01, 2013 |
Balance Sheet Components [Line Items] | ||||
Compensation and other employee-related costs | $ 153 | $ 168 | ||
Current portion of long-term employee benefit plans | 12.4 | 13.3 | ||
Restructuring | $ 31.7 | 48.5 | 98.4 | $ 0.5 |
Discounts, rebates, and warranties | 68.6 | 65 | ||
Income taxes payable | 20.8 | 25.1 | ||
Derivative liabilities | 1.5 | 1.2 | ||
Other | 100 | 101.7 | ||
Total | $ 291.7 | $ 404.8 | $ 472.7 |
Borrowings - Short Term Borrowi
Borrowings - Short Term Borrowings and Bridge Financing (Detail) - Successor [Member] - USD ($) $ in Millions | 4 Months Ended | 12 Months Ended | ||||
Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2015 | Sep. 12, 2013 | Aug. 30, 2012 | |
Debt Instrument [Line Items] | ||||||
Short-term borrowings | $ 12.2 | $ 18.2 | $ 14.3 | |||
Bridge financing commitment fees | $ 0 | 0 | 25 | |||
Secured Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Bridge loan | $ 300 | |||||
Bridge Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Bridge financing commitment fees | 21 | |||||
Bridge Facility [Member] | Debt Associated Fees [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Bridge financing commitment fees | 4 | |||||
Unsecured Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Bridge loan | $ 1,100 | |||||
Miscellaneous Investments [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Short-term borrowings | $ 12.2 | $ 0.4 | $ 27.8 |
Segments - Schedule of Revenue
Segments - Schedule of Revenue from External Customers and Long-l (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||
Jan. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | $ 989.2 | $ 1,047.4 | $ 0 | $ 4,361.7 | $ 3,951.1 | ||
Long-lived assets | 1,514.1 | 1,622.6 | |||||
Successor [Member] | North America [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | 0 | 1,307.8 | 1,165.4 | ||||
Long-lived assets | 481.4 | 483.8 | |||||
Successor [Member] | EMEA [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | 0 | 1,672 | 1,540.4 | ||||
Long-lived assets | 542 | 623.5 | |||||
Successor [Member] | Asia Pacific [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | 0 | 715 | 593.7 | ||||
Long-lived assets | 234.3 | 218.1 | |||||
Successor [Member] | Latin America [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | $ 0 | 666.9 | 651.6 | ||||
Long-lived assets | 256.4 | 297.2 | |||||
Successor [Member] | GERMANY | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Long-lived assets | 302.8 | 348.1 | |||||
Successor [Member] | CHINA | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Long-lived assets | $ 189.4 | $ 167.5 | |||||
Successor [Member] | Net Sales [Member] | Geographic Concentration Risk [Member] | CANADA | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Concentration risk, percentage | 3.00% | 3.00% | |||||
Successor [Member] | Net Sales [Member] | Geographic Concentration Risk [Member] | GERMANY | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Concentration risk, percentage | 10.00% | 10.00% | |||||
Successor [Member] | Net Sales [Member] | Geographic Concentration Risk [Member] | CHINA | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Concentration risk, percentage | 11.00% | 10.00% | |||||
Predecessor [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | $ 326.2 | $ 4,219.4 | |||||
Predecessor [Member] | North America [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | 81.6 | 1,238.6 | |||||
Predecessor [Member] | EMEA [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | 141 | 1,675.4 | |||||
Predecessor [Member] | Asia Pacific [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | 51.7 | 595 | |||||
Predecessor [Member] | Latin America [Member] | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Net sales | $ 51.9 | $ 710.4 | |||||
Predecessor [Member] | Net Sales [Member] | Geographic Concentration Risk [Member] | CANADA | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Concentration risk, percentage | 3.00% | 3.00% | |||||
Predecessor [Member] | Net Sales [Member] | Geographic Concentration Risk [Member] | GERMANY | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Concentration risk, percentage | 11.00% | 16.00% | |||||
Predecessor [Member] | Net Sales [Member] | Geographic Concentration Risk [Member] | CHINA | |||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||
Concentration risk, percentage | 11.00% | 8.00% |
Quarterly Financial Informat136
Quarterly Financial Information (Unaudited) (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 4 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | |
Successor [Member] | ||||||||||||
Total revenue | $ 997.5 | $ 1,087 | $ 1,115.8 | $ 1,134.3 | $ 1,054.4 | $ 1,106.7 | $ 1,082.8 | $ 1,122.2 | $ 675.1 | $ 0 | $ 4,391.5 | $ 3,986.8 |
Cost of goods sold | 649.8 | 723.1 | 728.1 | 742.5 | 703.5 | 706.1 | 739.1 | 788.5 | 539.1 | 0 | 2,897.2 | 2,772.8 |
Net income (loss) | 46.7 | 0.9 | (18.3) | 55.8 | (3.7) | (47) | 6.4 | (21.8) | (156.5) | (29) | 34.7 | (218.9) |
Net income (loss) attributable to controlling interests | $ 45.1 | $ (2.2) | $ (19.9) | $ 53.8 | $ (4.3) | $ (49.3) | $ 5 | $ (22.8) | $ (157.8) | $ (29) | $ 27.4 | $ (224.9) |
Basic net income (loss) per share | $ 0.20 | $ (0.01) | $ (0.09) | $ 0.23 | $ (0.02) | $ (0.22) | $ 0.02 | $ (0.10) | $ (0.67) | $ 0 | $ 0.12 | $ (0.97) |
Diluted net income (loss) per share | $ 0.19 | $ (0.01) | $ (0.09) | $ 0.23 | $ (0.02) | $ (0.22) | $ 0.02 | $ (0.10) | $ (0.67) | $ 0 | $ 0.12 | $ (0.97) |
Fair value step up of acquired inventory sold | $ 31.1 | $ 72.6 | $ 0 | $ 0 | $ 103.7 | |||||||
Recognized gain (loss) due to curtailments | $ 5.6 | |||||||||||
Quantifying Misstatement in Current Year Financial Statements, Amount | $ 3.8 | 0.4 | ||||||||||
Successor [Member] | Pension Plan [Member] | ||||||||||||
Recognized gain (loss) due to curtailments | $ 0 | 7.3 | $ 0 | |||||||||
Successor [Member] | Pension Plan [Member] | Selling, General and Administrative Expenses [Member] | ||||||||||||
Recognized gain (loss) due to curtailments | $ 7.3 | $ 7.7 | 7.3 | |||||||||
Prior Period Reclassification Adjustment [Member] | ||||||||||||
Net income (loss) | 2.5 | 2.8 | $ 2 | $ 1.4 | 5.1 | 3 | ||||||
Net income (loss) attributable to controlling interests | $ 2.5 | $ 2.8 | $ 2 | $ 1.4 | $ 5.1 | $ 3 | ||||||
Carlyle Investment Management Llc [Member] | Successor [Member] | ||||||||||||
Pre tax charge related to management agreement | $ 13.4 | $ 13.4 |
Schedule ll (Detail)
Schedule ll (Detail) - Allowance for Doubtful Accounts [Member] - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Successor [Member] | ||||
Movement in Valuation Allowances and Reserves [Roll Forward] | ||||
Balance at Beginning of Year | $ 0 | $ 6.5 | $ 0 | |
Charged to Expenses | 5.1 | 5.4 | ||
Deductions1 | 1.7 | (1.1) | ||
Balance at End of Year | $ 9.9 | 6.5 | $ 0 | |
Predecessor [Member] | ||||
Movement in Valuation Allowances and Reserves [Roll Forward] | ||||
Balance at Beginning of Year | 29.6 | $ 29.6 | 31.4 | |
Charged to Expenses | 0.2 | 5 | ||
Deductions1 | (1.1) | 6.8 | ||
Balance at End of Year | $ 30.9 | $ 29.6 |
Uncategorized Items - axta-2015
Label | Element | Value |
Predecessor [Member] | ||
Goodwill | us-gaap_Goodwill | $ 588.8 |
Predecessor [Member] | Performance Coatings [Member] | ||
Goodwill | us-gaap_Goodwill | 517.9 |
Predecessor [Member] | Transportation Coatings [Member] | ||
Goodwill | us-gaap_Goodwill | 70.9 |
Retained Earnings [Member] | Successor [Member] | ||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | (29) |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | us-gaap_ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest | (29) |
Other Postretirement Benefit Plan [Member] | Successor [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | us-gaap_DefinedBenefitPlanFairValueOfPlanAssets | $ 0 |