Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Nov. 18, 2015 | Mar. 31, 2015 | |
Entity [Abstract] | |||
Entity Registrant Name | ENERGIZER HOLDINGS, INC. | ||
Entity Central Index Key | 1,632,790 | ||
Current Fiscal Year End Date | --09-30 | ||
Entity Filer Category | Non-accelerated Filer | ||
Trading Symbol | ENR | ||
Document Type | 10-K | ||
Document Period End Date | Sep. 30, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well Known Seasoned Issuer | No | ||
Entity Public Float | $ 0 | ||
Entity Common Stock, Shares Outstanding | 62,398,438 |
CONSOLIDATED STATEMENTS OF EARN
CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Net sales | $ 1,631.6 | $ 1,840.4 | $ 2,012.2 |
Cost of products sold | 875.4 | 990 | 1,110.3 |
Gross profit | 756.2 | 850.4 | 901.9 |
Selling, general and administrative expense | 426.3 | 391.3 | 387.7 |
Advertising and sales promotion expense | 132.3 | 121.7 | 127.4 |
Research and development expense | 24.9 | 25.3 | 29.7 |
Venezuela deconsolidation charge | 65.2 | 0 | 0 |
Non-cash restructuring costs | 13.1 | 4.1 | 42.9 |
Interest expense | 77.9 | 52.7 | 68.1 |
Other financing items, net | (18.4) | 0.7 | 3.1 |
(Loss)/earnings before income taxes | (0.7) | 215.2 | 162 |
Income taxes | 3.3 | 57.9 | 47.1 |
Net (loss)/earnings | $ (4) | $ 157.3 | $ 114.9 |
Earnings Per Share | |||
Basic net earnings per share (in dollars per share) | $ (0.06) | $ 2.53 | $ 1.85 |
Diluted net earnings per share (in dollars per share) | $ (0.06) | $ 2.53 | $ 1.85 |
Statement of Comprehensive (Loss)/Income | |||
Net (loss)/earnings | $ (4) | $ 157.3 | $ 114.9 |
Other comprehensive (loss)/income, net of tax expense/(benefit) | |||
Foreign currency translation adjustments | (81.7) | (1.9) | (12) |
Pension activity, net of tax of ($19.7) in 2015, $0.2 in 2014 and $1.4 in 2013 | (37.2) | (1.4) | 6.4 |
Deferred (loss)/gain on hedging activity, net of tax of ($2.3) in 2015, $1.1 in 2014 and ($0.4) in 2013 | (4.8) | 6.2 | 0.4 |
Total comprehensive (loss)/income | (127.7) | 160.2 | 109.7 |
Spin-off | |||
Non-cash restructuring costs | 39.1 | 0 | 0 |
2013 restructuring | |||
Non-cash restructuring costs | $ 9.6 | $ 43.5 | $ 123.9 |
CONSOLIDATED STATEMENTS OF EAR3
CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Pension/Postretirement activity, tax | $ (19.7) | $ 0.2 | $ 1.4 |
Deferred gain/(loss) on hedging activity, tax | $ (2.3) | $ 1.1 | $ (0.4) |
Common Stock | |||
Common stock distributed, shares | 62,193,000 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Current assets | ||
Cash and cash equivalents | $ 502.1 | $ 89.6 |
Trade receivables, net | 155.5 | 218.5 |
Inventories | 275.9 | 292.4 |
Other current assets | 193 | 146.6 |
Total current assets | 1,126.5 | 747.1 |
Property, plant and equipment, net | 205.6 | 212.5 |
Goodwill | 38.1 | 37.1 |
Other intangible assets, net | 76.3 | 80.1 |
Long term deferred tax asset | 113.8 | 76.2 |
Other assets | 69.3 | 41.7 |
Total assets | 1,629.6 | 1,194.7 |
Current liabilities | ||
Current maturities of long-term debt | 3 | 0 |
Note payable | 5.2 | 0 |
Accounts payable | 167 | 190.9 |
Other current liabilities | 292.6 | 189.5 |
Total current liabilities | 467.8 | 380.4 |
Long-term debt | 995 | 0 |
Other liabilities | 226.9 | 89.8 |
Total liabilities | 1,689.7 | 470.2 |
Shareholders' equity/(deficit) | ||
Preferred stock, $0.01 par value, none outstanding | 0 | 0 |
Common stock, $0.01 par value, 62,195,315 shares issued and outstanding at 2015 | 0.6 | 0 |
Additional paid-in capital | 181.7 | 0 |
Retained earnings | 6.9 | 0 |
Net investment of Edgewell | 0 | 756.2 |
Accumulated other comprehensive loss | (249.3) | (31.7) |
Total shareholders' equity/(deficit) | (60.1) | 724.5 |
Total liabilities and shareholders' equity/(deficit) | $ 1,629.6 | $ 1,194.7 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) | Sep. 30, 2015$ / sharesshares |
Statement of Financial Position [Abstract] | |
Preferred stock, par value (in dollars per share) | $ / shares | $ 0.01 |
Preferred stock outstanding (in shares) | 0 |
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 |
Common stock issued (in shares) | 62,195,315 |
Common stock outstanding (in shares) | 62,195,315 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Cash Flow from Operating Activities | |||
Net (loss)/earnings | $ (4) | $ 157.3 | $ 114.9 |
Adjustments to reconcile net (loss)/earnings to net cash flow from operations: | |||
Non-cash restructuring costs | 13.1 | 4.1 | 42.9 |
Depreciation and amortization | 41.8 | 42.2 | 55.9 |
Venezuela deconsolidation charge | 65.2 | 0 | 0 |
Deferred income taxes | (7.1) | 5.6 | (12.8) |
Share based compensation | 13.5 | 13.2 | 16 |
Non-cash items in income, net | (13) | 16.1 | 12.1 |
Other, net | (9.4) | (16.1) | (56.1) |
Changes in assets and liabilities used in operations | |||
Decrease/(Increase) in trade receivables, net | 9.7 | (13.5) | 119.6 |
(Increase)/Decrease in inventories | (0.1) | 35.5 | 5 |
Decrease/(Increase) in other current assets | 3.5 | (10) | (26.5) |
(Decrease)/Increase in accounts payable | (18.2) | 10.7 | 12.3 |
Increase/(Decrease) in other current liabilities | 66.8 | (25.2) | 46.3 |
Net cash flow from operating activities | 161.8 | 219.9 | 329.6 |
Cash Flow from Investing Activities | |||
Capital expenditures | (40.4) | (28.4) | (17.8) |
Proceeds from sale of assets | 13.7 | 5.6 | 1 |
Acquisitions, net of cash acquired | (12.1) | 0 | 0 |
Net cash used by investing activities | (38.8) | (22.8) | (16.8) |
Cash Flow from Financing Activities | |||
Net transfers to Edgewell | (648.8) | (185.5) | (301.2) |
Cash Proceeds from issuance of debt with original maturities greater than 90 days | 999 | 0 | 0 |
Payments on debt with maturities greater than 90 days | (1) | 0 | 0 |
Decrease in debt with maturities 90 days or less | (12.4) | 0 | 0 |
Dividend Paid | (15.5) | 0 | 0 |
Debt issuance costs | (12.1) | 0 | 0 |
Net cash from/(used by) financing activities | 309.2 | (185.5) | (301.2) |
Effect of exchange rate changes on cash | (19.7) | 0 | (0.3) |
Net increase in cash and cash equivalents | 412.5 | 11.6 | 11.3 |
Cash and cash equivalents, beginning of period | 89.6 | 78 | 66.7 |
Cash and cash equivalents, end of period | $ 502.1 | $ 89.6 | $ 78 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Millions | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Net Investment of Edgewell | Accumulated Other Comprehensive (Loss)/Income |
Beginning Balance at Sep. 30, 2012 | $ 934.6 | $ 0 | $ 0 | $ 0 | $ 964 | $ (29.4) |
Beginning balance (in shares) at Sep. 30, 2012 | 0 | |||||
Net (loss)/earnings | 114.9 | 114.9 | ||||
Other comprehensive income | (5.2) | (5.2) | ||||
Net decrease in Edgewell investment | (306.6) | (306.6) | ||||
Ending Balance at Sep. 30, 2013 | 737.7 | $ 0 | 0 | 0 | 772.3 | (34.6) |
Ending Balance (in shares) at Sep. 30, 2013 | 0 | |||||
Net (loss)/earnings | 157.3 | 157.3 | ||||
Other comprehensive income | 2.9 | 2.9 | ||||
Net decrease in Edgewell investment | (173.4) | (173.4) | ||||
Ending Balance at Sep. 30, 2014 | 724.5 | $ 0 | 0 | 0 | 756.2 | (31.7) |
Ending Balance (in shares) at Sep. 30, 2014 | 0 | |||||
Net (loss)/earnings | (4) | 23.1 | (27.1) | |||
Net decrease in Edgewell investment | (946.6) | (946.6) | ||||
Separation related adjustments | 299.6 | 393.5 | (93.9) | |||
Reclassification of net investment to additional paid-in capital | 176 | (176) | ||||
Issuance of common stock at spin-off | $ 0.6 | (0.6) | ||||
Issuance of common stock at spin-off, shares | 62,193,000 | |||||
Share based expense | 6.3 | 6.3 | ||||
Activity under stock plans, shares | 2,000 | |||||
Dividends to shareholders | (16.2) | (16.2) | ||||
Other comprehensive loss | (123.7) | (123.7) | ||||
Ending Balance at Sep. 30, 2015 | $ (60.1) | $ 0.6 | $ 181.7 | $ 6.9 | $ 0 | $ (249.3) |
Ending Balance (in shares) at Sep. 30, 2015 | 62,195,315 | 62,195,000 |
Description of Business and Bas
Description of Business and Basis of Presentation | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Description of Business and Basis of Presentation | Description of Business and Basis of Presentation Description of Business - Energizer Holdings, Inc. and its subsidiaries (Energizer or the Company) is a global manufacturer, marketer and distributer of household batteries, specialty batteries and portable lights under the Energizer and Eveready brand names. Energizer offers batteries using lithium, alkaline, carbon zinc, nickel metal hydride, zinc air and silver oxide technologies. On July 1, 2015, Energizer completed its legal separation from Edgewell Personal Care Company (Edgewell) via a tax free spin-off (the spin-off or spin). To effect the separation, Edgewell, undertook a series of transactions to separate net assets and legal entities. As a result of these transactions, Energizer now holds the Household Products' product group and Edgewell holds the Personal Care product group. As a result of the Spin-off, Energizer now operates as an independent, publicly traded company on the New York Stock Exchange trading under the symbol "ENR." In conjunction with the spin-off, Edgewell distributed 62,193,281 shares of Energizer Holdings, Inc. common stock to its shareholders. Under the terms of the spin-off, Edgewell common stockholders of record as of the close of business on June 16, 2015, the record date for the distribution, received one share in Energizer for each share of Edgewell common stock they held. Edgewell completed the distribution of Energizer common stock to its shareholders on July 1, 2015, the distribution date. The transaction was structured to be tax-free to its U.S. shareholders for U.S. federal income tax purposes. Basis of Presentation - The consolidated financial statements include the accounts of Energizer and its subsidiaries. All significant intercompany transactions are eliminated. Energizer has no material equity method investments or variable interests. Prior to the spin-off on July 1, 2015, our financial statements were prepared on a combined standalone basis derived from the financial statements and accounting records of Edgewell and included expense allocations for: (1) certain product warehousing and distribution; (2) various transaction process functions; (3) a consolidated sales force and management for certain countries; (4) certain support functions that were provided on a centralized basis within Edgewell and not recorded at the business division level, including, but not limited to, finance, audit, legal, information technology, human resources, communications, facilities, and compliance; (5) employee benefits and compensation; (6) share-based compensation; (7) financing costs; (8) the effects of restructurings and the Venezuela deconsolidation; and (9) cost of early debt retirement. These expenses were allocated to Energizer on the basis of direct usage where identifiable, with the remainder allocated on a basis of global net sales, cost of sales, operating income, headcount or other measures of Energizer and Edgewell. Management believes the assumptions regarding allocated expenses, reasonably reflect the utilization of services provided to or the benefit received by Energizer during the periods prior to the spin-off. Nevertheless, the allocations may not include all of the actual expenses that would have been incurred by Energizer and may not reflect our results of operations, financial position and cash flows had we been an independent standalone company during the periods prior to July 1, 2015. It is not practicable to estimate actual costs that would have been incurred had Energizer been a standalone company during the periods prior to the spin-off. Actual costs that would have been incurred if Energizer had been a standalone company would depend on multiple factors, including organizational structure and strategic decisions made in various areas, including information technology and infrastructure. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Energizer’s significant accounting policies, which conform to GAAP and are applied on a consistent basis in all years presented, except as indicated, are described below. Use of Estimates – The preparation of the Company's Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. On an ongoing basis, Energizer evaluates its estimates, including those related to customer promotional programs and incentives, product returns, bad debts, the carrying value of inventories, intangible and other long-lived assets, income taxes, pensions and other postretirement benefits, share-based compensation, contingencies and acquisitions. Actual results could differ materially from those estimates. However, in regard to ongoing impairment testing of goodwill and indefinite lived intangible assets, significant deterioration in future cash flow projections, changes in discount rates used in discounted cash flow models or changes in other assumptions used in estimating fair values, versus those anticipated at the time of the initial acquisition, as well as subsequent estimated valuations, could result in impairment charges that may materially affect the financial statements in a given year. Cash and Cash Equivalents – Cash and cash equivalents consist of cash on hand and marketable securities with original maturities of three months or less. At September 30, 2015, Energizer had $502.1 in available cash, 95% of which was outside of the U.S. The Company has extensive operations, including a significant manufacturing footprint outside of the U.S. We manage our worldwide cash requirements by reviewing available funds among the many subsidiaries through which we conduct our business and the cost effectiveness with which those funds can be accessed. The repatriation of cash balances from certain of our subsidiaries could have adverse tax consequences or be subject to regulatory capital requirements; however, those balances are generally available without legal restrictions to fund ordinary business operations. U.S. income taxes have not been provided on a significant portion of undistributed earnings of international subsidiaries. Our intention is to reinvest these earnings indefinitely. Prior to the spin-off, cash was managed centrally with net earnings reinvested locally and working capital requirements met from existing liquid funds. Accordingly, the cash and cash equivalents held by Edgewell at the corporate level was not attributed to Energizer and only cash amounts specifically attributable to Energizer legal entities are reflected as of September 30, 2014. Foreign Currency Translation – Financial statements of foreign operations where the local currency is the functional currency are translated using end-of-period exchange rates for assets and liabilities and average exchange rates during the period for results of operations. Related translation adjustments are reported as a component within accumulated other comprehensive income in the equity section of the Consolidated Balance Sheets, except as noted in Note 6, Venezuela. Financial Instruments and Derivative Securities – Energizer uses financial instruments, from time to time, in the management of foreign currency, interest rate risk and commodity price risks that are inherent to its business operations. Such instruments are not held or issued for trading purposes. Every derivative instrument (including certain derivative instruments embedded in other contracts) is required to be recorded on the balance sheet at fair value as either an asset or liability. Changes in fair value of recorded derivatives are required to be recognized in earnings unless specific hedge accounting criteria are met. Foreign exchange instruments, including currency forwards, are used primarily to reduce cash transaction exposures and to manage other translation exposures. Foreign exchange instruments used are selected based on their risk reduction attributes, costs and the related market conditions. The Company has designated certain foreign currency contracts as cash flow hedges for accounting purposes as of September 30, 2015 and 2014 . The Company has interest rate risk with respect to interest expense on variable rate debt. The Company is party to an interest rate swap agreement with one major financial institution that fixes the variable benchmark component (LIBOR) on $200.0 of the Company's variable rate debt at September 30, 2015. Energizer uses raw materials that are subject to price volatility. The Company may use hedging instruments to reduce exposure to variability in cash flows associated with future purchases of commodities. There were no outstanding derivative contracts for the future purchases of commodities as of September 30, 2015 . Cash Flow Presentation – The Consolidated Statements of Cash Flows are prepared using the indirect method, which reconciles net earnings to cash flow from operating activities. The reconciliation adjustments include the removal of timing differences between the occurrence of operating receipts and payments and their recognition in net earnings. The adjustments also remove cash flows arising from investing and financing activities, which are presented separately from operating activities. Cash flows from foreign currency transactions and operations are translated at an average exchange rate for the period. Cash flows from hedging activities are included in the same category as the items being hedged, which is primarily operating activities. Cash payments related to income taxes are classified as operating activities. Trade Receivables, net – Trade receivables are stated at their net realizable value. The allowance for doubtful accounts reflects the Company's best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Bad debt expense is included in Selling, general and administrative expense (SG&A) in the Consolidated Statements of Earnings and Comprehensive Income. Trade Receivables, net consists of: September 30, 2015 2014 Trade Receivables $ 162.5 $ 225.9 Allowance for returns and doubtful accounts (7.0 ) (7.4 ) Trade Receivables, net $ 155.5 $ 218.5 Inventories – Inventories are valued at the lower of cost or market, with cost generally being determined using average cost or the first-in, first-out (FIFO) method. The Company records a reserve for excess and obsolete inventory based upon the historical usage rates, sales patterns of its products and specifically-identified obsolete inventory. Capitalized Software Costs – Capitalized software costs are included in other assets. These costs are amortized using the straight-line method over periods of related benefit ranging from three to seven years. Expenditures related to capitalized software are included in the Capital expenditures caption in the Consolidated Statements of Cash Flows. For the twelve months ended September 30, 2015 , 2014 and 2013 , amortization expense was $4.7 , $1.9 and $1.1 in fiscal 2015 , 2014 and 2013 , respectively. Property, Plant and Equipment, net – Property, plant and equipment, net is stated at historical costs. Expenditures for new facilities and expenditures that substantially increase the useful life of property, including interest during construction, are capitalized and reported in the Capital expenditures caption in the Consolidated Statements of Cash Flows. Maintenance, repairs and minor renewals are expensed as incurred. When property is retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts, and gains or losses on the disposition are reflected in earnings. Depreciation is generally provided on the straight-line basis by charges to pre-tax earnings at rates based on estimated useful lives. Estimated useful lives range from two to 25 years for machinery and equipment and three to 30 years for buildings and building improvements. Depreciation expense was $37.1 in fiscal 2015, excluding accelerated depreciation charges of $9.1 , related primarily to certain manufacturing assets including property, plant and equipment located at the facilities to be closed or streamlined, and $40.3 in fiscal 2014, excluding accelerated depreciation charges of $4.1 , related primarily to certain manufacturing assets including property, plant and equipment located at the facilities to be closed or streamlined, and $54.8 in fiscal 2013, excluding non-cash impairment charge of $19.3 and accelerated depreciation charges of $23.6 , respectively. See Note 4, Restructuring, of the Notes to the Consolidated Financial Statements. Estimated useful lives are periodically reviewed and, when appropriate, changes are made prospectively. When certain events or changes in operating conditions occur, asset lives may be adjusted and an impairment assessment may be performed on the recoverability of the carrying amounts. Goodwill and Other Intangible Assets – Goodwill and indefinite-lived intangibles are not amortized, but are evaluated annually for impairment as part of the Company's annual business planning cycle in the fourth fiscal quarter, or when indicators of a potential impairment are present. Impairment of Long-Lived Assets – Energizer reviews long-lived assets, other than goodwill and other intangible assets for impairment, when events or changes in business circumstances indicate that the remaining useful life may warrant revision or that the carrying amount of the long-lived asset may not be fully recoverable. Energizer performs undiscounted cash flow analysis to determine if impairment exists. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. In November 2012, Edgewell’s Board of Directors authorized an enterprise-wide restructuring plan, which included the closure of certain facilities in fiscal 2013, 2014 and 2015. As a result of the spin-off, Energizer was allocated and recorded a portion of these expenses including accelerated depreciation charges of $9.1 and $4.1 for the twelve months ended September 30, 2015 and 2014 , respectively and non-cash impairment charge of $19.3 and accelerated depreciation charges of $23.6 for twelve months ended September 30, 2013 (collectively $42.9 ) related primarily to certain manufacturing assets including property, plant and equipment located at the facilities to be closed or streamlined. We do not believe the restructuring plan is likely to result in the impairment of any other material long-lived assets, other than this identified property, plant and equipment. See Note 4 of the Notes to Consolidated Financial Statements. Revenue Recognition – Energizer’s revenue is from the sale of its products. Revenue is recognized when title, ownership and risk of loss pass to the customer. Discounts are offered to customers for early payment and an estimate of the discount is recorded as a reduction of net sales in the same period as the sale. Our standard sales terms are final and returns or exchanges are not permitted unless a special exception is made. Reserves are established and recorded in cases where the right of return does exist for a particular sale. Energizer offers a variety of programs, such as consumer coupons and similar consumer rebate programs, primarily to its retail customers, designed to promote sales of its products. Such programs require periodic payments and allowances based on estimated results of specific programs and are recorded as a reduction to net sales. Energizer accrues, at the time of sale, the estimated total payments and allowances associated with each transaction. Additionally, Energizer offers programs directly to consumers to promote the sale of its products. Promotions which reduce the ultimate consumer sale prices are recorded as a reduction of net sales at the time the promotional offer is made, generally using estimated redemption and participation levels. Taxes we collect on behalf of governmental authorities, which are generally included in the price to the customer, are also recorded as a reduction of net sales. Energizer continually assesses the adequacy of accruals for customer and consumer promotional program costs not yet paid. To the extent total program payments differ from estimates, adjustments may be necessary. Historically, these adjustments have not been material. Advertising and Sales Promotion Costs – The Company advertises and promotes its products through national and regional media and expenses such activities as incurred. Advertising costs were $87.5 , $70.7 , and $83.6 for the fiscal years ended September 30, 2015, 2014, 2013, respectively. Research and Development Costs - The Company expenses research and development costs as incurred. Income Taxes – Our annual effective income tax rate is determined based on our income, statutory tax rates and the tax impacts of items treated differently for tax purposes than for financial reporting purposes. Tax law requires certain items be included in the tax return at different times than the items are reflected in the financial statements. Some of these differences are permanent, such as expenses that are not deductible in our tax return, and some differences are temporary, reversing over time, such as depreciation expense. These temporary differences create deferred tax assets and liabilities. The Company regularly repatriates a portion of current year earnings from select non-U.S. subsidiaries. Generally, these non-U.S. subsidiaries are in tax jurisdictions with effective tax rates that do not result in materially higher U.S. tax provisions related to the repatriated earnings. No provision is made for additional taxes on undistributed earnings of foreign affiliates that are intended and planned to be indefinitely invested in foreign affiliates. The Company intends to reinvest these earnings indefinitely in our foreign subsidiaries to fund local operations, fund strategic growth objectives, and fund capital projects. See Note 8, Income Taxes, for further discussion. The Company estimates income taxes and the effective income tax rate in each jurisdiction that it operates. This involves estimating taxable earnings, specific taxable and deductible items, the likelihood of generating sufficient future taxable income to utilize deferred tax assets, the portion of the income of foreign subsidiaries that is expected to be remitted to the U.S. and be taxable and possible exposures related to future tax audits. Deferred tax assets are evaluated on a subsidiary by subsidiary basis to ensure that the asset will be realized. Valuation allowances are established when the realization is not deemed to be more likely than not. Future performance is monitored, and when objectively measurable operating trends change, adjustments are made to the valuation allowances accordingly. To the extent the estimates described above change, adjustments to income taxes are made in the period in which the estimate is changed. The Company operates in multiple jurisdictions with complex tax and regulatory environments, which are subject to differing interpretations by the taxpayer and the taxing authorities. At times, the Company may take positions that management believes are supportable, but are potentially subject to successful challenges by the appropriate taxing authority. The Company evaluates its tax positions and establishes liabilities in accordance with guidance governing accounting for uncertainty in income taxes. The Company reviews these tax uncertainties in light of the changing facts and circumstances, such as the progress of tax audits, and adjusts them accordingly. Share-Based Payments – The Company grants restricted stock equivalents, which generally vest over two to four years. Stock compensation expense is measured at the grant date based on the estimated fair value of the award and is recognized on a straight-line basis over the full restriction period of the award. Estimated Fair Values of Financial Instruments – Certain financial instruments are required to be recorded at the estimated fair value. Changes in assumptions or estimation methods could affect the fair value estimates; however, we do not believe any such changes would have a material impact on our financial condition, results of operations or cash flows. Other financial instruments including cash and cash equivalents and short-term borrowings, including notes payable, are recorded at cost, which approximates estimated fair value. Reclassifications - Certain reclassifications have been made to the prior year financial statements to conform to the current presentation. Recently Issued Accounting Pronouncements – On April 7, 2015, the Financial Accounting Standards Board ("FASB") issued a new Accounting Standards Update ("ASU"), which requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The update will be effective for Energizer beginning October 1, 2016, and early adoption is permitted for financial statements that have not been previously issued. Retrospective application is required, and an entity is required to comply with the applicable disclosures for a change in accounting principles upon adoption. Energizer expects that this guidance will be immaterial to our financial statements. On April 15, 2015, the FASB issued a new ASU, which provides criteria to review cloud computing arrangements to determine whether the arrangement contains a software licenses or is solely a service contract. If the arrangement is determined to be a software license, fees paid to the vendor would be within the scope of internal-use software guidance. If not, the fees paid would be expensed as incurred. The update will be effective for Energizer beginning October 1, 2016. Energizer is in the process of evaluating the impact this guidance will have on its future operations. On May 1, 2015, the FASB issued a new ASU which permits a reporting entity to measure the fair value of certain investments using the net asset value per share (NAV) of the investment as a practical expedient. This amendment removes the requirement to categorize investments for which fair values are measured using the NAV in the fair value hierarchy. This update will be effective for Energizer beginning October 1, 2016. As a result of this ASU, Energizer's pension plan assets that are valued using their NAV will no longer be disclosed in the fair value hierarchy disclosures of ASC 820, Fair Value Measurements. On July 22, 2015, the FASB issued a new ASU, which aligns the measurement of inventory under GAAP more closely with International Financial Reporting Standards. Under the new guidance, an entity that measures inventory using the first-in, first-out or average cost should measure inventory at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The update will be effective for Energizer beginning October 1, 2017, with early adoption permitted. Energizer is in the process of evaluating the impact the revised guidance will have on its financial statements. On May 28, 2014, the FASB issued a new ASU which provides a single comprehensive revenue recognition model for all contracts with customers to improve comparability within industries, across industries and across capital markets. On August 12, 2015, the FASB issued a one-year deferral of the effective date of the ASU. The update will now be effective for Energizer beginning October 1, 2018. Energizer is in the process of evaluating the impact the revised guidance will have on its financial statements. |
Spin Costs
Spin Costs | 12 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Spin Costs | Spin Costs Prior to the spin on July 1, 2015, Edgewell incurred costs to evaluate, plan and execute the spin transaction, and Energizer was allocated a pro rata portion of those costs. Edgewell’s total spin costs through the close of the separation were $358 on a pre-tax basis. Through the close of the separation, Energizer's allocation of these spin costs were approximately $167.0 on a pre-tax basis; including $104.2 recorded in SG&A, $36.0 of spin restructuring charges and $26.7 of cost associated with early debt retirement recorded in interest expense. The allocated amounts in SG&A included $82.9 and $21.3 recorded in fiscal 2015 and 2014, respectively. The spin restructuring and cost of early debt retirement were recorded fully in fiscal 2015. Prior to separation, Energizer and Edgewell entered into Transition Services Agreement (TSA). Under the TSA, the Companies agreed to share the costs associated with the spin incurred subsequent to the separation. Based on the agreement, Energizer is responsible for 40% of such costs incurred subsequent to the separation. See further discussion in Note 12, Transactions with Edgewell. Since July 1, 2015, Energizer has incurred additional costs associated with the spin. These costs have been recorded as incurred. Total costs incurred since the legal separation occurred was $18.3 ; including $14.7 recorded in SG&A, $0.5 recorded in cost of products sold, and $3.1 of spin restructuring charges. In addition, Energizer recorded an income tax liability as a result of the separation of certain foreign jurisdictions of $9.6 during fiscal 2015 which were established through equity. The tax related spin costs are expected to be paid in fiscal 2016. Total fiscal year 2015 spin related costs were $163.9 including $97.6 recorded in SG&A, $0.5 recorded in cost of products sold, $39.1 of spin restructuring and $26.7 of the cost of early debt retirement recorded in interest expense. On a project-to-date basis, charges were $185.2 , inclusive of the cost of early debt retirement. Energizer expects to incur $10 to $15 of additional pre-tax spin costs through the end of fiscal year 2016. Energizer does not include the spin restructuring costs in the results of its reportable segments. The estimated impact of allocating such charges to segment results would have been as follows: Twelve Months Ended September 30, 2015 North America Latin America EMEA Asia Pacific Corporate Total Severance and termination related costs $ 3.9 $ 5.2 $ 6.0 $ 5.3 $ 12.0 $ 32.4 Non-cash asset write-down — 3.2 0.2 0.6 — 4.0 Other exit costs 0.1 0.3 0.6 1.7 — 2.7 Total $ 4.0 $ 8.7 $ 6.8 $ 7.6 $ 12.0 $ 39.1 The following table represents the spin restructuring accrual activity and ending accrual balance at September 30, 2015 included in other current liabilities on the Consolidated Balance Sheet. Utilized October 1, 2014 Charge to Income Other (a) Cash Non-Cash September 30, 2015 Severance and termination related costs $ — $ 32.4 $ (0.7 ) $ (19.8 ) $ 0.1 $ 12.0 Non-cash asset write down — 4.0 — — (4.0 ) — Other exit costs — 2.7 (1.5 ) (0.7 ) (0.2 ) 0.3 Total $ — $ 39.1 $ (2.2 ) $ (20.5 ) $ (4.1 ) $ 12.3 (a) Includes the impact of currency translation and $1.5 of separation related adjustments. |
Restructuring
Restructuring | 12 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring 2013 Restructuring In November 2012, Edgewell’s Board of Directors authorized an enterprise-wide restructuring plan and delegated authority to Edgewell’s management to determine the final actions with respect to this plan (2013 restructuring project). This initiative impacted Edgewell’s Household Products and Personal Care businesses. In January 2014, Edgewell’s Board of Directors authorized an expansion of scope of the previously announced 2013 restructuring project. The primary objectives of the 2013 restructuring project included reduction in workforce, consolidation of G&A functional support across the organization, reduced overhead spending, creation of a center-led purchasing function, and rationalization and streamlining of the Household Products operations facilities, product portfolio and marketing organization. For the twelve months ended September 30, 2015 , significant progress has been made against all of the aforementioned objectives. The pre-tax expense for charges related to the 2013 restructuring project attributed to Energizer for the years indicated: Twelve Months Ended September 30, 2015 North America Latin America EMEA Asia Pacific Corporate Total Severance and related benefit costs $ (0.2 ) $ 0.3 $ 0.5 $ 6.6 $ (0.2 ) $ 7.0 Accelerated depreciation — — — 9.1 — 9.1 Consulting, program management and other exit costs 2.2 0.1 0.3 1.9 — 4.5 Net gain on asset sale — — — (11.0 ) — (11.0 ) Total $ 2.0 $ 0.4 $ 0.8 $ 6.6 $ (0.2 ) $ 9.6 Twelve Months Ended September 30, 2014 North America Latin America EMEA Asia Pacific Corporate Total Severance and related benefit costs $ 4.3 $ 1.4 $ 2.1 $ 2.1 $ 1.6 $ 11.5 Accelerated depreciation 4.1 — — — — 4.1 Consulting, program management and other exit costs 17.3 1.4 3.1 3.7 — 25.5 Net loss on asset sale 2.4 — — — — 2.4 Total $ 28.1 $ 2.8 $ 5.2 $ 5.8 $ 1.6 $ 43.5 Twelve Months Ended September 30, 2013 North America Latin America EMEA Asia Pacific Corporate Total Severance and related benefit costs $ 27.6 $ 1.8 $ 5.5 $ 3.4 $ 4.9 $ 43.2 Non-cash asset impairment charges 19.3 — — — — 19.3 Accelerated depreciation 23.6 — — — — 23.6 Consulting, program management and other exit costs 25.6 2.1 4.6 5.5 — 37.8 Total $ 96.1 $ 3.9 $ 10.1 $ 8.9 $ 4.9 $ 123.9 Total pre-tax restructuring charges since the inception of the project and through September 30, 2015 , have totaled approximately $200 . For the twelve months ended September 30, 2015 , Energizer recorded $9.6 in pre-tax restructuring charges related to the 2013 restructuring project as compared to $43.5 and $123.9 in fiscal 2014 and 2013, respectively. Restructuring charges were reflected on a separate line in the Consolidated Statements of Earnings and Comprehensive Income. In addition, pre-tax costs of $1.1 , $1.0 and $6.1 associated with certain inventory obsolescence charges were recorded within Cost of products sold and $0.3 , $5.9 and $2.6 associated with information technology enablement activities were recorded within SG&A on the Consolidated Statements of Earnings and Comprehensive Income for the twelve months ended September 30, 2015 , 2014 , and 2013, respectively. These inventory obsolescence and information technology costs are considered part of the total project costs incurred for 2013 the restructuring project. The 2013 restructuring project was concluded in fiscal 2015 and we do not expect the remaining costs for Energizer to be material. The following table summarizes the activity related to the 2013 restructuring project for the twelve months ended September 30, 2015 and 2014 . Utilized October 1, 2014 Charge to Income Other (a) Cash Non-Cash September 30, 2015 Severance & Termination Related Costs $ 12.4 $ 7.0 $ (2.3 ) $ (13.1 ) $ — $ 4.0 Accelerated Depreciation — 9.1 — — (9.1 ) — Other Costs — 4.5 — (4.5 ) — — Net loss on asset sale — (11.0 ) 0.3 13.7 (3.0 ) — Total $ 12.4 $ 9.6 $ (2.0 ) $ (3.9 ) $ (12.1 ) $ 4.0 Utilized October 1, 2013 Charge to Income Other (a) Cash Non-Cash September 30, 2014 Severance & Termination Related Costs $ 13.8 $ 11.5 $ (0.3 ) $ (12.6 ) $ — $ 12.4 Accelerated Depreciation — 4.1 — — (4.1 ) — Other Costs 5.7 25.5 — (29.9 ) (1.3 ) — Net loss on asset sale — 2.4 — 4.9 (7.3 ) — Total $ 19.5 $ 43.5 $ (0.3 ) $ (37.6 ) $ (12.7 ) $ 12.4 (a) Includes the impact of currency translation and $4.1 of separation related adjustments in fiscal 2015. |
Acquisitions
Acquisitions | 12 Months Ended |
Sep. 30, 2015 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions On December 12, 2014, Edgewell, on behalf of Energizer, completed an acquisition of a battery manufacturing facility in China related to the Household Products business for approximately $12.1 , primarily related to the purchase of fixed assets. As of September 30, 2015, the purchase price allocation was complete. We have determined the fair values of assets acquired and liabilities assumed for purposes of allocating the purchase price in accordance with accounting guidance for business combinations. Based on the allocation of the purchase price, this transaction resulted in approximately $2.3 of goodwill. |
Venezuela
Venezuela | 12 Months Ended |
Sep. 30, 2015 | |
Foreign Currency [Abstract] | |
Venezuela | Venezuela Effective January 1, 2010, the financial statements for our Venezuela subsidiary were consolidated under the rules governing the translation of financial information in a highly inflationary economy based on the use of the blended National Consumer Price Index in Venezuela. Under generally accepted accounting principles, an economy is considered highly inflationary if the cumulative inflation rate for a three-year period meets or exceeds 100% . If a subsidiary is considered to be in a highly inflationary economy, the financial statements of the subsidiary must be remeasured into our reporting currency (U.S. dollar) and future exchange gains and losses from the re-measurement of monetary assets and liabilities are reflected in current earnings, rather than exclusively in the equity section of the balance sheet, until such times as the economy is no longer considered highly inflationary. Prior to March 31, 2015, Edgewell included the results of its Venezuelan operations in its consolidated financial statements using the consolidation method of accounting. Edgewell’s Venezuelan earnings and cash flows were reflected in their consolidated financial statements at the official exchange rate of 6.30 bolivars per U.S. dollar for the sixth months ended March 31, 2015. At March 31, 2015, Edgewell had $ 33.8 of USD intercompany receivables due from its Venezuela subsidiaries, for household and personal care products previously imported, the majority of which have been outstanding since Fiscal 2010. As of March 31, 2015, Edgewell’s Venezuela subsidiary held bolivar denominated cash deposits of $ 93.8 (at the 6.30 per U.S. dollar rate). Venezuelan exchange control regulations have resulted in an other-than-temporary lack of exchangeability between the Venezuelan bolivar and U.S. dollar, and have restricted Edgewell’s Venezuelan operations’ ability to pay dividends and settle intercompany obligations. The severe currency controls imposed by the Venezuelan government have significantly limited Energizer’s ability to realize the benefits from earnings of Edgewell’s Venezuelan operations and access the resulting liquidity provided by those earnings. We expect that this condition will continue for the foreseeable future. This lack of exchangeability has resulted in a lack of control over Edgewell’s Venezuelan subsidiaries for accounting purposes. Edgewell deconsolidated its Venezuelan subsidiaries on March 31, 2015 and began accounting for its investment in its Venezuelan operations using the cost method of accounting. As a result of deconsolidating its Venezuelan subsidiaries, Edgewell recorded a one-time charge of $144.5 in the second quarter of 2015, of which $65.2 was allocated to Energizer based on the Venezuelan operations being distributed as part of Energizer. This charge included: • foreign currency translation losses previously recorded in accumulated other comprehensive income, of which $16.2 was allocated to Energizer • the write-off of Edgewell’s Venezuelan operations’ cash balance, of which $44.6 was allocated to Energizer, (at the 6.30 per U.S. dollar rate) • the write-off of Edgewell’s Venezuelan operations’ other net assets, of which $4.4 was allocated to Energizer Since the deconsolidation as of March 31, 2015, Energizer's financial results do not include the operating results of the Venezuelan operations. Instead, Energizer records revenue for sales of inventory to our Venezuelan operations in our consolidated financial statements to the extent cash is received. Further, dividends from Energizer’s Venezuelan subsidiaries are recorded as other income upon receipt of the cash. Included within the results for the twelve months ended September 30, 2015 , for Venezuela are net sales of $ 8.5 and segment profit of $ 2.5 recorded in the first six months of the year, and net sales of $25.8 and $28.4 and segment profit of $13.1 and $13.0 for the twelve months ended September 30, 2014 and 2013, respectively. |
Goodwill and intangible assets
Goodwill and intangible assets | 12 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and intangible assets | Goodwill and intangible assets Goodwill and intangible assets deemed to have an indefinite life are not amortized, but are reviewed annually for impairment of value or when indicators of a potential impairment are present. As part of our business planning cycle, we performed our annual goodwill impairment testing for our North America, Latin America, EMEA and Asia Pacific reporting units in the fourth quarter of fiscal 2015. There were no indications of impairment of goodwill noted during this testing or throughout fiscal 2015. The following table represents the change in the carrying amount of goodwill at September 30, 2015 : North America Latin America EMEA Asia Pacific Total Balance at October 1, 2014 $ 19.1 $ 1.7 $ 6.5 $ 9.8 $ 37.1 Household Products acquisition — — — 2.3 2.3 Cumulative translation adjustment — (0.1 ) (0.5 ) (0.7 ) (1.3 ) Balance at September 30, 2015 $ 19.1 $ 1.6 $ 6.0 $ 11.4 $ 38.1 The Company had indefinite-lived intangible assets of $76.3 at September 30, 2015 and $80.1 at September 30, 2014 . Changes in indefinite-lived intangible assets are due to changes in foreign currency translation. In addition, we completed impairment testing on indefinite-lived intangible assets other than goodwill, which are trademarks/brand names used in our various product categories. No impairment was indicated as a result of this testing. Energizer had no amortizable intangible assets at September 30, 2015 and 2014 . |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provisions for income taxes consisted of the following for the twelve months ended September 30, : 2015 2014 2013 Currently payable: United States - Federal $ (20.6 ) $ 15.0 $ 22.3 State (1.4 ) 0.8 1.4 Foreign 32.4 36.5 36.2 Total current 10.4 52.3 59.9 Deferred: United States - Federal (3.5 ) 4.3 (10.4 ) State (0.2 ) 0.4 (1.2 ) Foreign (3.4 ) 0.9 (1.2 ) Total deferred (7.1 ) 5.6 (12.8 ) Provision for income taxes $ 3.3 $ 57.9 $ 47.1 The source of pre-tax (loss)/earnings for the twelve months ended September 30 was: 2015 2014 2013 United States $ (144.5 ) $ 33.6 $ 16.7 Foreign 143.8 181.6 145.3 Pre-tax (loss)/earnings $ (0.7 ) $ 215.2 $ 162.0 A reconciliation of income taxes with the amounts computed at the statutory federal income tax rate follows: 2015 2014 2013 Computed tax at federal statutory rate $ (0.3 ) 35.0 % $ 75.3 35.0 % $ 56.7 35.0 % State income taxes, net of federal tax benefit (1.6 ) N/M 0.8 0.4 0.1 0.1 Foreign tax less than the federal rate (20.8 ) N/M (26.1 ) (12.1 ) (15.8 ) (9.8 ) Other taxes including repatriation of foreign earnings 2.2 N/M 7.3 3.4 9.8 6.1 Nontaxable share option — N/M (2.5 ) (1.2 ) (3.4 ) (2.1 ) Nondeductible spin costs 2.0 N/M 3.0 1.4 — — Deconsolidation of Venezuela operations 22.8 N/M — — — — Other, net (1.0 ) N/M 0.1 — (0.3 ) (0.2 ) Total $ 3.3 455.1 % $ 57.9 26.9 % $ 47.1 29.1 % N/M - The percentage rate reconciliation of income taxes is not meaningful. The deferred tax assets and deferred tax liabilities recorded on the balance sheets at September 30 for the years indicated are as follows, both current and noncurrent: 2015 2014 Deferred tax assets: Accrued liabilities $ 53.5 $ 35.1 Deferred and stock-related compensation 29.6 27.6 Tax loss carryforwards and tax credits 14.4 19.6 Intangible assets 46.5 46.4 Pension plans 36.2 — Other tax assets 3.9 10.5 Gross deferred tax assets 184.1 139.2 Deferred tax liabilities: Depreciation and property differences (16.2 ) (8.1 ) Other tax liabilities — (1.7 ) Gross deferred tax liabilities (16.2 ) (9.8 ) Valuation allowance (13.6 ) (14.5 ) Net deferred tax assets $ 154.3 $ 114.9 There were no material tax loss carryforwards that expired in fiscal 2015 . Future expirations of tax loss carryforwards and tax credits, if not utilized, are $10.3 between 2018 and 2020 at September 30, 2015 . In addition, there are $4.1 of tax loss carryforwards with no expiration at September 30, 2015 . The valuation allowance is attributed to tax loss carryforwards and tax credits outside the U.S. The Company has repatriated a portion of current year earnings from select non-U.S. subsidiaries. Generally, these non-U.S. subsidiaries are in tax jurisdictions with effective tax rates that do not result in materially higher U.S. tax provisions related to the repatriated earnings. No provision has been made for additional taxes on undistributed earnings of foreign affiliates that the Company intended and planned to be indefinitely invested in the affiliate. At September 30, 2015 , approximately $650 of foreign subsidiary earnings related to Energizer was considered indefinitely invested in those businesses. We estimate that the U.S. federal income tax liability that could potentially arise if indefinitely invested earnings of foreign subsidiaries were repatriated in full to the U.S. would be significant. While it is not practicable to calculate a specific potential U.S. tax exposure due to changing statutory rates in foreign jurisdictions over time, as well as other factors, we estimate the range of potential U.S. tax may be in excess of $88 , if all undistributed earnings were repatriated assuming foreign cash was available to do so. Applicable U.S. income and foreign withholding taxes would be provided on these earnings in the periods in which they are no longer considered indefinitely reinvested. Unrecognized tax benefits activity for the twelve months ended September 30, 2015 and 2014 are summarized below: 2015 2014 Unrecognized tax benefits, beginning of year $ 12.7 $ 13.5 Additions based on current year tax positions and acquisitions 6.1 1.9 Reductions for prior year tax positions (10.3 ) (0.1 ) Settlements with taxing authorities/statute expirations — (2.6 ) Unrecognized tax benefits, end of year $ 8.5 $ 12.7 Included in the unrecognized tax benefits noted above are $8.5 of uncertain tax positions that would affect Energizer’s effective tax rate, if recognized. Energizer does not expect any significant increases or decreases to their unrecognized tax benefits within twelve months of this reporting date. In the Consolidated Balance Sheets, unrecognized tax benefits are classified as Other liabilities (non-current) to the extent that payments are not anticipated within one year. The fiscal 2015 reduction to prior year tax positions was related to transfers of the unrecognized tax benefits to Edgewell as of the date of the spin. Energizer classifies accrued interest and penalties related to unrecognized tax benefits in the income tax provision. The accrued interest and penalties are not included in the table above. Energizer accrued $0.7 of interest (net of the deferred tax asset of $0.2 ) and penalties of $1.3 at September 30, 2015 and $3.6 of interest (net of the deferred tax asset of $1.3 ) at September 30, 2014 . Interest was computed on the difference between the tax position recognized in accordance with GAAP and the amount expected to be taken in the Company's tax return. The Company has a Tax Matters Agreement with Edgewell which provides that Edgewell shall be liable for and shall indemnify Energizer against all U.S. federal income taxes as well as various foreign legal entities, where Edgewell has retained the legal entity past separation, resulting from tax obligations arising from operations prior to July 1, 2015. In addition, Energizer is liable for and shall indemnify Edgewell against tax obligations arising from operations prior to July 1, 2015 for certain foreign legal entities where the Company has retained the legal entity past separation. The Company will file income tax returns in the U.S. federal jurisdiction, various cities and states, and more than 50 foreign jurisdictions where Energizer has operations. There are open examinations at some of the foreign entities for which we retain the tax liability at the spin date. The status of international income tax examinations varies by jurisdiction. At this time, Energizer does not anticipate any material adjustments to its financial statements resulting from tax examinations currently in progress. |
Earnings per share
Earnings per share | 12 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share Basic earnings per share is based on the average number of common shares outstanding during the period. Diluted earnings per share is based on the average number of shares used for the basic earnings per share calculation, adjusted for the dilutive effect of restricted stock equivalents. For the years ended September 30, 2014 and 2013, basic and diluted earnings per common share, and the average number of common shares outstanding, were retrospectively restated for the number of Energizer shares outstanding as of the July 1, 2015 distribution of Energizer shares of 62,193,281 . The same number of shares was used to calculate basic and diluted earnings per share for these periods since there were no Energizer equity awards outstanding prior to the spin-off. For the Years Ended September 30, (in millions, except per share data) 2015 2014 2013 Net (loss)/earnings $ (4.0 ) $ 157.3 $ 114.9 Basic average shares outstanding 62.2 62.2 62.2 Diluted average shares outstanding 62.2 62.2 62.2 Basic (loss)/earnings per common share $ (0.06 ) $ 2.53 $ 1.85 Diluted (loss)/earnings per common share $ (0.06 ) $ 2.53 $ 1.85 Due to the loss incurred for the year ended September 30, 2015, all restricted shares outstanding were excluded from the earnings per share calculation as their inclusion would have been anti-dilutive. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity The Company's articles of incorporation authorized 300 million shares of common stock and 10 million shares of preferred stock, each with a par value of $0.01 per share. On July 1, 2015, Edgewell distributed 62,193,281 shares of Energizer Holdings, Inc. common stock to its shareholders. Each Edgewell common stockholder of record as of the close of business on June 16, 2015, the record date for the distribution, received one share in Energizer for each share of Edgewell common stock they held. On July 1, 2015, the Company's Board of Directors approved an authorization for Energizer to acquire up to 7.5 million shares of its common stock. Future share repurchase, if any, would be made on the open market and the timing and the amount of any purchases will be determined by the Company based on its evaluation of the market conditions, capital allocation objectives, legal and regulatory requirements and other factors. No repurchases were made during fiscal year 2015. For the twelve months ended September 30, 2015, total dividends declared to shareholders were $ 16.2 of which $ 15.5 were paid. The unpaid dividends were associated with unvested restricted shares and were recorded in other liabilities. As of September 30, 2015, approximately 1.9 million shares were reserved for issuance under the Equity Incentive Plan. There were no preferred stock issued or outstanding as of September 30, 2015. Subsequent to the fiscal year end, on November 16, 2015, the Board of Directors declared a dividend for the first quarter of fiscal 2016 of $0.25 per share of common stock, payable on December 16, 2015, to all shareholders of record as of the close of business on November 30, 2015. Subsequent to the fiscal year end and through the date of this report, the Company repurchased approximately 580,000 shares of its common stock at an average price of $ 36.30 |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Payments | Share-Based Payments The Board of Directors adopted the Energizer Holdings, Inc. Equity Incentive Plan (the Plan) on July 1, 2015, upon completion of the spin-off. The Plan will be presented for shareholder approval at the 2016 Annual Meeting of Shareholders in February 2016. Under the terms of the Plan, stock options, restricted stock awards, restricted stock equivalents, stock appreciation rights and performance-based stock awards may be granted to directors, officers and employees of the Company. The Plan authorizes a maximum number of 10 million common shares to be awarded, and will remain in effect until June 30, 2025. For purposes of determining the number of shares available for future issuance under the Plan, awards other than stock options and stock appreciation rights, will reduce the shares available for future issuance by two for every one share awarded. Stock options and stock appreciate rights reduce the shares available for future issuance on a one -for-one basis. At September 30, 2015, there were 6.2 million shares available for future awards under the Plan. The Plan also allowed for the conversion of Edgewell restricted stock equivalents held by Energizer employees and Board of Directors outstanding immediately prior to spin-off, to be converted to Energizer restricted stock equivalents (RSE) upon completion of the spin-off. On July 1, 2015, RSE awards held by Energizer employees and Board of Directors that were previously outstanding in Edgewell stock, were converted to RSE awards in Energizer stock. In total, there are 1.3 million Energizer RSE awards outstanding as part of the conversion. Total compensation cost charged against income for Energizer’s share-based compensation arrangements was $13.5 , $13.2 and $16.0 for the years ended September 30, 2015 , 2014 and 2013 , respectively, and was recorded in SG&A expense. The fiscal year 2015 expense included $2.4 of additional expense recorded as a result of the modification of certain Edgewell RSE from performance based to time based awards upon consummation of the spin-off. The expense prior to the spin-off was based on an allocation from Edgewell which included $7.2 allocated to Energizer in fiscal 2015 prior to the spin-off. The total income tax benefit recognized in the Consolidated Statements of Earnings and Comprehensive Income for share-based compensation arrangements was $5.0 , $4.9 and $6.0 for the years ended September 30, 2015 , 2014 and 2013 , respectively. Restricted Stock Equivalents (RSE) The RSE converted in connection with the spin-off are time based and either vest ratably over four years from their initial date of grant, or else the entire award vests on either the second or third anniversary date from initial grant. The fair value of the restricted stock at the date of grant is amortized to earnings over the remaining restriction period. On July 8, 2015, the Company granted RSE awards to a group of key executives which included approximately 573,700 shares that vest ratably over five years as well as 50,300 shares to the Board of Directors that vest on the three year anniversary from date of grant. The closing stock price on the date of the grant used to determine the award fair value was $34.92 . The following table summarizes the Company's RSE activity during the current fiscal year (shares in millions): Shares Weighted-Average Grant Date Estimated Fair Value Nonvested RSE at October 1, 2014 — $ — Converted on July 1, 2015 in connection with the Spin-Off 1.312 $ 34.00 Granted 0.624 $ 34.92 Vested (0.004 ) $ 34.00 Canceled (0.038 ) $ 34.00 Nonvested RSE at September 30, 2015 1.894 $ 34.30 As of September 30, 2015 , there was an estimated $36.2 of total unrecognized compensation costs related to the outstanding RSE awards, which will be recognized over a weighted-average period of 1.7 years. The weighted average estimated fair value for RSE awards granted in the fourth quarter of fiscal 2015 , was $21.8 . The estimated fair value of RSE awards that vested in the fourth quarter of fiscal 2015 was $0.2 . Subsequent to year-end, in November 2015, the Company granted RSE awards to a group of key employees of approximately 106,000 shares that vest ratably over four years and granted RSE awards to a group of key executives of approximately 87,000 shares that vest on the third anniversary of the date of grant. In addition, the Company granted approximately 290,000 performance shares to the group of key employees and key executives that will vest upon meeting target cumulative earnings per share and cumulative free cash flow metrics over the three year performance period. The closing stock price on the date of grant used to determine the awards estimated fair value was $37.34 . |
Transactions with Edgewell
Transactions with Edgewell | 12 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Transactions with Edgewell | Transactions with Edgewell Allocations and Investment Prior to Spin-Off Prior to the spin-off, Edgewell’s operating model included a combination of standalone and combined business functions between Energizer and Edgewell, varying by country and region of the world. Shared functions included product warehousing and distribution, various transaction processing functions, and, in some countries, a combined sales force and management. The consolidated financial statements include allocations related to these costs applied on a fully allocated cost basis, in which shared business functions were allocated between Energizer and Edgewell. Such allocations are estimates, and do not represent the costs of such services if performed on a standalone basis. It is not practicable to estimate actual costs that would have been incurred had Energizer been a standalone company during the periods presented. Actual costs that would have been incurred if Energizer had been a standalone company would depend on multiple factors, including organizational structure and strategic decisions made in various areas, including information technology and infrastructure. Certain corporate support functions were also provided by Edgewell prior to the spin-off and costs were allocated to Energizer related to finance, audit, legal, information technology, human resources, communications, compliance, facilities, employee benefits and compensation, share-based compensation, and financing costs. The General corporate expenses are included in the Consolidated Statements of Operations in Cost of products sold and SG&A expenses and accordingly as a component of the Edgewell investment. These expenses have been allocated to Energizer on the basis of direct usage when identifiable, with the remainder allocated on a pro rata basis of net global sales, cost of products sold, operating income, headcount or other measures of Energizer and Edgewell. Certain debt obligations of Edgewell were not included in the consolidated financial statements of Energizer, because Energizer was not a party to the obligation between Edgewell and the debt holders. Financing costs related to such debt obligations have been allocated to Energizer based on the extent to which Energizer participated in Edgewell’s corporate financing activities. Management believes the assumptions underlying the consolidated financial statements, including the assumptions regarding allocated corporate expenses from Edgewell were reasonable. General corporate expenses allocated to Energizer during the fiscal years ended September 30, 2015 , 2014 and 2013 were $43.0 , $62.5 and $70.8 , respectively. All significant intercompany transactions between Energizer and Edgewell prior to the spin-off were included in the consolidated financial statements and were considered to be effectively settled for cash at the time the transaction was recorded. The total net effect of the settlement of these intercompany transactions was reflected in the Consolidated Statements of Cash Flows as a financing activity and in the Consolidated Balance Sheets as Edgewell investment. Energizer engaged in cash pooling arrangements with related parties that were managed centrally by Edgewell. The amount owed by Energizer into this arrangement was $86.2 at September 30, 2014 . Post Spin-Off Activity In connection with the spin-off, the Company entered into a series of agreements with Edgewell which are intended to govern the relationship between the Company and Edgewell and to facilitate an orderly separation of Energizer from Edgewell. These agreements include a Separation and Distribution Agreement (Separation Agreement), Transition Services Agreement (TSA), Employee Matters Agreement, and Tax Matters Agreement. In accordance with the Separation Agreement, at the time of the spin-off, Edgewell contributed its net investment in Energizer and certain assets and liabilities in exchange for a $1,000.0 cash distribution which was funded through the incurrence of long-term debt by Energizer. In addition, separation related adjustments of $299.6 are included on the Consolidated Statements of Shareholders' Equity/(Deficit) consisting of $417.7 of cash and cash equivalents transferred to Energizer from Edgewell at the spin, offset by liabilities assumed by Energizer related to the pension plans of $41.7 , income taxes payable of $42.2 and $34.2 of various other net liabilities. The Separation Agreement included provisions on how to allocate assets and liabilities between legal entities that were being split into a separate Edgewell and Energizer legal entity as part of the spin-off. Due to the systems restraints and foreign legal restraints, it was not possible for all Energizer assets and liabilities to be transferred to the new legal entity as part of the spin. The Separation Agreement provided for a mechanism to quantify and help to settle the legal assets and liabilities that remained with Edgewell post split. The Separation Agreement also included provisions on the split of joint administrative costs that were incurred post spin. These costs were to be allocated 60% to Edgewell and 40% to Energizer. Under the TSA, Energizer and Edgewell will provide each other certain specified services on a transitional basis, including, among others, payroll and other human resource services, information systems, insurance, legal and other corporate services, as well as procurement and sourcing support. The charges for the transition services are generally intended to allow the providing company to fully recover the allocated direct costs of providing the services, plus all out-of-pocket costs and expenses, generally without profit except where required by local law. Energizer anticipates that it will generally be in a position to complete the transition of most services on or before 24 months following the date of the spin. The expenses related to the TSA through September 30, 2015 were immaterial. As a result of the Separation Agreement, the TSA and the various activity between Energizer and Edgewell post spin, Energizer recorded a receivable in other current assets of $30.4 and a payable in other current liabilities of $14.0 related to transactions with Edgewell. |
Pension Plans
Pension Plans | 12 Months Ended |
Sep. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension Plans | Pension Plans Certain employees participate in defined benefit pension plans sponsored by the Company. Our Participation in Edgewell’s Pension and the Spin-Off Impact: Prior to the spin-off, Edgewell provided defined benefit pension plans to our eligible employees and retirees. As such, we applied the multiemployer plan accounting approach and these liabilities were not reflected in our consolidated balance sheets. We did provide pension coverage for certain employees that were specific to our Energizer entities through separate plans and those plans were included in our Consolidated Financial Statements prior to the spin-off. As part of the spin-off, and in accordance with the Employee Matters Agreement, the combined plans were split and we assumed the obligations previously provided by Edgewell. Accordingly, Edgewell transferred to us the plan assets and liabilities associated with our active, retired, and other former employees. We assumed net benefit plan liabilities of $41.7 from Edgewell, which was in addition to the $17.7 of net benefit plan liabilities for plans we had previously reported in our historical financial statements, for a total net liability of $59.4 on July 1, 2015. Total Edgewell benefit plan costs allocated to us were $5.9 in the first nine months of 2015 prior to the spin-off, $6.4 in 2014, and $23.1 in 2013. The expense allocations for these benefits were determined based on a review of personnel by business unit and based on allocations of corporate or other shared functional personnel. These allocated costs are reflected in our cost of products sold and SG&A expenses on the Consolidated Statements of Earnings and Comprehensive Income. These costs were funded through intercompany transactions with Edgewell and were reflected within the parent company investment equity balance. Effective January 1, 2014, benefits under the U.S. pension plan were frozen and future service benefits are no longer being accrued. As a result, the amortization period for unrecognized gains and losses was changed for fiscal 2015 and beyond from the average remaining service period of active employees to the average remaining life expectancy of all plan participants. Because unrecognized losses currently exist, this change will result in a decrease in future pension expense due to the longer amortization period being applied. The following tables present the benefit obligation, plan assets and funded status of the plans: September 30, 2015 2014 Change in Projected Benefit Obligation Benefit obligation at beginning of year $ 58.1 $ 64.1 Service cost 0.8 0.7 Interest cost 7.6 1.3 Plan participants' contributions 0.1 0.1 Actuarial loss/(gain) 24.3 3.4 Benefits paid, net (16.0 ) (6.9 ) Plan curtailments (2.0 ) — Plan settlements (0.2 ) (1.6 ) Net transfer in/(out) (including the effect of any business combinations/divestitures) (4.0 ) — Obligations transferred from Edgewell 662.9 — Foreign currency exchange rate changes (5.6 ) (3.0 ) Projected Benefit Obligation at end of year $ 726.0 $ 58.1 Change in Plan Assets Estimated fair value of plan assets at beginning of year $ 44.6 $ 51.6 Actual return on plan assets (25.4 ) 3.2 Company contributions 1.5 0.4 Plan participants' contributions 0.1 0.1 Plan settlements (0.2 ) (1.6 ) Benefits paid, net (16.0 ) (6.9 ) Net transfer in/(out) (including the effect of any business combinations/divestitures) (3.8 ) — Assets transferred from Edgewell 621.2 — Foreign currency exchange rate changes (5.3 ) (2.2 ) Estimated fair value of plan assets at end of year $ 616.7 $ 44.6 Funded status at end of year $ (109.3 ) $ (13.5 ) The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Shareholders’ Equity: September 30, 2015 2014 Amounts Recognized in the Consolidated Balance Sheets Noncurrent assets $ 5.9 $ — Current liabilities (2.8 ) — Noncurrent liabilities (112.4 ) (13.5 ) Net amount recognized $ (109.3 ) $ (13.5 ) Amounts Recognized in Accumulated Other Comprehensive Loss Net loss, pre tax $ 211.0 $ 8.3 Included in the Accumulated Other Comprehensive Loss balance at September 30, 2015 was $145.8 of gross accumulated loss associated with the pension plans transferred from Edgewell at July 1, 2015. Pre-tax changes recognized in other comprehensive income for the year ended September 30, 2015 are as follows: Changes in plan assets and benefit obligations recognized in other comprehensive loss Net loss/(gain) arising during the year $ 59.9 Effect of exchange rates (1.5 ) Amounts recognized as a component of net periodic benefit cost Amortization or settlement recognition of net (loss)/gain (1.5 ) Total recognized in other comprehensive income $ 56.9 Energizer expects to contribute $5.2 to its plans in fiscal 2016. Energizer’s expected future benefit payments for the plans are as follows: For The Years Ending September 30, 2016 $ 55.9 2017 46.8 2018 47.2 2019 47.2 2020 46.0 2021 to 2025 223.0 The accumulated benefit obligation for the plans was $609.4 and $45.0 at September 30, 2015 and 2014 , respectively. The following table shows the plans with an accumulated benefit obligation in excess of plan assets at the dates indicated. September 30, 2015 2014 Projected benefit obligation $ 726.0 $ 58.1 Accumulated benefit obligation $ 609.4 $ 45.0 Estimated fair value of plan assets $ 616.7 $ 44.6 Pension plan assets in the U.S. plan represent approximately 75% of assets in all of the Company's defined benefit pension plans. Investment policy for the U.S. plan includes a mandate to diversify assets and invest in a variety of assets classes to achieve that goal. The U.S. plan's assets are currently invested in several funds representing most standard equity and debt security classes. The broad target allocations are approximately: (a) equities, including U.S. and foreign: 65% , and (b) debt securities, including U.S. bonds: 35% . Actual allocations at September 30, 2015 approximated these targets. The U.S. plan held no shares of Company common stock at September 30, 2015. Investment objectives are similar for non-U.S. pension arrangements, subject to local requirements. The following table presents plan pension expense: For the Years Ended September 30, Pension 2015 2014 2013 Service cost $ 0.8 $ 0.7 $ 1.1 Interest cost 7.6 1.3 1.2 Expected return on plan assets (12.2 ) (1.8 ) (1.8 ) Recognized net actuarial loss/(gain) 1.4 0.1 0.4 Settlement loss recognized 0.1 0.2 0.1 Net periodic benefit cost $ (2.3 ) $ 0.5 $ 1.0 Amounts expected to be amortized from accumulated other comprehensive loss into net period benefit cost during the year ending September 30, 2016 are net actuarial losses of $6.9 . The following table presents assumptions, which reflect weighted averages for the component plans, used in determining the above information: September 30, 2015 2014 Plan obligations: Discount rate 3.9 % 1.5 % Compensation increase rate 3.3 % 2.3 % Net periodic benefit cost: Discount rate 4.0 % 2.1 % Expected long-term rate of return on plan assets 7.0 % 3.5 % Compensation increase rate 3.3 % 2.3 % The change in our assumptions from fiscal 2014 to fiscal 2015 is due to the change in the composition in plans now that the Company has assumed the full pension plan liabilities from Edgewell as discussed above. The expected return on the plan assets was determined based on historical and expected future returns of the various asset classes, using the target allocations described above. The following table sets forth the estimated fair value of Energizer’s plan assets as of September 30, 2015 and 2014 segregated by level within the estimated fair value hierarchy. Refer to Note 16 of the Notes to Consolidated Financial Statements for further discussion on the estimated fair value hierarchy and estimated fair value principles. 2015 Pension Assets ASSETS AT ESTIMATED FAIR VALUE Level 1 Level 2 Total EQUITY U.S. Equity $ 138.9 $ 56.3 $ 195.2 International Equity 20.6 129.3 149.9 DEBT U.S. Government — 175.8 175.8 Other Government — 44.3 44.3 Corporate — 26.7 26.7 CASH & CASH EQUIVALENTS — 1.2 1.2 OTHER — 23.6 23.6 TOTAL $ 159.5 $ 457.2 $ 616.7 2014 Pension Assets ASSETS AT ESTIMATED FAIR VALUE Level 1 Level 2 Total EQUITY U.S. Equity $ 1.5 $ 0.7 $ 2.2 International Equity 6.1 2.8 8.9 DEBT U.S. Government — 0.6 0.6 Other Government — 9.4 9.4 Corporate — 14.8 14.8 CASH & CASH EQUIVALENTS — 2.4 2.4 OTHER — 6.3 6.3 TOTAL $ 7.6 $ 37.0 $ 44.6 There were no Level 3 pension assets at September 30, 2015 and 2014 . The investment objective for plan assets is to satisfy the current and future pension benefit obligations. The investment philosophy is to achieve this objective through diversification of the retirement plan assets. The goal is to earn a suitable return with an appropriate level of risk while maintaining adequate liquidity to distribute benefit payments. The diversified asset allocation includes equity positions, as well as fixed income investments. The increased volatility associated with equities is offset with higher expected returns, while the long duration fixed income investments help dampen the volatility of the overall portfolio. Risk exposure is controlled by re-balancing the retirement plan assets back to target allocations, as needed. Investment firms managing retirement plan assets carry out investment policy within their stated guidelines. Investment performance is monitored against benchmark indices, which reflect the policy and target allocation of the retirement plan assets. Defined Contribution Plan The Company sponsors a defined contribution plan, which extends participation eligibility to the vast majority of U.S. employees. As a result of the freezing of the U.S. pension plan effective January 1, 2014, the Company matches 100% of participant’s before tax contributions up to 6% of eligible compensation. Amounts charged to expense during fiscal 2015, 2014 and 2013 were $7.7 , $5.0 , and $4.1 , respectively, and are reflected in SG&A and Cost of products sold in the Consolidated Statements of Earnings and Comprehensive Income. |
Defined Contribution Plan
Defined Contribution Plan | 12 Months Ended |
Sep. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Defined Contribution Plan | Pension Plans Certain employees participate in defined benefit pension plans sponsored by the Company. Our Participation in Edgewell’s Pension and the Spin-Off Impact: Prior to the spin-off, Edgewell provided defined benefit pension plans to our eligible employees and retirees. As such, we applied the multiemployer plan accounting approach and these liabilities were not reflected in our consolidated balance sheets. We did provide pension coverage for certain employees that were specific to our Energizer entities through separate plans and those plans were included in our Consolidated Financial Statements prior to the spin-off. As part of the spin-off, and in accordance with the Employee Matters Agreement, the combined plans were split and we assumed the obligations previously provided by Edgewell. Accordingly, Edgewell transferred to us the plan assets and liabilities associated with our active, retired, and other former employees. We assumed net benefit plan liabilities of $41.7 from Edgewell, which was in addition to the $17.7 of net benefit plan liabilities for plans we had previously reported in our historical financial statements, for a total net liability of $59.4 on July 1, 2015. Total Edgewell benefit plan costs allocated to us were $5.9 in the first nine months of 2015 prior to the spin-off, $6.4 in 2014, and $23.1 in 2013. The expense allocations for these benefits were determined based on a review of personnel by business unit and based on allocations of corporate or other shared functional personnel. These allocated costs are reflected in our cost of products sold and SG&A expenses on the Consolidated Statements of Earnings and Comprehensive Income. These costs were funded through intercompany transactions with Edgewell and were reflected within the parent company investment equity balance. Effective January 1, 2014, benefits under the U.S. pension plan were frozen and future service benefits are no longer being accrued. As a result, the amortization period for unrecognized gains and losses was changed for fiscal 2015 and beyond from the average remaining service period of active employees to the average remaining life expectancy of all plan participants. Because unrecognized losses currently exist, this change will result in a decrease in future pension expense due to the longer amortization period being applied. The following tables present the benefit obligation, plan assets and funded status of the plans: September 30, 2015 2014 Change in Projected Benefit Obligation Benefit obligation at beginning of year $ 58.1 $ 64.1 Service cost 0.8 0.7 Interest cost 7.6 1.3 Plan participants' contributions 0.1 0.1 Actuarial loss/(gain) 24.3 3.4 Benefits paid, net (16.0 ) (6.9 ) Plan curtailments (2.0 ) — Plan settlements (0.2 ) (1.6 ) Net transfer in/(out) (including the effect of any business combinations/divestitures) (4.0 ) — Obligations transferred from Edgewell 662.9 — Foreign currency exchange rate changes (5.6 ) (3.0 ) Projected Benefit Obligation at end of year $ 726.0 $ 58.1 Change in Plan Assets Estimated fair value of plan assets at beginning of year $ 44.6 $ 51.6 Actual return on plan assets (25.4 ) 3.2 Company contributions 1.5 0.4 Plan participants' contributions 0.1 0.1 Plan settlements (0.2 ) (1.6 ) Benefits paid, net (16.0 ) (6.9 ) Net transfer in/(out) (including the effect of any business combinations/divestitures) (3.8 ) — Assets transferred from Edgewell 621.2 — Foreign currency exchange rate changes (5.3 ) (2.2 ) Estimated fair value of plan assets at end of year $ 616.7 $ 44.6 Funded status at end of year $ (109.3 ) $ (13.5 ) The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Shareholders’ Equity: September 30, 2015 2014 Amounts Recognized in the Consolidated Balance Sheets Noncurrent assets $ 5.9 $ — Current liabilities (2.8 ) — Noncurrent liabilities (112.4 ) (13.5 ) Net amount recognized $ (109.3 ) $ (13.5 ) Amounts Recognized in Accumulated Other Comprehensive Loss Net loss, pre tax $ 211.0 $ 8.3 Included in the Accumulated Other Comprehensive Loss balance at September 30, 2015 was $145.8 of gross accumulated loss associated with the pension plans transferred from Edgewell at July 1, 2015. Pre-tax changes recognized in other comprehensive income for the year ended September 30, 2015 are as follows: Changes in plan assets and benefit obligations recognized in other comprehensive loss Net loss/(gain) arising during the year $ 59.9 Effect of exchange rates (1.5 ) Amounts recognized as a component of net periodic benefit cost Amortization or settlement recognition of net (loss)/gain (1.5 ) Total recognized in other comprehensive income $ 56.9 Energizer expects to contribute $5.2 to its plans in fiscal 2016. Energizer’s expected future benefit payments for the plans are as follows: For The Years Ending September 30, 2016 $ 55.9 2017 46.8 2018 47.2 2019 47.2 2020 46.0 2021 to 2025 223.0 The accumulated benefit obligation for the plans was $609.4 and $45.0 at September 30, 2015 and 2014 , respectively. The following table shows the plans with an accumulated benefit obligation in excess of plan assets at the dates indicated. September 30, 2015 2014 Projected benefit obligation $ 726.0 $ 58.1 Accumulated benefit obligation $ 609.4 $ 45.0 Estimated fair value of plan assets $ 616.7 $ 44.6 Pension plan assets in the U.S. plan represent approximately 75% of assets in all of the Company's defined benefit pension plans. Investment policy for the U.S. plan includes a mandate to diversify assets and invest in a variety of assets classes to achieve that goal. The U.S. plan's assets are currently invested in several funds representing most standard equity and debt security classes. The broad target allocations are approximately: (a) equities, including U.S. and foreign: 65% , and (b) debt securities, including U.S. bonds: 35% . Actual allocations at September 30, 2015 approximated these targets. The U.S. plan held no shares of Company common stock at September 30, 2015. Investment objectives are similar for non-U.S. pension arrangements, subject to local requirements. The following table presents plan pension expense: For the Years Ended September 30, Pension 2015 2014 2013 Service cost $ 0.8 $ 0.7 $ 1.1 Interest cost 7.6 1.3 1.2 Expected return on plan assets (12.2 ) (1.8 ) (1.8 ) Recognized net actuarial loss/(gain) 1.4 0.1 0.4 Settlement loss recognized 0.1 0.2 0.1 Net periodic benefit cost $ (2.3 ) $ 0.5 $ 1.0 Amounts expected to be amortized from accumulated other comprehensive loss into net period benefit cost during the year ending September 30, 2016 are net actuarial losses of $6.9 . The following table presents assumptions, which reflect weighted averages for the component plans, used in determining the above information: September 30, 2015 2014 Plan obligations: Discount rate 3.9 % 1.5 % Compensation increase rate 3.3 % 2.3 % Net periodic benefit cost: Discount rate 4.0 % 2.1 % Expected long-term rate of return on plan assets 7.0 % 3.5 % Compensation increase rate 3.3 % 2.3 % The change in our assumptions from fiscal 2014 to fiscal 2015 is due to the change in the composition in plans now that the Company has assumed the full pension plan liabilities from Edgewell as discussed above. The expected return on the plan assets was determined based on historical and expected future returns of the various asset classes, using the target allocations described above. The following table sets forth the estimated fair value of Energizer’s plan assets as of September 30, 2015 and 2014 segregated by level within the estimated fair value hierarchy. Refer to Note 16 of the Notes to Consolidated Financial Statements for further discussion on the estimated fair value hierarchy and estimated fair value principles. 2015 Pension Assets ASSETS AT ESTIMATED FAIR VALUE Level 1 Level 2 Total EQUITY U.S. Equity $ 138.9 $ 56.3 $ 195.2 International Equity 20.6 129.3 149.9 DEBT U.S. Government — 175.8 175.8 Other Government — 44.3 44.3 Corporate — 26.7 26.7 CASH & CASH EQUIVALENTS — 1.2 1.2 OTHER — 23.6 23.6 TOTAL $ 159.5 $ 457.2 $ 616.7 2014 Pension Assets ASSETS AT ESTIMATED FAIR VALUE Level 1 Level 2 Total EQUITY U.S. Equity $ 1.5 $ 0.7 $ 2.2 International Equity 6.1 2.8 8.9 DEBT U.S. Government — 0.6 0.6 Other Government — 9.4 9.4 Corporate — 14.8 14.8 CASH & CASH EQUIVALENTS — 2.4 2.4 OTHER — 6.3 6.3 TOTAL $ 7.6 $ 37.0 $ 44.6 There were no Level 3 pension assets at September 30, 2015 and 2014 . The investment objective for plan assets is to satisfy the current and future pension benefit obligations. The investment philosophy is to achieve this objective through diversification of the retirement plan assets. The goal is to earn a suitable return with an appropriate level of risk while maintaining adequate liquidity to distribute benefit payments. The diversified asset allocation includes equity positions, as well as fixed income investments. The increased volatility associated with equities is offset with higher expected returns, while the long duration fixed income investments help dampen the volatility of the overall portfolio. Risk exposure is controlled by re-balancing the retirement plan assets back to target allocations, as needed. Investment firms managing retirement plan assets carry out investment policy within their stated guidelines. Investment performance is monitored against benchmark indices, which reflect the policy and target allocation of the retirement plan assets. Defined Contribution Plan The Company sponsors a defined contribution plan, which extends participation eligibility to the vast majority of U.S. employees. As a result of the freezing of the U.S. pension plan effective January 1, 2014, the Company matches 100% of participant’s before tax contributions up to 6% of eligible compensation. Amounts charged to expense during fiscal 2015, 2014 and 2013 were $7.7 , $5.0 , and $4.1 , respectively, and are reflected in SG&A and Cost of products sold in the Consolidated Statements of Earnings and Comprehensive Income. |
Debt
Debt | 12 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt | Debt The detail of long-term debt was as follows: September 30, 2015 September 30, 2014 Senior Secured Term Loan B Facility, net of discount, due 2022 $ 398.0 $ — 5.50% Senior Notes due 2025 600.0 — Total long-term debt, including current maturities 998.0 — Less current portion 3.0 — Total long-term debt $ 995.0 $ — On June 1, 2015, the Company entered into a credit agreement which provides for a five -year $250.0 senior secured revolving credit facility (Revolving Facility) and a seven -year $400.0 senior secured term loan B facility (Term Loan) that became effective on June 30, 2015. Also on June 1, 2015, Energizer completed the issuance and sale of $600.0 of 5.50% Senior Notes due 2025 (Senior Notes), with proceeds placed in escrow and released June 30, 2015. Borrowings under the Revolving Facility will bear interest at LIBOR plus the applicable margin based on total Company leverage. As of September 30, 2015, the Company did not have outstanding borrowings under the Revolving Facility and had $6.4 of outstanding letters of credit. Taking into account outstanding letters of credit, $243.6 remains available as of September 30, 2015. The $400.0 Term Loan was issued at a $1.0 discount and bears interest at LIBOR plus 250 basis points subject to a 75 basis point floor. The loans and commitments under the Term Loan require quarterly principal payments at a rate of 0.25% of the original principal balance. Obligations under the Revolving Facility and Term Loan are jointly and severally guaranteed by certain of its existing and future direct and indirectly wholly-owned U.S. subsidiaries. There is a first priority perfected lien on substantially all of the assets and property of Energizer and guarantors and proceeds therefrom excluding certain excluded assets. In August 2015, the Company entered into an interest rate swap agreement with one major financial institution that fixed the variable benchmark component ( LIBOR ) on $200.0 of Energizer's variable rate debt through June 2022 at an interest rate of 2.22% . The Senior Notes were sold to qualified institutional buyers and will not be registered under the Securities Act or applicable state securities laws. Interest is payable semi-annually on the Senior Notes, beginning on December 15, 2015. The Senior Notes are fully and unconditionally guaranteed, jointly and severally, on an unsecured basis by each of Energizer's domestic restricted subsidiaries that is a borrower or guarantor under the Revolving Facility and Term Loan. The Revolving Facility will be used for working capital and for general corporate purposes. The proceeds of the Term Loan and the Senior Notes were transferred to Edgewell in connection with the contribution of certain assets to Energizer immediately prior to the completion of the spin-off. See Note 12, Transactions with Edgewell. Debt Covenants The credit agreements governing the Company's debt agreements contain certain customary representations and warranties, affirmative covenants and provisions relating to events of default. If the Company fails to comply with these covenants or with other requirements of these credit agreements, the lenders may have the right to accelerate the maturity of the debt. Acceleration under one of these facilities would trigger cross defaults to other borrowings. As of September 30, 2015, the Company was, and expects to remain, in compliance with the provisions and covenants associated with its debt agreements. Aggregate maturities of long-term debt, including current maturities, at September 30, 2015 were as follows: $3.0 in one year, $4.0 in two years, $4.0 in three years, $4.0 in four years, $4.0 in five years and $980.0 thereafter. The counterparties to long-term committed borrowings consist of a number of major financial institutions. The Company consistently monitors positions with, and credit ratings of, counterparties both internally and by using outside ratings agencies. |
Financial Instruments and Risk
Financial Instruments and Risk Management | 12 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Risk Management | Financial Instruments and Risk Management The market risk inherent in the Company's operations creates potential earnings volatility arising from changes in currency rates, interest rates and commodity prices. The Company's policy allows derivatives to be used only for identifiable exposures and, therefore, the Company does not enter into hedges for trading or speculative purposes where the sole objective is to generate profits. Concentration of Credit Risk -The counterparties to derivative contracts consist of a number of major financial institutions and are generally institutions with which the Company maintains lines of credit. The Company does not enter into derivative contracts through brokers nor does it trade derivative contracts on any other exchange or over-the-counter markets. Risk of currency positions and mark-to-market valuation of positions are strictly monitored at all times. The Company continually monitors positions with, and credit ratings of, counterparties both internally and by using outside rating agencies. While nonperformance by these counterparties exposes Energizer to potential credit losses, such losses are not anticipated. The Company sells to a large number of customers primarily in the retail trade, including those in mass merchandising, drugstore, supermarket and other channels of distribution throughout the world. Wal-Mart Stores, Inc. and its subsidiaries accounted for 10.0% , 8.5% , and 13.3% of total net sales in fiscal 2015, 2014 and 2013, respectively, primarily in North America. The Company performs ongoing evaluations of its customers’ financial condition and creditworthiness, but does not generally require collateral. While the competitiveness of the retail industry presents an inherent uncertainty, the Company does not believe a significant risk of loss from a concentration of credit risk exists with respect to accounts receivable. In the ordinary course of business, the Company enters into contractual arrangements (derivatives) to reduce its exposure to commodity price and foreign currency risks. The section below outlines the types of derivatives that existed at September 30, 2015 and 2014 , as well as the Company's objectives and strategies for holding these derivative instruments. Commodity Price Risk – Energizer uses raw materials that are subject to price volatility. At times, the Company has used, and may in the future use, hedging instruments to reduce exposure to variability in cash flows associated with future purchases of certain materials and commodities. At September 30, 2015 and September 30, 2014, there were no open derivative or hedging instruments for future purchases of raw materials or commodities. Foreign Currency Risk – A significant portion of Energizer’s product cost is more closely tied to the U.S. dollar than to the local currencies in which the product is sold. As such, a weakening of currencies relative to the U.S. dollar results in margin declines unless mitigated through pricing actions, which are not always available due to the economic or competitive environment. Conversely, a strengthening in currencies relative to the U.S. dollar can improve margins. Additionally, Energizer’s foreign subsidiaries enter into internal and external transactions that create nonfunctional currency balance sheet positions at the foreign subsidiary level. These exposures are generally the result of intercompany purchases, intercompany loans and, to a lesser extent, external purchases, and are revalued in the foreign subsidiary’s local currency at the end of each period. Changes in the value of the non-functional currency balance sheet positions in relation to the foreign subsidiary’s local currency results in a transaction gain or loss recorded in Other financing items, net on the Consolidated Statements of Earnings and Comprehensive Income. The primary currency to which Energizer’s foreign subsidiaries are exposed is the U.S. dollar. Interest Rate Risk - Energizer has interest rate risk with respect to interest expense on variable rate debt. At September 30, 2015, Energizer had variable rate debt outstanding with an original principal balance of $400.0 under the Term Loan. During fiscal year 2015, the Company entered into an interest rate swap agreement with one major financial institution that fixed the variable benchmark component ( LIBOR ) on $200.0 of the Company's variable rate debt through June 2022 at an interest rate of 2.22% . Cash Flow Hedges - The Company has entered into a series of forward currency contracts to hedge the cash flow uncertainty of forecasted inventory purchases due to short term currency fluctuations. Energizer’s primary foreign affiliates, which are exposed to U.S. dollar purchases, have the Euro, the British pound, the Canadian dollar and the Australian dollar as their local currencies. These foreign currencies represent a significant portion of Energizer's foreign currency exposure. At September 30, 2015 and 2014 , Energizer had an unrealized pre-tax gain on these forward currency contracts accounted for as cash flow hedges of $4.5 and $5.4 , respectively, included in Accumulated other comprehensive loss on the Consolidated Balance Sheets. Assuming foreign exchange rates versus the U.S. dollar remain at September 30, 2015 levels, over the next twelve months, $4.5 of the pre-tax gain included in Accumulated other comprehensive loss is expected to be recognized in earnings. Contract maturities for these hedges extend into fiscal year 2017. Derivatives not Designated in Hedging Relationships - Edgewell held a share option with a major financial institution to mitigate the impact of changes in certain of Edgewell’s unfunded deferred compensation liabilities, which are tied to Edgewell’s common stock price. The share option matured in November 2014 and was not subsequently renewed. Prior to the spin, Energizer received an allocation of an appropriate share of the impact of this financial instrument. In addition, Energizer enters into foreign currency derivative contracts which are not designated as cash flow hedges for accounting purposes, to hedge existing balance sheet exposures. Any gains or losses on these contracts would be offset by corresponding exchange losses or gains on the underlying exposures; and as such are not subject to significant market risk. The following table provides the Company's estimated fair values as of September 30, 2015 and 2014 , and the amounts of gains and losses on derivative instruments classified as cash flow hedges as of and for the twelve months ended September 30, 2015 and 2014 , respectively: At September 30, 2015 For the Year Ended September 30, 2015 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset(Liability) (1) (2) Pre-Tax Gain/(Loss) Recognized in OCI(3) Pre-Tax Gain/(Loss) Foreign currency contracts $ 4.5 $ 10.1 $ 11.0 Interest rate contracts (5.2 ) (5.2 ) — Total $ (0.7 ) $ 4.9 $ 11.0 At September 30, 2014 For the Year Ended September 30, 2014 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset(Liability) (1) (2) Gain/(Loss) Recognized in OCI(3) Gain/(Loss) Foreign currency contracts $ 5.4 $ 6.6 $ (1.1 ) 1. All derivative assets are presented in Other current assets or Other assets. 2. All derivative liabilities are presented in Other current liabilities or Other liabilities. 3. OCI is defined as other comprehensive income. 4. Gain/(loss) reclassified to Income was recorded as follows: Foreign currency contracts in other financing items, net. 5. Each of these hedging relationships has derivative instruments with a high correlation to the underlying exposure being hedged and has been deemed highly effective in offsetting the underlying risk. The following table provides estimated fair values as of September 30, 2015 and 2014 , and the gains and losses on derivative instruments not classified as cash flow hedges as of and for the twelve months ended September 30, 2015 and 2014 , respectively. At September 30, 2015 For the Year Ended September 30, 2015 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Asset (Liability) Gain/(Loss) Recognized in Income (1) Share option (2) $ — $ 0.2 Foreign currency contracts — 2.2 Total $ — $ 2.4 At September 30, 2014 For the Year Ended September 30, 2014 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Asset (Liability) Gain/(Loss) Recognized in Income (1) Share option (2) $ — $ 7.1 Foreign currency contracts 1.0 1.2 Total $ 1.0 $ 8.3 1. Gain/(loss) recognized in Income was recorded as follows: Share option in Selling, general and administrative expense and foreign currency and commodity contracts in Other financing, items, net. 2. Edgewell held a share option with a major financial institution, which matured in November 2014 and was subsequently not renewed. Energizer has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At September 30, 2015 At September 30, 2014 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 4.9 $ (0.4 ) $ 4.5 $ 7.2 $ (0.2 ) $ 7.0 Offsetting of derivative liabilities At September 30, 2015 At September 30, 2014 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ — $ — $ — $ (0.8 ) $ 0.2 $ (0.6 ) Fair Value Hierarchy – Accounting guidance on fair value measurements for certain financial assets and liabilities requires that assets and liabilities carried at fair value be classified in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs reflecting the reporting entity’s own assumptions or external inputs from inactive markets. Under the fair value accounting guidance hierarchy, an entity is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The following table sets forth the Company's financial assets and liabilities, which are carried at fair value, as of September 30, 2015 and 2014 that are measured on a recurring basis during the period, segregated by level within the fair value hierarchy: Level 2 September 30, 2015 2014 Assets/(Liabilities) at estimated fair value: Deferred Compensation $ (58.5 ) $ (45.8 ) Derivatives - Foreign Currency contracts 4.5 6.4 Derivatives - Interest Rate Swap (5.2 ) — Total Liabilities at estimated fair value $ (59.2 ) $ (39.4 ) Energizer had no level 1 financial assets or liabilities, other than pension plan assets, and no level 3 financial assets or liabilities at September 30, 2015 and 2014 . Due to the nature of cash and cash equivalents, carrying amounts on the balance sheets approximate estimated fair value. The estimated fair value of cash and cash equivalents has been determined based on level 2 inputs. At September 30, 2015 , the estimated fair value of foreign currency contracts as described above is the amount that the Company would receive or pay to terminate the contracts, considering first, quoted market prices of comparable agreements, or in the absence of quoted market prices, such factors as interest rates, currency exchange rates and remaining maturities. The estimated fair value of the Company's unfunded deferred compensation liability is determined based upon the quoted market prices of the Company's Common Stock Unit Fund as well as other investment options that are offered under the plan. At September 30, 2015 , the fair market value of fixed rate long-term debt was $581.2 compared to its carrying value of $600.0 . The estimated fair value of the long-term debt is estimated using yields obtained from independent pricing sources for similar types of borrowing arrangements. The estimated fair value of fixed rate long-term debt has been determined based on level 2 inputs. |
Environmental and Regulatory
Environmental and Regulatory | 12 Months Ended |
Sep. 30, 2015 | |
Environmental Remediation Obligations [Abstract] | |
Environmental and Regulatory | Environmental and Regulatory Government Regulation and Environmental Matters – The operations of Energizer are subject to various federal, state, foreign and local laws and regulations intended to protect the public health and the environment. These regulations relate primarily to worker safety, air and water quality, underground fuel storage tanks and waste handling and disposal. Under the Comprehensive Environmental Response, Compensation and Liability Act, Energizer is identified as a “potentially responsible party” (PRP) and may be required to share in the cost of cleanup with respect to eight federal “Superfund” sites. It may also be required to share in the cost of cleanup with respect to state-designated sites or other sites outside of the U.S. Accrued environmental costs at September 30, 2015 were $4.2 , of which $1.5 is expected to be spent during fiscal 2016 . It is difficult to quantify with certainty the cost of environmental matters, particularly remediation and future capital expenditures for environmental control equipment. Total environmental capital expenditures and operating expenses are not expected to have a material effect on our total capital and operating expenditures, combined earnings or competitive position. However, current environmental spending estimates could be modified as a result of changes in our plans or our understanding of underlying facts, changes in legal requirements, including any requirements related to global climate change, or other factors. Legal Proceedings – The Company and its affiliates are subject to a number of legal proceedings in various jurisdictions arising out of its operations. Many of these legal matters are in preliminary stages and involve complex issues of law and fact, and may proceed for protracted periods of time. The amount of liability, if any, from these proceedings cannot be determined with certainty. We are a party to legal proceedings and claims that arise during the ordinary course of business. We review our legal proceedings and claims, regulatory reviews and inspections and other legal proceedings on an ongoing basis and follow appropriate accounting guidance when making accrual and disclosure decisions. We establish accruals for those contingencies where the incurrence of a loss is probable and we can be reasonably estimated, and we disclose the amount accrued and the amount of a reasonably possible loss in excess of the amount accrued, if such disclosure is necessary for our financial statements to not be misleading. We do not record liabilities when the likelihood that the liability has been incurred is probably, but the amount cannot be reasonably estimated. Based upon present information, the Company believes that its liability, if any, arising from such pending legal proceedings, asserted legal claims and known potential legal claims which are likely to be asserted, is not reasonably likely to be material to the Company's financial position, results of operations, or cash flows, when taking into account established accruals for estimated liabilities. |
Other Commitments and Contingen
Other Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Other Commitments and Contingencies | Other Commitments and Contingencies Total rental expense less sublease rental income for all operating leases was $15.9 , $11.3 and $10.0 in fiscal 2015, 2014 and 2013, respectively. Future minimum rental commitments under non-cancellable operating leases directly held by Energizer and in effect as of September 30, 2015 , were $14.0 in fiscal 2016, $12.4 in fiscal 2017, $12.2 in fiscal 2018, $8.7 in fiscal 2019, $7.4 in fiscal 2020 and $13.2 thereafter. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss)/Income | 12 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Accumulated Other Comprehensive (Loss)/Income | Accumulated Other Comprehensive (Loss)/Income The following table presents the changes in accumulated other comprehensive (loss)/income (AOCI), net of tax by component: Foreign Currency Translation Adjustments Pension Activity Hedging Activity Interest Rate Swap Total Balance at September 30, 2014 $ (28.7 ) $ (7.3 ) $ 4.3 $ — $ (31.7 ) OCI before reclassifications (97.9 ) (38.3 ) 6.7 (3.3 ) (132.8 ) Separation related adjustments 0.8 (95.3 ) 0.6 — (93.9 ) Venezuela deconsolidation charge 16.2 — — — 16.2 Reclassifications to earnings — 1.1 (8.2 ) — (7.1 ) Balance at September 30, 2015 $ (109.6 ) $ (139.8 ) $ 3.4 $ (3.3 ) $ (249.3 ) The following table presents the reclassifications out of AOCI: For the Twelve Months Ended September 30, 2015 Details of AOCI Components Amount Reclassified Affected Line Item in the Consolidated Statements of Earnings Gains and losses on cash flow hedges Foreign exchange contracts $ 11.0 Other financing items, net 11.0 Total before tax (2.8 ) Tax (expense)/benefit $ 8.2 Net of tax Amortization of defined benefit pension items Actuarial losses (1.4 ) (2) Settlement losses (0.1 ) (2) (1.5 ) Total before tax 0.4 Tax (expense)/benefit $ (1.1 ) Net of tax Foreign Currency Translation Adjustments Venezuela deconsolidation charge $ (16.2 ) Venezuela deconsolidation charge Total reclassifications for the period $ (9.1 ) Net of tax 1. Amounts in parentheses indicate debits to Consolidated Statements of Earnings. 2. These AOCI components are included in the computation of net periodic benefit cost (see Note 13, Pension Plans, for further details). |
Supplemental Financial Statemen
Supplemental Financial Statement Information | 12 Months Ended |
Sep. 30, 2015 | |
Financial Statement Related Disclosures [Abstract] | |
Supplemental Financial Statement Information | Supplemental Financial Statement Information The components of certain balance sheet accounts at September 30 for the years indicated are as follows: 2015 2014 Inventories Raw materials and supplies $ 32.4 $ 38.5 Work in process 73.0 68.4 Finished products 170.5 185.5 Total inventories $ 275.9 $ 292.4 Other Current Assets Miscellaneous receivables $ 34.3 $ 31.4 Due from Edgewell 30.4 — Deferred income tax benefits 49.6 43.7 Prepaid expenses 53.2 35.7 Value added tax collectible from customers 19.9 22.9 Other 5.6 12.9 Total other current assets $ 193.0 $ 146.6 Property, plant and equipment Land $ 10.0 $ 10.3 Buildings 162.8 143.6 Machinery and equipment 886.2 871.8 Construction in progress 12.1 10.1 Total gross property 1,071.1 1,035.8 Accumulated depreciation (865.5 ) (823.3 ) Total property, plant and equipment, net $ 205.6 $ 212.5 Other Current Liabilities Accrued advertising, sales promotion and allowances $ 29.7 $ 25.7 Accrued trade allowances 41.7 35.6 Accrued salaries, vacations and incentive compensation 39.5 45.9 2013 restructuring reserve 4.0 12.4 Spin restructuring reserve 12.3 — Income taxes payable 43.7 2.9 Other 121.7 67.0 Total other current liabilities $ 292.6 $ 189.5 Other Liabilities Pensions and other retirement benefits $ 119.3 $ 12.8 Deferred compensation 58.5 45.8 Other non-current liabilities 49.1 31.2 Total other liabilities $ 226.9 $ 89.8 Allowance for Doubtful Accounts 2015 2014 2013 Balance at beginning of year $ 7.4 $ 9.5 $ 9.5 Provision charged to expense, net of reversals 1.9 1.6 2.3 Write-offs, less recoveries, translation, other (2.3 ) (3.7 ) (2.3 ) Balance at end of year $ 7.0 $ 7.4 $ 9.5 Income Tax Valuation Allowance 2015 2014 2013 Balance at beginning of year $ 14.5 $ 11.4 $ 10.4 Provision charged to expense 0.3 8.2 0.9 Reversal of provision charged to expense (0.8 ) (3.5 ) (0.1 ) Translation, other (0.4 ) (1.6 ) 0.2 Balance at end of year $ 13.6 $ 14.5 $ 11.4 Supplemental Disclosure of Cash Flow Information 2015 2014 2013 Interest paid $ 73.1 $ 52.2 $ 67.1 Income taxes paid $ 37.6 $ 53.1 $ 61.6 |
Segments
Segments | 12 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segments | Segments Operations for Energizer are managed via four major geographic reportable segments: North America (the United States and Canada), Latin America, Europe, Middle East and Africa (“EMEA”), and Asia Pacific. Energizer’s operating model includes a combination of standalone and shared business functions between the geographic segments, varying by country and region of the world. Shared functions include IT and finance shared service costs. Energizer applies a fully allocated cost basis, in which shared business functions are allocated between segments. Such allocations are estimates, and do not represent the costs of such services if performed on a standalone basis. For the year ended September 30, 2015, Edgewell recorded a one-time charge of $144.5 as a result of deconsolidating its Venezuelan subsidiaries, which had no accompanying tax benefit. Energizer was allocated $65.2 of this one-time charge. See Note 6, Venezuela, to the Consolidated Financial Statements. Corporate assets shown in the following table include all cash, financial instruments and deferred tax assets that are managed outside of operating segments. Net Sales 2015 2014 2013 North America $ 831.3 $ 909.2 $ 1,041.9 Latin America 125.1 162.1 182.0 EMEA 370.4 419.1 423.3 Asia Pacific 304.8 350.0 365.0 Total net sales $ 1,631.6 $ 1,840.4 $ 2,012.2 Segment Profit North America 234.6 263.9 307.1 Latin America 20.7 26.4 32.9 EMEA 58.3 61.4 49.9 Asia Pacific 77.9 97.1 98.2 Total segment profit $ 391.5 $ 448.8 $ 488.1 General corporate and other expenses (66.0 ) (62.5 ) (70.8 ) Global marketing expenses (24.8 ) (20.7 ) (21.8 ) Research and development expense (24.9 ) (25.3 ) (29.7 ) Venezuela deconsolidation charge (65.2 ) — — Restructuring (1) (13.0 ) (50.4 ) (132.6 ) Integration (2) (1.6 ) — — Spin costs (3) (98.1 ) (21.3 ) — Spin restructuring (39.1 ) — — Cost of early debt retirement (4) (26.7 ) — — Interest and other financing items (32.8 ) (53.4 ) (71.2 ) Total (loss) earnings before income taxes $ (0.7 ) $ 215.2 $ 162.0 Depreciation and Amortization North America 22.3 17.6 25.1 Latin America 1.0 0.1 0.7 EMEA 1.1 0.6 1.4 Asia Pacific 12.8 20.9 26.2 Total segment depreciation and amortization 37.2 39.2 53.4 Corporate 4.6 3.0 2.5 Total depreciation and amortization $ 41.8 $ 42.2 $ 55.9 Total Assets 2015 2014 North America $ 394.8 $ 371.7 Latin America 63.3 58.6 EMEA 237.5 188.3 Asia Pacific 573.2 329.6 Total segment assets $ 1,268.8 $ 948.2 Corporate 246.4 129.3 Goodwill and other intangible assets, net 114.4 117.2 Total assets $ 1,629.6 $ 1,194.7 Capital Expenditures 2015 2014 2013 North America $ 28.4 $ 15.9 $ 5.7 Latin America 1.2 0.6 2.2 EMEA 2.3 1.9 1.5 Asia Pacific 8.5 10.0 8.4 Total segment capital expenditures $ 40.4 $ 28.4 $ 17.8 (1) Includes $0.3 for the twelve months ended September 30, 2015 , $5.9 for the twelve months ended September 30, 2014 and $6.1 for the twelve months ended September 30, 2013 associated with certain information technology and related activities, which are included in SG&A on the Consolidated Statements of Earnings and Comprehensive Income. Additionally, pre-tax costs of $3.1 for the twelve months ended September 30, 2015 , $1.0 for the twelve months ended September 30, 2014 and $2.6 for the twelve months ended September 30, 2013 associated with obsolescence charges and severance related to our restructuring, were included in Cost of products sold on the Consolidated Statements of Earnings and Comprehensive Income. (2) Includes $0.3 recorded in cost of products sold and $1.3 recorded in SG&A in the Consolidated Statements of Earnings and Comprehensive Income. (3) Included in SG&A in the Consolidated Statements of Earnings and Comprehensive Income. (4) Included in Interest Expense in the Consolidated Statements of Earnings and Comprehensive Income. Geographic segment information for the years ended September 30 was as follows: 2015 2014 2013 Net Sales to Customers United States $ 767.6 $ 822.0 $ 951.2 International 864.0 1,018.4 1,061.0 Total net sales $ 1,631.6 $ 1,840.4 $ 2,012.2 Long-Lived Assets United States $ 210.9 $ 95.3 Singapore 69.7 81.9 Other International 108.1 153.2 Total long-lived assets excluding goodwill and intangibles $ 388.7 $ 330.4 Supplemental product information is presented below for net sales for the years ended September 30: 2015 2014 2013 Net Sales Alkaline batteries 1,044.9 1,167.6 1,241.0 Other batteries and lighting products 586.7 672.8 771.2 Total net sales $ 1,631.6 $ 1,840.4 $ 2,012.2 |
Quarterly Financial Information
Quarterly Financial Information - (Unaudited) | 12 Months Ended |
Sep. 30, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information - (Unaudited) | Quarterly Financial Information - (Unaudited) The fourth quarter of fiscal 2015 was the first quarter post spin and represents the actual results of the Company as an independent public company. Operations for the first three quarters of fiscal 2015 as well as all four quarters from fiscal 2014 include allocations from Edgewell and may not be representative of the Company's results if it would have been a stand alone company during those periods. The results of any single quarter are not necessarily indicative of the Company’s results for the full year. Net earnings of the Company are impacted in the first quarter by the additional battery product sales volume associated with the December holiday season. Per share data is computed independently for each of the periods presented. As a result, the sum of the amounts for the quarter may not equal the total for the year. Fiscal 2015 First Second Third Fourth Net sales $ 501.3 $ 356.9 $ 374.3 $ 399.1 Gross profit 233.8 168.5 170.8 183.1 Net earnings/(loss) 61.7 (69.2 ) (19.6 ) 23.1 Earnings/(loss) per share: Basic (1) $ 0.99 $ (1.11 ) $ (0.32 ) $ 0.37 Diluted (1) $ 0.99 $ (1.11 ) $ (0.32 ) $ 0.37 Items decreasing/(increasing) net earnings: Venezuela deconsolidation $ — $ 65.2 $ — $ — Spin costs 14.6 15.2 25.0 13.9 Spin restructuring 0.7 15.6 7.9 2.8 Cost of early debt retirement — — 16.7 — Restructuring (6.1 ) 0.3 12.4 (0.1 ) Integration 0.3 0.4 0.3 0.2 Adjustments to prior year tax accruals — — (2.6 ) (1.4 ) Fiscal 2014 First Second Third Fourth Net sales $ 568.6 $ 373.4 $ 411.7 $ 486.7 Gross profit 261.6 161.8 192.3 234.7 Net earnings 58.0 16.5 36.3 46.5 Earnings per share: Basic (1) $ 0.93 $ 0.27 $ 0.58 $ 0.75 Diluted (1) $ 0.93 $ 0.27 $ 0.58 $ 0.75 Items decreasing net earnings: Spin costs — — 2.6 13.9 Restructuring 13.8 13.3 2.2 4.8 (1) On July 1, 2015, Edgewell distributed 62.2 million shares of Energizer Holdings, Inc. common stock to Edgewell shareholders in connection with its spin-off of Energizer Holdings, Inc. See Note 1, Description of Business and Basis of Presentation, to the Consolidated Financial Statements for more information. Basic and diluted earnings per common share and the average number of common shares outstanding were retrospectively restated for the number of Energizer Holdings, Inc. shares outstanding immediately following this transaction. |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation - The consolidated financial statements include the accounts of Energizer and its subsidiaries. All significant intercompany transactions are eliminated. Energizer has no material equity method investments or variable interests. Prior to the spin-off on July 1, 2015, our financial statements were prepared on a combined standalone basis derived from the financial statements and accounting records of Edgewell and included expense allocations for: (1) certain product warehousing and distribution; (2) various transaction process functions; (3) a consolidated sales force and management for certain countries; (4) certain support functions that were provided on a centralized basis within Edgewell and not recorded at the business division level, including, but not limited to, finance, audit, legal, information technology, human resources, communications, facilities, and compliance; (5) employee benefits and compensation; (6) share-based compensation; (7) financing costs; (8) the effects of restructurings and the Venezuela deconsolidation; and (9) cost of early debt retirement. These expenses were allocated to Energizer on the basis of direct usage where identifiable, with the remainder allocated on a basis of global net sales, cost of sales, operating income, headcount or other measures of Energizer and Edgewell. Management believes the assumptions regarding allocated expenses, reasonably reflect the utilization of services provided to or the benefit received by Energizer during the periods prior to the spin-off. Nevertheless, the allocations may not include all of the actual expenses that would have been incurred by Energizer and may not reflect our results of operations, financial position and cash flows had we been an independent standalone company during the periods prior to July 1, 2015. It is not practicable to estimate actual costs that would have been incurred had Energizer been a standalone company during the periods prior to the spin-off. Actual costs that would have been incurred if Energizer had been a standalone company would depend on multiple factors, including organizational structure and strategic decisions made in various areas, including information technology and infrastructure |
Use of Estimates | Use of Estimates – The preparation of the Company's Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. On an ongoing basis, Energizer evaluates its estimates, including those related to customer promotional programs and incentives, product returns, bad debts, the carrying value of inventories, intangible and other long-lived assets, income taxes, pensions and other postretirement benefits, share-based compensation, contingencies and acquisitions. Actual results could differ materially from those estimates. However, in regard to ongoing impairment testing of goodwill and indefinite lived intangible assets, significant deterioration in future cash flow projections, changes in discount rates used in discounted cash flow models or changes in other assumptions used in estimating fair values, versus those anticipated at the time of the initial acquisition, as well as subsequent estimated valuations, could result in impairment charges that may materially affect the financial statements in a given year. |
Cash and Cash Equivalents | Cash and Cash Equivalents – Cash and cash equivalents consist of cash on hand and marketable securities with original maturities of three months or less. At September 30, 2015, Energizer had $502.1 in available cash, 95% of which was outside of the U.S. The Company has extensive operations, including a significant manufacturing footprint outside of the U.S. We manage our worldwide cash requirements by reviewing available funds among the many subsidiaries through which we conduct our business and the cost effectiveness with which those funds can be accessed. The repatriation of cash balances from certain of our subsidiaries could have adverse tax consequences or be subject to regulatory capital requirements; however, those balances are generally available without legal restrictions to fund ordinary business operations. U.S. income taxes have not been provided on a significant portion of undistributed earnings of international subsidiaries. Our intention is to reinvest these earnings indefinitely. Prior to the spin-off, cash was managed centrally with net earnings reinvested locally and working capital requirements met from existing liquid funds. Accordingly, the cash and cash equivalents held by Edgewell at the corporate level was not attributed to Energizer and only cash amounts specifically attributable to Energizer legal entities are reflected as of September 30, 2014. |
Foreign Currency Translations | Foreign Currency Translation – Financial statements of foreign operations where the local currency is the functional currency are translated using end-of-period exchange rates for assets and liabilities and average exchange rates during the period for results of operations. Related translation adjustments are reported as a component within accumulated other comprehensive income in the equity section of the Consolidated Balance Sheets, except as noted in Note 6, Venezuela. |
Financial Instruments and Derivative Securities | Financial Instruments and Derivative Securities – Energizer uses financial instruments, from time to time, in the management of foreign currency, interest rate risk and commodity price risks that are inherent to its business operations. Such instruments are not held or issued for trading purposes. Every derivative instrument (including certain derivative instruments embedded in other contracts) is required to be recorded on the balance sheet at fair value as either an asset or liability. Changes in fair value of recorded derivatives are required to be recognized in earnings unless specific hedge accounting criteria are met. Foreign exchange instruments, including currency forwards, are used primarily to reduce cash transaction exposures and to manage other translation exposures. Foreign exchange instruments used are selected based on their risk reduction attributes, costs and the related market conditions. The Company has designated certain foreign currency contracts as cash flow hedges for accounting purposes as of September 30, 2015 and 2014 . The Company has interest rate risk with respect to interest expense on variable rate debt. The Company is party to an interest rate swap agreement with one major financial institution that fixes the variable benchmark component (LIBOR) on $200.0 of the Company's variable rate debt at September 30, 2015. Energizer uses raw materials that are subject to price volatility. The Company may use hedging instruments to reduce exposure to variability in cash flows associated with future purchases of commodities. There were no outstanding derivative contracts for the future purchases of commodities as of September 30, 2015 . |
Cash Flow Presentation | Cash Flow Presentation – The Consolidated Statements of Cash Flows are prepared using the indirect method, which reconciles net earnings to cash flow from operating activities. The reconciliation adjustments include the removal of timing differences between the occurrence of operating receipts and payments and their recognition in net earnings. The adjustments also remove cash flows arising from investing and financing activities, which are presented separately from operating activities. Cash flows from foreign currency transactions and operations are translated at an average exchange rate for the period. Cash flows from hedging activities are included in the same category as the items being hedged, which is primarily operating activities. Cash payments related to income taxes are classified as operating activities. |
Trade Receivables, net | Trade Receivables, net – Trade receivables are stated at their net realizable value. The allowance for doubtful accounts reflects the Company's best estimate of probable losses inherent in the receivables portfolio determined on the basis of historical experience, specific allowances for known troubled accounts and other currently available information. Bad debt expense is included in Selling, general and administrative expense (SG&A) in the Consolidated Statements of Earnings and Comprehensive Income. |
Inventories | Inventories – Inventories are valued at the lower of cost or market, with cost generally being determined using average cost or the first-in, first-out (FIFO) method. The Company records a reserve for excess and obsolete inventory based upon the historical usage rates, sales patterns of its products and specifically-identified obsolete inventory. |
Capitalized Software Costs | Capitalized Software Costs – Capitalized software costs are included in other assets. These costs are amortized using the straight-line method over periods of related benefit ranging from three to seven years. Expenditures related to capitalized software are included in the Capital expenditures caption in the Consolidated Statements of Cash Flows. |
Property, Plant and Equipment, net | Property, Plant and Equipment, net – Property, plant and equipment, net is stated at historical costs. Expenditures for new facilities and expenditures that substantially increase the useful life of property, including interest during construction, are capitalized and reported in the Capital expenditures caption in the Consolidated Statements of Cash Flows. Maintenance, repairs and minor renewals are expensed as incurred. When property is retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts, and gains or losses on the disposition are reflected in earnings. Depreciation is generally provided on the straight-line basis by charges to pre-tax earnings at rates based on estimated useful lives. Estimated useful lives range from two to 25 years for machinery and equipment and three to 30 years for buildings and building improvements. Depreciation expense was $37.1 in fiscal 2015, excluding accelerated depreciation charges of $9.1 , related primarily to certain manufacturing assets including property, plant and equipment located at the facilities to be closed or streamlined, and $40.3 in fiscal 2014, excluding accelerated depreciation charges of $4.1 , related primarily to certain manufacturing assets including property, plant and equipment located at the facilities to be closed or streamlined, and $54.8 in fiscal 2013, excluding non-cash impairment charge of $19.3 and accelerated depreciation charges of $23.6 , respectively. See Note 4, Restructuring, of the Notes to the Consolidated Financial Statements. Estimated useful lives are periodically reviewed and, when appropriate, changes are made prospectively. When certain events or changes in operating conditions occur, asset lives may be adjusted and an impairment assessment may be performed on the recoverability of the carrying amounts. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets – Goodwill and indefinite-lived intangibles are not amortized, but are evaluated annually for impairment as part of the Company's annual business planning cycle in the fourth fiscal quarter, or when indicators of a potential impairment are present. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets – Energizer reviews long-lived assets, other than goodwill and other intangible assets for impairment, when events or changes in business circumstances indicate that the remaining useful life may warrant revision or that the carrying amount of the long-lived asset may not be fully recoverable. Energizer performs undiscounted cash flow analysis to determine if impairment exists. If impairment is determined to exist, any related impairment loss is calculated based on estimated fair value. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less cost of disposal. |
Revenue Recognition | Revenue Recognition – Energizer’s revenue is from the sale of its products. Revenue is recognized when title, ownership and risk of loss pass to the customer. Discounts are offered to customers for early payment and an estimate of the discount is recorded as a reduction of net sales in the same period as the sale. Our standard sales terms are final and returns or exchanges are not permitted unless a special exception is made. Reserves are established and recorded in cases where the right of return does exist for a particular sale. Energizer offers a variety of programs, such as consumer coupons and similar consumer rebate programs, primarily to its retail customers, designed to promote sales of its products. Such programs require periodic payments and allowances based on estimated results of specific programs and are recorded as a reduction to net sales. Energizer accrues, at the time of sale, the estimated total payments and allowances associated with each transaction. Additionally, Energizer offers programs directly to consumers to promote the sale of its products. Promotions which reduce the ultimate consumer sale prices are recorded as a reduction of net sales at the time the promotional offer is made, generally using estimated redemption and participation levels. Taxes we collect on behalf of governmental authorities, which are generally included in the price to the customer, are also recorded as a reduction of net sales. Energizer continually assesses the adequacy of accruals for customer and consumer promotional program costs not yet paid. To the extent total program payments differ from estimates, adjustments may be necessary. Historically, these adjustments have not been material. |
Advertising and Sales Promotion Costs | Advertising and Sales Promotion Costs – The Company advertises and promotes its products through national and regional media and expenses such activities as incurred. |
Income Taxes | Income Taxes – |
Share-Based Payments | Share-Based Payments – The Company grants restricted stock equivalents, which generally vest over two to four years. Stock compensation expense is measured at the grant date based on the estimated fair value of the award and is recognized on a straight-line basis over the full restriction period of the award. |
Estimated Fair Value of Financial Instruments | Estimated Fair Values of Financial Instruments – Certain financial instruments are required to be recorded at the estimated fair value. Changes in assumptions or estimation methods could affect the fair value estimates; however, we do not believe any such changes would have a material impact on our financial condition, results of operations or cash flows. Other financial instruments including cash and cash equivalents and short-term borrowings, including notes payable, are recorded at cost, which approximates estimated fair value. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements – On April 7, 2015, the Financial Accounting Standards Board ("FASB") issued a new Accounting Standards Update ("ASU"), which requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The update will be effective for Energizer beginning October 1, 2016, and early adoption is permitted for financial statements that have not been previously issued. Retrospective application is required, and an entity is required to comply with the applicable disclosures for a change in accounting principles upon adoption. Energizer expects that this guidance will be immaterial to our financial statements. On April 15, 2015, the FASB issued a new ASU, which provides criteria to review cloud computing arrangements to determine whether the arrangement contains a software licenses or is solely a service contract. If the arrangement is determined to be a software license, fees paid to the vendor would be within the scope of internal-use software guidance. If not, the fees paid would be expensed as incurred. The update will be effective for Energizer beginning October 1, 2016. Energizer is in the process of evaluating the impact this guidance will have on its future operations. On May 1, 2015, the FASB issued a new ASU which permits a reporting entity to measure the fair value of certain investments using the net asset value per share (NAV) of the investment as a practical expedient. This amendment removes the requirement to categorize investments for which fair values are measured using the NAV in the fair value hierarchy. This update will be effective for Energizer beginning October 1, 2016. As a result of this ASU, Energizer's pension plan assets that are valued using their NAV will no longer be disclosed in the fair value hierarchy disclosures of ASC 820, Fair Value Measurements. On July 22, 2015, the FASB issued a new ASU, which aligns the measurement of inventory under GAAP more closely with International Financial Reporting Standards. Under the new guidance, an entity that measures inventory using the first-in, first-out or average cost should measure inventory at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The update will be effective for Energizer beginning October 1, 2017, with early adoption permitted. Energizer is in the process of evaluating the impact the revised guidance will have on its financial statements. On May 28, 2014, the FASB issued a new ASU which provides a single comprehensive revenue recognition model for all contracts with customers to improve comparability within industries, across industries and across capital markets. On August 12, 2015, the FASB issued a one-year deferral of the effective date of the ASU. The update will now be effective for Energizer beginning October 1, 2018. Energizer is in the process of evaluating the impact the revised guidance will have on its financial statements. |
Summary of Significant Accoun31
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Trade Receivables, net consists of: September 30, 2015 2014 Trade Receivables $ 162.5 $ 225.9 Allowance for returns and doubtful accounts (7.0 ) (7.4 ) Trade Receivables, net $ 155.5 $ 218.5 |
Spin Costs (Tables)
Spin Costs (Tables) - Spin-off | 12 Months Ended |
Sep. 30, 2015 | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | The estimated impact of allocating such charges to segment results would have been as follows: Twelve Months Ended September 30, 2015 North America Latin America EMEA Asia Pacific Corporate Total Severance and termination related costs $ 3.9 $ 5.2 $ 6.0 $ 5.3 $ 12.0 $ 32.4 Non-cash asset write-down — 3.2 0.2 0.6 — 4.0 Other exit costs 0.1 0.3 0.6 1.7 — 2.7 Total $ 4.0 $ 8.7 $ 6.8 $ 7.6 $ 12.0 $ 39.1 |
Schedule of Restructuring Reserve by Type of Cost | The following table represents the spin restructuring accrual activity and ending accrual balance at September 30, 2015 included in other current liabilities on the Consolidated Balance Sheet. Utilized October 1, 2014 Charge to Income Other (a) Cash Non-Cash September 30, 2015 Severance and termination related costs $ — $ 32.4 $ (0.7 ) $ (19.8 ) $ 0.1 $ 12.0 Non-cash asset write down — 4.0 — — (4.0 ) — Other exit costs — 2.7 (1.5 ) (0.7 ) (0.2 ) 0.3 Total $ — $ 39.1 $ (2.2 ) $ (20.5 ) $ (4.1 ) $ 12.3 (a) Includes the impact of currency translation and $1.5 of separation related adjustments. |
Restructuring (Tables)
Restructuring (Tables) - 2013 restructuring | 12 Months Ended |
Sep. 30, 2015 | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | The pre-tax expense for charges related to the 2013 restructuring project attributed to Energizer for the years indicated: Twelve Months Ended September 30, 2015 North America Latin America EMEA Asia Pacific Corporate Total Severance and related benefit costs $ (0.2 ) $ 0.3 $ 0.5 $ 6.6 $ (0.2 ) $ 7.0 Accelerated depreciation — — — 9.1 — 9.1 Consulting, program management and other exit costs 2.2 0.1 0.3 1.9 — 4.5 Net gain on asset sale — — — (11.0 ) — (11.0 ) Total $ 2.0 $ 0.4 $ 0.8 $ 6.6 $ (0.2 ) $ 9.6 Twelve Months Ended September 30, 2014 North America Latin America EMEA Asia Pacific Corporate Total Severance and related benefit costs $ 4.3 $ 1.4 $ 2.1 $ 2.1 $ 1.6 $ 11.5 Accelerated depreciation 4.1 — — — — 4.1 Consulting, program management and other exit costs 17.3 1.4 3.1 3.7 — 25.5 Net loss on asset sale 2.4 — — — — 2.4 Total $ 28.1 $ 2.8 $ 5.2 $ 5.8 $ 1.6 $ 43.5 Twelve Months Ended September 30, 2013 North America Latin America EMEA Asia Pacific Corporate Total Severance and related benefit costs $ 27.6 $ 1.8 $ 5.5 $ 3.4 $ 4.9 $ 43.2 Non-cash asset impairment charges 19.3 — — — — 19.3 Accelerated depreciation 23.6 — — — — 23.6 Consulting, program management and other exit costs 25.6 2.1 4.6 5.5 — 37.8 Total $ 96.1 $ 3.9 $ 10.1 $ 8.9 $ 4.9 $ 123.9 |
Schedule of Restructuring Reserve by Type of Cost | The following table summarizes the activity related to the 2013 restructuring project for the twelve months ended September 30, 2015 and 2014 . Utilized October 1, 2014 Charge to Income Other (a) Cash Non-Cash September 30, 2015 Severance & Termination Related Costs $ 12.4 $ 7.0 $ (2.3 ) $ (13.1 ) $ — $ 4.0 Accelerated Depreciation — 9.1 — — (9.1 ) — Other Costs — 4.5 — (4.5 ) — — Net loss on asset sale — (11.0 ) 0.3 13.7 (3.0 ) — Total $ 12.4 $ 9.6 $ (2.0 ) $ (3.9 ) $ (12.1 ) $ 4.0 Utilized October 1, 2013 Charge to Income Other (a) Cash Non-Cash September 30, 2014 Severance & Termination Related Costs $ 13.8 $ 11.5 $ (0.3 ) $ (12.6 ) $ — $ 12.4 Accelerated Depreciation — 4.1 — — (4.1 ) — Other Costs 5.7 25.5 — (29.9 ) (1.3 ) — Net loss on asset sale — 2.4 — 4.9 (7.3 ) — Total $ 19.5 $ 43.5 $ (0.3 ) $ (37.6 ) $ (12.7 ) $ 12.4 (a) Includes the impact of currency translation and $4.1 of separation related adjustments in fiscal 2015. |
Goodwill and intangible assets
Goodwill and intangible assets (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table represents the change in the carrying amount of goodwill at September 30, 2015 : North America Latin America EMEA Asia Pacific Total Balance at October 1, 2014 $ 19.1 $ 1.7 $ 6.5 $ 9.8 $ 37.1 Household Products acquisition — — — 2.3 2.3 Cumulative translation adjustment — (0.1 ) (0.5 ) (0.7 ) (1.3 ) Balance at September 30, 2015 $ 19.1 $ 1.6 $ 6.0 $ 11.4 $ 38.1 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provisions for income taxes consisted of the following for the twelve months ended September 30, : 2015 2014 2013 Currently payable: United States - Federal $ (20.6 ) $ 15.0 $ 22.3 State (1.4 ) 0.8 1.4 Foreign 32.4 36.5 36.2 Total current 10.4 52.3 59.9 Deferred: United States - Federal (3.5 ) 4.3 (10.4 ) State (0.2 ) 0.4 (1.2 ) Foreign (3.4 ) 0.9 (1.2 ) Total deferred (7.1 ) 5.6 (12.8 ) Provision for income taxes $ 3.3 $ 57.9 $ 47.1 |
Schedule of Income before Income Tax, Domestic and Foreign | The source of pre-tax (loss)/earnings for the twelve months ended September 30 was: 2015 2014 2013 United States $ (144.5 ) $ 33.6 $ 16.7 Foreign 143.8 181.6 145.3 Pre-tax (loss)/earnings $ (0.7 ) $ 215.2 $ 162.0 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of income taxes with the amounts computed at the statutory federal income tax rate follows: 2015 2014 2013 Computed tax at federal statutory rate $ (0.3 ) 35.0 % $ 75.3 35.0 % $ 56.7 35.0 % State income taxes, net of federal tax benefit (1.6 ) N/M 0.8 0.4 0.1 0.1 Foreign tax less than the federal rate (20.8 ) N/M (26.1 ) (12.1 ) (15.8 ) (9.8 ) Other taxes including repatriation of foreign earnings 2.2 N/M 7.3 3.4 9.8 6.1 Nontaxable share option — N/M (2.5 ) (1.2 ) (3.4 ) (2.1 ) Nondeductible spin costs 2.0 N/M 3.0 1.4 — — Deconsolidation of Venezuela operations 22.8 N/M — — — — Other, net (1.0 ) N/M 0.1 — (0.3 ) (0.2 ) Total $ 3.3 455.1 % $ 57.9 26.9 % $ 47.1 29.1 % N/M - The percentage rate reconciliation of income taxes is not meaningful. |
Schedule of Deferred Tax Assets and Liabilities | The deferred tax assets and deferred tax liabilities recorded on the balance sheets at September 30 for the years indicated are as follows, both current and noncurrent: 2015 2014 Deferred tax assets: Accrued liabilities $ 53.5 $ 35.1 Deferred and stock-related compensation 29.6 27.6 Tax loss carryforwards and tax credits 14.4 19.6 Intangible assets 46.5 46.4 Pension plans 36.2 — Other tax assets 3.9 10.5 Gross deferred tax assets 184.1 139.2 Deferred tax liabilities: Depreciation and property differences (16.2 ) (8.1 ) Other tax liabilities — (1.7 ) Gross deferred tax liabilities (16.2 ) (9.8 ) Valuation allowance (13.6 ) (14.5 ) Net deferred tax assets $ 154.3 $ 114.9 |
Summary of Income Tax Contingencies | Unrecognized tax benefits activity for the twelve months ended September 30, 2015 and 2014 are summarized below: 2015 2014 Unrecognized tax benefits, beginning of year $ 12.7 $ 13.5 Additions based on current year tax positions and acquisitions 6.1 1.9 Reductions for prior year tax positions (10.3 ) (0.1 ) Settlements with taxing authorities/statute expirations — (2.6 ) Unrecognized tax benefits, end of year $ 8.5 $ 12.7 |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted (loss)/earnings per share for the years ended September 30, 2015, 2014 and 2013: For the Years Ended September 30, (in millions, except per share data) 2015 2014 2013 Net (loss)/earnings $ (4.0 ) $ 157.3 $ 114.9 Basic average shares outstanding 62.2 62.2 62.2 Diluted average shares outstanding 62.2 62.2 62.2 Basic (loss)/earnings per common share $ (0.06 ) $ 2.53 $ 1.85 Diluted (loss)/earnings per common share $ (0.06 ) $ 2.53 $ 1.85 |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of RSE Activity | The following table summarizes the Company's RSE activity during the current fiscal year (shares in millions): Shares Weighted-Average Grant Date Estimated Fair Value Nonvested RSE at October 1, 2014 — $ — Converted on July 1, 2015 in connection with the Spin-Off 1.312 $ 34.00 Granted 0.624 $ 34.92 Vested (0.004 ) $ 34.00 Canceled (0.038 ) $ 34.00 Nonvested RSE at September 30, 2015 1.894 $ 34.30 |
Pension Plans (Tables)
Pension Plans (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | The following tables present the benefit obligation, plan assets and funded status of the plans: September 30, 2015 2014 Change in Projected Benefit Obligation Benefit obligation at beginning of year $ 58.1 $ 64.1 Service cost 0.8 0.7 Interest cost 7.6 1.3 Plan participants' contributions 0.1 0.1 Actuarial loss/(gain) 24.3 3.4 Benefits paid, net (16.0 ) (6.9 ) Plan curtailments (2.0 ) — Plan settlements (0.2 ) (1.6 ) Net transfer in/(out) (including the effect of any business combinations/divestitures) (4.0 ) — Obligations transferred from Edgewell 662.9 — Foreign currency exchange rate changes (5.6 ) (3.0 ) Projected Benefit Obligation at end of year $ 726.0 $ 58.1 Change in Plan Assets Estimated fair value of plan assets at beginning of year $ 44.6 $ 51.6 Actual return on plan assets (25.4 ) 3.2 Company contributions 1.5 0.4 Plan participants' contributions 0.1 0.1 Plan settlements (0.2 ) (1.6 ) Benefits paid, net (16.0 ) (6.9 ) Net transfer in/(out) (including the effect of any business combinations/divestitures) (3.8 ) — Assets transferred from Edgewell 621.2 — Foreign currency exchange rate changes (5.3 ) (2.2 ) Estimated fair value of plan assets at end of year $ 616.7 $ 44.6 Funded status at end of year $ (109.3 ) $ (13.5 ) |
Schedule of Defined Benefit Plans Disclosures | The following table presents the amounts recognized in the Consolidated Balance Sheets and Consolidated Statements of Shareholders’ Equity: September 30, 2015 2014 Amounts Recognized in the Consolidated Balance Sheets Noncurrent assets $ 5.9 $ — Current liabilities (2.8 ) — Noncurrent liabilities (112.4 ) (13.5 ) Net amount recognized $ (109.3 ) $ (13.5 ) Amounts Recognized in Accumulated Other Comprehensive Loss Net loss, pre tax $ 211.0 $ 8.3 |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) | Pre-tax changes recognized in other comprehensive income for the year ended September 30, 2015 are as follows: Changes in plan assets and benefit obligations recognized in other comprehensive loss Net loss/(gain) arising during the year $ 59.9 Effect of exchange rates (1.5 ) Amounts recognized as a component of net periodic benefit cost Amortization or settlement recognition of net (loss)/gain (1.5 ) Total recognized in other comprehensive income $ 56.9 |
Schedule of Expected Benefit Payments | Energizer’s expected future benefit payments for the plans are as follows: For The Years Ending September 30, 2016 $ 55.9 2017 46.8 2018 47.2 2019 47.2 2020 46.0 2021 to 2025 223.0 |
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets | The following table shows the plans with an accumulated benefit obligation in excess of plan assets at the dates indicated. September 30, 2015 2014 Projected benefit obligation $ 726.0 $ 58.1 Accumulated benefit obligation $ 609.4 $ 45.0 Estimated fair value of plan assets $ 616.7 $ 44.6 |
Schedule of Net Benefit Costs | The following table presents plan pension expense: For the Years Ended September 30, Pension 2015 2014 2013 Service cost $ 0.8 $ 0.7 $ 1.1 Interest cost 7.6 1.3 1.2 Expected return on plan assets (12.2 ) (1.8 ) (1.8 ) Recognized net actuarial loss/(gain) 1.4 0.1 0.4 Settlement loss recognized 0.1 0.2 0.1 Net periodic benefit cost $ (2.3 ) $ 0.5 $ 1.0 |
Schedule of Assumptions Used | The following table presents assumptions, which reflect weighted averages for the component plans, used in determining the above information: September 30, 2015 2014 Plan obligations: Discount rate 3.9 % 1.5 % Compensation increase rate 3.3 % 2.3 % Net periodic benefit cost: Discount rate 4.0 % 2.1 % Expected long-term rate of return on plan assets 7.0 % 3.5 % Compensation increase rate 3.3 % 2.3 % |
Schedule of Allocation of Plan Assets | The following table sets forth the estimated fair value of Energizer’s plan assets as of September 30, 2015 and 2014 segregated by level within the estimated fair value hierarchy. Refer to Note 16 of the Notes to Consolidated Financial Statements for further discussion on the estimated fair value hierarchy and estimated fair value principles. 2015 Pension Assets ASSETS AT ESTIMATED FAIR VALUE Level 1 Level 2 Total EQUITY U.S. Equity $ 138.9 $ 56.3 $ 195.2 International Equity 20.6 129.3 149.9 DEBT U.S. Government — 175.8 175.8 Other Government — 44.3 44.3 Corporate — 26.7 26.7 CASH & CASH EQUIVALENTS — 1.2 1.2 OTHER — 23.6 23.6 TOTAL $ 159.5 $ 457.2 $ 616.7 2014 Pension Assets ASSETS AT ESTIMATED FAIR VALUE Level 1 Level 2 Total EQUITY U.S. Equity $ 1.5 $ 0.7 $ 2.2 International Equity 6.1 2.8 8.9 DEBT U.S. Government — 0.6 0.6 Other Government — 9.4 9.4 Corporate — 14.8 14.8 CASH & CASH EQUIVALENTS — 2.4 2.4 OTHER — 6.3 6.3 TOTAL $ 7.6 $ 37.0 $ 44.6 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The detail of long-term debt was as follows: September 30, 2015 September 30, 2014 Senior Secured Term Loan B Facility, net of discount, due 2022 $ 398.0 $ — 5.50% Senior Notes due 2025 600.0 — Total long-term debt, including current maturities 998.0 — Less current portion 3.0 — Total long-term debt $ 995.0 $ — |
Financial Instruments and Ris40
Financial Instruments and Risk Management (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The following table provides the Company's estimated fair values as of September 30, 2015 and 2014 , and the amounts of gains and losses on derivative instruments classified as cash flow hedges as of and for the twelve months ended September 30, 2015 and 2014 , respectively: At September 30, 2015 For the Year Ended September 30, 2015 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset(Liability) (1) (2) Pre-Tax Gain/(Loss) Recognized in OCI(3) Pre-Tax Gain/(Loss) Foreign currency contracts $ 4.5 $ 10.1 $ 11.0 Interest rate contracts (5.2 ) (5.2 ) — Total $ (0.7 ) $ 4.9 $ 11.0 At September 30, 2014 For the Year Ended September 30, 2014 Derivatives designated as Cash Flow Hedging Relationships Estimated Fair Value Asset(Liability) (1) (2) Gain/(Loss) Recognized in OCI(3) Gain/(Loss) Foreign currency contracts $ 5.4 $ 6.6 $ (1.1 ) 1. All derivative assets are presented in Other current assets or Other assets. 2. All derivative liabilities are presented in Other current liabilities or Other liabilities. 3. OCI is defined as other comprehensive income. 4. Gain/(loss) reclassified to Income was recorded as follows: Foreign currency contracts in other financing items, net. 5. Each of these hedging relationships has derivative instruments with a high correlation to the underlying exposure being hedged and has been deemed highly effective in offsetting the underlying risk. |
Derivative Instruments, Gain (Loss) | The following table provides estimated fair values as of September 30, 2015 and 2014 , and the gains and losses on derivative instruments not classified as cash flow hedges as of and for the twelve months ended September 30, 2015 and 2014 , respectively. At September 30, 2015 For the Year Ended September 30, 2015 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Asset (Liability) Gain/(Loss) Recognized in Income (1) Share option (2) $ — $ 0.2 Foreign currency contracts — 2.2 Total $ — $ 2.4 At September 30, 2014 For the Year Ended September 30, 2014 Derivatives not designated as Cash Flow Hedging Relationships Estimated Fair Value Asset (Liability) Gain/(Loss) Recognized in Income (1) Share option (2) $ — $ 7.1 Foreign currency contracts 1.0 1.2 Total $ 1.0 $ 8.3 1. Gain/(loss) recognized in Income was recorded as follows: Share option in Selling, general and administrative expense and foreign currency and commodity contracts in Other financing, items, net. 2. Edgewell held a share option with a major financial institution, which matured in November 2014 and was subsequently not renewed. |
Offsetting Assets | Energizer has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At September 30, 2015 At September 30, 2014 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 4.9 $ (0.4 ) $ 4.5 $ 7.2 $ (0.2 ) $ 7.0 Offsetting of derivative liabilities At September 30, 2015 At September 30, 2014 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ — $ — $ — $ (0.8 ) $ 0.2 $ (0.6 ) |
Offsetting Liabilities | Energizer has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting: Offsetting of derivative assets At September 30, 2015 At September 30, 2014 Description Balance Sheet location Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Gross amounts of recognized assets Gross amounts offset in the Balance Sheet Net amounts of assets presented in the Balance Sheet Foreign Currency Contracts Other Current Assets, Other Assets $ 4.9 $ (0.4 ) $ 4.5 $ 7.2 $ (0.2 ) $ 7.0 Offsetting of derivative liabilities At September 30, 2015 At September 30, 2014 Description Balance Sheet location Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Gross amounts of recognized liabilities Gross amounts offset in the Balance Sheet Net amounts of liabilities presented in the Balance Sheet Foreign Currency Contracts Other Current Liabilities, Other Liabilities $ — $ — $ — $ (0.8 ) $ 0.2 $ (0.6 ) |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table sets forth the Company's financial assets and liabilities, which are carried at fair value, as of September 30, 2015 and 2014 that are measured on a recurring basis during the period, segregated by level within the fair value hierarchy: Level 2 September 30, 2015 2014 Assets/(Liabilities) at estimated fair value: Deferred Compensation $ (58.5 ) $ (45.8 ) Derivatives - Foreign Currency contracts 4.5 6.4 Derivatives - Interest Rate Swap (5.2 ) — Total Liabilities at estimated fair value $ (59.2 ) $ (39.4 ) |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive (Loss)/Income (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table presents the changes in accumulated other comprehensive (loss)/income (AOCI), net of tax by component: Foreign Currency Translation Adjustments Pension Activity Hedging Activity Interest Rate Swap Total Balance at September 30, 2014 $ (28.7 ) $ (7.3 ) $ 4.3 $ — $ (31.7 ) OCI before reclassifications (97.9 ) (38.3 ) 6.7 (3.3 ) (132.8 ) Separation related adjustments 0.8 (95.3 ) 0.6 — (93.9 ) Venezuela deconsolidation charge 16.2 — — — 16.2 Reclassifications to earnings — 1.1 (8.2 ) — (7.1 ) Balance at September 30, 2015 $ (109.6 ) $ (139.8 ) $ 3.4 $ (3.3 ) $ (249.3 ) |
Reclassification out of Accumulated Other Comprehensive Income | The following table presents the reclassifications out of AOCI: For the Twelve Months Ended September 30, 2015 Details of AOCI Components Amount Reclassified Affected Line Item in the Consolidated Statements of Earnings Gains and losses on cash flow hedges Foreign exchange contracts $ 11.0 Other financing items, net 11.0 Total before tax (2.8 ) Tax (expense)/benefit $ 8.2 Net of tax Amortization of defined benefit pension items Actuarial losses (1.4 ) (2) Settlement losses (0.1 ) (2) (1.5 ) Total before tax 0.4 Tax (expense)/benefit $ (1.1 ) Net of tax Foreign Currency Translation Adjustments Venezuela deconsolidation charge $ (16.2 ) Venezuela deconsolidation charge Total reclassifications for the period $ (9.1 ) Net of tax 1. Amounts in parentheses indicate debits to Consolidated Statements of Earnings. 2. These AOCI components are included in the computation of net periodic benefit cost (see Note 13, Pension Plans, for further details). |
Supplemental Financial Statem42
Supplemental Financial Statement Information (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Financial Statement Related Disclosures [Abstract] | |
Supplemental Balance Sheet Information | The components of certain balance sheet accounts at September 30 for the years indicated are as follows: 2015 2014 Inventories Raw materials and supplies $ 32.4 $ 38.5 Work in process 73.0 68.4 Finished products 170.5 185.5 Total inventories $ 275.9 $ 292.4 Other Current Assets Miscellaneous receivables $ 34.3 $ 31.4 Due from Edgewell 30.4 — Deferred income tax benefits 49.6 43.7 Prepaid expenses 53.2 35.7 Value added tax collectible from customers 19.9 22.9 Other 5.6 12.9 Total other current assets $ 193.0 $ 146.6 Property, plant and equipment Land $ 10.0 $ 10.3 Buildings 162.8 143.6 Machinery and equipment 886.2 871.8 Construction in progress 12.1 10.1 Total gross property 1,071.1 1,035.8 Accumulated depreciation (865.5 ) (823.3 ) Total property, plant and equipment, net $ 205.6 $ 212.5 Other Current Liabilities Accrued advertising, sales promotion and allowances $ 29.7 $ 25.7 Accrued trade allowances 41.7 35.6 Accrued salaries, vacations and incentive compensation 39.5 45.9 2013 restructuring reserve 4.0 12.4 Spin restructuring reserve 12.3 — Income taxes payable 43.7 2.9 Other 121.7 67.0 Total other current liabilities $ 292.6 $ 189.5 Other Liabilities Pensions and other retirement benefits $ 119.3 $ 12.8 Deferred compensation 58.5 45.8 Other non-current liabilities 49.1 31.2 Total other liabilities $ 226.9 $ 89.8 |
Schedule Of Allowance For Doubtful Accounts | Allowance for Doubtful Accounts 2015 2014 2013 Balance at beginning of year $ 7.4 $ 9.5 $ 9.5 Provision charged to expense, net of reversals 1.9 1.6 2.3 Write-offs, less recoveries, translation, other (2.3 ) (3.7 ) (2.3 ) Balance at end of year $ 7.0 $ 7.4 $ 9.5 |
Summary of Income Tax Valuation Allowance | Income Tax Valuation Allowance 2015 2014 2013 Balance at beginning of year $ 14.5 $ 11.4 $ 10.4 Provision charged to expense 0.3 8.2 0.9 Reversal of provision charged to expense (0.8 ) (3.5 ) (0.1 ) Translation, other (0.4 ) (1.6 ) 0.2 Balance at end of year $ 13.6 $ 14.5 $ 11.4 |
Schedule of Cash Flow, Supplemental Disclosures | Supplemental Disclosure of Cash Flow Information 2015 2014 2013 Interest paid $ 73.1 $ 52.2 $ 67.1 Income taxes paid $ 37.6 $ 53.1 $ 61.6 |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Net Sales 2015 2014 2013 North America $ 831.3 $ 909.2 $ 1,041.9 Latin America 125.1 162.1 182.0 EMEA 370.4 419.1 423.3 Asia Pacific 304.8 350.0 365.0 Total net sales $ 1,631.6 $ 1,840.4 $ 2,012.2 Segment Profit North America 234.6 263.9 307.1 Latin America 20.7 26.4 32.9 EMEA 58.3 61.4 49.9 Asia Pacific 77.9 97.1 98.2 Total segment profit $ 391.5 $ 448.8 $ 488.1 General corporate and other expenses (66.0 ) (62.5 ) (70.8 ) Global marketing expenses (24.8 ) (20.7 ) (21.8 ) Research and development expense (24.9 ) (25.3 ) (29.7 ) Venezuela deconsolidation charge (65.2 ) — — Restructuring (1) (13.0 ) (50.4 ) (132.6 ) Integration (2) (1.6 ) — — Spin costs (3) (98.1 ) (21.3 ) — Spin restructuring (39.1 ) — — Cost of early debt retirement (4) (26.7 ) — — Interest and other financing items (32.8 ) (53.4 ) (71.2 ) Total (loss) earnings before income taxes $ (0.7 ) $ 215.2 $ 162.0 Depreciation and Amortization North America 22.3 17.6 25.1 Latin America 1.0 0.1 0.7 EMEA 1.1 0.6 1.4 Asia Pacific 12.8 20.9 26.2 Total segment depreciation and amortization 37.2 39.2 53.4 Corporate 4.6 3.0 2.5 Total depreciation and amortization $ 41.8 $ 42.2 $ 55.9 Total Assets 2015 2014 North America $ 394.8 $ 371.7 Latin America 63.3 58.6 EMEA 237.5 188.3 Asia Pacific 573.2 329.6 Total segment assets $ 1,268.8 $ 948.2 Corporate 246.4 129.3 Goodwill and other intangible assets, net 114.4 117.2 Total assets $ 1,629.6 $ 1,194.7 Capital Expenditures 2015 2014 2013 North America $ 28.4 $ 15.9 $ 5.7 Latin America 1.2 0.6 2.2 EMEA 2.3 1.9 1.5 Asia Pacific 8.5 10.0 8.4 Total segment capital expenditures $ 40.4 $ 28.4 $ 17.8 (1) Includes $0.3 for the twelve months ended September 30, 2015 , $5.9 for the twelve months ended September 30, 2014 and $6.1 for the twelve months ended September 30, 2013 associated with certain information technology and related activities, which are included in SG&A on the Consolidated Statements of Earnings and Comprehensive Income. Additionally, pre-tax costs of $3.1 for the twelve months ended September 30, 2015 , $1.0 for the twelve months ended September 30, 2014 and $2.6 for the twelve months ended September 30, 2013 associated with obsolescence charges and severance related to our restructuring, were included in Cost of products sold on the Consolidated Statements of Earnings and Comprehensive Income. (2) Includes $0.3 recorded in cost of products sold and $1.3 recorded in SG&A in the Consolidated Statements of Earnings and Comprehensive Income. (3) Included in SG&A in the Consolidated Statements of Earnings and Comprehensive Income. (4) Included in Interest Expense in the Consolidated Statements of Earnings and Comprehensive Income. |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | Geographic segment information for the years ended September 30 was as follows: 2015 2014 2013 Net Sales to Customers United States $ 767.6 $ 822.0 $ 951.2 International 864.0 1,018.4 1,061.0 Total net sales $ 1,631.6 $ 1,840.4 $ 2,012.2 Long-Lived Assets United States $ 210.9 $ 95.3 Singapore 69.7 81.9 Other International 108.1 153.2 Total long-lived assets excluding goodwill and intangibles $ 388.7 $ 330.4 |
Revenue from External Customers by Products and Services | Supplemental product information is presented below for net sales for the years ended September 30: 2015 2014 2013 Net Sales Alkaline batteries 1,044.9 1,167.6 1,241.0 Other batteries and lighting products 586.7 672.8 771.2 Total net sales $ 1,631.6 $ 1,840.4 $ 2,012.2 |
Quarterly Financial Informati44
Quarterly Financial Information - (Unaudited) (Tables) | 12 Months Ended |
Sep. 30, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Fiscal 2015 First Second Third Fourth Net sales $ 501.3 $ 356.9 $ 374.3 $ 399.1 Gross profit 233.8 168.5 170.8 183.1 Net earnings/(loss) 61.7 (69.2 ) (19.6 ) 23.1 Earnings/(loss) per share: Basic (1) $ 0.99 $ (1.11 ) $ (0.32 ) $ 0.37 Diluted (1) $ 0.99 $ (1.11 ) $ (0.32 ) $ 0.37 Items decreasing/(increasing) net earnings: Venezuela deconsolidation $ — $ 65.2 $ — $ — Spin costs 14.6 15.2 25.0 13.9 Spin restructuring 0.7 15.6 7.9 2.8 Cost of early debt retirement — — 16.7 — Restructuring (6.1 ) 0.3 12.4 (0.1 ) Integration 0.3 0.4 0.3 0.2 Adjustments to prior year tax accruals — — (2.6 ) (1.4 ) Fiscal 2014 First Second Third Fourth Net sales $ 568.6 $ 373.4 $ 411.7 $ 486.7 Gross profit 261.6 161.8 192.3 234.7 Net earnings 58.0 16.5 36.3 46.5 Earnings per share: Basic (1) $ 0.93 $ 0.27 $ 0.58 $ 0.75 Diluted (1) $ 0.93 $ 0.27 $ 0.58 $ 0.75 Items decreasing net earnings: Spin costs — — 2.6 13.9 Restructuring 13.8 13.3 2.2 4.8 (1) On July 1, 2015, Edgewell distributed 62.2 million shares of Energizer Holdings, Inc. common stock to Edgewell shareholders in connection with its spin-off of Energizer Holdings, Inc. See Note 1, Description of Business and Basis of Presentation, to the Consolidated Financial Statements for more information. Basic and diluted earnings per common share and the average number of common shares outstanding were retrospectively restated for the number of Energizer Holdings, Inc. shares outstanding immediately following this transaction. |
Description of Business and B45
Description of Business and Basis of Presentation (Narrative) (Details) - Common Stock | Jul. 01, 2015shares |
Class of Stock [Line Items] | |
Number of shares of common stock distributed | 62,193,281 |
Common stock distribution ratio | 1 |
Summary of Significant Accoun46
Summary of Significant Accounting Policies (Schedule of Accounts, Notes, Loans and Financing Receivable) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Accounting Policies [Abstract] | ||
Trade Receivables | $ 162.5 | $ 225.9 |
Allowance for returns and doubtful accounts | (7) | (7.4) |
Trade Receivables, net | $ 155.5 | $ 218.5 |
Summary of Significant Accoun47
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Finite-Lived Intangible Assets [Line Items] | |||
Available cash | $ 502.1 | ||
Amortization expense | 4.7 | $ 1.9 | $ 1.1 |
Depreciation excluding accelerated | 37.1 | 40.3 | 54.8 |
Accelerated depreciation | 9.1 | 4.1 | 23.6 |
Non-cash impairment charge | 19.3 | ||
Non-cash impairment charge and accelerated depreciation | 42.9 | ||
Advertising costs | 87.5 | $ 70.7 | $ 83.6 |
Interest Rate Swap | |||
Finite-Lived Intangible Assets [Line Items] | |||
Variable rate debt hedged | $ 200 | ||
Minimum | Capitalized Software Costs | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization period, years | 3 years | ||
Maximum | Capitalized Software Costs | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization period, years | 7 years | ||
Machinery and Equipment | Minimum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated useful life, years | 2 | ||
Machinery and Equipment | Maximum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated useful life, years | 25 | ||
Building and Building Improvements | Minimum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated useful life, years | 3 | ||
Building and Building Improvements | Maximum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated useful life, years | 30 | ||
Restricted Stock Equivalents | Minimum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Vesting period, in years | 2 years | ||
Restricted Stock Equivalents | Maximum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Vesting period, in years | 4 years | ||
International | Cash | |||
Finite-Lived Intangible Assets [Line Items] | |||
Percentage of cash outside of the U.S. | 95.00% |
Spin Costs (Narrative) (Details
Spin Costs (Narrative) (Details) - USD ($) $ in Millions | Jul. 01, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2014 |
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin-off costs to date | $ 185.2 | $ 185.2 | |||||||||||
Spin costs | $ 167 | 18.3 | $ 13.9 | $ 2.6 | $ 0 | $ 0 | 163.9 | ||||||
Write off of deferred debt issuance cost | 26.7 | 0 | $ 16.7 | $ 0 | $ 0 | 26.7 | |||||||
Tax related spin costs | 9.6 | ||||||||||||
Selling, General and Administrative Expenses | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin costs | 104.2 | 14.7 | $ 82.9 | 97.6 | $ 21.3 | ||||||||
Cost of Sales | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin costs | 0.5 | 0.5 | |||||||||||
Edgewell | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin-off costs to date | 358 | ||||||||||||
Forecast | Minimum | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin costs | $ 10 | ||||||||||||
Forecast | Maximum | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin costs | $ 15 | ||||||||||||
Spin-off | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Spin costs | $ 36 | $ 3.1 | $ 39.1 | ||||||||||
Separation Agreement | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Percentage of costs incurred subsequent to separation | 40.00% |
Spin Costs (Restructuring and R
Spin Costs (Restructuring and Related Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restructuring Cost and Reserve [Line Items] | |||||||
Total | $ 13.1 | $ 4.1 | $ 42.9 | ||||
Spin-off | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance and termination related costs | 32.4 | ||||||
Non-cash asset write-down | 4 | ||||||
Other exit costs | 2.7 | ||||||
Total | $ 2.8 | $ 7.9 | $ 15.6 | $ 0.7 | 39.1 | $ 0 | $ 0 |
Corporate | Spin-off | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance and termination related costs | 12 | ||||||
Non-cash asset write-down | 0 | ||||||
Other exit costs | 0 | ||||||
Total | 12 | ||||||
North America | Segments | Spin-off | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance and termination related costs | 3.9 | ||||||
Non-cash asset write-down | 0 | ||||||
Other exit costs | 0.1 | ||||||
Total | 4 | ||||||
Latin America | Segments | Spin-off | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance and termination related costs | 5.2 | ||||||
Non-cash asset write-down | 3.2 | ||||||
Other exit costs | 0.3 | ||||||
Total | 8.7 | ||||||
EMEA | Segments | Spin-off | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance and termination related costs | 6 | ||||||
Non-cash asset write-down | 0.2 | ||||||
Other exit costs | 0.6 | ||||||
Total | 6.8 | ||||||
Asia Pacific | Segments | Spin-off | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance and termination related costs | 5.3 | ||||||
Non-cash asset write-down | 0.6 | ||||||
Other exit costs | 1.7 | ||||||
Total | $ 7.6 |
Spin Costs (Schedule of Restruc
Spin Costs (Schedule of Restructuring Reserve by Type of Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restructuring Reserve [Roll Forward] | |||||||
Charge to Income | $ 13.1 | $ 4.1 | $ 42.9 | ||||
Severance and termination related costs | |||||||
Restructuring Reserve [Roll Forward] | |||||||
October 1, 2014 | $ 0 | 0 | |||||
Charge to Income | 32.4 | ||||||
Other | (0.7) | ||||||
Cash | (19.8) | ||||||
Non-Cash | 0.1 | ||||||
September 30, 2015 | $ 12 | 12 | 0 | ||||
Non-cash asset write down | |||||||
Restructuring Reserve [Roll Forward] | |||||||
October 1, 2014 | 0 | 0 | |||||
Charge to Income | 4 | ||||||
Other | 0 | ||||||
Cash | 0 | ||||||
Non-Cash | (4) | ||||||
September 30, 2015 | 0 | 0 | 0 | ||||
Other exit costs | |||||||
Restructuring Reserve [Roll Forward] | |||||||
October 1, 2014 | 0 | 0 | |||||
Charge to Income | 2.7 | ||||||
Other | (1.5) | ||||||
Cash | (0.7) | ||||||
Non-Cash | (0.2) | ||||||
September 30, 2015 | 0.3 | 0.3 | 0 | ||||
Spin-off | |||||||
Restructuring Reserve [Roll Forward] | |||||||
October 1, 2014 | 0 | 0 | |||||
Charge to Income | 2.8 | $ 7.9 | $ 15.6 | $ 0.7 | 39.1 | 0 | $ 0 |
Other | (2.2) | ||||||
Cash | (20.5) | ||||||
Non-Cash | (4.1) | ||||||
September 30, 2015 | $ 12.3 | 12.3 | $ 0 | ||||
Currency translation adjustments | $ 1.5 |
Restructuring (Narrative) (Deta
Restructuring (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restructuring Cost and Reserve [Line Items] | |||||||||||
Non-cash restructuring costs | $ 13.1 | $ 4.1 | $ 42.9 | ||||||||
2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Pre-tax restructuring charges since inception of the project | $ 200 | 200 | |||||||||
Non-cash restructuring costs | $ (0.1) | $ 12.4 | $ 0.3 | $ (6.1) | $ 4.8 | $ 2.2 | $ 13.3 | $ 13.8 | 9.6 | 43.5 | 123.9 |
2013 restructuring | Cost of Sales | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Non-cash restructuring costs | 3.1 | 1 | 2.6 | ||||||||
Inventory obsolescence charges | 1.1 | 1 | 6.1 | ||||||||
2013 restructuring | Selling, General and Administrative Expenses | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Non-cash restructuring costs | 0.3 | 5.9 | 6.1 | ||||||||
Information technology enablement activities | $ 0.3 | $ 5.9 | $ 2.6 |
Restructuring (Restructuring an
Restructuring (Restructuring and Related Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restructuring Cost and Reserve [Line Items] | |||||||||||
Accelerated depreciation | $ 9.1 | $ 4.1 | $ 23.6 | ||||||||
Non-cash asset impairment charges | 19.3 | ||||||||||
Total | 13.1 | 4.1 | 42.9 | ||||||||
2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Severance and termination related costs | 7 | 11.5 | 43.2 | ||||||||
Accelerated depreciation | 9.1 | 4.1 | 23.6 | ||||||||
Non-cash asset impairment charges | 19.3 | ||||||||||
Other exit costs | 4.5 | 25.5 | 37.8 | ||||||||
Net gain on asset sale | (11) | 2.4 | |||||||||
Total | $ (0.1) | $ 12.4 | $ 0.3 | $ (6.1) | $ 4.8 | $ 2.2 | $ 13.3 | $ 13.8 | 9.6 | 43.5 | 123.9 |
Corporate | 2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Severance and termination related costs | (0.2) | 1.6 | 4.9 | ||||||||
Accelerated depreciation | 0 | 0 | 0 | ||||||||
Non-cash asset impairment charges | 0 | ||||||||||
Other exit costs | 0 | 0 | 0 | ||||||||
Net gain on asset sale | 0 | 0 | |||||||||
Total | (0.2) | 1.6 | 4.9 | ||||||||
Asia Pacific | Segments | 2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Severance and termination related costs | 6.6 | 2.1 | 3.4 | ||||||||
Accelerated depreciation | 9.1 | 0 | 0 | ||||||||
Non-cash asset impairment charges | 0 | ||||||||||
Other exit costs | 1.9 | 3.7 | 5.5 | ||||||||
Net gain on asset sale | (11) | 0 | |||||||||
Total | 6.6 | 5.8 | 8.9 | ||||||||
North America | Segments | 2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Severance and termination related costs | (0.2) | 4.3 | 27.6 | ||||||||
Accelerated depreciation | 0 | 4.1 | 23.6 | ||||||||
Non-cash asset impairment charges | 19.3 | ||||||||||
Other exit costs | 2.2 | 17.3 | 25.6 | ||||||||
Net gain on asset sale | 0 | 2.4 | |||||||||
Total | 2 | 28.1 | 96.1 | ||||||||
Latin America | Segments | 2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Severance and termination related costs | 0.3 | 1.4 | 1.8 | ||||||||
Accelerated depreciation | 0 | 0 | 0 | ||||||||
Non-cash asset impairment charges | 0 | ||||||||||
Other exit costs | 0.1 | 1.4 | 2.1 | ||||||||
Net gain on asset sale | 0 | 0 | |||||||||
Total | 0.4 | 2.8 | 3.9 | ||||||||
EMEA | Segments | 2013 restructuring | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Severance and termination related costs | 0.5 | 2.1 | 5.5 | ||||||||
Accelerated depreciation | 0 | 0 | 0 | ||||||||
Non-cash asset impairment charges | 0 | ||||||||||
Other exit costs | 0.3 | 3.1 | 4.6 | ||||||||
Net gain on asset sale | 0 | 0 | |||||||||
Total | $ 0.8 | $ 5.2 | $ 10.1 |
Restructuring (Schedule of Rest
Restructuring (Schedule of Restructuring Reserve by Type of Cost) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Restructuring Reserve [Roll Forward] | |||||||||||
Charge to Income | $ 13,100,000 | $ 4,100,000 | $ 42,900,000 | ||||||||
2013 restructuring | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | $ 12,400,000 | $ 19,500,000 | 12,400,000 | 19,500,000 | |||||||
Charge to Income | $ (100,000) | $ 12,400,000 | $ 300,000 | (6,100,000) | $ 4,800,000 | $ 2,200,000 | $ 13,300,000 | 13,800,000 | 9,600,000 | 43,500,000 | 123,900,000 |
Other | (2,000,000) | (300,000) | |||||||||
Cash | (3,900,000) | (37,600,000) | |||||||||
Non-Cash | (12,100,000) | (12,700,000) | |||||||||
September 30, 2015 | 4,000,000 | 12,400,000 | 4,000,000 | 12,400,000 | 19,500,000 | ||||||
Separation related adjustments | 4.1 | ||||||||||
Severance and termination related costs | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | 0 | 0 | |||||||||
Charge to Income | 32,400,000 | ||||||||||
Other | (700,000) | ||||||||||
Cash | (19,800,000) | ||||||||||
Non-Cash | 100,000 | ||||||||||
September 30, 2015 | 12,000,000 | 0 | 12,000,000 | 0 | |||||||
Severance and termination related costs | 2013 restructuring | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | 12,400,000 | 13,800,000 | 12,400,000 | 13,800,000 | |||||||
Charge to Income | 7,000,000 | 11,500,000 | |||||||||
Other | (2,300,000) | (300,000) | |||||||||
Cash | (13,100,000) | (12,600,000) | |||||||||
Non-Cash | 0 | 0 | |||||||||
September 30, 2015 | 4,000,000 | 12,400,000 | 4,000,000 | 12,400,000 | 13,800,000 | ||||||
Accelerated Depreciation | 2013 restructuring | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | 0 | 0 | 0 | 0 | |||||||
Charge to Income | 9,100,000 | 4,100,000 | |||||||||
Other | 0 | 0 | |||||||||
Cash | 0 | 0 | |||||||||
Non-Cash | (9,100,000) | (4,100,000) | |||||||||
September 30, 2015 | 0 | 0 | 0 | 0 | 0 | ||||||
Other exit costs | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | 0 | 0 | |||||||||
Charge to Income | 2,700,000 | ||||||||||
Other | (1,500,000) | ||||||||||
Cash | (700,000) | ||||||||||
Non-Cash | (200,000) | ||||||||||
September 30, 2015 | 300,000 | 0 | 300,000 | 0 | |||||||
Other exit costs | 2013 restructuring | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | 0 | 5,700,000 | 0 | 5,700,000 | |||||||
Charge to Income | 4,500,000 | 25,500,000 | |||||||||
Other | 0 | 0 | |||||||||
Cash | (4,500,000) | (29,900,000) | |||||||||
Non-Cash | 0 | (1,300,000) | |||||||||
September 30, 2015 | 0 | 0 | 0 | 0 | 5,700,000 | ||||||
Net loss on asset sale | 2013 restructuring | |||||||||||
Restructuring Reserve [Roll Forward] | |||||||||||
October 1, 2014 | $ 0 | $ 0 | 0 | 0 | |||||||
Charge to Income | (11,000,000) | 2,400,000 | |||||||||
Other | 300,000 | 0 | |||||||||
Cash | 13,700,000 | 4,900,000 | |||||||||
Non-Cash | (3,000,000) | (7,300,000) | |||||||||
September 30, 2015 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) - USD ($) $ in Millions | Dec. 12, 2014 | Sep. 30, 2015 | Sep. 30, 2014 |
Business Acquisition [Line Items] | |||
Goodwill | $ 38.1 | $ 37.1 | |
Battery Manufacturing Facility, China | |||
Business Acquisition [Line Items] | |||
Consideration transferred | $ 12.1 | ||
Goodwill | $ 2.3 |
Venezuela (Narrative) (Details)
Venezuela (Narrative) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($)VEF / $ | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($)VEF / $ | Dec. 31, 2013USD ($) | Mar. 31, 2015USD ($)VEF / $ | Mar. 31, 2014USD ($)VEF / $ | Mar. 31, 2013USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2013USD ($) | |
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Foreign rate | VEF / $ | 6.30 | 6.30 | 6.30 | 6.30 | ||||||||||
Venezuela deconsolidation charge | $ 0 | $ 0 | $ 65.2 | $ 0 | $ 65.2 | $ 0 | $ 0 | |||||||
Foreign currency translation losses | 16.2 | |||||||||||||
Write-off of subsidiary's cash balance | 44.6 | |||||||||||||
Write-off of subsidiary's other net assets | 4.4 | |||||||||||||
Net sales | 399.1 | 374.3 | 356.9 | 501.3 | $ 486.7 | $ 411.7 | $ 373.4 | $ 568.6 | 1,631.6 | 1,840.4 | 2,012.2 | |||
Segment profit | $ 183.1 | $ 170.8 | 168.5 | $ 233.8 | $ 234.7 | $ 192.3 | $ 161.8 | $ 261.6 | 756.2 | 850.4 | 901.9 | |||
Venezuela | ||||||||||||||
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Net sales | $ 25.8 | $ 28.4 | 8.5 | |||||||||||
Edgewell | ||||||||||||||
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Venezuela deconsolidation charge | (144.5) | 144.5 | ||||||||||||
Accounts Receivable | Edgewell | Venezuelan Subsidiaries | ||||||||||||||
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Intercompany foreign currency balances | 33.8 | $ 33.8 | ||||||||||||
Deposits | Edgewell | Venezuelan Subsidiaries | ||||||||||||||
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Intercompany foreign currency balances | $ 93.8 | 93.8 | ||||||||||||
Segments | ||||||||||||||
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Segment profit | $ 391.5 | $ 448.8 | $ 488.1 | |||||||||||
Segments | Venezuela | ||||||||||||||
Intercompany Foreign Currency Balance [Line Items] | ||||||||||||||
Segment profit | $ 2.5 | $ 13.1 | $ 0 |
Goodwill and intangible asset56
Goodwill and intangible assets (Schedule of Goodwill) (Details) $ in Millions | 12 Months Ended |
Sep. 30, 2015USD ($) | |
Goodwill [Roll Forward] | |
Beginning Balance | $ 37.1 |
Household Products acquisition | 2.3 |
Cumulative translation adjustment | (1.3) |
Ending Balance | 38.1 |
North America | |
Goodwill [Roll Forward] | |
Beginning Balance | 19.1 |
Household Products acquisition | 0 |
Cumulative translation adjustment | 0 |
Ending Balance | 19.1 |
Latin America | |
Goodwill [Roll Forward] | |
Beginning Balance | 1.7 |
Household Products acquisition | 0 |
Cumulative translation adjustment | (0.1) |
Ending Balance | 1.6 |
EMEA | |
Goodwill [Roll Forward] | |
Beginning Balance | 6.5 |
Household Products acquisition | 0 |
Cumulative translation adjustment | (0.5) |
Ending Balance | 6 |
Asia Pacific | |
Goodwill [Roll Forward] | |
Beginning Balance | 9.8 |
Household Products acquisition | 2.3 |
Cumulative translation adjustment | (0.7) |
Ending Balance | $ 11.4 |
Goodwill and intangible asset57
Goodwill and intangible assets (Narrative) (Details) - USD ($) | Sep. 30, 2015 | Sep. 30, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Indefinite-live intangible assets | $ 76,300,000 | $ 80,100,000 |
Amortizable intangible assets | $ 0 | $ 0 |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Currently payable: | |||
United States - Federal | $ (20.6) | $ 15 | $ 22.3 |
State | (1.4) | 0.8 | 1.4 |
Foreign | 32.4 | 36.5 | 36.2 |
Total current | 10.4 | 52.3 | 59.9 |
Deferred: | |||
United States - Federal | (3.5) | 4.3 | (10.4) |
State | (0.2) | 0.4 | (1.2) |
Foreign | (3.4) | 0.9 | (1.2) |
Total deferred | (7.1) | 5.6 | (12.8) |
Provision for income taxes | $ 3.3 | $ 57.9 | $ 47.1 |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income before Income Tax, Domestic and Foreign) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (144.5) | $ 33.6 | $ 16.7 |
Foreign | 143.8 | 181.6 | 145.3 |
Pre-tax (loss)/earnings | $ (0.7) | $ 215.2 | $ 162 |
Income Taxes (Schedule of Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Computed tax at federal statutory rate | $ (0.3) | $ 75.3 | $ 56.7 |
State income taxes, net of federal tax benefit | (1.6) | 0.8 | 0.1 |
Foreign tax less than the federal rate | (20.8) | (26.1) | (15.8) |
Other taxes including repatriation of foreign earnings | 2.2 | 7.3 | 9.8 |
Nontaxable share option | 0 | (2.5) | (3.4) |
Nondeductible spin costs | 2 | 3 | 0 |
Deconsolidation of Venezuela operations | 22.8 | ||
Other, net | (1) | 0.1 | (0.3) |
Provision for income taxes | $ 3.3 | $ 57.9 | $ 47.1 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Computed tax at federal statutory rate, percent | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal tax benefit, percent | 0.40% | 0.10% | |
Foreign tax less than the federal rate, percent | (12.10%) | (9.80%) | |
Other taxes including repatriation of foreign earnings, percent | 3.40% | 6.10% | |
Nontaxable share option, percent | (1.20%) | (2.10%) | |
Nondeductible spin costs, percent | 1.40% | 0.00% | |
Other, net, percent | 0.00% | (0.20%) | |
Effective Income Tax Rate Reconciliation, Percent | 455.10% | 26.90% | 29.10% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Income Tax Disclosure [Abstract] | ||
Accrued liabilities | $ 53.5 | $ 35.1 |
Deferred and stock-related compensation | 29.6 | 27.6 |
Tax loss carryforwards and tax credits | 14.4 | 19.6 |
Intangible assets | 46.5 | 46.4 |
Pension plans | 36.2 | 0 |
Other tax assets | 3.9 | 10.5 |
Gross deferred tax assets | 184.1 | 139.2 |
Depreciation and property differences | (16.2) | (8.1) |
Other tax liabilities | 0 | (1.7) |
Gross deferred tax liabilities | (16.2) | (9.8) |
Valuation allowance | (13.6) | (14.5) |
Net deferred tax assets | $ 154.3 | $ 114.9 |
Income Taxes (Summary of Income
Income Taxes (Summary of Income Tax Contingencies) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Unrecognized tax benefits, beginning of year | $ 12.7 | $ 13.5 |
Additions based on current year tax positions and acquisitions | 6.1 | 1.9 |
Reductions for prior year tax positions | (10.3) | (0.1) |
Settlements with taxing authorities/statute expirations | 0 | (2.6) |
Unrecognized tax benefits, end of year | $ 8.5 | $ 12.7 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) | Sep. 30, 2015USD ($)Jurisdiction | Sep. 30, 2014USD ($) |
Operating Loss Carryforwards [Line Items] | ||
Tax loss carryforwards and tax credits without expiration | $ 4,100,000 | |
Foreign subsidiary earnings | 650,000,000 | |
Amount in excess of potential U.S. tax | 88,000,000 | |
Uncertain tax positions | 8,500,000 | |
Accrued interest | 700,000 | $ 3,600,000 |
Deferred tax asset related to accrued interest | 200,000 | $ 1,300,000 |
Penalties | $ 1,300,000 | |
Number of foreign jurisdictions | Jurisdiction | 50 | |
Between 2018 and 2020 | ||
Operating Loss Carryforwards [Line Items] | ||
Tax loss carryforwards | $ 10,300,000 |
Earnings per share (Narrative)
Earnings per share (Narrative) (Details) | Jul. 01, 2015shares |
Common Stock | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |
Number of shares of common stock distributed | 62,193,281 |
Earnings per share (Schedule of
Earnings per share (Schedule of Earnings Per Share, Basic and Diluted) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Earnings Per Share [Abstract] | |||||||||||
Net (loss)/earnings | $ 23.1 | $ (19.6) | $ (69.2) | $ 61.7 | $ 46.5 | $ 36.3 | $ 16.5 | $ 58 | $ (4) | $ 157.3 | $ 114.9 |
Basic average shares outstanding (in shares) | 62.2 | 62.2 | 62.2 | ||||||||
Diluted average shares outstanding (in shares) | 62.2 | 62.2 | 62.2 | ||||||||
Basic (loss)/earnings per common share (in dollars per share) | $ 0.37 | $ (0.32) | $ (1.11) | $ 0.99 | $ 0.75 | $ 0.58 | $ 0.27 | $ 0.93 | $ (0.06) | $ 2.53 | $ 1.85 |
Diluted (loss)/earnings per common share (in dollars per share) | $ 0.37 | $ (0.32) | $ (1.11) | $ 0.99 | $ 0.75 | $ 0.58 | $ 0.27 | $ 0.93 | $ (0.06) | $ 2.53 | $ 1.85 |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) $ / shares in Units, $ in Millions | Nov. 16, 2015$ / shares | Nov. 20, 2015$ / sharesshares | Sep. 30, 2015USD ($)$ / sharesshares | Sep. 30, 2014USD ($)$ / sharesshares | Sep. 30, 2013USD ($) | Jul. 01, 2015shares |
Class of Stock [Line Items] | ||||||
Common stock authorized (in shares) | 300,000,000 | |||||
Preferred stock, authorized (in shares) | 10,000,000 | |||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Preferred stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Dividends declared | $ | $ 16.2 | |||||
Payments of Ordinary Dividends, Common Stock | $ | $ 15.5 | $ 0 | $ 0 | |||
Preferred stock issued (in shares) | 0 | |||||
Preferred stock outstanding (in shares) | 0 | 0 | ||||
Common Stock | ||||||
Class of Stock [Line Items] | ||||||
Number of shares of common stock distributed | 62,193,281 | |||||
Common stock distribution ratio | 1 | |||||
Number of shares authorized for repurchase | 7,500,000 | |||||
Subsequent Event | ||||||
Class of Stock [Line Items] | ||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.25 | |||||
Repurchased shares of common stock (in shares) | 580,000 | |||||
Payments for repurchase of common stock | $ / shares | $ 36.30 | |||||
Energizer Holdings, Inc. Equity Incentive Plan | ||||||
Class of Stock [Line Items] | ||||||
Reserved for issuance | 1,900,000 |
Share-Based Payments (Narrative
Share-Based Payments (Narrative) (Details) $ / shares in Units, $ in Millions | Jul. 08, 2015$ / sharesshares | Jul. 01, 2015shares | Nov. 30, 2015$ / sharesshares | Sep. 30, 2015USD ($)shares | Jun. 30, 2015USD ($) | Sep. 30, 2015USD ($)shares | Sep. 30, 2014USD ($)shares | Sep. 30, 2013USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Income tax benefit | $ | $ 5 | $ 4.9 | $ 6 | |||||
Closing stock price (in dollars per share) | $ / shares | $ 34.92 | |||||||
Selling, General and Administrative Expenses | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Total compensation cost | $ | $ 13.5 | $ 13.2 | $ 16 | |||||
Energizer Holdings, Inc. Equity Incentive Plan | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Options, share reduction ratio | 1 | |||||||
Restricted Stock Equivalents | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Awards outstanding as part of the conversion, shares | 1,312,000 | 1,894,000 | 1,894,000 | 0 | ||||
Total compensation cost | $ | $ 7.2 | |||||||
Incremental expense | $ | $ 2.4 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Converted In Connection With Spinoff, Vesting Period | 4 years | |||||||
Shares granted | 624,000 | |||||||
Unrecognized compensation cost | $ | 36.2 | $ 36.2 | ||||||
Weighted-average period of recognition, in years | 1 year 8 months 12 days | |||||||
Weighted-average fair value nonvested | $ | 21.8 | |||||||
Weighted-average fair value vested | $ | $ 0.2 | |||||||
Restricted Stock Equivalents | Key Executives | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Shares granted | 573,700 | |||||||
Vesting period, in years | 5 years | |||||||
Restricted Stock Equivalents | Board of Directors | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Shares granted | 50,300 | |||||||
Vesting period, in years | 3 years | |||||||
Common Stock | Energizer Holdings, Inc. Equity Incentive Plan | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Maximum number of shares to be awarded, shares | 10,000,000 | |||||||
Shares to reduce number of shares available, shares | 2 | |||||||
Shares available for future awards, shares | 6,200,000 | 6,200,000 | ||||||
Subsequent Event | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Closing stock price (in dollars per share) | $ / shares | $ 37.34 | |||||||
Subsequent Event | Restricted Stock Equivalents | Key Executives | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Shares granted | 87,000 | |||||||
Subsequent Event | Restricted Stock Equivalents | Key Employees | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Shares granted | 106,000 | |||||||
Vesting period, in years | 4 years | |||||||
Subsequent Event | Performance Restricted Stock Equivalents | Key Executives | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Shares granted | 290,000 |
Share-Based Payments (Summary o
Share-Based Payments (Summary of RSE Activity) (Details) - Restricted Stock Equivalents shares in Thousands | 12 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Nonvested RSE, Beginning Balance, shares | 0 |
Converted on July 1, 2015 in connection with the Spin-Off, shares | 1,312 |
Granted, shares | 624 |
Vested, shares | (4) |
Canceled, shares | (38) |
Nonvested RSE, Ending Balance, shares | 1,894 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Nonvested RSE, Beginning Balance, weighted-average grant date estimated fair value | $ / shares | $ 0 |
Converted on July 1, 2015 in connection with the Spin-Off, weighted-average grant date estimated fair value | $ / shares | 34 |
Granted, weighted-average grant date estimated fair value | $ / shares | 34.92 |
Vested, weighted-average grant date estimated fair value | $ / shares | 34 |
Canceled, weighted-average grant date estimated fair value | $ / shares | 34 |
Nonvested RSE, Ending Balance, weighted-average grant date estimated fair value | $ / shares | $ 34.30 |
Transactions with Edgewell (Nar
Transactions with Edgewell (Narrative) (Details) - USD ($) $ in Millions | Jul. 01, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2015 | Sep. 30, 2012 |
Related Party Transaction [Line Items] | ||||||
Separation related adjustments | $ 299.6 | |||||
Cash and cash equivalents | 502.1 | $ 89.6 | $ 78 | $ 66.7 | ||
Benefit plan liabilities | $ 59.4 | $ 17.7 | ||||
Due from Edgewell | 30.4 | 0 | ||||
Cash Pooling Arrangement | ||||||
Related Party Transaction [Line Items] | ||||||
Due to related party | 86.2 | |||||
Separation Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of costs incurred subsequent to separation | 40.00% | |||||
Edgewell | ||||||
Related Party Transaction [Line Items] | ||||||
General corporate expenses | 43 | $ 62.5 | $ 70.8 | |||
Benefit plan liabilities | $ 41.7 | |||||
Edgewell | Separation Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Cash distribution | 1,000 | |||||
Separation related adjustments | 299.6 | |||||
Cash and cash equivalents | 417.7 | |||||
Benefit plan liabilities | 41.7 | |||||
Income taxes payable | 42.2 | |||||
Other liabilities | $ 34.2 | |||||
Percentage of costs incurred subsequent to separation | 60.00% | |||||
Edgewell | Transition Services Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Number of months after spin transaction | 24 months | |||||
Other Current Assets | Edgewell | ||||||
Related Party Transaction [Line Items] | ||||||
Due from Edgewell | 30.4 | |||||
Other Current Liabilities | Edgewell | ||||||
Related Party Transaction [Line Items] | ||||||
Due to related parties | $ 14 |
Pension Plans (Changes in Proje
Pension Plans (Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan) (Details) - Pension Plan - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Change in Projected Benefit Obligation | |||
Benefit obligation at beginning of year | $ 58.1 | $ 64.1 | |
Service cost | 0.8 | 0.7 | $ 1.1 |
Interest cost | 7.6 | 1.3 | 1.2 |
Plan participants' contributions | 0.1 | 0.1 | |
Actuarial loss/(gain) | 24.3 | 3.4 | |
Benefits paid, net | (16) | (6.9) | |
Plan curtailments | (2) | 0 | |
Plan settlements | (0.2) | (1.6) | |
Net transfer in/(out) (including the effect of any business combinations/divestitures) | (4) | 0 | |
Obligations transferred from Edgewell | 662.9 | 0 | |
Foreign currency exchange rate changes | (5.6) | (3) | |
Projected Benefit Obligation at end of year | 726 | 58.1 | 64.1 |
Change in Plan Assets | |||
Estimated fair value of plan assets at beginning of year | 44.6 | 51.6 | |
Actual return on plan assets | (25.4) | 3.2 | |
Company contributions | 1.5 | 0.4 | |
Plan settlements | (0.2) | (1.6) | |
Net transfer in/(out) (including the effect of any business combinations/divestitures) | (3.8) | 0 | |
Assets transferred from Edgewell | 621.2 | 0 | |
Foreign currency exchange rate changes | (5.3) | (2.2) | |
Estimated fair value of plan assets at end of year | 616.7 | 44.6 | $ 51.6 |
Funded status at end of year | $ (109.3) | $ (13.5) |
Pension Plans (Schedule of Defi
Pension Plans (Schedule of Defined Benefit Plans Disclosures) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Amounts Recognized in the Consolidated Balance Sheets | ||
Noncurrent liabilities | $ (119.3) | $ (12.8) |
Pension Plan | ||
Amounts Recognized in the Consolidated Balance Sheets | ||
Noncurrent assets | 5.9 | 0 |
Current liabilities | (2.8) | 0 |
Noncurrent liabilities | (112.4) | (13.5) |
Net amount recognized | (109.3) | (13.5) |
Amounts Recognized in Accumulated Other Comprehensive Loss | ||
Net loss, pre tax | $ 211 | $ 8.3 |
Pension Plans (Schedule of De72
Pension Plans (Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss)) (Details) - Pension Plan $ in Millions | 12 Months Ended |
Sep. 30, 2015USD ($) | |
Changes in plan assets and benefit obligations recognized in other comprehensive loss | |
Net loss/(gain) arising during the year | $ 59.9 |
Effect of exchange rates | (1.5) |
Amounts recognized as a component of net periodic benefit cost | |
Amortization or settlement recognition of net (loss)/gain | (1.5) |
Total recognized in other comprehensive income | $ 56.9 |
Pension Plans (Schedule of Expe
Pension Plans (Schedule of Expected Benefit Payments) (Details) - Pension Plan $ in Millions | Sep. 30, 2015USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | $ 55.9 |
2,017 | 46.8 |
2,018 | 47.2 |
2,019 | 47.2 |
2,020 | 46 |
2021 to 2025 | $ 223 |
Pension Plans and Other Postret
Pension Plans and Other Postretirement Benefits (Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets) (Details) - Pension Plan - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | $ 726 | $ 58.1 |
Accumulated benefit obligation | 609.4 | 45 |
Estimated fair value of plan assets | $ 616.7 | $ 44.6 |
Pension Plans (Schedule of Net
Pension Plans (Schedule of Net Benefit Costs) (Details) - Pension Plan - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 0.8 | $ 0.7 | $ 1.1 |
Interest cost | 7.6 | 1.3 | 1.2 |
Expected return on plan assets | (12.2) | (1.8) | (1.8) |
Amortization or settlement recognition of net (loss)/gain | 1.4 | 0.1 | 0.4 |
Settlement loss recognized | 0.1 | 0.2 | 0.1 |
Net periodic benefit cost | $ (2.3) | $ 0.5 | $ 1 |
Pension Plans (Schedule of Assu
Pension Plans (Schedule of Assumptions Used) (Details) - Pension Plan | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Plan obligations: | ||
Discount rate | 3.90% | 1.50% |
Compensation increase rate | 3.30% | 2.30% |
Net periodic benefit cost: | ||
Discount rate | 4.00% | 2.10% |
Expected long-term rate of return on plan assets | 7.00% | 3.50% |
Compensation increase rate | 3.30% | 2.30% |
Pension Plans (Schedule of Allo
Pension Plans (Schedule of Allocation of Plan Assets) (Details) - Pension Plan - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | $ 616.7 | $ 44.6 | $ 51.6 |
EQUITY | United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 195.2 | 2.2 | |
EQUITY | International | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 149.9 | 8.9 | |
U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 175.8 | 0.6 | |
Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 44.3 | 9.4 | |
Corporate | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 26.7 | 14.8 | |
CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 1.2 | 2.4 | |
OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 23.6 | 6.3 | |
Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 159.5 | 7.6 | |
Level 1 | EQUITY | United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 138.9 | 1.5 | |
Level 1 | EQUITY | International | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 20.6 | 6.1 | |
Level 1 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
Level 1 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
Level 1 | Corporate | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
Level 1 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
Level 1 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 0 | 0 | |
Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 457.2 | 37 | |
Level 2 | EQUITY | United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 56.3 | 0.7 | |
Level 2 | EQUITY | International | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 129.3 | 2.8 | |
Level 2 | U.S. Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 175.8 | 0.6 | |
Level 2 | Other Government | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 44.3 | 9.4 | |
Level 2 | Corporate | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 26.7 | 14.8 | |
Level 2 | CASH & CASH EQUIVALENTS | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | 1.2 | 2.4 | |
Level 2 | OTHER | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Assets at estimated fair value | $ 23.6 | $ 6.3 |
Pension Plans (Narratvie) (Deta
Pension Plans (Narratvie) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Jul. 01, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |||||
Benefit plan liabilities | $ 17.7 | $ 59.4 | |||
Defined benefit plan expenses | $ 5.9 | $ 6.4 | $ 23.1 | ||
Pension Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Gross accumulated loss | $ (211) | (8.3) | |||
Company contributions | 5.2 | ||||
Accumulated benefit obligation | 609.4 | $ 45 | |||
Net actuarial losses | $ 6.9 | ||||
U.S. Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of assets represented by U.S. plan | 75.00% | ||||
U.S. Plan | Equity Securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Target allocation percent | 65.00% | ||||
U.S. Plan | Debt Securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Target allocation percent | 35.00% | ||||
Edgewell | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Benefit plan liabilities | 41.7 | ||||
Edgewell | Pension Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Gross accumulated loss | $ 145.8 |
Defined Contribution Plan (Narr
Defined Contribution Plan (Narrative) (Details) - USD ($) $ in Millions | Jan. 01, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Compensation and Retirement Disclosure [Abstract] | ||||
Percentage of company match | 100.00% | |||
Maximum percentage of eligible compensation | 6.00% | |||
Charged to expense | $ 7.7 | $ 5 | $ 4.1 |
Debt (Schedule of Long-term Deb
Debt (Schedule of Long-term Debt Instruments) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Jun. 01, 2015 | Sep. 30, 2014 |
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | $ 998 | $ 0 | |
Less current portion | 3 | 0 | |
Total long-term debt | 995 | 0 | |
Senior secured term loan | Senior Secured Term Loan B Facility, net of discount, due 2022 | |||
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | 398 | 0 | |
Senior Notes | 5.50% Senior Notes due 2025 | |||
Debt Instrument [Line Items] | |||
Total long-term debt, including current maturities | $ 600 | $ 0 | |
Stated interest rate of debt | 5.50% | 5.50% |
Debt (Narrative) (Details)
Debt (Narrative) (Details) - USD ($) | Jun. 01, 2015 | Sep. 30, 2015 | Aug. 31, 2015 |
Interest Rate Swap | |||
Debt Instrument [Line Items] | |||
Variable rate debt hedged | $ 200,000,000 | ||
Fixed interest rate | 2.22% | ||
Senior Secured Term Loan B Facility, net of discount, due 2022 | Senior secured term loan | |||
Debt Instrument [Line Items] | |||
Term of debt | 7 years | ||
Face amount of debt | $ 400,000,000 | ||
Discount amount | $ 1,000,000 | ||
Principal payments as a percentage of the original principal balance | 0.25% | ||
Senior Secured Term Loan B Facility, net of discount, due 2022 | Senior secured term loan | Interest Rate Swap | |||
Debt Instrument [Line Items] | |||
Variable rate debt hedged | $ 200,000,000 | ||
Fixed interest rate | 2.22% | ||
Senior Secured Term Loan B Facility, net of discount, due 2022 | Senior secured term loan | LIBOR | |||
Debt Instrument [Line Items] | |||
LIBOR | LIBOR | ||
Basis points | 2.50% | ||
Basis points floor | 75.00% | ||
5.50% Senior Notes due 2025 | Senior Notes | |||
Debt Instrument [Line Items] | |||
Face amount of debt | $ 600,000,000 | ||
Stated interest rate of debt | 5.50% | 5.50% | |
Revolving Facility | |||
Debt Instrument [Line Items] | |||
Term of debt | 5 years | ||
Maximum amount for line of credit | $ 250,000,000 | ||
Remaining available amount on letters of credit | $ 243,600,000 | ||
Revolving Facility | LIBOR | |||
Debt Instrument [Line Items] | |||
LIBOR | LIBOR | ||
Letter of Credit | |||
Debt Instrument [Line Items] | |||
Outstanding letters of credit | $ 6,400,000 |
Debt (Long-term Debt Maturities
Debt (Long-term Debt Maturities) (Details) $ in Millions | Sep. 30, 2015USD ($) |
Debt Disclosure [Abstract] | |
Maturities of long term debt in one year | $ 3 |
Maturities of long term debt in two years | 4 |
Maturities of long term debt in three years | 4 |
Maturities of long term debt in four years | 4 |
Maturities of long term debt in five years | 4 |
Maturities of long term debt thereafter | $ 980 |
Financial Instruments and Ris83
Financial Instruments and Risk Management (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Derivative [Line Items] | |||
Obligation from largest customer | $ 155,500,000 | $ 218,500,000 | |
Interest Rate Swap | |||
Derivative [Line Items] | |||
Variable rate debt converted to fixed rate debt | $ 200,000,000 | ||
Fixed interest rate | 2.22% | ||
Forward currency contracts | |||
Derivative [Line Items] | |||
Portion of pre-tax gain included in AOCI expected to be included in earnings | $ 4,500,000 | ||
Line of Credit | Senior secured term loan | |||
Derivative [Line Items] | |||
Face amount of debt | 400,000,000 | ||
Reported Value Measurement | |||
Derivative [Line Items] | |||
Fair market value of fixed rate long-term debt | 600,000,000 | ||
Estimate of Fair Value Measurement | |||
Derivative [Line Items] | |||
Fair market value of fixed rate long-term debt | 581,200,000 | ||
Cash Flow Hedging | Forward currency contracts | |||
Derivative [Line Items] | |||
Estimated Fair Value Asset (Liability) | $ 4,500,000 | $ 5,400,000 | |
Customer Concentration Risk | Wal-Mart Stores, Inc. | Net sales | |||
Derivative [Line Items] | |||
Percentage of net sales from major customer | 10.00% | 8.50% | 13.30% |
Financial Instruments and Ris84
Financial Instruments and Risk Management (Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)) (Details) - Cash Flow Hedging - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Forward currency contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Unrealized pre-tax gain | $ 4.5 | $ 5.4 |
Designated as Hedging Instrument | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset (Liability) | (0.7) | |
Pre-Tax Gain/(Loss) Recognized in OCI | 4.9 | |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | 11 | |
Designated as Hedging Instrument | Forward currency contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset (Liability) | 4.5 | |
Pre-Tax Gain/(Loss) Recognized in OCI | 10.1 | 6.6 |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | 11 | $ (1.1) |
Designated as Hedging Instrument | Interest rate contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset (Liability) | (5.2) | |
Pre-Tax Gain/(Loss) Recognized in OCI | (5.2) | |
Pre-Tax Gain/(Loss) Reclassified From OCI into Income (Effective Portion) | $ 0 |
Financial Instruments and Ris85
Financial Instruments and Risk Management (Derivative Instruments, Gain (Loss)) (Details) - Not Designated as Hedging Instrument - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset (Liability) | $ 0 | $ 1 |
Gain/(Loss) Recognized in Income | 2.4 | 8.3 |
Share option | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset (Liability) | 0 | 0 |
Gain/(Loss) Recognized in Income | 0.2 | 7.1 |
Forward currency contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Estimated Fair Value Asset (Liability) | 0 | 1 |
Gain/(Loss) Recognized in Income | $ 2.2 | $ 1.2 |
Financial Instruments and Ris86
Financial Instruments and Risk Management (Offsetting Assets and Liabilities) (Details) - Forward currency contracts - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Derivatives, Fair Value [Line Items] | ||
Gross amounts of recognized assets | $ 4.9 | $ 7.2 |
Gross amounts offset in the Balance Sheet, assets | (0.4) | (0.2) |
Net amounts of assets presented in the Balance Sheet | 4.5 | 7 |
Gross amounts of recognized liabilities | 0 | (0.8) |
Gross amounts offset in the Balance Sheet, liabilities | 0 | 0.2 |
Net amounts of liabilities presented in the Balance Sheet | $ 0 | $ (0.6) |
Financial Instruments and Ris87
Financial Instruments and Risk Management (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - Level 2 - Fair Value, Measurements, Recurring - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred Compensation | $ (58.5) | $ (45.8) |
Total Liabilities at estimated fair value | (59.2) | (39.4) |
Foreign Currency Contract | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | 4.5 | 6.4 |
Interest rate swap | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives | $ (5.2) | $ 0 |
Environmental and Regulatory (D
Environmental and Regulatory (Details) $ in Millions | 12 Months Ended |
Sep. 30, 2015USD ($)site | |
Environmental Remediation Obligations [Abstract] | |
Number of Superfund sites | site | 8 |
Accrued environmental costs | $ 4.2 |
Accrued environmental costs expected to be spent within the next year | $ 1.5 |
Other Commitments and Conting89
Other Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Operating lease rental expense | $ 15.9 | $ 11.3 | $ 10 |
2,016 | 14 | ||
2,017 | 12.4 | ||
2,018 | 12.2 | ||
2,019 | 8.7 | ||
2,020 | 7.4 | ||
Thereafter | $ 13.2 |
Accumulated Other Comprehensi90
Accumulated Other Comprehensive (Loss)/Income (Schedule of Accumulated Other Comprehensive Income (Loss)) (Details) $ in Millions | 12 Months Ended |
Sep. 30, 2015USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Balance at September 30, 2014 | $ (31.7) |
OCI before reclassifications | (132.8) |
Separation related adjustments | (93.9) |
Venezuela deconsolidation charge | 16.2 |
Reclassifications to earnings | (7.1) |
Balance at September 30, 2015 | (249.3) |
Foreign Currency Translation Adjustments | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Balance at September 30, 2014 | (28.7) |
OCI before reclassifications | (97.9) |
Separation related adjustments | 0.8 |
Venezuela deconsolidation charge | 16.2 |
Balance at September 30, 2015 | (109.6) |
Pension Activity | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Balance at September 30, 2014 | (7.3) |
OCI before reclassifications | (38.3) |
Separation related adjustments | (95.3) |
Reclassifications to earnings | 1.1 |
Balance at September 30, 2015 | (139.8) |
Other Contracts | Hedging Activity | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Balance at September 30, 2014 | 4.3 |
OCI before reclassifications | 6.7 |
Separation related adjustments | 0.6 |
Reclassifications to earnings | (8.2) |
Balance at September 30, 2015 | 3.4 |
Interest Rate Swap | Hedging Activity | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
OCI before reclassifications | (3.3) |
Balance at September 30, 2015 | $ (3.3) |
Accumulated Other Comprehensi91
Accumulated Other Comprehensive (Loss)/Income (Reclassification out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Other financing items, net | $ 18.4 | $ (0.7) | $ (3.1) | ||||||||
Pre-tax (loss)/earnings | (0.7) | 215.2 | 162 | ||||||||
Tax (expense)/benefit | (3.3) | (57.9) | (47.1) | ||||||||
Net (loss)/earnings | $ 23.1 | $ (19.6) | $ (69.2) | $ 61.7 | $ 46.5 | $ 36.3 | $ 16.5 | $ 58 | (4) | 157.3 | 114.9 |
Venezuela deconsolidation charge | $ 0 | $ 0 | $ (65.2) | $ 0 | (65.2) | $ 0 | $ 0 | ||||
Foreign Currency Translation Adjustments | Amount Reclassified from AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Venezuela deconsolidation charge | (16.2) | ||||||||||
Total reclassifications for the period | (9.1) | ||||||||||
Pension Activity | Amount Reclassified from AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Pre-tax (loss)/earnings | (1.5) | ||||||||||
Tax (expense)/benefit | 0.4 | ||||||||||
Net (loss)/earnings | (1.1) | ||||||||||
Actuarial losses | (1.4) | ||||||||||
Settlement losses | (0.1) | ||||||||||
Hedging Activity | Amount Reclassified from AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Other financing items, net | 11 | ||||||||||
Pre-tax (loss)/earnings | 11 | ||||||||||
Tax (expense)/benefit | (2.8) | ||||||||||
Net (loss)/earnings | $ 8.2 |
Supplemental Financial Statem92
Supplemental Financial Statement Information (Supplemental Balance Sheet Information) (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Sep. 30, 2014 |
Inventories | ||
Raw materials and supplies | $ 32.4 | $ 38.5 |
Work in process | 73 | 68.4 |
Finished products | 170.5 | 185.5 |
Total inventories | 275.9 | 292.4 |
Other Current Assets | ||
Miscellaneous receivables | 34.3 | 31.4 |
Due from Edgewell | 30.4 | 0 |
Deferred income tax benefits | 49.6 | 43.7 |
Prepaid expenses | 53.2 | 35.7 |
Value added tax collectible from customers | 19.9 | 22.9 |
Other | 5.6 | 12.9 |
Total other current assets | 193 | 146.6 |
Property, Plant and Equipment, Gross | ||
Land | 10 | 10.3 |
Buildings | 162.8 | 143.6 |
Machinery and equipment | 886.2 | 871.8 |
Construction in progress | 12.1 | 10.1 |
Total gross property | 1,071.1 | 1,035.8 |
Accumulated depreciation | (865.5) | (823.3) |
Total property, plant and equipment, net | 205.6 | 212.5 |
Other Current Liabilities | ||
Accrued advertising, sales promotion and allowances | 29.7 | 25.7 |
Accrued trade allowances | 41.7 | 35.6 |
Accrued salaries, vacations and incentive compensation | 39.5 | 45.9 |
Income taxes payable | 43.7 | 2.9 |
Other | 121.7 | 67 |
Other current liabilities | 292.6 | 189.5 |
Other Liabilities | ||
Pensions and other retirement benefits | 119.3 | 12.8 |
Deferred compensation | 58.5 | 45.8 |
Other non-current liabilities | 49.1 | 31.2 |
Total other liabilities | 226.9 | 89.8 |
2013 restructuring | ||
Other Current Liabilities | ||
2013 restructuring reserve | 4 | 12.4 |
Spin-off | ||
Other Current Liabilities | ||
2013 restructuring reserve | $ 12.3 | $ 0 |
Supplemental Financial Statem93
Supplemental Financial Statement Information (Schedule Of Allowance For Doubtful Accounts) (Details) - Allowance for Doubtful Accounts - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Allowance for Doubtful Accounts | |||
Balance at beginning of year | $ 7.4 | $ 9.5 | $ 9.5 |
Provision charged to expense, net of reversals | 1.9 | 1.6 | 2.3 |
Adjustments | (2.3) | (3.7) | (2.3) |
Balance at end of year | $ 7 | $ 7.4 | $ 9.5 |
Supplemental Financial Statem94
Supplemental Financial Statement Information (Summary of Income Tax Valuation Allowance) (Details) - Income Tax Valuation Allowance - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Valuation Allowance | |||
Balance at beginning of year | $ 14.5 | $ 11.4 | $ 10.4 |
Provision charged to expense, net of reversals | 0.3 | 8.2 | 0.9 |
Reversal of provision charged to expense | 0.8 | 3.5 | 0.1 |
Adjustments | (0.4) | (1.6) | 0.2 |
Balance at end of year | $ 13.6 | $ 14.5 | $ 11.4 |
Supplemental Financial Statem95
Supplemental Financial Statement Information (Schedule of Cash Flow, Supplemental Disclosures) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Financial Statement Related Disclosures [Abstract] | |||
Interest paid | $ 73.1 | $ 52.2 | $ 67.1 |
Income taxes paid | $ 37.6 | $ 53.1 | $ 61.6 |
Segments (Narrative) (Details)
Segments (Narrative) (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2015USD ($)Segment | Sep. 30, 2014USD ($) | Sep. 30, 2013USD ($) | |
Segment Reporting Information [Line Items] | |||||||
Major geographic reportable segments | Segment | 4 | ||||||
Venezuela deconsolidation charge | $ 0 | $ 0 | $ 65.2 | $ 0 | $ 65.2 | $ 0 | $ 0 |
Edgewell | |||||||
Segment Reporting Information [Line Items] | |||||||
Venezuela deconsolidation charge | $ (144.5) | $ 144.5 |
Segments (Schedule of Segment R
Segments (Schedule of Segment Reporting Information, by Segment) (Details) - USD ($) $ in Millions | Jul. 01, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information [Line Items] | |||||||||||||
Net sales | $ 399.1 | $ 374.3 | $ 356.9 | $ 501.3 | $ 486.7 | $ 411.7 | $ 373.4 | $ 568.6 | $ 1,631.6 | $ 1,840.4 | $ 2,012.2 | ||
Segment profit | 183.1 | 170.8 | 168.5 | 233.8 | 234.7 | 192.3 | 161.8 | 261.6 | 756.2 | 850.4 | 901.9 | ||
Research and development expense | (24.9) | (25.3) | (29.7) | ||||||||||
Venezuela deconsolidation charge | 0 | 0 | 65.2 | 0 | 65.2 | 0 | 0 | ||||||
Integration (2) | 0.2 | 0.3 | 0.4 | 0.3 | |||||||||
Spin costs (3) | $ (167) | (18.3) | (13.9) | (2.6) | 0 | 0 | (163.9) | ||||||
Spin restructuring | (13.1) | (4.1) | (42.9) | ||||||||||
Cost of early debt retirement (4) | (26.7) | 0 | (16.7) | 0 | 0 | (26.7) | |||||||
(Loss)/earnings before income taxes | (0.7) | 215.2 | 162 | ||||||||||
Depreciation and amortization | 41.8 | 42.2 | 55.9 | ||||||||||
Assets | 1,629.6 | 1,194.7 | 1,629.6 | 1,194.7 | |||||||||
Capital Expenditures | 40.4 | 28.4 | 17.8 | ||||||||||
2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | 0.1 | (12.4) | (0.3) | 6.1 | (4.8) | $ (2.2) | $ (13.3) | $ (13.8) | (9.6) | (43.5) | (123.9) | ||
Spin-off | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin costs (3) | (36) | (3.1) | (39.1) | ||||||||||
Spin restructuring | (2.8) | $ (7.9) | $ (15.6) | $ (0.7) | (39.1) | 0 | 0 | ||||||
Segments | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Segment profit | 391.5 | 448.8 | 488.1 | ||||||||||
Depreciation and amortization | 37.2 | 39.2 | 53.4 | ||||||||||
Assets | 1,268.8 | 948.2 | 1,268.8 | 948.2 | |||||||||
Capital Expenditures | 40.4 | 28.4 | 17.8 | ||||||||||
Segment Reconciling Items | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
General corporate and other expenses | (66) | (62.5) | (70.8) | ||||||||||
Global marketing expenses | (24.8) | (20.7) | (21.8) | ||||||||||
Research and development expense | (24.9) | (25.3) | (29.7) | ||||||||||
Venezuela deconsolidation charge | 65.2 | 0 | 0 | ||||||||||
Integration (2) | 1.6 | 0 | 0 | ||||||||||
Spin costs (3) | (98.1) | (21.3) | 0 | ||||||||||
Cost of early debt retirement (4) | (26.7) | 0 | 0 | ||||||||||
Interest and other financing items | (32.8) | (53.4) | (71.2) | ||||||||||
Goodwill and other intangible assets, net | 114.4 | 117.2 | 114.4 | 117.2 | |||||||||
Segment Reconciling Items | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Restructuring (1) | (13) | (50.4) | (132.6) | ||||||||||
Segment Reconciling Items | Spin-off | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (39.1) | 0 | 0 | ||||||||||
Corporate | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Depreciation and amortization | 4.6 | 3 | 2.5 | ||||||||||
Assets | 246.4 | 129.3 | 246.4 | 129.3 | |||||||||
Corporate | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | 0.2 | (1.6) | (4.9) | ||||||||||
Corporate | Spin-off | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (12) | ||||||||||||
Selling, General and Administrative Expenses | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Integration (2) | 1.3 | ||||||||||||
Spin costs (3) | $ (104.2) | (14.7) | $ (82.9) | (97.6) | (21.3) | ||||||||
Selling, General and Administrative Expenses | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (0.3) | (5.9) | (6.1) | ||||||||||
Cost of Sales | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Integration (2) | 0.3 | ||||||||||||
Spin costs (3) | (0.5) | (0.5) | |||||||||||
Cost of Sales | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (3.1) | (1) | (2.6) | ||||||||||
North America | Segments | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net sales | 831.3 | 909.2 | 1,041.9 | ||||||||||
Segment profit | 234.6 | 263.9 | 307.1 | ||||||||||
Depreciation and amortization | 22.3 | 17.6 | 25.1 | ||||||||||
Assets | 394.8 | 371.7 | 394.8 | 371.7 | |||||||||
Capital Expenditures | 28.4 | 15.9 | 5.7 | ||||||||||
North America | Segments | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (2) | (28.1) | (96.1) | ||||||||||
Latin America | Segments | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net sales | 125.1 | 162.1 | 182 | ||||||||||
Segment profit | 20.7 | 26.4 | 32.9 | ||||||||||
Depreciation and amortization | 1 | 0.1 | 0.7 | ||||||||||
Assets | 63.3 | 58.6 | 63.3 | 58.6 | |||||||||
Capital Expenditures | 1.2 | 0.6 | 2.2 | ||||||||||
Latin America | Segments | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (0.4) | (2.8) | (3.9) | ||||||||||
EMEA | Segments | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net sales | 370.4 | 419.1 | 423.3 | ||||||||||
Segment profit | 58.3 | 61.4 | 49.9 | ||||||||||
Depreciation and amortization | 1.1 | 0.6 | 1.4 | ||||||||||
Assets | 237.5 | 188.3 | 237.5 | 188.3 | |||||||||
Capital Expenditures | 2.3 | 1.9 | 1.5 | ||||||||||
EMEA | Segments | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | (0.8) | (5.2) | (10.1) | ||||||||||
Asia Pacific | Segments | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net sales | 304.8 | 350 | 365 | ||||||||||
Segment profit | 77.9 | 97.1 | 98.2 | ||||||||||
Depreciation and amortization | 12.8 | 20.9 | 26.2 | ||||||||||
Assets | $ 573.2 | $ 329.6 | 573.2 | 329.6 | |||||||||
Capital Expenditures | 8.5 | 10 | 8.4 | ||||||||||
Asia Pacific | Segments | 2013 restructuring | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Spin restructuring | $ (6.6) | $ (5.8) | $ (8.9) |
Segments (Schedule of Revenue f
Segments (Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas)(Details) - USD ($) $ in Millions | Jul. 01, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Depreciation and amortization | $ 41.8 | $ 42.2 | $ 55.9 | |||||||||
Assets | $ 1,629.6 | $ 1,194.7 | 1,629.6 | 1,194.7 | ||||||||
Net sales | 399.1 | $ 374.3 | $ 356.9 | $ 501.3 | 486.7 | $ 411.7 | $ 373.4 | $ 568.6 | 1,631.6 | 1,840.4 | 2,012.2 | |
Gross profit | 183.1 | 170.8 | 168.5 | 233.8 | 234.7 | 192.3 | 161.8 | 261.6 | 756.2 | 850.4 | 901.9 | |
Research and development expense | 24.9 | 25.3 | 29.7 | |||||||||
Venezuela deconsolidation charge | 0 | 0 | (65.2) | 0 | (65.2) | 0 | 0 | |||||
Business Combination, Integration Related Costs | 0.2 | 0.3 | 0.4 | 0.3 | ||||||||
Spin-off Costs | $ 167 | 18.3 | 13.9 | $ 2.6 | $ 0 | $ 0 | 163.9 | |||||
Non-cash restructuring costs | 13.1 | 4.1 | 42.9 | |||||||||
Write off of deferred debt issuance cost | $ 26.7 | 0 | $ 16.7 | $ 0 | $ 0 | 26.7 | ||||||
(Loss)/earnings before income taxes | (0.7) | 215.2 | 162 | |||||||||
Long Lived Tangible Assets | 388.7 | 330.4 | 388.7 | 330.4 | ||||||||
Capital Expenditures | 40.4 | 28.4 | 17.8 | |||||||||
United States | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net sales | 767.6 | 822 | 951.2 | |||||||||
Long Lived Tangible Assets | 210.9 | 95.3 | 210.9 | 95.3 | ||||||||
International | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net sales | 864 | 1,018.4 | $ 1,061 | |||||||||
Singapore | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long Lived Tangible Assets | 69.7 | 81.9 | 69.7 | 81.9 | ||||||||
Other International | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long Lived Tangible Assets | $ 108.1 | $ 153.2 | $ 108.1 | $ 153.2 |
Segments (Revenue from External
Segments (Revenue from External Customers by Products and Services) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | |
Revenue from External Customer [Line Items] | |||||||||||
Net sales | $ 399.1 | $ 374.3 | $ 356.9 | $ 501.3 | $ 486.7 | $ 411.7 | $ 373.4 | $ 568.6 | $ 1,631.6 | $ 1,840.4 | $ 2,012.2 |
Alkaline batteries | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Net sales | 1,044.9 | 1,167.6 | 1,241 | ||||||||
Other batteries and lighting products | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Net sales | $ 586.7 | $ 672.8 | $ 771.2 |
Quarterly Financial Informat100
Quarterly Financial Information - (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions | Jul. 01, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2013 |
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Net sales | $ 399.1 | $ 374.3 | $ 356.9 | $ 501.3 | $ 486.7 | $ 411.7 | $ 373.4 | $ 568.6 | $ 1,631.6 | $ 1,840.4 | $ 2,012.2 | |
Gross profit | 183.1 | 170.8 | 168.5 | 233.8 | 234.7 | 192.3 | 161.8 | 261.6 | 756.2 | 850.4 | 901.9 | |
Net (loss)/earnings | $ 23.1 | $ (19.6) | $ (69.2) | $ 61.7 | $ 46.5 | $ 36.3 | $ 16.5 | $ 58 | $ (4) | $ 157.3 | $ 114.9 | |
Earnings Per Share | ||||||||||||
Basic net earnings per share (in dollars per share) | $ 0.37 | $ (0.32) | $ (1.11) | $ 0.99 | $ 0.75 | $ 0.58 | $ 0.27 | $ 0.93 | $ (0.06) | $ 2.53 | $ 1.85 | |
Diluted net earnings per share (in dollars per share) | $ 0.37 | $ (0.32) | $ (1.11) | $ 0.99 | $ 0.75 | $ 0.58 | $ 0.27 | $ 0.93 | $ (0.06) | $ 2.53 | $ 1.85 | |
Venezuela deconsolidation charge | $ 0 | $ 0 | $ 65.2 | $ 0 | $ 65.2 | $ 0 | $ 0 | |||||
Spin costs | 13.9 | 25 | 15.2 | 14.6 | ||||||||
Non-cash restructuring costs | 13.1 | 4.1 | 42.9 | |||||||||
Cost of early debt retirement | $ 26.7 | 0 | 16.7 | 0 | 0 | 26.7 | ||||||
Integration (2) | 0.2 | 0.3 | 0.4 | 0.3 | ||||||||
Adjustments to prior year tax accruals | (1.4) | (2.6) | 0 | 0 | ||||||||
Spin-off | ||||||||||||
Earnings Per Share | ||||||||||||
Non-cash restructuring costs | 2.8 | 7.9 | 15.6 | 0.7 | 39.1 | 0 | 0 | |||||
2013 restructuring | ||||||||||||
Earnings Per Share | ||||||||||||
Non-cash restructuring costs | $ (0.1) | $ 12.4 | $ 0.3 | $ (6.1) | $ 4.8 | $ 2.2 | $ 13.3 | $ 13.8 | $ 9.6 | $ 43.5 | $ 123.9 | |
Common Stock | ||||||||||||
Earnings Per Share | ||||||||||||
Common stock distributed, shares | 62,200,000 | 62,193,000 |