Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
May 31, 2016 | Jun. 24, 2016 | |
Entity Registrant Name | CONSTELLATION BRANDS, INC. | |
Entity Central Index Key | 16,918 | |
Document Type | 10-Q | |
Document Period End Date | May 31, 2016 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --02-28 | |
Entity Filer Category | Large Accelerated Filer | |
Class A Common Stock [Member] | ||
Entity Common Stock, Shares Outstanding | 177,154,409 | |
Class B Common Stock [Member] | ||
Entity Common Stock, Shares Outstanding | 23,352,727 | |
Class 1 Common Stock [Member] | ||
Entity Common Stock, Shares Outstanding | 2,000 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 167.3 | $ 83.1 |
Accounts receivable | 773.3 | 732.5 |
Inventories | 1,918.8 | 1,851.6 |
Prepaid expenses and other | 359.1 | 310.4 |
Total current assets | 3,218.5 | 2,977.6 |
Property, plant and equipment | 3,507.2 | 3,333.4 |
Goodwill | 7,350.2 | 7,138.6 |
Intangible assets | 3,440.4 | 3,403.8 |
Other assets | 113.7 | 111.6 |
Total assets | 17,630 | 16,965 |
Current liabilities: | ||
Notes payable to banks | 29.8 | 408.3 |
Current maturities of long-term debt | 1,587.8 | 856.7 |
Accounts payable | 558.5 | 429.3 |
Accrued excise taxes | 39.7 | 33.6 |
Other accrued expenses and liabilities | 482.9 | 544.4 |
Total current liabilities | 2,698.7 | 2,272.3 |
Long-term debt, less current maturities | 6,690.6 | 6,816.2 |
Deferred income taxes | 1,092.2 | 1,022.2 |
Other liabilities | 159.9 | 162.5 |
Total liabilities | $ 10,641.4 | $ 10,273.2 |
Commitments and contingencies | ||
CBI stockholders’ equity: | ||
Additional paid-in capital | $ 2,633.8 | $ 2,589 |
Retained earnings | 6,329.4 | 6,090.5 |
Accumulated other comprehensive loss | (456.5) | (452.5) |
Total stockholders’ equity before treasury stock adjustments | 8,509.6 | 8,229.9 |
Less: Treasury stock – | (1,661.6) | (1,670.3) |
Total CBI stockholders’ equity | 6,848 | 6,559.6 |
Noncontrolling interests | 140.6 | 132.2 |
Total stockholders’ equity | 6,988.6 | 6,691.8 |
Total liabilities and stockholders’ equity | 17,630 | 16,965 |
Class A Common Stock [Member] | ||
CBI stockholders’ equity: | ||
Common stock, value | 2.6 | 2.6 |
Less: Treasury stock – | (1,659.4) | (1,668.1) |
Class B Convertible Common Stock [Member] | ||
CBI stockholders’ equity: | ||
Common stock, value | 0.3 | 0.3 |
Less: Treasury stock – | $ (2.2) | $ (2.2) |
Consolidated Balance Sheets (U3
Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | May 31, 2016 | Feb. 29, 2016 |
Class A Common Stock [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 322,000,000 | 322,000,000 |
Common stock, shares issued | 256,230,269 | 255,558,026 |
Treasury stock, shares at cost | 79,081,611 | 79,454,011 |
Class B Convertible Common Stock [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 28,358,527 | 28,358,529 |
Treasury stock, shares at cost | 5,005,800 | 5,005,800 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Sales | $ 2,053 | $ 1,798 |
Less – excise taxes | (181.2) | (166.7) |
Net sales | 1,871.8 | 1,631.3 |
Cost of product sold | (990.5) | (894.2) |
Gross profit | 881.3 | 737.1 |
Selling, general and administrative expenses | (328.6) | (309.8) |
Operating income | 552.7 | 427.3 |
Equity in earnings of equity method investees | 0.7 | 1 |
Interest expense | (84.6) | (77.5) |
Income before income taxes | 468.8 | 350.8 |
Provision for income taxes | (149.7) | (110.6) |
Net income | 319.1 | 240.2 |
Net income attributable to noncontrolling interests | (0.8) | (1.6) |
Net income attributable to CBI | 318.3 | 238.6 |
Comprehensive income | 313.2 | 183.5 |
Comprehensive loss attributable to noncontrolling interests | 1.1 | 1.2 |
Comprehensive income attributable to CBI | 314.3 | 184.7 |
Class A Common Stock [Member] | ||
Net income attributable to CBI | $ 284.2 | $ 212.3 |
Net income per common share attributable to CBI: | ||
Net income per common share attributable to CBI, basic | $ 1.61 | $ 1.24 |
Net income per common share attributable to CBI, diluted | $ 1.55 | $ 1.18 |
Weighted average common shares outstanding: | ||
Weighted average common shares outstanding, basic | 176,542 | 171,370 |
Weighted average common shares outstanding, diluted | 205,367 | 202,855 |
Cash dividends declared per common share: | ||
Cash dividends declared per common share | $ 0.40 | $ 0.31 |
Class B Convertible Common Stock [Member] | ||
Net income attributable to CBI | $ 34.1 | $ 26.3 |
Net income per common share attributable to CBI: | ||
Net income per common share attributable to CBI, basic | $ 1.46 | $ 1.12 |
Net income per common share attributable to CBI, diluted | $ 1.43 | $ 1.09 |
Weighted average common shares outstanding: | ||
Weighted average common shares outstanding, basic | 23,353 | 23,376 |
Weighted average common shares outstanding, diluted | 23,353 | 23,376 |
Cash dividends declared per common share: | ||
Cash dividends declared per common share | $ 0.36 | $ 0.28 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Cash flows from operating activities: | ||
Net income | $ 319.1 | $ 240.2 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Deferred tax provision | 56 | 38.3 |
Depreciation | 55.8 | 43 |
Stock-based compensation | 16 | 12.3 |
Amortization of intangible assets | 4.2 | 11.7 |
Amortization of debt issuance costs | 3.2 | 3.2 |
Change in operating assets and liabilities, net of effects from purchase of business: | ||
Accounts receivable | (39) | (98.3) |
Inventories | (19) | 37 |
Prepaid expenses and other current assets | (31.6) | 0.6 |
Accounts payable | 55.9 | 21.1 |
Accrued excise taxes | 6 | 2.2 |
Other accrued expenses and liabilities | (75.4) | (105.2) |
Other | (5.3) | (0.4) |
Total adjustments | 26.8 | (34.5) |
Net cash provided by operating activities | 345.9 | 205.7 |
Cash flows from investing activities: | ||
Purchase of business | (284.9) | 0 |
Purchases of property, plant and equipment | (169.4) | (129.7) |
Other investing activities | 0.4 | (1.6) |
Net cash used in investing activities | (453.9) | (131.3) |
Cash flows from financing activities: | ||
Proceeds from issuance of long-term debt | 700 | 0 |
Excess tax benefits from stock-based payment awards | 68.8 | 63.6 |
Proceeds from shares issued under equity compensation plans | 15.9 | 9.6 |
Proceeds from noncontrolling interests | 9.5 | 0 |
Net proceeds from (repayments of) notes payable | (379.1) | 50.9 |
Principal payments of long-term debt | (94.2) | (79.4) |
Dividends paid | (79.3) | (59.8) |
Payments of minimum tax withholdings on stock-based payment awards | (45.5) | (38.3) |
Payments of debt issuance costs | (3.2) | 0 |
Purchases of treasury stock | (1) | 0 |
Net cash provided by (used in) financing activities | 191.9 | (53.4) |
Effect of exchange rate changes on cash and cash equivalents | 0.3 | (0.4) |
Net increase in cash and cash equivalents | 84.2 | 20.6 |
Cash and cash equivalents, beginning of period | 83.1 | 110.1 |
Cash and cash equivalents, end of period | 167.3 | 130.7 |
Supplemental disclosures of noncash investing and financing activities: | ||
Noncash additions to property, plant and equipment | $ 88 | $ 34.1 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
May 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION: Unless the context otherwise requires, the terms “Company,” “CBI,” “we,” “our,” or “us” refer to Constellation Brands, Inc. and its subsidiaries. We have prepared the consolidated financial statements included herein, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission applicable to quarterly reporting on Form 10-Q and reflect, in our opinion, all adjustments necessary to present fairly our financial information. All such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements, prepared in accordance with generally accepted accounting principles, have been condensed or omitted as permitted by such rules and regulations. These consolidated financial statements and related notes should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the fiscal year ended February 29, 2016 (the “2016 Annual Report”). Results of operations for interim periods are not necessarily indicative of annual results. |
Inventories
Inventories | 3 Months Ended |
May 31, 2016 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES: Inventories are stated at the lower of cost (primarily computed in accordance with the first-in, first-out method) or net realizable value. Elements of cost include materials, labor and overhead and consist of the following: May 31, February 29, (in millions ) Raw materials and supplies $ 118.4 $ 107.2 In-process inventories 1,157.1 1,218.7 Finished case goods 643.3 525.7 $ 1,918.8 $ 1,851.6 |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
May 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS | DERIVATIVE INSTRUMENTS: Overview – Our risk management and derivative accounting policies are presented in Notes 1 and 6 of our consolidated financial statements included in our 2016 Annual Report and have not changed significantly for the three months ended May 31, 2016 . The aggregate notional value of outstanding derivative instruments is as follows: May 31, February 29, (in millions ) Derivative instruments designated as hedging instruments Foreign currency contracts $ 847.4 $ 731.6 Interest rate swap contracts $ 700.0 $ 600.0 Derivative instruments not designated as hedging instruments Foreign currency contracts $ 2,346.1 $ 975.6 Commodity derivative contracts $ 186.9 $ 198.7 Interest rate swap contracts $ 1,000.0 $ 1,000.0 Credit risk – We are exposed to credit-related losses if the counterparties to our derivative contracts default. This credit risk is limited to the fair value of the derivative contracts. To manage this risk, we contract only with major financial institutions that have earned investment-grade credit ratings and with whom we have standard International Swaps and Derivatives Association agreements which allow for net settlement of the derivative contracts. We have also established counterparty credit guidelines that are regularly monitored. Because of these safeguards, we believe the risk of loss from counterparty default to be immaterial. In addition, our derivative instruments are not subject to credit rating contingencies or collateral requirements. As of May 31, 2016 , the estimated fair value of derivative instruments in a net liability position due to counterparties was $84.4 million . If we were required to settle the net liability position under these derivative instruments on May 31, 2016 , we would have had sufficient availability under our available liquidity on hand to satisfy this obligation. Results of period derivative activity – The estimated fair value and location of our derivative instruments on our balance sheets are as follows (see Note 4 ): Assets Liabilities May 31, February 29, May 31, February 29, (in millions) Derivative instruments designated as hedging instruments Foreign currency contracts: Prepaid expenses and other $ 4.5 $ 5.5 Other accrued expenses and liabilities $ 31.1 $ 33.0 Other assets $ 2.0 $ 1.2 Other liabilities $ 27.4 $ 26.2 Interest rate swap contracts: Other assets $ 0.9 $ 0.3 Other accrued expenses and liabilities $ 1.1 $ 1.5 Other liabilities $ 0.4 $ 0.4 Derivative instruments not designated as hedging instruments Foreign currency contracts: Prepaid expenses and other $ 2.6 $ 4.8 Other accrued expenses and liabilities $ 5.4 $ 9.8 Commodity derivative contracts: Prepaid expenses and other $ 1.6 $ 0.6 Other accrued expenses and liabilities $ 18.4 $ 29.3 Other assets $ 1.3 $ 0.3 Other liabilities $ 8.2 $ 16.8 Interest rate swap contracts: Prepaid expenses and other $ 0.8 $ 0.7 Other accrued expenses and liabilities $ 5.7 $ 5.7 The principal effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, as well as Other Comprehensive Income (“OCI”), net of income tax effect, is as follows: Derivative Instruments in Designated Cash Flow Hedging Relationships Net Gain (Loss) Recognized in OCI (Effective portion) Location of Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) (in millions) For the Three Months Ended May 31, 2016 Foreign currency contracts $ (2.3 ) Sales $ 0.1 Cost of product sold (5.0 ) Interest rate swap contracts 0.9 Interest expense (1.9 ) $ (1.4 ) $ (6.8 ) For the Three Months Ended May 31, 2015 Foreign currency contracts $ (6.9 ) Sales $ 0.6 Cost of product sold (3.5 ) Interest rate swap contracts (0.7 ) Interest expense (2.1 ) $ (7.6 ) $ (5.0 ) We expect $23.0 million of net losses, net of income tax effect, to be reclassified from accumulated other comprehensive income (loss) (“AOCI”) to our results of operations within the next 12 months. The effect of our undesignated derivative instruments on our results of operations is as follows: Derivative Instruments Not Designated as Hedging Instruments Location of Net Gain (Loss) Recognized in Income Net Gain (Loss) Recognized in Income (in millions) For the Three Months Ended May 31, 2016 Commodity derivative contracts Cost of product sold $ 13.1 Foreign currency contracts Selling, general and administrative expenses (10.5 ) $ 2.6 For the Three Months Ended May 31, 2015 Commodity derivative contracts Cost of product sold $ (5.2 ) Foreign currency contracts Selling, general and administrative expenses (4.1 ) $ (9.3 ) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 3 Months Ended |
May 31, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS: Authoritative guidance establishes a framework for measuring fair value and requires disclosures about fair value measurements for financial instruments. This guidance emphasizes that fair value is a market-based measurement, not an entity-specific measurement, and states that a fair value measurement should be determined based on assumptions that market participants would use in pricing an asset or liability. It establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. The hierarchy includes three levels: • Level 1 inputs are quoted prices in active markets for identical assets or liabilities; • Level 2 inputs include data points that are observable such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical assets or similar assets or liabilities in markets that are not active, and inputs (other than quoted prices) such as interest rates and yield curves that are observable for the asset and liability, either directly or indirectly; and • Level 3 inputs are unobservable data points for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. Fair value methodology and assumptions – The methods and assumptions we use to estimate the fair value for each class of our financial instruments are presented in Notes 1 and 7 of our consolidated financial statements included in our 2016 Annual Report and have not changed significantly for the three months ended May 31, 2016 . The carrying amounts of certain of our financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and notes payable to banks, approximate fair value as of May 31, 2016 , and February 29, 2016 , due to the relatively short maturity of these instruments. As of May 31, 2016 , the carrying amount of long-term debt, including the current portion, was $8,278.4 million , compared with an estimated fair value of $8,154.8 million . As of February 29, 2016 , the carrying amount of long-term debt, including the current portion, was $7,672.9 million , compared with an estimated fair value of $7,252.0 million . Recurring basis measurements – The following table presents our financial assets and liabilities measured at estimated fair value on a recurring basis: Fair Value Measurements Using Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (in millions) May 31, 2016 Assets: Foreign currency contracts $ — $ 9.1 $ — $ 9.1 Commodity derivative contracts $ — $ 2.9 $ — $ 2.9 Interest rate swap contracts $ — $ 1.7 $ — $ 1.7 Available-for-sale (“AFS”) debt securities $ — $ — $ 4.7 $ 4.7 Liabilities: Foreign currency contracts $ — $ 63.9 $ — $ 63.9 Commodity derivative contracts $ — $ 26.6 $ — $ 26.6 Interest rate swap contracts $ — $ 7.2 $ — $ 7.2 February 29, 2016 Assets: Foreign currency contracts $ — $ 11.5 $ — $ 11.5 Commodity derivative contracts $ — $ 0.9 $ — $ 0.9 Interest rate swap contracts $ — $ 1.0 $ — $ 1.0 AFS debt securities $ — $ — $ 4.6 $ 4.6 Liabilities: Foreign currency contracts $ — $ 69.0 $ — $ 69.0 Commodity derivative contracts $ — $ 46.1 $ — $ 46.1 Interest rate swap contracts $ — $ 7.6 $ — $ 7.6 |
Goodwill
Goodwill | 3 Months Ended |
May 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL | GOODWILL: The changes in the carrying amount of goodwill are as follows: Beer Wine and Spirits Consolidated (in millions) Balance, February 28, 2015 $ 3,776.2 $ 2,432.0 $ 6,208.2 Purchase accounting allocations (1) 761.8 203.3 965.1 Foreign currency translation adjustments (7.9 ) (26.8 ) (34.7 ) Balance, February 29, 2016 4,530.1 2,608.5 7,138.6 Purchase accounting allocations (2) (0.1 ) 204.8 204.7 Foreign currency translation adjustments (0.7 ) 7.6 6.9 Balance, May 31, 2016 $ 4,529.3 $ 2,820.9 $ 7,350.2 (1) Purchase accounting allocations associated with the acquisitions of Ballast Point (as defined below) (Beer) and Meiomi (as defined below) (Wine and Spirits). (2) Preliminary purchase accounting allocations associated primarily with the acquisition of Prisoner (as defined below) (Wine and Spirits). As of May 31, 2016 , and February 29, 2016 , we have accumulated impairment losses of $220.8 million and $213.5 million , respectively, within our Wine and Spirits segment. The change between periods is due to foreign currency translation adjustments. Prisoner – In April 2016, we acquired The Prisoner Wine Company business, consisting primarily of trademarks, related inventories and certain grape supply contracts, for $284.9 million (“Prisoner”). The results of operations of Prisoner are reported in the Wine and Spirits segment and have been included in our results of operations from the date of acquisition. Ballast Point – In December 2015, we acquired all of the issued and outstanding common and preferred stock of Home Brew Mart, Inc. d/b/a/ Ballast Point Brewing & Spirits (“Ballast Point”). The following table summarizes the allocation of the estimated fair value for the significant assets acquired: (in millions) Goodwill $ 761.7 Trademarks 222.8 Other 15.5 Total estimated fair value 1,000.0 Less – cash acquired (1.5 ) Purchase price $ 998.5 Goodwill associated with the acquisition is primarily attributable to the future growth opportunities associated with the acquisition of a high-growth premium platform that will enable us to compete in the fast-growing craft beer category, further strengthening our position in the high-end U.S. beer market. None of the goodwill recognized is expected to be deductible for income tax purposes. The results of operations of Ballast Point are reported in the Beer segment and have been included in our consolidated results of operations from the date of acquisition. Meiomi – In August 2015, we acquired the Meiomi wine business, consisting primarily of the trademark, related inventories and certain grape supply contracts, for $316.2 million (“Meiomi”). The results of operations of Meiomi are reported in the Wine and Spirits segment and have been included in our consolidated results of operations from the date of acquisition. |
Intangible Assets
Intangible Assets | 3 Months Ended |
May 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | INTANGIBLE ASSETS: The major components of intangible assets are as follows: May 31, 2016 February 29, 2016 Gross Carrying Amount Net Carrying Amount Gross Carrying Amount Net Carrying Amount ( in millions) Amortizable intangible assets Customer relationships $ 104.7 $ 60.8 $ 102.5 $ 60.2 Favorable interim supply agreement 68.3 — 68.3 2.2 Other 22.5 3.4 22.3 3.5 Total $ 195.5 64.2 $ 193.1 65.9 Nonamortizable intangible assets Trademarks 3,372.0 3,333.8 Other 4.2 4.1 Total 3,376.2 3,337.9 Total intangible assets $ 3,440.4 $ 3,403.8 We did not incur costs to renew or extend the term of acquired intangible assets for the three months ended May 31, 2016 , and May 31, 2015 . Net carrying amount represents the gross carrying value net of accumulated amortization. Amortization expense for intangible assets was $4.2 million and $11.7 million for the three months ended May 31, 2016 , and May 31, 2015 , respectively. Estimated amortization expense for the remaining nine months of fiscal 2017 and for each of the five succeeding fiscal years and thereafter is as follows: (in millions) 2017 $ 6.3 2018 $ 6.2 2019 $ 6.2 2020 $ 5.9 2021 $ 5.6 2022 $ 5.3 Thereafter $ 28.7 |
Borrowings
Borrowings | 3 Months Ended |
May 31, 2016 | |
Debt Disclosure [Abstract] | |
BORROWINGS | BORROWINGS: Borrowings consist of the following: May 31, 2016 February 29, Current Long-term Total Total ( in millions) Notes payable to banks Senior Credit Facility – Revolving Credit Loans $ — $ — $ — $ 92.0 Other 29.8 — 29.8 316.3 $ 29.8 $ — $ 29.8 $ 408.3 Long-term debt Senior Credit Facility – Term Loans $ 172.5 $ 3,347.8 $ 3,520.3 $ 2,856.8 Senior Notes 1,398.7 3,319.4 4,718.1 4,716.3 Other 16.6 23.4 40.0 99.8 $ 1,587.8 $ 6,690.6 $ 8,278.4 $ 7,672.9 Senior credit facility – In March 2016, the Company, CIH International S.à r.l., a wholly-owned indirect subsidiary of ours (“CIH”), CIH Holdings S.à r.l., a wholly-owned indirect subsidiary of ours (“CIHH”), Bank of America, N.A., as administrative agent (the “Administrative Agent”), and certain other lenders entered into a Restatement Agreement (the “2016 Restatement Agreement”) that amended and restated our prior senior credit facility (as amended and restated by the 2016 Restatement Agreement, the “2016 Credit Agreement”). The principal changes effected by the 2016 Restatement Agreement were: • The creation of a new $700.0 million European Term A-1 loan facility maturing on March 10, 2021; • An increase of the European revolving commitment under the revolving credit facility by $425.0 million to $1.0 billion ; • The addition of CIHH as a new borrower under the new European Term A-1 loan facility and the European revolving commitment; and • The entry into a cross-guarantee agreement by CIH and CIHH whereby each guarantees the other’s obligations under the 2016 Credit Agreement. In addition, the European obligations under the 2016 Credit Agreement are guaranteed by us and certain of our U.S. subsidiaries. These obligations are also secured by a pledge of (i) 100% of certain interests in certain of CIH’s subsidiaries, (ii) 100% of certain interests in certain of CIHH’s subsidiaries and (iii) 100% of the ownership interests in certain of our U.S. subsidiaries and 65% of the ownership interests in certain of our foreign subsidiaries. Proceeds from borrowings under the 2016 Credit Agreement were used to refinance outstanding obligations under our prior senior credit facility and short-term borrowings under our accounts receivable securitization facilities, and for other general corporate purposes. The 2016 Credit Agreement provides for aggregate credit facilities of $4,690.5 million , consisting of the following: Amount Maturity (in millions) Revolving Credit Facility (1) (2) $ 1,150.0 July 16, 2020 U.S. Term A Facility (1) (3) 1,223.9 July 16, 2020 U.S. Term A-1 Facility (1) (3) 240.1 July 16, 2021 European Term A Facility (1) (3) 1,376.5 July 16, 2020 European Term A-1 Facility (1) (3) 700.0 March 10, 2021 $ 4,690.5 (1) Contractual interest rate varies based on our debt ratio (as defined in the 2016 Credit Agreement) and is a function of LIBOR plus a margin, or the base rate plus a margin. (2) Provides for credit facilities consisting of a $150.0 million U.S. Revolving Credit Facility and a $1,000.0 million European Revolving Credit Facility. Includes two sub-facilities for letters of credit of up to $200.0 million in the aggregate. We are the borrower under the U.S. Revolving Credit Facility and we and/or CIH and/or CIHH are the borrowers under the European Revolving Credit Facility. (3) We are the borrower under the U.S. Term A and the U.S. Term A-1 loan facilities. CIH is the borrower under the European Term A loan facility. CIHH is the borrower under the European Term A-1 loan facility. As of May 31, 2016 , information with respect to borrowings under the 2016 Credit Agreement is as follows: Revolving Credit Facility U.S. Term A Facility (1) U.S. Term A-1 Facility (1) European Term A Facility (1) European Term A-1 Facility (1) (in millions) Outstanding borrowings $ — $ 1,215.0 $ 239.7 $ 1,368.9 $ 696.7 Interest rate — % 1.9 % 2.2 % 1.9 % 1.9 % Libor margin 1.5 % 1.5 % 1.75 % 1.5 % 1.5 % Outstanding letters of credit $ 17.0 Remaining borrowing capacity $ 1,133.0 (1) Outstanding term loan facility borrowings are net of unamortized debt issuance costs. As of May 31, 2016 , the required principal repayments of the term loans under the 2016 Credit Agreement (excluding unamortized debt issuance costs of $20.2 million ) for the remaining nine months of fiscal 2017 and for each of the five succeeding fiscal years are as follows: U.S. Term A Facility U.S. Term A-1 Facility European Term A Facility European Term A-1 Facility Total (in millions) 2017 $ 47.7 $ 1.8 $ 53.6 $ 26.3 $ 129.4 2018 63.6 2.4 71.5 35.0 172.5 2019 63.6 2.4 71.5 35.0 172.5 2020 63.6 2.4 71.5 35.0 172.5 2021 985.4 2.4 1,108.4 35.0 2,131.2 2022 — 228.7 — 533.7 762.4 $ 1,223.9 $ 240.1 $ 1,376.5 $ 700.0 $ 3,540.5 Interest rate swap contracts – In April 2012, we entered into interest rate swap agreements which fixed our interest rates on $500.0 million of our floating LIBOR rate debt at an average rate of 2.8% (exclusive of borrowing margins) through September 1, 2016. We have entered into $200.0 million of additional one-month LIBOR base rate delayed-start interest rate swap agreements effective September 1, 2016, which are designated as cash flow hedges for $200.0 million of our floating LIBOR rate debt. As a result, we have fixed our interest rates on $200.0 million of our floating LIBOR rate debt at an average rate of 1.1% (exclusive of borrowing margins) from September 1, 2016, through July 1, 2020. Accounts receivable securitization facilities – On September 28, 2015, we amended our prior trade accounts receivable securitization facility (as amended, the “CBI Facility”) for an additional 364 -day term. Under the CBI Facility, trade accounts receivable generated by us and certain of our subsidiaries are sold by us to a wholly-owned bankruptcy remote single purpose subsidiary, the CBI SPV, which is consolidated by us for financial reporting purposes. The CBI Facility provides borrowing capacity of $235.0 million up to $330.0 million structured to account for the seasonality of our business, subject to further limitations based upon various pre-agreed formulas. Also, on September 28, 2015, Crown Imports amended its prior trade accounts receivable securitization facility (as amended, the “Crown Facility”) for an additional 364 -day term. Under the Crown Facility, trade accounts receivable generated by Crown Imports are sold by Crown Imports to its wholly-owned bankruptcy remote single purpose subsidiary, the Crown SPV, which is consolidated by us for financial reporting purposes. The Crown Facility provides borrowing capacity of $100.0 million up to $190.0 million structured to account for the seasonality of Crown Imports’ business. As of May 31, 2016 , our accounts receivable securitization facilities are as follows: Outstanding Borrowings Weighted Average Interest Rate Remaining Borrowing Capacity (in millions) CBI Facility $ — — % $ 300.0 Crown Facility $ — — % $ 190.0 |
Income Taxes Income Taxes
Income Taxes Income Taxes | 3 Months Ended |
May 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES: Our effective tax rate for the three months ended May 31, 2016 , and May 31, 2015 , was 31.9% and 31.5% , respectively. Our effective tax rates for the three months ended May 31, 2016 , and May 31, 2015 , were lower than the federal statutory rate of 35% primarily due to lower effective tax rates applicable to our foreign businesses. Our effective tax rate for the three months ended May 31, 2015 , also benefited from a decrease in uncertain tax positions. During the three months ended August 31, 2015, the Internal Revenue Service (“IRS”) concluded its examination of our fiscal years ended February 28, 2010, and February 28, 2011. We received a Revenue Agent’s Report (“RAR”) from the IRS proposing tax assessments for those years. We disagree with certain assessments in this report and have submitted a written protest stating our formal disagreement with the conclusions presented in the RAR. We believe that our position will be successfully sustained. |
Net Income Per Common Share Att
Net Income Per Common Share Attributable to CBI | 3 Months Ended |
May 31, 2016 | |
Earnings Per Share [Abstract] | |
NET INCOME PER COMMON SHARE ATTRIBUTABLE TO CBI | NET INCOME PER COMMON SHARE ATTRIBUTABLE TO CBI: For the three months ended May 31, 2016 , and May 31, 2015 , net income per common share – diluted for Class A Common Stock has been computed using the if-converted method and assumes the exercise of stock options using the treasury stock method and the conversion of Class B Convertible Common Stock as this method is more dilutive than the two-class method. For the three months ended May 31, 2016 , and May 31, 2015 , net income per common share – diluted for Class B Convertible Common Stock has been computed using the two-class method and does not assume conversion of Class B Convertible Common Stock into shares of Class A Common Stock. The computation of basic and diluted net income per common share is as follows: For the Three Months Ended May 31, 2016 May 31, 2015 Common Stock Common Stock Class A Class B Class A Class B (in millions, except per share data) Net income attributable to CBI allocated – basic $ 284.2 $ 34.1 $ 212.3 $ 26.3 Conversion of Class B common shares into Class A common shares 34.1 — 26.3 — Effect of stock-based awards on allocated net income — (0.7 ) — (0.8 ) Net income attributable to CBI allocated – diluted $ 318.3 $ 33.4 $ 238.6 $ 25.5 Weighted average common shares outstanding – basic 176.542 23.353 171.370 23.376 Conversion of Class B common shares into Class A common shares 23.353 — 23.376 — Stock-based awards, primarily stock options 5.472 — 8.109 — Weighted average common shares outstanding – diluted 205.367 23.353 202.855 23.376 Net income per common share attributable to CBI – basic $ 1.61 $ 1.46 $ 1.24 $ 1.12 Net income per common share attributable to CBI – diluted $ 1.55 $ 1.43 $ 1.18 $ 1.09 |
Comprehensive Income Attributab
Comprehensive Income Attributable to CBI | 3 Months Ended |
May 31, 2016 | |
Equity [Abstract] | |
COMPREHENSIVE INCOME ATTRIBUTABLE TO CBI | COMPREHENSIVE INCOME ATTRIBUTABLE TO CBI: Comprehensive income consists of net income, foreign currency translation adjustments, net unrealized gains (losses) on derivative instruments, net unrealized gains (losses) on AFS debt securities and pension/postretirement adjustments. The reconciliation of net income attributable to CBI to comprehensive income attributable to CBI is as follows: Before Tax Amount Tax (Expense) Benefit Net of Tax Amount (in millions) For the Three Months Ended May 31, 2016 Net income attributable to CBI $ 318.3 Other comprehensive income (loss) attributable to CBI: Foreign currency translation adjustments: Net losses $ (7.4 ) $ (1.8 ) (9.2 ) Reclassification adjustments — — — Net loss recognized in other comprehensive loss (7.4 ) (1.8 ) (9.2 ) Unrealized loss on cash flow hedges: Net derivative losses (3.2 ) 1.8 (1.4 ) Reclassification adjustments 10.1 (3.4 ) 6.7 Net gain recognized in other comprehensive loss 6.9 (1.6 ) 5.3 Unrealized gain on AFS debt securities: Net AFS debt securities gains 0.1 — 0.1 Reclassification adjustments — — — Net gain recognized in other comprehensive loss 0.1 — 0.1 Pension/postretirement adjustments: Net actuarial losses (0.6 ) 0.2 (0.4 ) Reclassification adjustments 0.2 — 0.2 Net loss recognized in other comprehensive loss (0.4 ) 0.2 (0.2 ) Other comprehensive loss attributable to CBI $ (0.8 ) $ (3.2 ) (4.0 ) Comprehensive income attributable to CBI $ 314.3 Before Tax Amount Tax (Expense) Benefit Net of Tax Amount (in millions) For the Three Months Ended May 31, 2015 Net income attributable to CBI $ 238.6 Other comprehensive loss attributable to CBI: Foreign currency translation adjustments: Net losses $ (50.7 ) $ (0.6 ) (51.3 ) Reclassification adjustments — — — Net loss recognized in other comprehensive loss (50.7 ) (0.6 ) (51.3 ) Unrealized loss on cash flow hedges: Net derivative losses (10.5 ) 2.9 (7.6 ) Reclassification adjustments 7.6 (2.5 ) 5.1 Net loss recognized in other comprehensive loss (2.9 ) 0.4 (2.5 ) Unrealized loss on AFS debt securities: Net AFS debt securities losses (0.1 ) — (0.1 ) Reclassification adjustments — — — Net loss recognized in other comprehensive loss (0.1 ) — (0.1 ) Pension/postretirement adjustments: Net actuarial losses (0.1 ) — (0.1 ) Reclassification adjustments 0.1 — 0.1 Net loss recognized in other comprehensive loss — — — Other comprehensive loss attributable to CBI $ (53.7 ) $ (0.2 ) (53.9 ) Comprehensive income attributable to CBI $ 184.7 Accumulated other comprehensive loss, net of income tax effect, includes the following components: Foreign Currency Translation Adjustments Net Unrealized Losses on Derivative Instruments Net Unrealized Gains (Losses) on AFS Debt Securities Pension/ Postretirement Adjustments Accumulated Other Comprehensive Loss (in millions) Balance, February 29, 2016 $ (390.5 ) $ (46.1 ) $ (2.8 ) $ (13.1 ) $ (452.5 ) Other comprehensive income (loss): Other comprehensive income (loss) before reclassification adjustments (9.2 ) (1.4 ) 0.1 (0.4 ) (10.9 ) Amounts reclassified from accumulated other comprehensive loss — 6.7 — 0.2 6.9 Other comprehensive income (loss) (9.2 ) 5.3 0.1 (0.2 ) (4.0 ) Balance, May 31, 2016 $ (399.7 ) $ (40.8 ) $ (2.7 ) $ (13.3 ) $ (456.5 ) |
Condensed Consolidating Financi
Condensed Consolidating Financial Information | 3 Months Ended |
May 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
CONDENSED CONSOLIDATING FINANCIAL INFORMATION | CONDENSED CONSOLIDATING FINANCIAL INFORMATION: The following information sets forth the condensed consolidating balance sheets as of May 31, 2016 , and February 29, 2016 , the condensed consolidating statements of comprehensive income for the three months ended May 31, 2016 , and May 31, 2015 , and the condensed consolidating statements of cash flows for the three months ended May 31, 2016 , and May 31, 2015 , for the parent company, our combined subsidiaries which guarantee our senior notes (“Subsidiary Guarantors”), our combined subsidiaries which are not Subsidiary Guarantors (primarily foreign subsidiaries) (“Subsidiary Nonguarantors”) and the Company. The Subsidiary Guarantors are 100% owned, directly or indirectly, by the parent company and the guarantees are joint and several obligations of each of the Subsidiary Guarantors. The guarantees are full and unconditional, as those terms are used in Rule 3-10 of Regulation S-X, except that a Subsidiary Guarantor can be automatically released and relieved of its obligations under certain customary circumstances contained in the indentures governing our senior notes. These customary circumstances include, so long as other applicable provisions of the indentures are adhered to, the termination or release of a Subsidiary Guarantor’s guarantee of other indebtedness or upon the legal defeasance or covenant defeasance or satisfaction and discharge of our senior notes. Separate financial information for our Subsidiary Guarantors is not presented because we have determined that such financial information would not be material to investors. The accounting policies of the parent company, the Subsidiary Guarantors and the Subsidiary Nonguarantors are the same as those described for the Company in Note 1 of our consolidated financial statements included in our 2016 Annual Report. There are no restrictions on the ability of the Subsidiary Guarantors to transfer funds to us in the form of cash dividends, loans or advances. Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Balance Sheet at May 31, 2016 Current assets: Cash and cash equivalents $ 21.2 $ 6.9 $ 139.2 $ — $ 167.3 Accounts receivable 0.3 19.2 753.8 — 773.3 Inventories 157.5 1,520.7 400.5 (159.9 ) 1,918.8 Intercompany receivable 18,583.3 25,167.6 10,053.6 (53,804.5 ) — Prepaid expenses and other 38.4 65.7 276.8 (21.8 ) 359.1 Total current assets 18,800.7 26,780.1 11,623.9 (53,986.2 ) 3,218.5 Property, plant and equipment 62.3 880.6 2,564.3 — 3,507.2 Investments in subsidiaries 13,055.7 20.6 — (13,076.3 ) — Goodwill — 6,581.0 769.2 — 7,350.2 Intangible assets — 1,006.3 2,434.1 — 3,440.4 Intercompany notes receivable 5,044.3 86.9 270.0 (5,401.2 ) — Other assets 19.6 73.1 21.0 — 113.7 Total assets $ 36,982.6 $ 35,428.6 $ 17,682.5 $ (72,463.7 ) $ 17,630.0 Current liabilities: Notes payable to banks $ — $ — $ 29.8 $ — $ 29.8 Current maturities of long-term debt 1,464.7 16.0 107.1 — 1,587.8 Accounts payable 34.4 111.2 412.9 — 558.5 Accrued excise taxes 14.5 19.3 5.9 — 39.7 Intercompany payable 23,373.8 20,165.9 10,264.8 (53,804.5 ) — Other accrued expenses and liabilities 223.5 185.3 148.1 (74.0 ) 482.9 Total current liabilities 25,110.9 20,497.7 10,968.6 (53,878.5 ) 2,698.7 Long-term debt, less current maturities 4,708.1 22.4 1,960.1 — 6,690.6 Deferred income taxes 14.7 766.8 310.7 — 1,092.2 Intercompany notes payable 270.0 5,114.0 17.2 (5,401.2 ) — Other liabilities 30.9 34.0 95.0 — 159.9 Total liabilities 30,134.6 26,434.9 13,351.6 (59,279.7 ) 10,641.4 Total CBI stockholders’ equity 6,848.0 8,993.7 4,190.3 (13,184.0 ) 6,848.0 Noncontrolling interests — — 140.6 — 140.6 Total stockholders’ equity 6,848.0 8,993.7 4,330.9 (13,184.0 ) 6,988.6 Total liabilities and stockholders’ equity $ 36,982.6 $ 35,428.6 $ 17,682.5 $ (72,463.7 ) $ 17,630.0 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Balance Sheet at February 29, 2016 Current assets: Cash and cash equivalents $ 6.0 $ 4.2 $ 72.9 $ — $ 83.1 Accounts receivable 0.4 22.3 709.8 — 732.5 Inventories 151.6 1,483.5 344.0 (127.5 ) 1,851.6 Intercompany receivable 17,459.3 23,758.9 9,393.5 (50,611.7 ) — Prepaid expenses and other 29.6 67.8 281.1 (68.1 ) 310.4 Total current assets 17,646.9 25,336.7 10,801.3 (50,807.3 ) 2,977.6 Property, plant and equipment 63.2 879.8 2,390.4 — 3,333.4 Investments in subsidiaries 13,047.2 19.0 — (13,066.2 ) — Goodwill — 6,376.4 762.2 — 7,138.6 Intangible assets — 970.9 2,430.8 2.1 3,403.8 Intercompany notes receivable 4,705.9 86.6 — (4,792.5 ) — Other assets 20.0 69.6 22.0 — 111.6 Total assets $ 35,483.2 $ 33,739.0 $ 16,406.7 $ (68,663.9 ) $ 16,965.0 Current liabilities: Notes payable to banks $ — $ — $ 408.3 $ — $ 408.3 Current maturities of long-term debt 765.6 18.0 73.1 — 856.7 Accounts payable 37.7 100.7 290.9 — 429.3 Accrued excise taxes 14.7 14.7 4.2 — 33.6 Intercompany payable 22,293.3 19,018.6 9,299.8 (50,611.7 ) — Other accrued expenses and liabilities 349.1 185.1 119.4 (109.2 ) 544.4 Total current liabilities 23,460.4 19,337.1 10,195.7 (50,720.9 ) 2,272.3 Long-term debt, less current maturities 5,421.4 26.3 1,368.5 — 6,816.2 Deferred income taxes 11.9 734.8 275.5 — 1,022.2 Intercompany notes payable — 4,776.6 15.9 (4,792.5 ) — Other liabilities 29.9 39.1 93.5 — 162.5 Total liabilities 28,923.6 24,913.9 11,949.1 (55,513.4 ) 10,273.2 Total CBI stockholders’ equity 6,559.6 8,825.1 4,325.4 (13,150.5 ) 6,559.6 Noncontrolling interests — — 132.2 — 132.2 Total stockholders’ equity 6,559.6 8,825.1 4,457.6 (13,150.5 ) 6,691.8 Total liabilities and stockholders’ equity $ 35,483.2 $ 33,739.0 $ 16,406.7 $ (68,663.9 ) $ 16,965.0 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Comprehensive Income for the Three Months Ended May 31, 2016 Sales $ 623.7 $ 1,686.8 $ 966.1 $ (1,223.6 ) $ 2,053.0 Less – excise taxes (78.0 ) (86.9 ) (16.3 ) — (181.2 ) Net sales 545.7 1,599.9 949.8 (1,223.6 ) 1,871.8 Cost of product sold (451.4 ) (1,151.5 ) (564.8 ) 1,177.2 (990.5 ) Gross profit 94.3 448.4 385.0 (46.4 ) 881.3 Selling, general and administrative expenses (91.3 ) (193.1 ) (55.2 ) 11.0 (328.6 ) Operating income 3.0 255.3 329.8 (35.4 ) 552.7 Equity in earnings of equity method investees and subsidiaries 368.9 2.3 — (370.5 ) 0.7 Interest income 0.1 — 0.3 — 0.4 Intercompany interest income 57.4 73.3 — (130.7 ) — Interest expense (74.3 ) (0.4 ) (10.3 ) — (85.0 ) Intercompany interest expense (73.1 ) (57.4 ) (0.2 ) 130.7 — Income before income taxes 282.0 273.1 319.6 (405.9 ) 468.8 (Provision for) benefit from income taxes 36.3 (105.9 ) (91.5 ) 11.4 (149.7 ) Net income 318.3 167.2 228.1 (394.5 ) 319.1 Net income attributable to noncontrolling interests — — (0.8 ) — (0.8 ) Net income attributable to CBI $ 318.3 $ 167.2 $ 227.3 $ (394.5 ) $ 318.3 Comprehensive income attributable to CBI $ 314.3 $ 168.7 $ 221.5 $ (390.2 ) $ 314.3 Condensed Consolidating Statement of Comprehensive Income for the Three Months Ended May 31, 2015 Sales $ 558.6 $ 1,424.9 $ 825.2 $ (1,010.7 ) $ 1,798.0 Less – excise taxes (76.2 ) (75.1 ) (15.4 ) — (166.7 ) Net sales 482.4 1,349.8 809.8 (1,010.7 ) 1,631.3 Cost of product sold (390.8 ) (1,003.6 ) (486.1 ) 986.3 (894.2 ) Gross profit 91.6 346.2 323.7 (24.4 ) 737.1 Selling, general and administrative expenses (102.8 ) (177.2 ) (33.5 ) 3.7 (309.8 ) Operating income (loss) (11.2 ) 169.0 290.2 (20.7 ) 427.3 Equity in earnings of equity method investees and subsidiaries 304.2 2.2 0.2 (305.6 ) 1.0 Interest income 0.1 — 0.2 — 0.3 Intercompany interest income 45.8 63.9 — (109.7 ) — Interest expense (69.3 ) (0.3 ) (8.2 ) — (77.8 ) Intercompany interest expense (63.6 ) (45.9 ) (0.2 ) 109.7 — Income before income taxes 206.0 188.9 282.2 (326.3 ) 350.8 (Provision for) benefit from income taxes 32.6 (73.1 ) (76.7 ) 6.6 (110.6 ) Net income 238.6 115.8 205.5 (319.7 ) 240.2 Net income attributable to noncontrolling interests — — (1.6 ) — (1.6 ) Net income attributable to CBI $ 238.6 $ 115.8 $ 203.9 $ (319.7 ) $ 238.6 Comprehensive income attributable to CBI $ 184.7 $ 115.1 $ 149.6 $ (264.7 ) $ 184.7 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Three Months Ended May 31, 2016 Net cash provided by (used in) operating activities $ (221.8 ) $ 1.0 $ 566.7 $ — $ 345.9 Cash flows from investing activities: Purchase of business — (284.9 ) — — (284.9 ) Purchases of property, plant and equipment (4.1 ) (27.5 ) (137.8 ) — (169.4 ) Net repayments of intercompany notes (377.2 ) (0.1 ) — 377.3 — Net returns of capital from equity affiliates 354.8 — — (354.8 ) — Other investing activities 0.1 — 0.3 — 0.4 Net cash used in investing activities (26.4 ) (312.5 ) (137.5 ) 22.5 (453.9 ) Cash flows from financing activities: Dividends paid to parent company — — (357.0 ) 357.0 — Net contributions from equity affiliates — 0.1 2.1 (2.2 ) — Net proceeds from (repayments of) intercompany notes 275.5 362.6 (260.8 ) (377.3 ) — Proceeds from issuance of long-term debt — — 700.0 — 700.0 Excess tax benefits from stock-based payment awards 68.8 — — — 68.8 Proceeds from shares issued under equity compensation plans 15.9 — — — 15.9 Proceeds from noncontrolling interests — — 9.5 — 9.5 Net repayments of notes payable — — (379.1 ) — (379.1 ) Principal payments of long-term debt (16.5 ) (6.0 ) (71.7 ) — (94.2 ) Dividends paid (79.3 ) — — — (79.3 ) Payments of minimum tax withholdings on stock-based payment awards — (42.5 ) (3.0 ) — (45.5 ) Payments of debt issuance costs — — (3.2 ) — (3.2 ) Purchases of treasury stock (1.0 ) — — — (1.0 ) Net cash provided by (used in) financing activities 263.4 314.2 (363.2 ) (22.5 ) 191.9 Effect of exchange rate changes on cash and cash equivalents — — 0.3 — 0.3 Net increase in cash and cash equivalents 15.2 2.7 66.3 — 84.2 Cash and cash equivalents, beginning of period 6.0 4.2 72.9 — 83.1 Cash and cash equivalents, end of period $ 21.2 $ 6.9 $ 139.2 $ — $ 167.3 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Three Months Ended May 31, 2015 Net cash provided by (used in) operating activities $ (214.6 ) $ 213.1 $ 207.2 $ — $ 205.7 Cash flows from investing activities: Purchases of property, plant and equipment (2.9 ) (8.2 ) (118.6 ) — (129.7 ) Net proceeds from intercompany notes 205.1 — — (205.1 ) — Net investments in equity affiliates (279.9 ) — — 279.9 — Other investing activities — — (1.6 ) — (1.6 ) Net cash used in investing activities (77.7 ) (8.2 ) (120.2 ) 74.8 (131.3 ) Cash flows from financing activities: Net contributions from equity affiliates — 4.4 275.5 (279.9 ) — Net proceeds from (repayments of) intercompany notes 304.1 (168.8 ) (340.4 ) 205.1 — Excess tax benefits from stock-based payment awards 63.6 — — — 63.6 Proceeds from shares issued under equity compensation plans 9.6 — — — 9.6 Net proceeds from notes payable — — 50.9 — 50.9 Principal payments of long-term debt (15.8 ) (4.4 ) (59.2 ) — (79.4 ) Dividends paid (59.8 ) — — — (59.8 ) Payments of minimum tax withholdings on stock-based payment awards — (35.6 ) (2.7 ) — (38.3 ) Net cash provided by (used in) financing activities 301.7 (204.4 ) (75.9 ) (74.8 ) (53.4 ) Effect of exchange rate changes on cash and cash equivalents — — (0.4 ) — (0.4 ) Net increase in cash and cash equivalents 9.4 0.5 10.7 — 20.6 Cash and cash equivalents, beginning of period 24.5 0.7 84.9 — 110.1 Cash and cash equivalents, end of period $ 33.9 $ 1.2 $ 95.6 $ — $ 130.7 |
Business Segment Information
Business Segment Information | 3 Months Ended |
May 31, 2016 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENT INFORMATION | BUSINESS SEGMENT INFORMATION: Our internal management financial reporting consists of two business divisions: (i) Beer and (ii) Wine and Spirits, and we report our operating results in three segments: (i) Beer, (ii) Wine and Spirits, and (iii) Corporate Operations and Other. In the Beer segment, our portfolio consists of high-end imported and craft beer brands. We have an exclusive perpetual brand license to import, market and sell in the U.S. our Mexican beer portfolio. In the Wine and Spirits segment, we sell a large number of wine brands across all categories – table wine, sparkling wine and dessert wine – and across all price points – popular, premium and luxury categories, primarily within the $5 to $25 price range at U.S. retail – complemented by certain premium spirits brands. Amounts included in the Corporate Operations and Other segment consist of costs of executive management, corporate development, corporate finance, human resources, internal audit, investor relations, legal, public relations and information technology. The amounts included in the Corporate Operations and Other segment are general costs that are applicable to the consolidated group and are therefore not allocated to the other reportable segments. All costs reported within the Corporate Operations and Other segment are not included in our chief operating decision maker’s evaluation of the operating income performance of the other reportable segments. The business segments reflect how our operations are managed, how resources are allocated, how operating performance is evaluated by senior management and the structure of our internal financial reporting. In addition, management excludes items that affect comparability (“Comparable Adjustments”) from its evaluation of the results of each operating segment as these Comparable Adjustments are not reflective of core operations of the segments. Segment operating performance and segment management compensation are evaluated based upon core segment operating income (loss). As such, the performance measures for incentive compensation purposes for segment management do not include the impact of these items. We evaluate segment operating performance based on operating income (loss) of the respective business units. Comparable Adjustments that impacted comparability in our segment operating income (loss) for each period are as follows: For the Three Months Ended May 31, 2016 2015 (in millions) Cost of product sold Net gain (loss) on undesignated commodity derivative contracts $ 13.1 $ (5.2 ) Settlements of undesignated commodity derivative contracts 8.3 5.5 Flow through of inventory step-up (8.1 ) — Amortization of favorable interim supply agreement (2.2 ) (8.9 ) Total cost of product sold 11.1 (8.6 ) Selling, general and administrative expenses Costs associated with a potential initial public offering (3.7 ) — Transaction, integration and other acquisition-related costs (2.3 ) (5.3 ) Restructuring and related charges (1.1 ) (13.0 ) Total selling, general and administrative expenses (7.1 ) (18.3 ) Comparable Adjustments, Operating income (loss) $ 4.0 $ (26.9 ) The accounting policies of the segments are the same as those described for the Company in Note 1 of our consolidated financial statements included in our 2016 Annual Report. Segment information is as follows: For the Three Months Ended May 31, 2016 2015 (in millions) Beer Net sales $ 1,151.0 $ 965.8 Segment operating income $ 409.3 $ 336.5 Long-lived tangible assets $ 2,362.3 $ 1,570.7 Total assets $ 10,276.3 $ 8,409.2 Capital expenditures $ 145.0 $ 111.5 Depreciation and amortization $ 25.9 $ 14.3 For the Three Months Ended May 31, 2016 2015 (in millions) Wine and Spirits Net sales: Wine $ 643.1 $ 587.8 Spirits 77.7 77.7 Net sales $ 720.8 $ 665.5 Segment operating income $ 168.0 $ 144.2 Equity in earnings of equity method investees $ 0.8 $ 1.0 Long-lived tangible assets $ 1,035.3 $ 1,053.6 Investments in equity method investees $ 76.5 $ 73.7 Total assets $ 6,984.8 $ 6,425.1 Capital expenditures $ 12.5 $ 16.7 Depreciation and amortization $ 24.9 $ 24.2 Corporate Operations and Other Segment operating loss $ (28.6 ) $ (26.5 ) Equity in losses of equity method investees $ (0.1 ) $ — Long-lived tangible assets $ 109.6 $ 117.8 Investments in equity method investees $ 5.9 $ — Total assets $ 368.9 $ 364.3 Capital expenditures $ 11.9 $ 1.5 Depreciation and amortization $ 7.0 $ 7.3 Comparable Adjustments Operating income (loss) $ 4.0 $ (26.9 ) Depreciation and amortization $ 2.2 $ 8.9 Consolidated Net sales $ 1,871.8 $ 1,631.3 Operating income $ 552.7 $ 427.3 Equity in earnings of equity method investees $ 0.7 $ 1.0 Long-lived tangible assets $ 3,507.2 $ 2,742.1 Investments in equity method investees $ 82.4 $ 73.7 Total assets $ 17,630.0 $ 15,198.6 Capital expenditures $ 169.4 $ 129.7 Depreciation and amortization $ 60.0 $ 54.7 |
Accounting Guidance Not Yet Ado
Accounting Guidance Not Yet Adopted | 3 Months Ended |
May 31, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
ACCOUNTING GUIDANCE NOT YET ADOPTED | ACCOUNTING GUIDANCE NOT YET ADOPTED: Revenue recognition – In May 2014, the FASB issued guidance regarding the recognition of revenue from contracts with customers. Under this guidance, an entity will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. A five step process will be utilized to recognize revenue, as follows: (i) identify the contract with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract and (v) recognize revenue when (or as) the entity satisfies a performance obligation. Additionally, this guidance requires improved disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. We are required to adopt this guidance for our annual and interim periods beginning March 1, 2018, utilizing one of two methods: retrospective restatement for each reporting period presented at time of adoption, or retrospectively with the cumulative effect of initially applying this guidance recognized at the date of initial application. We are currently assessing the financial impact of this guidance on our consolidated financial statements. Leases – In February 2016, the FASB issued guidance for the accounting for leases. Under this guidance, a lessee will recognize assets and liabilities for most leases, but will recognize expense similar to current lease accounting guidance. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election not to recognize lease assets and lease liabilities. We are required to adopt this guidance for our annual and interim periods beginning March 1, 2019, using a modified retrospective approach. We are currently assessing the financial impact of this guidance on our consolidated financial statements. Stock compensation – In March 2016, the FASB issued guidance for the accounting for certain aspects of share-based payment transactions. The guidance requires, among other things, the recognition of the income tax effect of awards in the income statement when the awards vest or are settled, thereby eliminating the recording of the income tax effect in additional paid-in capital. The guidance also requires cash flows from excess tax benefits along with other income tax cash flows to be classified as cash flows from operating activities. We are required to adopt this guidance for our annual and interim periods beginning March 1, 2017. We are currently assessing the financial impact of this guidance on our consolidated financial statements. |
Accounting Guidance Not Yet A19
Accounting Guidance Not Yet Adopted (Policies) | 3 Months Ended |
May 31, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Revenue recognition | Revenue recognition – In May 2014, the FASB issued guidance regarding the recognition of revenue from contracts with customers. Under this guidance, an entity will recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. A five step process will be utilized to recognize revenue, as follows: (i) identify the contract with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract and (v) recognize revenue when (or as) the entity satisfies a performance obligation. Additionally, this guidance requires improved disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. We are required to adopt this guidance for our annual and interim periods beginning March 1, 2018, utilizing one of two methods: retrospective restatement for each reporting period presented at time of adoption, or retrospectively with the cumulative effect of initially applying this guidance recognized at the date of initial application. We are currently assessing the financial impact of this guidance on our consolidated financial statements. |
Leases | Leases – In February 2016, the FASB issued guidance for the accounting for leases. Under this guidance, a lessee will recognize assets and liabilities for most leases, but will recognize expense similar to current lease accounting guidance. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election not to recognize lease assets and lease liabilities. We are required to adopt this guidance for our annual and interim periods beginning March 1, 2019, using a modified retrospective approach. We are currently assessing the financial impact of this guidance on our consolidated financial statements. |
Stock compensation | Stock compensation – In March 2016, the FASB issued guidance for the accounting for certain aspects of share-based payment transactions. The guidance requires, among other things, the recognition of the income tax effect of awards in the income statement when the awards vest or are settled, thereby eliminating the recording of the income tax effect in additional paid-in capital. The guidance also requires cash flows from excess tax benefits along with other income tax cash flows to be classified as cash flows from operating activities. We are required to adopt this guidance for our annual and interim periods beginning March 1, 2017. We are currently assessing the financial impact of this guidance on our consolidated financial statements. |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
May 31, 2016 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories are stated at the lower of cost (primarily computed in accordance with the first-in, first-out method) or net realizable value. Elements of cost include materials, labor and overhead and consist of the following: May 31, February 29, (in millions ) Raw materials and supplies $ 118.4 $ 107.2 In-process inventories 1,157.1 1,218.7 Finished case goods 643.3 525.7 $ 1,918.8 $ 1,851.6 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 3 Months Ended |
May 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Aggregate notional value of outstanding derivative instruments | The aggregate notional value of outstanding derivative instruments is as follows: May 31, February 29, (in millions ) Derivative instruments designated as hedging instruments Foreign currency contracts $ 847.4 $ 731.6 Interest rate swap contracts $ 700.0 $ 600.0 Derivative instruments not designated as hedging instruments Foreign currency contracts $ 2,346.1 $ 975.6 Commodity derivative contracts $ 186.9 $ 198.7 Interest rate swap contracts $ 1,000.0 $ 1,000.0 |
Fair value and location of derivative instruments on our balance sheets | The estimated fair value and location of our derivative instruments on our balance sheets are as follows (see Note 4 ): Assets Liabilities May 31, February 29, May 31, February 29, (in millions) Derivative instruments designated as hedging instruments Foreign currency contracts: Prepaid expenses and other $ 4.5 $ 5.5 Other accrued expenses and liabilities $ 31.1 $ 33.0 Other assets $ 2.0 $ 1.2 Other liabilities $ 27.4 $ 26.2 Interest rate swap contracts: Other assets $ 0.9 $ 0.3 Other accrued expenses and liabilities $ 1.1 $ 1.5 Other liabilities $ 0.4 $ 0.4 Derivative instruments not designated as hedging instruments Foreign currency contracts: Prepaid expenses and other $ 2.6 $ 4.8 Other accrued expenses and liabilities $ 5.4 $ 9.8 Commodity derivative contracts: Prepaid expenses and other $ 1.6 $ 0.6 Other accrued expenses and liabilities $ 18.4 $ 29.3 Other assets $ 1.3 $ 0.3 Other liabilities $ 8.2 $ 16.8 Interest rate swap contracts: Prepaid expenses and other $ 0.8 $ 0.7 Other accrued expenses and liabilities $ 5.7 $ 5.7 |
Effect of derivative instruments on our results of operations | The effect of our undesignated derivative instruments on our results of operations is as follows: Derivative Instruments Not Designated as Hedging Instruments Location of Net Gain (Loss) Recognized in Income Net Gain (Loss) Recognized in Income (in millions) For the Three Months Ended May 31, 2016 Commodity derivative contracts Cost of product sold $ 13.1 Foreign currency contracts Selling, general and administrative expenses (10.5 ) $ 2.6 For the Three Months Ended May 31, 2015 Commodity derivative contracts Cost of product sold $ (5.2 ) Foreign currency contracts Selling, general and administrative expenses (4.1 ) $ (9.3 ) The principal effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, as well as Other Comprehensive Income (“OCI”), net of income tax effect, is as follows: Derivative Instruments in Designated Cash Flow Hedging Relationships Net Gain (Loss) Recognized in OCI (Effective portion) Location of Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) (in millions) For the Three Months Ended May 31, 2016 Foreign currency contracts $ (2.3 ) Sales $ 0.1 Cost of product sold (5.0 ) Interest rate swap contracts 0.9 Interest expense (1.9 ) $ (1.4 ) $ (6.8 ) For the Three Months Ended May 31, 2015 Foreign currency contracts $ (6.9 ) Sales $ 0.6 Cost of product sold (3.5 ) Interest rate swap contracts (0.7 ) Interest expense (2.1 ) $ (7.6 ) $ (5.0 ) |
Fair Value of Financial Instr22
Fair Value of Financial Instruments (Tables) | 3 Months Ended |
May 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Financial assets and liabilities measured at estimated fair value on a recurring basis | The following table presents our financial assets and liabilities measured at estimated fair value on a recurring basis: Fair Value Measurements Using Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (in millions) May 31, 2016 Assets: Foreign currency contracts $ — $ 9.1 $ — $ 9.1 Commodity derivative contracts $ — $ 2.9 $ — $ 2.9 Interest rate swap contracts $ — $ 1.7 $ — $ 1.7 Available-for-sale (“AFS”) debt securities $ — $ — $ 4.7 $ 4.7 Liabilities: Foreign currency contracts $ — $ 63.9 $ — $ 63.9 Commodity derivative contracts $ — $ 26.6 $ — $ 26.6 Interest rate swap contracts $ — $ 7.2 $ — $ 7.2 February 29, 2016 Assets: Foreign currency contracts $ — $ 11.5 $ — $ 11.5 Commodity derivative contracts $ — $ 0.9 $ — $ 0.9 Interest rate swap contracts $ — $ 1.0 $ — $ 1.0 AFS debt securities $ — $ — $ 4.6 $ 4.6 Liabilities: Foreign currency contracts $ — $ 69.0 $ — $ 69.0 Commodity derivative contracts $ — $ 46.1 $ — $ 46.1 Interest rate swap contracts $ — $ 7.6 $ — $ 7.6 |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
May 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in the carrying amount of goodwill | The changes in the carrying amount of goodwill are as follows: Beer Wine and Spirits Consolidated (in millions) Balance, February 28, 2015 $ 3,776.2 $ 2,432.0 $ 6,208.2 Purchase accounting allocations (1) 761.8 203.3 965.1 Foreign currency translation adjustments (7.9 ) (26.8 ) (34.7 ) Balance, February 29, 2016 4,530.1 2,608.5 7,138.6 Purchase accounting allocations (2) (0.1 ) 204.8 204.7 Foreign currency translation adjustments (0.7 ) 7.6 6.9 Balance, May 31, 2016 $ 4,529.3 $ 2,820.9 $ 7,350.2 (1) Purchase accounting allocations associated with the acquisitions of Ballast Point (as defined below) (Beer) and Meiomi (as defined below) (Wine and Spirits). (2) Preliminary purchase accounting allocations associated primarily with the acquisition of Prisoner (as defined below) (Wine and Spirits). |
Allocation of estimated fair value for significant assets acquired | The following table summarizes the allocation of the estimated fair value for the significant assets acquired: (in millions) Goodwill $ 761.7 Trademarks 222.8 Other 15.5 Total estimated fair value 1,000.0 Less – cash acquired (1.5 ) Purchase price $ 998.5 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 3 Months Ended |
May 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Major components of intangible assets | The major components of intangible assets are as follows: May 31, 2016 February 29, 2016 Gross Carrying Amount Net Carrying Amount Gross Carrying Amount Net Carrying Amount ( in millions) Amortizable intangible assets Customer relationships $ 104.7 $ 60.8 $ 102.5 $ 60.2 Favorable interim supply agreement 68.3 — 68.3 2.2 Other 22.5 3.4 22.3 3.5 Total $ 195.5 64.2 $ 193.1 65.9 Nonamortizable intangible assets Trademarks 3,372.0 3,333.8 Other 4.2 4.1 Total 3,376.2 3,337.9 Total intangible assets $ 3,440.4 $ 3,403.8 |
Estimated amortization expense | Estimated amortization expense for the remaining nine months of fiscal 2017 and for each of the five succeeding fiscal years and thereafter is as follows: (in millions) 2017 $ 6.3 2018 $ 6.2 2019 $ 6.2 2020 $ 5.9 2021 $ 5.6 2022 $ 5.3 Thereafter $ 28.7 |
Borrowings (Tables)
Borrowings (Tables) | 3 Months Ended |
May 31, 2016 | |
Debt Disclosure [Abstract] | |
Borrowings | As of May 31, 2016 , our accounts receivable securitization facilities are as follows: Outstanding Borrowings Weighted Average Interest Rate Remaining Borrowing Capacity (in millions) CBI Facility $ — — % $ 300.0 Crown Facility $ — — % $ 190.0 The 2016 Credit Agreement provides for aggregate credit facilities of $4,690.5 million , consisting of the following: Amount Maturity (in millions) Revolving Credit Facility (1) (2) $ 1,150.0 July 16, 2020 U.S. Term A Facility (1) (3) 1,223.9 July 16, 2020 U.S. Term A-1 Facility (1) (3) 240.1 July 16, 2021 European Term A Facility (1) (3) 1,376.5 July 16, 2020 European Term A-1 Facility (1) (3) 700.0 March 10, 2021 $ 4,690.5 (1) Contractual interest rate varies based on our debt ratio (as defined in the 2016 Credit Agreement) and is a function of LIBOR plus a margin, or the base rate plus a margin. (2) Provides for credit facilities consisting of a $150.0 million U.S. Revolving Credit Facility and a $1,000.0 million European Revolving Credit Facility. Includes two sub-facilities for letters of credit of up to $200.0 million in the aggregate. We are the borrower under the U.S. Revolving Credit Facility and we and/or CIH and/or CIHH are the borrowers under the European Revolving Credit Facility. (3) We are the borrower under the U.S. Term A and the U.S. Term A-1 loan facilities. CIH is the borrower under the European Term A loan facility. CIHH is the borrower under the European Term A-1 loan facility. As of May 31, 2016 , information with respect to borrowings under the 2016 Credit Agreement is as follows: Revolving Credit Facility U.S. Term A Facility (1) U.S. Term A-1 Facility (1) European Term A Facility (1) European Term A-1 Facility (1) (in millions) Outstanding borrowings $ — $ 1,215.0 $ 239.7 $ 1,368.9 $ 696.7 Interest rate — % 1.9 % 2.2 % 1.9 % 1.9 % Libor margin 1.5 % 1.5 % 1.75 % 1.5 % 1.5 % Outstanding letters of credit $ 17.0 Remaining borrowing capacity $ 1,133.0 (1) Outstanding term loan facility borrowings are net of unamortized debt issuance costs. Borrowings consist of the following: May 31, 2016 February 29, Current Long-term Total Total ( in millions) Notes payable to banks Senior Credit Facility – Revolving Credit Loans $ — $ — $ — $ 92.0 Other 29.8 — 29.8 316.3 $ 29.8 $ — $ 29.8 $ 408.3 Long-term debt Senior Credit Facility – Term Loans $ 172.5 $ 3,347.8 $ 3,520.3 $ 2,856.8 Senior Notes 1,398.7 3,319.4 4,718.1 4,716.3 Other 16.6 23.4 40.0 99.8 $ 1,587.8 $ 6,690.6 $ 8,278.4 $ 7,672.9 |
Required principal repayments under senior credit facility term loan obligations | As of May 31, 2016 , the required principal repayments of the term loans under the 2016 Credit Agreement (excluding unamortized debt issuance costs of $20.2 million ) for the remaining nine months of fiscal 2017 and for each of the five succeeding fiscal years are as follows: U.S. Term A Facility U.S. Term A-1 Facility European Term A Facility European Term A-1 Facility Total (in millions) 2017 $ 47.7 $ 1.8 $ 53.6 $ 26.3 $ 129.4 2018 63.6 2.4 71.5 35.0 172.5 2019 63.6 2.4 71.5 35.0 172.5 2020 63.6 2.4 71.5 35.0 172.5 2021 985.4 2.4 1,108.4 35.0 2,131.2 2022 — 228.7 — 533.7 762.4 $ 1,223.9 $ 240.1 $ 1,376.5 $ 700.0 $ 3,540.5 |
Net Income Per Common Share A26
Net Income Per Common Share Attributable to CBI (Tables) | 3 Months Ended |
May 31, 2016 | |
Earnings Per Share [Abstract] | |
Basic and diluted net income per common share attributable to CBI | The computation of basic and diluted net income per common share is as follows: For the Three Months Ended May 31, 2016 May 31, 2015 Common Stock Common Stock Class A Class B Class A Class B (in millions, except per share data) Net income attributable to CBI allocated – basic $ 284.2 $ 34.1 $ 212.3 $ 26.3 Conversion of Class B common shares into Class A common shares 34.1 — 26.3 — Effect of stock-based awards on allocated net income — (0.7 ) — (0.8 ) Net income attributable to CBI allocated – diluted $ 318.3 $ 33.4 $ 238.6 $ 25.5 Weighted average common shares outstanding – basic 176.542 23.353 171.370 23.376 Conversion of Class B common shares into Class A common shares 23.353 — 23.376 — Stock-based awards, primarily stock options 5.472 — 8.109 — Weighted average common shares outstanding – diluted 205.367 23.353 202.855 23.376 Net income per common share attributable to CBI – basic $ 1.61 $ 1.46 $ 1.24 $ 1.12 Net income per common share attributable to CBI – diluted $ 1.55 $ 1.43 $ 1.18 $ 1.09 |
Comprehensive Income Attribut27
Comprehensive Income Attributable to CBI (Tables) | 3 Months Ended |
May 31, 2016 | |
Equity [Abstract] | |
Reconciliation of net income attributable to CBI to comprehensive income attributable to CBI | The reconciliation of net income attributable to CBI to comprehensive income attributable to CBI is as follows: Before Tax Amount Tax (Expense) Benefit Net of Tax Amount (in millions) For the Three Months Ended May 31, 2016 Net income attributable to CBI $ 318.3 Other comprehensive income (loss) attributable to CBI: Foreign currency translation adjustments: Net losses $ (7.4 ) $ (1.8 ) (9.2 ) Reclassification adjustments — — — Net loss recognized in other comprehensive loss (7.4 ) (1.8 ) (9.2 ) Unrealized loss on cash flow hedges: Net derivative losses (3.2 ) 1.8 (1.4 ) Reclassification adjustments 10.1 (3.4 ) 6.7 Net gain recognized in other comprehensive loss 6.9 (1.6 ) 5.3 Unrealized gain on AFS debt securities: Net AFS debt securities gains 0.1 — 0.1 Reclassification adjustments — — — Net gain recognized in other comprehensive loss 0.1 — 0.1 Pension/postretirement adjustments: Net actuarial losses (0.6 ) 0.2 (0.4 ) Reclassification adjustments 0.2 — 0.2 Net loss recognized in other comprehensive loss (0.4 ) 0.2 (0.2 ) Other comprehensive loss attributable to CBI $ (0.8 ) $ (3.2 ) (4.0 ) Comprehensive income attributable to CBI $ 314.3 Before Tax Amount Tax (Expense) Benefit Net of Tax Amount (in millions) For the Three Months Ended May 31, 2015 Net income attributable to CBI $ 238.6 Other comprehensive loss attributable to CBI: Foreign currency translation adjustments: Net losses $ (50.7 ) $ (0.6 ) (51.3 ) Reclassification adjustments — — — Net loss recognized in other comprehensive loss (50.7 ) (0.6 ) (51.3 ) Unrealized loss on cash flow hedges: Net derivative losses (10.5 ) 2.9 (7.6 ) Reclassification adjustments 7.6 (2.5 ) 5.1 Net loss recognized in other comprehensive loss (2.9 ) 0.4 (2.5 ) Unrealized loss on AFS debt securities: Net AFS debt securities losses (0.1 ) — (0.1 ) Reclassification adjustments — — — Net loss recognized in other comprehensive loss (0.1 ) — (0.1 ) Pension/postretirement adjustments: Net actuarial losses (0.1 ) — (0.1 ) Reclassification adjustments 0.1 — 0.1 Net loss recognized in other comprehensive loss — — — Other comprehensive loss attributable to CBI $ (53.7 ) $ (0.2 ) (53.9 ) Comprehensive income attributable to CBI $ 184.7 |
Accumulated other comprehensive loss, net of income tax effect | Accumulated other comprehensive loss, net of income tax effect, includes the following components: Foreign Currency Translation Adjustments Net Unrealized Losses on Derivative Instruments Net Unrealized Gains (Losses) on AFS Debt Securities Pension/ Postretirement Adjustments Accumulated Other Comprehensive Loss (in millions) Balance, February 29, 2016 $ (390.5 ) $ (46.1 ) $ (2.8 ) $ (13.1 ) $ (452.5 ) Other comprehensive income (loss): Other comprehensive income (loss) before reclassification adjustments (9.2 ) (1.4 ) 0.1 (0.4 ) (10.9 ) Amounts reclassified from accumulated other comprehensive loss — 6.7 — 0.2 6.9 Other comprehensive income (loss) (9.2 ) 5.3 0.1 (0.2 ) (4.0 ) Balance, May 31, 2016 $ (399.7 ) $ (40.8 ) $ (2.7 ) $ (13.3 ) $ (456.5 ) |
Condensed Consolidating Finan28
Condensed Consolidating Financial Information (Tables) | 3 Months Ended |
May 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Balance Sheet | Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Balance Sheet at May 31, 2016 Current assets: Cash and cash equivalents $ 21.2 $ 6.9 $ 139.2 $ — $ 167.3 Accounts receivable 0.3 19.2 753.8 — 773.3 Inventories 157.5 1,520.7 400.5 (159.9 ) 1,918.8 Intercompany receivable 18,583.3 25,167.6 10,053.6 (53,804.5 ) — Prepaid expenses and other 38.4 65.7 276.8 (21.8 ) 359.1 Total current assets 18,800.7 26,780.1 11,623.9 (53,986.2 ) 3,218.5 Property, plant and equipment 62.3 880.6 2,564.3 — 3,507.2 Investments in subsidiaries 13,055.7 20.6 — (13,076.3 ) — Goodwill — 6,581.0 769.2 — 7,350.2 Intangible assets — 1,006.3 2,434.1 — 3,440.4 Intercompany notes receivable 5,044.3 86.9 270.0 (5,401.2 ) — Other assets 19.6 73.1 21.0 — 113.7 Total assets $ 36,982.6 $ 35,428.6 $ 17,682.5 $ (72,463.7 ) $ 17,630.0 Current liabilities: Notes payable to banks $ — $ — $ 29.8 $ — $ 29.8 Current maturities of long-term debt 1,464.7 16.0 107.1 — 1,587.8 Accounts payable 34.4 111.2 412.9 — 558.5 Accrued excise taxes 14.5 19.3 5.9 — 39.7 Intercompany payable 23,373.8 20,165.9 10,264.8 (53,804.5 ) — Other accrued expenses and liabilities 223.5 185.3 148.1 (74.0 ) 482.9 Total current liabilities 25,110.9 20,497.7 10,968.6 (53,878.5 ) 2,698.7 Long-term debt, less current maturities 4,708.1 22.4 1,960.1 — 6,690.6 Deferred income taxes 14.7 766.8 310.7 — 1,092.2 Intercompany notes payable 270.0 5,114.0 17.2 (5,401.2 ) — Other liabilities 30.9 34.0 95.0 — 159.9 Total liabilities 30,134.6 26,434.9 13,351.6 (59,279.7 ) 10,641.4 Total CBI stockholders’ equity 6,848.0 8,993.7 4,190.3 (13,184.0 ) 6,848.0 Noncontrolling interests — — 140.6 — 140.6 Total stockholders’ equity 6,848.0 8,993.7 4,330.9 (13,184.0 ) 6,988.6 Total liabilities and stockholders’ equity $ 36,982.6 $ 35,428.6 $ 17,682.5 $ (72,463.7 ) $ 17,630.0 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Balance Sheet at February 29, 2016 Current assets: Cash and cash equivalents $ 6.0 $ 4.2 $ 72.9 $ — $ 83.1 Accounts receivable 0.4 22.3 709.8 — 732.5 Inventories 151.6 1,483.5 344.0 (127.5 ) 1,851.6 Intercompany receivable 17,459.3 23,758.9 9,393.5 (50,611.7 ) — Prepaid expenses and other 29.6 67.8 281.1 (68.1 ) 310.4 Total current assets 17,646.9 25,336.7 10,801.3 (50,807.3 ) 2,977.6 Property, plant and equipment 63.2 879.8 2,390.4 — 3,333.4 Investments in subsidiaries 13,047.2 19.0 — (13,066.2 ) — Goodwill — 6,376.4 762.2 — 7,138.6 Intangible assets — 970.9 2,430.8 2.1 3,403.8 Intercompany notes receivable 4,705.9 86.6 — (4,792.5 ) — Other assets 20.0 69.6 22.0 — 111.6 Total assets $ 35,483.2 $ 33,739.0 $ 16,406.7 $ (68,663.9 ) $ 16,965.0 Current liabilities: Notes payable to banks $ — $ — $ 408.3 $ — $ 408.3 Current maturities of long-term debt 765.6 18.0 73.1 — 856.7 Accounts payable 37.7 100.7 290.9 — 429.3 Accrued excise taxes 14.7 14.7 4.2 — 33.6 Intercompany payable 22,293.3 19,018.6 9,299.8 (50,611.7 ) — Other accrued expenses and liabilities 349.1 185.1 119.4 (109.2 ) 544.4 Total current liabilities 23,460.4 19,337.1 10,195.7 (50,720.9 ) 2,272.3 Long-term debt, less current maturities 5,421.4 26.3 1,368.5 — 6,816.2 Deferred income taxes 11.9 734.8 275.5 — 1,022.2 Intercompany notes payable — 4,776.6 15.9 (4,792.5 ) — Other liabilities 29.9 39.1 93.5 — 162.5 Total liabilities 28,923.6 24,913.9 11,949.1 (55,513.4 ) 10,273.2 Total CBI stockholders’ equity 6,559.6 8,825.1 4,325.4 (13,150.5 ) 6,559.6 Noncontrolling interests — — 132.2 — 132.2 Total stockholders’ equity 6,559.6 8,825.1 4,457.6 (13,150.5 ) 6,691.8 Total liabilities and stockholders’ equity $ 35,483.2 $ 33,739.0 $ 16,406.7 $ (68,663.9 ) $ 16,965.0 |
Condensed Consolidating Statement of Comprehensive Income | Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Comprehensive Income for the Three Months Ended May 31, 2016 Sales $ 623.7 $ 1,686.8 $ 966.1 $ (1,223.6 ) $ 2,053.0 Less – excise taxes (78.0 ) (86.9 ) (16.3 ) — (181.2 ) Net sales 545.7 1,599.9 949.8 (1,223.6 ) 1,871.8 Cost of product sold (451.4 ) (1,151.5 ) (564.8 ) 1,177.2 (990.5 ) Gross profit 94.3 448.4 385.0 (46.4 ) 881.3 Selling, general and administrative expenses (91.3 ) (193.1 ) (55.2 ) 11.0 (328.6 ) Operating income 3.0 255.3 329.8 (35.4 ) 552.7 Equity in earnings of equity method investees and subsidiaries 368.9 2.3 — (370.5 ) 0.7 Interest income 0.1 — 0.3 — 0.4 Intercompany interest income 57.4 73.3 — (130.7 ) — Interest expense (74.3 ) (0.4 ) (10.3 ) — (85.0 ) Intercompany interest expense (73.1 ) (57.4 ) (0.2 ) 130.7 — Income before income taxes 282.0 273.1 319.6 (405.9 ) 468.8 (Provision for) benefit from income taxes 36.3 (105.9 ) (91.5 ) 11.4 (149.7 ) Net income 318.3 167.2 228.1 (394.5 ) 319.1 Net income attributable to noncontrolling interests — — (0.8 ) — (0.8 ) Net income attributable to CBI $ 318.3 $ 167.2 $ 227.3 $ (394.5 ) $ 318.3 Comprehensive income attributable to CBI $ 314.3 $ 168.7 $ 221.5 $ (390.2 ) $ 314.3 Condensed Consolidating Statement of Comprehensive Income for the Three Months Ended May 31, 2015 Sales $ 558.6 $ 1,424.9 $ 825.2 $ (1,010.7 ) $ 1,798.0 Less – excise taxes (76.2 ) (75.1 ) (15.4 ) — (166.7 ) Net sales 482.4 1,349.8 809.8 (1,010.7 ) 1,631.3 Cost of product sold (390.8 ) (1,003.6 ) (486.1 ) 986.3 (894.2 ) Gross profit 91.6 346.2 323.7 (24.4 ) 737.1 Selling, general and administrative expenses (102.8 ) (177.2 ) (33.5 ) 3.7 (309.8 ) Operating income (loss) (11.2 ) 169.0 290.2 (20.7 ) 427.3 Equity in earnings of equity method investees and subsidiaries 304.2 2.2 0.2 (305.6 ) 1.0 Interest income 0.1 — 0.2 — 0.3 Intercompany interest income 45.8 63.9 — (109.7 ) — Interest expense (69.3 ) (0.3 ) (8.2 ) — (77.8 ) Intercompany interest expense (63.6 ) (45.9 ) (0.2 ) 109.7 — Income before income taxes 206.0 188.9 282.2 (326.3 ) 350.8 (Provision for) benefit from income taxes 32.6 (73.1 ) (76.7 ) 6.6 (110.6 ) Net income 238.6 115.8 205.5 (319.7 ) 240.2 Net income attributable to noncontrolling interests — — (1.6 ) — (1.6 ) Net income attributable to CBI $ 238.6 $ 115.8 $ 203.9 $ (319.7 ) $ 238.6 Comprehensive income attributable to CBI $ 184.7 $ 115.1 $ 149.6 $ (264.7 ) $ 184.7 |
Condensed Consolidating Statement of Cash Flows | Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Three Months Ended May 31, 2016 Net cash provided by (used in) operating activities $ (221.8 ) $ 1.0 $ 566.7 $ — $ 345.9 Cash flows from investing activities: Purchase of business — (284.9 ) — — (284.9 ) Purchases of property, plant and equipment (4.1 ) (27.5 ) (137.8 ) — (169.4 ) Net repayments of intercompany notes (377.2 ) (0.1 ) — 377.3 — Net returns of capital from equity affiliates 354.8 — — (354.8 ) — Other investing activities 0.1 — 0.3 — 0.4 Net cash used in investing activities (26.4 ) (312.5 ) (137.5 ) 22.5 (453.9 ) Cash flows from financing activities: Dividends paid to parent company — — (357.0 ) 357.0 — Net contributions from equity affiliates — 0.1 2.1 (2.2 ) — Net proceeds from (repayments of) intercompany notes 275.5 362.6 (260.8 ) (377.3 ) — Proceeds from issuance of long-term debt — — 700.0 — 700.0 Excess tax benefits from stock-based payment awards 68.8 — — — 68.8 Proceeds from shares issued under equity compensation plans 15.9 — — — 15.9 Proceeds from noncontrolling interests — — 9.5 — 9.5 Net repayments of notes payable — — (379.1 ) — (379.1 ) Principal payments of long-term debt (16.5 ) (6.0 ) (71.7 ) — (94.2 ) Dividends paid (79.3 ) — — — (79.3 ) Payments of minimum tax withholdings on stock-based payment awards — (42.5 ) (3.0 ) — (45.5 ) Payments of debt issuance costs — — (3.2 ) — (3.2 ) Purchases of treasury stock (1.0 ) — — — (1.0 ) Net cash provided by (used in) financing activities 263.4 314.2 (363.2 ) (22.5 ) 191.9 Effect of exchange rate changes on cash and cash equivalents — — 0.3 — 0.3 Net increase in cash and cash equivalents 15.2 2.7 66.3 — 84.2 Cash and cash equivalents, beginning of period 6.0 4.2 72.9 — 83.1 Cash and cash equivalents, end of period $ 21.2 $ 6.9 $ 139.2 $ — $ 167.3 Parent Company Subsidiary Guarantors Subsidiary Nonguarantors Eliminations Consolidated (in millions) Condensed Consolidating Statement of Cash Flows for the Three Months Ended May 31, 2015 Net cash provided by (used in) operating activities $ (214.6 ) $ 213.1 $ 207.2 $ — $ 205.7 Cash flows from investing activities: Purchases of property, plant and equipment (2.9 ) (8.2 ) (118.6 ) — (129.7 ) Net proceeds from intercompany notes 205.1 — — (205.1 ) — Net investments in equity affiliates (279.9 ) — — 279.9 — Other investing activities — — (1.6 ) — (1.6 ) Net cash used in investing activities (77.7 ) (8.2 ) (120.2 ) 74.8 (131.3 ) Cash flows from financing activities: Net contributions from equity affiliates — 4.4 275.5 (279.9 ) — Net proceeds from (repayments of) intercompany notes 304.1 (168.8 ) (340.4 ) 205.1 — Excess tax benefits from stock-based payment awards 63.6 — — — 63.6 Proceeds from shares issued under equity compensation plans 9.6 — — — 9.6 Net proceeds from notes payable — — 50.9 — 50.9 Principal payments of long-term debt (15.8 ) (4.4 ) (59.2 ) — (79.4 ) Dividends paid (59.8 ) — — — (59.8 ) Payments of minimum tax withholdings on stock-based payment awards — (35.6 ) (2.7 ) — (38.3 ) Net cash provided by (used in) financing activities 301.7 (204.4 ) (75.9 ) (74.8 ) (53.4 ) Effect of exchange rate changes on cash and cash equivalents — — (0.4 ) — (0.4 ) Net increase in cash and cash equivalents 9.4 0.5 10.7 — 20.6 Cash and cash equivalents, beginning of period 24.5 0.7 84.9 — 110.1 Cash and cash equivalents, end of period $ 33.9 $ 1.2 $ 95.6 $ — $ 130.7 |
Business Segment Information (T
Business Segment Information (Tables) | 3 Months Ended |
May 31, 2016 | |
Segment Reporting [Abstract] | |
Comparable adjustments | Comparable Adjustments that impacted comparability in our segment operating income (loss) for each period are as follows: For the Three Months Ended May 31, 2016 2015 (in millions) Cost of product sold Net gain (loss) on undesignated commodity derivative contracts $ 13.1 $ (5.2 ) Settlements of undesignated commodity derivative contracts 8.3 5.5 Flow through of inventory step-up (8.1 ) — Amortization of favorable interim supply agreement (2.2 ) (8.9 ) Total cost of product sold 11.1 (8.6 ) Selling, general and administrative expenses Costs associated with a potential initial public offering (3.7 ) — Transaction, integration and other acquisition-related costs (2.3 ) (5.3 ) Restructuring and related charges (1.1 ) (13.0 ) Total selling, general and administrative expenses (7.1 ) (18.3 ) Comparable Adjustments, Operating income (loss) $ 4.0 $ (26.9 ) |
Segment information | Segment information is as follows: For the Three Months Ended May 31, 2016 2015 (in millions) Beer Net sales $ 1,151.0 $ 965.8 Segment operating income $ 409.3 $ 336.5 Long-lived tangible assets $ 2,362.3 $ 1,570.7 Total assets $ 10,276.3 $ 8,409.2 Capital expenditures $ 145.0 $ 111.5 Depreciation and amortization $ 25.9 $ 14.3 For the Three Months Ended May 31, 2016 2015 (in millions) Wine and Spirits Net sales: Wine $ 643.1 $ 587.8 Spirits 77.7 77.7 Net sales $ 720.8 $ 665.5 Segment operating income $ 168.0 $ 144.2 Equity in earnings of equity method investees $ 0.8 $ 1.0 Long-lived tangible assets $ 1,035.3 $ 1,053.6 Investments in equity method investees $ 76.5 $ 73.7 Total assets $ 6,984.8 $ 6,425.1 Capital expenditures $ 12.5 $ 16.7 Depreciation and amortization $ 24.9 $ 24.2 Corporate Operations and Other Segment operating loss $ (28.6 ) $ (26.5 ) Equity in losses of equity method investees $ (0.1 ) $ — Long-lived tangible assets $ 109.6 $ 117.8 Investments in equity method investees $ 5.9 $ — Total assets $ 368.9 $ 364.3 Capital expenditures $ 11.9 $ 1.5 Depreciation and amortization $ 7.0 $ 7.3 Comparable Adjustments Operating income (loss) $ 4.0 $ (26.9 ) Depreciation and amortization $ 2.2 $ 8.9 Consolidated Net sales $ 1,871.8 $ 1,631.3 Operating income $ 552.7 $ 427.3 Equity in earnings of equity method investees $ 0.7 $ 1.0 Long-lived tangible assets $ 3,507.2 $ 2,742.1 Investments in equity method investees $ 82.4 $ 73.7 Total assets $ 17,630.0 $ 15,198.6 Capital expenditures $ 169.4 $ 129.7 Depreciation and amortization $ 60.0 $ 54.7 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 |
Inventories | ||
Raw materials and supplies | $ 118.4 | $ 107.2 |
In-process inventories | 1,157.1 | 1,218.7 |
Finished case goods | 643.3 | 525.7 |
Total | $ 1,918.8 | $ 1,851.6 |
Derivative Instruments (Details
Derivative Instruments (Details) - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 |
Designated as hedging instrument [Member] | Foreign currency contracts [Member] | ||
Derivative [Line Items] | ||
Aggregate notional value of derivative instruments | $ 847.4 | $ 731.6 |
Designated as hedging instrument [Member] | Interest rate swap contracts [Member] | ||
Derivative [Line Items] | ||
Aggregate notional value of derivative instruments | 700 | 600 |
Not designated as hedging instrument [Member] | Foreign currency contracts [Member] | ||
Derivative [Line Items] | ||
Aggregate notional value of derivative instruments | 2,346.1 | 975.6 |
Not designated as hedging instrument [Member] | Interest rate swap contracts [Member] | ||
Derivative [Line Items] | ||
Aggregate notional value of derivative instruments | 1,000 | 1,000 |
Not designated as hedging instrument [Member] | Commodity derivative contracts [Member] | ||
Derivative [Line Items] | ||
Aggregate notional value of derivative instruments | $ 186.9 | $ 198.7 |
Derivative Instruments (Detai32
Derivative Instruments (Details 1) - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 |
Designated as hedging instrument [Member] | Foreign currency contracts [Member] | Prepaid expenses and other [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Foreign currency contracts, Assets | $ 4.5 | $ 5.5 |
Designated as hedging instrument [Member] | Foreign currency contracts [Member] | Other accrued expenses and liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Foreign currency contracts, Liabilities | 31.1 | 33 |
Designated as hedging instrument [Member] | Foreign currency contracts [Member] | Other assets [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Foreign currency contracts, Assets | 2 | 1.2 |
Designated as hedging instrument [Member] | Foreign currency contracts [Member] | Other liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Foreign currency contracts, Liabilities | 27.4 | 26.2 |
Designated as hedging instrument [Member] | Interest rate swap contracts [Member] | Other accrued expenses and liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Interest rate swap contracts, Liabilities | 1.1 | 1.5 |
Designated as hedging instrument [Member] | Interest rate swap contracts [Member] | Other assets [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Interest rate swap contracts, Assets | 0.9 | 0.3 |
Designated as hedging instrument [Member] | Interest rate swap contracts [Member] | Other liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Interest rate swap contracts, Liabilities | 0.4 | 0.4 |
Not designated as hedging instrument [Member] | Foreign currency contracts [Member] | Prepaid expenses and other [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Foreign currency contracts, Assets | 2.6 | 4.8 |
Not designated as hedging instrument [Member] | Foreign currency contracts [Member] | Other accrued expenses and liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Foreign currency contracts, Liabilities | 5.4 | 9.8 |
Not designated as hedging instrument [Member] | Interest rate swap contracts [Member] | Prepaid expenses and other [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Interest rate swap contracts, Assets | 0.8 | 0.7 |
Not designated as hedging instrument [Member] | Interest rate swap contracts [Member] | Other accrued expenses and liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Interest rate swap contracts, Liabilities | 5.7 | 5.7 |
Not designated as hedging instrument [Member] | Commodity derivative contracts [Member] | Prepaid expenses and other [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Commodity derivative contracts, Assets | 1.6 | 0.6 |
Not designated as hedging instrument [Member] | Commodity derivative contracts [Member] | Other accrued expenses and liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Commodity derivative contracts, Liabilities | 18.4 | 29.3 |
Not designated as hedging instrument [Member] | Commodity derivative contracts [Member] | Other assets [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Commodity derivative contracts, Assets | 1.3 | 0.3 |
Not designated as hedging instrument [Member] | Commodity derivative contracts [Member] | Other liabilities [Member] | ||
Fair value and location of our derivative instruments on our balance sheets | ||
Commodity derivative contracts, Liabilities | $ 8.2 | $ 16.8 |
Derivative Instruments (Detai33
Derivative Instruments (Details 2) - USD ($) $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Effect of our undesignated derivative instruments on our results of operations | ||
Net Gain (Loss) Recognized in Income | $ 2.6 | $ (9.3) |
Foreign currency contracts [Member] | Selling, general and administrative expenses [Member] | ||
Effect of our undesignated derivative instruments on our results of operations | ||
Net Gain (Loss) Recognized in Income | (10.5) | (4.1) |
Commodity derivative contracts [Member] | Cost of product sold [Member] | ||
Effect of our undesignated derivative instruments on our results of operations | ||
Net Gain (Loss) Recognized in Income | 13.1 | (5.2) |
Cash flow hedging [Member] | ||
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect | ||
Net Gain (Loss) Recognized in OCI (Effective portion) | (1.4) | (7.6) |
Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) | (6.8) | (5) |
Cash flow hedging [Member] | Foreign currency contracts [Member] | ||
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect | ||
Net Gain (Loss) Recognized in OCI (Effective portion) | (2.3) | (6.9) |
Cash flow hedging [Member] | Foreign currency contracts [Member] | Sales [Member] | ||
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect | ||
Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) | 0.1 | 0.6 |
Cash flow hedging [Member] | Foreign currency contracts [Member] | Cost of product sold [Member] | ||
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect | ||
Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) | (5) | (3.5) |
Cash flow hedging [Member] | Interest rate swap contracts [Member] | ||
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect | ||
Net Gain (Loss) Recognized in OCI (Effective portion) | 0.9 | (0.7) |
Cash flow hedging [Member] | Interest rate swap contracts [Member] | Interest expense [Member] | ||
Effect of our derivative instruments designated in cash flow hedging relationships on our results of operations, net of income tax effect | ||
Net Gain (Loss) Reclassified from AOCI to Income (Effective portion) | $ (1.9) | $ (2.1) |
Derivative Instruments (Detai34
Derivative Instruments (Details Textual) $ in Millions | 3 Months Ended |
May 31, 2016USD ($) | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair value of derivative instruments in a net liability position due to counterparties | $ 84.4 |
Amount of net losses, net of income tax effect, to be reclassified from AOCI to earnings within the next 12 months | $ (23) |
Fair Value of Financial Instr35
Fair Value of Financial Instruments (Details) - Recurring [Member] - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 |
Assets: | ||
Foreign currency contracts | $ 9.1 | $ 11.5 |
Commodity derivative contracts | 2.9 | 0.9 |
Interest rate swap contracts | 1.7 | 1 |
Available-for-sale (“AFS”) debt securities | 4.7 | 4.6 |
Liabilities: | ||
Foreign currency contracts | 63.9 | 69 |
Commodity derivative contracts | 26.6 | 46.1 |
Interest rate swap contracts | 7.2 | 7.6 |
Quoted Prices in Active Markets (Level 1) [Member] | ||
Assets: | ||
Foreign currency contracts | 0 | 0 |
Commodity derivative contracts | 0 | 0 |
Interest rate swap contracts | 0 | 0 |
Available-for-sale (“AFS”) debt securities | 0 | 0 |
Liabilities: | ||
Foreign currency contracts | 0 | 0 |
Commodity derivative contracts | 0 | 0 |
Interest rate swap contracts | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Foreign currency contracts | 9.1 | 11.5 |
Commodity derivative contracts | 2.9 | 0.9 |
Interest rate swap contracts | 1.7 | 1 |
Available-for-sale (“AFS”) debt securities | 0 | 0 |
Liabilities: | ||
Foreign currency contracts | 63.9 | 69 |
Commodity derivative contracts | 26.6 | 46.1 |
Interest rate swap contracts | 7.2 | 7.6 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Assets: | ||
Foreign currency contracts | 0 | 0 |
Commodity derivative contracts | 0 | 0 |
Interest rate swap contracts | 0 | 0 |
Available-for-sale (“AFS”) debt securities | 4.7 | 4.6 |
Liabilities: | ||
Foreign currency contracts | 0 | 0 |
Commodity derivative contracts | 0 | 0 |
Interest rate swap contracts | $ 0 | $ 0 |
Fair Value of Financial Instr36
Fair Value of Financial Instruments (Details Textual) - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion | $ 8,278.4 | $ 7,672.9 |
Carrying amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion | 8,278.4 | 7,672.9 |
Fair value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt, including current portion | $ 8,154.8 | $ 7,252 |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
May 31, 2016 | Feb. 29, 2016 | |
Changes in the carrying amount of goodwill [Roll Forward] | ||
Goodwill, beginning of period | $ 7,138.6 | $ 6,208.2 |
Purchase accounting allocations | 204.7 | 965.1 |
Foreign currency translation adjustments | 6.9 | (34.7) |
Goodwill, end of period | 7,350.2 | 7,138.6 |
Operating Segments [Member] | Beer [Member] | ||
Changes in the carrying amount of goodwill [Roll Forward] | ||
Goodwill, beginning of period | 4,530.1 | 3,776.2 |
Purchase accounting allocations | 761.8 | |
Foreign currency translation adjustments | (0.7) | (7.9) |
Purchase accounting allocations, adjustments | (0.1) | |
Goodwill, end of period | 4,529.3 | 4,530.1 |
Operating Segments [Member] | Wine and Spirits [Member] | ||
Changes in the carrying amount of goodwill [Roll Forward] | ||
Goodwill, beginning of period | 2,608.5 | 2,432 |
Purchase accounting allocations | 204.8 | 203.3 |
Foreign currency translation adjustments | 7.6 | (26.8) |
Goodwill, end of period | $ 2,820.9 | $ 2,608.5 |
Goodwill (Details 1)
Goodwill (Details 1) - Ballast Point Acquisition [Member] - Operating Segments [Member] - Beer [Member] $ in Millions | 1 Months Ended |
Dec. 31, 2015USD ($) | |
Business Acquisition [Line Items] | |
Goodwill | $ 761.7 |
Other | 15.5 |
Total estimated fair value | 1,000 |
Less – cash acquired | (1.5) |
Purchase price | 998.5 |
Trademarks [Member] | |
Business Acquisition [Line Items] | |
Trademarks | $ 222.8 |
Goodwill (Details Textual)
Goodwill (Details Textual) - Operating Segments [Member] - USD ($) | 1 Months Ended | ||||
Apr. 30, 2016 | Dec. 31, 2015 | Aug. 31, 2015 | May 31, 2016 | Feb. 29, 2016 | |
Wine and Spirits [Member] | |||||
Goodwill [Line Items] | |||||
Accumulated impairment losses | $ 220,800,000 | $ 213,500,000 | |||
Prisoner Acquisition [Member] | Wine and Spirits [Member] | |||||
Goodwill [Line Items] | |||||
Purchase price | $ 284,900,000 | ||||
Ballast Point Acquisition [Member] | Beer [Member] | |||||
Goodwill [Line Items] | |||||
Purchase price | $ 998,500,000 | ||||
Goodwill expected to be tax deductible | $ 0 | ||||
Meiomi Acquisition [Member] | Wine and Spirits [Member] | |||||
Goodwill [Line Items] | |||||
Purchase price | $ 316,200,000 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) $ in Millions | 3 Months Ended | ||
May 31, 2016 | May 31, 2015 | Feb. 29, 2016 | |
Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Amortizable intangible assets, Gross Carrying Amount | $ 195.5 | $ 193.1 | |
Amortizable intangible assets, Net Carrying Amount | 64.2 | 65.9 | |
Nonamortizable intangible assets, Net Carrying Amount | 3,376.2 | 3,337.9 | |
Total intangible assets, Net Carrying Amount | 3,440.4 | 3,403.8 | |
Amortization expense for intangible assets | 4.2 | $ 11.7 | |
Trademarks [Member] | |||
Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Nonamortizable intangible assets, Net Carrying Amount | 3,372 | 3,333.8 | |
Other [Member] | |||
Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Nonamortizable intangible assets, Net Carrying Amount | 4.2 | 4.1 | |
Customer relationships [Member] | |||
Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Amortizable intangible assets, Gross Carrying Amount | 104.7 | 102.5 | |
Amortizable intangible assets, Net Carrying Amount | 60.8 | 60.2 | |
Favorable interim supply agreement [Member] | |||
Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Amortizable intangible assets, Gross Carrying Amount | 68.3 | 68.3 | |
Amortizable intangible assets, Net Carrying Amount | 0 | 2.2 | |
Other [Member] | |||
Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items] | |||
Amortizable intangible assets, Gross Carrying Amount | 22.5 | 22.3 | |
Amortizable intangible assets, Net Carrying Amount | $ 3.4 | $ 3.5 |
Intangible Assets (Details 1)
Intangible Assets (Details 1) $ in Millions | May 31, 2016USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,017 | $ 6.3 |
2,018 | 6.2 |
2,019 | 6.2 |
2,020 | 5.9 |
2,021 | 5.6 |
2,022 | 5.3 |
Thereafter | $ 28.7 |
Borrowings (Details)
Borrowings (Details) - USD ($) | May 31, 2016 | Mar. 31, 2016 | Feb. 29, 2016 |
Short-term Debt | |||
Notes payable to banks, Current | $ 29,800,000 | $ 408,300,000 | |
Notes payable to banks, Long-term | 0 | ||
Notes payable to banks, Total | 29,800,000 | 408,300,000 | |
Long-term Debt | |||
Other, Current | 16,600,000 | ||
Other, Long-term | 23,400,000 | ||
Other, Total | 40,000,000 | 99,800,000 | |
Long-term debt, Current | 1,587,800,000 | 856,700,000 | |
Long-term debt, Long-term | 6,690,600,000 | 6,816,200,000 | |
Long-term debt, Total | 8,278,400,000 | 7,672,900,000 | |
Aggregate face amount of long-term debt obligation | 4,690,500,000 | ||
Senior Credit Facility - Term Loans [Member] | |||
Long-term Debt | |||
Senior Credit Facility - Term Loans, Current | 172,500,000 | ||
Senior Credit Facility - Term Loans, Long-term | 3,347,800,000 | ||
Senior Credit Facility - Term Loans, Total | 3,520,300,000 | 2,856,800,000 | |
Senior Credit Facility - Term Loans [Member] | U.S. Term A Facility [Member] | |||
Long-term Debt | |||
Senior Credit Facility - Term Loans, Total | 1,215,000,000 | ||
Aggregate face amount of long-term debt obligation | $ 1,223,900,000 | ||
Interest rate | 1.90% | ||
LIBOR margin | 1.50% | ||
Senior Credit Facility - Term Loans [Member] | U.S. Term A-1 Facility [Member] | |||
Long-term Debt | |||
Senior Credit Facility - Term Loans, Total | $ 239,700,000 | ||
Aggregate face amount of long-term debt obligation | $ 240,100,000 | ||
Interest rate | 2.20% | ||
LIBOR margin | 1.75% | ||
Senior Credit Facility - Term Loans [Member] | European Term A Facility [Member] | |||
Long-term Debt | |||
Senior Credit Facility - Term Loans, Total | $ 1,368,900,000 | ||
Aggregate face amount of long-term debt obligation | $ 1,376,500,000 | ||
Interest rate | 1.90% | ||
LIBOR margin | 1.50% | ||
Senior Credit Facility - Term Loans [Member] | European Term A-1 Facility [Member] | |||
Long-term Debt | |||
Senior Credit Facility - Term Loans, Total | $ 696,700,000 | ||
Aggregate face amount of long-term debt obligation | $ 700,000,000 | $ 700,000,000 | |
Interest rate | 1.90% | ||
LIBOR margin | 1.50% | ||
Senior Notes [Member] | |||
Long-term Debt | |||
Senior Notes, Current | $ 1,398,700,000 | ||
Senior Notes, Long-term | 3,319,400,000 | ||
Senior Notes, Total | 4,718,100,000 | 4,716,300,000 | |
Senior Credit Facility - Revolving Credit Loans [Member] | |||
Short-term Debt | |||
Notes payable to banks, Current | 0 | ||
Notes payable to banks, Long-term | 0 | ||
Notes payable to banks, Total | 0 | 92,000,000 | |
Long-term Debt | |||
Aggregate face amount of long-term debt obligation | $ 1,150,000,000 | ||
Interest rate | 0.00% | ||
LIBOR margin | 1.50% | ||
Remaining borrowing capacity | $ 1,133,000,000 | ||
Senior Credit Facility - Revolving Credit Loans [Member] | U.S. Revolving Credit Facility [Member] | |||
Long-term Debt | |||
Aggregate face amount of long-term debt obligation | 150,000,000 | ||
Senior Credit Facility - Revolving Credit Loans [Member] | European Revolving Credit Facility [Member] | |||
Long-term Debt | |||
Aggregate face amount of long-term debt obligation | 1,000,000,000 | $ 1,000,000,000 | |
Letters of Credit [Member] | |||
Long-term Debt | |||
Aggregate face amount of long-term debt obligation | 200,000,000 | ||
Outstanding letters of credit | 17,000,000 | ||
Other [Member] | |||
Short-term Debt | |||
Notes payable to banks, Current | 29,800,000 | ||
Notes payable to banks, Long-term | 0 | ||
Notes payable to banks, Total | 29,800,000 | $ 316,300,000 | |
Other [Member] | CBI accounts receivable securitization facility [Member] | |||
Short-term Debt | |||
Notes payable to banks, Current | $ 0 | ||
Long-term Debt | |||
Interest rate | 0.00% | ||
Remaining borrowing capacity | $ 300,000,000 | ||
Other [Member] | Crown accounts receivable securitization facility [Member] | |||
Short-term Debt | |||
Notes payable to banks, Current | $ 0 | ||
Long-term Debt | |||
Interest rate | 0.00% | ||
Remaining borrowing capacity | $ 190,000,000 |
Borrowings (Details 1)
Borrowings (Details 1) - Senior Credit Facility - Term Loans [Member] $ in Millions | May 31, 2016USD ($) |
Required principal repayments under term loan obligations | |
2,017 | $ 129.4 |
2,018 | 172.5 |
2,019 | 172.5 |
2,020 | 172.5 |
2,021 | 2,131.2 |
2,022 | 762.4 |
Long-term Debt, Gross | 3,540.5 |
U.S. Term A Facility [Member] | |
Required principal repayments under term loan obligations | |
2,017 | 47.7 |
2,018 | 63.6 |
2,019 | 63.6 |
2,020 | 63.6 |
2,021 | 985.4 |
2,022 | 0 |
Long-term Debt, Gross | 1,223.9 |
U.S. Term A-1 Facility [Member] | |
Required principal repayments under term loan obligations | |
2,017 | 1.8 |
2,018 | 2.4 |
2,019 | 2.4 |
2,020 | 2.4 |
2,021 | 2.4 |
2,022 | 228.7 |
Long-term Debt, Gross | 240.1 |
European Term A Facility [Member] | |
Required principal repayments under term loan obligations | |
2,017 | 53.6 |
2,018 | 71.5 |
2,019 | 71.5 |
2,020 | 71.5 |
2,021 | 1,108.4 |
2,022 | 0 |
Long-term Debt, Gross | 1,376.5 |
European Term A-1 Facility [Member] | |
Required principal repayments under term loan obligations | |
2,017 | 26.3 |
2,018 | 35 |
2,019 | 35 |
2,020 | 35 |
2,021 | 35 |
2,022 | 533.7 |
Long-term Debt, Gross | $ 700 |
Borrowings (Details Textual)
Borrowings (Details Textual) - USD ($) | May 31, 2016 | Mar. 31, 2016 |
Schedule of Debt [Line Items] | ||
Aggregate face amount of long-term debt obligation | $ 4,690,500,000 | |
Pledge of certain interests in certain of CIH's subsidiaries | 100.00% | |
Pledge of certain interests in certain of CIHH's subsidiaries | 100.00% | |
Pledge of ownership interests in certain of Company's domestic subsidiaries | 100.00% | |
Pledge of ownership interests in certain of Company's foreign subsidiaries | 65.00% | |
Senior Credit Facility - Revolving Credit Loans [Member] | ||
Schedule of Debt [Line Items] | ||
Aggregate face amount of long-term debt obligation | 1,150,000,000 | |
European Revolving Credit Facility [Member] | Senior Credit Facility - Revolving Credit Loans [Member] | ||
Schedule of Debt [Line Items] | ||
Aggregate face amount of long-term debt obligation | 1,000,000,000 | $ 1,000,000,000 |
Incremental borrowings under credit facility | 425,000,000 | |
Senior Credit Facility - Term Loans [Member] | Long-term Debt [Member] | ||
Schedule of Debt [Line Items] | ||
Unamortized debt issuance costs, long-term debt obligations | 20,200,000 | |
Senior Credit Facility - Term Loans [Member] | European Term A-1 Facility [Member] | ||
Schedule of Debt [Line Items] | ||
Aggregate face amount of long-term debt obligation | 700,000,000 | $ 700,000,000 |
Senior Credit Facility - Term Loans [Member] | U.S. Term A Facility [Member] | ||
Schedule of Debt [Line Items] | ||
Aggregate face amount of long-term debt obligation | 1,223,900,000 | |
Senior Credit Facility - Term Loans [Member] | European Term A Facility [Member] | ||
Schedule of Debt [Line Items] | ||
Aggregate face amount of long-term debt obligation | $ 1,376,500,000 |
Borrowings (Details Textual 1)
Borrowings (Details Textual 1) - USD ($) | May 31, 2016 | Apr. 30, 2012 | Feb. 29, 2016 |
Debt Instrument [Line Items] | |||
Derivative fixed average interest rate | 1.10% | 2.80% | |
Interest rate swap contracts [Member] | Designated as hedging instrument [Member] | |||
Debt Instrument [Line Items] | |||
Notional value of interest rate swap agreements | $ 700,000,000 | $ 600,000,000 | |
Interest rate swap contracts [Member] | Designated as hedging instrument [Member] | Cash flow hedging [Member] | |||
Debt Instrument [Line Items] | |||
Notional value of interest rate swap agreements | 200,000,000 | ||
LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Floating LIBOR rate debt | $ 200,000,000 | $ 500,000,000 |
Borrowings (Details Textual 2)
Borrowings (Details Textual 2) - Other [Member] | Sep. 28, 2015USD ($) |
CBI accounts receivable securitization facility [Member] | |
Short-term Debt [Line Items] | |
Accounts receivable securitization facility, Term | 364 days |
Accounts receivable securitization facility, Maximum borrowings one | $ 235,000,000 |
Accounts receivable securitization facility, Maximum borrowings two | $ 330,000,000 |
Crown accounts receivable securitization facility [Member] | |
Short-term Debt [Line Items] | |
Accounts receivable securitization facility, Term | 364 days |
Accounts receivable securitization facility, Maximum borrowings one | $ 100,000,000 |
Accounts receivable securitization facility, Maximum borrowings two | $ 190,000,000 |
Income Taxes Income Taxes (Deta
Income Taxes Income Taxes (Details Textual) | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Income Tax Disclosure [Abstract] | ||
Effective tax rate | 31.90% | 31.50% |
Net Income Per Common Share A48
Net Income Per Common Share Attributable to CBI (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Earnings per share reconciliation | ||
Net income attributable to CBI allocated – basic | $ 318.3 | $ 238.6 |
Class A Common Stock [Member] | ||
Earnings per share reconciliation | ||
Net income attributable to CBI allocated – basic | 284.2 | 212.3 |
Conversion of Class B common shares into Class A common shares | 34.1 | 26.3 |
Effect of stock-based awards on allocated net income | 0 | 0 |
Net income attributable to CBI allocated – diluted | $ 318.3 | $ 238.6 |
Weighted average number of shares outstanding reconciliation | ||
Weighted average common shares outstanding – basic | 176,542 | 171,370 |
Conversion of Class B common shares into Class A common shares | 23,353 | 23,376 |
Stock-based awards, primarily stock options | 5,472 | 8,109 |
Weighted average common shares outstanding – diluted | 205,367 | 202,855 |
Basic and diluted net income per common share attributable to CBI | ||
Net income per common share attributable to CBI – basic | $ 1.61 | $ 1.24 |
Net income per common share attributable to CBI – diluted | $ 1.55 | $ 1.18 |
Class B Convertible Common Stock [Member] | ||
Earnings per share reconciliation | ||
Net income attributable to CBI allocated – basic | $ 34.1 | $ 26.3 |
Conversion of Class B common shares into Class A common shares | 0 | 0 |
Effect of stock-based awards on allocated net income | (0.7) | (0.8) |
Net income attributable to CBI allocated – diluted | $ 33.4 | $ 25.5 |
Weighted average number of shares outstanding reconciliation | ||
Weighted average common shares outstanding – basic | 23,353 | 23,376 |
Conversion of Class B common shares into Class A common shares | 0 | 0 |
Stock-based awards, primarily stock options | 0 | 0 |
Weighted average common shares outstanding – diluted | 23,353 | 23,376 |
Basic and diluted net income per common share attributable to CBI | ||
Net income per common share attributable to CBI – basic | $ 1.46 | $ 1.12 |
Net income per common share attributable to CBI – diluted | $ 1.43 | $ 1.09 |
Comprehensive Income Attribut49
Comprehensive Income Attributable to CBI (Details) - USD ($) $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Net income attributable to CBI | $ 318.3 | $ 238.6 |
Pension/postretirement adjustments | ||
Comprehensive income attributable to CBI | 314.3 | 184.7 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Foreign currency translation adjustments | ||
Net gains (losses), Before Tax Amount | (7.4) | (50.7) |
Net gains (losses), Tax (Expense) Benefit | (1.8) | (0.6) |
Net gains (losses), Net of Tax Amount | (9.2) | (51.3) |
Reclassification adjustments, Before Tax Amount | 0 | 0 |
Reclassification adjustments, Tax (Expense) Benefit | 0 | 0 |
Reclassification adjustments, Net of Tax Amount | 0 | 0 |
Net gain (loss) recognized in other comprehensive income (loss), Before Tax Amount | (7.4) | (50.7) |
Net gain (loss) recognized in other comprehensive income (loss), Tax (Expense) Benefit | (1.8) | (0.6) |
Net gain (loss) recognized in other comprehensive income (loss), Net of Tax Amount | (9.2) | (51.3) |
Unrealized gain (loss) on cash flow hedges | ||
Net derivative gains (losses), Before Tax Amount | (3.2) | (10.5) |
Net derivative gains (losses), Tax (Expense) Benefit | 1.8 | 2.9 |
Net derivative gains (losses), Net of Tax Amount | (1.4) | (7.6) |
Reclassification adjustments, Before Tax Amount | 10.1 | 7.6 |
Reclassification adjustments, Tax (Expense) Benefit | (3.4) | (2.5) |
Reclassification adjustments, Net of Tax Amount | 6.7 | 5.1 |
Net gain (loss) recognized in other comprehensive income (loss), Before Tax Amount | 6.9 | (2.9) |
Net gain (loss) recognized in other comprehensive income (loss), Tax (Expense) Benefit | (1.6) | 0.4 |
Net gain (loss) recognized in other comprehensive income (loss), Net of Tax Amount | 5.3 | (2.5) |
Unrealized gain (loss) on AFS debt securities | ||
Net AFS debt securities gains (losses), Before Tax Amount | 0.1 | (0.1) |
Net AFS debt securities gains (losses), Tax (Expense) Benefit | 0 | 0 |
Net AFS debt securities gains (losses), Net of Tax Amount | 0.1 | (0.1) |
Reclassification adjustments, Before Tax Amount | 0 | 0 |
Reclassification adjustments, Tax (Expense) Benefit | 0 | 0 |
Reclassification adjustments, Net of Tax Amount | 0 | 0 |
Net gain (loss) recognized in other comprehensive income (loss), Before Tax Amount | 0.1 | (0.1) |
Net gain (loss) recognized in other comprehensive income (loss), Tax (Expense) Benefit | 0 | 0 |
Net gain (loss) recognized in other comprehensive income (loss), Net of Tax Amount | 0.1 | (0.1) |
Pension/postretirement adjustments | ||
Net actuarial gains (losses), Before Tax Amount | (0.6) | (0.1) |
Net actuarial gains (losses), Tax (Expense) Benefit | 0.2 | 0 |
Net actuarial gains (losses), Net of Tax Amount | (0.4) | (0.1) |
Reclassification adjustments, Before Tax Amount | 0.2 | 0.1 |
Reclassification adjustments, Tax (Expense) Benefit | 0 | 0 |
Reclassification adjustments, Net of Tax Amount | 0.2 | 0.1 |
Net gain (loss) recognized in other comprehensive income (loss), Before Tax Amount | (0.4) | 0 |
Net gain (loss) recognized in other comprehensive income (loss), Tax (Expense) Benefit | 0.2 | 0 |
Net gain (loss) recognized in other comprehensive income (loss), Net of Tax Amount | (0.2) | 0 |
Other comprehensive income (loss) attributable to CBI, Before Tax Amount | (0.8) | (53.7) |
Other comprehensive income (loss) attributable to CBI, Tax (Expense) Benefit | (3.2) | (0.2) |
Other comprehensive income (loss) attributable to CBI, Net of Tax Amount | $ (4) | $ (53.9) |
Comprehensive Income Attribut50
Comprehensive Income Attributable to CBI (Details 1) $ in Millions | 3 Months Ended |
May 31, 2016USD ($) | |
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward] | |
Balance, February 29, 2016 | $ 6,559.6 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |
Balance, May 31, 2016 | 6,848 |
Accumulated Other Comprehensive Income (Loss) [Member] | |
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward] | |
Balance, February 29, 2016 | (452.5) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |
Other comprehensive income (loss) before reclassification adjustments | (10.9) |
Amounts reclassified from accumulated other comprehensive loss | 6.9 |
Other comprehensive income (loss) | (4) |
Balance, May 31, 2016 | (456.5) |
Foreign Currency Translation Adjustments [Member] | |
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward] | |
Balance, February 29, 2016 | (390.5) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |
Other comprehensive income (loss) before reclassification adjustments | (9.2) |
Amounts reclassified from accumulated other comprehensive loss | 0 |
Other comprehensive income (loss) | (9.2) |
Balance, May 31, 2016 | (399.7) |
Net Unrealized Losses on Derivative Instruments [Member] | |
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward] | |
Balance, February 29, 2016 | (46.1) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |
Other comprehensive income (loss) before reclassification adjustments | (1.4) |
Amounts reclassified from accumulated other comprehensive loss | 6.7 |
Other comprehensive income (loss) | 5.3 |
Balance, May 31, 2016 | (40.8) |
Net Unrealized (Gains) Losses on AFS Debt Securities [Member] | |
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward] | |
Balance, February 29, 2016 | (2.8) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |
Other comprehensive income (loss) before reclassification adjustments | 0.1 |
Amounts reclassified from accumulated other comprehensive loss | 0 |
Other comprehensive income (loss) | 0.1 |
Balance, May 31, 2016 | (2.7) |
Pension/ Postretirement Adjustments [Member] | |
Accumulated other comprehensive income (loss), net of income tax effect [Roll Forward] | |
Balance, February 29, 2016 | (13.1) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |
Other comprehensive income (loss) before reclassification adjustments | (0.4) |
Amounts reclassified from accumulated other comprehensive loss | 0.2 |
Other comprehensive income (loss) | (0.2) |
Balance, May 31, 2016 | $ (13.3) |
Condensed Consolidating Finan51
Condensed Consolidating Financial Information (Details) - USD ($) $ in Millions | May 31, 2016 | Feb. 29, 2016 | May 31, 2015 | Feb. 28, 2015 |
Condensed Financial Statements, Captions [Line Items] | ||||
Percentage of parent ownership of subsidiary guarantors | 100.00% | |||
Current assets: | ||||
Cash and cash equivalents | $ 167.3 | $ 83.1 | $ 130.7 | $ 110.1 |
Accounts receivable | 773.3 | 732.5 | ||
Inventories | 1,918.8 | 1,851.6 | ||
Intercompany receivable | 0 | 0 | ||
Prepaid expenses and other | 359.1 | 310.4 | ||
Total current assets | 3,218.5 | 2,977.6 | ||
Property, plant and equipment | 3,507.2 | 3,333.4 | 2,742.1 | |
Investments in subsidiaries | 0 | 0 | ||
Goodwill | 7,350.2 | 7,138.6 | 6,208.2 | |
Intangible assets | 3,440.4 | 3,403.8 | ||
Intercompany notes receivable | 0 | 0 | ||
Other assets | 113.7 | 111.6 | ||
Total assets | 17,630 | 16,965 | 15,198.6 | |
Current liabilities: | ||||
Notes payable to banks | 29.8 | 408.3 | ||
Current maturities of long-term debt | 1,587.8 | 856.7 | ||
Accounts payable | 558.5 | 429.3 | ||
Accrued excise taxes | 39.7 | 33.6 | ||
Intercompany payable | 0 | 0 | ||
Other accrued expenses and liabilities | 482.9 | 544.4 | ||
Total current liabilities | 2,698.7 | 2,272.3 | ||
Long-term debt, less current maturities | 6,690.6 | 6,816.2 | ||
Deferred income taxes | 1,092.2 | 1,022.2 | ||
Intercompany notes payable | 0 | 0 | ||
Other liabilities | 159.9 | 162.5 | ||
Total liabilities | 10,641.4 | 10,273.2 | ||
Total CBI stockholders’ equity | 6,848 | 6,559.6 | ||
Noncontrolling interests | 140.6 | 132.2 | ||
Total stockholders’ equity | 6,988.6 | 6,691.8 | ||
Total liabilities and stockholders’ equity | 17,630 | 16,965 | ||
Parent Company [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 21.2 | 6 | 33.9 | 24.5 |
Accounts receivable | 0.3 | 0.4 | ||
Inventories | 157.5 | 151.6 | ||
Intercompany receivable | 18,583.3 | 17,459.3 | ||
Prepaid expenses and other | 38.4 | 29.6 | ||
Total current assets | 18,800.7 | 17,646.9 | ||
Property, plant and equipment | 62.3 | 63.2 | ||
Investments in subsidiaries | 13,055.7 | 13,047.2 | ||
Goodwill | 0 | 0 | ||
Intangible assets | 0 | 0 | ||
Intercompany notes receivable | 5,044.3 | 4,705.9 | ||
Other assets | 19.6 | 20 | ||
Total assets | 36,982.6 | 35,483.2 | ||
Current liabilities: | ||||
Notes payable to banks | 0 | 0 | ||
Current maturities of long-term debt | 1,464.7 | 765.6 | ||
Accounts payable | 34.4 | 37.7 | ||
Accrued excise taxes | 14.5 | 14.7 | ||
Intercompany payable | 23,373.8 | 22,293.3 | ||
Other accrued expenses and liabilities | 223.5 | 349.1 | ||
Total current liabilities | 25,110.9 | 23,460.4 | ||
Long-term debt, less current maturities | 4,708.1 | 5,421.4 | ||
Deferred income taxes | 14.7 | 11.9 | ||
Intercompany notes payable | 270 | 0 | ||
Other liabilities | 30.9 | 29.9 | ||
Total liabilities | 30,134.6 | 28,923.6 | ||
Total CBI stockholders’ equity | 6,848 | 6,559.6 | ||
Noncontrolling interests | 0 | 0 | ||
Total stockholders’ equity | 6,848 | 6,559.6 | ||
Total liabilities and stockholders’ equity | 36,982.6 | 35,483.2 | ||
Subsidiary Guarantors [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 6.9 | 4.2 | 1.2 | 0.7 |
Accounts receivable | 19.2 | 22.3 | ||
Inventories | 1,520.7 | 1,483.5 | ||
Intercompany receivable | 25,167.6 | 23,758.9 | ||
Prepaid expenses and other | 65.7 | 67.8 | ||
Total current assets | 26,780.1 | 25,336.7 | ||
Property, plant and equipment | 880.6 | 879.8 | ||
Investments in subsidiaries | 20.6 | 19 | ||
Goodwill | 6,581 | 6,376.4 | ||
Intangible assets | 1,006.3 | 970.9 | ||
Intercompany notes receivable | 86.9 | 86.6 | ||
Other assets | 73.1 | 69.6 | ||
Total assets | 35,428.6 | 33,739 | ||
Current liabilities: | ||||
Notes payable to banks | 0 | 0 | ||
Current maturities of long-term debt | 16 | 18 | ||
Accounts payable | 111.2 | 100.7 | ||
Accrued excise taxes | 19.3 | 14.7 | ||
Intercompany payable | 20,165.9 | 19,018.6 | ||
Other accrued expenses and liabilities | 185.3 | 185.1 | ||
Total current liabilities | 20,497.7 | 19,337.1 | ||
Long-term debt, less current maturities | 22.4 | 26.3 | ||
Deferred income taxes | 766.8 | 734.8 | ||
Intercompany notes payable | 5,114 | 4,776.6 | ||
Other liabilities | 34 | 39.1 | ||
Total liabilities | 26,434.9 | 24,913.9 | ||
Total CBI stockholders’ equity | 8,993.7 | 8,825.1 | ||
Noncontrolling interests | 0 | 0 | ||
Total stockholders’ equity | 8,993.7 | 8,825.1 | ||
Total liabilities and stockholders’ equity | 35,428.6 | 33,739 | ||
Subsidiary Nonguarantors [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 139.2 | 72.9 | 95.6 | 84.9 |
Accounts receivable | 753.8 | 709.8 | ||
Inventories | 400.5 | 344 | ||
Intercompany receivable | 10,053.6 | 9,393.5 | ||
Prepaid expenses and other | 276.8 | 281.1 | ||
Total current assets | 11,623.9 | 10,801.3 | ||
Property, plant and equipment | 2,564.3 | 2,390.4 | ||
Investments in subsidiaries | 0 | 0 | ||
Goodwill | 769.2 | 762.2 | ||
Intangible assets | 2,434.1 | 2,430.8 | ||
Intercompany notes receivable | 270 | 0 | ||
Other assets | 21 | 22 | ||
Total assets | 17,682.5 | 16,406.7 | ||
Current liabilities: | ||||
Notes payable to banks | 29.8 | 408.3 | ||
Current maturities of long-term debt | 107.1 | 73.1 | ||
Accounts payable | 412.9 | 290.9 | ||
Accrued excise taxes | 5.9 | 4.2 | ||
Intercompany payable | 10,264.8 | 9,299.8 | ||
Other accrued expenses and liabilities | 148.1 | 119.4 | ||
Total current liabilities | 10,968.6 | 10,195.7 | ||
Long-term debt, less current maturities | 1,960.1 | 1,368.5 | ||
Deferred income taxes | 310.7 | 275.5 | ||
Intercompany notes payable | 17.2 | 15.9 | ||
Other liabilities | 95 | 93.5 | ||
Total liabilities | 13,351.6 | 11,949.1 | ||
Total CBI stockholders’ equity | 4,190.3 | 4,325.4 | ||
Noncontrolling interests | 140.6 | 132.2 | ||
Total stockholders’ equity | 4,330.9 | 4,457.6 | ||
Total liabilities and stockholders’ equity | 17,682.5 | 16,406.7 | ||
Eliminations [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Accounts receivable | 0 | 0 | ||
Inventories | (159.9) | (127.5) | ||
Intercompany receivable | (53,804.5) | (50,611.7) | ||
Prepaid expenses and other | (21.8) | (68.1) | ||
Total current assets | (53,986.2) | (50,807.3) | ||
Property, plant and equipment | 0 | 0 | ||
Investments in subsidiaries | (13,076.3) | (13,066.2) | ||
Goodwill | 0 | 0 | ||
Intangible assets | 0 | 2.1 | ||
Intercompany notes receivable | (5,401.2) | (4,792.5) | ||
Other assets | 0 | 0 | ||
Total assets | (72,463.7) | (68,663.9) | ||
Current liabilities: | ||||
Notes payable to banks | 0 | 0 | ||
Current maturities of long-term debt | 0 | 0 | ||
Accounts payable | 0 | 0 | ||
Accrued excise taxes | 0 | 0 | ||
Intercompany payable | (53,804.5) | (50,611.7) | ||
Other accrued expenses and liabilities | (74) | (109.2) | ||
Total current liabilities | (53,878.5) | (50,720.9) | ||
Long-term debt, less current maturities | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Intercompany notes payable | (5,401.2) | (4,792.5) | ||
Other liabilities | 0 | 0 | ||
Total liabilities | (59,279.7) | (55,513.4) | ||
Total CBI stockholders’ equity | (13,184) | (13,150.5) | ||
Noncontrolling interests | 0 | 0 | ||
Total stockholders’ equity | (13,184) | (13,150.5) | ||
Total liabilities and stockholders’ equity | $ (72,463.7) | $ (68,663.9) |
Condensed Consolidating Finan52
Condensed Consolidating Financial Information (Details 1) - USD ($) $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Condensed Consolidating Statement of Comprehensive Income | ||
Sales | $ 2,053 | $ 1,798 |
Less – excise taxes | (181.2) | (166.7) |
Net sales | 1,871.8 | 1,631.3 |
Cost of product sold | (990.5) | (894.2) |
Gross profit | 881.3 | 737.1 |
Selling, general and administrative expenses | (328.6) | (309.8) |
Operating income | 552.7 | 427.3 |
Equity in earnings of equity method investees and subsidiaries | 0.7 | 1 |
Interest income | 0.4 | 0.3 |
Intercompany interest income | 0 | 0 |
Interest expense | (85) | (77.8) |
Intercompany interest expense | 0 | 0 |
Income before income taxes | 468.8 | 350.8 |
(Provision for) benefit from income taxes | (149.7) | (110.6) |
Net income | 319.1 | 240.2 |
Net income attributable to noncontrolling interests | (0.8) | (1.6) |
Net income attributable to CBI | 318.3 | 238.6 |
Comprehensive income attributable to CBI | 314.3 | 184.7 |
Parent Company [Member] | ||
Condensed Consolidating Statement of Comprehensive Income | ||
Sales | 623.7 | 558.6 |
Less – excise taxes | (78) | (76.2) |
Net sales | 545.7 | 482.4 |
Cost of product sold | (451.4) | (390.8) |
Gross profit | 94.3 | 91.6 |
Selling, general and administrative expenses | (91.3) | (102.8) |
Operating income | 3 | (11.2) |
Equity in earnings of equity method investees and subsidiaries | 368.9 | 304.2 |
Interest income | 0.1 | 0.1 |
Intercompany interest income | 57.4 | 45.8 |
Interest expense | (74.3) | (69.3) |
Intercompany interest expense | (73.1) | (63.6) |
Income before income taxes | 282 | 206 |
(Provision for) benefit from income taxes | 36.3 | 32.6 |
Net income | 318.3 | 238.6 |
Net income attributable to noncontrolling interests | 0 | 0 |
Net income attributable to CBI | 318.3 | 238.6 |
Comprehensive income attributable to CBI | 314.3 | 184.7 |
Subsidiary Guarantors [Member] | ||
Condensed Consolidating Statement of Comprehensive Income | ||
Sales | 1,686.8 | 1,424.9 |
Less – excise taxes | (86.9) | (75.1) |
Net sales | 1,599.9 | 1,349.8 |
Cost of product sold | (1,151.5) | (1,003.6) |
Gross profit | 448.4 | 346.2 |
Selling, general and administrative expenses | (193.1) | (177.2) |
Operating income | 255.3 | 169 |
Equity in earnings of equity method investees and subsidiaries | 2.3 | 2.2 |
Interest income | 0 | 0 |
Intercompany interest income | 73.3 | 63.9 |
Interest expense | (0.4) | (0.3) |
Intercompany interest expense | (57.4) | (45.9) |
Income before income taxes | 273.1 | 188.9 |
(Provision for) benefit from income taxes | (105.9) | (73.1) |
Net income | 167.2 | 115.8 |
Net income attributable to noncontrolling interests | 0 | 0 |
Net income attributable to CBI | 167.2 | 115.8 |
Comprehensive income attributable to CBI | 168.7 | 115.1 |
Subsidiary Nonguarantors [Member] | ||
Condensed Consolidating Statement of Comprehensive Income | ||
Sales | 966.1 | 825.2 |
Less – excise taxes | (16.3) | (15.4) |
Net sales | 949.8 | 809.8 |
Cost of product sold | (564.8) | (486.1) |
Gross profit | 385 | 323.7 |
Selling, general and administrative expenses | (55.2) | (33.5) |
Operating income | 329.8 | 290.2 |
Equity in earnings of equity method investees and subsidiaries | 0 | 0.2 |
Interest income | 0.3 | 0.2 |
Intercompany interest income | 0 | 0 |
Interest expense | (10.3) | (8.2) |
Intercompany interest expense | (0.2) | (0.2) |
Income before income taxes | 319.6 | 282.2 |
(Provision for) benefit from income taxes | (91.5) | (76.7) |
Net income | 228.1 | 205.5 |
Net income attributable to noncontrolling interests | (0.8) | (1.6) |
Net income attributable to CBI | 227.3 | 203.9 |
Comprehensive income attributable to CBI | 221.5 | 149.6 |
Eliminations [Member] | ||
Condensed Consolidating Statement of Comprehensive Income | ||
Sales | (1,223.6) | (1,010.7) |
Less – excise taxes | 0 | 0 |
Net sales | (1,223.6) | (1,010.7) |
Cost of product sold | 1,177.2 | 986.3 |
Gross profit | (46.4) | (24.4) |
Selling, general and administrative expenses | 11 | 3.7 |
Operating income | (35.4) | (20.7) |
Equity in earnings of equity method investees and subsidiaries | (370.5) | (305.6) |
Interest income | 0 | 0 |
Intercompany interest income | (130.7) | (109.7) |
Interest expense | 0 | 0 |
Intercompany interest expense | 130.7 | 109.7 |
Income before income taxes | (405.9) | (326.3) |
(Provision for) benefit from income taxes | 11.4 | 6.6 |
Net income | (394.5) | (319.7) |
Net income attributable to noncontrolling interests | 0 | 0 |
Net income attributable to CBI | (394.5) | (319.7) |
Comprehensive income attributable to CBI | $ (390.2) | $ (264.7) |
Condensed Consolidating Finan53
Condensed Consolidating Financial Information (Details 2) - USD ($) $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Condensed Consolidating Statement of Cash Flows | ||
Net cash provided by (used in) operating activities | $ 345.9 | $ 205.7 |
Cash flows from investing activities: | ||
Purchase of business | (284.9) | 0 |
Purchases of property, plant and equipment | (169.4) | (129.7) |
Net proceeds from (repayments of) intercompany notes | 0 | 0 |
Net returns of capital from (investments in) equity affiliates | 0 | 0 |
Other investing activities | 0.4 | (1.6) |
Net cash used in investing activities | (453.9) | (131.3) |
Cash flows from financing activities: | ||
Dividends paid to parent company | 0 | |
Net contributions from equity affiliates | 0 | 0 |
Net proceeds from (repayments of) intercompany notes | 0 | 0 |
Proceeds from issuance of long-term debt | 700 | 0 |
Excess tax benefits from stock-based payment awards | 68.8 | 63.6 |
Proceeds from shares issued under equity compensation plans | 15.9 | 9.6 |
Proceeds from noncontrolling interests | 9.5 | 0 |
Net proceeds from (repayments of) notes payable | (379.1) | 50.9 |
Principal payments of long-term debt | (94.2) | (79.4) |
Dividends paid | (79.3) | (59.8) |
Payments of minimum tax withholdings on stock-based payment awards | (45.5) | (38.3) |
Payments of debt issuance costs | (3.2) | 0 |
Purchases of treasury stock | (1) | 0 |
Net cash provided by (used in) financing activities | 191.9 | (53.4) |
Effect of exchange rate changes on cash and cash equivalents | 0.3 | (0.4) |
Net increase in cash and cash equivalents | 84.2 | 20.6 |
Cash and cash equivalents, beginning of period | 83.1 | 110.1 |
Cash and cash equivalents, end of period | 167.3 | 130.7 |
Parent Company [Member] | ||
Condensed Consolidating Statement of Cash Flows | ||
Net cash provided by (used in) operating activities | (221.8) | (214.6) |
Cash flows from investing activities: | ||
Purchase of business | 0 | |
Purchases of property, plant and equipment | (4.1) | (2.9) |
Net proceeds from (repayments of) intercompany notes | (377.2) | 205.1 |
Net returns of capital from (investments in) equity affiliates | 354.8 | (279.9) |
Other investing activities | 0.1 | 0 |
Net cash used in investing activities | (26.4) | (77.7) |
Cash flows from financing activities: | ||
Dividends paid to parent company | 0 | |
Net contributions from equity affiliates | 0 | 0 |
Net proceeds from (repayments of) intercompany notes | 275.5 | 304.1 |
Proceeds from issuance of long-term debt | 0 | |
Excess tax benefits from stock-based payment awards | 68.8 | 63.6 |
Proceeds from shares issued under equity compensation plans | 15.9 | 9.6 |
Proceeds from noncontrolling interests | 0 | |
Net proceeds from (repayments of) notes payable | 0 | 0 |
Principal payments of long-term debt | (16.5) | (15.8) |
Dividends paid | (79.3) | (59.8) |
Payments of minimum tax withholdings on stock-based payment awards | 0 | 0 |
Payments of debt issuance costs | 0 | |
Purchases of treasury stock | (1) | |
Net cash provided by (used in) financing activities | 263.4 | 301.7 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 |
Net increase in cash and cash equivalents | 15.2 | 9.4 |
Cash and cash equivalents, beginning of period | 6 | 24.5 |
Cash and cash equivalents, end of period | 21.2 | 33.9 |
Subsidiaries Guarantors [Member] | ||
Condensed Consolidating Statement of Cash Flows | ||
Net cash provided by (used in) operating activities | 1 | 213.1 |
Cash flows from investing activities: | ||
Purchase of business | (284.9) | |
Purchases of property, plant and equipment | (27.5) | (8.2) |
Net proceeds from (repayments of) intercompany notes | (0.1) | 0 |
Net returns of capital from (investments in) equity affiliates | 0 | 0 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | (312.5) | (8.2) |
Cash flows from financing activities: | ||
Dividends paid to parent company | 0 | |
Net contributions from equity affiliates | 0.1 | 4.4 |
Net proceeds from (repayments of) intercompany notes | 362.6 | (168.8) |
Proceeds from issuance of long-term debt | 0 | |
Excess tax benefits from stock-based payment awards | 0 | 0 |
Proceeds from shares issued under equity compensation plans | 0 | 0 |
Proceeds from noncontrolling interests | 0 | |
Net proceeds from (repayments of) notes payable | 0 | 0 |
Principal payments of long-term debt | (6) | (4.4) |
Dividends paid | 0 | 0 |
Payments of minimum tax withholdings on stock-based payment awards | (42.5) | (35.6) |
Payments of debt issuance costs | 0 | |
Purchases of treasury stock | 0 | |
Net cash provided by (used in) financing activities | 314.2 | (204.4) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 |
Net increase in cash and cash equivalents | 2.7 | 0.5 |
Cash and cash equivalents, beginning of period | 4.2 | 0.7 |
Cash and cash equivalents, end of period | 6.9 | 1.2 |
Subsidiary Nonguarantors [Member] | ||
Condensed Consolidating Statement of Cash Flows | ||
Net cash provided by (used in) operating activities | 566.7 | 207.2 |
Cash flows from investing activities: | ||
Purchase of business | 0 | |
Purchases of property, plant and equipment | (137.8) | (118.6) |
Net proceeds from (repayments of) intercompany notes | 0 | 0 |
Net returns of capital from (investments in) equity affiliates | 0 | 0 |
Other investing activities | 0.3 | (1.6) |
Net cash used in investing activities | (137.5) | (120.2) |
Cash flows from financing activities: | ||
Dividends paid to parent company | (357) | |
Net contributions from equity affiliates | 2.1 | 275.5 |
Net proceeds from (repayments of) intercompany notes | (260.8) | (340.4) |
Proceeds from issuance of long-term debt | 700 | |
Excess tax benefits from stock-based payment awards | 0 | 0 |
Proceeds from shares issued under equity compensation plans | 0 | 0 |
Proceeds from noncontrolling interests | 9.5 | |
Net proceeds from (repayments of) notes payable | (379.1) | 50.9 |
Principal payments of long-term debt | (71.7) | (59.2) |
Dividends paid | 0 | 0 |
Payments of minimum tax withholdings on stock-based payment awards | (3) | (2.7) |
Payments of debt issuance costs | (3.2) | |
Purchases of treasury stock | 0 | |
Net cash provided by (used in) financing activities | (363.2) | (75.9) |
Effect of exchange rate changes on cash and cash equivalents | 0.3 | (0.4) |
Net increase in cash and cash equivalents | 66.3 | 10.7 |
Cash and cash equivalents, beginning of period | 72.9 | 84.9 |
Cash and cash equivalents, end of period | 139.2 | 95.6 |
Eliminations [Member] | ||
Condensed Consolidating Statement of Cash Flows | ||
Net cash provided by (used in) operating activities | 0 | 0 |
Cash flows from investing activities: | ||
Purchase of business | 0 | |
Purchases of property, plant and equipment | 0 | 0 |
Net proceeds from (repayments of) intercompany notes | 377.3 | (205.1) |
Net returns of capital from (investments in) equity affiliates | (354.8) | 279.9 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | 22.5 | 74.8 |
Cash flows from financing activities: | ||
Dividends paid to parent company | 357 | |
Net contributions from equity affiliates | (2.2) | (279.9) |
Net proceeds from (repayments of) intercompany notes | (377.3) | 205.1 |
Proceeds from issuance of long-term debt | 0 | |
Excess tax benefits from stock-based payment awards | 0 | 0 |
Proceeds from shares issued under equity compensation plans | 0 | 0 |
Proceeds from noncontrolling interests | 0 | |
Net proceeds from (repayments of) notes payable | 0 | 0 |
Principal payments of long-term debt | 0 | 0 |
Dividends paid | 0 | 0 |
Payments of minimum tax withholdings on stock-based payment awards | 0 | 0 |
Payments of debt issuance costs | 0 | |
Purchases of treasury stock | 0 | |
Net cash provided by (used in) financing activities | (22.5) | (74.8) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 |
Net increase in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents, beginning of period | 0 | 0 |
Cash and cash equivalents, end of period | $ 0 | $ 0 |
Business Segment Information (D
Business Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
May 31, 2016 | May 31, 2015 | |
Cost of product sold | ||
Net gain (loss) on undesignated commodity derivative contracts | $ 2.6 | $ (9.3) |
Amortization of favorable interim supply agreement | (4.2) | (11.7) |
Total cost of product sold | (990.5) | (894.2) |
Selling, general and administrative expenses | ||
Total selling, general and administrative expenses | (328.6) | (309.8) |
Comparable Adjustments [Member] | ||
Cost of product sold | ||
Flow through of inventory step-up | (8.1) | 0 |
Amortization of favorable interim supply agreement | (2.2) | (8.9) |
Total cost of product sold | 11.1 | (8.6) |
Selling, general and administrative expenses | ||
Costs associated with a potential initial public offering | (3.7) | 0 |
Transaction, integration and other acquisition-related costs | (2.3) | (5.3) |
Restructuring and related charges | (1.1) | (13) |
Total selling, general and administrative expenses | (7.1) | (18.3) |
Comparable Adjustments, Operating income (loss) | 4 | (26.9) |
Comparable Adjustments [Member] | Commodity derivative contracts [Member] | ||
Cost of product sold | ||
Net gain (loss) on undesignated commodity derivative contracts | 13.1 | (5.2) |
Settlements of undesignated commodity derivative contracts | $ 8.3 | $ 5.5 |
Business Segment Information 55
Business Segment Information (Details 1) - USD ($) $ in Millions | 3 Months Ended | ||
May 31, 2016 | May 31, 2015 | Feb. 29, 2016 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 1,871.8 | $ 1,631.3 | |
Segment operating income (loss) | 552.7 | 427.3 | |
Long-lived tangible assets | 3,507.2 | 2,742.1 | $ 3,333.4 |
Total assets | 17,630 | 15,198.6 | $ 16,965 |
Capital expenditures | 169.4 | 129.7 | |
Depreciation and amortization | 60 | 54.7 | |
Equity in earnings of equity method investees | 0.7 | 1 | |
Investments in equity method investees | 82.4 | 73.7 | |
Operating Segments [Member] | Beer [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,151 | 965.8 | |
Segment operating income (loss) | 409.3 | 336.5 | |
Long-lived tangible assets | 2,362.3 | 1,570.7 | |
Total assets | 10,276.3 | 8,409.2 | |
Capital expenditures | 145 | 111.5 | |
Depreciation and amortization | 25.9 | 14.3 | |
Operating Segments [Member] | Wine and Spirits [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 720.8 | 665.5 | |
Segment operating income (loss) | 168 | 144.2 | |
Long-lived tangible assets | 1,035.3 | 1,053.6 | |
Total assets | 6,984.8 | 6,425.1 | |
Capital expenditures | 12.5 | 16.7 | |
Depreciation and amortization | 24.9 | 24.2 | |
Equity in earnings of equity method investees | 0.8 | 1 | |
Investments in equity method investees | 76.5 | 73.7 | |
Operating Segments [Member] | Wine and Spirits [Member] | Wine [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 643.1 | 587.8 | |
Operating Segments [Member] | Wine and Spirits [Member] | Spirits [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 77.7 | 77.7 | |
Operating Segments [Member] | Corporate Operations and Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Segment operating income (loss) | (28.6) | (26.5) | |
Long-lived tangible assets | 109.6 | 117.8 | |
Total assets | 368.9 | 364.3 | |
Capital expenditures | 11.9 | 1.5 | |
Depreciation and amortization | 7 | 7.3 | |
Equity in earnings of equity method investees | (0.1) | 0 | |
Investments in equity method investees | 5.9 | 0 | |
Comparable Adjustments [Member] | |||
Segment Reporting Information [Line Items] | |||
Segment operating income (loss) | 4 | (26.9) | |
Depreciation and amortization | $ 2.2 | $ 8.9 |
Business Segment Information 56
Business Segment Information (Details Textual) | 3 Months Ended |
May 31, 2016divisionsegment | |
Segment Reporting [Abstract] | |
Number of business divisions | division | 2 |
Number of reportable operating segments | segment | 3 |