Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jun. 30, 2020 | Jul. 24, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | WRK | |
Entity Registrant Name | WestRock Company | |
Entity Central Index Key | 0001732845 | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 259,636,357 | |
Entity Current Reporting Status | Yes | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Entity File Number | 001-38736 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 37-1880617 | |
Entity Interactive Data Current | Yes | |
Security Exchange Name | NYSE | |
Entity Address, Address Line One | 1000 Abernathy Road NE | |
Entity Address, City or Town | Atlanta | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 30328 | |
City Area Code | 770 | |
Local Phone Number | 448-2193 | |
Document Quarterly Report | true | |
Document Transition Report | false |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Statement [Abstract] | ||||
Net sales | $ 4,236.3 | $ 4,690 | $ 13,107.3 | $ 13,637.4 |
Cost of goods sold | 3,466.3 | 3,701.1 | 10,723.5 | 10,967.1 |
Gross profit | 770 | 988.9 | 2,383.8 | 2,670.3 |
Selling, general and administrative, excluding intangible amortization | 390.1 | 442.4 | 1,234.4 | 1,287.4 |
Selling, general and administrative intangible amortization | 99.6 | 102.4 | 301.5 | 297.7 |
Loss (gain) on disposal of assets | 1 | 6.5 | (5.9) | (37.3) |
Multiemployer pension withdrawal income | (2) | (1.7) | (1.1) | (1.7) |
Land and Development impairments | 13 | |||
Restructuring and other costs | 9.7 | 17.9 | 56.2 | 107.1 |
Operating profit | 271.6 | 421.4 | 798.7 | 1,004.1 |
Interest expense, net | (92.4) | (111.1) | (283.2) | (317.3) |
Loss on extinguishment of debt | (0.6) | (3.2) | (1.1) | (4.7) |
Pension and other postretirement non-service income | 25.6 | 18.9 | 78.4 | 54.9 |
Other (expense) income, net | (5) | 3.7 | (9.6) | (2.3) |
Equity in income of unconsolidated entities | 1.7 | 8.7 | 8.3 | |
Income before income taxes | 199.2 | 331.4 | 591.9 | 743 |
Income tax expense | (19.2) | (77.6) | (123.5) | (187.5) |
Consolidated net income | 180 | 253.8 | 468.4 | 555.5 |
Less: Net income attributable to noncontrolling interests | (1.5) | (1.2) | (3.3) | (3.4) |
Net income attributable to common stockholders | $ 178.5 | $ 252.6 | $ 465.1 | $ 552.1 |
Basic earnings per share attributable to common stockholders | $ 0.69 | $ 0.98 | $ 1.80 | $ 2.15 |
Diluted earnings per share attributable to common stockholders | $ 0.69 | $ 0.98 | $ 1.79 | $ 2.13 |
Basic weighted average shares outstanding | 259.4 | 257.3 | 258.9 | 256.2 |
Diluted weighted average shares outstanding | 260.4 | 258.6 | 260.2 | 259.1 |
Cash dividends paid per common share | $ 0.20 | $ 0.455 | $ 1.13 | $ 1.365 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Consolidated net income | $ 180 | $ 253.8 | $ 468.4 | $ 555.5 |
Other comprehensive income (loss), net of tax: | ||||
Foreign currency translation gain (loss) | 21.6 | 25.4 | (265.5) | (14.3) |
Derivatives: | ||||
Deferred loss on cash flow hedges | (0.7) | (10.1) | ||
Reclassification adjustment of net loss on cash flow hedges included in earnings | 1 | 2.2 | ||
Defined benefit pension and other postretirement benefit plans: | ||||
Amortization and settlement recognition of net actuarial loss, included in pension cost | 9 | 4.5 | 26.2 | 12.6 |
Amortization and settlement recognition of prior service cost, included in pension cost | 1 | 0.4 | 2.5 | 1.3 |
Other comprehensive income (loss), net of tax | 31.9 | 30.3 | (244.7) | (0.4) |
Comprehensive income | 211.9 | 284.1 | 223.7 | 555.1 |
Less: Comprehensive income attributable to noncontrolling interests | (1.8) | (1.4) | (3.4) | (3.1) |
Comprehensive income attributable to common stockholders | $ 210.1 | $ 282.7 | $ 220.3 | $ 552 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 | |
Current assets: | |||
Cash and cash equivalents | $ 291.5 | $ 151.6 | |
Accounts receivable (net of allowances of $72.0 and $53.2) | 2,083.2 | 2,193.2 | |
Inventories | 2,137.7 | 2,107.5 | |
Other current assets | 490.2 | 496.2 | |
Assets held for sale | 3.3 | 25.8 | |
Total current assets | 5,005.9 | 4,974.3 | |
Property, plant and equipment, net | 10,922.6 | 11,189.5 | |
Goodwill | 7,270.5 | 7,285.6 | |
Intangibles, net | 3,749.4 | 4,059.5 | |
Restricted assets held by special purpose entities | 1,269.2 | 1,274.3 | |
Prepaid pension asset | 305.9 | 224.7 | |
Other assets | 1,754.1 | 1,148.8 | |
Total Assets | 30,277.6 | 30,156.7 | |
Current liabilities: | |||
Current portion of debt | 213.1 | 561.1 | |
Accounts payable | 1,513.5 | 1,831.8 | |
Accrued compensation and benefits | 377.2 | 470.4 | |
Other current liabilities | 683.1 | 571.8 | |
Total current liabilities | 2,786.9 | 3,435.1 | |
Long-term debt due after one year | 9,840.3 | 9,502.3 | |
Pension liabilities, net of current portion | 271.3 | 294 | |
Postretirement benefit liabilities, net of current portion | 151.9 | 162.1 | |
Non-recourse liabilities held by special purpose entities | 1,138.7 | 1,145.2 | |
Deferred income taxes | 2,888.2 | 2,878 | |
Other long-term liabilities | 1,468.8 | 1,053.9 | |
Commitments and contingencies (Note 14) | |||
Redeemable noncontrolling interests | 1.6 | 1.9 | |
Equity: | |||
Preferred stock, $0.01 par value; 30.0 million shares authorized; no shares outstanding | 0 | 0 | |
Common Stock, $0.01 par value; 600.0 million shares authorized; 259.5 million and 257.8 million shares outstanding at June 30, 2020 and September 30, 2019, respectively | 2.6 | 2.6 | |
Capital in excess of par value | 10,857.6 | 10,739.4 | |
Retained earnings | 2,240.3 | 1,997.1 | |
Accumulated other comprehensive loss | [1] | (1,387.4) | (1,069.2) |
Total stockholders’ equity | 11,713.1 | 11,669.9 | |
Noncontrolling interests | 16.8 | 14.3 | |
Total equity | 11,729.9 | 11,684.2 | |
Total Liabilities and Equity | $ 30,277.6 | $ 30,156.7 | |
[1] | All amounts are net of tax and noncontrolling interests. |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 |
Statement Of Financial Position [Abstract] | ||
Allowance for Doubtful Accounts Receivable, Current | $ 72 | $ 53.2 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 30,000,000 | 30,000,000 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 600,000,000 | 600,000,000 |
Common Stock, Shares, Outstanding | 259,500,000 | 257,800,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) shares in Millions, $ in Millions | Total | Common Stock [Member] | Capital in Excess of Par Value [Member] | Retained Earnings [Member] | AOCI Attributable to Parent | Noncontrolling Interests [Member] | |||||
Beginning balance at Sep. 30, 2018 | 253.5 | ||||||||||
Beginning balance at Sep. 30, 2018 | $ 2.5 | $ 10,588.9 | $ 1,573.3 | $ (695.3) | $ 13 | [1] | |||||
Shares issued under restricted stock plan | 3 | ||||||||||
Net income | $ (3.4) | 2.3 | [1] | ||||||||
Contributions | [1] | 0.2 | |||||||||
Distributions and adjustments to noncontrolling interests | [1] | (1.9) | |||||||||
Adoption of accounting standards | [2] | 43.5 | |||||||||
Net income attributable to common stockholders | 552.1 | ||||||||||
Dividends declared (per share - $0.20, $0.455, $1.13 and $1.365) | [3] | (361) | |||||||||
Compensation expense under share-based plans | 52 | ||||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 2.9 | |||||||||
Fair value of share-based awards issued in business combinations | 70.8 | ||||||||||
Purchases of common stock | (2.1) | (2.1) | |||||||||
Ending balance at Jun. 30, 2019 | 257.3 | ||||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | $ 0.1 | [4] | 89.9 | [4] | (0.4) | ||||||
Purchases of common stock | (86.2) | (2.4) | |||||||||
Other comprehensive (loss) income, net of tax | $ (0.1) | [5] | (0.1) | ||||||||
Ending balance at Jun. 30, 2019 | 11,841.3 | $ 2.6 | 10,715.4 | 1,805.1 | (695.4) | 13.6 | [1] | ||||
Total Stockholders’ equity at Jun. 30, 2019 | 11,827.7 | ||||||||||
Beginning balance at Mar. 31, 2019 | 256.9 | ||||||||||
Beginning balance at Mar. 31, 2019 | $ 2.6 | 10,692.5 | 1,671.2 | (725.5) | 12.8 | [1] | |||||
Net income | (1.2) | 0.9 | [1] | ||||||||
Distributions and adjustments to noncontrolling interests | [1] | (0.1) | |||||||||
Net income attributable to common stockholders | 252.6 | ||||||||||
Dividends declared (per share - $0.20, $0.455, $1.13 and $1.365) | [3] | (118.7) | |||||||||
Compensation expense under share-based plans | 15.9 | ||||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 0.4 | |||||||||
Ending balance at Jun. 30, 2019 | 257.3 | ||||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 7 | |||||||||
Other comprehensive (loss) income, net of tax | 30.1 | ||||||||||
Ending balance at Jun. 30, 2019 | 11,841.3 | $ 2.6 | 10,715.4 | 1,805.1 | (695.4) | 13.6 | [1] | ||||
Total Stockholders’ equity at Jun. 30, 2019 | $ 11,827.7 | ||||||||||
Beginning balance at Sep. 30, 2019 | 257.8 | 257.8 | |||||||||
Total Stockholders' equity at Sep. 30, 2019 | $ 11,669.9 | ||||||||||
Beginning balance at Sep. 30, 2019 | 11,684.2 | $ 2.6 | 10,739.4 | 1,997.1 | (1,069.2) | 14.3 | [1] | ||||
Shares issued under restricted stock plan | 0.9 | ||||||||||
Net income | (3.3) | 2.5 | [1] | ||||||||
Adoption of new standard and reclassification of stranded tax effects resulting from Tax Reform | [5] | $ (73.4) | |||||||||
Adoption of new standard and reclassification of stranded tax effects resulting from Tax Reform | ASU 2018-02 [Member] | (73.4) | ||||||||||
Adoption of accounting standards | [2] | 73.5 | |||||||||
Net income attributable to common stockholders | 465.1 | ||||||||||
Dividends declared (per share - $0.20, $0.455, $1.13 and $1.365) | [3] | (295.4) | |||||||||
Compensation expense under share-based plans | 98.4 | ||||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 0.8 | |||||||||
Purchases of common stock | 0 | ||||||||||
Ending balance at Jun. 30, 2020 | 259.5 | 259.5 | |||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 19.8 | |||||||||
Other comprehensive (loss) income, net of tax | $ (244.8) | [5] | (244.8) | ||||||||
Ending balance at Jun. 30, 2020 | 11,729.9 | $ 2.6 | 10,857.6 | 2,240.3 | (1,387.4) | 16.8 | [1] | ||||
Total Stockholders’ equity at Jun. 30, 2020 | 11,713.1 | ||||||||||
Beginning balance at Mar. 31, 2020 | 259.2 | ||||||||||
Beginning balance at Mar. 31, 2020 | $ 2.6 | 10,784.4 | 2,114.4 | (1,419) | 15.6 | [1] | |||||
Shares issued under restricted stock plan | 0.1 | ||||||||||
Net income | $ (1.5) | 1.2 | [1] | ||||||||
Net income attributable to common stockholders | 178.5 | ||||||||||
Dividends declared (per share - $0.20, $0.455, $1.13 and $1.365) | [3] | (52.6) | |||||||||
Compensation expense under share-based plans | 68.9 | ||||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 0.2 | |||||||||
Ending balance at Jun. 30, 2020 | 259.5 | 259.5 | |||||||||
Issuance of common stock, net of stock received for minimum tax withholdings | [4] | 4.3 | |||||||||
Other comprehensive (loss) income, net of tax | 31.6 | ||||||||||
Ending balance at Jun. 30, 2020 | $ 11,729.9 | $ 2.6 | $ 10,857.6 | $ 2,240.3 | $ (1,387.4) | $ 16.8 | [1] | ||||
Total Stockholders’ equity at Jun. 30, 2020 | $ 11,713.1 | ||||||||||
[1] | Excludes amounts related to contingently redeemable noncontrolling interests, which are separately classified outside of permanent equity on the Condensed Consolidated Balance Sheets. | ||||||||||
[2] | For fiscal 2020, the amount primarily relates to the adoption of ASU 2018-02 (as hereinafter defined). For fiscal 2019, the amount relates to the adoption of ASC 606 (as hereinafter defined). | ||||||||||
[3] | Includes cash dividends paid and dividend equivalent units on certain restricted stock awards. | ||||||||||
[4] | Includ | ||||||||||
[5] | All amounts are net of tax and noncontrolling interests. |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) shares in Millions, $ in Millions | 9 Months Ended |
Jun. 30, 2019USD ($)$ / sharesshares | |
Cash dividends paid per share | $ / shares | $ 1.365 |
KapStone [Member] | |
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 1.6 |
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ | $ 70.1 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 9 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Operating activities: | ||
Consolidated net income | $ 468.4 | $ 555.5 |
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 1,121.4 | 1,128.1 |
Cost of real estate sold | 16.1 | 17.3 |
Deferred income tax expense | 16.1 | 36.4 |
Share-based compensation expense | 98.4 | 51.3 |
Pension and other postretirement funding more than expense (income) | (60.7) | (44.3) |
Multiemployer pension withdrawal income | (1.1) | (1.7) |
Land and Development impairments | 13 | |
Other impairment adjustments | 2.2 | 10.5 |
Gain on disposal of plant and equipment and other, net | (5.5) | (39.2) |
Other, net | (33.4) | (61.5) |
Change in operating assets and liabilities, net of acquisitions and divestitures: | ||
Accounts receivable | 82.4 | 93.9 |
Inventories | (70.7) | (39.5) |
Other assets | (98.3) | (171.7) |
Accounts payable | (240.1) | (126.3) |
Income taxes | 15.7 | (29.5) |
Accrued liabilities and other | 28.1 | 7.3 |
Net cash provided by operating activities | 1,339 | 1,399.6 |
Investing activities: | ||
Capital expenditures | (860.2) | (976.8) |
Cash paid related to business combinations, net of cash acquired | (3,368.3) | |
Investment in unconsolidated entities | (1) | (10.4) |
Proceeds from sale of property, plant and equipment | 22.5 | 108.3 |
Proceeds from property, plant and equipment insurance settlement | 2.4 | 16.5 |
Other, net | 10.9 | 30 |
Net cash used for investing activities | (825.4) | (4,200.7) |
Financing activities: | ||
Proceeds from issuance of notes | 598.6 | 2,498.2 |
Additions to revolving credit facilities | 413 | 192.2 |
Repayments of revolving credit facilities | (478.2) | (177.2) |
Additions to debt | 683.1 | 4,441 |
Repayments of debt | (1,195.8) | (4,665) |
(Repayments) additions to commercial paper, net | (9.3) | 445.6 |
Other debt (repayments) additions, net | (69.2) | 45.9 |
Issuances of common stock, net of related minimum tax withholdings | 16.7 | 8.6 |
Purchases of common stock | (88.6) | |
Cash dividends paid to stockholders | (292.6) | (350.7) |
Cash distributions paid to noncontrolling interests | (1.4) | (3.4) |
Other, net | (17) | (7.1) |
Net cash (used for) provided by financing activities | (352.1) | 2,339.5 |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (21.6) | 3.9 |
Increase (decrease) in cash, cash equivalents and restricted cash | 139.9 | (457.7) |
Cash, cash equivalents and restricted cash at beginning of period | 151.6 | 636.8 |
Cash, cash equivalents and restricted cash at end of period | 291.5 | 179.1 |
Supplemental disclosure of cash flow information: | ||
Income taxes, net of refunds | 90.9 | 178.1 |
Interest, net of amounts capitalized | $ 251.4 | $ 249.9 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) $ in Millions | Jun. 30, 2019USD ($) |
Statement Of Cash Flows [Abstract] | |
Fair value of assets acquired, including goodwill | $ 5,943.9 |
Cash consideration for the purchase of businesses, net of cash acquired | (3,369.2) |
Stock issued for the purchase of a business | (70.1) |
Fair value of share-based awards issued in the purchase of a business | (70.8) |
Deferred payments and unpaid working capital | 16.6 |
Liabilities assumed | $ 2,450.4 |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 9 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | Note 1. Basis of Presentation and Significant Accounting Policies Basis of Presentation Our independent registered public accounting firm has not audited our accompanying interim financial statements. We derived the condensed consolidated balance sheet at September 30, 2019 from the audited consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended September 30, 2019 (the “ Fiscal 2019 Form 10-K We have condensed or omitted certain notes and other information from the interim financial statements presented in this report. Therefore, these interim financial statements should be read in conjunction with the Fiscal 2019 Form 10-K. The results for the three and nine months ended June 30, 2020 are not necessarily indicative of results that may be expected for the full year. Reclassifications and Adjustments During fiscal 2020, we evaluated our revolving credit facilities and determined that the borrowings and repayments for certain facilities should be presented gross instead of net on the condensed consolidated statements of cash flow and corrected the presentation of the prior year by an immaterial amount. COVID-19 Pandemic The global impact of the COVID-19 pandemic (“ COVID-19 At June 30, 2020, we evaluated the current economic environment, including our current assessment of the impact of COVID-19, and there were no indicators of impairment of our long-lived assets, including goodwill that required a quantitative test to be performed. Our estimates involve numerous assumptions about the future growth and potential volatility in revenues and costs, capital expenditures, industry and global economic factors, interest rate environment and future business strategy. Accordingly, our accounting estimates may materially change from period to period due to changing market factors, including those driven by COVID-19. We will continue to monitor future events, changes in circumstances and the potential impact thereof, including performing our annual goodwill impairment assessment in the fourth quarter of fiscal 2020. If actual results are not consistent with our assumptions and estimates, we may be exposed to impairment losses that could be material. See “ Note 1. Description of Business and Summary of Significant Accounting Policies — Goodwill and Long-Lived Assets ” in the Fiscal 2019 Form 10-K for additional information regarding the results of, and our methods and assumptions applied to perform, our goodwill impairment testing in fiscal 2019. Significant Accounting Policies See “ Note 1. Description of Business and Summary of Significant Accounting Policies Recent Accounting Developments New Accounting Standards — Recently Adopted In February 2018, the Financial Accounting Standards Board (“ FASB ASU Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income Tax Act In February 2016, the FASB issued ASU 2016-02 “ Leases”, ASC Leases” ASC 842 Leases We adopted the provisions of ASC 842 on October 1, 2019 using the modified retrospective approach and, as a result, did not restate prior periods. See “ Note 13. Leases ” for additional details. New Accounting Standards — Recently Issued See “ Note 1. Description of Business and Summary of Significant Accounting Policies — New Accounting Standards — Recently Issued In March 2020, the FASB issued ASU 2020-04 “ Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” GAAP LIBOR In December 2019, the FASB issued ASU 2019-12 “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” general principles in Topic 740 under GAAP. This ASU also improves consistent application of and simplifies GAAP for other areas of Topic 740 by clarifying and amending existing guidance. This ASU is effective for fiscal years beginning after December 15, 2020 (fiscal 2022 for us) and interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact of this ASU. In October 2018, the FASB issued ASU 2018-17 “ Consolidation: Targeted Improvements to Related Party Guidance for Variable Interest Entities In October 2018, the FASB issued ASU 2018-18 “ Collaborative Arrangements (Topic 808): Clarifying the Interaction Between Topic 808 and Topic 606 Collaborative arrangements ” (“ ASC 808 ”) and ASC 606 “ ” (“ ASC 606 ”). The amendments in this ASU require transactions between participants in a collaborative arrangement to be accounted for under ASC 606 when the counterparty is a customer. This ASU precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue from contracts with customers if the counterparty is not a customer for that transaction. This ASU also amends ASC 808 to refer to the unit-of-account guidance in ASC 606 and requires it to be used only when assessing whether a transaction is in scope of ASC 606. This ASU is effective for fiscal years beginning after December 15, 2019 (fiscal 2021 for us) and interim periods within those fiscal years. Early adoption is permitted. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-15 “ Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In August 2018, the FASB issued ASU 2018-14 “ Compensation – Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Changes to the Disclosure Requirements for Defined Benefit Plans In January 2017, the FASB issued ASU 2017-04, “ Simplifying the Test for Goodwill Impairment “Intangibles Goodwill and Other” In June 2016, the FASB issued ASU 2016-13 “ Financial Instruments – Credit losses: Measurement of Credit Losses on financial Instruments (Topic 326) ASU 2016-13 effective. In April 2019, the FASB issued ASU 2019-04 “ Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments ” (“ ASU 2019-04 ”), which addresses issues related to accrued interest receivable balances, recoveries, variable interest rates and prepayments, among other things. In May 2019, the FASB issued ASU 2019-05 “Financial Instruments – Credit Losses (Topic 326): Targeted Transition Relief” (“ ASU 2019-05 ”), which provides targeted transition relief allowing entities to make an irrevocable one-time election upon adoption of the new credit losses standard to measure financial assets previously measured at amortized cost (except held-to-maturity securities) using the fair value option. In November 2019, the FASB issued ASU 2019-11 “ Codification Improvements to Topic 326, Financial Instruments – Credit Losses ” (“ ASU 2019-11 ”), which makes certain narrow-scope amendments to Topic 326, including allowing entities to exclude accrued interest amounts from various required disclosures under Topic 326. In February 2020, the FASB issued ASU 2020-02 “ Financial Instruments – Credit Losses (Topic 326) and Leases (Topic 842) ” (“ ASU 2020-02 ”), which adds and amends paragraphs in the Accounting Standards Codification to reflect the issuance of U.S. Securities and Exchange Commission (“ SEC ”) Staff Accounting Bulletin No. 119 primarily related to the new credit losses standard. The provisions of ASU 2019-04, ASU 2019-05, ASU 2019-11 and ASU 2020-02 related to Topic 326 are effective concurrent with the adoption of ASU 2016-13. While we are completing our analysis, we do not expect the adoption of these ASUs to have a material impact on our consolidated financial statements. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Jun. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Recognition | Note 2. Revenue Recognition Disaggregated Revenue ASC 606 are attributed to geographical markets based on our selling location. Three Months Ended June 30, 2020 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 2,632.4 $ 1,238.4 $ — $ (44.8 ) $ 3,826.0 South America 87.8 14.1 — — 101.9 Europe 0.6 233.8 — (0.2 ) 234.2 Asia Pacific 8.0 66.3 — (0.1 ) 74.2 Total $ 2,728.8 $ 1,552.6 $ — $ (45.1 ) $ 4,236.3 Nine Months Ended June 30, 2020 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 8,187.0 $ 3,718.8 $ 18.9 $ (137.7 ) $ 11,787.0 South America 296.1 52.9 — — 349.0 Europe 4.9 731.8 — (0.2 ) 736.5 Asia Pacific 32.8 202.3 — (0.3 ) 234.8 Total $ 8,520.8 $ 4,705.8 $ 18.9 $ (138.2 ) $ 13,107.3 Three Months Ended June 30, 2019 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 2,954.6 $ 1,306.0 $ 8.6 $ (41.3 ) $ 4,227.9 South America 102.8 14.8 — — 117.6 Europe 0.7 259.3 — (0.1 ) 259.9 Asia Pacific 14.7 70.0 — (0.1 ) 84.6 Total $ 3,072.8 $ 1,650.1 $ 8.6 $ (41.5 ) $ 4,690.0 Nine Months Ended June 30, 2019 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 8,426.3 $ 3,870.7 $ 23.3 $ (119.0 ) $ 12,201.3 South America 321.2 52.2 — — 373.4 Europe 0.7 789.4 — (0.1 ) 790.0 Asia Pacific 49.1 224.9 — (1.3 ) 272.7 Total $ 8,797.3 $ 4,937.2 $ 23.3 $ (120.4 ) $ 13,637.4 Revenue Contract Balances Contract assets are rights to consideration in exchange for goods that we have transferred to a customer when that right is conditional on something other than the passage of time. Contract assets are reduced when title and risk of loss passes to the customer. Contract liabilities represent obligations to transfer goods or services to a customer for which we have received consideration. Contract liabilities are reduced once control of the goods is transferred to the customer. The opening and closing balances of our contract assets and contract liabilities are as follows. Contract assets and contract liabilities are aggregated within Other current assets and Other current liabilities, respectively, on the condensed consolidated balance sheet. (In millions) Contract Assets (Short-Term) Contract Liabilities (Short-Term) Beginning balance - October 1, 2019 $ 188.0 $ 7.7 Ending balance - June 30, 2020 202.0 16.9 Increase / (Decrease) $ 14.0 $ 9.2 |
Acquisitions
Acquisitions | 9 Months Ended |
Jun. 30, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | Note 3. Acquisitions We account for acquisitions in accordance with ASC 805, “ Business Combinations Note 3. Acquisitions and Investment KapStone Acquisition On November 2, 2018, pursuant to the Agreement and Plan of Merger (the “ Merger Agreement WRKCo KapStone KapStone Acquisition Effective Time KapStone is a leading North American producer and distributor of containerboard, corrugated products and specialty papers, including liner and medium containerboard, kraft papers and saturating kraft. KapStone also owns Victory Packaging, a packaging solutions distribution company with facilities in the U.S., Canada and Mexico. We have included the financial results of KapStone in our Corrugated Packaging segment since the date of the KapStone Acquisition. Pursuant to the KapStone Acquisition, at the Effective Time, (a) each issued and outstanding share of common stock, par value $0.01 per share, of WRKCo was converted into one share of common stock, par value $0.01 per share, of the Company (“ Company common stock KapStone common stock $35.00 per share Cash Consideration 0.4981 Stock Consideration 25% Maximum Stock Amount The consideration for the KapStone Acquisition was $4.9 billion including debt assumed, a long-term financing obligation and assumed equity awards. As a result, KapStone stockholders received in the aggregate approximately $3.3 billion in cash and WestRock common stock with a value of $70.1 million, or approximately 0.6% of the issued and outstanding shares of WestRock common stock immediately following the Effective Time. Pursuant to the Merger Agreement, at the Effective Time, the Company assumed any outstanding awards granted under the equity-based incentive plans of WRKCo and KapStone (including the shares underlying such awards), the award agreements evidencing the grants of such awards and, in the case of the WRKCo equity-based incentive plans, the remaining shares available for issuance under the applicable plan, in each case subject to adjustments to such awards in the manner set forth in the Merger Agreement. The following table summarizes the fair values of the assets acquired and liabilities assumed in the KapStone Acquisition by major class of assets and liabilities as of the acquisition date, as well as adjustments made during fiscal 2019 and fiscal 2020 (referred to as “ measurement period adjustments Amounts Recognized as of the Acquisition Date Measurement Period Adjustments (1) Amounts Recognized as of Acquisition Date (as Adjusted) (2) Cash and cash equivalents $ 8.6 $ — $ 8.6 Current assets, excluding cash and cash equivalents 878.9 (30.2 ) 848.7 Property, plant and equipment, net 1,910.3 11.5 1,921.8 Goodwill 1,755.0 0.5 1,755.5 Intangible assets 1,336.1 30.3 1,366.4 Other long-term assets 27.9 (0.1 ) 27.8 Total assets acquired 5,916.8 12.0 5,928.8 Current portion of debt 33.3 — 33.3 Current liabilities 337.5 7.9 345.4 Long-term debt due after one year 1,333.4 — 1,333.4 Accrued pension and other long-term benefits 9.8 2.8 12.6 Deferred income taxes 609.7 (1.4 ) 608.3 Other long-term liabilities 118.4 2.7 121.1 Total liabilities assumed 2,442.1 12.0 2,454.1 Net assets acquired $ 3,474.7 $ — $ 3,474.7 (1) (2) The measurement period adjustments were primarily due to refinements to third party appraisals and carrying amounts of certain assets and liabilities, as well as adjustments to certain tax accounts based on, among other things, adjustments to deferred tax liabilities. The net impact of the measurement period adjustments to goodwill were essentially flat. The fair value assigned to goodwill is primarily attributable to buyer-specific synergies expected to arise after the KapStone Acquisition (e.g., enhanced geographic reach of the combined organization, increased vertical integration and other synergistic opportunities) and the assembled work force of KapStone, as well as from establishing deferred tax liabilities for the assets and liabilities acquired. The goodwill and intangible assets resulting from the KapStone Acquisition are not amortizable for tax purposes. The following table summarizes the weighted average life and the fair value of intangible assets recognized in the KapStone Acquisition, excluding goodwill (in millions, except lives): Weighted Avg. Life Gross Carrying Amount Customer relationships 11.7 $ 1,303.0 Trademarks and tradenames 16.9 54.2 Favorable contracts 6.0 9.2 Total 11.9 $ 1,366.4 None of the intangible assets have significant residual value. The intangible assets are being amortized over estimated useful lives ranging from one to 20 years based on a straight-line basis because the amortization pattern was not reliably determinable. |
Restructuring and Other Costs
Restructuring and Other Costs | 9 Months Ended |
Jun. 30, 2020 | |
Restructuring And Other Costs [Abstract] | |
Restructuring and Other Costs | Note 4. Restructuring and Other Costs Summary of Restructuring and Other Initiatives We recorded pre-tax restructuring and other costs of $9.7 million and $56.2 million for the three and nine months ended June 30, 2020 and $17.9 million and $107.1 million for the three and nine months ended June 30, 2019. These amounts are not comparable since the timing and scope of the individual actions associated with each restructuring, acquisition, integration or divestiture can vary. We present our restructuring and other costs in more detail below. The following table summarizes our Restructuring and other costs (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Restructuring $ 7.4 $ 6.4 $ 40.1 $ 56.4 Other 2.3 11.5 16.1 50.7 Restructuring and other costs $ 9.7 $ 17.9 $ 56.2 $ 107.1 Restructuring Our restructuring charges are primarily associated with restructuring portions of our operations (i.e. partial or complete plant closures), employee costs due to merger and acquisition-related workforce reductions, including voluntary retirement programs in fiscal 2019 and 2020. When we close a facility, if necessary, we recognize a write-down to reduce the carrying value of equipment or other property to their estimated fair value less cost to sell and record charges for severance and other employee-related costs. Any subsequent change in fair value less cost to sell prior to disposition is recognized as it is identified; however, no gain is recognized in excess of the cumulative loss previously recorded unless the actual selling price exceeds the original carrying value. At the time of each announced plant closure, we generally expect to record future period costs for equipment relocation, facility carrying costs, costs to terminate a lease or contract before the end of its term and employee-related costs. Although specific circumstances vary, our strategy has generally been to consolidate our sales and operations into large well-equipped plants that operate at high utilization rates and take advantage of available capacity created by operational excellence initiatives and/or further optimize our system following mergers and acquisitions or a changing business environment. Therefore, we generally transfer a substantial portion of each closed plant’s assets and production to our other plants. We believe these actions have allowed us to more effectively manage our business. In our Land and Development segment, the restructuring charges primarily consisted of severance and other employee costs associated with the essentially completed accelerated monetization strategy and wind-down of operations and lease costs. While restructuring costs are not charged to our segments and, therefore, do not reduce segment income, we highlight the segment to which the charges relate. The following table presents a summary of restructuring charges related to active restructuring initiatives that we incurred during the three and nine months ended June 30, 2020 and 2019, the cumulative recorded amount since we started the initiatives and our estimate of the total costs we expect to incur (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Cumulative Total Expected Corrugated Packaging Net property, plant and equipment costs $ (0.3 ) $ (1.9 ) $ 2.2 $ 5.2 $ 96.3 $ 96.3 Severance and other employee costs 3.2 1.6 6.8 12.3 41.3 41.3 Equipment and inventory relocation costs 0.2 1.6 1.5 3.0 9.8 10.5 Facility carrying costs 0.4 0.6 1.4 2.6 19.9 20.6 Other costs 0.1 (0.1 ) 0.5 0.2 5.7 5.9 Restructuring total $ 3.6 $ 1.8 $ 12.4 $ 23.3 $ 173.0 $ 174.6 Consumer Packaging Net property, plant and equipment costs $ — $ 0.2 $ 0.5 $ — $ 30.1 $ 30.1 Severance and other employee costs 1.9 1.2 15.0 4.0 53.4 53.4 Equipment and inventory relocation costs — 0.2 0.1 0.9 6.0 6.5 Facility carrying costs — 0.2 — 0.2 1.9 1.9 Other costs 1.2 0.3 1.8 3.5 10.4 11.6 Restructuring total $ 3.1 $ 2.1 $ 17.4 $ 8.6 $ 101.8 $ 103.5 Land and Development Net property, plant and equipment costs $ — $ — $ — $ — $ 1.8 $ 1.8 Severance and other employee costs — — — 0.1 13.8 13.8 Other costs — — — — 3.0 3.0 Restructuring total $ — $ — $ — $ 0.1 $ 18.6 $ 18.6 Corporate Severance and other employee costs $ 0.1 2.4 9.0 22.2 $ 47.3 $ 47.3 Other costs 0.6 0.1 1.3 2.2 8.7 8.7 Restructuring total $ 0.7 $ 2.5 $ 10.3 $ 24.4 $ 56.0 $ 56.0 Total Net property, plant and equipment costs $ (0.3 ) $ (1.7 ) $ 2.7 $ 5.2 $ 128.2 $ 128.2 Severance and other employee costs 5.2 5.2 30.8 38.6 155.8 155.8 Equipment and inventory relocation costs 0.2 1.8 1.6 3.9 15.8 17.0 Facility carrying costs 0.4 0.8 1.4 2.8 21.8 22.5 Other costs 1.9 0.3 3.6 5.9 27.8 29.2 Restructuring total $ 7.4 $ 6.4 $ 40.1 $ 56.4 $ 349.4 $ 352.7 We have defined “ Net property, plant and equipment costs ” as used in this Note 4 as property, plant and equipment write-downs, subsequent adjustments to fair value for assets classified as held for sale, subsequent (gains) or losses on sales of property, plant and equipment and related parts and supplies on such assets, if any. Other Costs Our other costs consist of acquisition, integration and divestiture costs. We incur costs when we acquire or divest businesses. Acquisition costs include costs associated with transactions, whether consummated or not, such as advisory, legal, accounting and other professional or consulting fees, as well as potential litigation costs associated with those activities. We incur integration costs pre- and post-acquisition that reflect work being performed to facilitate merger and acquisition integration, such as work associated with information systems and other projects including spending to support future acquisitions, and primarily consist of professional services and labor. Divestiture costs consist primarily of similar professional fees. We consider acquisition, divestiture and integration costs to be Corporate costs regardless of the segment or segments involved in the transaction. The following table presents our acquisition, integration and divestiture costs (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Acquisition costs $ (0.2 ) $ 0.9 $ 0.2 $ 27.9 Integration costs 2.5 10.6 15.9 22.6 Divestiture costs — — — 0.2 Other total $ 2.3 $ 11.5 $ 16.1 $ 50.7 The following table summarizes the changes in the restructuring accrual, which is primarily composed of accrued severance and other employee costs, and presents a reconciliation of the restructuring accrual charges to the line item “ Restructuring and other costs Nine Months Ended June 30, 2020 2019 Accrual at beginning of fiscal year $ 32.3 $ 31.6 Additional accruals 31.7 37.5 Payments (35.3 ) (32.9 ) Adjustment to accruals (1.1 ) (3.1 ) Foreign currency rate changes — 0.1 Accrual at June 30 $ 27.6 $ 33.2 Reconciliation of accruals and charges to restructuring and other costs (in millions): Nine Months Ended June 30, 2020 2019 Additional accruals and adjustments to accruals (see table above) $ 30.6 $ 34.4 Acquisition costs 0.2 27.9 Integration costs 15.9 22.6 Divestiture costs — 0.2 Net property, plant and equipment costs 2.7 5.2 Severance and other employee costs (0.1 ) 6.9 Equipment and inventory relocation costs 1.6 3.9 Facility carrying costs 1.4 2.8 Other costs 3.9 3.2 Total restructuring and other costs $ 56.2 $ 107.1 |
Retirement Plans
Retirement Plans | 9 Months Ended |
Jun. 30, 2020 | |
Retirement Plans [Abstract] | |
Retirement Plans | Note 5. Retirement Plans We have defined benefit pension plans and other postretirement benefit plans for certain U.S. and non-U.S. employees. Certain plans were frozen for salaried and non-union hourly employees at various times in the past, although some employees meeting certain criteria are still accruing benefits. In addition, we participate in several multiemployer pension plans (“ MEPP MEPPs Note 5. Retirement Plans Note 5. Retirement Plans — Multiemployer Plans MEPPs In the normal course of business, we evaluate our potential exposure to MEPPs, including with respect to potential withdrawal liabilities. During fiscal 2018, we submitted formal notification to withdraw from the Pace Industry Union-Management Pension Fund (“ PIUMPF In September 2019, we received a demand from PIUMPF asserting that we owe $170.3 million on an undiscounted basis (approximately $0.7 million per month for the next 20 years) with respect to our withdrawal liability. The initial demand did not address any assertion of liability for PIUMPF’s accumulated funding deficiency. In October 2019, we received two additional demand letters from PIUMPF related to a subsidiary of ours asserting that we owe $2.3 million on an undiscounted basis to be paid over 20 years with respect to the subsidiary’s withdrawal liability and $2.0 million for its accumulated funding deficiency. In February 2020, we received a demand letter from PIUMPF asserting that we owe $51.2 million for our pro-rata share of PIUMPF’s accumulated funding deficiency, including interest. We are evaluating each of these demands and we expect to challenge the accumulated funding deficiency demands. We began making monthly payments for these withdrawal liabilities in fiscal 2020. We have also made other immaterial adjustments from time to time to our various other withdrawal liabilities. At June 30, 2020 and September 30, 2019, we had withdrawal liabilities recorded of $237.7 million and $237.2 million, respectively. Pension and Postretirement Income / Expense The following table presents a summary of the components of net pension income (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Service cost $ 11.9 $ 10.2 $ 39.2 $ 32.5 Interest cost 49.7 58.8 149.1 174.0 Expected return on plan assets (90.1 ) (85.9 ) (271.7 ) (254.7 ) Amortization of net actuarial loss 11.4 6.3 35.1 18.7 Amortization of prior service cost 1.9 1.3 5.4 3.9 Curtailment loss — 0.1 0.4 1.0 Company defined benefit plan income (15.2 ) (9.2 ) (42.5 ) (24.6 ) Multiemployer pension withdrawal income (2.0 ) (1.7 ) (1.1 ) (1.7 ) Multiemployer and other plans 0.3 0.2 1.0 0.5 Net pension income $ (16.9 ) $ (10.7 ) $ (42.6 ) $ (25.8 ) The non-service elements of our pension and postretirement costs set forth in this Note 5. Retirement Plans We maintain other postretirement benefit plans that provide certain health care and life insurance benefits for certain salaried and hourly employees who meet specified age and service requirements as defined by the plans. The following table presents a summary of the components of the net postretirement cost (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Service cost $ 0.3 $ 0.2 $ 1.0 $ 0.8 Interest cost 1.7 1.9 5.3 5.8 Amortization of net actuarial loss (gain) 0.5 (0.7 ) 0.1 (1.5 ) Amortization of prior service credit (0.7 ) (0.7 ) (2.1 ) (2.1 ) Net postretirement cost $ 1.8 $ 0.7 $ 4.3 $ 3.0 Employer Contributions During the three and nine months ended June 30, 2020, we made contributions to our qualified and supplemental defined benefit pension plans of $4.6 million and $17.2 million, respectively, and for the three and nine months ended June 30, 2019, we made contributions of $6.6 million and $16.1 million, respectively. During the three and nine months ended June 30, 2020, we funded an aggregate of $1.6 million and $5.3 million, respectively, and for the three and nine months ended June 30, 2019, we funded an aggregate of $2.2 million and $6.6 million, respectively, to our other postretirement benefit plans. |
Income Taxes
Income Taxes | 9 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 6. Income Taxes The effective tax rate for the three and nine months ended June 30, 2020 was 9.6% and 20.9%, respectively. The effective tax rate for the three and nine months ended June 30, 2020 was lower than the statutory federal rate primarily due to (i) the annual domestic federal return-to-provision adjustments, (ii) adjustments to certain uncertain tax positions and (iii) research and development tax credits, partially offset by the (iv) inclusion of state taxes, (v) income derived from certain foreign jurisdictions subject to higher tax rates, (vi) the exclusion of tax benefits related to losses recorded by certain foreign operations, and (vii) tax expense related to stock based compensation . The effective tax rate for the three and nine months ended June 30, 2019 was 23.4% and 25.2%, respectively. The effective tax rate for the three months ended June 30, 2019 was higher than the statutory federal rate primarily due to (i) the inclusion of state taxes, (ii) income derived from certain foreign jurisdictions subject to higher tax rates and (iii) the exclusion of tax benefits related to losses recorded by certain foreign operations, partially offset by (iv) the inclusion of tax benefits related to state tax law changes and (v) research and development tax credits. The effective tax rate for the nine months ended June 30, 2019 was higher than the statutory federal rate primarily due to (i) the inclusion of state taxes, (ii) income derived from certain foreign jurisdictions subject to higher tax rates, (iii) the exclusion of tax benefits related to losses recorded by certain foreign operations, (iv) the limitation of certain transaction costs and (v) the increase of deferred tax liabilities in certain state jurisdictions, partially offset by (vi) the inclusion of tax benefits related to share-based compensation and state tax law changes, (vii) research and development tax credits and (viii) an adjustment of the valuation allowance against net operating losses of foreign subsidiaries. |
Segment Information
Segment Information | 9 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | Note 7. We report our financial results of operations in the following three reportable segments: Corrugated Packaging, which consists of our containerboard mills, corrugated packaging and distribution operations, as well as our merchandising displays and recycling procurement operations; Consumer Packaging, which consists of our consumer mills, food and beverage and partition operations; and Land and Development, which previously sold real estate primarily in the Charleston, SC region. Certain income and expenses are not allocated to our segments and, thus, the information that management uses to make operating decisions and assess performance does not reflect these amounts. Items not allocated are reported as non-allocated expenses or in other line items in the table below after segment income. The following tables show selected operating data for our segments (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Net sales (aggregate): Corrugated Packaging $ 2,728.8 $ 3,072.8 $ 8,520.8 $ 8,797.3 Consumer Packaging 1,552.6 1,650.1 4,705.8 4,937.2 Land and Development — 8.6 18.9 23.3 Total $ 4,281.4 $ 4,731.5 $ 13,245.5 $ 13,757.8 Less net sales (intersegment): Corrugated Packaging $ 15.3 $ 19.7 $ 54.3 $ 57.1 Consumer Packaging 29.8 21.8 83.9 63.3 Total $ 45.1 $ 41.5 $ 138.2 $ 120.4 Net sales (unaffiliated customers): Corrugated Packaging $ 2,713.5 $ 3,053.1 $ 8,466.5 $ 8,740.2 Consumer Packaging 1,522.8 1,628.3 4,621.9 4,873.9 Land and Development — 8.6 18.9 23.3 Total $ 4,236.3 $ 4,690.0 $ 13,107.3 $ 13,637.4 Segment income: Corrugated Packaging $ 227.9 $ 392.7 $ 755.8 $ 949.8 Consumer Packaging 95.3 91.0 232.3 253.1 Land and Development — 1.6 1.4 2.8 Segment income 323.2 485.3 989.5 1,205.7 (Loss) gain on sale of certain closed facilities — (2.7 ) 5.5 47.8 Multiemployer pension withdrawal income 2.0 1.7 1.1 1.7 Land and Development impairments — — — (13.0 ) Restructuring and other costs (9.7 ) (17.9 ) (56.2 ) (107.1 ) Non-allocated expenses (18.3 ) (24.4 ) (54.1 ) (67.8 ) Interest expense, net (92.4 ) (111.1 ) (283.2 ) (317.3 ) Loss on extinguishment of debt (0.6 ) (3.2 ) (1.1 ) (4.7 ) Other (expense) income, net (5.0 ) 3.7 (9.6 ) (2.3 ) Income before income taxes $ 199.2 $ 331.4 $ 591.9 $ 743.0 Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Depreciation and amortization: Corrugated Packaging $ 233.1 $ 241.4 $ 717.0 $ 702.6 Consumer Packaging 131.2 140.7 399.7 418.5 Corporate 1.4 3.2 4.7 7.0 Total $ 365.7 $ 385.3 $ 1,121.4 $ 1,128.1 In October 2018, our containerboard and pulp mill located in Panama City, FL sustained extensive damage from Hurricane Michael. In the three months ended December 31, 2019, we received the remaining Hurricane Michael-related insurance proceeds of $32.3 million, of which $29.5 million was recorded as a reduction of cost of goods sold in our Corrugated Packaging segment. The remaining The insurance proceeds consisted of $11.7 million of business interruption recoveries and $20.6 million for direct costs and property damage. Our condensed consolidated statement of cash flows for the nine months ended June 30, 2020 included $30.9 million in net cash provided by operating activities and $1.4 million of cash proceeds included in net cash used for investing activities related to Hurricane Michael and a $1.0 million receipt of proceeds recorded as a reduction of cost of goods sold in the third quarter of fiscal 2020 for an unrelated matter in the Consumer Packaging segment. In the three and nine months ended June 30, 2019, we received insurance proceeds of $30.0 million and $110.0 million, respectively, that were . The insurance proceeds for the nine months ended June 30, 2019 consisted of $45.0 million of business interruption recoveries and $65.0 million for direct costs and property damage. Our condensed consolidated statement of cash flows for the nine months ended June 30, 2019 included $93.5 million in net cash provided by operating activities and $16.5 million of cash proceeds included in net cash used for investing activities. |
Inventories
Inventories | 9 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 8. Inventories We value substantially all of our U.S. inventories at the lower of cost or market, with cost determined on a last-in first-out (“ LIFO FIFO The components of inventories were as follows (in millions): June 30, 2020 September 30, 2019 Finished goods and work in process $ 937.1 $ 938.9 Raw materials 788.0 818.8 Spare parts and supplies 513.8 479.7 Inventories at FIFO cost 2,238.9 2,237.4 LIFO reserve (101.2 ) (129.9 ) Net inventories $ 2,137.7 $ 2,107.5 |
Property, Plant and Equipment
Property, Plant and Equipment | 9 Months Ended |
Jun. 30, 2020 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | Note 9. The components of property, plant and equipment were as follows (in millions): June 30, 2020 September 30, 2019 Property, plant and equipment at cost: Land and buildings $ 2,507.3 $ 2,442.3 Machinery and equipment 15,044.2 14,743.6 Forestlands and mineral rights 114.1 144.0 Transportation equipment 28.8 31.2 Leasehold improvements 102.8 100.2 17,797.2 17,461.3 Less: accumulated depreciation, depletion and amortization (6,874.6 ) (6,271.8 ) Property, plant and equipment, net $ 10,922.6 $ 11,189.5 |
Fair Value
Fair Value | 9 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Note 10. Fair Value Assets and Liabilities Measured or Disclosed at Fair Value We estimate fair values in accordance with ASC 820, “Fair Value Measurement Note 12. Fair Value “ Note 11. Debt ”. Note 5. Retirement Plans Financial Instruments Not Recognized at Fair Value Financial instruments not recognized at fair value on a recurring or nonrecurring basis include cash and cash equivalents, accounts receivable, certain other current assets, short-term debt, accounts payable, certain other current liabilities and long-term debt. With the exception of long-term debt, the carrying amounts of these financial instruments approximate their fair values due to their short maturities. Fair Value of Nonfinancial Assets and Nonfinancial Liabilities We measure certain nonfinancial assets and nonfinancial liabilities at fair value on a nonrecurring basis. These assets and liabilities include equity method investments and investments for which the fair value alternative is elected when they are deemed to be other-than-temporarily impaired, assets acquired and liabilities assumed in a merger, acquisition or in a nonmonetary exchange, and property, plant and equipment and intangible assets that are written down to fair value when they are held for sale or determined to be impaired. See “ Note 4. Restructuring and Other Costs ” for impairments associated with restructuring activities presented as “net property, plant and equipment costs”. Accounts Receivable Sales Agreement We are a party to an accounts receivable sales agreement (the “ A/R Sales Agreement Transfers and Servicing The following table presents a summary of the activity under the A/R Sales Agreement for the nine months ended June 30, 2020 and June 30, 2019 (in millions): Nine Months Ended June 30, 2020 2019 Receivable from financial institution at beginning of fiscal year $ — $ — Receivables sold to the financial institution and derecognized 1,847.8 1,453.5 Receivables collected by financial institution (1,844.7 ) (1,441.6 ) Cash paid to financial institution (3.1 ) (11.9 ) Receivable $ — $ — While the expense recorded in connection with the sale of receivables may vary based on current rates and levels of receivables sold, the expense recorded in connection with the sale of receivables has generally ranged from $2 million to $4 million per quarter and is recorded in “other (expense) income, net”. Although the sales are made without recourse, we maintain continuing involvement with the sold receivables as we provide collections services related to the transferred assets. The associated servicing liability is not material given the high quality of the customers underlying the receivables and the anticipated short collection period. |
Debt
Debt | 9 Months Ended |
Jun. 30, 2020 | |
Debt [Abstract] | |
Debt | Note 11. Debt See “ Note 13. Debt The following table shows the carrying value of the individual components of our debt (in millions): June 30, 2020 September 30, 2019 Public bonds due fiscal 2020 to 2022 $ 399.2 $ 507.8 Public bonds due fiscal 2023 to 2028 3,772.4 3,769.1 Public bonds due fiscal 2029 to 2033 2,781.9 2,197.6 Public bonds due fiscal 2037 to 2047 178.7 179.0 Term loan facilities 1,797.1 2,295.5 Revolving credit and swing facilities 285.0 396.0 Commercial paper 329.9 339.2 Finance lease obligations 277.8 185.8 Supplier financing and commercial card programs 101.0 123.2 International and other debt 130.4 70.2 Total debt 10,053.4 10,063.4 Less: current portion of debt 213.1 561.1 Long-term debt due after one year $ 9,840.3 $ 9,502.3 A portion of the debt classified as long-term may be paid down earlier than scheduled at our discretion without penalty. Certain customary restrictive covenants govern the maximum availability under our credit facilities. We test and report our compliance with these covenants as required and were in compliance with all of our covenants at June 30, 2020. The increase in finance lease obligations during fiscal 2020 was primarily the result of our adoption on October 1, 2019 of the leasing guidance codified in ASC 842 that caused us to recharacterize a short-term and long-term liability for two chip mills to a $100.3 million finance lease obligation. The estimated fair value of our debt was approximately $10.8 billion as of June 30, 2020 and $10.6 billion at September 30, 2019. The fair value of our long-term debt is categorized as level 2 within the fair value hierarchy and is primarily either based on quoted prices for those or similar instruments or approximates the carrying amount as the variable interest rates reprice frequently at observable current market rates. June 2033 Notes On June 1, 2020, WRKCo issued $600.0 million aggregate principal amount of its 3.00% Senior Notes due 2033 (the “ June 2033 Notes Securities Act Parent RKT MWV Guarantor Subsidiaries Revolving Credit Facility On November 21, 2019, we amended our $2.0 billion unsecured revolving credit facility (the “ Credit Facility In connection with the amendment of the Credit Facility, on November 21, 2019, we terminated our $450.0 million unsecured revolving credit facility with Wells Fargo Bank, National Association, as administrative agent. Delayed Draw Credit Facilities On March 7, 2018, we entered into a credit agreement with Wells Fargo as administrative agent to provide for $3.8 billion of senior unsecured term loans, consisting of a 364-day $300.0 million term loan, a 3-year $1.75 billion term loan and a 5-year $1.75 billion term loan (the “ Delayed Draw Credit Facilities On February 27, 2020, we prepaid $200.0 million of our 5-year term loan using proceeds from the issuance of commercial paper and cash and cash equivalents. On June 16, 2020, we prepaid $300.0 million of our 5-year term loan using cash and cash equivalents. At June 30, 2020, there was $898.4 million outstanding on the 5-year term loan. Receivables Securitization Facility On May 2, 2019, we amended our $700.0 million receivables securitization agreement (the “ Receivables Securitization Facility European Revolving Credit Facility On April 27, 2018, we entered into a €500.0 million revolving credit facility with an incremental €100.0 million accordion feature with Coöperatieve Rabobank U.A., New York Branch as the administrative agent for the syndicate of banks. This facility provides for a 3-year unsecured U.S. dollar, Euro and British Pound denominated borrowing of not more than €500.0 million. On November 21, 2019, we amended the facility to, among other things, extend the maturity date from April 27, 2021 to November 21, 2022. At June 30, 2020 June 30, 2020 Commercial Paper Program On October 31, 2017, we established an unsecured commercial paper program, pursuant to which we were able to issue short-term, unsecured commercial paper notes in an aggregate principal amount at any time not to exceed $1.0 billion with up to 397-day maturities. On December 7, 2018, we terminated the commercial paper program and established a new unsecured commercial paper program with WRKCo as the issuer. Under the new program, we may issue short-term unsecured commercial paper notes in an aggregate principal amount at any time not to exceed $ 1.0 billion with up to 397-day maturities. The commercial paper program has no expiration date and can be terminated by either the agent or us with not less than 30 days ’ notice. Our $ 2.3 billion unsecured revolving credit facility is intended to backstop the commercial paper program. Amounts available under the program may be borrowed, repaid and re-borrowed from time to time. The net proceeds from issuances of notes under the program were initially used to repay amounts outstanding under the KapStone securitization facility that were assumed in the KapStone Acquisition and subsequently terminated, and have been, and are expected to continue to be, used for general corporate purposes. At June 30, 2020 , there was $ 329.9 million outstanding and the average borrowing rate was 0.34 %. At September 30, 2019, there was $ 339.2 million outstanding and the average borrowing rate was 2.39 %. At June 30, 2020 and September 30, 2019 , $ 250.0 million of the total amount outstanding was classified as long-term debt. |
Selected Condensed Consolidatin
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors | 9 Months Ended |
Jun. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors | Note 12. Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors The notes issued by WRKCo (“ Issuer Note 13. Debt — Exchanged Notes Note 14. Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors In accordance with GAAP, we retrospectively account for changes in our legal structure that constitute transfers of businesses between issuers, guarantors and non-guarantors. As such, our prior period financial statements may vary from those previously reported. The information in the prior year tables reflect such revisions, as well as revisions to correct immaterial errors in prior presentations. In accordance with Rule 3-10 of Regulation S-X, the following tables present condensed consolidating financial data of the Parent, the Issuer, the Guarantor Subsidiaries, the non-guarantor subsidiaries and eliminations. Such financial data include the related Condensed Consolidating Statements of Income for the three and nine months ended June 30, 2020 and June 30, 2019, Condensed Consolidating Balance Sheets as of June 30, 2020 and September 30, 2019 and Condensed Consolidating Statements of Cash Flows for the nine months ended June 30, 2020 and June 30, 2019. CONDENSED CONSOLIDATING STATEMENTS OF INCOME Three Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 604.9 $ 4,293.6 $ (662.2 ) $ 4,236.3 Cost of goods sold — — 485.3 3,635.4 (654.4 ) 3,466.3 Gross profit — — 119.6 658.2 (7.8 ) 770.0 Selling, general and administrative, excluding intangible amortization — 0.4 18.6 371.1 — 390.1 Selling, general and administrative intangible amortization — — 24.5 75.1 — 99.6 (Gain) loss on disposal of assets — — (0.1 ) 1.1 — 1.0 Multiemployer pension withdrawal income — — (2.0 ) — — (2.0 ) Restructuring and other costs — — — 9.7 — 9.7 Operating profit (loss) — (0.4 ) 78.6 201.2 (7.8 ) 271.6 Interest (expense) income, net — (60.6 ) (33.5 ) 1.7 — (92.4 ) Intercompany interest (expense) income, net — (1.5 ) (17.8 ) 11.5 7.8 — Loss on extinguishment of debt — (0.6 ) — — — (0.6 ) Pension and other postretirement non- service (expense) income — — (1.4 ) 27.0 — 25.6 Other income (expense), net — 0.5 — (5.5 ) — (5.0 ) Equity in income of consolidated entities 178.5 272.7 195.8 — (647.0 ) — Income before income taxes 178.5 210.1 221.7 235.9 (647.0 ) 199.2 Income tax benefit (expense) — 15.6 (0.6 ) (34.2 ) — (19.2 ) Consolidated net income 178.5 225.7 221.1 201.7 (647.0 ) 180.0 Less: Net income attributable to noncontrolling interests — — — (1.5 ) — (1.5 ) Net income attributable to common stockholders $ 178.5 $ 225.7 $ 221.1 $ 200.2 $ (647.0 ) $ 178.5 Comprehensive income attributable to common stockholders $ 210.1 $ 257.2 $ 250.2 $ 231.3 $ (738.7 ) $ 210.1 CONDENSED CONSOLIDATING STATEMENTS OF INCOME Nine Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 1,825.1 $ 13,233.2 $ (1,951.0 ) $ 13,107.3 Cost of goods sold — — 1,469.1 11,181.4 (1,927.0 ) 10,723.5 Gross profit — — 356.0 2,051.8 (24.0 ) 2,383.8 Selling, general and administrative, excluding intangible amortization — 0.7 75.3 1,158.4 — 1,234.4 Selling, general and administrative intangible amortization — — 75.0 226.5 — 301.5 Gain on disposal of assets — — (0.1 ) (5.8 ) — (5.9 ) Multiemployer pension withdrawal income — — (1.9 ) 0.8 — (1.1 ) Restructuring and other costs — 3.6 — 52.6 — 56.2 Operating profit (loss) — (4.3 ) 207.7 619.3 (24.0 ) 798.7 Interest (expense) income, net — (189.1 ) (102.3 ) 8.2 — (283.2 ) Intercompany interest (expense) income, net — (8.3 ) (67.2 ) 51.5 24.0 — Loss on extinguishment of debt — (1.0 ) — (0.1 ) — (1.1 ) Pension and other postretirement non- service (expense) income — — (5.2 ) 83.6 — 78.4 Other income (expense), net 0.1 0.5 1.3 (11.5 ) — (9.6 ) Equity in income of unconsolidated entities — — — 8.7 — 8.7 Equity in income of consolidated entities 465.0 751.6 445.2 — (1,661.8 ) — Income before income taxes 465.1 549.4 479.5 759.7 (1,661.8 ) 591.9 Income tax benefit (expense) — 50.4 (2.3 ) (171.6 ) — (123.5 ) Consolidated net income 465.1 599.8 477.2 588.1 (1,661.8 ) 468.4 Less: Net income attributable to noncontrolling interests — — — (3.3 ) — (3.3 ) Net income attributable to common stockholders $ 465.1 $ 599.8 $ 477.2 $ 584.8 $ (1,661.8 ) $ 465.1 Comprehensive income attributable to common stockholders $ 220.3 $ 355.9 $ 238.6 $ 347.4 $ (941.9 ) $ 220.3 CONDENSED CONSOLIDATING STATEMENTS OF INCOME Three Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 643.0 $ 4,676.3 $ (629.3 ) $ 4,690.0 Cost of goods sold — — 475.6 3,844.9 (619.4 ) 3,701.1 Gross profit — — 167.4 831.4 (9.9 ) 988.9 Selling, general and administrative, excluding intangible amortization — (0.4 ) 26.0 416.8 — 442.4 Selling, general and administrative intangible amortization — — 26.1 76.3 — 102.4 Loss on disposal of assets — — 0.1 6.4 — 6.5 Multiemployer pension withdrawal income — — — (1.7 ) — (1.7 ) Restructuring and other costs — 1.4 0.1 16.4 — 17.9 Operating profit (loss) — (1.0 ) 115.1 317.2 (9.9 ) 421.4 Interest expense, net — (66.5 ) (36.9 ) (7.7 ) — (111.1 ) Intercompany interest (expense) income, net — (2.5 ) (33.3 ) 25.9 9.9 — Loss on extinguishment of debt — (0.8 ) (2.3 ) (0.1 ) — (3.2 ) Pension and other postretirement non- service (expense) income — — (1.4 ) 20.3 — 18.9 Other (expense) income, net — — (35.2 ) 38.9 — 3.7 Equity in income of unconsolidated entities — — — 1.7 — 1.7 Equity in income (loss) of consolidated entities 252.6 276.9 (11.4 ) — (518.1 ) — Income (loss) before income taxes 252.6 206.1 (5.4 ) 396.2 (518.1 ) 331.4 Income tax benefit (expense) — 17.9 (1.9 ) (93.6 ) — (77.6 ) Consolidated net income (loss) 252.6 224.0 (7.3 ) 302.6 (518.1 ) 253.8 Less: Net income attributable to noncontrolling interests — — — (1.2 ) — (1.2 ) Net income (loss) attributable to common stockholders $ 252.6 $ 224.0 $ (7.3 ) $ 301.4 $ (518.1 ) $ 252.6 Comprehensive income attributable to common stockholders $ 282.7 $ 253.7 $ 20.7 $ 331.8 $ (606.2 ) $ 282.7 CONDENSED CONSOLIDATING STATEMENTS OF INCOME Nine Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 1,906.0 $ 13,648.2 $ (1,916.8 ) $ 13,637.4 Cost of goods sold — — 1,503.3 11,370.7 (1,906.9 ) 10,967.1 Gross profit — — 402.7 2,277.5 (9.9 ) 2,670.3 Selling, general and administrative, excluding intangible amortization — — 53.3 1,234.1 — 1,287.4 Selling, general and administrative intangible amortization — — 78.4 219.3 — 297.7 Loss (gain) on disposal of assets — — 0.1 (37.4 ) — (37.3 ) Multiemployer pension withdrawal income — — — (1.7 ) — (1.7 ) Land and Development impairments — — — 13.0 — 13.0 Restructuring and other costs — 5.3 0.2 101.6 — 107.1 Operating profit (loss) — (5.3 ) 270.7 748.6 (9.9 ) 1,004.1 Interest expense, net — (178.5 ) (128.8 ) (10.0 ) — (317.3 ) Intercompany interest income (expense), net — 1.0 (87.9 ) 77.0 9.9 — Loss on extinguishment of debt — (2.6 ) (1.9 ) (0.2 ) — (4.7 ) Pension and other postretirement non- service (expense) income — — (4.8 ) 59.7 — 54.9 Other (expense) income, net — (4.0 ) (35.6 ) 37.3 — (2.3 ) Equity in income of unconsolidated entities — — — 8.3 — 8.3 Equity in income of consolidated entities 552.1 671.1 403.0 — (1,626.2 ) — Income before income taxes 552.1 481.7 414.7 920.7 (1,626.2 ) 743.0 Income tax benefit (expense) — 46.9 (3.2 ) (231.2 ) — (187.5 ) Consolidated net income 552.1 528.6 411.5 689.5 (1,626.2 ) 555.5 Less: Net income attributable to noncontrolling interests — — — (3.4 ) — (3.4 ) Net income attributable to common stockholders $ 552.1 $ 528.6 $ 411.5 $ 686.1 $ (1,626.2 ) $ 552.1 Comprehensive income attributable to common stockholders $ 552.0 $ 530.6 $ 415.9 $ 687.0 $ (1,633.5 ) $ 552.0 CONDENSED CONSOLIDATING BALANCE SHEETS June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total ASSETS Current Assets: Cash and cash equivalents $ — $ — $ 178.4 $ 113.1 $ — $ 291.5 Accounts receivable — — 38.9 2,092.7 (48.4 ) 2,083.2 Inventories — — 239.9 1,897.8 — 2,137.7 Other current assets 0.5 — 6.3 483.4 — 490.2 Intercompany receivables — 24.0 0.3 1,372.8 (1,397.1 ) — Assets held for sale — — — 3.3 — 3.3 Total current assets 0.5 24.0 463.8 5,963.1 (1,445.5 ) 5,005.9 Property, plant and equipment, net — — 14.8 10,907.8 — 10,922.6 Goodwill — — 1,158.6 6,111.9 — 7,270.5 Intangibles, net — — 1,409.9 2,339.5 — 3,749.4 Restricted assets held by special purpose entities — — — 1,269.2 — 1,269.2 Prepaid pension asset — — — 305.9 — 305.9 Intercompany notes receivable — 154.9 149.8 2,821.3 (3,126.0 ) — Investments in consolidated subsidiaries 12,158.9 18,891.4 19,827.1 — (50,877.4 ) — Other assets — 91.4 233.8 1,515.6 (86.7 ) 1,754.1 Total Assets $ 12,159.4 $ 19,161.7 $ 23,257.8 $ 31,234.3 $ (55,535.6 ) $ 30,277.6 LIABILITIES AND EQUITY Current liabilities: Current portion of debt $ — $ 79.9 $ — $ 133.2 $ — $ 213.1 Accounts payable — 1.1 24.2 1,536.6 (48.4 ) 1,513.5 Accrued compensation and benefits 0.2 — 14.5 362.5 — 377.2 Other current liabilities — 51.8 107.7 523.6 — 683.1 Intercompany payables 446.1 57.7 470.6 422.7 (1,397.1 ) — Total current liabilities 446.3 190.5 617.0 2,978.6 (1,445.5 ) 2,786.9 Long-term debt due after one year — 6,706.4 1,972.0 1,161.9 — 9,840.3 Intercompany notes payable — 753.3 2,068.0 304.7 (3,126.0 ) — Pension liabilities, net of current portion — — 141.6 129.7 — 271.3 Postretirement benefit liabilities, net of current portion — — 25.2 126.7 — 151.9 Non-recourse liabilities held by special purpose entities — — — 1,138.7 — 1,138.7 Deferred income taxes — — 310.0 2,664.9 (86.7 ) 2,888.2 Other long-term liabilities — 35.3 152.5 1,281.0 — 1,468.8 Redeemable noncontrolling interests — — — 1.6 — 1.6 Total stockholders’ equity 11,713.1 11,476.2 17,971.5 21,429.7 (50,877.4 ) 11,713.1 Noncontrolling interests — — — 16.8 — 16.8 Total equity 11,713.1 11,476.2 17,971.5 21,446.5 (50,877.4 ) 11,729.9 Total Liabilities and Equity $ 12,159.4 $ 19,161.7 $ 23,257.8 $ 31,234.3 $ (55,535.6 ) $ 30,277.6 CONDENSED CONSOLIDATING BALANCE SHEETS September 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total ASSETS Current Assets: Cash and cash equivalents $ — $ — $ 17.8 $ 133.8 $ — $ 151.6 Accounts receivable — — 31.1 2,201.7 (39.6 ) 2,193.2 Inventories — — 254.3 1,853.2 — 2,107.5 Other current assets — 1.2 11.8 483.2 — 496.2 Intercompany receivables — 227.7 — 1,128.6 (1,356.3 ) — Assets held for sale — — — 25.8 — 25.8 Total current assets — 228.9 315.0 5,826.3 (1,395.9 ) 4,974.3 Property, plant and equipment, net — — 18.9 11,170.6 — 11,189.5 Goodwill — — 1,158.6 6,127.0 — 7,285.6 Intangibles, net — — 1,485.0 2,574.5 — 4,059.5 Restricted assets held by special purpose entities — — — 1,274.3 — 1,274.3 Prepaid pension asset — — — 224.7 — 224.7 Intercompany notes receivable — 155.0 156.9 3,026.8 (3,338.7 ) — Investments in consolidated subsidiaries 11,973.6 18,524.2 20,103.6 — (50,601.4 ) — Other assets — 67.8 185.3 971.8 (76.1 ) 1,148.8 Total Assets $ 11,973.6 $ 18,975.9 $ 23,423.3 $ 31,196.0 $ (55,412.1 ) $ 30,156.7 LIABILITIES AND EQUITY Current liabilities: Current portion of debt $ — $ 135.3 $ 108.9 $ 316.9 $ — $ 561.1 Accounts payable — 0.7 31.3 1,839.4 (39.6 ) 1,831.8 Accrued compensation and benefits 0.3 — 14.5 455.6 — 470.4 Other current liabilities — 18.6 83.8 469.4 — 571.8 Intercompany payables 303.4 — 1,052.9 — (1,356.3 ) — Total current liabilities 303.7 154.6 1,291.4 3,081.3 (1,395.9 ) 3,435.1 Long-term debt due after one year — 6,608.0 1,982.9 911.4 — 9,502.3 Intercompany notes payable — 636.3 2,390.5 311.9 (3,338.7 ) — Pension liabilities, net of current portion — — 147.6 146.4 — 294.0 Postretirement benefit liabilities, net of current portion — — 25.7 136.4 — 162.1 Non-recourse liabilities held by special purpose entities — — — 1,145.2 — 1,145.2 Deferred income taxes — — 278.9 2,675.2 (76.1 ) 2,878.0 Other long-term liabilities — 12.9 131.2 909.8 — 1,053.9 Redeemable noncontrolling interests — — — 1.9 — 1.9 Total stockholders’ equity 11,669.9 11,564.1 17,175.1 21,862.2 (50,601.4 ) 11,669.9 Noncontrolling interests — — — 14.3 — 14.3 Total equity 11,669.9 11,564.1 17,175.1 21,876.5 (50,601.4 ) 11,684.2 Total Liabilities and Equity $ 11,973.6 $ 18,975.9 $ 23,423.3 $ 31,196.0 $ (55,412.1 ) $ 30,156.7 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Nine Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Operating activities: Net cash provided by (used for) operating activities $ 275.9 $ (38.1 ) $ 250.6 $ 850.6 $ — $ 1,339.0 Investing activities: Capital expenditures — — — (860.2 ) — (860.2 ) Investment in unconsolidated entities — — — (1.0 ) — (1.0 ) Proceeds from sale of property, plant and equipment — — 0.1 22.4 — 22.5 Proceeds from property, plant and equipment insurance settlement — — — 2.4 — 2.4 Intercompany notes proceeds — — 5.0 — (5.0 ) — Other, net — — 9.9 1.0 — 10.9 Net cash provided by (used for) investing activities — — 15.0 (835.4 ) (5.0 ) (825.4 ) Financing activities: Proceeds from issuance of notes — 598.6 — — — 598.6 Additions to revolving credit facilities — 350.0 — 63.0 — 413.0 Repayments of revolving credit facilities — (350.0 ) — (128.2 ) — (478.2 ) Additions to debt — — — 683.1 — 683.1 Repayments of debt — (500.0 ) (105.0 ) (590.8 ) — (1,195.8 ) Repayments of commercial paper, net — (9.3 ) — — — (9.3 ) Other debt repayments, net — (46.0 ) — (23.2 ) — (69.2 ) Issuances of common stock, net of related minimum tax withholdings 16.7 — — — — 16.7 Cash dividends paid to stockholders (292.6 ) — — — — (292.6 ) Cash distributions paid to noncontrolling interests — — — (1.4 ) — (1.4 ) Intercompany notes payments — — — (5.0 ) 5.0 — Other, net — (5.2 ) — (11.8 ) — (17.0 ) Net cash (used for) provided by financing activities (275.9 ) 38.1 (105.0 ) (14.3 ) 5.0 (352.1 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — — (21.6 ) — (21.6 ) Increase (decrease) in cash, cash equivalents and restricted cash — — 160.6 (20.7 ) — 139.9 Cash, cash equivalents and restricted cash at beginning of period — — 17.8 133.8 — 151.6 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 178.4 $ 113.1 $ — $ 291.5 The condensed consolidating statements of cash flows for the nine months ended June 30, 2020 do not include non-cash transactions between Parent, Issuer, Guarantor Subsidiaries and Non-Guarantor Subsidiaries. From time to time, we may enter into non-cash transactions for simplicity of execution of intercompany transactions. These may include intercompany non-cash capitalizations, intercompany non-cash returns of capital, intercompany debt-to-equity conversions or other transactions of a similar nature. The table below summarizes these non-cash transactions. Nine Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Investing activities: Intercompany notes issued $ — $ — $ (63.6 ) $ (117.0 ) $ 180.6 $ — Intercompany notes proceeds $ — $ — $ 65.8 $ 322.5 $ (388.3 ) $ — Intercompany capital investment $ (407.3 ) $ (625.6 ) $ (917.8 ) $ — $ 1,950.7 $ — Intercompany return of capital $ 442.0 $ 21.2 $ 619.7 $ — $ (1,082.9 ) $ — Financing activities: Intercompany notes borrowing $ — $ 117.0 $ — $ 63.6 $ (180.6 ) $ — Intercompany notes payments $ — $ — $ (322.5 ) $ (65.8 ) $ 388.3 $ — Intercompany capital receipt $ — $ — $ 625.2 $ 1,325.5 $ (1,950.7 ) $ — Intercompany capital distribution $ — $ (442.0 ) $ (21.2 ) $ (619.7 ) $ 1,082.9 $ — Intercompany dividends paid $ — $ — $ (48.3 ) $ (1,436.9 ) $ 1,485.2 $ — CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Nine Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Operating activities: Net cash provided by (used for) operating activities $ 430.7 $ (512.4 ) $ 445.9 $ 1,035.4 $ — $ 1,399.6 Investing activities: Capital expenditures — — (2.5 ) (974.3 ) — (976.8 ) Cash paid related to business combinations, net of cash acquired — — — (3,368.3 ) — (3,368.3 ) Investment in unconsolidated entities — — — (10.4 ) — (10.4 ) Proceeds from sale of property, plant and equipment — — — 108.3 — 108.3 Proceeds from property, plant and equipment insurance settlement — — — 16.5 — 16.5 Intercompany notes issued — — (0.1 ) (75.7 ) 75.8 — Intercompany notes proceeds — 9.2 4.3 3,870.2 (3,883.7 ) — Intercompany capital investment (563.0 ) (563.0 ) — — 1,126.0 — Other, net — — 28.2 1.8 — 30.0 Net cash (used for) provided by investing activities (563.0 ) (553.8 ) 29.9 (431.9 ) (2,681.9 ) (4,200.7 ) Financing activities: Proceeds from issuance of notes — 2,498.2 — — — 2,498.2 Additions to revolving credit facilities — 67.2 — 125.0 — 192.2 Repayments of revolving credit facilities — (67.2 ) — (110.0 ) — (177.2 ) Additions to debt — 4,101.8 (1.0 ) 340.2 — 4,441.0 Repayments of debt — (2,187.1 ) (958.6 ) (1,519.3 ) — (4,665.0 ) Additions to commercial paper, net — 445.6 — — — 445.6 Other debt additions, net — 35.3 — 10.6 — 45.9 Issuances of common stock, net of related minimum tax withholdings 8.6 — — — — 8.6 Purchases of common stock (88.6 ) — — — — (88.6 ) Cash dividends paid to stockholders (350.7 ) — — — — (350.7 ) Cash distributions paid to noncontrolling interests — — — (3.4 ) — (3.4 ) Intercompany notes borrowing — — 75.7 0.1 (75.8 ) — Intercompany notes payments — (3,800.0 ) (70.2 ) (13.5 ) 3,883.7 — Intercompany capital receipt 563.0 — — 563.0 (1,126.0 ) — Other, net — (27.8 ) — 20.7 — (7.1 ) Net cash provided by (used for) financing activities 132.3 1,066.0 (954.1 ) (586.6 ) 2,681.9 2,339.5 Effect of exchange rate changes on cash, cash equivalents and restricted cash — — — 3.9 — 3.9 (Decrease) increase in cash, cash equivalents and restricted cash — (0.2 ) (478.3 ) 20.8 — (457.7 ) Cash, cash equivalents and restricted cash at beginning of period — 0.2 490.8 145.8 — 636.8 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 12.5 $ 166.6 $ — $ 179.1 The condensed consolidating statements of cash flows for the nine months ended June 30, 2019 do not include non-cash transactions between Parent, Issuer, Guarantor Subsidiaries and Non-Guarantor Subsidiaries. From time to time, we may enter into non-cash t ransactions for simplicity of execution of intercompany transactions. These may include intercompany non-cash capitalizations, intercompany non-cash returns of capital, intercompany debt-to-equity conversions or other transactions of a similar nature. The table below summarizes these non-cash transactions. Nine Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Operating activities: Intercompany receivables $ (140.9 ) $ — $ — $ — $ 140.9 $ — Intercompany payables $ — $ — $ — $ 140.9 $ (140.9 ) $ — Investing activities: Intercompany notes issued $ — $ (3,800.0 ) $ (4,666.4 ) $ (8,715.4 ) $ 17,181.8 $ — Intercompany notes proceeds $ — $ 4,519.8 $ 4,519.8 $ 4,759.6 $ (13,799.2 ) $ — Intercompany capital investment $ (10,396.2 ) $ (5,895.5 ) $ (6,880.5 ) $ — $ 23,172.2 $ — Intercompany return of capital $ 606.7 $ 1,479.6 $ 1,021.4 $ — $ (3,107.7 ) $ — Financing activities: Intercompany notes borrowing $ — $ 4,436.3 $ 479.1 $ 12,266.4 $ (17,181.8 ) $ — Intercompany notes payments $ — $ — $ (959.6 ) $ (12,839.6 ) $ 13,799.2 $ — Intercompany capital receipt $ — $ 10,396.2 $ 5,413.7 $ 7,362.3 $ (23,172.2 ) $ — Intercompany capital distribution $ (563.0 ) $ (606.7 ) $ (457.5 ) $ (1,480.5 ) $ 3,107.7 $ — Intercompany dividends paid $ — $ — $ (302.2 ) $ (1,419.6 ) $ 1,721.8 $ — |
Leases
Leases | 9 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | Note 13. On October 1, 2019, we adopted ASU 2016-02 “ Leases”, using the modified retrospective approach and as a result we did not restate prior periods. We elected the package of three practical expedients permitted within the standard pursuant to which we did not reassess initial direct costs, lease classification or whether our contracts contain or are leases. In addition, we also applied the practical expedient to account for the lease and non-lease components as a single lease component for all of our leases. We also made an accounting policy election to not recognize ROU assets and liability for leases with a term of 12 months or less unless the lease includes an option to renew or purchase the underlying asset that are reasonably certain to be exercised. The adoption of ASC 842 resulted in the recognition of ROU assets of $731.1 million (net of deferred rent and favorable/unfavorable lease liabilities) with corresponding operating lease liabilities of $783.9 million. The condensed consolidated financial statements for the periods ended June 30, 2020 are presented under the new standard, while comparative periods presented have not been adjusted and continue to be reported in accordance with the previous standard. We lease various real estate, including certain operating facilities, warehouses, office space and land. We also lease material handling equipment, vehicles and certain other equipment. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Effective October 1, 2019, operating lease ROU assets and liabilities are recognized at the commencement date of the lease based on the present value of lease payments over the lease term. Our leases may include options to extend or terminate the lease. These options to extend are included in the lease term when it is reasonably certain that we will exercise that option. Some leases provide for variable payments, however, because they are not based on an index or rate, they are not included in the ROU assets and liabilities. Variable payments for real estate leases primarily relate to common area maintenance, insurance, taxes and utilities. Variable payments for equipment, vehicles and leases within supply agreements primarily relate to usage, repairs, and maintenance. As the implicit rate is not readily determinable for our leases, we apply a portfolio approach using an estimated incremental borrowing rate to determine the initial present value of lease payments over the lease terms on a collateralized basis over a similar term, which is based on market and company specific information. We use the unsecured borrowing rate and risk-adjust that rate to approximate a collateralized rate, and apply the rate based on the currency of the lease, which is updated on a quarterly basis for measurement of new lease liabilities. Components of Lease Costs The following table presents certain information related to the lease costs for finance and operating leases (in millions): Three Months Ended Nine Months Ended June 30, 2020 June 30, 2020 Operating lease costs $ 50.0 $ 150.0 Variable and short-term lease costs 25.6 79.6 Sublease income (1.5 ) (5.0 ) Finance lease cost: Amortization of lease assets 2.5 8.0 Interest on lease liabilities 1.9 6.0 Total lease cost, net $ 78.5 $ 238.6 Supplemental Balance Sheet Information Related to Leases The table below presents the lease-related assets and liabilities recorded on the balance sheet (in millions): Condensed Consolidated Balance Sheet Caption June 30, 2020 Operating leases: Operating lease right-of-use asset Other assets $ 649.2 Current operating lease liabilities Other current liabilities $ 169.0 Operating lease liabilities Other long-term liabilities 535.5 Total operating lease liabilities $ 704.5 Finance leases: Property, plant and equipment $ 145.6 Accumulated depreciation (19.0 ) Property, plant and equipment, net $ 126.6 Current finance lease liabilities Current portion of debt $ 9.3 Noncurrent finance lease liabilities Long-term debt due after one year 268.5 Total finance lease liabilities $ 277.8 Our finance lease portfolio includes certain assets that are either fully depreciated or transferred for which the lease arrangement requires a one-time principal repayment on the maturity date of the lease obligation. Lease Term and Discount Rate June 30, 2020 Weighted average remaining lease term: Operating leases 5.9 years Finance leases 9.2 years Weighted average discount rate: Operating leases 2.7 % Finance leases 4.0 % Supplemental Cash Flow Information Related to Leases The table below presents supplemental cash flow information related to leases (in millions): Nine Months Ended June 30, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows related to operating leases $ 151.7 Operating cash flows related to finance leases $ 6.5 Financing cash flows related to finance leases $ 7.7 Maturity of Lease Liabilities The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities and finance lease liabilities recorded on the balance sheet (in millions): June 30, 2020 Operating Leases Finance Leases Total Remaining fiscal 2020 $ 50.3 $ 4.3 $ 54.6 Fiscal 2021 177.1 16.1 193.2 Fiscal 2022 140.3 15.2 155.5 Fiscal 2023 110.0 13.3 123.3 Fiscal 2024 87.8 12.1 99.9 Thereafter 203.5 300.9 504.4 Total lease payments 769.0 361.9 1,130.9 Less: Interest (1) (64.5 ) (84.1 ) (148.6 ) Present value of future lease payments $ 704.5 $ 277.8 $ 982.3 (1) At September 30, 2019, future minimum payments under all existing non-cancelable operating leases for the succeeding five years and thereafter were as follows (in millions): Fiscal 2020 $ 214.3 Fiscal 2021 180.1 Fiscal 2022 136.3 Fiscal 2023 108.3 Fiscal 2024 85.3 Thereafter 206.1 Total $ 930.4 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Jun. 30, 2020 | |
Commitments And Contingencies [Abstract] | |
Commitments and Contingencies | Note 14. Commitments and Contingencies Environmental We are subject to a broad range of foreign, federal, state and local environmental, health and safety laws and regulations, including those governing discharges to air, soil and water, the management, treatment and disposal of hazardous substances, solid waste and hazardous wastes, the investigation and remediation of contamination resulting from historical site operations and releases of hazardous substances, and the health and safety of employees. Our compliance initiatives related to these laws and regulations could result in significant costs, which could negatively impact our results of operations, financial condition and cash flows. Any failure to comply with environmental or health and safety laws and regulations, or any permits and authorizations required thereunder, could subject us to fines, corrective action or other sanctions. We have been named as a potentially responsible party (“ PRP ”) in environmental remediation actions under various federal and state laws, including the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (“ CERCLA ”). Many of these proceedings involve the cleanup of hazardous substances at sites that received waste from many different sources. While joint and several liability is authorized under CERCLA and analogous state laws, liability for CERCLA cleanups is typically shared with other PRPs, and costs are commonly allocated according to relative amounts of waste deposited and other factors. We believe we have insurance and contractual indemnification rights that may allow us to recover certain defense and other costs at some CERCLA sites. There are other remediation costs typically associated with the cleanup of hazardous substances at our current, closed or formerly-owned facilities, and recorded as liabilities in our balance sheet. Remediation costs are recorded in our financial statements when they become probable and reasonably estimable. See “ Note 18. Commitments and Contingencies As of June 30, 2020, we had $8.1 million reserved for environmental liabilities on an undiscounted basis, of which $2.9 million is included in other long-term liabilities and $5.2 million is included in other current liabilities, including amounts accrued in connection with environmental obligations relating to manufacturing facilities that we have closed. We believe the liability for these matters was adequately reserved at June 30, 2020. Litigation We have been named a defendant in asbestos-related personal injury litigation. To date, the costs resulting from the litigation, including settlement costs, have not been significant. As of June 30, 2020, there were approximately 1,125 such lawsuits. We believe that we have substantial insurance coverage, subject to applicable deductibles and policy limits, with respect to asbestos claims. We also have valid defenses to these asbestos-related personal injury claims and intend to continue to defend them vigorously. Should the volume of litigation grow substantially, it is possible that we could incur significant costs resolving these cases. We do not expect the resolution of pending asbestos litigation and proceedings to have a material adverse effect on our results of operations, financial condition or cash flows. In any given period or periods, however, it is possible such proceedings or matters could have a material adverse effect on our results of operations, financial condition or cash flows. We are a defendant in a number of other lawsuits and claims arising out of the conduct of our business. While the ultimate results of such suits or other proceedings against us cannot be predicted with certainty, we believe the resolution of these other matters will not have a material adverse effect on our results of operations, financial condition or cash flows. Brazil Tax Liability We are challenging claims by the Brazil Federal Revenue Department that we are liable for underpayment of tax, penalties and interest in relation to a claim that a subsidiary of MeadWestvaco Corporation had reduced its tax liability related to the goodwill generated by the 2002 merger of two of its Brazil subsidiaries. The matter has proceeded through the Brazil Administrative Council of Tax Appeals (“ CARF We assert that we have no liability in these matters. The total amount in dispute before CARF and in the annulment actions relating to the claimed tax deficiency was s of June 30, 2020 , including various penalties and interest. The amount of o ur uncertain tax position reserve for this matter, that excludes certain penalties, is included in the unrecognized tax benefits table. See “ Note 6. Income Taxes ” of the Notes to Consolidated Financial Statements section in the Fiscal 2019 Form 10-K. Resolution of the uncertain tax positions could have a material adverse effect on our cash flows and results of operations or materially benefit our results of operations in future periods depending upon their ultimate resolution. Guarantees We make certain guarantees in the normal course of conducting our operations, for compliance with certain laws and regulations, or in connection with certain business dispositions. The guarantees include items such as funding of net losses in proportion to our ownership share of certain joint ventures, debt guarantees related to certain unconsolidated entities acquired in acquisitions, indemnifications of lessors in certain facilities and equipment operating leases for items such as additional taxes being assessed due to a change in tax law, and certain other agreements. We estimate our exposure to these matters could be approximately $50 million. As of June 30, 2020, we had recorded $9.7 million for the estimated fair value of these guarantees. We are unable to estimate our maximum exposure under operating leases because it is dependent on potential changes in the tax laws; however, we believe our exposure related to guarantees would not have a material impact on our results of operations, financial condition or cash flows. Indirect Tax Claim In March 2017, the Supreme Court of Brazil issued a decision concluding that certain state value added tax should not be included in the calculation of federal gross receipts taxes. Subsequently, in fiscal 2019, the Supreme Court of Brazil rendered favorable decisions on six of our cases granting us the right to recover certain state value added tax. The tax authorities in Brazil have filed a Motion of Clarification with the Supreme Court of Brazil and the timing of the decision is unknown at this time. However, based on our preliminary evaluation and the opinion of our tax and legal advisors, we believe the decision reduced our gross receipts tax in Brazil prospectively and retrospectively, and will allow us to recover tax amounts collected by the government. Due to the volume of invoices being reviewed (January 2002 to September 2019), we have recorded the estimated recoveries across several periods beginning in the fourth quarter of fiscal 2019 as we have reviewed the documents and the amount has become estimable. In the three months and nine months ended June 30, 2020, we recorded a receivable for our expected recovery and interest that consisted primarily of a $4.2 million and $27.7 million reduction of cost of goods sold and a $6.0 million and $17.6 million reduction of interest expense, net, respectively. We are in the process of calculating additional recoveries for 2009, and may record additional amounts in future periods as we complete our analysis. We will continue to evaluate the impact of the court’s decision on the remainder of our cases. |
Equity and Other Comprehensive
Equity and Other Comprehensive Income (Loss) | 9 Months Ended |
Jun. 30, 2020 | |
Equity [Abstract] | |
Equity and Other Comprehensive Income (Loss) | Note 15. Equity and Other Comprehensive Income (Loss) Equity Stock Repurchase Program In July 2015, our board of directors authorized a repurchase program of up to 40.0 million shares of our common stock, par value $0.01 per share (“ Common Stock Accumulated Other Comprehensive Loss The tables below summarize the changes in accumulated other comprehensive loss, net of tax, by component for the nine months ended June 30, 2020 and June 30, 2019 (in millions): Deferred (Loss) Income on Cash Flow Hedges Defined Benefit Pension and Postretirement Plans Foreign Currency Items Total (1) Balance at September 30, 2019 $ 0.7 $ (698.0 ) $ (371.9 ) $ (1,069.2 ) Other comprehensive loss before reclassifications (10.1 ) — (265.2 ) (275.3 ) Amounts reclassified from accumulated other comprehensive loss 2.2 28.3 — 30.5 Net current period other comprehensive (loss) income (7.9 ) 28.3 (265.2 ) (244.8 ) Reclassification of stranded tax effects — (73.4 ) — (73.4 ) Balance at June 30, 2020 $ (7.2 ) $ (743.1 ) $ (637.1 ) $ (1,387.4 ) (1) Deferred Loss on Cash Flow Hedges Defined Benefit Pension and Postretirement Plans Foreign Currency Items Total (1) Balance at September 30, 2018 $ (0.2 ) $ (465.9 ) $ (229.2 ) $ (695.3 ) Other comprehensive loss before reclassifications — — (13.7 ) (13.7 ) Amounts reclassified from accumulated other comprehensive loss — 13.6 — 13.6 Net current period other comprehensive income (loss) — 13.6 (13.7 ) (0.1 ) Balance at June 30, 2019 $ (0.2 ) $ (452.3 ) $ (242.9 ) $ (695.4 ) (1) The net of tax amounts were determined using the jurisdictional statutory rates, and reflect effective tax rates averaging 25% to 26% for the nine months ended June 30, 2020 and 25% to 26% for the nine months ended June 30, 2019. Although we are impacted by the exchange rates of a number of currencies, foreign currency translation adjustments recorded in accumulated other comprehensive loss for the nine months ended June 30, 2020 were primarily due to losses in the Brazilian Real, Mexican Peso, Canadian dollar and Euro, each against the U.S. dollar. Foreign currency translation losses recorded in accumulated other comprehensive loss for the nine months ended June 30, 2019 were primarily due to losses in the Canadian dollar, Mexican Peso, British Pound and Euro, partially offset by gains in the Brazilian Real, each against the U.S. dollar. The following table summarizes the reclassifications out of accumulated other comprehensive loss by component (in millions): Three Months Ended Three Months Ended June 30, 2020 June 30, 2019 Pretax Tax Net of Tax Pretax Tax Net of Tax Amortization of defined benefit pension and postretirement items: (1) Actuarial losses (2) $ (11.4 ) $ 2.6 $ (8.8 ) $ (5.9 ) $ 1.5 $ (4.4 ) Prior service costs (2) (1.3 ) 0.3 (1.0 ) (0.5 ) 0.1 (0.4 ) Subtotal defined benefit plans (12.7 ) 2.9 (9.8 ) (6.4 ) 1.6 (4.8 ) Derivative Instruments: (1) Interest rate swap hedge loss (3) (1.4 ) 0.3 (1.1 ) — — — Total reclassifications for the period $ (14.1 ) $ 3.2 $ (10.9 ) $ (6.4 ) $ 1.6 $ (4.8 ) (1) (2) Note 5. Retirement Plans (3) These accumulated other comprehensive income components are included in Interest expense, net. Nine Months Ended Nine Months Ended June 30, 2020 June 30, 2019 Pretax Tax Net of Tax Pretax Tax Net of Tax Amortization of defined benefit pension and postretirement items: (1) Actuarial losses (2) $ (34.5 ) $ 8.7 $ (25.8 ) $ (16.6 ) $ 4.3 $ (12.3 ) Prior service costs (2) (3.3 ) 0.8 (2.5 ) (1.7 ) 0.4 (1.3 ) Reclassification of stranded tax effects (3) — 73.4 73.4 — — — Subtotal defined benefit plans (37.8 ) 82.9 45.1 (18.3 ) 4.7 (13.6 ) Derivative Instruments: (1) Interest rate swap hedge loss (4) (0.4 ) 0.1 (0.3 ) — — — Natural gas commodity hedge loss (5) (2.6 ) 0.7 (1.9 ) — — — Subtotal cash flow hedges (3.0 ) 0.8 (2.2 ) — — — Total reclassifications for the period $ (40.8 ) $ 83.7 $ 42.9 $ (18.3 ) $ 4.7 $ (13.6 ) (1) (2) Note 5. Retirement Plans (3) . (4) These accumulated other comprehensive income components are included in Interest expense, net. (5) These accumulated other comprehensive income components are included in Cost of goods sold. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 16. Earnings Per Share The restricted stock awards that we grant to non-employee directors are considered participating securities as they receive non-forfeitable rights to dividends at the same rate as our Common Stock. As participating securities, we include these instruments in the earnings allocation in computing earnings per share under the two-class method described in ASC 260, “ Earnings per Share. Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Numerator: Net income attributable to common stockholders $ 178.5 $ 252.6 $ 465.1 $ 552.1 Less: Distributed and undistributed income available to participating securities — — (0.1 ) — Distributed and undistributed income available to common stockholders $ 178.5 $ 252.6 $ 465.0 $ 552.1 Denominator: Basic weighted average shares outstanding 259.4 257.3 258.9 256.2 Effect of dilutive stock options and non- participating securities 1.0 1.3 1.3 2.9 Diluted weighted average shares outstanding 260.4 258.6 260.2 259.1 Basic earnings per share attributable to common stockholders $ 0.69 $ 0.98 $ 1.80 $ 2.15 Diluted earnings per share attributable to common stockholders $ 0.69 $ 0.98 $ 1.79 $ 2.13 Approximately 4.0 million and 1.4 million awards in the three months ended June 30, 2020 and June 30, 2019, respectively, were not included in computing diluted earnings per share because the effect would have been antidilutive. Approximately 2.2 million and 1.3 million awards in the nine months ended June 30, 2020 and June 30, 2019, respectively, were not included in computing diluted earnings per share because the effect would have been antidilutive. |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 9 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation Our independent registered public accounting firm has not audited our accompanying interim financial statements. We derived the condensed consolidated balance sheet at September 30, 2019 from the audited consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended September 30, 2019 (the “ Fiscal 2019 Form 10-K We have condensed or omitted certain notes and other information from the interim financial statements presented in this report. Therefore, these interim financial statements should be read in conjunction with the Fiscal 2019 Form 10-K. The results for the three and nine months ended June 30, 2020 are not necessarily indicative of results that may be expected for the full year. |
Reclassifications and Adjustments | Reclassifications and Adjustments During fiscal 2020, we evaluated our revolving credit facilities and determined that the borrowings and repayments for certain facilities should be presented gross instead of net on the condensed consolidated statements of cash flow and corrected the presentation of the prior year by an immaterial amount. COVID-19 Pandemic The global impact of the COVID-19 pandemic (“ COVID-19 At June 30, 2020, we evaluated the current economic environment, including our current assessment of the impact of COVID-19, and there were no indicators of impairment of our long-lived assets, including goodwill that required a quantitative test to be performed. Our estimates involve numerous assumptions about the future growth and potential volatility in revenues and costs, capital expenditures, industry and global economic factors, interest rate environment and future business strategy. Accordingly, our accounting estimates may materially change from period to period due to changing market factors, including those driven by COVID-19. We will continue to monitor future events, changes in circumstances and the potential impact thereof, including performing our annual goodwill impairment assessment in the fourth quarter of fiscal 2020. If actual results are not consistent with our assumptions and estimates, we may be exposed to impairment losses that could be material. See “ Note 1. Description of Business and Summary of Significant Accounting Policies — Goodwill and Long-Lived Assets ” in the Fiscal 2019 Form 10-K for additional information regarding the results of, and our methods and assumptions applied to perform, our goodwill impairment testing in fiscal 2019. |
Significant Accounting Policies | Significant Accounting Policies See “ Note 1. Description of Business and Summary of Significant Accounting Policies |
New Accounting Standards - Recently Adopted | New Accounting Standards — Recently Adopted In February 2018, the Financial Accounting Standards Board (“ FASB ASU Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income Tax Act In February 2016, the FASB issued ASU 2016-02 “ Leases”, ASC Leases” ASC 842 Leases We adopted the provisions of ASC 842 on October 1, 2019 using the modified retrospective approach and, as a result, did not restate prior periods. See “ Note 13. Leases ” for additional details. |
New Accounting Standards - Recently Issued | New Accounting Standards — Recently Issued See “ Note 1. Description of Business and Summary of Significant Accounting Policies — New Accounting Standards — Recently Issued In March 2020, the FASB issued ASU 2020-04 “ Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” GAAP LIBOR In December 2019, the FASB issued ASU 2019-12 “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” general principles in Topic 740 under GAAP. This ASU also improves consistent application of and simplifies GAAP for other areas of Topic 740 by clarifying and amending existing guidance. This ASU is effective for fiscal years beginning after December 15, 2020 (fiscal 2022 for us) and interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact of this ASU. In October 2018, the FASB issued ASU 2018-17 “ Consolidation: Targeted Improvements to Related Party Guidance for Variable Interest Entities In October 2018, the FASB issued ASU 2018-18 “ Collaborative Arrangements (Topic 808): Clarifying the Interaction Between Topic 808 and Topic 606 Collaborative arrangements ” (“ ASC 808 ”) and ASC 606 “ ” (“ ASC 606 ”). The amendments in this ASU require transactions between participants in a collaborative arrangement to be accounted for under ASC 606 when the counterparty is a customer. This ASU precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue from contracts with customers if the counterparty is not a customer for that transaction. This ASU also amends ASC 808 to refer to the unit-of-account guidance in ASC 606 and requires it to be used only when assessing whether a transaction is in scope of ASC 606. This ASU is effective for fiscal years beginning after December 15, 2019 (fiscal 2021 for us) and interim periods within those fiscal years. Early adoption is permitted. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-15 “ Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In August 2018, the FASB issued ASU 2018-14 “ Compensation – Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Changes to the Disclosure Requirements for Defined Benefit Plans In January 2017, the FASB issued ASU 2017-04, “ Simplifying the Test for Goodwill Impairment “Intangibles Goodwill and Other” In June 2016, the FASB issued ASU 2016-13 “ Financial Instruments – Credit losses: Measurement of Credit Losses on financial Instruments (Topic 326) ASU 2016-13 effective. In April 2019, the FASB issued ASU 2019-04 “ Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments ” (“ ASU 2019-04 ”), which addresses issues related to accrued interest receivable balances, recoveries, variable interest rates and prepayments, among other things. In May 2019, the FASB issued ASU 2019-05 “Financial Instruments – Credit Losses (Topic 326): Targeted Transition Relief” (“ ASU 2019-05 ”), which provides targeted transition relief allowing entities to make an irrevocable one-time election upon adoption of the new credit losses standard to measure financial assets previously measured at amortized cost (except held-to-maturity securities) using the fair value option. In November 2019, the FASB issued ASU 2019-11 “ Codification Improvements to Topic 326, Financial Instruments – Credit Losses ” (“ ASU 2019-11 ”), which makes certain narrow-scope amendments to Topic 326, including allowing entities to exclude accrued interest amounts from various required disclosures under Topic 326. In February 2020, the FASB issued ASU 2020-02 “ Financial Instruments – Credit Losses (Topic 326) and Leases (Topic 842) ” (“ ASU 2020-02 ”), which adds and amends paragraphs in the Accounting Standards Codification to reflect the issuance of U.S. Securities and Exchange Commission (“ SEC ”) Staff Accounting Bulletin No. 119 primarily related to the new credit losses standard. The provisions of ASU 2019-04, ASU 2019-05, ASU 2019-11 and ASU 2020-02 related to Topic 326 are effective concurrent with the adoption of ASU 2016-13. While we are completing our analysis, we do not expect the adoption of these ASUs to have a material impact on our consolidated financial statements. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Schedule of Disaggregates Revenue by Geographical Market and Product Type (Segment) | The tables below disaggregate our revenue by geographical market and product type (segment). Three Months Ended June 30, 2020 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 2,632.4 $ 1,238.4 $ — $ (44.8 ) $ 3,826.0 South America 87.8 14.1 — — 101.9 Europe 0.6 233.8 — (0.2 ) 234.2 Asia Pacific 8.0 66.3 — (0.1 ) 74.2 Total $ 2,728.8 $ 1,552.6 $ — $ (45.1 ) $ 4,236.3 Nine Months Ended June 30, 2020 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 8,187.0 $ 3,718.8 $ 18.9 $ (137.7 ) $ 11,787.0 South America 296.1 52.9 — — 349.0 Europe 4.9 731.8 — (0.2 ) 736.5 Asia Pacific 32.8 202.3 — (0.3 ) 234.8 Total $ 8,520.8 $ 4,705.8 $ 18.9 $ (138.2 ) $ 13,107.3 Three Months Ended June 30, 2019 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 2,954.6 $ 1,306.0 $ 8.6 $ (41.3 ) $ 4,227.9 South America 102.8 14.8 — — 117.6 Europe 0.7 259.3 — (0.1 ) 259.9 Asia Pacific 14.7 70.0 — (0.1 ) 84.6 Total $ 3,072.8 $ 1,650.1 $ 8.6 $ (41.5 ) $ 4,690.0 Nine Months Ended June 30, 2019 (In millions) Corrugated Packaging Consumer Packaging Land and Development Intersegment Sales Total Primary Geographical Markets North America $ 8,426.3 $ 3,870.7 $ 23.3 $ (119.0 ) $ 12,201.3 South America 321.2 52.2 — — 373.4 Europe 0.7 789.4 — (0.1 ) 790.0 Asia Pacific 49.1 224.9 — (1.3 ) 272.7 Total $ 8,797.3 $ 4,937.2 $ 23.3 $ (120.4 ) $ 13,637.4 |
Summary of Opening and Closing Balances of Contract Assets and Contract Liabilities | The opening and closing balances of our contract assets and contract liabilities are as follows. Contract assets and contract liabilities are aggregated within Other current assets and Other current liabilities, respectively, on the condensed consolidated balance sheet. (In millions) Contract Assets (Short-Term) Contract Liabilities (Short-Term) Beginning balance - October 1, 2019 $ 188.0 $ 7.7 Ending balance - June 30, 2020 202.0 16.9 Increase / (Decrease) $ 14.0 $ 9.2 |
Acquisitions (Tables)
Acquisitions (Tables) - KapStone Acquisition [Member] | 9 Months Ended |
Jun. 30, 2020 | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Summary of Fair Values of Assets Acquired and Liabilities Assumed by Major Class of Assets and Liabilities and Measurement Period Adjustments | The following table summarizes the fair values of the assets acquired and liabilities assumed in the KapStone Acquisition by major class of assets and liabilities as of the acquisition date, as well as adjustments made during fiscal 2019 and fiscal 2020 (referred to as “ measurement period adjustments Amounts Recognized as of the Acquisition Date Measurement Period Adjustments (1) Amounts Recognized as of Acquisition Date (as Adjusted) (2) Cash and cash equivalents $ 8.6 $ — $ 8.6 Current assets, excluding cash and cash equivalents 878.9 (30.2 ) 848.7 Property, plant and equipment, net 1,910.3 11.5 1,921.8 Goodwill 1,755.0 0.5 1,755.5 Intangible assets 1,336.1 30.3 1,366.4 Other long-term assets 27.9 (0.1 ) 27.8 Total assets acquired 5,916.8 12.0 5,928.8 Current portion of debt 33.3 — 33.3 Current liabilities 337.5 7.9 345.4 Long-term debt due after one year 1,333.4 — 1,333.4 Accrued pension and other long-term benefits 9.8 2.8 12.6 Deferred income taxes 609.7 (1.4 ) 608.3 Other long-term liabilities 118.4 2.7 121.1 Total liabilities assumed 2,442.1 12.0 2,454.1 Net assets acquired $ 3,474.7 $ — $ 3,474.7 (1) (2) The measurement period adjustments were primarily due to refinements to third party appraisals and carrying amounts of certain assets and liabilities, as well as adjustments to certain tax accounts based on, among other things, adjustments to deferred tax liabilities. The net impact of the measurement period adjustments to goodwill were essentially flat. |
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination | The following table summarizes the weighted average life and the fair value of intangible assets recognized in the KapStone Acquisition, excluding goodwill (in millions, except lives): Weighted Avg. Life Gross Carrying Amount Customer relationships 11.7 $ 1,303.0 Trademarks and tradenames 16.9 54.2 Favorable contracts 6.0 9.2 Total 11.9 $ 1,366.4 |
Restructuring and Other Costs (
Restructuring and Other Costs (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Restructuring And Other Costs [Abstract] | |
Schedule of Restructuring and Other Costs | The following table summarizes our Restructuring and other costs (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Restructuring $ 7.4 $ 6.4 $ 40.1 $ 56.4 Other 2.3 11.5 16.1 50.7 Restructuring and other costs $ 9.7 $ 17.9 $ 56.2 $ 107.1 |
Schedule of Restructuring Charges Related to Active Restructuring Initiatives | The following table presents a summary of restructuring charges related to active restructuring initiatives that we incurred during the three and nine months ended June 30, 2020 and 2019, the cumulative recorded amount since we started the initiatives and our estimate of the total costs we expect to incur (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Cumulative Total Expected Corrugated Packaging Net property, plant and equipment costs $ (0.3 ) $ (1.9 ) $ 2.2 $ 5.2 $ 96.3 $ 96.3 Severance and other employee costs 3.2 1.6 6.8 12.3 41.3 41.3 Equipment and inventory relocation costs 0.2 1.6 1.5 3.0 9.8 10.5 Facility carrying costs 0.4 0.6 1.4 2.6 19.9 20.6 Other costs 0.1 (0.1 ) 0.5 0.2 5.7 5.9 Restructuring total $ 3.6 $ 1.8 $ 12.4 $ 23.3 $ 173.0 $ 174.6 Consumer Packaging Net property, plant and equipment costs $ — $ 0.2 $ 0.5 $ — $ 30.1 $ 30.1 Severance and other employee costs 1.9 1.2 15.0 4.0 53.4 53.4 Equipment and inventory relocation costs — 0.2 0.1 0.9 6.0 6.5 Facility carrying costs — 0.2 — 0.2 1.9 1.9 Other costs 1.2 0.3 1.8 3.5 10.4 11.6 Restructuring total $ 3.1 $ 2.1 $ 17.4 $ 8.6 $ 101.8 $ 103.5 Land and Development Net property, plant and equipment costs $ — $ — $ — $ — $ 1.8 $ 1.8 Severance and other employee costs — — — 0.1 13.8 13.8 Other costs — — — — 3.0 3.0 Restructuring total $ — $ — $ — $ 0.1 $ 18.6 $ 18.6 Corporate Severance and other employee costs $ 0.1 2.4 9.0 22.2 $ 47.3 $ 47.3 Other costs 0.6 0.1 1.3 2.2 8.7 8.7 Restructuring total $ 0.7 $ 2.5 $ 10.3 $ 24.4 $ 56.0 $ 56.0 Total Net property, plant and equipment costs $ (0.3 ) $ (1.7 ) $ 2.7 $ 5.2 $ 128.2 $ 128.2 Severance and other employee costs 5.2 5.2 30.8 38.6 155.8 155.8 Equipment and inventory relocation costs 0.2 1.8 1.6 3.9 15.8 17.0 Facility carrying costs 0.4 0.8 1.4 2.8 21.8 22.5 Other costs 1.9 0.3 3.6 5.9 27.8 29.2 Restructuring total $ 7.4 $ 6.4 $ 40.1 $ 56.4 $ 349.4 $ 352.7 |
Schedule of Acquisition, Divestiture and Integration Costs | The following table presents our acquisition, integration and divestiture costs (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Acquisition costs $ (0.2 ) $ 0.9 $ 0.2 $ 27.9 Integration costs 2.5 10.6 15.9 22.6 Divestiture costs — — — 0.2 Other total $ 2.3 $ 11.5 $ 16.1 $ 50.7 |
Schedule of Changes in Restructuring Accrual and Reconciliation of Accrual Charges | The following table summarizes the changes in the restructuring accrual, which is primarily composed of accrued severance and other employee costs, and presents a reconciliation of the restructuring accrual charges to the line item “ Restructuring and other costs Nine Months Ended June 30, 2020 2019 Accrual at beginning of fiscal year $ 32.3 $ 31.6 Additional accruals 31.7 37.5 Payments (35.3 ) (32.9 ) Adjustment to accruals (1.1 ) (3.1 ) Foreign currency rate changes — 0.1 Accrual at June 30 $ 27.6 $ 33.2 Reconciliation of accruals and charges to restructuring and other costs (in millions): Nine Months Ended June 30, 2020 2019 Additional accruals and adjustments to accruals (see table above) $ 30.6 $ 34.4 Acquisition costs 0.2 27.9 Integration costs 15.9 22.6 Divestiture costs — 0.2 Net property, plant and equipment costs 2.7 5.2 Severance and other employee costs (0.1 ) 6.9 Equipment and inventory relocation costs 1.6 3.9 Facility carrying costs 1.4 2.8 Other costs 3.9 3.2 Total restructuring and other costs $ 56.2 $ 107.1 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Retirement Plans [Abstract] | |
Summary of Components of Net Pension Income and Summary of Components of Postretirement Benefit Cost | Pension and Postretirement Income / Expense The following table presents a summary of the components of net pension income (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Service cost $ 11.9 $ 10.2 $ 39.2 $ 32.5 Interest cost 49.7 58.8 149.1 174.0 Expected return on plan assets (90.1 ) (85.9 ) (271.7 ) (254.7 ) Amortization of net actuarial loss 11.4 6.3 35.1 18.7 Amortization of prior service cost 1.9 1.3 5.4 3.9 Curtailment loss — 0.1 0.4 1.0 Company defined benefit plan income (15.2 ) (9.2 ) (42.5 ) (24.6 ) Multiemployer pension withdrawal income (2.0 ) (1.7 ) (1.1 ) (1.7 ) Multiemployer and other plans 0.3 0.2 1.0 0.5 Net pension income $ (16.9 ) $ (10.7 ) $ (42.6 ) $ (25.8 ) Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Service cost $ 0.3 $ 0.2 $ 1.0 $ 0.8 Interest cost 1.7 1.9 5.3 5.8 Amortization of net actuarial loss (gain) 0.5 (0.7 ) 0.1 (1.5 ) Amortization of prior service credit (0.7 ) (0.7 ) (2.1 ) (2.1 ) Net postretirement cost $ 1.8 $ 0.7 $ 4.3 $ 3.0 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Certain Operating Data for Segments | The following tables show selected operating data for our segments (in millions): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Net sales (aggregate): Corrugated Packaging $ 2,728.8 $ 3,072.8 $ 8,520.8 $ 8,797.3 Consumer Packaging 1,552.6 1,650.1 4,705.8 4,937.2 Land and Development — 8.6 18.9 23.3 Total $ 4,281.4 $ 4,731.5 $ 13,245.5 $ 13,757.8 Less net sales (intersegment): Corrugated Packaging $ 15.3 $ 19.7 $ 54.3 $ 57.1 Consumer Packaging 29.8 21.8 83.9 63.3 Total $ 45.1 $ 41.5 $ 138.2 $ 120.4 Net sales (unaffiliated customers): Corrugated Packaging $ 2,713.5 $ 3,053.1 $ 8,466.5 $ 8,740.2 Consumer Packaging 1,522.8 1,628.3 4,621.9 4,873.9 Land and Development — 8.6 18.9 23.3 Total $ 4,236.3 $ 4,690.0 $ 13,107.3 $ 13,637.4 Segment income: Corrugated Packaging $ 227.9 $ 392.7 $ 755.8 $ 949.8 Consumer Packaging 95.3 91.0 232.3 253.1 Land and Development — 1.6 1.4 2.8 Segment income 323.2 485.3 989.5 1,205.7 (Loss) gain on sale of certain closed facilities — (2.7 ) 5.5 47.8 Multiemployer pension withdrawal income 2.0 1.7 1.1 1.7 Land and Development impairments — — — (13.0 ) Restructuring and other costs (9.7 ) (17.9 ) (56.2 ) (107.1 ) Non-allocated expenses (18.3 ) (24.4 ) (54.1 ) (67.8 ) Interest expense, net (92.4 ) (111.1 ) (283.2 ) (317.3 ) Loss on extinguishment of debt (0.6 ) (3.2 ) (1.1 ) (4.7 ) Other (expense) income, net (5.0 ) 3.7 (9.6 ) (2.3 ) Income before income taxes $ 199.2 $ 331.4 $ 591.9 $ 743.0 Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Depreciation and amortization: Corrugated Packaging $ 233.1 $ 241.4 $ 717.0 $ 702.6 Consumer Packaging 131.2 140.7 399.7 418.5 Corporate 1.4 3.2 4.7 7.0 Total $ 365.7 $ 385.3 $ 1,121.4 $ 1,128.1 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | The components of inventories were as follows (in millions): June 30, 2020 September 30, 2019 Finished goods and work in process $ 937.1 $ 938.9 Raw materials 788.0 818.8 Spare parts and supplies 513.8 479.7 Inventories at FIFO cost 2,238.9 2,237.4 LIFO reserve (101.2 ) (129.9 ) Net inventories $ 2,137.7 $ 2,107.5 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | The components of property, plant and equipment were as follows (in millions): June 30, 2020 September 30, 2019 Property, plant and equipment at cost: Land and buildings $ 2,507.3 $ 2,442.3 Machinery and equipment 15,044.2 14,743.6 Forestlands and mineral rights 114.1 144.0 Transportation equipment 28.8 31.2 Leasehold improvements 102.8 100.2 17,797.2 17,461.3 Less: accumulated depreciation, depletion and amortization (6,874.6 ) (6,271.8 ) Property, plant and equipment, net $ 10,922.6 $ 11,189.5 |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Summary of Activity Under A/R Sales Agreement | The following table presents a summary of the activity under the A/R Sales Agreement for the nine months ended June 30, 2020 and June 30, 2019 (in millions): Nine Months Ended June 30, 2020 2019 Receivable from financial institution at beginning of fiscal year $ — $ — Receivables sold to the financial institution and derecognized 1,847.8 1,453.5 Receivables collected by financial institution (1,844.7 ) (1,441.6 ) Cash paid to financial institution (3.1 ) (11.9 ) Receivable $ — $ — |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Debt [Abstract] | |
Schedule of Carrying Value of Individual Components of Debt | The following table shows the carrying value of the individual components of our debt (in millions): June 30, 2020 September 30, 2019 Public bonds due fiscal 2020 to 2022 $ 399.2 $ 507.8 Public bonds due fiscal 2023 to 2028 3,772.4 3,769.1 Public bonds due fiscal 2029 to 2033 2,781.9 2,197.6 Public bonds due fiscal 2037 to 2047 178.7 179.0 Term loan facilities 1,797.1 2,295.5 Revolving credit and swing facilities 285.0 396.0 Commercial paper 329.9 339.2 Finance lease obligations 277.8 185.8 Supplier financing and commercial card programs 101.0 123.2 International and other debt 130.4 70.2 Total debt 10,053.4 10,063.4 Less: current portion of debt 213.1 561.1 Long-term debt due after one year $ 9,840.3 $ 9,502.3 |
Selected Condensed Consolidat_2
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Condensed Consolidating Statements of Operations | CONDENSED CONSOLIDATING STATEMENTS OF INCOME Three Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 604.9 $ 4,293.6 $ (662.2 ) $ 4,236.3 Cost of goods sold — — 485.3 3,635.4 (654.4 ) 3,466.3 Gross profit — — 119.6 658.2 (7.8 ) 770.0 Selling, general and administrative, excluding intangible amortization — 0.4 18.6 371.1 — 390.1 Selling, general and administrative intangible amortization — — 24.5 75.1 — 99.6 (Gain) loss on disposal of assets — — (0.1 ) 1.1 — 1.0 Multiemployer pension withdrawal income — — (2.0 ) — — (2.0 ) Restructuring and other costs — — — 9.7 — 9.7 Operating profit (loss) — (0.4 ) 78.6 201.2 (7.8 ) 271.6 Interest (expense) income, net — (60.6 ) (33.5 ) 1.7 — (92.4 ) Intercompany interest (expense) income, net — (1.5 ) (17.8 ) 11.5 7.8 — Loss on extinguishment of debt — (0.6 ) — — — (0.6 ) Pension and other postretirement non- service (expense) income — — (1.4 ) 27.0 — 25.6 Other income (expense), net — 0.5 — (5.5 ) — (5.0 ) Equity in income of consolidated entities 178.5 272.7 195.8 — (647.0 ) — Income before income taxes 178.5 210.1 221.7 235.9 (647.0 ) 199.2 Income tax benefit (expense) — 15.6 (0.6 ) (34.2 ) — (19.2 ) Consolidated net income 178.5 225.7 221.1 201.7 (647.0 ) 180.0 Less: Net income attributable to noncontrolling interests — — — (1.5 ) — (1.5 ) Net income attributable to common stockholders $ 178.5 $ 225.7 $ 221.1 $ 200.2 $ (647.0 ) $ 178.5 Comprehensive income attributable to common stockholders $ 210.1 $ 257.2 $ 250.2 $ 231.3 $ (738.7 ) $ 210.1 CONDENSED CONSOLIDATING STATEMENTS OF INCOME Nine Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 1,825.1 $ 13,233.2 $ (1,951.0 ) $ 13,107.3 Cost of goods sold — — 1,469.1 11,181.4 (1,927.0 ) 10,723.5 Gross profit — — 356.0 2,051.8 (24.0 ) 2,383.8 Selling, general and administrative, excluding intangible amortization — 0.7 75.3 1,158.4 — 1,234.4 Selling, general and administrative intangible amortization — — 75.0 226.5 — 301.5 Gain on disposal of assets — — (0.1 ) (5.8 ) — (5.9 ) Multiemployer pension withdrawal income — — (1.9 ) 0.8 — (1.1 ) Restructuring and other costs — 3.6 — 52.6 — 56.2 Operating profit (loss) — (4.3 ) 207.7 619.3 (24.0 ) 798.7 Interest (expense) income, net — (189.1 ) (102.3 ) 8.2 — (283.2 ) Intercompany interest (expense) income, net — (8.3 ) (67.2 ) 51.5 24.0 — Loss on extinguishment of debt — (1.0 ) — (0.1 ) — (1.1 ) Pension and other postretirement non- service (expense) income — — (5.2 ) 83.6 — 78.4 Other income (expense), net 0.1 0.5 1.3 (11.5 ) — (9.6 ) Equity in income of unconsolidated entities — — — 8.7 — 8.7 Equity in income of consolidated entities 465.0 751.6 445.2 — (1,661.8 ) — Income before income taxes 465.1 549.4 479.5 759.7 (1,661.8 ) 591.9 Income tax benefit (expense) — 50.4 (2.3 ) (171.6 ) — (123.5 ) Consolidated net income 465.1 599.8 477.2 588.1 (1,661.8 ) 468.4 Less: Net income attributable to noncontrolling interests — — — (3.3 ) — (3.3 ) Net income attributable to common stockholders $ 465.1 $ 599.8 $ 477.2 $ 584.8 $ (1,661.8 ) $ 465.1 Comprehensive income attributable to common stockholders $ 220.3 $ 355.9 $ 238.6 $ 347.4 $ (941.9 ) $ 220.3 CONDENSED CONSOLIDATING STATEMENTS OF INCOME Three Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 643.0 $ 4,676.3 $ (629.3 ) $ 4,690.0 Cost of goods sold — — 475.6 3,844.9 (619.4 ) 3,701.1 Gross profit — — 167.4 831.4 (9.9 ) 988.9 Selling, general and administrative, excluding intangible amortization — (0.4 ) 26.0 416.8 — 442.4 Selling, general and administrative intangible amortization — — 26.1 76.3 — 102.4 Loss on disposal of assets — — 0.1 6.4 — 6.5 Multiemployer pension withdrawal income — — — (1.7 ) — (1.7 ) Restructuring and other costs — 1.4 0.1 16.4 — 17.9 Operating profit (loss) — (1.0 ) 115.1 317.2 (9.9 ) 421.4 Interest expense, net — (66.5 ) (36.9 ) (7.7 ) — (111.1 ) Intercompany interest (expense) income, net — (2.5 ) (33.3 ) 25.9 9.9 — Loss on extinguishment of debt — (0.8 ) (2.3 ) (0.1 ) — (3.2 ) Pension and other postretirement non- service (expense) income — — (1.4 ) 20.3 — 18.9 Other (expense) income, net — — (35.2 ) 38.9 — 3.7 Equity in income of unconsolidated entities — — — 1.7 — 1.7 Equity in income (loss) of consolidated entities 252.6 276.9 (11.4 ) — (518.1 ) — Income (loss) before income taxes 252.6 206.1 (5.4 ) 396.2 (518.1 ) 331.4 Income tax benefit (expense) — 17.9 (1.9 ) (93.6 ) — (77.6 ) Consolidated net income (loss) 252.6 224.0 (7.3 ) 302.6 (518.1 ) 253.8 Less: Net income attributable to noncontrolling interests — — — (1.2 ) — (1.2 ) Net income (loss) attributable to common stockholders $ 252.6 $ 224.0 $ (7.3 ) $ 301.4 $ (518.1 ) $ 252.6 Comprehensive income attributable to common stockholders $ 282.7 $ 253.7 $ 20.7 $ 331.8 $ (606.2 ) $ 282.7 CONDENSED CONSOLIDATING STATEMENTS OF INCOME Nine Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Net sales $ — $ — $ 1,906.0 $ 13,648.2 $ (1,916.8 ) $ 13,637.4 Cost of goods sold — — 1,503.3 11,370.7 (1,906.9 ) 10,967.1 Gross profit — — 402.7 2,277.5 (9.9 ) 2,670.3 Selling, general and administrative, excluding intangible amortization — — 53.3 1,234.1 — 1,287.4 Selling, general and administrative intangible amortization — — 78.4 219.3 — 297.7 Loss (gain) on disposal of assets — — 0.1 (37.4 ) — (37.3 ) Multiemployer pension withdrawal income — — — (1.7 ) — (1.7 ) Land and Development impairments — — — 13.0 — 13.0 Restructuring and other costs — 5.3 0.2 101.6 — 107.1 Operating profit (loss) — (5.3 ) 270.7 748.6 (9.9 ) 1,004.1 Interest expense, net — (178.5 ) (128.8 ) (10.0 ) — (317.3 ) Intercompany interest income (expense), net — 1.0 (87.9 ) 77.0 9.9 — Loss on extinguishment of debt — (2.6 ) (1.9 ) (0.2 ) — (4.7 ) Pension and other postretirement non- service (expense) income — — (4.8 ) 59.7 — 54.9 Other (expense) income, net — (4.0 ) (35.6 ) 37.3 — (2.3 ) Equity in income of unconsolidated entities — — — 8.3 — 8.3 Equity in income of consolidated entities 552.1 671.1 403.0 — (1,626.2 ) — Income before income taxes 552.1 481.7 414.7 920.7 (1,626.2 ) 743.0 Income tax benefit (expense) — 46.9 (3.2 ) (231.2 ) — (187.5 ) Consolidated net income 552.1 528.6 411.5 689.5 (1,626.2 ) 555.5 Less: Net income attributable to noncontrolling interests — — — (3.4 ) — (3.4 ) Net income attributable to common stockholders $ 552.1 $ 528.6 $ 411.5 $ 686.1 $ (1,626.2 ) $ 552.1 Comprehensive income attributable to common stockholders $ 552.0 $ 530.6 $ 415.9 $ 687.0 $ (1,633.5 ) $ 552.0 |
Condensed Consolidating Balance Sheets | CONDENSED CONSOLIDATING BALANCE SHEETS June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total ASSETS Current Assets: Cash and cash equivalents $ — $ — $ 178.4 $ 113.1 $ — $ 291.5 Accounts receivable — — 38.9 2,092.7 (48.4 ) 2,083.2 Inventories — — 239.9 1,897.8 — 2,137.7 Other current assets 0.5 — 6.3 483.4 — 490.2 Intercompany receivables — 24.0 0.3 1,372.8 (1,397.1 ) — Assets held for sale — — — 3.3 — 3.3 Total current assets 0.5 24.0 463.8 5,963.1 (1,445.5 ) 5,005.9 Property, plant and equipment, net — — 14.8 10,907.8 — 10,922.6 Goodwill — — 1,158.6 6,111.9 — 7,270.5 Intangibles, net — — 1,409.9 2,339.5 — 3,749.4 Restricted assets held by special purpose entities — — — 1,269.2 — 1,269.2 Prepaid pension asset — — — 305.9 — 305.9 Intercompany notes receivable — 154.9 149.8 2,821.3 (3,126.0 ) — Investments in consolidated subsidiaries 12,158.9 18,891.4 19,827.1 — (50,877.4 ) — Other assets — 91.4 233.8 1,515.6 (86.7 ) 1,754.1 Total Assets $ 12,159.4 $ 19,161.7 $ 23,257.8 $ 31,234.3 $ (55,535.6 ) $ 30,277.6 LIABILITIES AND EQUITY Current liabilities: Current portion of debt $ — $ 79.9 $ — $ 133.2 $ — $ 213.1 Accounts payable — 1.1 24.2 1,536.6 (48.4 ) 1,513.5 Accrued compensation and benefits 0.2 — 14.5 362.5 — 377.2 Other current liabilities — 51.8 107.7 523.6 — 683.1 Intercompany payables 446.1 57.7 470.6 422.7 (1,397.1 ) — Total current liabilities 446.3 190.5 617.0 2,978.6 (1,445.5 ) 2,786.9 Long-term debt due after one year — 6,706.4 1,972.0 1,161.9 — 9,840.3 Intercompany notes payable — 753.3 2,068.0 304.7 (3,126.0 ) — Pension liabilities, net of current portion — — 141.6 129.7 — 271.3 Postretirement benefit liabilities, net of current portion — — 25.2 126.7 — 151.9 Non-recourse liabilities held by special purpose entities — — — 1,138.7 — 1,138.7 Deferred income taxes — — 310.0 2,664.9 (86.7 ) 2,888.2 Other long-term liabilities — 35.3 152.5 1,281.0 — 1,468.8 Redeemable noncontrolling interests — — — 1.6 — 1.6 Total stockholders’ equity 11,713.1 11,476.2 17,971.5 21,429.7 (50,877.4 ) 11,713.1 Noncontrolling interests — — — 16.8 — 16.8 Total equity 11,713.1 11,476.2 17,971.5 21,446.5 (50,877.4 ) 11,729.9 Total Liabilities and Equity $ 12,159.4 $ 19,161.7 $ 23,257.8 $ 31,234.3 $ (55,535.6 ) $ 30,277.6 CONDENSED CONSOLIDATING BALANCE SHEETS September 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total ASSETS Current Assets: Cash and cash equivalents $ — $ — $ 17.8 $ 133.8 $ — $ 151.6 Accounts receivable — — 31.1 2,201.7 (39.6 ) 2,193.2 Inventories — — 254.3 1,853.2 — 2,107.5 Other current assets — 1.2 11.8 483.2 — 496.2 Intercompany receivables — 227.7 — 1,128.6 (1,356.3 ) — Assets held for sale — — — 25.8 — 25.8 Total current assets — 228.9 315.0 5,826.3 (1,395.9 ) 4,974.3 Property, plant and equipment, net — — 18.9 11,170.6 — 11,189.5 Goodwill — — 1,158.6 6,127.0 — 7,285.6 Intangibles, net — — 1,485.0 2,574.5 — 4,059.5 Restricted assets held by special purpose entities — — — 1,274.3 — 1,274.3 Prepaid pension asset — — — 224.7 — 224.7 Intercompany notes receivable — 155.0 156.9 3,026.8 (3,338.7 ) — Investments in consolidated subsidiaries 11,973.6 18,524.2 20,103.6 — (50,601.4 ) — Other assets — 67.8 185.3 971.8 (76.1 ) 1,148.8 Total Assets $ 11,973.6 $ 18,975.9 $ 23,423.3 $ 31,196.0 $ (55,412.1 ) $ 30,156.7 LIABILITIES AND EQUITY Current liabilities: Current portion of debt $ — $ 135.3 $ 108.9 $ 316.9 $ — $ 561.1 Accounts payable — 0.7 31.3 1,839.4 (39.6 ) 1,831.8 Accrued compensation and benefits 0.3 — 14.5 455.6 — 470.4 Other current liabilities — 18.6 83.8 469.4 — 571.8 Intercompany payables 303.4 — 1,052.9 — (1,356.3 ) — Total current liabilities 303.7 154.6 1,291.4 3,081.3 (1,395.9 ) 3,435.1 Long-term debt due after one year — 6,608.0 1,982.9 911.4 — 9,502.3 Intercompany notes payable — 636.3 2,390.5 311.9 (3,338.7 ) — Pension liabilities, net of current portion — — 147.6 146.4 — 294.0 Postretirement benefit liabilities, net of current portion — — 25.7 136.4 — 162.1 Non-recourse liabilities held by special purpose entities — — — 1,145.2 — 1,145.2 Deferred income taxes — — 278.9 2,675.2 (76.1 ) 2,878.0 Other long-term liabilities — 12.9 131.2 909.8 — 1,053.9 Redeemable noncontrolling interests — — — 1.9 — 1.9 Total stockholders’ equity 11,669.9 11,564.1 17,175.1 21,862.2 (50,601.4 ) 11,669.9 Noncontrolling interests — — — 14.3 — 14.3 Total equity 11,669.9 11,564.1 17,175.1 21,876.5 (50,601.4 ) 11,684.2 Total Liabilities and Equity $ 11,973.6 $ 18,975.9 $ 23,423.3 $ 31,196.0 $ (55,412.1 ) $ 30,156.7 |
Condensed Consolidating Statements of Cash Flows | CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Nine Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Operating activities: Net cash provided by (used for) operating activities $ 275.9 $ (38.1 ) $ 250.6 $ 850.6 $ — $ 1,339.0 Investing activities: Capital expenditures — — — (860.2 ) — (860.2 ) Investment in unconsolidated entities — — — (1.0 ) — (1.0 ) Proceeds from sale of property, plant and equipment — — 0.1 22.4 — 22.5 Proceeds from property, plant and equipment insurance settlement — — — 2.4 — 2.4 Intercompany notes proceeds — — 5.0 — (5.0 ) — Other, net — — 9.9 1.0 — 10.9 Net cash provided by (used for) investing activities — — 15.0 (835.4 ) (5.0 ) (825.4 ) Financing activities: Proceeds from issuance of notes — 598.6 — — — 598.6 Additions to revolving credit facilities — 350.0 — 63.0 — 413.0 Repayments of revolving credit facilities — (350.0 ) — (128.2 ) — (478.2 ) Additions to debt — — — 683.1 — 683.1 Repayments of debt — (500.0 ) (105.0 ) (590.8 ) — (1,195.8 ) Repayments of commercial paper, net — (9.3 ) — — — (9.3 ) Other debt repayments, net — (46.0 ) — (23.2 ) — (69.2 ) Issuances of common stock, net of related minimum tax withholdings 16.7 — — — — 16.7 Cash dividends paid to stockholders (292.6 ) — — — — (292.6 ) Cash distributions paid to noncontrolling interests — — — (1.4 ) — (1.4 ) Intercompany notes payments — — — (5.0 ) 5.0 — Other, net — (5.2 ) — (11.8 ) — (17.0 ) Net cash (used for) provided by financing activities (275.9 ) 38.1 (105.0 ) (14.3 ) 5.0 (352.1 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — — (21.6 ) — (21.6 ) Increase (decrease) in cash, cash equivalents and restricted cash — — 160.6 (20.7 ) — 139.9 Cash, cash equivalents and restricted cash at beginning of period — — 17.8 133.8 — 151.6 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 178.4 $ 113.1 $ — $ 291.5 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS Nine Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Operating activities: Net cash provided by (used for) operating activities $ 430.7 $ (512.4 ) $ 445.9 $ 1,035.4 $ — $ 1,399.6 Investing activities: Capital expenditures — — (2.5 ) (974.3 ) — (976.8 ) Cash paid related to business combinations, net of cash acquired — — — (3,368.3 ) — (3,368.3 ) Investment in unconsolidated entities — — — (10.4 ) — (10.4 ) Proceeds from sale of property, plant and equipment — — — 108.3 — 108.3 Proceeds from property, plant and equipment insurance settlement — — — 16.5 — 16.5 Intercompany notes issued — — (0.1 ) (75.7 ) 75.8 — Intercompany notes proceeds — 9.2 4.3 3,870.2 (3,883.7 ) — Intercompany capital investment (563.0 ) (563.0 ) — — 1,126.0 — Other, net — — 28.2 1.8 — 30.0 Net cash (used for) provided by investing activities (563.0 ) (553.8 ) 29.9 (431.9 ) (2,681.9 ) (4,200.7 ) Financing activities: Proceeds from issuance of notes — 2,498.2 — — — 2,498.2 Additions to revolving credit facilities — 67.2 — 125.0 — 192.2 Repayments of revolving credit facilities — (67.2 ) — (110.0 ) — (177.2 ) Additions to debt — 4,101.8 (1.0 ) 340.2 — 4,441.0 Repayments of debt — (2,187.1 ) (958.6 ) (1,519.3 ) — (4,665.0 ) Additions to commercial paper, net — 445.6 — — — 445.6 Other debt additions, net — 35.3 — 10.6 — 45.9 Issuances of common stock, net of related minimum tax withholdings 8.6 — — — — 8.6 Purchases of common stock (88.6 ) — — — — (88.6 ) Cash dividends paid to stockholders (350.7 ) — — — — (350.7 ) Cash distributions paid to noncontrolling interests — — — (3.4 ) — (3.4 ) Intercompany notes borrowing — — 75.7 0.1 (75.8 ) — Intercompany notes payments — (3,800.0 ) (70.2 ) (13.5 ) 3,883.7 — Intercompany capital receipt 563.0 — — 563.0 (1,126.0 ) — Other, net — (27.8 ) — 20.7 — (7.1 ) Net cash provided by (used for) financing activities 132.3 1,066.0 (954.1 ) (586.6 ) 2,681.9 2,339.5 Effect of exchange rate changes on cash, cash equivalents and restricted cash — — — 3.9 — 3.9 (Decrease) increase in cash, cash equivalents and restricted cash — (0.2 ) (478.3 ) 20.8 — (457.7 ) Cash, cash equivalents and restricted cash at beginning of period — 0.2 490.8 145.8 — 636.8 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 12.5 $ 166.6 $ — $ 179.1 |
Summary of Non-Cash Transactions | The table below summarizes these non-cash transactions. Nine Months Ended June 30, 2020 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Investing activities: Intercompany notes issued $ — $ — $ (63.6 ) $ (117.0 ) $ 180.6 $ — Intercompany notes proceeds $ — $ — $ 65.8 $ 322.5 $ (388.3 ) $ — Intercompany capital investment $ (407.3 ) $ (625.6 ) $ (917.8 ) $ — $ 1,950.7 $ — Intercompany return of capital $ 442.0 $ 21.2 $ 619.7 $ — $ (1,082.9 ) $ — Financing activities: Intercompany notes borrowing $ — $ 117.0 $ — $ 63.6 $ (180.6 ) $ — Intercompany notes payments $ — $ — $ (322.5 ) $ (65.8 ) $ 388.3 $ — Intercompany capital receipt $ — $ — $ 625.2 $ 1,325.5 $ (1,950.7 ) $ — Intercompany capital distribution $ — $ (442.0 ) $ (21.2 ) $ (619.7 ) $ 1,082.9 $ — Intercompany dividends paid $ — $ — $ (48.3 ) $ (1,436.9 ) $ 1,485.2 $ — The table below summarizes these non-cash transactions. Nine Months Ended June 30, 2019 (In millions) Parent Issuer Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Consolidated Total Operating activities: Intercompany receivables $ (140.9 ) $ — $ — $ — $ 140.9 $ — Intercompany payables $ — $ — $ — $ 140.9 $ (140.9 ) $ — Investing activities: Intercompany notes issued $ — $ (3,800.0 ) $ (4,666.4 ) $ (8,715.4 ) $ 17,181.8 $ — Intercompany notes proceeds $ — $ 4,519.8 $ 4,519.8 $ 4,759.6 $ (13,799.2 ) $ — Intercompany capital investment $ (10,396.2 ) $ (5,895.5 ) $ (6,880.5 ) $ — $ 23,172.2 $ — Intercompany return of capital $ 606.7 $ 1,479.6 $ 1,021.4 $ — $ (3,107.7 ) $ — Financing activities: Intercompany notes borrowing $ — $ 4,436.3 $ 479.1 $ 12,266.4 $ (17,181.8 ) $ — Intercompany notes payments $ — $ — $ (959.6 ) $ (12,839.6 ) $ 13,799.2 $ — Intercompany capital receipt $ — $ 10,396.2 $ 5,413.7 $ 7,362.3 $ (23,172.2 ) $ — Intercompany capital distribution $ (563.0 ) $ (606.7 ) $ (457.5 ) $ (1,480.5 ) $ 3,107.7 $ — Intercompany dividends paid $ — $ — $ (302.2 ) $ (1,419.6 ) $ 1,721.8 $ — |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Schedule of Components of Lease Costs | Components of Lease Costs The following table presents certain information related to the lease costs for finance and operating leases (in millions): Three Months Ended Nine Months Ended June 30, 2020 June 30, 2020 Operating lease costs $ 50.0 $ 150.0 Variable and short-term lease costs 25.6 79.6 Sublease income (1.5 ) (5.0 ) Finance lease cost: Amortization of lease assets 2.5 8.0 Interest on lease liabilities 1.9 6.0 Total lease cost, net $ 78.5 $ 238.6 |
Summary of Supplemental Balance Sheet Information Related to Leases | Supplemental Balance Sheet Information Related to Leases The table below presents the lease-related assets and liabilities recorded on the balance sheet (in millions): Condensed Consolidated Balance Sheet Caption June 30, 2020 Operating leases: Operating lease right-of-use asset Other assets $ 649.2 Current operating lease liabilities Other current liabilities $ 169.0 Operating lease liabilities Other long-term liabilities 535.5 Total operating lease liabilities $ 704.5 Finance leases: Property, plant and equipment $ 145.6 Accumulated depreciation (19.0 ) Property, plant and equipment, net $ 126.6 Current finance lease liabilities Current portion of debt $ 9.3 Noncurrent finance lease liabilities Long-term debt due after one year 268.5 Total finance lease liabilities $ 277.8 |
Summary of Lease Term and Discount Rate | Lease Term and Discount Rate June 30, 2020 Weighted average remaining lease term: Operating leases 5.9 years Finance leases 9.2 years Weighted average discount rate: Operating leases 2.7 % Finance leases 4.0 % |
Summary of Supplemental Cash Flow Information Related to Leases | Supplemental Cash Flow Information Related to Leases The table below presents supplemental cash flow information related to leases (in millions): Nine Months Ended June 30, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows related to operating leases $ 151.7 Operating cash flows related to finance leases $ 6.5 Financing cash flows related to finance leases $ 7.7 |
Summary of Maturity of Lease Liabilities | Maturity of Lease Liabilities The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities and finance lease liabilities recorded on the balance sheet (in millions): June 30, 2020 Operating Leases Finance Leases Total Remaining fiscal 2020 $ 50.3 $ 4.3 $ 54.6 Fiscal 2021 177.1 16.1 193.2 Fiscal 2022 140.3 15.2 155.5 Fiscal 2023 110.0 13.3 123.3 Fiscal 2024 87.8 12.1 99.9 Thereafter 203.5 300.9 504.4 Total lease payments 769.0 361.9 1,130.9 Less: Interest (1) (64.5 ) (84.1 ) (148.6 ) Present value of future lease payments $ 704.5 $ 277.8 $ 982.3 (1) |
Summary of Future Minimum Payments Under All Existing Non-cancelable Operating Leases | At September 30, 2019, future minimum payments under all existing non-cancelable operating leases for the succeeding five years and thereafter were as follows (in millions): Fiscal 2020 $ 214.3 Fiscal 2021 180.1 Fiscal 2022 136.3 Fiscal 2023 108.3 Fiscal 2024 85.3 Thereafter 206.1 Total $ 930.4 |
Equity and Other Comprehensiv_2
Equity and Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Loss, Net of Tax | The tables below summarize the changes in accumulated other comprehensive loss, net of tax, by component for the nine months ended June 30, 2020 and June 30, 2019 (in millions): Deferred (Loss) Income on Cash Flow Hedges Defined Benefit Pension and Postretirement Plans Foreign Currency Items Total (1) Balance at September 30, 2019 $ 0.7 $ (698.0 ) $ (371.9 ) $ (1,069.2 ) Other comprehensive loss before reclassifications (10.1 ) — (265.2 ) (275.3 ) Amounts reclassified from accumulated other comprehensive loss 2.2 28.3 — 30.5 Net current period other comprehensive (loss) income (7.9 ) 28.3 (265.2 ) (244.8 ) Reclassification of stranded tax effects — (73.4 ) — (73.4 ) Balance at June 30, 2020 $ (7.2 ) $ (743.1 ) $ (637.1 ) $ (1,387.4 ) (1) Deferred Loss on Cash Flow Hedges Defined Benefit Pension and Postretirement Plans Foreign Currency Items Total (1) Balance at September 30, 2018 $ (0.2 ) $ (465.9 ) $ (229.2 ) $ (695.3 ) Other comprehensive loss before reclassifications — — (13.7 ) (13.7 ) Amounts reclassified from accumulated other comprehensive loss — 13.6 — 13.6 Net current period other comprehensive income (loss) — 13.6 (13.7 ) (0.1 ) Balance at June 30, 2019 $ (0.2 ) $ (452.3 ) $ (242.9 ) $ (695.4 ) (1) |
Summary of Reclassification out of Accumulated Other Comprehensive Loss | The following table summarizes the reclassifications out of accumulated other comprehensive loss by component (in millions): Three Months Ended Three Months Ended June 30, 2020 June 30, 2019 Pretax Tax Net of Tax Pretax Tax Net of Tax Amortization of defined benefit pension and postretirement items: (1) Actuarial losses (2) $ (11.4 ) $ 2.6 $ (8.8 ) $ (5.9 ) $ 1.5 $ (4.4 ) Prior service costs (2) (1.3 ) 0.3 (1.0 ) (0.5 ) 0.1 (0.4 ) Subtotal defined benefit plans (12.7 ) 2.9 (9.8 ) (6.4 ) 1.6 (4.8 ) Derivative Instruments: (1) Interest rate swap hedge loss (3) (1.4 ) 0.3 (1.1 ) — — — Total reclassifications for the period $ (14.1 ) $ 3.2 $ (10.9 ) $ (6.4 ) $ 1.6 $ (4.8 ) (1) (2) Note 5. Retirement Plans (3) These accumulated other comprehensive income components are included in Interest expense, net. Nine Months Ended Nine Months Ended June 30, 2020 June 30, 2019 Pretax Tax Net of Tax Pretax Tax Net of Tax Amortization of defined benefit pension and postretirement items: (1) Actuarial losses (2) $ (34.5 ) $ 8.7 $ (25.8 ) $ (16.6 ) $ 4.3 $ (12.3 ) Prior service costs (2) (3.3 ) 0.8 (2.5 ) (1.7 ) 0.4 (1.3 ) Reclassification of stranded tax effects (3) — 73.4 73.4 — — — Subtotal defined benefit plans (37.8 ) 82.9 45.1 (18.3 ) 4.7 (13.6 ) Derivative Instruments: (1) Interest rate swap hedge loss (4) (0.4 ) 0.1 (0.3 ) — — — Natural gas commodity hedge loss (5) (2.6 ) 0.7 (1.9 ) — — — Subtotal cash flow hedges (3.0 ) 0.8 (2.2 ) — — — Total reclassifications for the period $ (40.8 ) $ 83.7 $ 42.9 $ (18.3 ) $ 4.7 $ (13.6 ) (1) (2) Note 5. Retirement Plans (3) . (4) These accumulated other comprehensive income components are included in Interest expense, net. (5) These accumulated other comprehensive income components are included in Cost of goods sold. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted earnings per share under the two-class method (in millions, except per share data): Three Months Ended Nine Months Ended June 30, June 30, 2020 2019 2020 2019 Numerator: Net income attributable to common stockholders $ 178.5 $ 252.6 $ 465.1 $ 552.1 Less: Distributed and undistributed income available to participating securities — — (0.1 ) — Distributed and undistributed income available to common stockholders $ 178.5 $ 252.6 $ 465.0 $ 552.1 Denominator: Basic weighted average shares outstanding 259.4 257.3 258.9 256.2 Effect of dilutive stock options and non- participating securities 1.0 1.3 1.3 2.9 Diluted weighted average shares outstanding 260.4 258.6 260.2 259.1 Basic earnings per share attributable to common stockholders $ 0.69 $ 0.98 $ 1.80 $ 2.15 Diluted earnings per share attributable to common stockholders $ 0.69 $ 0.98 $ 1.79 $ 2.13 |
Description of Business and Sum
Description of Business and Summary of Significant Accounting Policies - Additional Information (Details) $ in Millions | Oct. 01, 2019USD ($) |
ASU 2018-02 [Member] | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Reclassification of stranded tax effects from accumulated other comprehensive income to retained earnings | $ 73.4 |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of Disaggregates Revenue by Geographical Market and Product Type (Segment) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 4,236.3 | $ 4,690 | $ 13,107.3 | $ 13,637.4 |
Corrugated Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 2,728.8 | 3,072.8 | 8,520.8 | 8,797.3 |
Consumer Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1,552.6 | 1,650.1 | 4,705.8 | 4,937.2 |
Land and Development [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 8.6 | 18.9 | 23.3 | |
Intersegment Sales [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (45.1) | (41.5) | (138.2) | (120.4) |
Intersegment Sales [Member] | Corrugated Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (15.3) | (19.7) | (54.3) | (57.1) |
Intersegment Sales [Member] | Consumer Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (29.8) | (21.8) | (83.9) | (63.3) |
North America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 3,826 | 4,227.9 | 11,787 | 12,201.3 |
North America [Member] | Corrugated Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 2,632.4 | 2,954.6 | 8,187 | 8,426.3 |
North America [Member] | Consumer Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1,238.4 | 1,306 | 3,718.8 | 3,870.7 |
North America [Member] | Land and Development [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 8.6 | 18.9 | 23.3 | |
North America [Member] | Intersegment Sales [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (44.8) | (41.3) | (137.7) | (119) |
South America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 101.9 | 117.6 | 349 | 373.4 |
South America [Member] | Corrugated Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 87.8 | 102.8 | 296.1 | 321.2 |
South America [Member] | Consumer Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 14.1 | 14.8 | 52.9 | 52.2 |
Europe [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 234.2 | 259.9 | 736.5 | 790 |
Europe [Member] | Corrugated Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 0.6 | 0.7 | 4.9 | 0.7 |
Europe [Member] | Consumer Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 233.8 | 259.3 | 731.8 | 789.4 |
Europe [Member] | Intersegment Sales [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | (0.2) | (0.1) | (0.2) | (0.1) |
Asia Pacific [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 74.2 | 84.6 | 234.8 | 272.7 |
Asia Pacific [Member] | Corrugated Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 8 | 14.7 | 32.8 | 49.1 |
Asia Pacific [Member] | Consumer Packaging [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 66.3 | 70 | 202.3 | 224.9 |
Asia Pacific [Member] | Intersegment Sales [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ (0.1) | $ (0.1) | $ (0.3) | $ (1.3) |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Opening and Closing Balances of Contract Assets and Contract Liabilities (Details) $ in Millions | 9 Months Ended |
Jun. 30, 2020USD ($) | |
Disaggregation Of Revenue [Abstract] | |
Short-Term Contract Assets, Beginning balance | $ 188 |
Increase / (Decrease) in Short-Term Contract Assets | 14 |
Short-Term Contract Assets, Ending balance | 202 |
Short-Term Contract Liabilities, Beginning balance | 7.7 |
Increase / (Decrease) in Short-Term Contract Liabilities | 9.2 |
Short-Term Contract Liabilities, Ending balance | $ 16.9 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | Nov. 02, 2018 | Jun. 30, 2020 | Sep. 30, 2019 | Jul. 01, 2015 |
Business Acquisition [Line Items] | ||||
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 |
Number of WRKCo Shares to WestRock Shares | 1 | |||
WRKCo Inc. [Member] | ||||
Business Acquisition [Line Items] | ||||
Common Stock, Par or Stated Value Per Share | $ 0.01 | |||
KapStone Acquisition [Member] | ||||
Business Acquisition [Line Items] | ||||
Common Stock, Par or Stated Value Per Share | 0.0001 | |||
Business Acquisition, Share Price | $ 35 | |||
Ratio of KapStone Shares to WestRock Shares | 49.81% | |||
Maximum percentage of issued and outstanding KapStone Shares to elect WestRock stock consideration | 25.00% | |||
Estimated Enterprise Value of Acquisition | $ 4,900 | |||
Consideration paid in cash | $ 3,300 | |||
Business acquisition, number of shares issued | 1,600,000 | |||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 70.1 | |||
Business acquisition, percentage of equity interest on shares issued and outstanding | 0.60% | |||
Fair value of share-based awards issued in business combinations | $ 70.8 | |||
KapStone Acquisition [Member] | Minimum [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-Lived Intangible Assets, Useful Life | 1 year | |||
KapStone Acquisition [Member] | Maximum [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-Lived Intangible Assets, Useful Life | 20 years |
Acquisitions - Summary of Fair
Acquisitions - Summary of Fair Values of Assets Acquired and Liabilities Assumed by Major Class of Assets and Liabilities and Measurement Period Adjustments (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Nov. 02, 2018 | |
Business Acquisition [Line Items] | |||||
Goodwill | $ 7,270.5 | $ 7,285.6 | |||
Liabilities assumed | $ 2,450.4 | ||||
KapStone Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 8.6 | ||||
Current assets, excluding cash and cash equivalents | 878.9 | ||||
Property, plant and equipment, net | 1,910.3 | ||||
Goodwill | 1,755 | ||||
Intangible assets | 1,336.1 | ||||
Other long-term assets | 27.9 | ||||
Total assets acquired | 5,916.8 | ||||
Current portion of debt | 33.3 | ||||
Current liabilities | 337.5 | ||||
Long-term debt due after one year | 1,333.4 | ||||
Accrued pension and other long-term benefits | 9.8 | ||||
Deferred income taxes | 609.7 | ||||
Other long-term liabilities | 118.4 | ||||
Liabilities assumed | 2,442.1 | ||||
Net assets acquired | 3,474.7 | ||||
KapStone Acquisition [Member] | Measurement Period Adjustments [Member] | |||||
Business Acquisition [Line Items] | |||||
Current assets, excluding cash and cash equivalents | [1] | (30.2) | |||
Property, plant and equipment, net | [1] | 11.5 | |||
Goodwill | [1] | 0.5 | |||
Intangible assets | [1] | 30.3 | |||
Other long-term assets | [1] | (0.1) | |||
Total assets acquired | [1] | 12 | |||
Current liabilities | [1] | 7.9 | |||
Accrued pension and other long-term benefits | [1] | 2.8 | |||
Deferred income taxes | [1] | (1.4) | |||
Other long-term liabilities | [1] | 2.7 | |||
Liabilities assumed | [1] | 12 | |||
KapStone Acquisition [Member] | As Adjusted [Member] | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | [2] | 8.6 | |||
Current assets, excluding cash and cash equivalents | [2] | 848.7 | |||
Property, plant and equipment, net | [2] | 1,921.8 | |||
Goodwill | [2] | 1,755.5 | |||
Intangible assets | [2] | 1,366.4 | |||
Other long-term assets | [2] | 27.8 | |||
Total assets acquired | [2] | 5,928.8 | |||
Current portion of debt | [2] | 33.3 | |||
Current liabilities | [2] | 345.4 | |||
Long-term debt due after one year | [2] | 1,333.4 | |||
Accrued pension and other long-term benefits | [2] | 12.6 | |||
Deferred income taxes | [2] | 608.3 | |||
Other long-term liabilities | [2] | 121.1 | |||
Liabilities assumed | [2] | 2,454.1 | |||
Net assets acquired | [2] | $ 3,474.7 | |||
[1] | |||||
[2] | The measurement period adjustments were primarily due to refinements to third party appraisals and carrying amounts of certain assets and liabilities, as well as adjustments to certain tax accounts based on, among other things, adjustments to deferred tax liabilities. The net impact of the measurement period adjustments to goodwill were essentially flat. |
Acquisitions - Summary of Weigh
Acquisitions - Summary of Weighted Average Life and Fair Value of Intangible Asset Recognized in KapStone Acquisition, Excluding Goodwill (Details) - KapStone Acquisition [Member] $ in Millions | Nov. 02, 2018USD ($) |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Assets, Useful Life | 11 years 10 months 24 days |
Gross Carrying Amount | $ 1,366.4 |
Customer Relationships [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Assets, Useful Life | 11 years 8 months 12 days |
Gross Carrying Amount | $ 1,303 |
Trademarks and Tradenames [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Assets, Useful Life | 16 years 10 months 24 days |
Gross Carrying Amount | $ 54.2 |
Favorable Contracts [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Assets, Useful Life | 6 years |
Gross Carrying Amount | $ 9.2 |
Restructuring and Other Costs -
Restructuring and Other Costs - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring And Related Activities [Abstract] | ||||
Restructuring and other costs | $ 9.7 | $ 17.9 | $ 56.2 | $ 107.1 |
Restructuring and Other Costs_2
Restructuring and Other Costs - Schedule of Restructuring and Other Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring And Related Activities [Abstract] | ||||
Restructuring | $ 7.4 | $ 6.4 | $ 40.1 | $ 56.4 |
Other | 2.3 | 11.5 | 16.1 | 50.7 |
Restructuring and other costs | $ 9.7 | $ 17.9 | $ 56.2 | $ 107.1 |
Restructuring and Other Costs_3
Restructuring and Other Costs - Schedule of Restructuring Charges Related to Active Restructuring Initiatives (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | $ 7.4 | $ 6.4 | $ 40.1 | $ 56.4 |
Restructuring and Related Cost, Cost Incurred to Date | 349.4 | 349.4 | ||
Restructuring and Related Cost, Expected Cost | 352.7 | 352.7 | ||
Net Property, Plant and Equipment [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | (0.3) | (1.7) | 2.7 | 5.2 |
Restructuring and Related Cost, Cost Incurred to Date | 128.2 | 128.2 | ||
Restructuring and Related Cost, Expected Cost | 128.2 | 128.2 | ||
Severance and Other Employee Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 5.2 | 5.2 | 30.8 | 38.6 |
Restructuring and Related Cost, Cost Incurred to Date | 155.8 | 155.8 | ||
Restructuring and Related Cost, Expected Cost | 155.8 | 155.8 | ||
Equipment and Inventory Relocation Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.2 | 1.8 | 1.6 | 3.9 |
Restructuring and Related Cost, Cost Incurred to Date | 15.8 | 15.8 | ||
Restructuring and Related Cost, Expected Cost | 17 | 17 | ||
Facility Carrying Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.4 | 0.8 | 1.4 | 2.8 |
Restructuring and Related Cost, Cost Incurred to Date | 21.8 | 21.8 | ||
Restructuring and Related Cost, Expected Cost | 22.5 | 22.5 | ||
Other Costs Related to Restructuring and Other Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 1.9 | 0.3 | 3.6 | 5.9 |
Restructuring and Related Cost, Cost Incurred to Date | 27.8 | 27.8 | ||
Restructuring and Related Cost, Expected Cost | 29.2 | 29.2 | ||
Corporate, Non-Segment [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.7 | 2.5 | 10.3 | 24.4 |
Restructuring and Related Cost, Cost Incurred to Date | 56 | 56 | ||
Restructuring and Related Cost, Expected Cost | 56 | 56 | ||
Corporate, Non-Segment [Member] | Severance and Other Employee Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.1 | 2.4 | 9 | 22.2 |
Restructuring and Related Cost, Cost Incurred to Date | 47.3 | 47.3 | ||
Restructuring and Related Cost, Expected Cost | 47.3 | 47.3 | ||
Corporate, Non-Segment [Member] | Other Costs Related to Restructuring and Other Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.6 | 0.1 | 1.3 | 2.2 |
Restructuring and Related Cost, Cost Incurred to Date | 8.7 | 8.7 | ||
Restructuring and Related Cost, Expected Cost | 8.7 | 8.7 | ||
Corrugated Packaging [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 3.6 | 1.8 | 12.4 | 23.3 |
Restructuring and Related Cost, Cost Incurred to Date | 173 | 173 | ||
Restructuring and Related Cost, Expected Cost | 174.6 | 174.6 | ||
Corrugated Packaging [Member] | Net Property, Plant and Equipment [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | (0.3) | (1.9) | 2.2 | 5.2 |
Restructuring and Related Cost, Cost Incurred to Date | 96.3 | 96.3 | ||
Restructuring and Related Cost, Expected Cost | 96.3 | 96.3 | ||
Corrugated Packaging [Member] | Severance and Other Employee Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 3.2 | 1.6 | 6.8 | 12.3 |
Restructuring and Related Cost, Cost Incurred to Date | 41.3 | 41.3 | ||
Restructuring and Related Cost, Expected Cost | 41.3 | 41.3 | ||
Corrugated Packaging [Member] | Equipment and Inventory Relocation Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.2 | 1.6 | 1.5 | 3 |
Restructuring and Related Cost, Cost Incurred to Date | 9.8 | 9.8 | ||
Restructuring and Related Cost, Expected Cost | 10.5 | 10.5 | ||
Corrugated Packaging [Member] | Facility Carrying Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.4 | 0.6 | 1.4 | 2.6 |
Restructuring and Related Cost, Cost Incurred to Date | 19.9 | 19.9 | ||
Restructuring and Related Cost, Expected Cost | 20.6 | 20.6 | ||
Corrugated Packaging [Member] | Other Costs Related to Restructuring and Other Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.1 | (0.1) | 0.5 | 0.2 |
Restructuring and Related Cost, Cost Incurred to Date | 5.7 | 5.7 | ||
Restructuring and Related Cost, Expected Cost | 5.9 | 5.9 | ||
Consumer Packaging [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 3.1 | 2.1 | 17.4 | 8.6 |
Restructuring and Related Cost, Cost Incurred to Date | 101.8 | 101.8 | ||
Restructuring and Related Cost, Expected Cost | 103.5 | 103.5 | ||
Consumer Packaging [Member] | Net Property, Plant and Equipment [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.2 | 0.5 | ||
Restructuring and Related Cost, Cost Incurred to Date | 30.1 | 30.1 | ||
Restructuring and Related Cost, Expected Cost | 30.1 | 30.1 | ||
Consumer Packaging [Member] | Severance and Other Employee Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 1.9 | 1.2 | 15 | 4 |
Restructuring and Related Cost, Cost Incurred to Date | 53.4 | 53.4 | ||
Restructuring and Related Cost, Expected Cost | 53.4 | 53.4 | ||
Consumer Packaging [Member] | Equipment and Inventory Relocation Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.2 | 0.1 | 0.9 | |
Restructuring and Related Cost, Cost Incurred to Date | 6 | 6 | ||
Restructuring and Related Cost, Expected Cost | 6.5 | 6.5 | ||
Consumer Packaging [Member] | Facility Carrying Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.2 | 0.2 | ||
Restructuring and Related Cost, Cost Incurred to Date | 1.9 | 1.9 | ||
Restructuring and Related Cost, Expected Cost | 1.9 | 1.9 | ||
Consumer Packaging [Member] | Other Costs Related to Restructuring and Other Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 1.2 | $ 0.3 | 1.8 | 3.5 |
Restructuring and Related Cost, Cost Incurred to Date | 10.4 | 10.4 | ||
Restructuring and Related Cost, Expected Cost | 11.6 | 11.6 | ||
Land and Development [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | 0.1 | |||
Restructuring and Related Cost, Cost Incurred to Date | 18.6 | 18.6 | ||
Restructuring and Related Cost, Expected Cost | 18.6 | 18.6 | ||
Land and Development [Member] | Net Property, Plant and Equipment [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Cost Incurred to Date | 1.8 | 1.8 | ||
Restructuring and Related Cost, Expected Cost | 1.8 | 1.8 | ||
Land and Development [Member] | Severance and Other Employee Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Incurred Cost | $ 0.1 | |||
Restructuring and Related Cost, Cost Incurred to Date | 13.8 | 13.8 | ||
Restructuring and Related Cost, Expected Cost | 13.8 | 13.8 | ||
Land and Development [Member] | Other Costs Related to Restructuring and Other Costs [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Restructuring and Related Cost, Cost Incurred to Date | 3 | 3 | ||
Restructuring and Related Cost, Expected Cost | $ 3 | $ 3 |
Restructuring and Other Costs_4
Restructuring and Other Costs - Schedule of Acquisition, Divestiture and Integration Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring Cost And Reserve [Line Items] | ||||
Acquisition costs | $ 0.2 | $ 27.9 | ||
Integration costs | 15.9 | 22.6 | ||
Divestiture costs | 0.2 | |||
Other total | $ 2.3 | $ 11.5 | 16.1 | 50.7 |
Other Segments [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Acquisition costs | (0.2) | 0.9 | 0.2 | 27.9 |
Integration costs | 2.5 | 10.6 | 15.9 | 22.6 |
Divestiture costs | 0.2 | |||
Other total | $ 2.3 | $ 11.5 | $ 16.1 | $ 50.7 |
Restructuring and Other Costs_5
Restructuring and Other Costs - Schedule of Changes in Restructuring Accrual Charges (Details) - USD ($) $ in Millions | 9 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring And Other Costs [Abstract] | ||
Accrual at beginning of fiscal year | $ 32.3 | $ 31.6 |
Additional accruals | 31.7 | 37.5 |
Payments | (35.3) | (32.9) |
Adjustment to accruals | (1.1) | (3.1) |
Foreign currency rate changes | 0.1 | |
Accrual at June 30 | $ 27.6 | $ 33.2 |
Restructuring and Other Costs_6
Restructuring and Other Costs - Schedule of Reconciliation of Accruals and Charges (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring And Other Costs [Abstract] | ||||
Additional accruals and adjustments to accruals (see table above) | $ 30.6 | $ 34.4 | ||
Acquisition costs | 0.2 | 27.9 | ||
Integration costs | 15.9 | 22.6 | ||
Divestiture costs | 0.2 | |||
Net property, plant and equipment costs | 2.7 | 5.2 | ||
Severance and other employee costs | (0.1) | 6.9 | ||
Equipment and inventory relocation costs | 1.6 | 3.9 | ||
Facility carrying costs | 1.4 | 2.8 | ||
Other costs | 3.9 | 3.2 | ||
Restructuring and other costs | $ 9.7 | $ 17.9 | $ 56.2 | $ 107.1 |
Retirement Plans - Additional I
Retirement Plans - Additional Information (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Oct. 31, 2019USD ($)Letter | Sep. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Feb. 29, 2020USD ($) | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||
Multiemployer Plans, Withdrawal Obligation | $ 237.2 | $ 237.7 | $ 237.7 | ||||
Pension Plans, Defined Benefit [Member] | |||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||
Contributions by employer to pension and supplemental retirement plans | 4.6 | $ 6.6 | 17.2 | $ 16.1 | |||
Other Postretirement Benefits Plan [Member] | |||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||
Contributions by employer to pension and supplemental retirement plans | $ 1.6 | $ 2.2 | $ 5.3 | $ 6.6 | |||
Pace Industry Union Management Pension Fund [Member] | |||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||||
Multiemployer Plans, Withdrawal Obligation | $ 2.3 | 170.3 | |||||
Withdrawal obligation, per month | $ 0.7 | ||||||
Periods of Payments Used to Calculate Withdrawal Liability in Connection with PIUMPF Withdrawal | 20 years | 20 years | |||||
Number of additional demand letters | Letter | 2 | ||||||
Withdrawal obligation accumulated funding deficiency | $ 2 | $ 51.2 |
Retirement Plans - Summary of C
Retirement Plans - Summary of Components of Net Pension Income and Summary of Components of Postretirement Benefit Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Multiemployer pension withdrawal income | $ (2) | $ (1.7) | $ (1.1) | $ (1.7) |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 11.9 | 10.2 | 39.2 | 32.5 |
Interest cost | 49.7 | 58.8 | 149.1 | 174 |
Expected return on plan assets | (90.1) | (85.9) | (271.7) | (254.7) |
Amortization of net actuarial loss (gain) | 11.4 | 6.3 | 35.1 | 18.7 |
Amortization of prior service cost (credit) | 1.9 | 1.3 | 5.4 | 3.9 |
Curtailment loss | 0.1 | 0.4 | 1 | |
Company defined benefit plan income | (15.2) | (9.2) | (42.5) | (24.6) |
Multiemployer pension withdrawal income | (2) | (1.7) | (1.1) | (1.7) |
Multiemployer and other plans | 0.3 | 0.2 | 1 | 0.5 |
Net pension (income) cost | (16.9) | (10.7) | (42.6) | (25.8) |
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0.3 | 0.2 | 1 | 0.8 |
Interest cost | 1.7 | 1.9 | 5.3 | 5.8 |
Amortization of net actuarial loss (gain) | 0.5 | (0.7) | 0.1 | (1.5) |
Amortization of prior service cost (credit) | (0.7) | (0.7) | (2.1) | (2.1) |
Net pension (income) cost | $ 1.8 | $ 0.7 | $ 4.3 | $ 3 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rates | 9.60% | 23.40% | 20.90% | 25.20% |
Segment Information - Additiona
Segment Information - Additional Information (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)segment | Jun. 30, 2019USD ($) | Mar. 31, 2020USD ($) | |
Segment Reporting Information [Line Items] | ||||||
Number of reportable segments | segment | 3 | |||||
Insurance proceeds received, net cash used for investing activities | $ 2.4 | $ 16.5 | ||||
Corrugated Packaging [Member] | Hurricane Michael [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Insurance proceeds received | $ 32.3 | |||||
Deferred insurance proceeds | 2.8 | |||||
Deferred insurance proceeds recognized in cost of goods sold | $ 2.8 | |||||
Insurance proceeds from business interruption recoveries | 11.7 | 45 | ||||
Insurance proceeds for direct costs and property damage | 20.6 | 65 | ||||
Insurance proceeds received, net cash provided by operating activities | 30.9 | 93.5 | ||||
Insurance proceeds received, net cash used for investing activities | $ 1.4 | 16.5 | ||||
Corrugated Packaging [Member] | Hurricane Michael [Member] | Cost of Goods Sold [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Insurance proceeds received | $ 30 | $ 110 | ||||
Reduction of cost of goods sold | $ 29.5 | |||||
Consumer Packaging [Member] | Cost of Goods Sold [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Reduction of cost of goods sold | $ 1 |
Segment Information - Certain O
Segment Information - Certain Operating Data for Segments (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 4,236.3 | $ 4,690 | $ 13,107.3 | $ 13,637.4 |
(Loss) gain on sale of certain closed facilities | (2.7) | 5.5 | 47.8 | |
Multiemployer pension withdrawal income | 2 | 1.7 | 1.1 | 1.7 |
Land and Development impairments | (13) | |||
Restructuring and other costs | (9.7) | (17.9) | (56.2) | (107.1) |
Interest expense, net | (92.4) | (111.1) | (283.2) | (317.3) |
Loss on extinguishment of debt | (0.6) | (3.2) | (1.1) | (4.7) |
Other (expense) income, net | (5) | 3.7 | (9.6) | (2.3) |
Income before income taxes | 199.2 | 331.4 | 591.9 | 743 |
Depreciation, depletion and amortization | 365.7 | 385.3 | 1,121.4 | 1,128.1 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 4,281.4 | 4,731.5 | 13,245.5 | 13,757.8 |
Segment income | 323.2 | 485.3 | 989.5 | 1,205.7 |
Intersegment Eliminations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (45.1) | (41.5) | (138.2) | (120.4) |
Corporate, Non-Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Non-allocated expenses | (18.3) | (24.4) | (54.1) | (67.8) |
Interest expense, net | (92.4) | (111.1) | (283.2) | (317.3) |
Corrugated Packaging [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,728.8 | 3,072.8 | 8,520.8 | 8,797.3 |
Depreciation, depletion and amortization | 233.1 | 241.4 | 717 | 702.6 |
Corrugated Packaging [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,728.8 | 3,072.8 | 8,520.8 | 8,797.3 |
Segment income | 227.9 | 392.7 | 755.8 | 949.8 |
Corrugated Packaging [Member] | Intersegment Eliminations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (15.3) | (19.7) | (54.3) | (57.1) |
Corrugated Packaging [Member] | Unaffiliated Customers [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,713.5 | 3,053.1 | 8,466.5 | 8,740.2 |
Consumer Packaging [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,552.6 | 1,650.1 | 4,705.8 | 4,937.2 |
Depreciation, depletion and amortization | 131.2 | 140.7 | 399.7 | 418.5 |
Consumer Packaging [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,552.6 | 1,650.1 | 4,705.8 | 4,937.2 |
Segment income | 95.3 | 91 | 232.3 | 253.1 |
Consumer Packaging [Member] | Intersegment Eliminations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (29.8) | (21.8) | (83.9) | (63.3) |
Consumer Packaging [Member] | Unaffiliated Customers [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,522.8 | 1,628.3 | 4,621.9 | 4,873.9 |
Land and Development [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 8.6 | 18.9 | 23.3 | |
Land and Development [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 8.6 | 18.9 | 23.3 | |
Segment income | 1.6 | 1.4 | 2.8 | |
Land and Development [Member] | Unaffiliated Customers [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 8.6 | 18.9 | 23.3 | |
Corporate Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation, depletion and amortization | $ 1.4 | $ 3.2 | $ 4.7 | $ 7 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 |
Inventories [Abstract] | ||
Finished goods and work in process | $ 937.1 | $ 938.9 |
Raw materials | 788 | 818.8 |
Spare parts and supplies | 513.8 | 479.7 |
Inventories at FIFO cost | 2,238.9 | 2,237.4 |
LIFO reserve | (101.2) | (129.9) |
Net inventories | $ 2,137.7 | $ 2,107.5 |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 |
Property, plant and equipment at cost: | ||
Property, plant and equipment, at cost | $ 17,797.2 | $ 17,461.3 |
Less: accumulated depreciation, depletion and amortization | (6,874.6) | (6,271.8) |
Property, plant and equipment, net | 10,922.6 | 11,189.5 |
Land and Buildings [Member] | ||
Property, plant and equipment at cost: | ||
Property, plant and equipment, at cost | 2,507.3 | 2,442.3 |
Machinery and Equipment [Member] | ||
Property, plant and equipment at cost: | ||
Property, plant and equipment, at cost | 15,044.2 | 14,743.6 |
Forestlands and Mineral Rights [Member] | ||
Property, plant and equipment at cost: | ||
Property, plant and equipment, at cost | 114.1 | 144 |
Transportation Equipment [Member] | ||
Property, plant and equipment at cost: | ||
Property, plant and equipment, at cost | 28.8 | 31.2 |
Leasehold Improvements [Member] | ||
Property, plant and equipment at cost: | ||
Property, plant and equipment, at cost | $ 102.8 | $ 100.2 |
Fair Value - Additional Informa
Fair Value - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Sep. 19, 2019 | |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Land and Development impairments | $ 13 | |||
Maximum eligible receivables that may be sold | $ 650 | |||
Minimum [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Estimated loss on sale of accounts receivable by quarter | $ 2 | |||
Maximum [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Estimated loss on sale of accounts receivable by quarter | $ 4 | |||
Mineral Rights [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Land and Development impairments | $ 13 |
Fair Value - Summary of Activit
Fair Value - Summary of Activity Under A/R Sales Agreement (Details) - USD ($) $ in Millions | 9 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | ||
Receivables sold to the financial institution and derecognized | $ 1,847.8 | $ 1,453.5 |
Receivables collected by financial institution | (1,844.7) | (1,441.6) |
Cash paid to financial institution | $ (3.1) | $ (11.9) |
Debt - Schedule of Carrying Val
Debt - Schedule of Carrying Value of Individual Components of Debt (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 |
Debt Instrument [Line Items] | ||
Total debt | $ 10,053.4 | $ 10,063.4 |
Less: current portion of debt | 213.1 | 561.1 |
Long-term debt due after one year | 9,840.3 | 9,502.3 |
Notes Due Fiscal 2020 to 2022 [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 399.2 | 507.8 |
Notes Due Fiscal 2023 to 2028 [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 3,772.4 | 3,769.1 |
Notes Due Fiscal 2029 to 2033 [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 2,781.9 | 2,197.6 |
Notes Due Fiscal 2037 to 2047 [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 178.7 | 179 |
Term Loan Facilities [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 1,797.1 | 2,295.5 |
Revolving Credit and Swing Facilities [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 285 | 396 |
Commercial Paper [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 329.9 | 339.2 |
Finance Lease Obligations [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 277.8 | 185.8 |
Supplier Financing and Commercial Card Programs [Member] | Unsecured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 101 | 123.2 |
International and Other Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 130.4 | $ 70.2 |
Debt - Additional Information (
Debt - Additional Information (Details) | Jun. 30, 2020USD ($) | Jun. 16, 2020USD ($) | Jun. 01, 2020USD ($) | Feb. 27, 2020USD ($) | Nov. 21, 2019USD ($) | May 02, 2019USD ($) | Dec. 07, 2018USD ($) | Apr. 27, 2018EUR (€) | Mar. 07, 2018USD ($) | Oct. 31, 2017USD ($) | Sep. 30, 2019USD ($) | Nov. 20, 2019USD ($) | Oct. 01, 2019USD ($)Mill |
Debt Instrument [Line Items] | |||||||||||||
Fair value of debt | $ 10,800,000,000 | $ 10,600,000,000 | |||||||||||
DDTL Credit Agreement [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | $ 3,800,000,000 | ||||||||||||
Senior Notes due June 2033 [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, aggregate principal amount | $ 600,000,000 | ||||||||||||
Debt instrument, interest rate | 3.00% | ||||||||||||
Debt instrument, effective interest rate | 3.10% | ||||||||||||
Debt instrument, maturity year | 2033 | ||||||||||||
Debt instrument, discount | $ 1,400,000 | ||||||||||||
Debt instrument, transaction closing date | Jun. 3, 2020 | ||||||||||||
Debt instrument, issuance costs | $ 5,100,000 | ||||||||||||
Notes due June 2020 [Member] | Unsecured Debt [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, interest rate | 9.75% | ||||||||||||
Prepayment of outstanding principal amount | $ 100,000,000 | ||||||||||||
Revolving Credit Facility [Member] | Unsecured Debt [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | $ 2,300,000,000 | $ 2,300,000,000 | $ 2,000,000,000 | ||||||||||
Credit facility, maturity date | Nov. 21, 2024 | ||||||||||||
Long-term debt | 0 | 0 | |||||||||||
Revolving Credit Facility [Member] | Unsecured Debt [Member] | Non-U.S. Dollar Currencies [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Capacity available for special purpose | $ 500,000,000 | $ 400,000,000 | |||||||||||
Revolving Credit Facility [Member] | Unsecured Debt [Member] | Maximum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit facility, maximum permitted debt to capitalization ratio | 0.65 | 0.60 | |||||||||||
Revolving Credit Facility [Member] | Future Mexican Peso Sub-Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | $ 200,000,000 | ||||||||||||
Wells Fargo Bank, NA Credit Facility [Member] | Terminated Unsecured Revolving Credit Facility [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | $ 450,000,000 | ||||||||||||
Five Year Term Loan | DDTL Credit Agreement [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Prepayment of outstanding principal amount | $ 300,000,000 | $ 200,000,000 | |||||||||||
Credit Facility, maximum borrowing capacity | $ 1,750,000,000 | ||||||||||||
Long-term debt | $ 898,400,000 | $ 1,396,900,000 | |||||||||||
Debt instrument, maturity period | 5 years | 5 years | 5 years | 5 years | 5 years | ||||||||
364-Day Term Loan [Member] | DDTL Credit Agreement [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | $ 300,000,000 | ||||||||||||
Long-term debt | $ 0 | ||||||||||||
Debt instrument, maturity period | 364 days | 364 days | |||||||||||
Three Year Term Loan [Member] | DDTL Credit Agreement [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | $ 1,750,000,000 | ||||||||||||
Long-term debt | $ 0 | ||||||||||||
Debt instrument, maturity period | 3 years | 3 years | |||||||||||
Receivables Securitization Facility [Member] | Secured Debt [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Long-term debt | $ 0 | $ 0 | |||||||||||
Receivables backed financing, maximum borrowing amount | $ 700,000,000 | ||||||||||||
Debt instrument, maturity date | Jul. 22, 2019 | ||||||||||||
Debt instrument, maximum borrowing capacity, amount | 700,000,000 | 592,100,000 | |||||||||||
Loans and Leases Receivable, Collateral for Secured Borrowings | 1,134,000,000 | 959,300,000 | |||||||||||
Debt instrument, amended maturity date | May 2, 2022 | ||||||||||||
Cooperatieve Rabobank U.A., New York Branch European Revolving Credit Facility [Member] | Unsecured Debt [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Credit Facility, maximum borrowing capacity | € | € 500,000,000 | ||||||||||||
Credit facility, maturity date | Nov. 21, 2022 | Apr. 27, 2021 | |||||||||||
Long-term debt | 285,000,000 | 350,000,000 | |||||||||||
Debt instrument, maturity period | 3 years | ||||||||||||
Incremental line of credit | € | € 100,000,000 | ||||||||||||
Line of credit facility, maximum Euro denominated borrowing capacity | € | € 500,000,000 | ||||||||||||
Current portion of long-term debt | 0 | 175,000,000 | |||||||||||
Cooperatieve Rabobank U.A., New York Branch European Revolving Credit Facility [Member] | Unsecured Debt [Member] | Foreign Exchange Contract [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Amount of foreign exchange contracts | 285,200,000 | ||||||||||||
Commercial Paper [Member] | Unsecured Debt [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Long-term debt | 250,000,000 | 250,000,000 | |||||||||||
Aggregate Principal Amount of Short-term Unsecured Commercial Paper Program, Maximum | $ 1,000,000,000 | $ 1,000,000,000 | |||||||||||
Debt Instrument, notice period for termination | 30 days | 30 days | |||||||||||
Borrowings outstanding | $ 329,900,000 | $ 339,200,000 | |||||||||||
Debt, weighted average interest rate | 0.34% | 2.39% | |||||||||||
Commercial Paper [Member] | Unsecured Debt [Member] | Maximum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt instrument, maturity period | 397 days | 397 days | |||||||||||
Chip Mills [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Number of mills recharacterized short-term and long-term liability | Mill | 2 | ||||||||||||
Finance lease obligation reclassified from short term and long term liability | $ 100,300,000 |
Selected Condensed Consolidat_3
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors - Condensed Consolidating Statements of Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Condensed Income Statements Captions [Line Items] | ||||
Net sales | $ 4,236.3 | $ 4,690 | $ 13,107.3 | $ 13,637.4 |
Cost of goods sold | 3,466.3 | 3,701.1 | 10,723.5 | 10,967.1 |
Gross profit | 770 | 988.9 | 2,383.8 | 2,670.3 |
Selling, general and administrative, excluding intangible amortization | 390.1 | 442.4 | 1,234.4 | 1,287.4 |
Selling, general and administrative intangible amortization | 99.6 | 102.4 | 301.5 | 297.7 |
(Gain) loss on disposal of assets | 1 | 6.5 | (5.9) | (37.3) |
Multiemployer pension withdrawal income | (2) | (1.7) | (1.1) | (1.7) |
Land and Development impairments | 13 | |||
Restructuring and other costs | 9.7 | 17.9 | 56.2 | 107.1 |
Operating profit | 271.6 | 421.4 | 798.7 | 1,004.1 |
Interest (expense) income, net | (92.4) | (111.1) | (283.2) | (317.3) |
Loss on extinguishment of debt | (0.6) | (3.2) | (1.1) | (4.7) |
Pension and other postretirement non-service (expense) income | 25.6 | 18.9 | 78.4 | 54.9 |
Other income (expense), net | (5) | 3.7 | (9.6) | (2.3) |
Equity in income of unconsolidated entities | 1.7 | 8.7 | 8.3 | |
Income before income taxes | 199.2 | 331.4 | 591.9 | 743 |
Income tax benefit (expense) | (19.2) | (77.6) | (123.5) | (187.5) |
Consolidated net income | 180 | 253.8 | 468.4 | 555.5 |
Less: Net income attributable to noncontrolling interests | (1.5) | (1.2) | (3.3) | (3.4) |
Net income attributable to common stockholders | 178.5 | 252.6 | 465.1 | 552.1 |
Comprehensive income (loss) attributable to common stockholders | 210.1 | 282.7 | 220.3 | 552 |
Parent [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Other income (expense), net | 0.1 | |||
Equity in income (loss) of consolidated entities | 178.5 | 252.6 | 465 | 552.1 |
Income before income taxes | 178.5 | 252.6 | 465.1 | 552.1 |
Consolidated net income | 178.5 | 252.6 | 465.1 | 552.1 |
Net income attributable to common stockholders | 178.5 | 252.6 | 465.1 | 552.1 |
Comprehensive income (loss) attributable to common stockholders | 210.1 | 282.7 | 220.3 | 552 |
Issuer [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Selling, general and administrative, excluding intangible amortization | 0.4 | (0.4) | 0.7 | |
Restructuring and other costs | 1.4 | 3.6 | 5.3 | |
Operating profit | (0.4) | (1) | (4.3) | (5.3) |
Interest (expense) income, net | (60.6) | (66.5) | (189.1) | (178.5) |
Intercompany interest income (expense), net | (1.5) | (2.5) | (8.3) | 1 |
Loss on extinguishment of debt | (0.6) | (0.8) | (1) | (2.6) |
Other income (expense), net | 0.5 | 0.5 | (4) | |
Equity in income (loss) of consolidated entities | 272.7 | 276.9 | 751.6 | 671.1 |
Income before income taxes | 210.1 | 206.1 | 549.4 | 481.7 |
Income tax benefit (expense) | 15.6 | 17.9 | 50.4 | 46.9 |
Consolidated net income | 225.7 | 224 | 599.8 | 528.6 |
Net income attributable to common stockholders | 225.7 | 224 | 599.8 | 528.6 |
Comprehensive income (loss) attributable to common stockholders | 257.2 | 253.7 | 355.9 | 530.6 |
Guarantor Subsidiaries [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Net sales | 604.9 | 643 | 1,825.1 | 1,906 |
Cost of goods sold | 485.3 | 475.6 | 1,469.1 | 1,503.3 |
Gross profit | 119.6 | 167.4 | 356 | 402.7 |
Selling, general and administrative, excluding intangible amortization | 18.6 | 26 | 75.3 | 53.3 |
Selling, general and administrative intangible amortization | 24.5 | 26.1 | 75 | 78.4 |
(Gain) loss on disposal of assets | (0.1) | 0.1 | (0.1) | 0.1 |
Multiemployer pension withdrawal income | (2) | (1.9) | ||
Restructuring and other costs | 0.1 | 0.2 | ||
Operating profit | 78.6 | 115.1 | 207.7 | 270.7 |
Interest (expense) income, net | (33.5) | (36.9) | (102.3) | (128.8) |
Intercompany interest income (expense), net | (17.8) | (33.3) | (67.2) | (87.9) |
Loss on extinguishment of debt | (2.3) | (1.9) | ||
Pension and other postretirement non-service (expense) income | (1.4) | (1.4) | (5.2) | (4.8) |
Other income (expense), net | (35.2) | 1.3 | (35.6) | |
Equity in income (loss) of consolidated entities | 195.8 | (11.4) | 445.2 | 403 |
Income before income taxes | 221.7 | (5.4) | 479.5 | 414.7 |
Income tax benefit (expense) | (0.6) | (1.9) | (2.3) | (3.2) |
Consolidated net income | 221.1 | (7.3) | 477.2 | 411.5 |
Net income attributable to common stockholders | 221.1 | (7.3) | 477.2 | 411.5 |
Comprehensive income (loss) attributable to common stockholders | 250.2 | 20.7 | 238.6 | 415.9 |
Non-Guarantor Subsidiaries [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Net sales | 4,293.6 | 4,676.3 | 13,233.2 | 13,648.2 |
Cost of goods sold | 3,635.4 | 3,844.9 | 11,181.4 | 11,370.7 |
Gross profit | 658.2 | 831.4 | 2,051.8 | 2,277.5 |
Selling, general and administrative, excluding intangible amortization | 371.1 | 416.8 | 1,158.4 | 1,234.1 |
Selling, general and administrative intangible amortization | 75.1 | 76.3 | 226.5 | 219.3 |
(Gain) loss on disposal of assets | 1.1 | 6.4 | (5.8) | (37.4) |
Multiemployer pension withdrawal income | (1.7) | 0.8 | (1.7) | |
Land and Development impairments | 13 | |||
Restructuring and other costs | 9.7 | 16.4 | 52.6 | 101.6 |
Operating profit | 201.2 | 317.2 | 619.3 | 748.6 |
Interest (expense) income, net | 1.7 | (7.7) | 8.2 | (10) |
Intercompany interest income (expense), net | 11.5 | 25.9 | 51.5 | 77 |
Loss on extinguishment of debt | (0.1) | (0.1) | (0.2) | |
Pension and other postretirement non-service (expense) income | 27 | 20.3 | 83.6 | 59.7 |
Other income (expense), net | (5.5) | 38.9 | (11.5) | 37.3 |
Equity in income of unconsolidated entities | 1.7 | 8.7 | 8.3 | |
Income before income taxes | 235.9 | 396.2 | 759.7 | 920.7 |
Income tax benefit (expense) | (34.2) | (93.6) | (171.6) | (231.2) |
Consolidated net income | 201.7 | 302.6 | 588.1 | 689.5 |
Less: Net income attributable to noncontrolling interests | (1.5) | (1.2) | (3.3) | (3.4) |
Net income attributable to common stockholders | 200.2 | 301.4 | 584.8 | 686.1 |
Comprehensive income (loss) attributable to common stockholders | 231.3 | 331.8 | 347.4 | 687 |
Eliminations [Member] | ||||
Condensed Income Statements Captions [Line Items] | ||||
Net sales | (662.2) | (629.3) | (1,951) | (1,916.8) |
Cost of goods sold | (654.4) | (619.4) | (1,927) | (1,906.9) |
Gross profit | (7.8) | (9.9) | (24) | (9.9) |
Operating profit | (7.8) | (9.9) | (24) | (9.9) |
Intercompany interest income (expense), net | 7.8 | 9.9 | 24 | 9.9 |
Equity in income (loss) of consolidated entities | (647) | (518.1) | (1,661.8) | (1,626.2) |
Income before income taxes | (647) | (518.1) | (1,661.8) | (1,626.2) |
Consolidated net income | (647) | (518.1) | (1,661.8) | (1,626.2) |
Net income attributable to common stockholders | (647) | (518.1) | (1,661.8) | (1,626.2) |
Comprehensive income (loss) attributable to common stockholders | $ (738.7) | $ (606.2) | $ (941.9) | $ (1,633.5) |
Selected Condensed Consolidat_4
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors - Condensed Consolidating Balance Sheets (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2019 |
Current Assets: | |||
Cash and cash equivalents | $ 291.5 | $ 151.6 | |
Accounts receivable | 2,083.2 | 2,193.2 | |
Inventories | 2,137.7 | 2,107.5 | |
Other current assets | 490.2 | 496.2 | |
Assets held for sale | 3.3 | 25.8 | |
Total current assets | 5,005.9 | 4,974.3 | |
Property, plant and equipment, net | 10,922.6 | 11,189.5 | |
Goodwill | 7,270.5 | 7,285.6 | |
Intangibles, net | 3,749.4 | 4,059.5 | |
Restricted assets held by special purpose entities | 1,269.2 | 1,274.3 | |
Prepaid pension asset | 305.9 | 224.7 | |
Other assets | 1,754.1 | 1,148.8 | |
Total Assets | 30,277.6 | 30,156.7 | |
Current liabilities: | |||
Current portion of debt | 213.1 | 561.1 | |
Accounts payable | 1,513.5 | 1,831.8 | |
Accrued compensation and benefits | 377.2 | 470.4 | |
Other current liabilities | 683.1 | 571.8 | |
Total current liabilities | 2,786.9 | 3,435.1 | |
Long-term debt due after one year | 9,840.3 | 9,502.3 | |
Pension liabilities, net of current portion | 271.3 | 294 | |
Postretirement benefit liabilities, net of current portion | 151.9 | 162.1 | |
Non-recourse liabilities held by special purpose entities | 1,138.7 | 1,145.2 | |
Deferred income taxes | 2,888.2 | 2,878 | |
Other long-term liabilities | 1,468.8 | 1,053.9 | |
Redeemable noncontrolling interests | 1.6 | 1.9 | |
Total stockholders’ equity | 11,713.1 | 11,669.9 | $ 11,827.7 |
Noncontrolling interests | 16.8 | 14.3 | |
Total equity | 11,729.9 | 11,684.2 | $ 11,841.3 |
Total Liabilities and Equity | 30,277.6 | 30,156.7 | |
Parent [Member] | |||
Current Assets: | |||
Other current assets | 0.5 | ||
Total current assets | 0.5 | ||
Investments in consolidated subsidiaries | 12,158.9 | 11,973.6 | |
Total Assets | 12,159.4 | 11,973.6 | |
Current liabilities: | |||
Accrued compensation and benefits | 0.2 | 0.3 | |
Intercompany payables | 446.1 | 303.4 | |
Total current liabilities | 446.3 | 303.7 | |
Total stockholders’ equity | 11,713.1 | 11,669.9 | |
Total equity | 11,713.1 | 11,669.9 | |
Total Liabilities and Equity | 12,159.4 | 11,973.6 | |
Issuer [Member] | |||
Current Assets: | |||
Other current assets | 1.2 | ||
Intercompany receivables | 24 | 227.7 | |
Total current assets | 24 | 228.9 | |
Intercompany notes receivable | 154.9 | 155 | |
Investments in consolidated subsidiaries | 18,891.4 | 18,524.2 | |
Other assets | 91.4 | 67.8 | |
Total Assets | 19,161.7 | 18,975.9 | |
Current liabilities: | |||
Current portion of debt | 79.9 | 135.3 | |
Accounts payable | 1.1 | 0.7 | |
Other current liabilities | 51.8 | 18.6 | |
Intercompany payables | 57.7 | ||
Total current liabilities | 190.5 | 154.6 | |
Long-term debt due after one year | 6,706.4 | 6,608 | |
Intercompany notes payable | 753.3 | 636.3 | |
Other long-term liabilities | 35.3 | 12.9 | |
Total stockholders’ equity | 11,476.2 | 11,564.1 | |
Total equity | 11,476.2 | 11,564.1 | |
Total Liabilities and Equity | 19,161.7 | 18,975.9 | |
Guarantor Subsidiaries [Member] | |||
Current Assets: | |||
Cash and cash equivalents | 178.4 | 17.8 | |
Accounts receivable | 38.9 | 31.1 | |
Inventories | 239.9 | 254.3 | |
Other current assets | 6.3 | 11.8 | |
Intercompany receivables | 0.3 | ||
Total current assets | 463.8 | 315 | |
Property, plant and equipment, net | 14.8 | 18.9 | |
Goodwill | 1,158.6 | 1,158.6 | |
Intangibles, net | 1,409.9 | 1,485 | |
Intercompany notes receivable | 149.8 | 156.9 | |
Investments in consolidated subsidiaries | 19,827.1 | 20,103.6 | |
Other assets | 233.8 | 185.3 | |
Total Assets | 23,257.8 | 23,423.3 | |
Current liabilities: | |||
Current portion of debt | 108.9 | ||
Accounts payable | 24.2 | 31.3 | |
Accrued compensation and benefits | 14.5 | 14.5 | |
Other current liabilities | 107.7 | 83.8 | |
Intercompany payables | 470.6 | 1,052.9 | |
Total current liabilities | 617 | 1,291.4 | |
Long-term debt due after one year | 1,972 | 1,982.9 | |
Intercompany notes payable | 2,068 | 2,390.5 | |
Pension liabilities, net of current portion | 141.6 | 147.6 | |
Postretirement benefit liabilities, net of current portion | 25.2 | 25.7 | |
Deferred income taxes | 310 | 278.9 | |
Other long-term liabilities | 152.5 | 131.2 | |
Total stockholders’ equity | 17,971.5 | 17,175.1 | |
Total equity | 17,971.5 | 17,175.1 | |
Total Liabilities and Equity | 23,257.8 | 23,423.3 | |
Non-Guarantor Subsidiaries [Member] | |||
Current Assets: | |||
Cash and cash equivalents | 113.1 | 133.8 | |
Accounts receivable | 2,092.7 | 2,201.7 | |
Inventories | 1,897.8 | 1,853.2 | |
Other current assets | 483.4 | 483.2 | |
Intercompany receivables | 1,372.8 | 1,128.6 | |
Assets held for sale | 3.3 | 25.8 | |
Total current assets | 5,963.1 | 5,826.3 | |
Property, plant and equipment, net | 10,907.8 | 11,170.6 | |
Goodwill | 6,111.9 | 6,127 | |
Intangibles, net | 2,339.5 | 2,574.5 | |
Restricted assets held by special purpose entities | 1,269.2 | 1,274.3 | |
Prepaid pension asset | 305.9 | 224.7 | |
Intercompany notes receivable | 2,821.3 | 3,026.8 | |
Other assets | 1,515.6 | 971.8 | |
Total Assets | 31,234.3 | 31,196 | |
Current liabilities: | |||
Current portion of debt | 133.2 | 316.9 | |
Accounts payable | 1,536.6 | 1,839.4 | |
Accrued compensation and benefits | 362.5 | 455.6 | |
Other current liabilities | 523.6 | 469.4 | |
Intercompany payables | 422.7 | ||
Total current liabilities | 2,978.6 | 3,081.3 | |
Long-term debt due after one year | 1,161.9 | 911.4 | |
Intercompany notes payable | 304.7 | 311.9 | |
Pension liabilities, net of current portion | 129.7 | 146.4 | |
Postretirement benefit liabilities, net of current portion | 126.7 | 136.4 | |
Non-recourse liabilities held by special purpose entities | 1,138.7 | 1,145.2 | |
Deferred income taxes | 2,664.9 | 2,675.2 | |
Other long-term liabilities | 1,281 | 909.8 | |
Redeemable noncontrolling interests | 1.6 | 1.9 | |
Total stockholders’ equity | 21,429.7 | 21,862.2 | |
Noncontrolling interests | 16.8 | 14.3 | |
Total equity | 21,446.5 | 21,876.5 | |
Total Liabilities and Equity | 31,234.3 | 31,196 | |
Eliminations [Member] | |||
Current Assets: | |||
Accounts receivable | (48.4) | (39.6) | |
Intercompany receivables | (1,397.1) | (1,356.3) | |
Total current assets | (1,445.5) | (1,395.9) | |
Intercompany notes receivable | (3,126) | (3,338.7) | |
Investments in consolidated subsidiaries | (50,877.4) | (50,601.4) | |
Other assets | (86.7) | (76.1) | |
Total Assets | (55,535.6) | (55,412.1) | |
Current liabilities: | |||
Accounts payable | (48.4) | (39.6) | |
Intercompany payables | (1,397.1) | (1,356.3) | |
Total current liabilities | (1,445.5) | (1,395.9) | |
Intercompany notes payable | (3,126) | (3,338.7) | |
Deferred income taxes | (86.7) | (76.1) | |
Total stockholders’ equity | (50,877.4) | (50,601.4) | |
Total equity | (50,877.4) | (50,601.4) | |
Total Liabilities and Equity | $ (55,535.6) | $ (55,412.1) |
Selected Condensed Consolidat_5
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors - Condensed Consolidating Statements of Cash Flows (Details) - USD ($) $ in Millions | 9 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Operating activities: | ||
Net cash provided by (used for) operating activities | $ 1,339 | $ 1,399.6 |
Investing activities: | ||
Capital expenditures | (860.2) | (976.8) |
Cash paid related to business combinations, net of cash acquired | (3,368.3) | |
Investment in unconsolidated entities | (1) | (10.4) |
Proceeds from sale of property, plant and equipment | 22.5 | 108.3 |
Proceeds from property, plant and equipment insurance settlement | 2.4 | 16.5 |
Other, net | 10.9 | 30 |
Net cash used for investing activities | (825.4) | (4,200.7) |
Financing activities: | ||
Proceeds from issuance of notes | 598.6 | 2,498.2 |
Additions to revolving credit facilities | 413 | 192.2 |
Repayments of revolving credit facilities | (478.2) | (177.2) |
Additions to debt | 683.1 | 4,441 |
Repayments of debt | (1,195.8) | (4,665) |
(Repayments) additions to commercial paper, net | (9.3) | 445.6 |
Other debt (repayments) additions, net | (69.2) | 45.9 |
Issuances of common stock, net of related minimum tax withholdings | 16.7 | 8.6 |
Purchases of common stock | (88.6) | |
Cash dividends paid to stockholders | (292.6) | (350.7) |
Cash distributions paid to noncontrolling interests | (1.4) | (3.4) |
Other, net | (17) | (7.1) |
Net cash (used for) provided by financing activities | (352.1) | 2,339.5 |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (21.6) | 3.9 |
Increase (decrease) in cash, cash equivalents and restricted cash | 139.9 | (457.7) |
Cash, cash equivalents and restricted cash at beginning of period | 151.6 | 636.8 |
Cash, cash equivalents and restricted cash at end of period | 291.5 | 179.1 |
Parent [Member] | ||
Operating activities: | ||
Net cash provided by (used for) operating activities | 275.9 | 430.7 |
Investing activities: | ||
Intercompany capital investment | (563) | |
Net cash used for investing activities | (563) | |
Financing activities: | ||
Issuances of common stock, net of related minimum tax withholdings | 16.7 | 8.6 |
Purchases of common stock | (88.6) | |
Cash dividends paid to stockholders | (292.6) | (350.7) |
Intercompany capital receipt | 563 | |
Net cash (used for) provided by financing activities | (275.9) | 132.3 |
Issuer [Member] | ||
Operating activities: | ||
Net cash provided by (used for) operating activities | (38.1) | (512.4) |
Investing activities: | ||
Intercompany notes proceeds | 9.2 | |
Intercompany capital investment | (563) | |
Net cash used for investing activities | (553.8) | |
Financing activities: | ||
Proceeds from issuance of notes | 598.6 | 2,498.2 |
Additions to revolving credit facilities | 350 | 67.2 |
Repayments of revolving credit facilities | (350) | (67.2) |
Additions to debt | 4,101.8 | |
Repayments of debt | (500) | (2,187.1) |
(Repayments) additions to commercial paper, net | (9.3) | 445.6 |
Other debt (repayments) additions, net | (46) | 35.3 |
Intercompany notes payments | (3,800) | |
Other, net | (5.2) | (27.8) |
Net cash (used for) provided by financing activities | 38.1 | 1,066 |
Increase (decrease) in cash, cash equivalents and restricted cash | (0.2) | |
Cash, cash equivalents and restricted cash at beginning of period | 0.2 | |
Guarantor Subsidiaries [Member] | ||
Operating activities: | ||
Net cash provided by (used for) operating activities | 250.6 | 445.9 |
Investing activities: | ||
Capital expenditures | (2.5) | |
Proceeds from sale of property, plant and equipment | 0.1 | |
Intercompany notes issued | (0.1) | |
Intercompany notes proceeds | 5 | 4.3 |
Other, net | 9.9 | 28.2 |
Net cash used for investing activities | 15 | 29.9 |
Financing activities: | ||
Additions to debt | (1) | |
Repayments of debt | (105) | (958.6) |
Intercompany notes borrowing | 75.7 | |
Intercompany notes payments | (70.2) | |
Net cash (used for) provided by financing activities | (105) | (954.1) |
Increase (decrease) in cash, cash equivalents and restricted cash | 160.6 | (478.3) |
Cash, cash equivalents and restricted cash at beginning of period | 17.8 | 490.8 |
Cash, cash equivalents and restricted cash at end of period | 178.4 | 12.5 |
Non-Guarantor Subsidiaries [Member] | ||
Operating activities: | ||
Net cash provided by (used for) operating activities | 850.6 | 1,035.4 |
Investing activities: | ||
Capital expenditures | (860.2) | (974.3) |
Cash paid related to business combinations, net of cash acquired | (3,368.3) | |
Investment in unconsolidated entities | (1) | (10.4) |
Proceeds from sale of property, plant and equipment | 22.4 | 108.3 |
Proceeds from property, plant and equipment insurance settlement | 2.4 | 16.5 |
Intercompany notes issued | (75.7) | |
Intercompany notes proceeds | 3,870.2 | |
Other, net | 1 | 1.8 |
Net cash used for investing activities | (835.4) | (431.9) |
Financing activities: | ||
Additions to revolving credit facilities | 63 | 125 |
Repayments of revolving credit facilities | (128.2) | (110) |
Additions to debt | 683.1 | 340.2 |
Repayments of debt | (590.8) | (1,519.3) |
Other debt (repayments) additions, net | (23.2) | 10.6 |
Cash distributions paid to noncontrolling interests | (1.4) | (3.4) |
Intercompany notes borrowing | 0.1 | |
Intercompany notes payments | (5) | (13.5) |
Intercompany capital receipt | 563 | |
Other, net | (11.8) | 20.7 |
Net cash (used for) provided by financing activities | (14.3) | (586.6) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (21.6) | 3.9 |
Increase (decrease) in cash, cash equivalents and restricted cash | (20.7) | 20.8 |
Cash, cash equivalents and restricted cash at beginning of period | 133.8 | 145.8 |
Cash, cash equivalents and restricted cash at end of period | 113.1 | 166.6 |
Eliminations [Member] | ||
Investing activities: | ||
Intercompany notes issued | 75.8 | |
Intercompany notes proceeds | (5) | (3,883.7) |
Intercompany capital investment | 1,126 | |
Net cash used for investing activities | (5) | (2,681.9) |
Financing activities: | ||
Intercompany notes borrowing | (75.8) | |
Intercompany notes payments | 5 | 3,883.7 |
Intercompany capital receipt | (1,126) | |
Net cash (used for) provided by financing activities | $ 5 | $ 2,681.9 |
Selected Condensed Consolidat_6
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors - Noncash Operating, Investing and Financing Activities (Details) - USD ($) $ in Millions | 9 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Parent [Member] | ||
Operating activities: | ||
Intercompany receivables | $ (140.9) | |
Investing activities: | ||
Intercompany capital investment | $ (407.3) | (10,396.2) |
Intercompany return of capital | 442 | 606.7 |
Financing activities: | ||
Intercompany capital distribution | (563) | |
Issuer [Member] | ||
Investing activities: | ||
Intercompany notes issued | (3,800) | |
Intercompany notes proceeds | 4,519.8 | |
Intercompany capital investment | (625.6) | (5,895.5) |
Intercompany return of capital | 21.2 | 1,479.6 |
Financing activities: | ||
Intercompany notes borrowing | 117 | 4,436.3 |
Intercompany capital receipt | 10,396.2 | |
Intercompany capital distribution | (442) | (606.7) |
Guarantor Subsidiaries [Member] | ||
Investing activities: | ||
Intercompany notes issued | (63.6) | (4,666.4) |
Intercompany notes proceeds | 65.8 | 4,519.8 |
Intercompany capital investment | (917.8) | (6,880.5) |
Intercompany return of capital | 619.7 | 1,021.4 |
Financing activities: | ||
Intercompany notes borrowing | 479.1 | |
Intercompany notes payments | (322.5) | (959.6) |
Intercompany capital receipt | 625.2 | 5,413.7 |
Intercompany capital distribution | (21.2) | (457.5) |
Intercompany dividends paid | (48.3) | (302.2) |
Non-Guarantor Subsidiaries [Member] | ||
Operating activities: | ||
Intercompany payables | 140.9 | |
Investing activities: | ||
Intercompany notes issued | (117) | (8,715.4) |
Intercompany notes proceeds | 322.5 | 4,759.6 |
Financing activities: | ||
Intercompany notes borrowing | 63.6 | 12,266.4 |
Intercompany notes payments | (65.8) | (12,839.6) |
Intercompany capital receipt | 1,325.5 | 7,362.3 |
Intercompany capital distribution | (619.7) | (1,480.5) |
Intercompany dividends paid | (1,436.9) | (1,419.6) |
Eliminations [Member] | ||
Operating activities: | ||
Intercompany receivables | 140.9 | |
Intercompany payables | (140.9) | |
Investing activities: | ||
Intercompany notes issued | 180.6 | 17,181.8 |
Intercompany notes proceeds | (388.3) | (13,799.2) |
Intercompany capital investment | 1,950.7 | 23,172.2 |
Intercompany return of capital | (1,082.9) | (3,107.7) |
Financing activities: | ||
Intercompany notes borrowing | (180.6) | (17,181.8) |
Intercompany notes payments | 388.3 | 13,799.2 |
Intercompany capital receipt | (1,950.7) | (23,172.2) |
Intercompany capital distribution | 1,082.9 | 3,107.7 |
Intercompany dividends paid | $ 1,485.2 | $ 1,721.8 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Oct. 01, 2019 |
Lessee Lease Description [Line Items] | ||
ROU assets | $ 649.2 | |
Operating lease liabilities | $ 704.5 | |
ASC 842 [Member] | ||
Lessee Lease Description [Line Items] | ||
ROU assets | $ 731.1 | |
Operating lease liabilities | $ 783.9 |
Leases - Schedule of Components
Leases - Schedule of Components of Lease Costs (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Lease Cost [Abstract] | ||
Operating lease costs | $ 50 | $ 150 |
Variable and short-term lease costs | 25.6 | 79.6 |
Sublease income | (1.5) | (5) |
Finance lease cost: | ||
Amortization of lease assets | 2.5 | 8 |
Interest on lease liabilities | 1.9 | 6 |
Total lease cost, net | $ 78.5 | $ 238.6 |
Leases - Summary of Supplementa
Leases - Summary of Supplemental Balance Sheet Information Related to Leases (Details) $ in Millions | Jun. 30, 2020USD ($) |
Supplementary Information Balance Sheets [Abstract] | |
Operating lease right-of-use asset | $ 649.2 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseRightOfUseAsset |
Current operating lease liabilities | $ 169 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiabilityCurrent |
Operating lease liabilities | $ 535.5 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OperatingLeaseLiabilityNoncurrent |
Total operating lease liabilities | $ 704.5 |
Property, plant and equipment | 145.6 |
Accumulated depreciation | (19) |
Property, plant and equipment, net | 126.6 |
Current finance lease liabilities | $ 9.3 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:FinanceLeaseLiabilityCurrent |
Noncurrent finance lease liabilities | $ 268.5 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:FinanceLeaseLiabilityNoncurrent |
Total finance lease liabilities | $ 277.8 |
Leases - Summary of Lease Term
Leases - Summary of Lease Term and Discount Rate (Details) | Jun. 30, 2020 |
Weighted average remaining lease term: | |
Operating leases | 5 years 10 months 24 days |
Finance leases | 9 years 2 months 12 days |
Weighted average discount rate: | |
Operating leases | 2.70% |
Finance leases | 4.00% |
Leases - Summary of Supplemen_2
Leases - Summary of Supplemental Cash Flow Information Related to Leases (Details) $ in Millions | 9 Months Ended |
Jun. 30, 2020USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows related to operating leases | $ 151.7 |
Operating cash flows related to finance leases | 6.5 |
Financing cash flows related to finance leases | $ 7.7 |
Leases - Summary of Maturity of
Leases - Summary of Maturity of Lease Liabilities (Details) $ in Millions | Jun. 30, 2020USD ($) | |
Maturity Of Lease Liabilities [Abstract] | ||
Operating Leases, Remaining fiscal 2020 | $ 50.3 | |
Operating Leases, Fiscal 2021 | 177.1 | |
Operating Leases, Fiscal 2022 | 140.3 | |
Operating Leases, Fiscal 2023 | 110 | |
Operating Leases, Fiscal 2024 | 87.8 | |
Operating Leases, Thereafter | 203.5 | |
Operating Leases, Total lease payments | 769 | |
Operating Leases, Less: Interest | (64.5) | [1] |
Operating Leases, Present value of future lease payments | 704.5 | |
Finance Leases, Remaining fiscal 2020 | 4.3 | |
Finance Leases, Fiscal 2021 | 16.1 | |
Finance Leases, Fiscal 2022 | 15.2 | |
Finance Leases, Fiscal 2023 | 13.3 | |
Finance Leases, Fiscal 2024 | 12.1 | |
Finance Leases, Thereafter | 300.9 | |
Finance Leases, Total lease payments | 361.9 | |
Finance Leases, Less: Interest | (84.1) | [1] |
Finance Leases, Present value of future lease payments | 277.8 | |
Remaining fiscal 2020 | 54.6 | |
Fiscal 2021 | 193.2 | |
Fiscal 2022 | 155.5 | |
Fiscal 2023 | 123.3 | |
Fiscal 2024 | 99.9 | |
Thereafter | 504.4 | |
Total lease payments | 1,130.9 | |
Less: Interest | (148.6) | [1] |
Present value of future lease payments | $ 982.3 | |
[1] |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Payments Under All Existing Non-cancelable Operating Leases (Details) $ in Millions | Sep. 30, 2019USD ($) |
Leases [Abstract] | |
Fiscal 2020 | $ 214.3 |
Fiscal 2021 | 180.1 |
Fiscal 2022 | 136.3 |
Fiscal 2023 | 108.3 |
Fiscal 2024 | 85.3 |
Thereafter | 206.1 |
Total | $ 930.4 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) R$ in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |
Jun. 30, 2020USD ($)lawsuit | Jun. 30, 2020USD ($)lawsuitSubsidiary | Jun. 30, 2020BRL (R$)Subsidiary | |
Commitments and Contingencies [Line Items] | |||
Accrual for Environmental Loss Contingencies | $ 8.1 | $ 8.1 | |
Number of Lawsuits the Company Has Been Named a Defendant in Asbestos-related Personal Injury Litigation | lawsuit | 1,125 | 1,125 | |
Guarantor Obligations, Estimated Exposure, Undiscounted | $ 50 | $ 50 | |
Guarantor Obligations, Current Carrying Value | 9.7 | 9.7 | |
Indirect tax claim - reduction of cost of goods sold | 4.2 | 27.7 | |
Indirect tax claim - reduction of interest expense, net | 6 | 17.6 | |
Brazil Administrative Council of Tax Appeals [Member] | |||
Commitments and Contingencies [Line Items] | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | $ 127 | R$ 691 | |
Tax claim and conversion description | The matter has proceeded through the Brazil Administrative Council of Tax Appeals (“CARF”) principally in two proceedings, covering tax years 2003 to 2008 and 2009 to 2012. | The matter has proceeded through the Brazil Administrative Council of Tax Appeals (“CARF”) principally in two proceedings, covering tax years 2003 to 2008 and 2009 to 2012. | |
Income tax settlement claim liability | 0 | $ 0 | |
Tax claim and conversion, tax dispute related to tax years description | 2003 to 2008 | 2003 to 2008 | |
Tax claim and conversion, tax penalties relating to tax years description | 2009 to 2012 | 2009 to 2012 | |
Tax claim and conversion proceedings covering tax years description | 2003 to 2008 and 2009 to 2012 | 2003 to 2008 and 2009 to 2012 | |
Brazil [Member] | |||
Commitments and Contingencies [Line Items] | |||
Number of subsidiaries | Subsidiary | 2 | 2 | |
Other Long Term Liabilities [Member] | |||
Commitments and Contingencies [Line Items] | |||
Accrual for Environmental Loss Contingencies | 2.9 | $ 2.9 | |
Other Current Liabilities [Member] | |||
Commitments and Contingencies [Line Items] | |||
Accrual for Environmental Loss Contingencies | $ 5.2 | $ 5.2 |
Equity and Other Comprehensiv_3
Equity and Other Comprehensive Income (Loss) - Additional Information (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 9 Months Ended | ||||
Jun. 30, 2020 | Jun. 30, 2019 | Sep. 30, 2019 | Nov. 02, 2018 | Jul. 01, 2015 | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Stock repurchase program, number of shares authorized to be repurchased | 40 | ||||
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | |
Authorized share repurchase as a percentage of common stock outstanding | 15.00% | ||||
Stock repurchase program, remaining number of shares authorized to be repurchased | 19.1 | ||||
Treasury stock, shares, acquired | 0 | 2.1 | |||
Purchases of common stock | $ 88.6 | ||||
Minimum [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Effective Tax Rate, Net of Tax Components of Other Comprehensive Income | 25.00% | 25.00% | |||
Maximum [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Effective Tax Rate, Net of Tax Components of Other Comprehensive Income | 26.00% | 26.00% |
Equity and Other Comprehensiv_4
Equity and Other Comprehensive Income (Loss) - Schedule of Changes in Accumulated Other Comprehensive Loss, Net of Tax (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | [1] | $ (1,069.2) | $ (695.3) |
Other comprehensive loss before reclassifications | [1] | (275.3) | (13.7) |
Amounts reclassified from accumulated other comprehensive loss | [1] | 30.5 | 13.6 |
Net current period other comprehensive (loss) income | [1] | (244.8) | (0.1) |
Reclassification of stranded tax effects | [1] | (73.4) | |
Balance at end of period | [1] | (1,387.4) | (695.4) |
Accumulated Net Gain (Loss) from Designated or Quality Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | 0.7 | (0.2) | |
Other comprehensive loss before reclassifications | (10.1) | ||
Amounts reclassified from accumulated other comprehensive loss | 2.2 | ||
Net current period other comprehensive (loss) income | (7.9) | ||
Balance at end of period | (7.2) | (0.2) | |
Accumulated Defined Benefit Plans Adjustment [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | (698) | (465.9) | |
Amounts reclassified from accumulated other comprehensive loss | 28.3 | 13.6 | |
Net current period other comprehensive (loss) income | 28.3 | 13.6 | |
Reclassification of stranded tax effects | (73.4) | ||
Balance at end of period | (743.1) | (452.3) | |
Accumulated Translation Adjustment [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at beginning of period | (371.9) | (229.2) | |
Other comprehensive loss before reclassifications | (265.2) | (13.7) | |
Net current period other comprehensive (loss) income | (265.2) | (13.7) | |
Balance at end of period | $ (637.1) | $ (242.9) | |
[1] | All amounts are net of tax and noncontrolling interests. |
Equity and Other Comprehensiv_5
Equity and Other Comprehensive Income (Loss) - Summary of Reclassification out of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Amortization and settlement recognition of net actuarial loss, included in pension cost | $ 9 | $ 4.5 | $ 26.2 | $ 12.6 | |
Amortization of prior service costs, Net of Tax | 1 | 0.4 | 2.5 | 1.3 | |
Reclassification of stranded tax effects | [1] | 73.4 | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 1 | 2.2 | |||
Parent [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Amortization of net actuarial loss, Pre-Tax Amount | [2],[3] | (11.4) | (5.9) | (34.5) | (16.6) |
Amortization of net actuarial loss, Tax | [2],[3] | 2.6 | 1.5 | 8.7 | 4.3 |
Amortization and settlement recognition of net actuarial loss, included in pension cost | [2],[3] | (8.8) | (4.4) | (25.8) | (12.3) |
Amortization of prior service costs, Pre-Tax Amount | [2],[3] | (1.3) | (0.5) | (3.3) | (1.7) |
Amortization of prior service costs, Tax | [2],[3] | 0.3 | 0.1 | 0.8 | 0.4 |
Amortization of prior service costs, Net of Tax | [2],[3] | (1) | (0.4) | (2.5) | (1.3) |
Defined Benefit Plans, before Tax | [2] | (12.7) | (6.4) | (37.8) | (18.3) |
Defined Benefit Plans, Tax | [2] | 2.9 | 1.6 | 82.9 | 4.7 |
Defined Benefit Plans, Net of Tax | [2] | (9.8) | (4.8) | 45.1 | (13.6) |
Total Reclassifications From Other Comprehensive Income Before Tax | [2] | (14.1) | (6.4) | (40.8) | (18.3) |
Total Reclassifications From Other Comprehensive Income Tax Portion | [2] | 3.2 | 1.6 | 83.7 | 4.7 |
Total Reclassifications From Other Comprehensive Income Net of Tax | [2] | (10.9) | $ (4.8) | 42.9 | $ (13.6) |
Parent [Member] | Cash Flow Hedges [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | [2] | (3) | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Tax | [2] | 0.8 | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | [2] | (2.2) | |||
Parent [Member] | ASU 2018-02 [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Reclassification of stranded tax effects | [4] | 73.4 | |||
Reclassification of stranded tax effects net | [4] | 73.4 | |||
Parent [Member] | Interest Rate Contract [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | [2],[5] | (1.4) | (0.4) | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Tax | [2],[5] | 0.3 | 0.1 | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | [2],[5] | $ (1.1) | (0.3) | ||
Parent [Member] | Natural Gas Commodity Hedge [Member] | |||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | |||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | [2],[6] | (2.6) | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Tax | [2],[6] | 0.7 | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | [2],[6] | $ (1.9) | |||
[1] | All amounts are net of tax and noncontrolling interests. | ||||
[2] | Amounts in parentheses indicate charges to earnings. Amounts pertaining to noncontrolling interests are excluded. | ||||
[3] | Included in the computation of net periodic pension cost. See “ Note 5. Retirement Plans | ||||
[4] | Amount reclassified to retained earnings as a result of the adoption of ASU 2018-02 . | ||||
[5] | These accumulated other comprehensive income components are included in Interest expense, net. | ||||
[6] | These accumulated other comprehensive income components are included in Cost of goods sold. |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | ||||
Net income attributable to common stockholders | $ 178.5 | $ 252.6 | $ 465.1 | $ 552.1 |
Less: Distributed and undistributed income available to participating securities, Basic | (0.1) | |||
Distributed and undistributed income available to common stockholders, Basic | 178.5 | 252.6 | 465 | 552.1 |
Less: Distributed and undistributed income available to participating securities, Diluted | (0.1) | |||
Distributed and undistributed income available to common stockholders, Diluted | $ 178.5 | $ 252.6 | $ 465 | $ 552.1 |
Basic weighted average shares outstanding | 259.4 | 257.3 | 258.9 | 256.2 |
Effect of dilutive stock options and non- participating securities | 1 | 1.3 | 1.3 | 2.9 |
Diluted weighted average shares outstanding | 260.4 | 258.6 | 260.2 | 259.1 |
Basic earnings per share attributable to common stockholders | $ 0.69 | $ 0.98 | $ 1.80 | $ 2.15 |
Diluted earnings per share attributable to common stockholders | $ 0.69 | $ 0.98 | $ 1.79 | $ 2.13 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 4 | 1.4 | 2.2 | 1.3 |