Document and Entity Information
Document and Entity Information Document - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 01, 2017 | Jun. 30, 2016 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | GRAYBAR ELECTRIC CO INC | ||
Entity Central Index Key | 205,402 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Non-accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 17,602,227 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 0 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | |||
Net Sales | $ 6,385,032 | $ 6,110,299 | $ 5,978,861 |
Cost of merchandise sold | (5,176,654) | (4,955,554) | (4,860,314) |
Gross Margin | 1,208,378 | 1,154,745 | 1,118,547 |
Selling, general and administrative expenses | (1,008,744) | (965,134) | (935,132) |
Depreciation and amortization | (47,852) | (43,242) | (39,151) |
Other income, net | 5,347 | 8,199 | 3,918 |
Income from Operations | 157,129 | 154,568 | 148,182 |
Interest expense, net | (3,630) | (2,227) | (1,371) |
Income before Provision for Income Taxes | 153,499 | 152,341 | 146,811 |
Provision for income taxes | (60,186) | (61,009) | (59,125) |
Net Income | 93,313 | 91,332 | 87,686 |
Net income attributable to noncontrolling interests | (234) | (264) | (258) |
Net Income attributable to Graybar Electric Company, Inc. | $ 93,079 | $ 91,068 | $ 87,428 |
Net Income attributable to Graybar Electric Company, Inc. per share of Common Stock (usd per share) | $ 5.35 | $ 5.30 | $ 5.13 |
Consolidated Statements of Inc3
Consolidated Statements of Income Parenthetical - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Stock Dividend | 2.50% | 0.00% |
Average Common Shares Outstanding | 16,364 | 16,244 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net Income | $ 93,313 | $ 91,332 | $ 87,686 |
Other Comprehensive Income | |||
Foreign currency translation | 2,218 | (13,240) | (6,643) |
Pension and postretirement benefits liability adjustment (net of tax of $5,245, $16,261, and $3,477, respectively) | (8,238) | (25,542) | (5,461) |
Total Other Comprehensive (Loss) Income | (6,020) | (38,782) | (12,104) |
Comprehensive Income | 87,293 | 52,550 | 75,582 |
Less: comprehensive income (loss) attributable to noncontrolling interests, net of tax | 379 | (276) | (16) |
Comprehensive Income attributable to Graybar Electric Company, Inc. | $ 86,914 | $ 52,826 | $ 75,598 |
Consolidated Statements of Com5
Consolidated Statements of Comprehensive Income Parenthetical - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Pension and postretirement benefits liability adjustment (tax) | $ 5,245 | $ 16,261 | $ 3,477 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current Assets | ||
Cash and cash equivalents | $ 43,339 | $ 37,931 |
Trade receivables (less allowances of $5,025 and $5,879, respectively) | 964,180 | 928,276 |
Merchandise inventory | 516,732 | 518,288 |
Other current assets | 24,148 | 31,305 |
Total Current Assets | 1,548,399 | 1,515,800 |
Property, at cost | ||
Land | 78,440 | 75,968 |
Buildings | 454,587 | 443,137 |
Furniture and fixtures | 286,615 | 271,605 |
Software | 87,313 | 85,423 |
Capital leases | 33,652 | 32,543 |
Total Property, at cost | 940,607 | 908,676 |
Less – accumulated depreciation and amortization | (512,535) | (474,810) |
Net Property | 428,072 | 433,866 |
Other Non-current Assets | 122,761 | 99,877 |
Total Assets | 2,099,232 | 2,049,543 |
Current Liabilities | ||
Short-term borrowings | 140,465 | 104,978 |
Current portion of long-term debt | 4,155 | 6,558 |
Trade accounts payable | 752,171 | 766,089 |
Accrued payroll and benefit costs | 121,421 | 111,069 |
Other accrued taxes | 16,926 | 16,880 |
Other current liabilities | 73,028 | 64,783 |
Total Current Liabilities | 1,108,166 | 1,070,357 |
Postretirement Benefits Liability | 70,628 | 70,303 |
Pension Liability | 160,950 | 185,211 |
Long-term Debt | 7,271 | 10,272 |
Other Non-current Liabilities | 21,328 | 25,254 |
Total Liabilities | 1,368,343 | 1,361,397 |
SHAREHOLDERS’ EQUITY | ||
Outstanding Common Stock | 348,771 | 326,482 |
Common shares subscribed | 17,929 | 17,572 |
Less subscriptions receivable | (17,929) | (17,572) |
Retained Earnings | 575,380 | 548,780 |
Accumulated Other Comprehensive Loss | (196,600) | (190,435) |
Total Graybar Electric Company, Inc. Shareholders’ Equity | 727,551 | 684,827 |
Noncontrolling Interests | 3,338 | 3,319 |
Total Shareholders’ Equity | 730,889 | 688,146 |
Total Liabilities and Shareholders’ Equity | $ 2,099,232 | $ 2,049,543 |
Consolidated Balance Sheets Par
Consolidated Balance Sheets Parenthetical - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 5,025 | $ 5,879 |
Common stock stated value per share (USD per share) | $ 20 | $ 20 |
Authorized | 50,000,000 | 50,000,000 |
Issued to voting trustees | 14,606,830 | 13,668,055 |
Issued to shareholders | 2,850,551 | 2,721,926 |
In treasury, at cost | (18,854) | (65,890) |
Outstanding Common Stock | 17,438,527 | 16,324,091 |
Common Stock, Shares Subscribed | 896,456 | 878,608 |
Subscripton Receivable | (896,456) | (878,608) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash Flows from Operations | |||
Net Income | $ 93,313 | $ 91,332 | $ 87,686 |
Adjustments to reconcile net income to cash provided by operations: | |||
Depreciation and amortization | 47,852 | 43,242 | 39,151 |
Deferred income taxes | 19,540 | 4,173 | 4,096 |
Net (gains) losses on disposal of property | (1,811) | (5,918) | 24 |
Net income attributable to noncontrolling interests | (234) | (264) | (258) |
Changes in assets and liabilities, net of acquisitions: | |||
Trade receivables | (18,608) | (3,409) | (100,473) |
Merchandise inventory | 16,503 | (54,080) | (12,753) |
Other current assets | 7,245 | 10,698 | (18,424) |
Other non-current assets | 1,137 | (149) | (1,008) |
Trade accounts payable | (25,534) | 36,011 | 111,172 |
Accrued payroll and benefit costs | 9,839 | (16,783) | 33,929 |
Other current liabilities | 4,303 | (14,596) | (6,198) |
Other non-current liabilities | (41,345) | 6,596 | (1,195) |
Total adjustments to net income | 18,887 | 5,521 | 48,063 |
Net cash provided by operations | 112,200 | 96,853 | 135,749 |
Cash Flows from Investing Activities | |||
Proceeds from disposal of property | 4,095 | 15,701 | 1,398 |
Capital expenditures for property | (35,215) | (74,179) | (52,495) |
Acquisition of business, net of cash acquired | (59,946) | (18,093) | 0 |
Net cash used by investing activities | (91,066) | (76,571) | (51,097) |
Cash Flows from Financing Activities | |||
Net increase (decrease) in short-term borrowings | 35,487 | 38,636 | (16,100) |
Repayment of long-term debt | (1,853) | (3,656) | (1,800) |
Principal payments under capital leases | (4,810) | (4,704) | (3,277) |
Sales of common stock | 17,007 | 15,723 | 14,492 |
Purchases of treasury stock | (11,272) | (14,365) | (15,060) |
Sales of noncontrolling interests’ common stock | 0 | 401 | 0 |
Purchases of noncontrolling interests’ common stock | (360) | (109) | (318) |
Dividends paid | (49,925) | (48,035) | (63,496) |
Net cash used by financing activities | (15,726) | (16,109) | (85,559) |
Net Increase (Decrease) in Cash | 5,408 | 4,173 | (907) |
Cash, Beginning of Year | 37,931 | 33,758 | 34,665 |
Cash, End of Year | 43,339 | 37,931 | 33,758 |
Non-cash Investing and Financing Activities: | |||
Acquisitions of equipment under capital leases | 427 | 7,354 | 10,430 |
Acquisition of software and maintenance under financing arrangement | 0 | 0 | 7,309 |
Cash Paid During the Year for: | |||
Interest, net of amounts capitalized | 3,737 | 2,024 | 1,448 |
Income taxes, net of refunds | $ 36,848 | $ 52,076 | $ 64,752 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders’ Equity - USD ($) $ in Thousands | Total | Common Stock | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests |
Balance at Dec. 31, 2013 | $ 670,781 | $ 317,767 | $ 489,740 | $ (140,363) | $ 3,637 |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||||
Net Income | 87,686 | 87,428 | 258 | ||
Other comprehensive loss | (12,104) | (11,830) | (274) | ||
Stock issued | 14,492 | 14,492 | |||
Stock purchased | (15,378) | (15,060) | (318) | ||
Dividends declared | (63,496) | (63,496) | |||
Balance at Dec. 31, 2014 | 681,981 | 317,199 | 513,672 | (152,193) | 3,303 |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||||
Net Income | 91,332 | 91,068 | 264 | ||
Other comprehensive loss | (38,782) | (38,242) | (540) | ||
Stock issued | 16,124 | 15,723 | 401 | ||
Stock purchased | (14,474) | (14,365) | (109) | ||
Dividends declared | (48,035) | 7,925 | (55,960) | ||
Balance at Dec. 31, 2015 | 688,146 | 326,482 | 548,780 | (190,435) | 3,319 |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||||
Net Income | 93,313 | 93,079 | 234 | ||
Other comprehensive loss | (6,020) | (6,165) | 145 | ||
Stock issued | 17,007 | 17,007 | |||
Stock purchased | (11,632) | (11,272) | (360) | ||
Dividends declared | (49,925) | 16,554 | (66,479) | ||
Balance at Dec. 31, 2016 | $ 730,889 | $ 348,771 | $ 575,380 | $ (196,600) | $ 3,338 |
Description of the Business
Description of the Business | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of the Business | DESCRIPTION OF THE BUSINESS Graybar Electric Company, Inc. (“Graybar”, “Company”, "we", "our", or "us") is a New York corporation, incorporated in 1925. We are engaged in the distribution of electrical and communications and data networking products and are a provider of related supply chain management and logistics services. We primarily serve customers in the construction, industrial & utility, and commercial, institutional and government ("CIG") vertical markets, with products and services that support new construction, infrastructure updates, building renovation, facility maintenance, repair and operations ("MRO"), and original equipment manufacturers ("OEM"). All products sold by us are purchased by us from others, and we neither manufacture nor contract to manufacture any products that we sell. Our business activity is primarily with customers in the United States (“U.S.”). We also have subsidiary operations with distribution facilities in Canada and Puerto Rico. |
Accounting Policies
Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Our accounting policies conform to generally accepted accounting principles in the U.S. ("GAAP”) and are applied on a consistent basis among all years presented. Significant accounting policies are described below. Principles of Consolidation The consolidated financial statements include the accounts of Graybar and its subsidiary companies. All material intercompany balances and transactions have been eliminated. The ownership interests that are held by owners other than the Company in subsidiaries consolidated by the Company are accounted for and reported as noncontrolling interests. Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Reclassifications Certain reclassifications have been made to prior years' financial information to conform to the December 31, 2016 presentation. Subsequent Events We have evaluated subsequent events through the time of the filing of this Annual Report on Form 10-K with the Commission. No material subsequent events have occurred since December 31, 2016 that require recognition or disclosure in our financial statements. Revenue Recognition Revenue is recognized when evidence of a customer arrangement exists, prices are fixed and determinable, product title, ownership and risk of loss transfers to the customer, and collectability is reasonably assured. Revenues recognized are primarily for product sales, but also include freight and handling charges. Our standard shipping terms are FOB shipping point, under which product title passes to the customer at the time of shipment. We also earn revenue for services provided to customers for supply chain management and logistics services. Service revenue, which accounts for less than 1% of net sales, is recognized when services are rendered and completed. Revenue is reported net of all taxes assessed by governmental authorities as a result of revenue-producing transactions, primarily sales tax. Outgoing Freight Expenses We record certain outgoing freight expenses as a component of selling, general and administrative expenses. These costs totaled $ 50,949 , $ 51,100 , and $ 49,622 for the years ended December 31, 2016 , 2015 , and 2014 , respectively. Cash and Cash Equivalents We account for cash on hand, deposits in banks, and other short-term, highly liquid investments with an original maturity of three months or less as cash and cash equivalents. Allowance for Doubtful Accounts We perform ongoing credit evaluations of our customers, and a significant portion of our trade receivables is secured by mechanic’s lien or payment bond rights. We maintain allowances to reflect the expected uncollectability of trade receivables based on past collection history and specific risks identified in the receivables portfolio. Although actual credit losses have historically been within management’s expectations, additional allowances may be required if the financial condition of our customers were to deteriorate. Merchandise Inventory Our inventory is stated at the lower of cost (determined using the last-in, first-out (“LIFO”) cost method) or market. LIFO accounting is a method of accounting that, compared with other inventory accounting methods, generally provides better matching of current costs with current sales. We make provisions for obsolete or excess inventories as necessary to reflect reductions in inventory value. Vendor Allowances Our agreements with many of our suppliers provide for us to earn volume incentives based on purchases during the agreement period. Based on the provisions of our vendor agreements, we develop vendor accrual rates by estimating the point at which we will have completed our performance under the agreement and the deferred amounts will be earned. We perform analyses and review historical trends to ensure the deferred amounts earned are appropriately recorded. Certain vendor agreements contain purchase volume incentives that provide for increased funding when graduated purchase volumes are met. Amounts accrued throughout the year are based on estimates of future activity levels, and could be materially impacted if actual purchase volumes differ. Changes in the estimated amount of incentives are treated as changes in estimate and are recognized in earnings in the period in which the change in estimate occurs. In the event that the operating performance of our suppliers were to decline, however, there can be no assurance that amounts earned would be paid or that the volume incentives would continue to be included in future agreements. Property and Depreciation Property, plant and equipment are recorded at cost. Depreciation is expensed on a straight-line basis over the estimated useful lives of the related assets. Interest costs incurred to finance expenditures for major long-term construction projects are capitalized as part of the asset's historical cost and included in property, plant and equipment, then depreciated over the useful life of the asset. Leasehold improvements are amortized over the term of the lease or the estimated useful life of the improvement, whichever is shorter. Expenditures for maintenance and repairs are charged to expense when incurred, while the costs of significant improvements, which extend the useful life of the underlying asset, are capitalized. Credit Risk Financial instruments that potentially expose us to concentrations of credit risk consist primarily of trade receivables. We perform ongoing credit evaluations of our customers, and a significant portion of our trade receivables may be protected by mechanic’s lien or payment bond rights. We maintain allowances for potential credit losses, and such losses historically have been within management’s expectations. Fair Value We endeavor to utilize the best available information in measuring fair value. GAAP has established a fair value hierarchy, which prioritizes the inputs used in measuring fair value. The tiers in the hierarchy include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for which little or no market data exists, therefore requiring an entity to develop its own data inputs and assumptions. We have used fair value measurements to value our pension plan assets. Foreign Currency Exchange Rate The functional currency for our Canadian subsidiary is the Canadian dollar. Accordingly, its balance sheet amounts are translated at the exchange rates in effect at the end of each reporting period and its statements of income amounts are translated at the average rates of exchange prevailing during the current period. Currency translation adjustments are included in accumulated other comprehensive loss. Goodwill Our goodwill is not amortized, but rather tested annually for impairment. Goodwill is reviewed annually in the fourth quarter and/or when circumstances or other events might indicate that impairment may have occurred. We first perform a qualitative assessment of goodwill impairment. The qualitative assessment considers several factors including the excess fair value over carrying value as of the last quantitative impairment test, the length of time since the last fair value measurement, the current carrying value, market conditions, actual performance compared to forecasted performance, and the current business outlook. If the qualitative assessment indicates that it is more likely than not that goodwill is impaired, the reporting unit is then quantitatively tested for impairment. If a quantitative assessment is required, the fair value is determined using a variety of assumptions including estimated future cash flows of the reporting unit using applicable discount rates. Definite Lived Intangible Assets The cost of intangible assets with determinable useful lives is amortized to reflect the pattern of economic benefits consumed, either on a straight-line or accelerated basis over the estimated periods benefited. Customer relationships, trade names and other non-contractual intangible assets with determinable lives are amortized over periods generally ranging from 5 to 20 years. Intangible assets are tested for impairment if events or circumstances occur indicating that the respective asset might be impaired. Income Taxes We recognize deferred tax assets and liabilities to reflect the future tax consequences of events that have been recognized in the financial statements or tax returns. Uncertainty exists regarding tax positions taken in previously filed tax returns still subject to examination and positions expected to be taken in future returns. A deferred tax asset or liability results from the temporary difference between an item’s carrying value as reflected in the financial statements and its tax basis, and is calculated using enacted applicable tax rates. We assess the likelihood that our deferred tax assets will be recovered from future taxable income and, to the extent we believe that recovery is not likely, a valuation allowance is established. Changes in the valuation allowance, when recorded, are included in the provision for income taxes in the consolidated financial statements. We classify interest expense and penalties as part of our provision for income taxes based upon applicable federal and state interest/underpayment percentages. Other Postretirement Benefits We account for postretirement benefits other than pension by accruing the costs of benefits to be provided over the employees’ periods of active service. These costs are determined on an actuarial basis. Our consolidated balance sheets reflect the funded status of postretirement benefits. Pension Plan We sponsor a noncontributory defined benefit pension plan accounted for by accruing the cost to provide the benefits over the employees’ periods of active service. These costs are determined on an actuarial basis. Our consolidated balance sheets reflect the funded status of the defined benefit pension plan. New Accounting Standards No new accounting standards that were issued or became effective during 2016 have had or are expected to have a material impact on our consolidated financial statements except those noted below. In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (“ASU” or “Update”) 2016-02, “Leases (Topic 842)”. The core principle of Topic 842 requires that a lessee should recognize the assets and liabilities on the balance sheet and disclose key information about leasing arrangements. The amendments in ASU 2016-02 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The guidance is required to be adopted at the earliest period presented using a modified retrospective approach. We are currently evaluating the impact the provisions will have on our consolidated financial statements but have decided we will not adopt the guidance early. In April 2015, FASB issued ASU 2015-05, "Intangibles-Goodwill and Other-Internal-use Software: Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement". This Update provides guidance about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract and expensed as services are received. The Update is effective for fiscal years beginning after December 15, 2015 and interim periods. We adopted this Update on January 1, 2016. The adoption of this standard did not have a material impact on our results of operation, financial position, or cash flows. In February 2015, FASB issued ASU 2015-02, "Consolidation". The amendments in this Update affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. This ASU is effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. We adopted this Update on January 1, 2016. The adoption of this standard did not have a material impact on our results of operation, financial position, or cash flows. In May 2015, the FASB issued ASU 2015-07, "Fair Value Measurement (Topic 820) - Disclosures for Investments in Certain Entities That Calculate Net Asset Value Per Share (or Its Equivalent)". The Update removes the requirement to include within the fair value hierarchy leveling table those investments that measure fair value using the practical expedient available for investments that calculate a net asset value per share (or NAV equivalent, for example member units or an ownership interest in partners’ capital to which a proportionate share of net assets is attributed). Even though these investments are removed from the fair value hierarchy, entities should provide or disclose the total amount of investments measured using the net asset value per share (or its equivalent) practical expedient in order to permit reconciliation of fair value of investments included in the fair value hierarchy to the line items disclosed. The guidance contained in the ASU is effective for public business entities for fiscal years beginning after December 15, 2015. The adoption of this standard has been applied retrospectively. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers” ("ASU 2014-09"), which provides guidance on a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific guidance. In July 2015, the FASB deferred the effective date of the Update for one year. The Update will now be effective for public business entities for annual reporting periods, including interim reporting periods, beginning after December 15, 2017. The new standard provides for two alternative implementation methods. The first is to apply the new standard retrospectively to each prior reporting period presented. This method allows the use of certain practical expedients. The second method is to apply the new standard retrospectively in the year of initial adoption and record a cumulative effect adjustment for the impact of adjusting contracts open at the date of adoption. Under this transition method, we would apply this guidance retrospectively only to contracts that are not completed contracts at the date of initial application, which for us will be January 1, 2018. We would then recognize the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings. This method also requires us to disclose comparative information for the year of adoption. In March 2016, FASB issued ASU 2016-08 "Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net)". The amendments in this Update do not change the core principle of the guidance stated in ASU 2014-09. Instead, the amendments in this ASU are intended to further clarify the implementation guidance on principal versus agent considerations. ASU 2016-08 will have the same effective date and transition requirements as the new revenue standard issued in ASU 2014-09. Our primary source of revenues is from customer purchase orders in the construction, industrial & utility, and CIG markets for electrical and comm/data products. Revenue is currently recognized when evidence of a customer arrangement exists, prices are fixed and determinable, product title, ownership and risk of loss transfers to the customer, and collectability is reasonably assured. We are currently assessing our revenue streams and reporting disclosures to determine the potential impact related to the adoption of ASU 2014-09. We do however believe that, upon adoption of ASU 2014-09, the timing of revenue related to our sales will remain relatively consistent with current practices. At the time of this filing, we believe we will be adopting ASU 2014-09 under the modified retrospective approach. |
Cash Discounts And Doubtful Acc
Cash Discounts And Doubtful Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
Cash Discounts and Doubtful Accounts | CASH DISCOUNTS AND DOUBTFUL ACCOUNTS The following table summarizes the activity in the allowances for cash discounts and doubtful accounts: Beginning Balance Provision (Charged to Expense) Deductions Ending Balance For the Year Ended December 31, 2016 Allowance for cash discounts $ 1,736 $ 28,174 $ (28,179 ) $ 1,731 Allowance for doubtful accounts 4,143 2,272 (3,121 ) 3,294 Total $ 5,879 $ 30,446 $ (31,300 ) $ 5,025 For the Year Ended December 31, 2015 Allowance for cash discounts $ 1,764 $ 26,044 $ (26,072 ) $ 1,736 Allowance for doubtful accounts 5,309 2,545 (3,711 ) 4,143 Total $ 7,073 $ 28,589 $ (29,783 ) $ 5,879 For the Year Ended December 31, 2014 Allowance for cash discounts $ 1,560 $ 25,318 $ (25,114 ) $ 1,764 Allowance for doubtful accounts 5,277 3,769 (3,737 ) 5,309 Total $ 6,837 $ 29,087 $ (28,851 ) $ 7,073 |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2016 | |
Inventory Disclosure [Abstract] | |
Inventory | INVENTORY Our inventory is stated at the lower of cost (determined using the LIFO cost method) or market. Inventories valued using the LIFO method comprised 90% and 93% of the total inventories at December 31, 2016 and 2015 , respectively. Had the first-in, first-out (“FIFO”) method been used, merchandise inventory would have been $147,091 and $136,143 greater than reported under the LIFO method at December 31, 2016 and 2015 , respectively. In 2016 , we liquidated portions of previously-created LIFO layers, resulting in decreases in cost of merchandise sold of $131 . We did not liquidate any portion of previously-created LIFO layers in 2015 and 2014 . Reserves for excess and obsolete inventories were $6,553 and $4,912 at December 31, 2016 and 2015 , respectively. The change in the reserve for excess and obsolete inventories, included in cost of merchandise sold, was $1,641 , $495 , and $670 for the years ended December 31, 2016 , 2015 , and 2014 , respectively. |
Property and Depreciation
Property and Depreciation | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property and Depreciation | PROPERTY AND DEPRECIATION We provide for depreciation and amortization using the straight-line method over the following estimated useful asset lives: Classification Estimated Useful Asset Life Buildings 42 years Leasehold improvements Over the shorter of the asset’s life or the lease term Furniture, fixtures, equipment and software 3 to 14 years Assets held under capital leases Over the shorter of the asset’s life or the lease term Depreciation expense was $39,332 , $38,588 , and $35,040 in 2016 , 2015 , and 2014 , respectively. At the time property is retired or otherwise disposed of, the asset and related accumulated depreciation are removed from the accounts, and any resulting gain or loss is credited or charged to other income, net. Assets held under capital leases, consisting primarily of information technology equipment, are recorded in property with the corresponding obligations carried in long-term debt. The amount capitalized is the present value at the beginning of the lease term of the aggregate future minimum lease payments. Assets held under leases which were capitalized during the year ended December 31, 2016 and 2015 were $427 and $7,354 , respectively. We capitalize interest expense on major construction and development projects while in progress. There was no interest capitalized in 2016 . Interest capitalized in 2015 and 2014 was $225 and $102 , respectively. Where applicable, we will capitalize qualifying internal and external costs incurred to develop or obtain software for internal use during the application development stage. Costs incurred during the pre-application development and post-implementation stages are expensed as incurred. We capitalized software and software development costs of $3,542 and $4,559 in 2016 and 2015 , respectively, and the amounts are recorded in furniture and fixtures. We consider properties to be assets held for sale when all of the following criteria are met: (i) a formal commitment to a plan to sell a property has been made and exercised; (ii) the property is available for sale in its present condition; (iii) actions required to complete the sale of the property have been initiated; (iv) sale of the property is probable and we expect the sale will occur within one year; and (v) the property is being actively marketed for sale at a price that is reasonable given its current market value. Upon designation as an asset held for sale, we record the carrying value of each property at the lower of its carrying value or its estimated fair value, less estimated costs to sell, and depreciation of the property ceases. The net book value of assets held for sale was $464 and $58 at December 31, 2016 and 2015 , respectively, and is recorded in net property in the consolidated balance sheet. During 2016 and 2015 , we sold assets classified as held for sale with net book values of $148 and $7,669 , respectively, and recorded net gains on the assets held for sale of $2,004 and $4,691 , respectively in other income, net. We review long-lived assets held and used for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. For assets classified as to be held and used, impairment may occur if projected undiscounted cash flows are not adequate to cover the carrying value of the assets. In such cases, additional analysis is conducted to determine the amount of the loss to be recognized. The impairment loss is calculated as the difference between the carrying amount of the asset and its estimated fair value. The analysis requires estimates of the amount and timing of projected cash flows and, where applicable, selection of an appropriate discount rate. Such estimates are critical in determining whether any impairment charge should be recorded and the amount of such charge if an impairment loss is deemed necessary. For assets held for sale, impairment occurs whenever the net book value of the property listed for sale exceeds the expected selling price less estimated selling expenses. There were no impairment charges recorded during 2016 and 2015 . |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill The changes in the carrying amount of goodwill, included in other non-current assets in our consolidated balance sheets, for the year ended December 31, 2016 and 2015 were as follows: 2016 2015 Beginning Balance $ 13,737 $ 6,680 Goodwill Acquired 16,377 7,057 Ending Balance $ 30,114 $ 13,737 In 2016 and 2015, goodwill increased due to the acquisitions of Cape Electrical Supply LLC ("Cape Electric") and Advantage Industrial Automation, Inc. ("Advantage"), respectively. See Note 15, "Acquisitions", for further information on the acquisitions. As of December 31, 2016 , we have completed our annual impairment test and concluded that there is no impairment of our goodwill. Other Intangible Assets Other intangible assets, included in other non-current assets in our consolidated balance sheets, consist of the following: As of December 31, 2016 Weighted Average Life Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer relationships 8.5 to 10.8 years $ 17,163 $ (1,538 ) $ 15,625 Trade name 15 to 20 years 14,263 (543 ) 13,720 Non-compete agreements 3 to 5 years 281 (84 ) 197 Other intangible assets 10 years 162 (4 ) 158 Total $ 31,869 $ (2,169 ) $ 29,700 As of December 31, 2015 Weighted Average Life Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer relationships 10.8 years $ 5,970 $ (393 ) $ 5,577 Trade name 15 years 2,103 (99 ) 2,004 Non-compete agreements 5 years 210 (30 ) 180 Total $ 8,283 $ (522 ) $ 7,761 In 2016 and 2015, other intangible assets were acquired in the acquisitions of Cape Electric and Advantage, respectively. See Note 15, "Acquisitions", for further information on the acquisitions. Amortization expense for other intangible assets was $1,647 and $522 in 2016 and 2015 , respectively. Estimated future amortization expense related to our intangible assets for the years ending December 31 are as follows: 2017 $ 2,556 2018 2,556 2019 2,544 2020 2,503 2021 2,490 After 2021 17,051 $ 29,700 We did not incur impairment losses related to our other intangible assets during the year ended December 31, 2016 . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES We determine our deferred tax assets and liabilities based upon the difference between the financial statement and tax bases of our assets and liabilities calculated using enacted applicable tax rates. We then assess the likelihood that our deferred tax assets will be recovered from future taxable income and, to the extent we believe that recovery is not likely, we establish a valuation allowance. Changes in the valuation allowance, when recorded, are included in the provision for income taxes in the consolidated financial statements. Our unrecognized tax benefits of $ 1,755 , $2,247 , and $3,104 as of December 31, 2016 , 2015 , and 2014 , respectively, are uncertain tax positions that would impact our effective tax rate if recognized. We are periodically engaged in tax return examinations, reviews of statute of limitations periods, and settlements surrounding income taxes. We do not anticipate a material change in unrecognized tax benefits during the next twelve months. Our uncertain tax benefits, and changes thereto, during 2016 , 2015 , and 2014 were as follows: 2016 2015 2014 Balance at January 1, $ 2,247 $ 3,104 $ 3,419 Additions based on tax positions related to current year 397 464 490 Additions based on tax positions of prior years — — — Reductions for tax positions of prior years (889 ) (252 ) (477 ) Settlements — (1,069 ) (328 ) Balance at December 31, $ 1,755 $ 2,247 $ 3,104 We classify interest expense and penalties as part of our provision for income taxes based upon applicable federal and state interest/underpayment percentages. We have accrued $ 650 and $ 907 in interest and penalties at December 31, 2016 and 2015 , respectively. Interest was computed on the difference between the provision for income taxes recognized in accordance with GAAP and the amount of benefit previously taken or expected to be taken in our federal, state, and local income tax returns. Our federal income tax returns for the tax years 2013 and forward are available for examination by the United States Internal Revenue Service (“IRS”). The statute of limitation for the 2013 federal return will expire on September 15, 2017, unless extended by consent. Our state income tax returns for 2012 through 2016 remain subject to examination by various state authorities with the latest period closing on December 31, 2021. We have not extended the statutes of limitations in any state jurisdictions with respect to years prior to 2012. The IRS concluded examinations of the Company's 2008-2011 federal income tax returns. In May 2014, we formalized settlement of the IRS audit for each of these four years. Collectively, including interest, we settled the assessments for $907 . This closure has been recorded in our federal income tax expense for 2014. A reconciliation between the “statutory” federal income tax rate and the effective tax rate in the consolidated statements of income is as follows: For the Years Ended December 31, 2016 2015 2014 “Statutory” federal tax rate 35.0 % 35.0 % 35.0 % State and local income taxes, net of federal benefit 3.3 3.8 3.5 Other, net 0.9 1.2 1.8 Effective tax rate 39.2 % 40.0 % 40.3 % The components of income before taxes and the provision for income taxes recorded in the consolidated statements of income are as follows: For the Years Ended December 31, Components of Income before Taxes 2016 2015 2014 Domestic $ 143,567 $ 143,144 $ 136,656 Foreign 9,932 9,197 10,155 Income before taxes $ 153,499 $ 152,341 $ 146,811 For the Years Ended December 31, Components of Income Tax Provision 2016 2015 2014 Current expense U.S. Federal $ 33,030 $ 46,174 $ 44,713 State 4,821 7,996 7,266 Foreign 2,795 2,666 3,058 Total current expense $ 40,646 $ 56,836 $ 55,037 Deferred expense (benefit) U.S. Federal 16,676 3,224 4,049 State 3,008 958 47 Foreign (144 ) (9 ) (8 ) Total deferred expense (benefit) $ 19,540 $ 4,173 $ 4,088 Total income tax provision $ 60,186 $ 61,009 $ 59,125 Deferred income taxes are provided based upon differences between the financial statement and tax bases of assets and liabilities. The following deferred tax assets (liabilities) were recorded at December 31: Assets (Liabilities) 2016 2015 Postretirement benefits $ 29,788 $ 29,184 Payroll accruals 2,618 2,995 Bad debt reserves 1,322 1,653 Other deferred tax assets 5,251 5,583 Pension 47,847 64,500 Inventory 11,336 7,173 Subtotal 98,162 111,088 Less: valuation allowances (136 ) (402 ) Deferred tax assets 98,026 110,686 Fixed assets (40,887 ) (40,086 ) Computer software (5,724 ) (6,412 ) Other deferred tax liabilities (3,043 ) (2,438 ) Deferred tax liabilities (49,654 ) (48,936 ) Net deferred tax assets $ 48,372 $ 61,750 Deferred income taxes included in non-current assets (liabilities) at December 31 were: 2016 2015 Deferred tax assets included in other non-current assets $ 48,666 $ 62,047 Deferred tax liabilities included in other non-current liabilities (294 ) (297 ) We adopted FASB's ASU 2015-17, "Balance Sheet Classification of Deferred Taxes”, which required entities with a classified balance sheet to present all deferred tax assets and liabilities as non-current, retrospectively beginning January 1, 2015 resulting in a change in presentation of prior periods. Deferred tax assets included in other current assets decreased by $2,777 as of December 31, 2014 with a corresponding increase to deferred tax assets included in other non-current assets. Deferred tax liabilities included in other current liabilities of $365 as of December 31, 2014, were reclassified to other non-current liabilities. Operating loss carryforwards included in net deferred tax assets at December 31 were: 2016 2015 Foreign net operating losses (1) $ 239 $ 349 State net operating losses (2) 529 563 (1) Expires in 2024 (2) Expire between 2020 and 2030 Due to uncertainties regarding the utilization of our foreign and state net operating losses, a partial valuation allowance has been applied against the deferred tax benefit at December 31, 2016 . We have undistributed earnings of non-U.S. subsidiaries of $78,767 and $72,488 as of December 31, 2016 and 2015 , respectively. We have not made a provision for U.S. federal and state income taxes on these accumulated but undistributed earnings, as such earnings are considered to be indefinitely reinvested outside the U.S. |
Capital Stock
Capital Stock | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Capital Stock | CAPITAL STOCK Our common stock is 100% owned by active and retired employees, and there is no public trading market for our common stock. Since 1928, substantially all of the issued and outstanding shares of common stock have been held of record by voting trustees under successive voting trust agreements. Under applicable New York law, a voting trust may not have a term greater than ten years. Accordingly, a new Voting Trust Agreement was established effective March 3, 2017 , which expires on March 1, 2027 . At December 31, 2016 , approximately 84% of the common stock was held in a voting trust that expired on March 3, 2017 . The participation of shareholders in the voting trust is voluntary at the time the voting trust is created, but is irrevocable during its term. Shareholders who elect not to participate in the voting trust hold their common stock as shareholders of record. Shareholders may elect to participate in the voting trust at any time during the term of the voting trust. As of March 3, 2017 , 4,661 shareholders owning 14,011,446 shares of common stock, or approximately 80% of the total shares outstanding, have agreed to deposit their shares into the new Voting Trust Agreement. No holder of our common stock or voting trust interests representing our common stock ("common stock", "common shares", or "shares") may sell, transfer or otherwise dispose of any shares without first offering us the option to purchase those shares at the price at which they were issued. Additionally, a shareholder is entitled to any cash dividends, if any, accrued for the quarter in which the purchase offer is made, adjusted pro rata for the number of days such shares were held prior to the dividend record date. We also have the option to purchase at the issue price the common shares of any shareholder who ceases to be an employee for any reason other than death or retirement on a pension (except a deferred pension), and on the first anniversary of any holder's death. In the past, we have always exercised these purchase options and we expect to continue to do so in the foreseeable future. However, we can make no assurance that we will continue to exercise our purchase option in the future. All outstanding shares have been issued at $20.00 per share. During 2016 , eligible employees and qualified retirees subscribed for 896,456 shares totaling $17,929 . Subscribers under the Plan elected to make payments under one of the following options: (i) all shares subscribed for on or before January 13, 2017 ; or (ii) all shares subscribed for in installments paid through payroll deductions (or in certain cases where a subscriber is no longer on our payroll, through direct monthly payments) over an eleven-month period. Common shares were delivered to subscribers as of January 13, 2017 , in the case of shares paid for prior to January 13, 2017 . Shares will be issued and delivered to subscribers on a quarterly basis, as of the tenth day of March, June, September, and December, to the extent full payments for shares are made in the case of subscriptions under the installment method. Shown below is a summary of shares purchased and retired by the Company during the three years ended December 31: Shares of Common Stock Purchased Retired 2016 563,590 610,626 2015 718,269 666,861 2014 752,983 780,077 We also have authorized 10,000,000 shares of Delegated Authority Preferred Stock (“preferred stock”), par value one cent ( $0.01 ). The preferred stock may be issued in one or more series, with the designations, relative rights, preferences, and limitations of shares of each such series being fixed by a resolution of our Board of Directors. There were no shares of preferred stock outstanding at December 31, 2016 and 2015 . On December 8, 2016 , our Board of Directors declared a 5% common stock dividend. Each shareholder was entitled to one share of common stock for every twenty shares held as of December 19, 2016 . The stock was issued on February 3, 2017 . On December 10, 2015 , our Board of Directors declared a 2.5% common stock dividend. Each shareholder was entitled to one share of common stock for every forty shares held as of December 18, 2015 . The stock was issued on February 1, 2016 . There was no common stock dividend declared by our Board of Directors in 2014 . |
Net Income Per Share of Common
Net Income Per Share of Common Stock | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Net Income Per Share of Common Stock | NET INCOME PER SHARE OF COMMON STOCK The computation of net income per share of common stock is based on the average number of common shares outstanding during each year, adjusted in all periods presented for the declaration of a 5% stock dividend declared in 2016 and a 2.5% stock dividend declared in 2015 . There was no stock dividend declared in 2014 . The average number of shares used in computing net income per share of common stock at December 31, 2016 , 2015 , and 2014 was 17,385,952 , 17,182,663 , and 17,056,076 , respectively. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | DEBT December 31, Long-term Debt 2016 2015 1.85% note, unsecured, due in quarterly installments of $798 beginning in July 2014 $ — $ 1,586 1.43% note, unsecured, due in quarterly installments of $134 beginning in July 2014 — 267 2.03% to 30.63% capital leases, various maturities 11,426 14,977 $ 11,426 $ 16,830 Less current portion (4,155 ) (6,558 ) Long-term Debt $ 7,271 $ 10,272 Long-term Debt matures as follows: 2017 $ 4,155 2018 1,672 2019 996 2020 811 2021 751 After 2021 3,041 $ 11,426 The carrying amount of our outstanding long-term, fixed-rate debt exceeded its fair value by $984 and $1,243 at December 31, 2016 and 2015 , respectively. The fair value of the long-term is estimated by calculating future cash flows at interpolated Treasury yields with similar maturities, plus an estimate of our credit risk spread. The fair value of our variable-rate short- and long-term debt approximates its carrying value at December 31, 2016 and 2015 , respectively. Revolving Credit Facility On December 31, 2016 and December 31, 2015 , we along with Graybar Canada Limited, our Canadian operating subsidiary (“Graybar Canada”), had an unsecured, five -year, $550,000 revolving credit agreement maturing in June 2019 with Bank of America, N.A. and other lenders named therein (the "Credit Agreement"), which includes a combined letter of credit subfacility of up to $50,000 , a U.S. swing line loan facility of up to $50,000 , and a Canadian swing line loan facility of up to $20,000 . The Credit Agreement includes a $100,000 sublimit (in U.S. or Canadian dollars) for borrowings by Graybar Canada and contains an accordion feature, which allows us to request increases in the aggregate borrowing commitments of up to $300,000 . Borrowings of Graybar Canada may be in U.S. dollars or Canadian dollars. The obligations of Graybar Canada are secured by the guaranty of Graybar and any material domestic subsidiaries of Graybar (as defined in the Credit Agreement). Under no circumstances will Graybar Canada use its borrowings to benefit Graybar or its operations, including without limitation to repay any of Graybar’s obligations under the facility. Interest on our borrowings under the Credit Agreement are based on, at the borrower’s election, either (A) (i) the base rate (as defined in the Credit Agreement), or (ii) LIBOR (in the case of Graybar as borrower) or (B) (i) the base rate (as defined in the agreement) or (ii) CDOR (in the case of Graybar Canada as borrower), in each case plus an applicable margin, as determined by the pricing grid set forth in the Credit Agreement. In connection with such a borrowing, the applicable borrower also selects the term of the loan, up to six months. Swing line loans, which are daily loans, bear interest at a rate based on, at the borrower’s election, either (i) the base rate or (ii) the daily floating Eurodollar rate (or CDOR, in the case of Graybar Canada). In addition to interest payments, there are also certain fees and obligations associated with borrowings, swing line loans, letters of credit and other administrative matters. The Credit Agreement provides for a quarterly commitment fee ranging from 0.25% to 0.40% per annum, subject to adjustment based upon the consolidated leverage ratio for a fiscal quarter, and letter of credit fees ranging from 1.00% to 1.60% per annum payable quarterly, subject to such adjustment. Borrowings can be either base rate loans plus a margin ranging from 0.00% to 0.60% or Eurodollar rate loans plus a margin ranging from 1.00% to 1.60% , subject to adjustment based upon our consolidated leverage ratio. Availability under the Credit Agreement is subject to the accuracy of representations and warranties and absence of a default and, in the case of Canadian borrowings denominated in Canadian dollars, the absence of a material adverse change in the national or international financial markets, which would make it impracticable to lend Canadian dollars. The Credit Agreement contains customary affirmative and negative covenants for credit facilities of this type, including limitations on us and our subsidiaries with respect to indebtedness, liens, changes in the nature of our business, investments, mergers and acquisitions, issuance of equity securities, dispositions of assets and dissolution of certain subsidiaries, transactions with affiliates, restricted payments (subject to incurrence tests, with certain exceptions), as well as securitizations, factoring transactions, and transactions with sanctioned parties or in violation of certain U.S. or Canadian anti-corruption laws. There are also maximum leverage ratio and minimum interest coverage ratio financial covenants that we are subject to during the term of the Credit Agreement. The Credit Agreement also provides for customary events of default, including a failure to pay principal, interest or fees when due, the fact that any representation or warranty made by any of the credit parties is materially incorrect, failure to comply with covenants, the occurrence of an event of default under certain other indebtedness by us and our subsidiaries, the commencement of certain insolvency or receivership events affecting any of the credit parties, certain actions under Employee Retirement Income Security Act ("ERISA") and the occurrence of a change in control of any of the credit parties (subject to certain permitted transactions as described in the Credit Agreement). Upon the occurrence of an event of default, the commitments of the lenders may be terminated and all outstanding obligations of the credit parties under the Credit Agreement may be declared immediately due and payable. We had total letters of credit of $5,244 and $4,994 outstanding, of which none were issued under the $550,000 revolving credit facility at December 31, 2016 and December 31, 2015 , respectively. The letters of credit are used primarily to support certain workers' compensation insurance policies. Short-term borrowings of $140,465 and $104,978 outstanding at December 31, 2016 and 2015 , respectively, were drawn under the revolving credit facility. Short-term borrowings outstanding during the years ended December 31, 2016 and 2015 ranged from a minimum of $105,014 and $35,981 to a maximum of $311,506 and $184,188 , respectively. The average daily amount of borrowings outstanding under short-term credit agreements during 2016 and 2015 amounted to approximately $185,000 and $119,000 at weighted-average interest rates of 1.52% and 1.31% , respectively. The weighted-average interest rate for amounts outstanding at December 31, 2016 was 1.83% . At December 31, 2016 , we had available unused committed lines of credit amounting to $409,535 , compared to $445,022 at December 31, 2015 . These lines are available to meet our short-term cash requirements, and certain committed lines of credit have annual fees of up to 40 basis points ( 0.40% ) of the committed lines of credit as of December 31, 2016 and 2015 . The Credit Agreement contains various affirmative and negative covenants. We are also required to maintain certain financial ratios as defined in the Credit Agreement. We were in compliance with all covenants as of December 31, 2016 and 2015 . Private Placement Shelf Agreements On December 31, 2016 and December 31, 2015 , we had an uncommitted $100,000 private placement shelf agreement with Prudential Investment Management, Inc. (the "Prudential Shelf Agreement"). Subject to the terms and conditions set forth below, the Prudential Shelf Agreement allows us to issue senior promissory notes to affiliates of Prudential at fixed rate terms to be agreed upon at the time of any issuance during a three year issuance period ending in September 2017. At December 31, 2016 and 2015 , no notes had been issued under the Prudential Shelf Agreement. On September 22, 2016, we entered into an uncommitted $100,000 private placement shelf agreement (the “MetLife Shelf Agreement”) with Metropolitan Life Insurance Company and MetLife Investment Advisors, LLC and each other affiliate of MetLife that becomes a party to the agreement (collectively, “MetLife”). Subject to the terms and conditions set forth below, the MetLife Shelf Agreement is expected to allow the Company to issue senior promissory notes to MetLife at fixed or floating rate economic terms to be agreed upon at the time of any issuance during a three-year issuance period ending in September 2019. Floating rate note interest rates will be based on London Interbank Offered Rate ("LIBOR") plus a spread. No notes have been issued under the MetLife Shelf Agreement, which ranks equally with the Company’s Credit Agreement and Prudential Shelf Agreement. Under these shelf agreements, the term of each note issuance will be selected by us and will not exceed 12 years and will have such other particular terms as shall be set forth, in the case of any series of notes, in the Confirmation of Acceptance with respect to such series. Any notes issued under the Prudential Shelf Agreement or under the MetLife Shelf Agreement will be guaranteed by our material domestic subsidiaries, if any, as described in the Prudential Shelf Agreement and the MetLife Shelf Agreement. Any future proceeds of any issuance under the facilities will be used for general corporate purposes, including working capital and capital expenditures, to refinance existing indebtedness and/or to fund potential acquisitions. Each shelf agreement contains customary representations and warranties of the Company and the applicable lender. Each shelf agreement also contains customary events of default, including: a failure to pay principal, interest or fees when due; a failure to comply with covenants; the fact that any representation or warranty made by any of the credit parties is incorrect when given; the occurrence of an event of default under the Credit Agreement or certain other indebtedness of us and our subsidiaries; the commencement of certain insolvency or receivership events affecting any of the credit parties; certain actions under ERISA; and the occurrence of a change in control of Graybar (subject to certain permitted transactions as described in the Credit Agreement). All outstanding obligations of Graybar under one or both of these agreements may be declared immediately due and payable upon the occurrence of an event of default. Each shelf agreement contains customary affirmative and negative covenants for facilities of this type, including limitations on us and our subsidiaries with respect to indebtedness, liens, changes in the nature of our business, investments, mergers and acquisitions, issuance of equity securities, dispositions of assets and dissolution of certain subsidiaries, transactions with affiliates, restricted payments (subject to incurrence tests, with certain exceptions), as well as securitizations, factoring transactions, and transactions with sanctioned parties or in violation of certain U.S. or Canadian anti-terrorism laws. There are also maximum leverage ratio and minimum interest coverage ratio financial covenants that we are subject to during the term of the shelf agreements. We were in compliance with all covenants as of December 31, 2016 and 2015 . In addition, we have agreed to a most favored lender clause which is designed to ensure that any notes issued in the future under the Prudential Shelf Agreement and MetLife Shelf Agreement in the future will continue to be of equal ranking with indebtedness under our Credit Agreement. |
Pension and Other Postretiremen
Pension and Other Postretirement Benefits | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefits | PENSION AND OTHER POSTRETIREMENT BENEFITS We have a noncontributory defined benefit pension plan covering substantially all employees first hired prior to July 1, 2015 after the completion of one year of service and 1,000 hours of service. The plan provides retirement benefits based on an employee’s average earnings and years of service. These employees become 100% vested after three years of service, regardless of age. A supplemental benefit plan provides nonqualified benefits for compensation in excess of the IRS compensation limits applicable to the plan. Our plan funding policy is to make contributions provided that the total annual contributions will not be less than ERISA and the Pension Protection Act of 2006 minimums or greater than the maximum tax-deductible amount, to review the contribution and funding strategy on a regular basis, and to allow discretionary contributions to be made by us from time to time. The assets of the defined benefit pension plan are invested primarily in fixed income investments and equity securities. We pay nonqualified pension benefits when they are due according to the terms of the supplemental benefit plan. We provide certain postretirement healthcare and life insurance benefits to retired employees. Substantially all of our employees hired or rehired prior to 2014 may become eligible for postretirement medical benefits if they reach the age and service requirements of the retiree medical plan and retire on a pension (except a deferred pension) under the defined benefit pension plan. Medical benefits are self-insured and claims are administered through an insurance company. The cost of coverage is determined based on the annual projected plan costs. The participant's premium or cost is determined based on Company guidelines. Postretirement life insurance benefits are insured through an insurance company. We fund postretirement benefits as incurred, and accordingly, there were no assets held in the postretirement benefits plan at December 31, 2016 and 2015 . The following table sets forth information regarding the funded status of our pension and other postretirement benefits as of December 31, 2016 and 2015 : Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Change in Benefit Obligation: Benefit obligation at beginning of period $ 634,068 $ 612,688 $ 75,937 $ 77,355 Service cost 25,369 25,607 2,288 2,505 Interest cost 28,263 25,203 3,030 2,925 Actuarial loss (gain) 35,504 21,731 889 (2,165 ) Benefits paid from plan assets (50,422 ) (48,471 ) — — Benefits paid from Company assets (1,634 ) (1,537 ) (6,958 ) (6,131 ) Plan participants' contributions — — 1,390 1,448 Administrative expenses paid (1,359 ) (1,153 ) — — Benefit Obligation at End of Period 669,789 634,068 76,576 75,937 Change in Plan Assets: Fair value of plan assets at beginning of period 447,258 470,165 — — Actual return on plan assets 31,810 (13,283 ) — — Employer contributions (1) 81,634 41,537 5,568 4,683 Plan participants' contributions — — 1,390 1,448 Benefits paid (1) (52,056 ) (50,008 ) (6,958 ) (6,131 ) Administrative expenses paid (1,359 ) (1,153 ) — — Fair Value of Plan Assets at End of Period 507,287 447,258 — — Unfunded Status $ 162,502 $ 186,810 $ 76,576 $ 75,937 (1) Includes $1,634 and $1,537 paid from our assets for unfunded nonqualified benefits in fiscal years 2016 and 2015 , respectively. The accumulated benefit obligation for our defined benefit pension plan was $592,810 and $551,662 at December 31, 2016 and 2015 , respectively. Amounts recognized in the consolidated balance sheet for the years ended December 31 consist of the following: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Current accrued benefit cost $ 1,552 $ 1,599 $ 5,948 $ 5,634 Non-current accrued benefit cost 160,950 185,211 70,628 70,303 Net amount recognized $ 162,502 $ 186,810 $ 76,576 $ 75,937 Amounts recognized in accumulated other comprehensive loss for the years ended December 31, net of tax, consist of the following: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Net actuarial loss $ 177,234 $ 170,180 $ 11,093 $ 10,983 Prior service cost (gain) 457 716 (2,527 ) (3,860 ) Accumulated other comprehensive loss $ 177,691 $ 170,896 $ 8,566 $ 7,123 Amounts estimated to be amortized from accumulated other comprehensive loss into net periodic benefit costs in 2017 , net of tax, consist of the following: Pension Benefits Postretirement Benefits Net actuarial loss $ 12,911 $ 530 Prior service cost (gain) 257 (1,332 ) Accumulated other comprehensive loss (income) $ 13,168 $ (802 ) Weighted-average assumptions used to determine the actuarial present value of the pension and postretirement benefit obligations as of December 31 are: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Discount rate 4.15 % 4.48 % 3.78% 4.09% Rate of compensation increase 4.52 % 4.44 % — — Healthcare cost trend on covered charges — — 6% / 5% 6.5% / 5% For measurement of the postretirement benefit obligation, a 6.0% annual rate of increase in the per capita cost of covered healthcare benefits was assumed at December 31, 2016 . This rate is assumed to decline to 5.0% at January 1, 2019 and remain at that level thereafter. A one percent increase or decrease in the assumed healthcare cost trend rate would not have had a material effect on the postretirement benefit obligations as of December 31, 2016 and 2015 . The net periodic benefit cost for the years ended December 31, 2016 , 2015 , and 2014 included the following components: Pension Benefits Postretirement Benefits 2016 2015 2014 2016 2015 2014 Service cost $ 25,369 $ 25,607 $ 22,205 $ 2,288 $ 2,505 $ 2,454 Interest cost 28,263 25,203 26,817 3,030 2,925 3,338 Expected return on plan assets (27,016 ) (28,297 ) (26,624 ) — — — Amortization of: Net actuarial loss 19,164 20,028 17,639 709 1,044 1,267 Prior service cost (gain) 423 452 952 (2,181 ) (2,181 ) (2,181 ) Settlement loss — — 789 — — — Net periodic benefit cost $ 46,203 $ 42,993 $ 41,778 $ 3,846 $ 4,293 $ 4,878 Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31 were: Pension Benefits Postretirement Benefits 2016 2015 2014 2016 2015 2014 Discount rate 4.48 % 4.08 % 4.87 % 4.09% 3.77% 4.34% Expected return on plan assets 5.75 % 6.25 % 6.25 % — — — Rate of compensation increase 4.44 % 4.47 % 4.25 % — — — Healthcare cost trend on covered charges — — — 6.5% / 5% 7% / 5% 7.5% / 5% The expected return on plan assets assumption for the defined benefit pension plan is a long-term assumption and was determined after evaluating input from both the plan’s actuary and pension fund investment advisors, consideration of historical rates of return on plan assets, and anticipated current and long-term rates of return on the various classes of assets in which the plan invests. For measurement of the postretirement benefits net periodic cost, a 6.5% annual rate of increase in per capita cost of covered healthcare benefits was assumed for 2016 . The rate was assumed to decline to 5.0% in 2019 and to remain at that level thereafter. A one percent increase or decrease in the assumed healthcare cost trend rate would not have had a material effect on 2016 , 2015 and 2014 net periodic benefit cost. We expect to make contributions totaling $60,000 to our defined benefit pension plan and fund $1,589 for non-qualified benefits during 2017 . Estimated future defined benefit pension and other postretirement benefit plan payments to plan participants for the years ending December 31 are as follows: Year Pension Benefits Postretirement Benefits 2017 $ 42,035 $ 6,059 2018 43,351 6,449 2019 45,689 6,711 2020 47,949 6,893 2021 46,678 6,992 After 2021 259,183 33,882 The investment objective of our defined benefit pension plan is to ensure that there are sufficient assets to fund regular pension benefits payable to employees over the long-term life of the plan. Our defined benefit pension plan seeks to allocate plan assets in a manner that is closely duration-matched with the actuarial projected cash flow liabilities, consistent with prudent standards for preservation of capital, tolerance of investment risk, and maintenance of liquidity. Assets of the qualified pension plan are held by Comerica Bank (the "Trustee"). Our defined benefit pension plan utilizes a liability-driven investment (“LDI”) approach to help meet these objectives. The LDI strategy employs a structured fixed-income portfolio designed to reduce volatility in the plan's future funding requirements and funding status. This is accomplished by using a blend of corporate fixed-income securities, long duration government, and quasi-governmental, as well as appropriate levels of equity and alternative investments designed to optimize the plan's liability hedge ratio. In practice, the value of an asset portfolio constructed primarily of fixed income securities is inversely correlated to changes in market interest rates, at least partially offsetting changes in the value of the pension benefit obligation caused by changes in the interest rate used to discount plan liabilities. Asset allocation information for the defined benefit pension plan at December 31, 2016 and 2015 is as follows: Investment 2016 Actual Allocation 2016 Target Allocation Range 2015 Actual Allocation 2015 Target Allocation Range Equity securities-U.S. 8 % 3-15% 12 % 3-15% Equity securities-International 11 % 3-15% 11 % 3-15% Fixed income investments-U.S. 62 % 35-75% 59 % 35-75% Fixed income investments-International 5 % 3-10% 6 % 3-10% Absolute return 5 % 5-15% 7 % 5-15% Real assets 3 % 3-10% 3 % 3-10% Private equity 1 % 0-3% 1 % 0-3% Short-term investments 5 % 0-3% 1 % 0-3% Total 100 % 100% 100 % 100% The following is a description of the valuation methodologies used for assets held by the defined benefit pension plan measured at fair value: Equity securities - U.S. Equity securities - U.S. consist of investments in U.S. corporate stocks and U.S. equity mutual funds. U.S. equity mutual funds include publicly traded mutual funds and a bank collective fund for ERISA plans. U.S. corporate stocks and U.S. equity mutual funds are primarily large-capitalization stocks (defined as companies with market capitalization of more than $10 billion). U.S. corporate stocks and publicly traded mutual funds are valued at the closing price reported on the active public market in which the individual securities are traded and are classified as Level 1. The bank collective fund for ERISA plans is valued at the net asset value ("NAV") of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Equity securities - International Equity securities - International consist of investments in international corporate stocks and publicly traded mutual funds and are both primarily investments within developed and emerging markets. Both are valued at the closing price reported on the active public market in which the individual securities are traded and are classified as Level 1. Fixed income investments - U.S. Fixed income investments - U.S. consist of U.S. corporate bonds, government and government agency bonds, as well as a publicly traded mutual fund and commingled funds, both of which invest in corporate and government debt securities within the U.S. U.S. corporate bonds, government and government agency bonds, and the publicly traded mutual fund are valued at the closing price reported on the active market in which they are traded and thus are classified as Level 1. The commingled funds are valued at the NAV of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Fixed income investments - International Fixed income investments - International consist of international corporate bonds. International corporate bonds are valued at the closing price reported on the active market in which they are traded and thus are classified as Level 1. Absolute return Absolute return consists of investments in various hedge funds structured as fund-of-funds (defined as a single fund that invests in multiple funds). The hedge funds use various investment strategies in an attempt to generate non-correlated returns. A fund-of-funds is designed to help diversify and reduce the risk of the overall portfolio. The hedge funds are valued at the NAV of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Audited financial statements are produced on an annual basis for the hedge funds. Real assets Real assets consists of natural resource fund (oil, gas and forestry) and a real estate investment trust ("REIT"). The natural resource fund is owned by a limited partnership ("LP"). The LP is generally characterized as requiring a long-term commitment with limited liquidity. The value of the LP is not publicly available and thus, is classified as Level 3. The REIT is a commingled trust. The commingled trust is valued at the NAV of units of the trust. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Audited financial statements are produced on an annual basis for the LP and REIT. Private equity Private equity is an asset class that is generally characterized as requiring long-term commitments and where liquidity is typically limited. Private equity does not have an actively traded market with readily observable prices. The investments are limited partnerships structured as fund-of-funds. The investments are diversified across typical private equity strategies including: buyouts, co-investments, secondary offerings, venture capital, and special situations. Valuations are developed using a variety of proprietary model methodologies. Valuations may be derived from publicly available sources as well as information obtained from each fund's general partner based upon public market conditions and returns. All private equity investments are classified as Level 3. Audited financial statements are produced on an annual basis for the private equity investments. Short-term investments Short-term investments consist of cash and cash equivalents in a short-term fund which is valued at the NAV of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. The methods described above may produce fair value calculations that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while we believe our defined benefit pension plan valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. There have been no changes in the methodologies for determining fair value at December 31, 2016 or 2015 . The following tables set forth, by level within the fair value hierarchy, the defined benefit pension plan assets measured at fair value as of December 31, 2016 and 2015 : December 31, 2016 Investment Investments Measured at NAV Level 1 Level 2 Level 3 Total Equity securities - U.S. $ 9,827 $ 30,952 $ — $ — $ 40,779 Equity securities - International — 55,619 — — 55,619 Fixed income investments - U.S. 99,383 218,712 — — 318,095 Fixed income investments - International — 27,346 — — 27,346 Absolute return 25,479 — — — 25,479 Real assets 14,852 — — 195 15,047 Private equity — — — 1,942 1,942 Short-term investments 22,980 — — — 22,980 Total $ 172,521 $ 332,629 $ — $ 2,137 $ 507,287 December 31, 2015 Investment Investments Measured at NAV Level 1 Level 2 Level 3 Total Equity securities - U.S. $ 9,206 $ 43,560 $ — $ — $ 52,766 Equity securities - International — 48,004 — — 48,004 Fixed income investments - U.S. 70,949 196,222 — — 267,171 Fixed income investments - International — 26,044 — — 26,044 Absolute return 32,383 — — — 32,383 Real assets 13,166 — — 456 13,622 Private equity — — — 2,704 2,704 Short-term investments 4,564 — — — 4,564 Total $ 130,268 $ 313,830 $ — $ 3,160 $ 447,258 The tables below set forth a summary of changes in the fair value of the defined benefit pension plan's Level 3 assets for the years ended December 31, 2016 and 2015 : December 31, 2016 Real Assets Private Equity Total Balance, beginning of year $ 456 $ 2,704 $ 3,160 Realized gains 12 181 193 Unrealized losses (19 ) (150 ) (169 ) Purchases — 121 121 Sales (254 ) (914 ) (1,168 ) Balance, end of year $ 195 $ 1,942 $ 2,137 December 31, 2015 Real Assets Private Equity Total Balance, beginning of year $ 548 $ 3,682 $ 4,230 Realized gains — 174 174 Unrealized losses (37 ) (92 ) (129 ) Purchases — 188 188 Sales (55 ) (1,248 ) (1,303 ) Balance, end of year $ 456 $ 2,704 $ 3,160 |
Profit Sharing and Savings Plan
Profit Sharing and Savings Plan | 12 Months Ended |
Dec. 31, 2016 | |
Defined Contribution Plan Disclosure [Line Items] | |
Profit Sharing and Savings Plan | PENSION AND OTHER POSTRETIREMENT BENEFITS We have a noncontributory defined benefit pension plan covering substantially all employees first hired prior to July 1, 2015 after the completion of one year of service and 1,000 hours of service. The plan provides retirement benefits based on an employee’s average earnings and years of service. These employees become 100% vested after three years of service, regardless of age. A supplemental benefit plan provides nonqualified benefits for compensation in excess of the IRS compensation limits applicable to the plan. Our plan funding policy is to make contributions provided that the total annual contributions will not be less than ERISA and the Pension Protection Act of 2006 minimums or greater than the maximum tax-deductible amount, to review the contribution and funding strategy on a regular basis, and to allow discretionary contributions to be made by us from time to time. The assets of the defined benefit pension plan are invested primarily in fixed income investments and equity securities. We pay nonqualified pension benefits when they are due according to the terms of the supplemental benefit plan. We provide certain postretirement healthcare and life insurance benefits to retired employees. Substantially all of our employees hired or rehired prior to 2014 may become eligible for postretirement medical benefits if they reach the age and service requirements of the retiree medical plan and retire on a pension (except a deferred pension) under the defined benefit pension plan. Medical benefits are self-insured and claims are administered through an insurance company. The cost of coverage is determined based on the annual projected plan costs. The participant's premium or cost is determined based on Company guidelines. Postretirement life insurance benefits are insured through an insurance company. We fund postretirement benefits as incurred, and accordingly, there were no assets held in the postretirement benefits plan at December 31, 2016 and 2015 . The following table sets forth information regarding the funded status of our pension and other postretirement benefits as of December 31, 2016 and 2015 : Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Change in Benefit Obligation: Benefit obligation at beginning of period $ 634,068 $ 612,688 $ 75,937 $ 77,355 Service cost 25,369 25,607 2,288 2,505 Interest cost 28,263 25,203 3,030 2,925 Actuarial loss (gain) 35,504 21,731 889 (2,165 ) Benefits paid from plan assets (50,422 ) (48,471 ) — — Benefits paid from Company assets (1,634 ) (1,537 ) (6,958 ) (6,131 ) Plan participants' contributions — — 1,390 1,448 Administrative expenses paid (1,359 ) (1,153 ) — — Benefit Obligation at End of Period 669,789 634,068 76,576 75,937 Change in Plan Assets: Fair value of plan assets at beginning of period 447,258 470,165 — — Actual return on plan assets 31,810 (13,283 ) — — Employer contributions (1) 81,634 41,537 5,568 4,683 Plan participants' contributions — — 1,390 1,448 Benefits paid (1) (52,056 ) (50,008 ) (6,958 ) (6,131 ) Administrative expenses paid (1,359 ) (1,153 ) — — Fair Value of Plan Assets at End of Period 507,287 447,258 — — Unfunded Status $ 162,502 $ 186,810 $ 76,576 $ 75,937 (1) Includes $1,634 and $1,537 paid from our assets for unfunded nonqualified benefits in fiscal years 2016 and 2015 , respectively. The accumulated benefit obligation for our defined benefit pension plan was $592,810 and $551,662 at December 31, 2016 and 2015 , respectively. Amounts recognized in the consolidated balance sheet for the years ended December 31 consist of the following: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Current accrued benefit cost $ 1,552 $ 1,599 $ 5,948 $ 5,634 Non-current accrued benefit cost 160,950 185,211 70,628 70,303 Net amount recognized $ 162,502 $ 186,810 $ 76,576 $ 75,937 Amounts recognized in accumulated other comprehensive loss for the years ended December 31, net of tax, consist of the following: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Net actuarial loss $ 177,234 $ 170,180 $ 11,093 $ 10,983 Prior service cost (gain) 457 716 (2,527 ) (3,860 ) Accumulated other comprehensive loss $ 177,691 $ 170,896 $ 8,566 $ 7,123 Amounts estimated to be amortized from accumulated other comprehensive loss into net periodic benefit costs in 2017 , net of tax, consist of the following: Pension Benefits Postretirement Benefits Net actuarial loss $ 12,911 $ 530 Prior service cost (gain) 257 (1,332 ) Accumulated other comprehensive loss (income) $ 13,168 $ (802 ) Weighted-average assumptions used to determine the actuarial present value of the pension and postretirement benefit obligations as of December 31 are: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Discount rate 4.15 % 4.48 % 3.78% 4.09% Rate of compensation increase 4.52 % 4.44 % — — Healthcare cost trend on covered charges — — 6% / 5% 6.5% / 5% For measurement of the postretirement benefit obligation, a 6.0% annual rate of increase in the per capita cost of covered healthcare benefits was assumed at December 31, 2016 . This rate is assumed to decline to 5.0% at January 1, 2019 and remain at that level thereafter. A one percent increase or decrease in the assumed healthcare cost trend rate would not have had a material effect on the postretirement benefit obligations as of December 31, 2016 and 2015 . The net periodic benefit cost for the years ended December 31, 2016 , 2015 , and 2014 included the following components: Pension Benefits Postretirement Benefits 2016 2015 2014 2016 2015 2014 Service cost $ 25,369 $ 25,607 $ 22,205 $ 2,288 $ 2,505 $ 2,454 Interest cost 28,263 25,203 26,817 3,030 2,925 3,338 Expected return on plan assets (27,016 ) (28,297 ) (26,624 ) — — — Amortization of: Net actuarial loss 19,164 20,028 17,639 709 1,044 1,267 Prior service cost (gain) 423 452 952 (2,181 ) (2,181 ) (2,181 ) Settlement loss — — 789 — — — Net periodic benefit cost $ 46,203 $ 42,993 $ 41,778 $ 3,846 $ 4,293 $ 4,878 Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31 were: Pension Benefits Postretirement Benefits 2016 2015 2014 2016 2015 2014 Discount rate 4.48 % 4.08 % 4.87 % 4.09% 3.77% 4.34% Expected return on plan assets 5.75 % 6.25 % 6.25 % — — — Rate of compensation increase 4.44 % 4.47 % 4.25 % — — — Healthcare cost trend on covered charges — — — 6.5% / 5% 7% / 5% 7.5% / 5% The expected return on plan assets assumption for the defined benefit pension plan is a long-term assumption and was determined after evaluating input from both the plan’s actuary and pension fund investment advisors, consideration of historical rates of return on plan assets, and anticipated current and long-term rates of return on the various classes of assets in which the plan invests. For measurement of the postretirement benefits net periodic cost, a 6.5% annual rate of increase in per capita cost of covered healthcare benefits was assumed for 2016 . The rate was assumed to decline to 5.0% in 2019 and to remain at that level thereafter. A one percent increase or decrease in the assumed healthcare cost trend rate would not have had a material effect on 2016 , 2015 and 2014 net periodic benefit cost. We expect to make contributions totaling $60,000 to our defined benefit pension plan and fund $1,589 for non-qualified benefits during 2017 . Estimated future defined benefit pension and other postretirement benefit plan payments to plan participants for the years ending December 31 are as follows: Year Pension Benefits Postretirement Benefits 2017 $ 42,035 $ 6,059 2018 43,351 6,449 2019 45,689 6,711 2020 47,949 6,893 2021 46,678 6,992 After 2021 259,183 33,882 The investment objective of our defined benefit pension plan is to ensure that there are sufficient assets to fund regular pension benefits payable to employees over the long-term life of the plan. Our defined benefit pension plan seeks to allocate plan assets in a manner that is closely duration-matched with the actuarial projected cash flow liabilities, consistent with prudent standards for preservation of capital, tolerance of investment risk, and maintenance of liquidity. Assets of the qualified pension plan are held by Comerica Bank (the "Trustee"). Our defined benefit pension plan utilizes a liability-driven investment (“LDI”) approach to help meet these objectives. The LDI strategy employs a structured fixed-income portfolio designed to reduce volatility in the plan's future funding requirements and funding status. This is accomplished by using a blend of corporate fixed-income securities, long duration government, and quasi-governmental, as well as appropriate levels of equity and alternative investments designed to optimize the plan's liability hedge ratio. In practice, the value of an asset portfolio constructed primarily of fixed income securities is inversely correlated to changes in market interest rates, at least partially offsetting changes in the value of the pension benefit obligation caused by changes in the interest rate used to discount plan liabilities. Asset allocation information for the defined benefit pension plan at December 31, 2016 and 2015 is as follows: Investment 2016 Actual Allocation 2016 Target Allocation Range 2015 Actual Allocation 2015 Target Allocation Range Equity securities-U.S. 8 % 3-15% 12 % 3-15% Equity securities-International 11 % 3-15% 11 % 3-15% Fixed income investments-U.S. 62 % 35-75% 59 % 35-75% Fixed income investments-International 5 % 3-10% 6 % 3-10% Absolute return 5 % 5-15% 7 % 5-15% Real assets 3 % 3-10% 3 % 3-10% Private equity 1 % 0-3% 1 % 0-3% Short-term investments 5 % 0-3% 1 % 0-3% Total 100 % 100% 100 % 100% The following is a description of the valuation methodologies used for assets held by the defined benefit pension plan measured at fair value: Equity securities - U.S. Equity securities - U.S. consist of investments in U.S. corporate stocks and U.S. equity mutual funds. U.S. equity mutual funds include publicly traded mutual funds and a bank collective fund for ERISA plans. U.S. corporate stocks and U.S. equity mutual funds are primarily large-capitalization stocks (defined as companies with market capitalization of more than $10 billion). U.S. corporate stocks and publicly traded mutual funds are valued at the closing price reported on the active public market in which the individual securities are traded and are classified as Level 1. The bank collective fund for ERISA plans is valued at the net asset value ("NAV") of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Equity securities - International Equity securities - International consist of investments in international corporate stocks and publicly traded mutual funds and are both primarily investments within developed and emerging markets. Both are valued at the closing price reported on the active public market in which the individual securities are traded and are classified as Level 1. Fixed income investments - U.S. Fixed income investments - U.S. consist of U.S. corporate bonds, government and government agency bonds, as well as a publicly traded mutual fund and commingled funds, both of which invest in corporate and government debt securities within the U.S. U.S. corporate bonds, government and government agency bonds, and the publicly traded mutual fund are valued at the closing price reported on the active market in which they are traded and thus are classified as Level 1. The commingled funds are valued at the NAV of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Fixed income investments - International Fixed income investments - International consist of international corporate bonds. International corporate bonds are valued at the closing price reported on the active market in which they are traded and thus are classified as Level 1. Absolute return Absolute return consists of investments in various hedge funds structured as fund-of-funds (defined as a single fund that invests in multiple funds). The hedge funds use various investment strategies in an attempt to generate non-correlated returns. A fund-of-funds is designed to help diversify and reduce the risk of the overall portfolio. The hedge funds are valued at the NAV of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Audited financial statements are produced on an annual basis for the hedge funds. Real assets Real assets consists of natural resource fund (oil, gas and forestry) and a real estate investment trust ("REIT"). The natural resource fund is owned by a limited partnership ("LP"). The LP is generally characterized as requiring a long-term commitment with limited liquidity. The value of the LP is not publicly available and thus, is classified as Level 3. The REIT is a commingled trust. The commingled trust is valued at the NAV of units of the trust. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. Audited financial statements are produced on an annual basis for the LP and REIT. Private equity Private equity is an asset class that is generally characterized as requiring long-term commitments and where liquidity is typically limited. Private equity does not have an actively traded market with readily observable prices. The investments are limited partnerships structured as fund-of-funds. The investments are diversified across typical private equity strategies including: buyouts, co-investments, secondary offerings, venture capital, and special situations. Valuations are developed using a variety of proprietary model methodologies. Valuations may be derived from publicly available sources as well as information obtained from each fund's general partner based upon public market conditions and returns. All private equity investments are classified as Level 3. Audited financial statements are produced on an annual basis for the private equity investments. Short-term investments Short-term investments consist of cash and cash equivalents in a short-term fund which is valued at the NAV of units of the fund. The NAV, as provided by the Trustee, is used as a practical expedient to estimate fair value. The NAV is based on the fair value of the underlying investments held by the fund. The methods described above may produce fair value calculations that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while we believe our defined benefit pension plan valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. There have been no changes in the methodologies for determining fair value at December 31, 2016 or 2015 . The following tables set forth, by level within the fair value hierarchy, the defined benefit pension plan assets measured at fair value as of December 31, 2016 and 2015 : December 31, 2016 Investment Investments Measured at NAV Level 1 Level 2 Level 3 Total Equity securities - U.S. $ 9,827 $ 30,952 $ — $ — $ 40,779 Equity securities - International — 55,619 — — 55,619 Fixed income investments - U.S. 99,383 218,712 — — 318,095 Fixed income investments - International — 27,346 — — 27,346 Absolute return 25,479 — — — 25,479 Real assets 14,852 — — 195 15,047 Private equity — — — 1,942 1,942 Short-term investments 22,980 — — — 22,980 Total $ 172,521 $ 332,629 $ — $ 2,137 $ 507,287 December 31, 2015 Investment Investments Measured at NAV Level 1 Level 2 Level 3 Total Equity securities - U.S. $ 9,206 $ 43,560 $ — $ — $ 52,766 Equity securities - International — 48,004 — — 48,004 Fixed income investments - U.S. 70,949 196,222 — — 267,171 Fixed income investments - International — 26,044 — — 26,044 Absolute return 32,383 — — — 32,383 Real assets 13,166 — — 456 13,622 Private equity — — — 2,704 2,704 Short-term investments 4,564 — — — 4,564 Total $ 130,268 $ 313,830 $ — $ 3,160 $ 447,258 The tables below set forth a summary of changes in the fair value of the defined benefit pension plan's Level 3 assets for the years ended December 31, 2016 and 2015 : December 31, 2016 Real Assets Private Equity Total Balance, beginning of year $ 456 $ 2,704 $ 3,160 Realized gains 12 181 193 Unrealized losses (19 ) (150 ) (169 ) Purchases — 121 121 Sales (254 ) (914 ) (1,168 ) Balance, end of year $ 195 $ 1,942 $ 2,137 December 31, 2015 Real Assets Private Equity Total Balance, beginning of year $ 548 $ 3,682 $ 4,230 Realized gains — 174 174 Unrealized losses (37 ) (92 ) (129 ) Purchases — 188 188 Sales (55 ) (1,248 ) (1,303 ) Balance, end of year $ 456 $ 2,704 $ 3,160 |
Profit Sharing and Savings Plan | |
Defined Contribution Plan Disclosure [Line Items] | |
Profit Sharing and Savings Plan | PROFIT SHARING AND SAVINGS PLAN We provide a defined contribution profit sharing and savings plan covering substantially all of our eligible employees with an individual account for each participant. Employees may make voluntary before-tax and/or after-tax contributions, ranging from 2% to 50% of pay, to the savings portion of the plan subject to limitations imposed by federal tax law, ERISA, and the Pension Protection Act of 2006. Effective July 1, 2015, all employees hired or rehired after July 1, 2015, are eligible to receive a Company matching contribution beginning the first month after the completion of one year of service and 1,000 hours of service. The Company match is equal to 50% of an eligible employee's before-tax contribution, up to 6% of pay, with a maximum match of 3% . The matching contribution expense recognized by us was $363 for the year ended December 31, 2016 . Annual contributions made by us to the profit-sharing portion of the plan are determined by the Board of Directors at their discretion, are generally based on the profitability of the Company. Expense recognized by us under the profit-sharing portion of the plan was $41,365 , $40,020 , and $56,709 for the years ended December 31, 2016 , 2015 and 2014 , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Rental expense was $25,133 , $22,685 , and $21,891 in 2016 , 2015 , and 2014 , respectively. Future minimum rental payments required under operating leases that have either initial or remaining noncancelable lease terms in excess of one year as of December 31, 2016 are as follows: For the Years Ending December 31, Minimum Rental Payments 2017 $ 24,934 2018 19,516 2019 14,048 2020 7,298 2021 4,193 After 2021 2,608 Graybar and our subsidiaries are subject to various claims, disputes, and administrative and legal matters incidental to our past and current business activities. As a result, contingencies arise resulting from an existing condition, situation, or set of circumstances involving an uncertainty as to the realization of a possible loss. Estimated loss contingencies are accrued only if the loss is probable and the amount of the loss can be reasonably estimated. With respect to a particular loss contingency, it may be probable that a loss has occurred but the estimate of the loss is a wide range. If we deem an amount within the range to be a better estimate than any other amount within the range, that amount will be accrued. However, if no amount within the range is a better estimate than any other amount, the minimum amount of the range is accrued. While we believe that none of these claims, disputes, administrative, and legal matters will have a material adverse effect on our financial position, these matters are uncertain and we cannot at this time determine whether the financial impact, if any, of these matters will be material to our results of operations in the period in which such matters are resolved or a better estimate becomes available. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The components of accumulated other comprehensive income (loss) as of December 31 are as follows: 2016 2015 Currency translation $ (10,343 ) $ (12,416 ) Pension liability (177,691 ) (170,896 ) Postretirement benefits liability (8,566 ) (7,123 ) Accumulated other comprehensive loss $ (196,600 ) $ (190,435 ) The following table represents amounts reclassified from accumulated other comprehensive income (loss) for the years ended December 31, 2016 and 2015 : 2016 2015 Amortization of Pension and Other Postretirement Benefits Items Amortization of Pension and Other Postretirement Benefits Items Actuarial Losses Recognized Prior Service Costs Recognized Total Actuarial Losses Recognized Prior Service Costs Recognized Total Affected Line in Consolidated Statement of Income: Selling, general and administrative expenses $ 19,873 $ (1,758 ) $ 18,115 $ 21,072 $ (1,729 ) $ 19,343 Tax (benefit) expense (7,731 ) 684 (7,047 ) (8,197 ) 673 (7,524 ) Total reclassifications for the period, net of tax $ 12,142 $ (1,074 ) $ 11,068 $ 12,875 $ (1,056 ) $ 11,819 The following table represents the activity included in accumulated other comprehensive income (loss) for the years ended December 31, 2016 and 2015 : 2016 2015 Foreign Currency Pension and Other Postretirement Benefits Total Foreign Currency Pension and Other Postretirement Benefits Total Beginning balance January 1, $ (12,416 ) $ (178,019 ) $ (190,435 ) $ 284 $ (152,477 ) $ (152,193 ) Other comprehensive income (loss) before reclassifications 2,073 — 2,073 (12,700 ) — (12,700 ) Amounts reclassified from accumulated other comprehensive income (net of tax $(7,047) and $(7,524)) — 11,068 11,068 — 11,819 11,819 Actuarial gain (loss), (net of tax $12,292 and $23,785) — (19,306 ) (19,306 ) — (37,361 ) (37,361 ) Net current-period other comprehensive (loss) income 2,073 (8,238 ) (6,165 ) (12,700 ) (25,542 ) (38,242 ) Ending balance December 31, $ (10,343 ) $ (186,257 ) $ (196,600 ) $ (12,416 ) $ (178,019 ) $ (190,435 ) |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Acquisitions | ACQUISITIONS On July 1, 2016, we purchased Cape Electric, a regional distributor serving electrical contractors and large engineering construction firms, as well as industrial, institutional and utility customers, for approximately $59,946 in cash, net of cash acquired. The purchase price allocation resulted in $16,377 and $23,586 of tax deductible goodwill and other intangible assets, respectively. In April 2015, we acquired 100% of the outstanding capital stock of Advantage, which provides control and automation solutions to industrial users, OEMs and system integrators, for $18,093 in cash, net of cash acquired. The purchase price allocation resulted in $7,057 and $8,283 of tax deductible goodwill and other intangible assets, respectively. Since the date of acquisition, Cape Electric and Advantage results are reflected in our Consolidated Financial Statements. Pro forma results of these acquisitions were not material; therefore, they are not presented. |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | QUARTERLY FINANCIAL INFORMATION (UNAUDITED) The following tables set forth selected quarterly financial data for the years ended December 31, 2016 and 2015 : 2016 For the Quarter Ended March 31, June 30, September 30, December 31, Net sales $ 1,465,480 $ 1,630,521 $ 1,689,619 $ 1,599,412 Gross margin $ 279,647 $ 305,599 $ 318,758 $ 304,374 Net income attributable to the Company $ 15,045 $ 25,635 $ 30,129 $ 22,270 Net income attributable to the Company per share of common stock (A) $ 0.87 $ 1.47 $ 1.73 $ 1.28 (A) All periods adjusted for a 5% stock dividend declared in December 2016 . Prior to these adjustments, the average common shares outstanding for the first, second, third, and fourth quarters of 2016 were 16,537,536 , 16,569,408 , 16,573,041 , and 16,558,984 , respectively. 2015 For the Quarter Ended March 31, June 30, September 30, December 31, Net sales $ 1,393,778 $ 1,570,008 $ 1,583,886 $ 1,562,627 Gross margin $ 259,026 $ 293,345 $ 302,958 $ 299,416 Net income attributable to the Company $ 12,460 $ 25,088 $ 28,311 $ 25,209 Net income attributable to the Company per share of common stock (A) $ 0.72 $ 1.46 $ 1.65 $ 1.47 (A) All periods adjusted for a 5% stock dividend declared in December 2016 and a 2.5% stock dividend declared in December 2015 . Prior to these adjustments, the average common shares outstanding for the first, second, third, and fourth quarters of 2015 were 16,023,053 , 15,986,695 , 15,942,178 , and 15,927,663 , respectively. |
Accounting Policies (Policies)
Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Graybar and its subsidiary companies. All material intercompany balances and transactions have been eliminated. The ownership interests that are held by owners other than the Company in subsidiaries consolidated by the Company are accounted for and reported as noncontrolling interests. |
Estimates | Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates. |
Reclassifications | Reclassifications Certain reclassifications have been made to prior years' financial information to conform to the December 31, 2016 presentation. |
Subsequent Events | Subsequent Events We have evaluated subsequent events through the time of the filing of this Annual Report on Form 10-K with the Commission. No material subsequent events have occurred since December 31, 2016 that require recognition or disclosure in our financial statements. |
Revenue Recognition | Revenue Recognition Revenue is recognized when evidence of a customer arrangement exists, prices are fixed and determinable, product title, ownership and risk of loss transfers to the customer, and collectability is reasonably assured. Revenues recognized are primarily for product sales, but also include freight and handling charges. Our standard shipping terms are FOB shipping point, under which product title passes to the customer at the time of shipment. We also earn revenue for services provided to customers for supply chain management and logistics services. Service revenue, which accounts for less than 1% of net sales, is recognized when services are rendered and completed. Revenue is reported net of all taxes assessed by governmental authorities as a result of revenue-producing transactions, primarily sales tax. |
Outgoing Freight Expenses | Outgoing Freight Expenses We record certain outgoing freight expenses as a component of selling, general and administrative expenses. These costs totaled $ 50,949 , $ 51,100 , and $ 49,622 for the years ended December 31, 2016 , 2015 , and 2014 , respectively. |
Cash and Cash Equivalents | Cash and Cash Equivalents We account for cash on hand, deposits in banks, and other short-term, highly liquid investments with an original maturity of three months or less as cash and cash equivalents. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts We perform ongoing credit evaluations of our customers, and a significant portion of our trade receivables is secured by mechanic’s lien or payment bond rights. We maintain allowances to reflect the expected uncollectability of trade receivables based on past collection history and specific risks identified in the receivables portfolio. Although actual credit losses have historically been within management’s expectations, additional allowances may be required if the financial condition of our customers were to deteriorate. |
Merchandise Inventory | Merchandise Inventory Our inventory is stated at the lower of cost (determined using the last-in, first-out (“LIFO”) cost method) or market. LIFO accounting is a method of accounting that, compared with other inventory accounting methods, generally provides better matching of current costs with current sales. We make provisions for obsolete or excess inventories as necessary to reflect reductions in inventory value. |
Vendor Allowances | Vendor Allowances Our agreements with many of our suppliers provide for us to earn volume incentives based on purchases during the agreement period. Based on the provisions of our vendor agreements, we develop vendor accrual rates by estimating the point at which we will have completed our performance under the agreement and the deferred amounts will be earned. We perform analyses and review historical trends to ensure the deferred amounts earned are appropriately recorded. Certain vendor agreements contain purchase volume incentives that provide for increased funding when graduated purchase volumes are met. Amounts accrued throughout the year are based on estimates of future activity levels, and could be materially impacted if actual purchase volumes differ. Changes in the estimated amount of incentives are treated as changes in estimate and are recognized in earnings in the period in which the change in estimate occurs. In the event that the operating performance of our suppliers were to decline, however, there can be no assurance that amounts earned would be paid or that the volume incentives would continue to be included in future agreements. |
Property and Depreciation | Property and Depreciation Property, plant and equipment are recorded at cost. Depreciation is expensed on a straight-line basis over the estimated useful lives of the related assets. Interest costs incurred to finance expenditures for major long-term construction projects are capitalized as part of the asset's historical cost and included in property, plant and equipment, then depreciated over the useful life of the asset. Leasehold improvements are amortized over the term of the lease or the estimated useful life of the improvement, whichever is shorter. Expenditures for maintenance and repairs are charged to expense when incurred, while the costs of significant improvements, which extend the useful life of the underlying asset, are capitalized. |
Credit Risk | Credit Risk Financial instruments that potentially expose us to concentrations of credit risk consist primarily of trade receivables. We perform ongoing credit evaluations of our customers, and a significant portion of our trade receivables may be protected by mechanic’s lien or payment bond rights. We maintain allowances for potential credit losses, and such losses historically have been within management’s expectations. |
Fair Value | Fair Value We endeavor to utilize the best available information in measuring fair value. GAAP has established a fair value hierarchy, which prioritizes the inputs used in measuring fair value. The tiers in the hierarchy include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for which little or no market data exists, therefore requiring an entity to develop its own data inputs and assumptions. We have used fair value measurements to value our pension plan assets. |
Foreign Currency Exchange Rate | Foreign Currency Exchange Rate The functional currency for our Canadian subsidiary is the Canadian dollar. Accordingly, its balance sheet amounts are translated at the exchange rates in effect at the end of each reporting period and its statements of income amounts are translated at the average rates of exchange prevailing during the current period. Currency translation adjustments are included in accumulated other comprehensive loss. |
Goodwill | Goodwill Our goodwill is not amortized, but rather tested annually for impairment. Goodwill is reviewed annually in the fourth quarter and/or when circumstances or other events might indicate that impairment may have occurred. We first perform a qualitative assessment of goodwill impairment. The qualitative assessment considers several factors including the excess fair value over carrying value as of the last quantitative impairment test, the length of time since the last fair value measurement, the current carrying value, market conditions, actual performance compared to forecasted performance, and the current business outlook. If the qualitative assessment indicates that it is more likely than not that goodwill is impaired, the reporting unit is then quantitatively tested for impairment. If a quantitative assessment is required, the fair value is determined using a variety of assumptions including estimated future cash flows of the reporting unit using applicable discount rates. |
Definite Lived Intangible Assets | Definite Lived Intangible Assets The cost of intangible assets with determinable useful lives is amortized to reflect the pattern of economic benefits consumed, either on a straight-line or accelerated basis over the estimated periods benefited. Customer relationships, trade names and other non-contractual intangible assets with determinable lives are amortized over periods generally ranging from 5 to 20 years. Intangible assets are tested for impairment if events or circumstances occur indicating that the respective asset might be impaired. |
Income Taxes | Income Taxes We recognize deferred tax assets and liabilities to reflect the future tax consequences of events that have been recognized in the financial statements or tax returns. Uncertainty exists regarding tax positions taken in previously filed tax returns still subject to examination and positions expected to be taken in future returns. A deferred tax asset or liability results from the temporary difference between an item’s carrying value as reflected in the financial statements and its tax basis, and is calculated using enacted applicable tax rates. We assess the likelihood that our deferred tax assets will be recovered from future taxable income and, to the extent we believe that recovery is not likely, a valuation allowance is established. Changes in the valuation allowance, when recorded, are included in the provision for income taxes in the consolidated financial statements. We classify interest expense and penalties as part of our provision for income taxes based upon applicable federal and state interest/underpayment percentages. |
Other Postretirement Benefits | Other Postretirement Benefits We account for postretirement benefits other than pension by accruing the costs of benefits to be provided over the employees’ periods of active service. These costs are determined on an actuarial basis. Our consolidated balance sheets reflect the funded status of postretirement benefits. |
Pension Plan | Pension Plan We sponsor a noncontributory defined benefit pension plan accounted for by accruing the cost to provide the benefits over the employees’ periods of active service. These costs are determined on an actuarial basis. Our consolidated balance sheets reflect the funded status of the defined benefit pension plan. |
New Accounting Standards | New Accounting Standards No new accounting standards that were issued or became effective during 2016 have had or are expected to have a material impact on our consolidated financial statements except those noted below. In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (“ASU” or “Update”) 2016-02, “Leases (Topic 842)”. The core principle of Topic 842 requires that a lessee should recognize the assets and liabilities on the balance sheet and disclose key information about leasing arrangements. The amendments in ASU 2016-02 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The guidance is required to be adopted at the earliest period presented using a modified retrospective approach. We are currently evaluating the impact the provisions will have on our consolidated financial statements but have decided we will not adopt the guidance early. In April 2015, FASB issued ASU 2015-05, "Intangibles-Goodwill and Other-Internal-use Software: Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement". This Update provides guidance about whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, then the customer should account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer should account for the arrangement as a service contract and expensed as services are received. The Update is effective for fiscal years beginning after December 15, 2015 and interim periods. We adopted this Update on January 1, 2016. The adoption of this standard did not have a material impact on our results of operation, financial position, or cash flows. In February 2015, FASB issued ASU 2015-02, "Consolidation". The amendments in this Update affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under the revised consolidation model. This ASU is effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. We adopted this Update on January 1, 2016. The adoption of this standard did not have a material impact on our results of operation, financial position, or cash flows. In May 2015, the FASB issued ASU 2015-07, "Fair Value Measurement (Topic 820) - Disclosures for Investments in Certain Entities That Calculate Net Asset Value Per Share (or Its Equivalent)". The Update removes the requirement to include within the fair value hierarchy leveling table those investments that measure fair value using the practical expedient available for investments that calculate a net asset value per share (or NAV equivalent, for example member units or an ownership interest in partners’ capital to which a proportionate share of net assets is attributed). Even though these investments are removed from the fair value hierarchy, entities should provide or disclose the total amount of investments measured using the net asset value per share (or its equivalent) practical expedient in order to permit reconciliation of fair value of investments included in the fair value hierarchy to the line items disclosed. The guidance contained in the ASU is effective for public business entities for fiscal years beginning after December 15, 2015. The adoption of this standard has been applied retrospectively. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers” ("ASU 2014-09"), which provides guidance on a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific guidance. In July 2015, the FASB deferred the effective date of the Update for one year. The Update will now be effective for public business entities for annual reporting periods, including interim reporting periods, beginning after December 15, 2017. The new standard provides for two alternative implementation methods. The first is to apply the new standard retrospectively to each prior reporting period presented. This method allows the use of certain practical expedients. The second method is to apply the new standard retrospectively in the year of initial adoption and record a cumulative effect adjustment for the impact of adjusting contracts open at the date of adoption. Under this transition method, we would apply this guidance retrospectively only to contracts that are not completed contracts at the date of initial application, which for us will be January 1, 2018. We would then recognize the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings. This method also requires us to disclose comparative information for the year of adoption. In March 2016, FASB issued ASU 2016-08 "Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net)". The amendments in this Update do not change the core principle of the guidance stated in ASU 2014-09. Instead, the amendments in this ASU are intended to further clarify the implementation guidance on principal versus agent considerations. ASU 2016-08 will have the same effective date and transition requirements as the new revenue standard issued in ASU 2014-09. Our primary source of revenues is from customer purchase orders in the construction, industrial & utility, and CIG markets for electrical and comm/data products. Revenue is currently recognized when evidence of a customer arrangement exists, prices are fixed and determinable, product title, ownership and risk of loss transfers to the customer, and collectability is reasonably assured. We are currently assessing our revenue streams and reporting disclosures to determine the potential impact related to the adoption of ASU 2014-09. We do however believe that, upon adoption of ASU 2014-09, the timing of revenue related to our sales will remain relatively consistent with current practices. At the time of this filing, we believe we will be adopting ASU 2014-09 under the modified retrospective approach. |
Cash Discounts And Doubtful A27
Cash Discounts And Doubtful Accounts (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule of Cash Discounts and Doubtful Accounts | The following table summarizes the activity in the allowances for cash discounts and doubtful accounts: Beginning Balance Provision (Charged to Expense) Deductions Ending Balance For the Year Ended December 31, 2016 Allowance for cash discounts $ 1,736 $ 28,174 $ (28,179 ) $ 1,731 Allowance for doubtful accounts 4,143 2,272 (3,121 ) 3,294 Total $ 5,879 $ 30,446 $ (31,300 ) $ 5,025 For the Year Ended December 31, 2015 Allowance for cash discounts $ 1,764 $ 26,044 $ (26,072 ) $ 1,736 Allowance for doubtful accounts 5,309 2,545 (3,711 ) 4,143 Total $ 7,073 $ 28,589 $ (29,783 ) $ 5,879 For the Year Ended December 31, 2014 Allowance for cash discounts $ 1,560 $ 25,318 $ (25,114 ) $ 1,764 Allowance for doubtful accounts 5,277 3,769 (3,737 ) 5,309 Total $ 6,837 $ 29,087 $ (28,851 ) $ 7,073 |
Property and Depreciation (Tabl
Property and Depreciation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Depreciation | We provide for depreciation and amortization using the straight-line method over the following estimated useful asset lives: Classification Estimated Useful Asset Life Buildings 42 years Leasehold improvements Over the shorter of the asset’s life or the lease term Furniture, fixtures, equipment and software 3 to 14 years Assets held under capital leases Over the shorter of the asset’s life or the lease term |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill, included in other non-current assets in our consolidated balance sheets, for the year ended December 31, 2016 and 2015 were as follows: 2016 2015 Beginning Balance $ 13,737 $ 6,680 Goodwill Acquired 16,377 7,057 Ending Balance $ 30,114 $ 13,737 |
Schedule of Finite-Lived Intangible Assets | Other intangible assets, included in other non-current assets in our consolidated balance sheets, consist of the following: As of December 31, 2016 Weighted Average Life Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer relationships 8.5 to 10.8 years $ 17,163 $ (1,538 ) $ 15,625 Trade name 15 to 20 years 14,263 (543 ) 13,720 Non-compete agreements 3 to 5 years 281 (84 ) 197 Other intangible assets 10 years 162 (4 ) 158 Total $ 31,869 $ (2,169 ) $ 29,700 As of December 31, 2015 Weighted Average Life Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer relationships 10.8 years $ 5,970 $ (393 ) $ 5,577 Trade name 15 years 2,103 (99 ) 2,004 Non-compete agreements 5 years 210 (30 ) 180 Total $ 8,283 $ (522 ) $ 7,761 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Estimated future amortization expense related to our intangible assets for the years ending December 31 are as follows: 2017 $ 2,556 2018 2,556 2019 2,544 2020 2,503 2021 2,490 After 2021 17,051 $ 29,700 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Unrecognized Tax Benefits Roll Forward | Our uncertain tax benefits, and changes thereto, during 2016 , 2015 , and 2014 were as follows: 2016 2015 2014 Balance at January 1, $ 2,247 $ 3,104 $ 3,419 Additions based on tax positions related to current year 397 464 490 Additions based on tax positions of prior years — — — Reductions for tax positions of prior years (889 ) (252 ) (477 ) Settlements — (1,069 ) (328 ) Balance at December 31, $ 1,755 $ 2,247 $ 3,104 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation between the “statutory” federal income tax rate and the effective tax rate in the consolidated statements of income is as follows: For the Years Ended December 31, 2016 2015 2014 “Statutory” federal tax rate 35.0 % 35.0 % 35.0 % State and local income taxes, net of federal benefit 3.3 3.8 3.5 Other, net 0.9 1.2 1.8 Effective tax rate 39.2 % 40.0 % 40.3 % |
Schedule of Income before Income Tax, Domestic and Foreign | The components of income before taxes and the provision for income taxes recorded in the consolidated statements of income are as follows: For the Years Ended December 31, Components of Income before Taxes 2016 2015 2014 Domestic $ 143,567 $ 143,144 $ 136,656 Foreign 9,932 9,197 10,155 Income before taxes $ 153,499 $ 152,341 $ 146,811 |
Schedule of Components of Income Tax Expense Benefit | For the Years Ended December 31, Components of Income Tax Provision 2016 2015 2014 Current expense U.S. Federal $ 33,030 $ 46,174 $ 44,713 State 4,821 7,996 7,266 Foreign 2,795 2,666 3,058 Total current expense $ 40,646 $ 56,836 $ 55,037 Deferred expense (benefit) U.S. Federal 16,676 3,224 4,049 State 3,008 958 47 Foreign (144 ) (9 ) (8 ) Total deferred expense (benefit) $ 19,540 $ 4,173 $ 4,088 Total income tax provision $ 60,186 $ 61,009 $ 59,125 |
Schedule of Deferred Tax Assets and Liabilities | The following deferred tax assets (liabilities) were recorded at December 31: Assets (Liabilities) 2016 2015 Postretirement benefits $ 29,788 $ 29,184 Payroll accruals 2,618 2,995 Bad debt reserves 1,322 1,653 Other deferred tax assets 5,251 5,583 Pension 47,847 64,500 Inventory 11,336 7,173 Subtotal 98,162 111,088 Less: valuation allowances (136 ) (402 ) Deferred tax assets 98,026 110,686 Fixed assets (40,887 ) (40,086 ) Computer software (5,724 ) (6,412 ) Other deferred tax liabilities (3,043 ) (2,438 ) Deferred tax liabilities (49,654 ) (48,936 ) Net deferred tax assets $ 48,372 $ 61,750 Deferred income taxes included in non-current assets (liabilities) at December 31 were: 2016 2015 Deferred tax assets included in other non-current assets $ 48,666 $ 62,047 Deferred tax liabilities included in other non-current liabilities (294 ) (297 ) |
Summary of Operating Loss Carryforwards | Operating loss carryforwards included in net deferred tax assets at December 31 were: 2016 2015 Foreign net operating losses (1) $ 239 $ 349 State net operating losses (2) 529 563 (1) Expires in 2024 (2) Expire between 2020 and 2030 |
Capital Stock (Tables)
Capital Stock (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Schedule of Common Stock Shares Purchased and Retired | Shown below is a summary of shares purchased and retired by the Company during the three years ended December 31: Shares of Common Stock Purchased Retired 2016 563,590 610,626 2015 718,269 666,861 2014 752,983 780,077 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | December 31, Long-term Debt 2016 2015 1.85% note, unsecured, due in quarterly installments of $798 beginning in July 2014 $ — $ 1,586 1.43% note, unsecured, due in quarterly installments of $134 beginning in July 2014 — 267 2.03% to 30.63% capital leases, various maturities 11,426 14,977 $ 11,426 $ 16,830 Less current portion (4,155 ) (6,558 ) Long-term Debt $ 7,271 $ 10,272 |
Schedule of Long-term Debt Maturities | Long-term Debt matures as follows: 2017 $ 4,155 2018 1,672 2019 996 2020 811 2021 751 After 2021 3,041 $ 11,426 |
Pension and Other Postretirem33
Pension and Other Postretirement Benefits (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of Net Funded Status | The following table sets forth information regarding the funded status of our pension and other postretirement benefits as of December 31, 2016 and 2015 : Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Change in Benefit Obligation: Benefit obligation at beginning of period $ 634,068 $ 612,688 $ 75,937 $ 77,355 Service cost 25,369 25,607 2,288 2,505 Interest cost 28,263 25,203 3,030 2,925 Actuarial loss (gain) 35,504 21,731 889 (2,165 ) Benefits paid from plan assets (50,422 ) (48,471 ) — — Benefits paid from Company assets (1,634 ) (1,537 ) (6,958 ) (6,131 ) Plan participants' contributions — — 1,390 1,448 Administrative expenses paid (1,359 ) (1,153 ) — — Benefit Obligation at End of Period 669,789 634,068 76,576 75,937 Change in Plan Assets: Fair value of plan assets at beginning of period 447,258 470,165 — — Actual return on plan assets 31,810 (13,283 ) — — Employer contributions (1) 81,634 41,537 5,568 4,683 Plan participants' contributions — — 1,390 1,448 Benefits paid (1) (52,056 ) (50,008 ) (6,958 ) (6,131 ) Administrative expenses paid (1,359 ) (1,153 ) — — Fair Value of Plan Assets at End of Period 507,287 447,258 — — Unfunded Status $ 162,502 $ 186,810 $ 76,576 $ 75,937 (1) Includes $1,634 and $1,537 paid from our assets for unfunded nonqualified benefits in fiscal years 2016 and 2015 , respectively. |
Schedule of Amounts Recognized in Balance Sheet | Amounts recognized in the consolidated balance sheet for the years ended December 31 consist of the following: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Current accrued benefit cost $ 1,552 $ 1,599 $ 5,948 $ 5,634 Non-current accrued benefit cost 160,950 185,211 70,628 70,303 Net amount recognized $ 162,502 $ 186,810 $ 76,576 $ 75,937 |
Schedule of Amounts Recognized in Accumulated Other Comprensive Income (Loss) | Amounts recognized in accumulated other comprehensive loss for the years ended December 31, net of tax, consist of the following: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Net actuarial loss $ 177,234 $ 170,180 $ 11,093 $ 10,983 Prior service cost (gain) 457 716 (2,527 ) (3,860 ) Accumulated other comprehensive loss $ 177,691 $ 170,896 $ 8,566 $ 7,123 |
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year | Amounts estimated to be amortized from accumulated other comprehensive loss into net periodic benefit costs in 2017 , net of tax, consist of the following: Pension Benefits Postretirement Benefits Net actuarial loss $ 12,911 $ 530 Prior service cost (gain) 257 (1,332 ) Accumulated other comprehensive loss (income) $ 13,168 $ (802 ) |
Schedule of Assumptions Used | Weighted-average assumptions used to determine net periodic benefit cost for the years ended December 31 were: Pension Benefits Postretirement Benefits 2016 2015 2014 2016 2015 2014 Discount rate 4.48 % 4.08 % 4.87 % 4.09% 3.77% 4.34% Expected return on plan assets 5.75 % 6.25 % 6.25 % — — — Rate of compensation increase 4.44 % 4.47 % 4.25 % — — — Healthcare cost trend on covered charges — — — 6.5% / 5% 7% / 5% 7.5% / 5% Weighted-average assumptions used to determine the actuarial present value of the pension and postretirement benefit obligations as of December 31 are: Pension Benefits Postretirement Benefits 2016 2015 2016 2015 Discount rate 4.15 % 4.48 % 3.78% 4.09% Rate of compensation increase 4.52 % 4.44 % — — Healthcare cost trend on covered charges — — 6% / 5% 6.5% / 5% |
Schedule of Net Periodic Benefit Costs | The net periodic benefit cost for the years ended December 31, 2016 , 2015 , and 2014 included the following components: Pension Benefits Postretirement Benefits 2016 2015 2014 2016 2015 2014 Service cost $ 25,369 $ 25,607 $ 22,205 $ 2,288 $ 2,505 $ 2,454 Interest cost 28,263 25,203 26,817 3,030 2,925 3,338 Expected return on plan assets (27,016 ) (28,297 ) (26,624 ) — — — Amortization of: Net actuarial loss 19,164 20,028 17,639 709 1,044 1,267 Prior service cost (gain) 423 452 952 (2,181 ) (2,181 ) (2,181 ) Settlement loss — — 789 — — — Net periodic benefit cost $ 46,203 $ 42,993 $ 41,778 $ 3,846 $ 4,293 $ 4,878 |
Schedule of Expected Benefit Payments | Estimated future defined benefit pension and other postretirement benefit plan payments to plan participants for the years ending December 31 are as follows: Year Pension Benefits Postretirement Benefits 2017 $ 42,035 $ 6,059 2018 43,351 6,449 2019 45,689 6,711 2020 47,949 6,893 2021 46,678 6,992 After 2021 259,183 33,882 |
Schedule of Allocation of Plan Assets | Asset allocation information for the defined benefit pension plan at December 31, 2016 and 2015 is as follows: Investment 2016 Actual Allocation 2016 Target Allocation Range 2015 Actual Allocation 2015 Target Allocation Range Equity securities-U.S. 8 % 3-15% 12 % 3-15% Equity securities-International 11 % 3-15% 11 % 3-15% Fixed income investments-U.S. 62 % 35-75% 59 % 35-75% Fixed income investments-International 5 % 3-10% 6 % 3-10% Absolute return 5 % 5-15% 7 % 5-15% Real assets 3 % 3-10% 3 % 3-10% Private equity 1 % 0-3% 1 % 0-3% Short-term investments 5 % 0-3% 1 % 0-3% Total 100 % 100% 100 % 100% The following tables set forth, by level within the fair value hierarchy, the defined benefit pension plan assets measured at fair value as of December 31, 2016 and 2015 : December 31, 2016 Investment Investments Measured at NAV Level 1 Level 2 Level 3 Total Equity securities - U.S. $ 9,827 $ 30,952 $ — $ — $ 40,779 Equity securities - International — 55,619 — — 55,619 Fixed income investments - U.S. 99,383 218,712 — — 318,095 Fixed income investments - International — 27,346 — — 27,346 Absolute return 25,479 — — — 25,479 Real assets 14,852 — — 195 15,047 Private equity — — — 1,942 1,942 Short-term investments 22,980 — — — 22,980 Total $ 172,521 $ 332,629 $ — $ 2,137 $ 507,287 December 31, 2015 Investment Investments Measured at NAV Level 1 Level 2 Level 3 Total Equity securities - U.S. $ 9,206 $ 43,560 $ — $ — $ 52,766 Equity securities - International — 48,004 — — 48,004 Fixed income investments - U.S. 70,949 196,222 — — 267,171 Fixed income investments - International — 26,044 — — 26,044 Absolute return 32,383 — — — 32,383 Real assets 13,166 — — 456 13,622 Private equity — — — 2,704 2,704 Short-term investments 4,564 — — — 4,564 Total $ 130,268 $ 313,830 $ — $ 3,160 $ 447,258 |
Schedule of Changes in Fair Value of Plan Assets | The tables below set forth a summary of changes in the fair value of the defined benefit pension plan's Level 3 assets for the years ended December 31, 2016 and 2015 : December 31, 2016 Real Assets Private Equity Total Balance, beginning of year $ 456 $ 2,704 $ 3,160 Realized gains 12 181 193 Unrealized losses (19 ) (150 ) (169 ) Purchases — 121 121 Sales (254 ) (914 ) (1,168 ) Balance, end of year $ 195 $ 1,942 $ 2,137 December 31, 2015 Real Assets Private Equity Total Balance, beginning of year $ 548 $ 3,682 $ 4,230 Realized gains — 174 174 Unrealized losses (37 ) (92 ) (129 ) Purchases — 188 188 Sales (55 ) (1,248 ) (1,303 ) Balance, end of year $ 456 $ 2,704 $ 3,160 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | Future minimum rental payments required under operating leases that have either initial or remaining noncancelable lease terms in excess of one year as of December 31, 2016 are as follows: For the Years Ending December 31, Minimum Rental Payments 2017 $ 24,934 2018 19,516 2019 14,048 2020 7,298 2021 4,193 After 2021 2,608 |
Accumulated Other Comprehensi35
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive income (loss) as of December 31 are as follows: 2016 2015 Currency translation $ (10,343 ) $ (12,416 ) Pension liability (177,691 ) (170,896 ) Postretirement benefits liability (8,566 ) (7,123 ) Accumulated other comprehensive loss $ (196,600 ) $ (190,435 ) |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | The following table represents amounts reclassified from accumulated other comprehensive income (loss) for the years ended December 31, 2016 and 2015 : 2016 2015 Amortization of Pension and Other Postretirement Benefits Items Amortization of Pension and Other Postretirement Benefits Items Actuarial Losses Recognized Prior Service Costs Recognized Total Actuarial Losses Recognized Prior Service Costs Recognized Total Affected Line in Consolidated Statement of Income: Selling, general and administrative expenses $ 19,873 $ (1,758 ) $ 18,115 $ 21,072 $ (1,729 ) $ 19,343 Tax (benefit) expense (7,731 ) 684 (7,047 ) (8,197 ) 673 (7,524 ) Total reclassifications for the period, net of tax $ 12,142 $ (1,074 ) $ 11,068 $ 12,875 $ (1,056 ) $ 11,819 |
Amounts Recognized in Other Comprehensive Income (Loss) | The following table represents the activity included in accumulated other comprehensive income (loss) for the years ended December 31, 2016 and 2015 : 2016 2015 Foreign Currency Pension and Other Postretirement Benefits Total Foreign Currency Pension and Other Postretirement Benefits Total Beginning balance January 1, $ (12,416 ) $ (178,019 ) $ (190,435 ) $ 284 $ (152,477 ) $ (152,193 ) Other comprehensive income (loss) before reclassifications 2,073 — 2,073 (12,700 ) — (12,700 ) Amounts reclassified from accumulated other comprehensive income (net of tax $(7,047) and $(7,524)) — 11,068 11,068 — 11,819 11,819 Actuarial gain (loss), (net of tax $12,292 and $23,785) — (19,306 ) (19,306 ) — (37,361 ) (37,361 ) Net current-period other comprehensive (loss) income 2,073 (8,238 ) (6,165 ) (12,700 ) (25,542 ) (38,242 ) Ending balance December 31, $ (10,343 ) $ (186,257 ) $ (196,600 ) $ (12,416 ) $ (178,019 ) $ (190,435 ) |
Quarterly Financial Informati36
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information (Unaudited) | The following tables set forth selected quarterly financial data for the years ended December 31, 2016 and 2015 : 2016 For the Quarter Ended March 31, June 30, September 30, December 31, Net sales $ 1,465,480 $ 1,630,521 $ 1,689,619 $ 1,599,412 Gross margin $ 279,647 $ 305,599 $ 318,758 $ 304,374 Net income attributable to the Company $ 15,045 $ 25,635 $ 30,129 $ 22,270 Net income attributable to the Company per share of common stock (A) $ 0.87 $ 1.47 $ 1.73 $ 1.28 (A) All periods adjusted for a 5% stock dividend declared in December 2016 . Prior to these adjustments, the average common shares outstanding for the first, second, third, and fourth quarters of 2016 were 16,537,536 , 16,569,408 , 16,573,041 , and 16,558,984 , respectively. 2015 For the Quarter Ended March 31, June 30, September 30, December 31, Net sales $ 1,393,778 $ 1,570,008 $ 1,583,886 $ 1,562,627 Gross margin $ 259,026 $ 293,345 $ 302,958 $ 299,416 Net income attributable to the Company $ 12,460 $ 25,088 $ 28,311 $ 25,209 Net income attributable to the Company per share of common stock (A) $ 0.72 $ 1.46 $ 1.65 $ 1.47 (A) All periods adjusted for a 5% stock dividend declared in December 2016 and a 2.5% stock dividend declared in December 2015 . Prior to these adjustments, the average common shares outstanding for the first, second, third, and fourth quarters of 2015 were 16,023,053 , 15,986,695 , 15,942,178 , and 15,927,663 , respectively. |
Accounting Policies (Concentrat
Accounting Policies (Concentration Risk) (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Sales revenue | Services | Maximum | |
Concentration Risk [Line Items] | |
Service revenue, less than | 1.00% |
Accounting Policies (Details)
Accounting Policies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | |||
Outgoing freight expenses | $ 50,949 | $ 51,100 | $ 49,622 |
Cash Discounts And Doubtful A39
Cash Discounts And Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reserve for Cash Discount and Allowances for Doubtful Accounts | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning Balance | $ 5,879 | $ 7,073 | $ 6,837 |
Provision (Charged to Expense) | 30,446 | 28,589 | 29,087 |
Deductions | (31,300) | (29,783) | (28,851) |
Ending Balance | 5,025 | 5,879 | 7,073 |
Allowance for cash discounts | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning Balance | 1,736 | 1,764 | 1,560 |
Provision (Charged to Expense) | 28,174 | 26,044 | 25,318 |
Deductions | (28,179) | (26,072) | (25,114) |
Ending Balance | 1,731 | 1,736 | 1,764 |
Allowance for doubtful accounts | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning Balance | 4,143 | 5,309 | 5,277 |
Provision (Charged to Expense) | 2,272 | 2,545 | 3,769 |
Deductions | (3,121) | (3,711) | (3,737) |
Ending Balance | $ 3,294 | $ 4,143 | $ 5,309 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Inventory [Line Items] | |||
Percentage of LIFO Inventory | 90.00% | 93.00% | |
Excess of Replacement or Current Costs over Stated LIFO Value | $ 147,091 | $ 136,143 | |
Document Fiscal Year Focus | 2,016 | ||
Inventory, LIFO Reserve, Effect on Income, Net | $ 131 | ||
Inventory Valuation Reserves | 6,553 | 4,912 | |
Inventory Valuation Reserve | |||
Inventory [Line Items] | |||
Reserves for Obsolete Inventories, Period Increase (Decrease) | $ 1,641 | $ 495 | $ 670 |
Property and Depreciation Sched
Property and Depreciation Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 39,332 | $ 38,588 | $ 35,040 |
Disposal Group, Held-for-sale or Disposed of by Sale, Not Discontinued Operations [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Net book value of assets held for sale | 464 | 58 | |
Net book value of sold assets held for sale | 148 | 7,669 | |
Gain on sale of assets held for sale | $ 2,004 | 4,691 | |
Building | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful asset life | 42 years | ||
Furniture, Fixtures & Equipment and Software | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful asset life | 3 years | ||
Furniture, Fixtures & Equipment and Software | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful asset life | 14 years | ||
Software and Software Development Costs | |||
Property, Plant and Equipment [Line Items] | |||
Property plant and equipment additions | $ 3,542 | 4,559 | |
Assets Held under Capital Leases | |||
Property, Plant and Equipment [Line Items] | |||
Property plant and equipment additions | 427 | 7,354 | |
Capitalized Interest Costs | |||
Property, Plant and Equipment [Line Items] | |||
Interest costs capitalized | $ 0 | $ 225 | $ 102 |
Goodwill and Intangible Asset42
Goodwill and Intangible Assets Schedule of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill [Roll Forward] | ||
Beginning Balance | $ 13,737 | $ 6,680 |
Goodwill Acquired | 16,377 | 7,057 |
Ending Balance | $ 30,114 | $ 13,737 |
Goodwill and Intangible Asset43
Goodwill and Intangible Assets Schedule of Finite Lived Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 31,869 | $ 8,283 |
Accumulated Amortization | (2,169) | (522) |
Total Net Carrying Amount | 29,700 | 7,761 |
Customer Relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 17,163 | 5,970 |
Accumulated Amortization | (1,538) | (393) |
Total Net Carrying Amount | $ 15,625 | $ 5,577 |
Weighted-average useful lives (in years) | 10 years 9 months 18 days | |
Customer Relationships | Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted-average useful lives (in years) | 8 years 6 months | |
Customer Relationships | Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted-average useful lives (in years) | 10 years 9 months 18 days | |
Trade Names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 14,263 | $ 2,103 |
Accumulated Amortization | (543) | (99) |
Total Net Carrying Amount | $ 13,720 | $ 2,004 |
Weighted-average useful lives (in years) | 15 years | |
Trade Names | Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted-average useful lives (in years) | 15 years | |
Trade Names | Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted-average useful lives (in years) | 20 years | |
Noncompete Agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 281 | $ 210 |
Accumulated Amortization | (84) | (30) |
Total Net Carrying Amount | $ 197 | $ 180 |
Weighted-average useful lives (in years) | 5 years | |
Noncompete Agreements | Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted-average useful lives (in years) | 3 years | |
Noncompete Agreements | Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted-average useful lives (in years) | 5 years | |
Other Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 162 | |
Accumulated Amortization | (4) | |
Total Net Carrying Amount | $ 158 | |
Weighted-average useful lives (in years) | 10 years |
Goodwill and Intangible Asset44
Goodwill and Intangible Assets Finite Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense | $ 1,647 | $ 522 |
2,017 | 2,556 | |
2,018 | 2,556 | |
2,019 | 2,544 | |
2,020 | 2,503 | |
2,021 | 2,490 | |
After 2,021 | 17,051 | |
Total Net Carrying Amount | $ 29,700 | $ 7,761 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits | $ 1,755 | $ 2,247 | $ 3,104 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at January 1: | 2,247 | 3,104 | 3,419 |
Additions based on tax positions related to current year | 397 | 464 | 490 |
Additions based on tax positions of prior years | 0 | 0 | 0 |
Reductions for tax positions of prior years | (889) | (252) | (477) |
Settlements | 0 | (1,069) | (328) |
Balance at December 31: | 1,755 | 2,247 | $ 3,104 |
Accrued interest and penalties | $ 650 | $ 907 | |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | |||
Statutory federal tax rate | 35.00% | 35.00% | 35.00% |
State and local income taxes, net of federal benefit | 3.30% | 3.80% | 3.50% |
Other, net | 0.90% | 1.20% | 1.80% |
Effective tax rate | 39.20% | 40.00% | 40.30% |
Income (Loss) from Continuing Operations before Income Taxes, Extraordinary Items, Noncontrolling Interest [Abstract] | |||
Income before Income Taxes, Domestic | $ 143,567 | $ 143,144 | $ 136,656 |
Income before Income Taxes, Foreign | 9,932 | 9,197 | 10,155 |
Income before Provision for Income Taxes | 153,499 | 152,341 | 146,811 |
Provisions for Income Taxes Recorded in the Consolidated Statements of Income [Abstract] | |||
U.S. Federal, current expense | 33,030 | 46,174 | 44,713 |
State, current expense | 4,821 | 7,996 | 7,266 |
Foreign, current expense | 2,795 | 2,666 | 3,058 |
Total current expense | 40,646 | 56,836 | 55,037 |
U.S. Federal, deferred expense | 16,676 | 3,224 | 4,049 |
State, deferred expense | 3,008 | 958 | 47 |
Foreign, deferred expense | (144) | (9) | (8) |
Total deferred (benefit) expense | 19,540 | 4,173 | 4,088 |
Total income tax provision | 60,186 | 61,009 | 59,125 |
Components of Deferred Tax Assets and Liabilities [Abstract] | |||
Postretirement benefits | 29,788 | 29,184 | |
Payroll accruals | 2,618 | 2,995 | |
Bad debt reserves | 1,322 | 1,653 | |
Other deferred tax assets | 5,251 | 5,583 | |
Pension | 47,847 | 64,500 | |
Inventory | 11,336 | 7,173 | |
Subtotal | 98,162 | 111,088 | |
less: valuation allowances | (136) | (402) | |
Deferred tax assets | 98,026 | 110,686 | |
Fixed assets | (40,887) | (40,086) | |
Computer software | (5,724) | (6,412) | |
Other deferred tax liabilities | (3,043) | (2,438) | |
Deferred tax liabilities | (49,654) | (48,936) | |
Net deferred tax assets | 48,372 | 61,750 | |
Deferred Tax Assets, Net, Classification [Abstract] | |||
Deferred tax assets, included in other non-current assets | 48,666 | 62,047 | |
Deferred tax liabilities included in other current liabilities | (294) | (297) | |
Deferred Tax Assets, Operating Loss Carryforwards, Components [Abstract] | |||
Foreign net operating losses | 239 | 349 | |
State net operating losses | 529 | 563 | |
Deferred Tax Assets, Net, Noncurrent | 2,777 | ||
Deferred Tax Liabilities, Net, Noncurrent | $ 365 | ||
Undistributed earnings of non-U.S. subsidiaries | $ 78,767 | $ 72,488 |
Income Taxes Income Tax Examina
Income Taxes Income Tax Examination (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2014USD ($) | |
Domestic Tax Authority | Internal Revenue Service (IRS) | |
Income Tax Examination [Line Items] | |
Settled assessments | $ 907 |
Capital Stock Par Value of Stoc
Capital Stock Par Value of Stock (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2015$ / sharesshares | Dec. 31, 2014shares | Mar. 03, 2017shares | Jun. 10, 2004$ / sharesshares | |
Class of Stock [Line Items] | |||||
Stockholders' Equity Note, Percent of Entity Owned by Current and Retired Employees | 100.00% | ||||
Common Stock, Shares, Issued, Voting Trustees | 14,606,830 | 13,668,055 | |||
Common stock stated value per share (USD per share) | $ / shares | $ 20 | $ 20 | |||
Common stock, subscriptions ( in shares) | 896,456 | ||||
Common shares subscribed (in dollars) | $ | $ 17,929 | ||||
Treasury Stock Transactions, Excluding Value of Shares Reissued [Abstract] | |||||
Shares of common stock purchased | 563,590 | 718,269 | 752,983 | ||
Shares of common stock retired | 610,626 | 666,861 | 780,077 | ||
Preferred stock shares authorized | 10,000,000 | ||||
Preferred stock par or stated value per share (USD per share) | $ / shares | $ 0.01 | ||||
Preferred stock outstanding (in shares) | 0 | 0 | |||
Common stock dividend declared, percent | 5.00% | 2.50% | 0.00% | ||
2007 Voting Trust | Common Stock | |||||
Class of Stock [Line Items] | |||||
Percentage Ownership in Voting Trust | 84.00% | ||||
Subsequent Event | 2017 Voting Trust | |||||
Class of Stock [Line Items] | |||||
Number of Shareholders In Voting Trust | 4,661 | ||||
Common Stock, Shares, Issued, Voting Trustees | 14,011,446 | ||||
Subsequent Event | 2017 Voting Trust | Common Stock | |||||
Class of Stock [Line Items] | |||||
Percentage Ownership in Voting Trust | 80.00% |
Net Income Per Share of Commo48
Net Income Per Share of Common Stock (Details) - shares | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | |||||||||||
Common stock dividend declared, percent | 5.00% | 2.50% | 0.00% | ||||||||
Average shares outstanding | 16,558,984 | 16,573,041 | 16,569,408 | 16,537,536 | 15,927,663 | 15,942,178 | 15,986,695 | 16,023,053 | 17,385,952 | 17,182,663 | 17,056,076 |
Debt Long-Term Debt (Details)
Debt Long-Term Debt (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | ||
Total Long-Term Debt and Capital Lease Obligations | $ 11,426 | $ 16,830 |
Less current portion | (4,155) | (6,558) |
Long-term Debt | 7,271 | 10,272 |
Long-term Debt, Fiscal Year Maturity [Abstract] | ||
2,017 | 4,155 | |
2,018 | 1,672 | |
2,019 | 996 | |
2,020 | 811 | |
2,021 | 751 | |
After 2,021 | $ 3,041 | |
1.85% Note | Unsecured Debt | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.85% | |
Debt Instrument, Periodic Payment | $ 798 | |
Total Long-Term Debt and Capital Lease Obligations | $ 0 | 1,586 |
1.43% Note | Unsecured Debt | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 1.43% | |
Debt Instrument, Periodic Payment | $ 134 | |
Total Long-Term Debt and Capital Lease Obligations | 0 | 267 |
2.03% to 30.63% capital leases, secured by equipment, various maturities | Capital Lease Obligations | ||
Debt Instrument [Line Items] | ||
Total Long-Term Debt and Capital Lease Obligations | $ 11,426 | $ 14,977 |
Credit Agreement (Details)
Credit Agreement (Details) - USD ($) | Jun. 06, 2014 | Dec. 31, 2016 | Dec. 31, 2015 |
Line of Credit Facility [Line Items] | |||
Fixed rate debt carrying amount in excess of fair value | $ 984,000 | $ 1,243,000 | |
Remaining borrowing capacity | $ 409,535,000 | $ 445,022,000 | |
Credit agreement commitment fee percentage | 0.40% | 0.40% | |
Line of credit | Credit Agreement | Revolving Credit Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 550,000,000 | ||
Debt Instrument, Term | 5 years | ||
Line of credit | Amended Credit Agreement | Minimum | Eurodollar | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1.00% | ||
Line of credit | Amended Credit Agreement | Maximum | Eurodollar | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 1.60% | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | |||
Line of Credit Facility [Line Items] | |||
Accordion feature, higher borrowing capacity option | $ 300,000,000 | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | Base Rate | |||
Line of Credit Facility [Line Items] | |||
Description of variable rate basis | base rate loans | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | Eurodollar | |||
Line of Credit Facility [Line Items] | |||
Description of variable rate basis | Eurodollar rate | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | Minimum | |||
Line of Credit Facility [Line Items] | |||
Credit agreement commitment fee percentage | 0.25% | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | Minimum | Base Rate | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.00% | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | Maximum | |||
Line of Credit Facility [Line Items] | |||
Credit agreement commitment fee percentage | 0.40% | ||
Line of credit | Amended Credit Agreement | Revolving Credit Facility | Maximum | Base Rate | |||
Line of Credit Facility [Line Items] | |||
Basis spread on variable rate | 0.60% | ||
Line of credit | Amended Credit Agreement | Letter of Credit Sub-Facility | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 50,000,000 | ||
Line of credit | Amended Credit Agreement | Bridge Loan | Graybar Canada | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | 100,000,000 | ||
Line of credit | Amended Credit Agreement | Bridge Loan | UNITED STATES | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | 50,000,000 | ||
Line of credit | Amended Credit Agreement | Bridge Loan | CANADA | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity | $ 20,000,000 | ||
Line of credit | Amended Credit Agreement | Letter of Credit | Minimum | |||
Line of Credit Facility [Line Items] | |||
Credit agreement commitment fee percentage | 1.00% | ||
Line of credit | Amended Credit Agreement | Letter of Credit | Maximum | |||
Line of Credit Facility [Line Items] | |||
Credit agreement commitment fee percentage | 1.60% | ||
Letter of Credit | |||
Line of Credit Facility [Line Items] | |||
Letters of credit outstanding | $ 5,244,000 | $ 4,994,000 | |
Letter of Credit | Revolving Credit Facility | |||
Line of Credit Facility [Line Items] | |||
Letters of credit outstanding | $ 0 | $ 0 |
Debt Short-Term Borrowings (Det
Debt Short-Term Borrowings (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Line of Credit Facility [Line Items] | ||
Short-term borrowings | $ 140,465 | $ 104,978 |
Short-term debt average amount outstanding | $ 185,000 | 119,000 |
Weighted average interest rate | 1.83% | |
Revolving Credit Facility | ||
Line of Credit Facility [Line Items] | ||
Short-term borrowings | $ 104,978 | |
Interest rate during the period | 1.52% | 1.31% |
Minimum | ||
Line of Credit Facility [Line Items] | ||
Short-term borrowings | $ 105,014 | $ 35,981 |
Maximum | ||
Line of Credit Facility [Line Items] | ||
Short-term borrowings | $ 311,506 | $ 184,188 |
Debt Private Placement Shelf Ag
Debt Private Placement Shelf Agreement (Details) - Maximum - Senior Notes - USD ($) $ in Thousands | Sep. 22, 2016 | Sep. 22, 2014 |
Prudential Private Placement Shelf Agreement | ||
Debt Instrument [Line Items] | ||
Agreement face amount | $ 100,000 | |
Debt Instrument, Term | 12 years | |
MetLife Private Placement Shelf Agreement | ||
Debt Instrument [Line Items] | ||
Agreement face amount | $ 100,000 | |
Debt Instrument, Term | 12 years |
Pension and Other Postretirem53
Pension and Other Postretirement Benefits Benefit Obligation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Award vesting period | 3 years | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 447,258 | ||
Balance, end of year | 507,287 | $ 447,258 | |
Paid from Company assets for unfunded nonqualified benefits | 1,634 | 1,537 | |
Pension Benefits | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation, beginning of period | 634,068 | 612,688 | |
Service cost | 25,369 | 25,607 | $ 22,205 |
Interest cost | 28,263 | 25,203 | 26,817 |
Actuarial loss (gain) | 35,504 | 21,731 | |
Benefits paid from plan assets | (50,422) | (48,471) | |
Benefits paid from Company assets | (1,634) | (1,537) | |
Plan participants' contributions | 0 | 0 | |
Administrative expenses paid | (1,359) | (1,153) | |
Benefit obligation, end of period | 669,789 | 634,068 | 612,688 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 447,258 | 470,165 | |
Actual return on plan assets | 31,810 | (13,283) | |
Employer contributions | 81,634 | 41,537 | |
Plan participants' contributions | 0 | 0 | |
Benefits paid | (52,056) | (50,008) | |
Administrative expenses paid | (1,359) | (1,153) | |
Balance, end of year | 507,287 | 447,258 | 470,165 |
Unfunded status | 162,502 | 186,810 | |
Accumulated benefit obligation | 592,810 | 551,662 | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities [Abstract] | |||
Current accrued benefit cost | 1,552 | 1,599 | |
Non-current accrued benefit cost | 160,950 | 185,211 | |
Net amount recognized | 162,502 | 186,810 | |
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), after Tax [Abstract] | |||
Net actuarial loss | 177,234 | 170,180 | |
Prior service cost (gain) | 457 | 716 | |
Accumulated other comprehensive loss | 177,691 | $ 170,896 | |
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract] | |||
Net actuarial loss | 12,911 | ||
Prior service cost (gain) | 257 | ||
Accumulated other comprehensive loss | $ 13,168 | ||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 4.15% | 4.48% | |
Rate of compensation increase | 4.52% | 4.44% | |
Postretirement Benefits | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation, beginning of period | $ 75,937 | $ 77,355 | |
Service cost | 2,288 | 2,505 | 2,454 |
Interest cost | 3,030 | 2,925 | 3,338 |
Actuarial loss (gain) | 889 | (2,165) | |
Benefits paid from plan assets | 0 | 0 | |
Benefits paid from Company assets | (6,958) | (6,131) | |
Plan participants' contributions | 1,390 | 1,448 | |
Administrative expenses paid | 0 | 0 | |
Benefit obligation, end of period | 76,576 | 75,937 | 77,355 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Employer contributions | 5,568 | 4,683 | |
Plan participants' contributions | 1,390 | 1,448 | |
Benefits paid | (6,958) | (6,131) | |
Administrative expenses paid | 0 | 0 | |
Balance, end of year | 0 | 0 | $ 0 |
Unfunded status | 76,576 | 75,937 | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities [Abstract] | |||
Current accrued benefit cost | 5,948 | 5,634 | |
Non-current accrued benefit cost | 70,628 | 70,303 | |
Net amount recognized | 76,576 | 75,937 | |
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), after Tax [Abstract] | |||
Net actuarial loss | 11,093 | 10,983 | |
Prior service cost (gain) | (2,527) | (3,860) | |
Accumulated other comprehensive loss | 8,566 | $ 7,123 | |
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract] | |||
Net actuarial loss | 530 | ||
Prior service cost (gain) | (1,332) | ||
Accumulated other comprehensive loss | $ (802) | ||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 3.78% | 4.09% | |
Rate of compensation increase | 0.00% | 0.00% | |
Health care cost trend rate, actuarial present value | 6.00% | 6.50% | |
Ultimate health care cost trend rate, actuarial present value | 5.00% | 5.00% | |
Health care cost trend rate, net periodic benefit cost | 6.50% | 7.00% | 7.50% |
Ultimate health care cost trend rate, net periodic benefit cost | 5.00% | 5.00% | 5.00% |
Year that rate reaches ultimate trend rate | 2,019 |
Pension and Other Postretirem54
Pension and Other Postretirement Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 172,521 | $ 130,268 | |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Health care cost trend rate assumed for next fiscal year | 6.50% | ||
Ultimate health care cost trend rate | 5.00% | ||
Estimated nonqualified benefits in next fiscal year | $ 1,589 | ||
Estimated future employer contributions in next fiscal year | $ 60,000 | ||
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 100.00% | 100.00% | |
Target allocation range, maximum | 100.00% | 100.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 447,258 | ||
Balance, end of year | 507,287 | $ 447,258 | |
Equity Securities - U.S. | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 9,827 | $ 9,206 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 8.00% | 12.00% | |
Target allocation range, minimum | 3.00% | 3.00% | |
Target allocation range, maximum | 15.00% | 15.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 52,766 | ||
Balance, end of year | 40,779 | $ 52,766 | |
Equity Securities - International | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 0 | $ 0 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 11.00% | 11.00% | |
Target allocation range, minimum | 3.00% | 3.00% | |
Target allocation range, maximum | 15.00% | 15.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 48,004 | ||
Balance, end of year | 55,619 | $ 48,004 | |
Fixed Income Investments - U.S. | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 99,383 | $ 70,949 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 62.00% | 59.00% | |
Target allocation range, minimum | 35.00% | 35.00% | |
Target allocation range, maximum | 75.00% | 75.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 267,171 | ||
Balance, end of year | 318,095 | $ 267,171 | |
Fixed Income Investments - International | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 0 | $ 0 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 5.00% | 6.00% | |
Target allocation range, minimum | 3.00% | 3.00% | |
Target allocation range, maximum | 10.00% | 10.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 26,044 | ||
Balance, end of year | 27,346 | $ 26,044 | |
Absolute Return | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 25,479 | $ 32,383 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 5.00% | 7.00% | |
Target allocation range, minimum | 5.00% | 5.00% | |
Target allocation range, maximum | 15.00% | 15.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 32,383 | ||
Balance, end of year | 25,479 | $ 32,383 | |
Real assets | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 14,852 | $ 13,166 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 3.00% | 3.00% | |
Target allocation range, minimum | 3.00% | 3.00% | |
Target allocation range, maximum | 10.00% | 10.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 13,622 | ||
Balance, end of year | 15,047 | $ 13,622 | |
Private equity | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 0 | $ 0 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 1.00% | 1.00% | |
Target allocation range, minimum | 0.00% | 0.00% | |
Target allocation range, maximum | 3.00% | 3.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 2,704 | ||
Balance, end of year | 1,942 | $ 2,704 | |
Short-term Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined benefit plan fair value of plan assets measured at net asset value | $ 22,980 | $ 4,564 | |
Defined Benefit Plan, Assets, Target Allocations [Abstract] | |||
Actual Allocation | 5.00% | 1.00% | |
Target allocation range, minimum | 0.00% | 0.00% | |
Target allocation range, maximum | 3.00% | 3.00% | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | $ 4,564 | ||
Balance, end of year | 22,980 | $ 4,564 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 313,830 | ||
Balance, end of year | 332,629 | 313,830 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Equity Securities - U.S. | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 43,560 | ||
Balance, end of year | 30,952 | 43,560 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Equity Securities - International | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 48,004 | ||
Balance, end of year | 55,619 | 48,004 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Fixed Income Investments - U.S. | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 196,222 | ||
Balance, end of year | 218,712 | 196,222 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Fixed Income Investments - International | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 26,044 | ||
Balance, end of year | 27,346 | 26,044 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Absolute Return | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Real assets | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Private equity | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Quoted Prices in Active Markets for Identical Inputs (Level 1) | Short-term Investments | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Equity Securities - U.S. | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Equity Securities - International | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Fixed Income Investments - U.S. | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Fixed Income Investments - International | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Absolute Return | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Real assets | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Private equity | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Short-term Investments | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 3,160 | ||
Balance, end of year | 2,137 | 3,160 | |
Significant Unobservable Inputs (Level 3) | Equity Securities - U.S. | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Equity Securities - International | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Fixed Income Investments - U.S. | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Fixed Income Investments - International | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Absolute Return | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Real assets | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 456 | ||
Balance, end of year | 195 | 456 | |
Significant Unobservable Inputs (Level 3) | Private equity | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 2,704 | ||
Balance, end of year | 1,942 | 2,704 | |
Significant Unobservable Inputs (Level 3) | Short-term Investments | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | ||
Balance, end of year | 0 | 0 | |
Pension Benefits | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Service cost | 25,369 | 25,607 | $ 22,205 |
Interest cost | 28,263 | 25,203 | 26,817 |
Expected return on plan assets | (27,016) | (28,297) | (26,624) |
Net actuarial loss | 19,164 | 20,028 | 17,639 |
Prior service cost (gain) | 423 | 452 | 952 |
Settlement loss | 0 | 0 | 789 |
Net periodic benefit cost | $ 46,203 | $ 42,993 | $ 41,778 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 4.48% | 4.08% | 4.87% |
Expected return on plan assets | 5.75% | 6.25% | 6.25% |
Rate of compensation increase | 4.44% | 4.47% | 4.25% |
Defined Benefit Plan, Expected Future Benefit Payments, Fiscal Year Maturity [Abstract] | |||
2,017 | $ 42,035 | ||
2,018 | 43,351 | ||
2,019 | 45,689 | ||
2,020 | 47,949 | ||
2,021 | 46,678 | ||
After 2,021 | 259,183 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 447,258 | $ 470,165 | |
Realized gains/(losses) | 31,810 | (13,283) | |
Balance, end of year | 507,287 | 447,258 | $ 470,165 |
Pension Benefits | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 3,160 | 4,230 | |
Realized gains/(losses) | 193 | 174 | |
Unrealized gains/(losses) | (169) | (129) | |
Purchases | 121 | 188 | |
Sales | (1,168) | (1,303) | |
Balance, end of year | 2,137 | 3,160 | 4,230 |
Pension Benefits | Significant Unobservable Inputs (Level 3) | Real assets | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 456 | 548 | |
Realized gains/(losses) | 12 | 0 | |
Unrealized gains/(losses) | (19) | (37) | |
Purchases | 0 | 0 | |
Sales | (254) | (55) | |
Balance, end of year | 195 | 456 | 548 |
Pension Benefits | Significant Unobservable Inputs (Level 3) | Private equity | |||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 2,704 | 3,682 | |
Realized gains/(losses) | 181 | 174 | |
Unrealized gains/(losses) | (150) | (92) | |
Purchases | 121 | 188 | |
Sales | (914) | (1,248) | |
Balance, end of year | 1,942 | 2,704 | 3,682 |
Other Postretirement Benefit Plans, Defined Benefit | |||
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | |||
Service cost | 2,288 | 2,505 | 2,454 |
Interest cost | 3,030 | 2,925 | 3,338 |
Expected return on plan assets | 0 | 0 | 0 |
Net actuarial loss | 709 | 1,044 | 1,267 |
Prior service cost (gain) | (2,181) | (2,181) | (2,181) |
Settlement loss | 0 | 0 | 0 |
Net periodic benefit cost | $ 3,846 | $ 4,293 | $ 4,878 |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 4.09% | 3.77% | 4.34% |
Expected return on plan assets | 0.00% | 0.00% | 0.00% |
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Health care cost trend rate assumed for next fiscal year | 6.00% | ||
Ultimate health care cost trend rate | 5.00% | ||
Year that rate reaches ultimate trend rate | 2,019 | ||
Defined Benefit Plan, Expected Future Benefit Payments, Fiscal Year Maturity [Abstract] | |||
2,017 | $ 6,059 | ||
2,018 | 6,449 | ||
2,019 | 6,711 | ||
2,020 | 6,893 | ||
2,021 | 6,992 | ||
After 2,021 | 33,882 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Balance, beginning of year | 0 | $ 0 | |
Realized gains/(losses) | 0 | 0 | |
Balance, end of year | $ 0 | $ 0 | $ 0 |
Profit Sharing and Savings Pl55
Profit Sharing and Savings Plan (Details) - Profit Sharing and Savings Plan - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Employer Matching Contribution | $ 363 | ||
Discretionary Employer Contribution | $ 41,365 | $ 40,020 | $ 56,709 |
Commitments and Contingencies56
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Rent expense | $ 25,133 | $ 22,685 | $ 21,891 |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||
2,017 | 24,934 | ||
2,018 | 19,516 | ||
2,019 | 14,048 | ||
2,020 | 7,298 | ||
2,021 | 4,193 | ||
After 2,021 | $ 2,608 |
Accumulated Other Comprehensi57
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Loss | $ (196,600) | $ (190,435) | $ (152,193) |
Currency translation | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Loss | (10,343) | (12,416) | 284 |
Pension and Other Postretirement Benefits | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Loss | (186,257) | (178,019) | $ (152,477) |
Pension Liability | Pension and Other Postretirement Benefits | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Loss | (177,691) | (170,896) | |
Postretirement Benefits | Pension and Other Postretirement Benefits | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Loss | $ (8,566) | $ (7,123) |
Accumulated Other Comprehensi58
Accumulated Other Comprehensive Income (Loss) Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Selling, general and administrative expenses | $ 1,008,744 | $ 965,134 | $ 935,132 |
Tax (benefit) expense | 60,186 | 61,009 | 59,125 |
Total reclassifications for the period, net of tax | (93,313) | (91,332) | $ (87,686) |
Reclassification out of AOCI | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Selling, general and administrative expenses | 18,115 | 19,343 | |
Tax (benefit) expense | (7,047) | (7,524) | |
Total reclassifications for the period, net of tax | 11,068 | 11,819 | |
Reclassification out of AOCI | Actuarial Losses Recognized | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Selling, general and administrative expenses | 19,873 | 21,072 | |
Tax (benefit) expense | (7,731) | (8,197) | |
Total reclassifications for the period, net of tax | 12,142 | 12,875 | |
Reclassification out of AOCI | Prior Service Costs Recognized | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Selling, general and administrative expenses | (1,758) | (1,729) | |
Tax (benefit) expense | 684 | 673 | |
Total reclassifications for the period, net of tax | $ (1,074) | $ (1,056) |
Accumulated Other Comprehensi59
Accumulated Other Comprehensive Income (Loss) Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning Balance January 1, | $ (190,435) | $ (152,193) |
Other comprehensive income (loss) before reclassifications | 2,073 | (12,700) |
Amounts reclassified from accumulated other comprehensive income (net of tax $(7,047) and $(7,524)) | 11,068 | 11,819 |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Tax | (7,047) | (7,524) |
Actuarial gain (loss), (net of tax $12,292 and $23,785) | (19,306) | (37,361) |
Net Unamortized Gain (Loss) Arising During Period, Tax | 12,292 | 23,785 |
Net current-period other comprehensive (loss) income | (6,165) | (38,242) |
Ending Balance December 31, | (196,600) | (190,435) |
Foreign Currency | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning Balance January 1, | (12,416) | 284 |
Other comprehensive income (loss) before reclassifications | 2,073 | (12,700) |
Amounts reclassified from accumulated other comprehensive income (net of tax $(7,047) and $(7,524)) | 0 | 0 |
Actuarial gain (loss), (net of tax $12,292 and $23,785) | 0 | 0 |
Net current-period other comprehensive (loss) income | 2,073 | (12,700) |
Ending Balance December 31, | (10,343) | (12,416) |
Pension and Other Postretirement Benefits | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning Balance January 1, | (178,019) | (152,477) |
Other comprehensive income (loss) before reclassifications | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (net of tax $(7,047) and $(7,524)) | 11,068 | 11,819 |
Actuarial gain (loss), (net of tax $12,292 and $23,785) | (19,306) | (37,361) |
Net current-period other comprehensive (loss) income | (8,238) | (25,542) |
Ending Balance December 31, | $ (186,257) | $ (178,019) |
Acquisitions (Details)
Acquisitions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Business Acquisition [Line Items] | |||
Acquisition of Business, Net of Cash Acquired | $ (59,946) | $ (18,093) | $ 0 |
Goodwill | 30,114 | 13,737 | $ 6,680 |
Cape Electrical Supply | |||
Business Acquisition [Line Items] | |||
Acquisition of Business, Net of Cash Acquired | (59,946) | ||
Goodwill | 16,377 | ||
Other Intangible Assets | $ 23,586 | ||
Advantage Industrial Automation | |||
Business Acquisition [Line Items] | |||
Acquisition of Business, Net of Cash Acquired | (18,093) | ||
Goodwill | 7,057 | ||
Other Intangible Assets | $ 8,283 |
Quarterly Financial Informati61
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $ 1,599,412 | $ 1,689,619 | $ 1,630,521 | $ 1,465,480 | $ 1,562,627 | $ 1,583,886 | $ 1,570,008 | $ 1,393,778 | $ 6,385,032 | $ 6,110,299 | $ 5,978,861 |
Gross margin | 304,374 | 318,758 | 305,599 | 279,647 | 299,416 | 302,958 | 293,345 | 259,026 | 1,208,378 | 1,154,745 | 1,118,547 |
Net income attributable to the Company | $ 22,270 | $ 30,129 | $ 25,635 | $ 15,045 | $ 25,209 | $ 28,311 | $ 25,088 | $ 12,460 | $ 93,079 | $ 91,068 | $ 87,428 |
Net income attributable to the Company per share of common stock (usd per share) | $ 1.28 | $ 1.73 | $ 1.47 | $ 0.87 | $ 1.47 | $ 1.65 | $ 1.46 | $ 0.72 | $ 5.35 | $ 5.30 | $ 5.13 |
Common stock dividend declared, percent | 5.00% | 2.50% | 0.00% | ||||||||
Average common shares outstanding by quarter | 16,558,984 | 16,573,041 | 16,569,408 | 16,537,536 | 15,927,663 | 15,942,178 | 15,986,695 | 16,023,053 | 17,385,952 | 17,182,663 | 17,056,076 |