Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 26, 2023 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 1-14829 | |
Entity Registrant Name | Molson Coors Beverage Company | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 84-0178360 | |
Entity Address, Address Line One | P.O. Box 4030, BC555 | |
Entity Address, City or Town | Golden | |
Entity Address, State or Province | CO | |
Entity Address, Country | US | |
Entity Address, Postal Zip Code | 80401 | |
City Area Code | 303 | |
Local Phone Number | 279-6565 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0000024545 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 | |
Amendment Flag | false | |
Common Class A | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 2,600,910 | |
Common Class B | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 200,955,118 | |
NEW YORK STOCK EXCHANGE | Common Class A | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, $0.01 par value | |
Trading Symbol | TAP.A | |
Security Exchange Name | NYSE | |
NEW YORK STOCK EXCHANGE | Common Class B | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Class B Common Stock, $0.01 par value | |
Trading Symbol | TAP | |
Security Exchange Name | NYSE | |
1.25% Senior Notes due 2024 | NEW YORK STOCK EXCHANGE | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 1.25% Senior Notes due 2024 | |
Trading Symbol | TAP 24 | |
Security Exchange Name | NYSE | |
CANADA | ||
Entity Information [Line Items] | ||
Entity Address, City or Town | Montréal | |
Entity Address, State or Province | QC | |
Entity Address, Country | CA | |
Entity Address, Address Line Two | 111 Boulevard Robert-Bourassa, 9th Floor, | |
Entity Address, Postal Zip Code | H3C 2M1 | |
City Area Code | 514 | |
Local Phone Number | 521-1786 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||||
Sales | $ 3,905.6 | $ 3,517.4 | $ 10,551.5 | $ 9,662.1 |
Excise taxes | (607.2) | (582.2) | (1,640.2) | (1,590.6) |
Net sales | 3,298.4 | 2,935.2 | 8,911.3 | 8,071.5 |
Cost of goods sold | (1,952.2) | (1,951.5) | (5,575.5) | (5,340) |
Gross profit | 1,346.2 | 983.7 | 3,335.8 | 2,731.5 |
Marketing, general and administrative expenses | (746.8) | (660) | (2,096.7) | (2,043.3) |
Other operating income (expense), net | (12.7) | 5.3 | (13) | (22.9) |
Equity income (loss) | 5.5 | 1.1 | 12.8 | 3.7 |
Operating income (loss) | 592.2 | 330.1 | 1,238.9 | 669 |
Interest income (expense), net | (48.8) | (58.7) | (162.5) | (188.6) |
Other pension and postretirement benefits (costs), net | 2.5 | 14.8 | 7.7 | 35.7 |
Other non-operating income (expense), net | (1.9) | (13.2) | 2.9 | (14.5) |
Income (loss) before income taxes | 544 | 273 | 1,087 | 501.6 |
Income tax benefit (expense) | (112.4) | (54.9) | (236.1) | (98.3) |
Net income (loss) | 431.6 | 218.1 | 850.9 | 403.3 |
Net (income) loss attributable to noncontrolling interests | (0.9) | (1.7) | (5.3) | 11.9 |
Net income (loss) attributable to Molson Coors Beverage Company | $ 430.7 | $ 216.4 | $ 845.6 | $ 415.2 |
Net income (loss) attributable to Molson Coors Beverage Company per share | ||||
Basic (in dollars per share) | $ 1.99 | $ 1 | $ 3.91 | $ 1.91 |
Diluted (in dollars per share) | $ 1.98 | $ 0.99 | $ 3.89 | $ 1.91 |
Weighted-average shares outstanding | ||||
Basic (in shares) | 216.1 | 216.8 | 216.3 | 217 |
Dilutive effect of share-based awards (in shares) | 1.5 | 0.8 | 1.3 | 0.7 |
Diluted (in shares) | 217.6 | 217.6 | 217.6 | 217.7 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net income (loss) including noncontrolling interests | $ 431.6 | $ 218.1 | $ 850.9 | $ 403.3 |
Other comprehensive income (loss), net of tax | ||||
Foreign currency translation adjustments | (152.6) | (317.2) | (25.1) | (536.3) |
Reclassification of cumulative translation adjustment | (0.7) | 0 | (0.7) | 12.1 |
Unrealized gain (loss) on derivative instruments | 50 | 29.7 | 38.5 | 154.1 |
Reclassification of derivative (gain) loss to income (loss) | 0 | 0.6 | 1 | 9.7 |
Net change in pension and other postretirement benefit assets and liabilities | 0 | (43.9) | 0 | (43.9) |
Pension and other postretirement prior service (benefit) cost and net actuarial (gain) loss amortization and settlements to income (loss) | (2.8) | (5) | (8.5) | (6.8) |
Ownership share of unconsolidated subsidiaries' other comprehensive income (loss) | 0.2 | 0.3 | 1.8 | 10.6 |
Total other comprehensive income (loss), net of tax | (105.9) | (335.5) | 7 | (400.5) |
Comprehensive income (loss) | 325.7 | (117.4) | 857.9 | 2.8 |
Comprehensive (income) loss attributable to noncontrolling interests | (0.2) | 0.3 | (5.4) | 15.9 |
Comprehensive income (loss) attributable to Molson Coors Beverage Company | $ 325.5 | $ (117.1) | $ 852.5 | $ 18.7 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 801.7 | $ 600 |
Trade receivables, less allowance for doubtful accounts of $12.2 and $13.2, respectively | 918.7 | 739.8 |
Other receivables, net | 161.7 | 126.4 |
Inventories, net | 852.6 | 792.9 |
Other current assets, net | 353.1 | 378.9 |
Total current assets | 3,087.8 | 2,638 |
Properties, net | 4,268.2 | 4,222.8 |
Goodwill | 5,320.8 | 5,291.9 |
Other intangibles, net | 12,712.2 | 12,800.1 |
Other assets | 1,179.4 | 915.5 |
Total assets | 26,568.4 | 25,868.3 |
Current liabilities | ||
Accounts payable and other current liabilities | 3,358.9 | 2,978.3 |
Current portion of long-term debt and short-term borrowings | 878.8 | 397.1 |
Total current liabilities | 4,237.7 | 3,375.4 |
Long-term debt | 5,301.1 | 6,165.2 |
Pension and postretirement benefits | 463 | 473.3 |
Deferred tax liabilities | 2,706.8 | 2,646.4 |
Other liabilities | 371.8 | 292.8 |
Total liabilities | 13,080.4 | 12,953.1 |
Commitments and contingencies (Note 10) | ||
Redeemable noncontrolling interest | 28.2 | 0 |
Capital stock | ||
Preferred stock, $0.01 par value (authorized: 25.0 shares; none issued) | 0 | 0 |
Paid-in capital | 7,099.8 | 7,006.4 |
Retained earnings | 7,470 | 6,894.1 |
Accumulated other comprehensive income (loss) | (1,198.6) | (1,205.5) |
Class B common stock held in treasury at cost (11.4 shares and 10.5 shares, respectively) | (584.1) | (522.9) |
Total Molson Coors Beverage Company stockholders' equity | 13,246 | 12,689.7 |
Noncontrolling interests | 213.8 | 225.5 |
Total equity | 13,459.8 | 12,915.2 |
Total liabilities and equity | 26,568.4 | 25,868.3 |
Common Class A | ||
Capital stock | ||
Common stock issued | 0 | 0 |
Common Class B | ||
Capital stock | ||
Common stock issued | 2.1 | 2.1 |
Exchangeable Class A | ||
Capital stock | ||
Exchangeable shares issued | 100.8 | 102.2 |
Exchangeable Class B | ||
Capital stock | ||
Exchangeable shares issued | $ 356 | $ 413.3 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (PARENTHETICAL) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Allowance for doubtful accounts | $ 12.2 | $ 13.2 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 25,000,000 | 25,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Treasury stock, shares (in shares) | 11,400,000 | 10,500,000 |
Common Class A | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, shares issued (in shares) | 2,600,000 | 2,600,000 |
Common stock, shares outstanding (in shares) | 2,600,000 | 2,600,000 |
Common Class B | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, shares issued (in shares) | 212,400,000 | 210,500,000 |
Common stock, shares outstanding (in shares) | 212,400,000 | 210,500,000 |
Exchangeable Class A | ||
Exchangeable shares, issued (in shares) | 2,700,000 | 2,700,000 |
Exchangeable shares, outstanding (in shares) | 2,700,000 | 2,700,000 |
Exchangeable Class B | ||
Exchangeable shares, issued (in shares) | 9,500,000 | 11,000,000 |
Exchangeable shares, outstanding (in shares) | 9,500,000 | 11,000,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities | ||
Net income (loss) including noncontrolling interests | $ 850.9 | $ 403.3 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities | ||
Depreciation and amortization | 508.6 | 515.6 |
Amortization of debt issuance costs and discounts | 4.4 | 6.2 |
Share-based compensation | 34.1 | 25.7 |
(Gain) loss on sale or impairment of properties and other assets, net | 8.2 | 16.8 |
Unrealized (gain) loss on foreign currency fluctuations and derivative instruments, net | 84.6 | 217.7 |
Equity (income) loss | (12.8) | (3.7) |
Income tax (benefit) expense | 236.1 | 98.3 |
Income tax (paid) received | (170.1) | (71.2) |
Interest expense, excluding amortization of debt issuance costs and discounts | 174 | 185 |
Interest paid | (201.5) | (211.5) |
Change in current assets and liabilities and other | 88 | (64.7) |
Net cash provided by (used in) operating activities | 1,604.5 | 1,117.5 |
Cash flows from investing activities | ||
Additions to properties | (494.1) | (530.7) |
Proceeds from sales of properties and other assets | 7.3 | 22.1 |
Acquisition of business, net of cash acquired | (63.9) | 0 |
Other | (117.8) | 3.7 |
Net cash provided by (used in) investing activities | (668.5) | (504.9) |
Cash flows from financing activities | ||
Exercise of stock options under equity compensation plans | 7.7 | 2.5 |
Dividends paid | (266.7) | (247.1) |
Payments for purchases of treasury stock | (60.9) | (38.8) |
Payments on debt and borrowings | (402.9) | (507.3) |
Proceeds on debt and borrowings | 7 | 7 |
Net proceeds from (payments on) revolving credit facilities and commercial paper | 0 | 121.1 |
Other | (12.8) | (10.2) |
Net cash provided by (used in) financing activities | (728.6) | (672.8) |
Effect of foreign exchange rate changes on cash and cash equivalents | (5.7) | (52) |
Net increase (decrease) in cash and cash equivalents | 201.7 | (112.2) |
Balance at beginning of year | 600 | 637.4 |
Balance at end of period | $ 801.7 | $ 525.2 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND NONCONTROLLING INTERESTS - USD ($) $ in Millions | Total | Common stock Common Class A | Common stock Common Class B | Common stock Exchangeable Class A | Common stock Exchangeable Class B | Paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) | Common stock held in treasury Class B | Noncontrolling interest | [1] |
Beginning balance at Dec. 31, 2021 | $ 13,664.1 | $ 0 | $ 2.1 | $ 102.2 | $ 417.8 | $ 6,970.9 | $ 7,401.5 | $ (1,006) | $ (471.4) | $ 247 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Exchange of shares | (0.6) | 0.6 | |||||||||
Shares issued under equity compensation plan | (3.4) | (3.4) | |||||||||
Amortization of share-based compensation | 25.7 | 25.7 | |||||||||
Purchase of noncontrolling interest | (1.4) | 0.3 | (1.7) | ||||||||
Net income (loss) including noncontrolling interests | 403.3 | 415.2 | (11.9) | ||||||||
Other comprehensive income (loss), net of tax | (400.5) | (396.5) | (4) | ||||||||
Share repurchase program | (38.8) | (38.8) | |||||||||
Contributions from noncontrolling interests | 8.1 | 8.1 | |||||||||
Distributions and dividends to noncontrolling interests | (11.3) | (11.3) | |||||||||
Dividends declared | (249.3) | (249.3) | |||||||||
Ending balance at Sep. 30, 2022 | 13,396.5 | 0 | 2.1 | 102.2 | 417.2 | 6,994.1 | 7,567.4 | (1,402.5) | (510.2) | 226.2 | |
Beginning balance at Jun. 30, 2022 | 13,602.8 | 0 | 2.1 | 102.2 | 417.2 | 6,984.1 | 7,433.8 | (1,069) | (497.6) | 230 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Shares issued under equity compensation plan | 1 | 1 | |||||||||
Amortization of share-based compensation | 8.8 | 8.8 | |||||||||
Purchase of noncontrolling interest | 0.1 | 0.2 | (0.1) | ||||||||
Net income (loss) including noncontrolling interests | 218.1 | 216.4 | 1.7 | ||||||||
Other comprehensive income (loss), net of tax | (335.5) | (333.5) | (2) | ||||||||
Share repurchase program | (12.6) | (12.6) | |||||||||
Contributions from noncontrolling interests | 0.8 | 0.8 | |||||||||
Distributions and dividends to noncontrolling interests | (4.2) | (4.2) | |||||||||
Dividends declared | (82.8) | (82.8) | |||||||||
Ending balance at Sep. 30, 2022 | 13,396.5 | 0 | 2.1 | 102.2 | 417.2 | 6,994.1 | 7,567.4 | (1,402.5) | (510.2) | 226.2 | |
Beginning balance at Dec. 31, 2022 | 12,915.2 | 0 | 2.1 | 102.2 | 413.3 | 7,006.4 | 6,894.1 | (1,205.5) | (522.9) | 225.5 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Exchange of shares | (1.4) | (57.3) | 58.7 | ||||||||
Shares issued under equity compensation plan | 0.6 | 0.6 | |||||||||
Amortization of share-based compensation | 34.1 | 34.1 | |||||||||
Deconsolidation of VIE | (8.8) | (8.8) | |||||||||
Net income (loss) including noncontrolling interests | 851.2 | 845.6 | 5.6 | ||||||||
Other comprehensive income (loss), net of tax | 7 | 6.9 | 0.1 | ||||||||
Share repurchase program | (61.2) | (61.2) | |||||||||
Share repurchase program | (60.9) | ||||||||||
Contributions from noncontrolling interests | 2.4 | 2.4 | |||||||||
Distributions and dividends to noncontrolling interests | (11) | (11) | |||||||||
Dividends declared | (269.7) | (269.7) | |||||||||
Ending balance at Sep. 30, 2023 | 13,459.8 | 0 | 2.1 | 100.8 | 356 | 7,099.8 | 7,470 | (1,198.6) | (584.1) | 213.8 | |
Beginning balance at Jun. 30, 2023 | 13,256.9 | 0 | 2.1 | 102.2 | 380.7 | 7,059.5 | 7,129.3 | (1,093.4) | (549.6) | 226.1 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Exchange of shares | (1.4) | (24.7) | 26.1 | ||||||||
Shares issued under equity compensation plan | 0.4 | 0.4 | |||||||||
Amortization of share-based compensation | 13.8 | 13.8 | |||||||||
Deconsolidation of VIE | (8.8) | (8.8) | |||||||||
Net income (loss) including noncontrolling interests | 431.9 | 430.7 | 1.2 | ||||||||
Other comprehensive income (loss), net of tax | (105.9) | (105.2) | (0.7) | ||||||||
Share repurchase program | (34.5) | (34.5) | |||||||||
Share repurchase program | (34.2) | ||||||||||
Distributions and dividends to noncontrolling interests | (4) | (4) | |||||||||
Dividends declared | (90) | (90) | |||||||||
Ending balance at Sep. 30, 2023 | $ 13,459.8 | $ 0 | $ 2.1 | $ 100.8 | $ 356 | $ 7,099.8 | $ 7,470 | $ (1,198.6) | $ (584.1) | $ 213.8 | |
[1]All activity included in the noncontrolling interests column of the condensed consolidated statements of stockholder's equity and noncontrolling interests excludes activity from our redeemable noncontrolling interest. |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies Unless otherwise noted in this report, any description of "we," "us" or "our" includes Molson Coors Beverage Company ("MCBC" or the "Company"), principally a holding company, and its operating and non-operating subsidiaries included within our reporting segments. Our reporting segments include Americas and EMEA&APAC. Our Americas segment operates in the U.S., Canada and various countries in the Caribbean, Latin and South America, and our EMEA&APAC segment operates in Bulgaria, Croatia, Czech Republic, Hungary, Montenegro, the Republic of Ireland, Romania, Serbia, the U.K., various other European countries and certain countries within the Middle East, Africa and Asia Pacific. Unless otherwise indicated, information in this report is presented in USD and comparisons are to comparable prior periods. Our primary operating currencies, other than the USD, include the CAD, the GBP and our Central European operating currencies such as the EUR, CZK, RON and RSD. The accompanying unaudited condensed consolidated financial statements reflect all adjustments which are necessary for a fair statement of the financial position, results of operations and cash flows for the periods presented in accordance with U.S. GAAP. Such unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited condensed consolidated financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2022, and have been prepared on a consistent basis with the accounting policies described in Note 1 of the Notes to the Audited Consolidated Financial Statements included in our Annual Report, except as noted in Note 2, "New Accounting Pronouncements" . The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the results that may be achieved for the full year or any other future period. Cost Inflation We have continued to incur significant cost inflation, including materials and manufacturing expenses, which negatively impacted our results of operations for the three and nine months ended September 30, 2023, although we have experienced some moderation in the recent period. While cost inflation has been high in all of our markets, the impact to COGS on a percentage basis was higher for our EMEA&APAC segment than our Americas segment. In addition, consumers in certain markets in our EMEA&APAC segment continued to be impacted by local inflation leading to a reduction in their discretionary purchases. To the extent materials and manufacturing prices continue to fluctuate, our business and financial results could continue to be materially adversely impacted. We continue to monitor these risks and rely on our risk management hedging program, increased pricing to our customers, our premiumization strategy and cost savings programs to help mitigate some of the inflationary pressures. Even if we are able to raise the prices of our products, consumers might react negatively to such price increases, which could have a material adverse effect on, among other things, our brands, reputation and sales. If our competitors maintain or substantially lower their prices, we may lose customers or be forced to lower prices to remain competitive. Our profitability may be impacted by prices that do not offset the inflationary pressures, which would negatively impact gross margins. In addition, even if we increase the prices of our products in response to increases in the cost of commodities or other cost increases, we may not be able to sustain our price increases or customers may trade down to cheaper alternatives. Anti-Dilutive Securities Anti-dilutive securities excluded from the computation of diluted EPS were 0.3 million and 0.8 million for the three months ended September 30, 2023 and September 30, 2022, respectively, and 0.6 million and 0.9 million for the nine months ended September 30, 2023 and September 30, 2022, respectively. Dividends On July 13, 2023, our Company's Board of Directors declared a third quarter cash dividend of $0.41 per share, paid on September 15, 2023, to shareholders of Class A and Class B common stock of record on September 1, 2023. Shareholders of exchangeable shares received the CAD equivalent of dividends declared on Class A and Class B common stock, equal to CAD 0.53 per share. During the nine months ended September 30, 2023, dividends declared to eligible shareholders were $1.23 per share, with the CAD equivalent equal to CAD 1.63 per share. Dividends declared to eligible shareholders were $0.38 per share, with the CAD equivalent equal to CAD 0.49 per share, and $1.14 per share, with the CAD equivalent equal to CAD 1.45 per share, during the three and nine months ended September 30, 2022, respectively. Share Repurchase Program During the first quarter of 2022, our Company's Board of Directors approved a share repurchase program up to an aggregate of $200 million of our Company's Class B common stock through March 31, 2026, with the program primarily intended to offset annual employee equity award grants. The following table presents the shares repurchased under the share repurchase program, excluding excise taxes, for the three and nine months ended September 30, 2023 and September 30, 2022: Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Shares repurchased 505,000 230,000 980,000 740,000 Weighted average price, including brokerage commissions $ 67.67 $ 54.50 $ 62.10 $ 52.36 Aggregate value (in millions) $ 34.2 $ 12.6 $ 60.9 $ 38.8 On September 29, 2023, our Company's Board of Directors approved a new share repurchase program authorizing the repurchase of up to an aggregate of $2.0 billion of our Class B common stock excluding brokerage commissions, with an expected program term of five years. This repurchase program replaces and supersedes any repurchase program previously approved by the Board, including the program approved during the first quarter of 2022. The number, price, structure and timing of the repurchases under the new program, if any, will be at our sole discretion and future repurchases will be evaluated by us depending on market conditions, liquidity needs, restrictions under our debt arrangements and other factors. Share repurchases may be made in the open market or in privately negotiated transactions. The repurchase authorization does not oblige us to acquire any particular amount of our Company's Class B common stock. The Board may suspend, modify or terminate the new repurchase program at any time without prior notice. Non-Cash Activity Non-cash investing activities include movements in our guarantee of indebtedness of certain equity method investments. See Note 3, "Investments" for further discussion. We also had non-cash activities related to capital expenditures incurred but not yet paid of $168.6 million and $149.8 million during the nine months ended September 30, 2023 and September 30, 2022, respectively. In addition, we had non-cash activities related to certain issuances of share-based awards. During the first quarter of 2022, we recorded a non-cash transaction related to the establishment of an accrued liability of $56.0 million as the best estimate of the probable loss in the Keystone litigation case based on the jury verdict. During the nine months ended September 30, 2023, we recorded a non-cash transaction of $1.5 million in accrued interest associated with this accrued liability. See Note 10, "Commitments and Contingencies" for further details. Other than the activity mentioned above and the supplemental non-cash activity related to the recognition of leases further discussed in Note 6, "Leases," there was no other significant non-cash activity during the nine months ended September 30, 2023 and September 30, 2022, respectively. Share-Based Compensation During the nine months ended September 30, 2023 and September 30, 2022, we granted stock options, RSUs and PSUs to certain officers and other eligible employees. We recognized share-based compensation expense of $13.8 million and $8.8 million during the three months ended September 30, 2023 and September 30, 2022, respectively, and $34.1 million and $25.7 million during the nine months ended September 30, 2023 and September 30, 2022, respectively. Supplier Financing We are the buyer under a supplier finance program with Citibank N.A. ("Citi" or "the bank"), with $145.7 million and $135.2 million confirmed as valid and outstanding as of September 30, 2023 and December 31, 2022, respectively. We recognize these unpaid balances in accounts payable and other current liabilities on our unaudited condensed consolidated balance sheets. Under the program, we agree to pay the bank the stated amount of confirmed invoices from our designated suppliers on the original maturity dates of the invoices. We have no involvement in establishing the terms or conditions of the arrangement between the suppliers and the bank and do not participate in such transactions. Either Citi or us may terminate the agreement upon at least 30 days written notice. We do not provide secured legal assets or other forms of guarantees under the arrangement. Our current payment terms with the majority of the suppliers participating in the supplier finance program generally range from 60 to 120 days, which we deem to be commercially reasonable. Acquisition On August 7, 2023, we acquired a 75% equity interest in Blue Run Spirits, Inc. (“Blue Run”), a U.S. based high end whiskey business, for a purchase price of $78 million (subject to adjustment for net working capital), which included cash paid of $65 million. The acquisition is aligned with our strategy to expand beyond the beer aisle and enhance our presence in the spirits category. The acquisition was accounted for as a business combination, with $88 million of consideration preliminarily allocated to a definite-lived brand intangible asset to be amortized over a 15-year period and the remainder primarily allocated to other working capital balances and goodwill for the amount in excess of net identifiable assets acquired. A noncontrolling interest was recognized at fair value based on a Monte Carlo simulation model and is recorded as redeemable noncontrolling interest in the unaudited condensed consolidated balance sheets based on the contractual terms of the agreement. Pro forma results of operations have not been presented as the impact is not material to our results of operation or financial position. |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements New Accounting Pronouncements Recently Adopted In March 2020, the FASB issued authoritative guidance which provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform and was effective for all entities upon issuance on March 12, 2020 and remains effective through December 31, 2024. The guidance permits a company to elect certain optional expedients and exceptions when affected by the changes in reference rate reform. We have adopted this guidance and elected to apply certain optional expedients related to our derivative instruments with maturity dates extending beyond the discontinuance date of LIBOR. Specifically, in May 2023, we amended our 2026 forward starting interest rate swaps to replace LIBOR with SOFR and applied the optional expedients to account for the transition. None of the changes made as a result of reference rate reform had a material impact on our financial statements. In September 2022, the FASB issued authoritative guidance intended to provide consistent and transparent disclosures for a buyer in a supplier finance program by requiring disclosures of key program terms, the amount of obligations that have been confirmed as valid with the finance provider that are deemed outstanding as of the end of the period, a description of the financial line item in which this unpaid balance resides and a rollforward of the obligations including the amount of obligations confirmed and paid. We adopted this guidance, with the exception of the rollforward disclosure requirement, in our quarterly report for the three months ended March 31, 2023. See Note 1, "Basis of Presentation and Summary of Significant Accounting Policies" for additional information on our supplier finance program. The rollforward disclosure requirement is effective for us in our annual report for the year ending December 31, 2024 and is required to be applied prospectively. Other than the items noted above, there have been no new accounting pronouncements not yet effective or adopted in the current year that we believe have a significant impact, or potential significant impact, on our unaudited condensed consolidated financial statements. |
Investments
Investments | 9 Months Ended |
Sep. 30, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments | InvestmentsOur investments include both equity method and consolidated investments. Those entities identified as VIEs have been evaluated to determine whether we are the primary beneficiary. The VIEs included under "Consolidated VIEs" below are those for which we have concluded that we are the primary beneficiary and accordingly, we have consolidated these entities. We have not provided any financial support to any of our VIEs during the year that we were not previously contractually obligated to provide. Amounts due to and due from our equity method investments are recorded as affiliate accounts payable and affiliate accounts receivable, respectively. Authoritative guidance related to the consolidation of VIEs requires that we continually reassess whether we are the primary beneficiary of VIEs in which we have an interest. As such, the conclusion regarding the primary beneficiary status is subject to change and we continually evaluate circumstances that could require consolidation or deconsolidation. Our consolidated VIEs are Cobra Beer Partnership, Ltd. ("Cobra U.K."), Rocky Mountain Metal Container ("RMMC"), and Rocky Mountain Bottle Company ("RMBC"), as well as other immaterial entities. Our unconsolidated VIEs are Brewers Retail Inc. ("BRI"), Brewers Distributor Ltd. ("BDL") and The Yuengling Company LLC ("TYC"), as well as other immaterial investments. On August 3, 2023, we sold our 57.5% controlling interest in Truss LP ("Truss") in Canada to Tilray Brands for an immaterial amount and recognized a loss of $11.1 million within other operating income (expense), net in our unaudited condensed consolidated statements of operations upon deconsolidation of the business. Earlier in the year, on June 22, 2023, HEXO Corp, our joint venture partner in Truss, was acquired by Tilray Brands and this transaction had no impact on Molson Coors' ownership in the joint venture or on our consolidated results. Prior to the sale of our controlling interest, Truss was recorded as a consolidated VIE in comparative periods presented. Both BRI and BDL have outstanding third party debt which is guaranteed by their respective shareholders. As a result, we had a guarantee liability of $32.9 million and $33.3 million recorded as of September 30, 2023 and December 31, 2022, respectively, which is presented within accounts payable and other current liabilities on the unaudited condensed consolidated balance sheets and represents our proportionate share of the outstanding balance of these debt instruments. The carrying value of the guarantee liability equals fair value, which considers an adjustment for our own non-performance risk and is considered a Level 2 measurement. The offset to the guarantee liability was recorded as an adjustment to our respective equity method investment within the unaudited condensed consolidated balance sheets. The resulting change in our equity method investments during the year due to movements in the guarantee represents a non-cash investing activity. ZOA Energy, LLC During the third quarter of 2023, we increased our investment in ZOA Energy, LLC (“ZOA”), an energy drink company operating in the U.S. and Canada, bringing our ownership interest to 40%, on a fully diluted basis. This increase in ownership resulted in the transition of accounting for our investment from the fair value method under ASC 321 to equity method investment accounting under ASC 323 on a prospective basis and the cash outflow associated with the investment is reflected within Other in the Investing activities section of the unaudited condensed consolidated statement of cash flows. Subsequent to the investment, the carrying value of our recorded ownership investment exceeds our ratable portion of underlying equity in the net assets of ZOA, and this basis difference has been fully allocated to equity method goodwill. Under our agreement, we hold an option to purchase incremental shares to increase our ownership to over 50% starting in September 2024 for a 90-day period, thereafter. In addition to our investment, we have an agreement to distribute ZOA’s products in the U.S. ZOA affiliates accounts payable was not material as of September 30, 2023. Consolidated VIEs The following summarizes the assets and liabilities of our consolidated VIEs (including noncontrolling interests): As of September 30, 2023 December 31, 2022 Total Assets Total Liabilities Total Assets Total Liabilities (In millions) RMMC/RMBC $ 250.3 $ 20.4 $ 228.2 $ 21.2 Other $ 5.2 $ 3.0 $ 43.3 $ 16.1 |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories As of September 30, 2023 December 31, 2022 (In millions) Finished goods $ 296.3 $ 269.1 Work in process 100.9 71.9 Raw materials 294.7 290.4 Packaging materials 160.7 161.5 Inventories, net $ 852.6 $ 792.9 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill The changes in the gross carrying value of goodwill and accumulated impairment losses are presented in the table below by segment. Americas EMEA&APAC (1) Consolidated (In millions) Gross carrying value of goodwill $ 6,790.4 $ 1,387.6 $ 8,178.0 Accumulated impairment losses (1,498.5) (1,387.6) (2,886.1) Balance as of December 31, 2022 $ 5,291.9 $ — $ 5,291.9 Acquisition (2) 29.3 — 29.3 Foreign currency translation, net (0.4) — (0.4) Gross carrying value of goodwill 6,818.2 1,384.7 8,202.9 Accumulated impairment losses (1,497.4) (1,384.7) (2,882.1) Balance as of September 30, 2023 $ 5,320.8 $ — $ 5,320.8 (1) The EMEA&APAC goodwill balance was fully impaired during the year ended December 31, 2020. Subsequent changes in the gross carrying value of goodwill and accumulated impairment loss balances are due to fluctuations in foreign currency exchange rates, which are presented net in the table above. (2) Goodwill acquired in the Americas was related to the Blue Run acquisition as discussed above in Note 1, "Basis of Presentation and Summary of Significant Accounting Policies" . The goodwill acquired is not deductible for tax purposes. Subsequent to taking a partial impairment as a result of the annual impairment test performed as of October 1, 2022, the Americas reporting unit goodwill balance was considered at risk of future impairment. The remaining goodwill is at risk in the event of significant unfavorable changes in assumptions including the forecasted future cash flows, terminal growth rates, market multiples and/or weighted-average cost of capital utilized in the discounted cash flows analysis. We continue to build on the strength of our iconic core brands, increase our above premium portfolio and expand beyond the beer aisle. While progress has been made on this strategy, including the increasing proportion of our above premium portfolio over the last several years and the strengthening of our core brands, the growth targets included in management’s forecasted future cash flows are inherently at risk given that the strategies are still in progress. In addition, the growth targets factored in current expectations of the beer industry environment and broader macroeconomic conditions such as cost inflation for certain inputs, which could continue to put pressure on achieving key margin and cash flow projections into the future. Additionally, the fair value determinations are sensitive to further macroeconomic conditions, including the ongoing impacts of cost inflation, further increases to interest rates and other external industry factors impacting our business. We determined that there was no triggering event that occurred during the nine months ended September 30, 2023 that would indicate the carrying value of our goodwill was greater than its fair value. Our annual impairment test as of October 1, 2023 is currently in progress, and we have not yet finalized our results. For all of the reasons described in the preceding paragraph, our goodwill balance continues to be at risk of future impairment. Intangible Assets, Other than Goodwill The following table presents details of our intangible assets, other than goodwill, as of September 30, 2023: Useful life Gross Accumulated Net (Years) (In millions) Intangible assets subject to amortization Brands 10 - 50 $ 4,934.9 $ (1,561.1) $ 3,373.8 License agreements and distribution rights 10 - 20 201.9 (113.5) 88.4 Other 5 - 40 84.6 (25.2) 59.4 Intangible assets not subject to amortization Brands Indefinite 8,137.9 — 8,137.9 Distribution networks Indefinite 745.1 — 745.1 Other Indefinite 307.6 — 307.6 Total $ 14,412.0 $ (1,699.8) $ 12,712.2 The following table presents details of our intangible assets, other than goodwill, as of December 31, 2022: Useful life Gross Accumulated Net (Years) (In millions) Intangible assets subject to amortization Brands 10 - 50 $ 4,861.1 $ (1,416.7) $ 3,444.4 License agreements and distribution rights 15 - 20 200.0 (108.0) 92.0 Other 5 - 40 88.8 (27.7) 61.1 Intangible assets not subject to amortization Brands Indefinite 8,148.6 — 8,148.6 Distribution networks Indefinite 746.4 — 746.4 Other Indefinite 307.6 — 307.6 Total $ 14,352.5 $ (1,552.4) $ 12,800.1 The changes in the gross carrying amounts of intangible assets from December 31, 2022 to September 30, 2023 are primarily driven by the acquired brand intangible asset related to Blue Run, and the impact of foreign exchange rates, as a significant amount of intangible assets are denominated in foreign currencies. Based on foreign exchange rates as of September 30, 2023, the estimated future amortization expense of intangible assets is as follows: Fiscal year Amount (In millions) 2023 - remaining $ 52.4 2024 $ 208.4 2025 $ 208.4 2026 $ 189.9 2027 $ 125.5 Amortization expense of intangible assets was $52.4 million and $51.8 million for the three months ended September 30, 2023 and September 30, 2022, respectively, and $154.9 million and $157.3 million for the nine months ended September 30, 2023 and September 30, 2022, respectively. This expense was presented within MG&A expenses in our unaudited condensed consolidated statements of operations. As of the date of our annual impairment test of indefinite-lived intangible assets, performed as of October 1, 2022, the fair value of all indefinite-lived brands exceeded their respective carrying values by over 15%. No triggering events occurred during the nine months ended September 30, 2023 that would indicate the carrying value of our indefinite-lived or definite-lived intangible assets were greater than their fair value. Fair Value Assumptions |
Leases
Leases | 9 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Leases | Leases Supplemental balance sheet information related to leases as of September 30, 2023 and December 31, 2022 was as follows: As of September 30, 2023 December 31, 2022 Balance Sheet Classification (In millions) Operating Leases Operating lease right-of-use assets Other assets $ 199.8 $ 132.7 Current operating lease liabilities Accounts payable and other current liabilities $ 48.1 $ 44.7 Non-current operating lease liabilities Other liabilities 162.0 99.3 Total operating lease liabilities $ 210.1 $ 144.0 Finance Leases Finance lease right-of-use assets Properties, net $ 45.8 $ 50.2 Current finance lease liabilities Current portion of long-term debt and short-term borrowings $ 5.0 $ 5.3 Non-current finance lease liabilities Long-term debt 47.7 56.2 Total finance lease liabilities $ 52.7 $ 61.5 Supplemental cash flow information related to leases for the nine months ended September 30, 2023 and September 30, 2022 was as follows: Nine Months Ended September 30, 2023 September 30, 2022 (In millions) Cash paid for amounts included in the measurements of lease liabilities Operating cash flows from operating leases $ 43.2 $ 38.9 Operating cash flows from finance leases $ 2.8 $ 2.7 Financing cash flows from finance leases $ 3.7 $ 3.0 Supplemental non-cash information on right-of-use assets obtained in exchange for new lease liabilities Operating leases $ 104.1 $ 40.4 Finance leases $ 0.8 $ 3.7 |
Leases | Leases Supplemental balance sheet information related to leases as of September 30, 2023 and December 31, 2022 was as follows: As of September 30, 2023 December 31, 2022 Balance Sheet Classification (In millions) Operating Leases Operating lease right-of-use assets Other assets $ 199.8 $ 132.7 Current operating lease liabilities Accounts payable and other current liabilities $ 48.1 $ 44.7 Non-current operating lease liabilities Other liabilities 162.0 99.3 Total operating lease liabilities $ 210.1 $ 144.0 Finance Leases Finance lease right-of-use assets Properties, net $ 45.8 $ 50.2 Current finance lease liabilities Current portion of long-term debt and short-term borrowings $ 5.0 $ 5.3 Non-current finance lease liabilities Long-term debt 47.7 56.2 Total finance lease liabilities $ 52.7 $ 61.5 Supplemental cash flow information related to leases for the nine months ended September 30, 2023 and September 30, 2022 was as follows: Nine Months Ended September 30, 2023 September 30, 2022 (In millions) Cash paid for amounts included in the measurements of lease liabilities Operating cash flows from operating leases $ 43.2 $ 38.9 Operating cash flows from finance leases $ 2.8 $ 2.7 Financing cash flows from finance leases $ 3.7 $ 3.0 Supplemental non-cash information on right-of-use assets obtained in exchange for new lease liabilities Operating leases $ 104.1 $ 40.4 Finance leases $ 0.8 $ 3.7 |
Debt
Debt | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt Obligations As of September 30, 2023 December 31, 2022 (In millions) Long-term debt CAD 500 million 2.84% notes due July 2023 (1) $ — $ 368.9 EUR 800 million 1.25% notes due July 2024 845.8 856.4 CAD 500 million 3.44% notes due July 2026 368.3 368.9 $2.0 billion 3.0% notes due July 2026 2,000.0 2,000.0 $1.1 billion 5.0% notes due May 2042 1,100.0 1,100.0 $1.8 billion 4.2% notes due July 2046 1,800.0 1,800.0 Finance leases 52.7 61.5 Other 23.2 25.4 Less: unamortized debt discounts and debt issuance costs (36.5) (39.7) Total long-term debt (including current portion) 6,153.5 6,541.4 Less: current portion of long-term debt (852.4) (376.2) Total long-term debt $ 5,301.1 $ 6,165.2 Short-term borrowings (2) 26.4 20.9 Current portion of long-term debt 852.4 376.2 Current portion of long-term debt and short-term borrowings $ 878.8 $ 397.1 (1) We repaid our CAD 500 million 2.84% notes upon maturity on July 15, 2023 using cash on hand. (2) Our short-term borrowings include bank overdrafts, borrowings on our overdraft facilities and other items. As of September 30, 2023, we had $21.4 million in bank overdrafts and $121.1 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $99.7 million. As of December 31, 2022, we had $15.9 million in bank overdrafts and $49.7 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $33.8 million. In addition, we have CAD, GBP and USD overdraft facilities under which we had no outstanding borrowings as of September 30, 2023 and December 31, 2022. See further detail within Part II.—Item 8. Financial Statements, Note 13, "Commitments and Contingencies" in our Annual Report for further discussion related to letters of credit. Debt Fair Value Measurements We utilize market approaches to estimate the fair value of certain outstanding borrowings by discounting anticipated future cash flows derived from the contractual terms of the obligations using observable market interest and foreign exchange rates. As of September 30, 2023 and December 31, 2022, the fair value of our outstanding long-term debt (including the current portion of long-term debt) was approximately $5.4 billion and $5.9 billion, respectively. All senior notes are valued based on significant observable inputs and classified as Level 2 in the fair value hierarchy. The carrying values of our short-term borrowings approximate their fair values and are also classified as Level 2 in the fair value hierarchy. Revolving Credit Facility and Commercial Paper On June 26, 2023, we amended and restated our multi-currency revolving credit facility to, among other things, extend the term through June 26, 2028, and to increase the borrowing capacity to $2.0 billion. This $2.0 billion revolving credit facility amended our pre-existing $1.5 billion revolving credit facility, which was scheduled to mature on July 7, 2024. On September 28, 2023, we amended our commercial paper program, which reduces borrowing capacity under the revolving credit facility, to a maximum borrowing capacity of $2.0 billion to borrow at any time at variable interest rates. The $150.0 million sub-facility available for the issuance of letters of credit remains unchanged. Concurrent with these transactions, in the second quarter of 2023, we incurred incremental issuance costs of $5.2 million related to the $2.0 billion revolving credit facility, which were recorded within other current assets, net, and other assets on the unaudited condensed consolidated balance sheets and are being amortized over the term of the facility. We use this facility from time to time to fund the repayment of debt upon maturity and for working capital or general purposes. We had no borrowings drawn on the revolving credit facility and no commercial paper borrowings as of September 30, 2023 and December 31, 2022. Debt Covenants Under the terms of each of our debt facilities, we must comply with certain restrictions. These include customary events of default and specified representations, warranties and covenants, as well as covenants that restrict our ability to incur certain additional priority indebtedness (certain thresholds of secured consolidated net tangible assets), certain leverage threshold percentages, create or permit liens on assets, and restrictions on mergers, acquisitions and certain types of sale lease-back transactions. Under the amended and restated $2.0 billion revolving credit facility, we may not exceed a maximum leverage ratio, calculated as net debt to EBITDA (as defined in the revolving credit facility agreement) of 4.00x, measured as of the last day of each fiscal quarter through maturity of the credit facilit |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities Our risk management and derivative accounting policies are presented within Part II.—Item 8. Financial Statements, Note 1, "Basis of Presentation and Summary of Significant Accounting Policies" and Note 10, "Derivative Instruments and Hedging Activities" in our Annual Report and did not significantly change during the nine months ended September 30, 2023. As noted in Part II. - Item 8. Financial Statements, Note 10, "Derivative Instruments and Hedging Activities" in our Annual Report, due to the nature of our counterparty agreements, and the fact that we are not subject to master netting arrangements, we are not able to net positions with the same counterparty and, therefore, present our derivative positions on a gross basis in our unaudited condensed consolidated balance sheets. Except as noted below, our significant derivative positions have not changed considerably since December 31, 2022. Forward Starting Interest Rate Swaps In late April 2022, the forward starting interest rate swaps associated with the $500 million 3.5% notes that we repaid upon maturity on May 1, 2022 were terminated and settled. The immaterial loss on settlement of the swaps was recorded through interest expense during the second quarter of 2022. Foreign Currency Forwards In the second quarter of 2023, we entered into approximately CAD 260 million (approximately 195 million USD) of foreign exchange forward contracts to manage our exposure to foreign currency fluctuations related to the repayment of our CAD 500 million 2.84% notes that matured on July 15, 2023. These contracts were not designated in hedge accounting relationships; as such, changes in the fair value were recorded in other non-operating income (expense), net in the unaudited condensed consolidated statements of operations. These contracts settled on July 12, 2023 in advance of the notes repayment for an immaterial amount. Derivative Fair Value Measurements We utilize market approaches to estimate the fair value of our derivative instruments by discounting anticipated future cash flows derived from the derivative's contractual terms and observable market interest, foreign exchange and commodity rates. The fair values of our derivatives also include credit risk adjustments to account for our counterparties' credit risk, as well as our own non-performance risk, as appropriate. The table below summarizes our derivative assets and liabilities that were measured at fair value as of September 30, 2023 and December 31, 2022. Fair value measurements as of September 30, 2023 As of September 30, 2023 Quoted prices in Significant other Significant (In millions) Forward starting interest rate swaps $ 91.9 $ — $ 91.9 $ — Foreign currency forwards 5.0 — 5.0 — Commodity swaps and options (12.9) — (12.9) — Total $ 84.0 $ — $ 84.0 $ — Fair value measurements as of December 31, 2022 As of December 31, 2022 Quoted prices in Significant other Significant (In millions) Forward starting interest rate swaps $ 40.0 $ — $ 40.0 $ — Foreign currency forwards 7.6 — 7.6 — Commodity swaps and options 69.0 — 69.0 — Total $ 116.6 $ — $ 116.6 $ — As of September 30, 2023 and December 31, 2022, we had no significant transfers between Level 1 and Level 2. New derivative contracts transacted during the nine months ended September 30, 2023 were all included in Level 2. Results of Period Derivative Activity The tables below include the results of our derivative activity in our unaudited condensed consolidated balance sheets as of September 30, 2023 and December 31, 2022, and our unaudited condensed consolidated statements of operations for the three and nine months ended September 30, 2023 and September 30, 2022. Fair Value of Derivative Instruments in the Unaudited Condensed Consolidated Balance Sheets (in millions): As of September 30, 2023 Derivative Assets Derivative Liabilities Notional amount Balance sheet location Fair value Balance sheet location Fair value Derivatives designated as hedging instruments Forward starting interest rate swaps $ 1,000.0 Other non-current assets $ 91.9 Other liabilities $ — Foreign currency forwards $ 215.5 Other current assets 3.9 Accounts payable and other current liabilities — Other non-current assets 1.1 Other liabilities — Total derivatives designated as hedging instruments $ 96.9 $ — Derivatives not designated as hedging instruments Commodity swaps (1) $ 608.4 Other current assets $ 24.1 Accounts payable and other current liabilities $ (37.3) Other non-current assets 5.8 Other liabilities (5.5) Total derivatives not designated as hedging instruments $ 29.9 $ (42.8) As of December 31, 2022 Derivative Assets Derivative Liabilities Notional amount Balance sheet location Fair value Balance sheet location Fair value Derivatives designated as hedging instruments Forward starting interest rate swaps $ 1,000.0 Other non-current assets $ 40.0 Other liabilities $ — Foreign currency forwards $ 176.6 Other current assets 6.2 Accounts payable and other current liabilities (0.1) Other non-current assets 1.6 Other liabilities (0.1) Total derivatives designated as hedging instruments $ 47.8 $ (0.2) Derivatives not designated as hedging instruments Commodity swaps (1) $ 525.2 Other current assets $ 86.1 Accounts payable and other current liabilities $ (14.1) Other non-current assets 7.4 Other liabilities (10.4) Commodity options (1) $ 19.7 Other current assets 0.8 Accounts payable and other current liabilities (0.8) Total derivatives not designated as hedging instruments $ 94.3 $ (25.3) (1) Notional includes offsetting buy and sell positions, shown in terms of absolute value. Buy and sell positions are shown gross in the asset and/or liability position, as appropriate. The Pretax Effect of Cash Flow Hedge Accounting on Other Comprehensive Income (Loss), Accumulated Other Comprehensive Income (Loss) and Income (Loss) (in millions): Derivatives in cash flow hedge relationships Amount of gain Location of gain (loss) Amount of gain Three Months Ended September 30, 2023 Forward starting interest rate swaps $ 62.6 Interest income (expense), net $ (0.8) Foreign currency forwards 5.1 Cost of goods sold 1.1 Other non-operating income (expense), net (0.3) Total $ 67.7 $ — Three Months Ended September 30, 2022 Forward starting interest rate swaps $ 28.4 Interest income (expense), net $ (1.0) Foreign currency forwards 10.9 Cost of goods sold 0.5 Other non-operating income (expense), net (0.2) Total $ 39.3 $ (0.7) Derivatives in cash flow hedge relationships Amount of gain Location of gain (loss) Amount of gain Nine Months Ended September 30, 2023 Forward starting interest rate swaps $ 51.9 Interest income (expense), net $ (4.3) Foreign currency forwards 0.3 Cost of goods sold 3.8 Other non-operating income (expense), net (0.8) Total $ 52.2 $ (1.3) Nine Months Ended September 30, 2022 Forward starting interest rate swaps $ 196.2 Interest income (expense), net $ (13.3) Foreign currency forwards 14.6 Cost of goods sold 0.2 Other non-operating income (expense), net (0.1) Total $ 210.8 $ (13.2) The Pretax Effect of Net Investment Hedge Accounting on Other Comprehensive Income (Loss), Accumulated Other Comprehensive Income (Loss) and Income (Loss) (in millions): Net investment hedge relationships Amount of gain Location of gain (loss) recognized in income (amount excluded from effectiveness testing) Amount of gain (loss) recognized in income (amount excluded from effectiveness testing) (1) Three Months Ended September 30, 2023 EUR 800 million notes due 2024 27.0 Other non-operating income (expense), net — Total $ 27.0 $ — Three Months Ended September 30, 2022 EUR 800 million notes due 2024 54.5 Other non-operating income (expense), net — Total $ 54.5 $ — Net investment hedge relationships Amount of gain Location of gain (loss) recognized in income (amount excluded from effectiveness testing) Amount of gain (loss) recognized in income (amount excluded from effectiveness testing) (1) Nine Months Ended September 30, 2023 EUR 800 million notes due 2024 10.7 Other non-operating income (expense), net — Total $ 10.7 $ — Nine Months Ended September 30, 2022 EUR 800 million notes due 2024 125.4 Other non-operating income (expense), net — Total $ 125.4 $ — (1) Represents amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and period amortization is recorded in other comprehensive income. The cumulative translation adjustments related to our net investment hedges remain in AOCI until the respective underlying net investment is sold or liquidated. During the three and nine months ended September 30, 2023 and September 30, 2022, respectively, we did not reclassify any amounts related to net investment hedges from AOCI into earnings. As of September 30, 2023, we expect net gains of approximately $1 million (pretax) recorded in AOCI will be reclassified into earnings within the next 12 months. For derivatives designated in cash flow hedge relationships, the maximum length of time over which forecasted tran sactions are hedged as of September 30, 2023 is approximate ly 3 years, as well as those related to our remaining forecasted debt issuances in 2026. The Effect of Derivatives Not Designated as Hedging Instruments on the Unaudited Condensed Consolidated Statements of Operations (in millions): Derivatives not in hedging relationships Location of gain (loss) recognized in Amount of gain (loss) recognized in Three Months Ended September 30, 2023 Commodity swaps Cost of goods sold 35.6 Foreign currency forwards Other non-operating income (expense), net 0.8 Total $ 36.4 Three Months Ended September 30, 2022 Commodity swaps Cost of goods sold (42.2) Total $ (42.2) Derivatives not in hedging relationships Location of gain (loss) recognized in Amount of gain (loss) recognized in Nine Months Ended September 30, 2023 Commodity swaps Cost of goods sold (44.0) Foreign currency forwards Other non-operating income (expense), net 2.7 Total $ (41.3) Nine Months Ended September 30, 2022 Commodity swaps Cost of goods sold 33.0 Total $ 33.0 |
Income Tax
Income Tax | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Effective tax rate 21 % 20 % 22 % 20 % The higher effective tax rate for the three and nine months ended September 30, 2023 compared to the prior year was primarily due to the impact of geographic mix with higher pretax income in higher tax rate jurisdictions, partially offset by the net effect of discrete tax items in the period. We recognized $15.5 million discrete tax benefit in the three months ended September 30, 2023 compared to $5.9 million discrete tax expense in the three months ended September 30, 2022. We recognized $7.6 million discrete tax benefit in the nine months ended September 30, 2023 compared to $2.7 million discrete tax expense in the nine months ended September 30, 2022. Our tax rate can be volatile and may change with, among other things, the amount and source of pretax income or loss, our ability to utilize foreign tax credits, excess tax benefits or deficiencies from share-based compensation, changes in tax laws and the movement of liabilities established pursuant to accounting guidance for uncertain tax positions as statutes of limitations expire, positions are effectively settled, or when additional information becomes available. There are proposed or pending tax law changes in various jurisdictions and other changes to regulatory environments in countries in which we do business that, if enacted, could have an impact on our effective tax rate. On August 16, 2022, the Inflation Reduction Act of 2022 (“IRA”) was signed into U.S. law. The IRA includes a new corporate alternative minimum tax of 15% on the adjusted financial statement income (“AFSI”) of corporations with average AFSI exceeding $1.0 billion over a three-year period, effective for tax years beginning after December 31, 2022. The alternative minimum tax is not expected to impact our financial or cash tax position in 2023. Additionally, the IRA imposes an excise tax of 1% on stock repurchases, effective January 1, 2023. The excise tax is recorded as an incremental cost in treasury stock on our unaudited condensed consolidated balance sheets and was immaterial for the three and nine months ended September 30, 2023. Based on our current analysis, we do not expect these provisions to have a material impact on our annual financial statements. We will continue to evaluate their impact as additional information becomes available. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation and Other Disputes and Environmental Related to litigation, other disputes and environmental issues, we have an aggregate accrued contingent liability of $70.4 million and $77.0 million as of September 30, 2023 and December 31, 2022, respectively. While we cannot predict the eventual aggregate cost for litigation, other disputes and environmental matters in which we are currently involved, we believe adequate reserves have been provided for losses that are probable and estimable. For all matters unless otherwise noted below, we believe that any reasonably possible losses in excess of the amounts accrued are immaterial to our unaudited condensed consolidated financial statements. Our litigation, other disputes and environmental issues are discussed in further detail within Part II.—Item 8. Financial Statements, Note 13, "Commitments and Contingencies" in our Annual Report and did not significantly change during the nine months ended September 30, 2023, except as noted below. Other than those disclosed below, we are also involved in other disputes and legal actions arising in the ordinary course of our business. While it is not feasible to predict or determine the outcome of these proceedings, in our opinion, based on a review with legal counsel, other than as noted, none of these disputes or legal actions are expected to have a material impact on our business, consolidated financial position, results of operations or cash flows. However, litigation is subject to inherent uncertainties and an adverse result in these, or other matters, may arise from time to time that may harm our business. On February 12, 2018, Stone Brewing Company filed a trademark infringement lawsuit in federal court in the Southern District of California against Molson Coors Beverage Company USA LLC ("MCBC USA"), a wholly owned subsidiary of our Company, alleging that the Keystone brand has “rebranded” itself as “Stone” and is marketing itself in a manner confusingly similar to Stone Brewing Company's registered Stone trademark. Stone Brewing Company sought treble damages and disgorgement of MCBC USA's profit from Keystone sales. MCBC USA subsequently filed an answer and counterclaims against Stone Brewing Company. On May 31, 2018, Stone Brewing Company filed a motion to dismiss MCBC USA's counterclaims and for a preliminary injunction seeking to bar MCBC USA from continuing to use “STONE” on Keystone Light cans and related marketing materials. In March 2019, the court denied Stone Brewing Company’s motion for preliminary injunction and its motion to dismiss MCBC USA's counterclaims. The jury trial began on March 7, 2022. The jury returned a verdict in which it concluded that trademark infringement had occurred and awarded Stone Brewing Company $56.0 million in damages. The jury also found that no "willful" trademark infringement had occurred. The trial court subsequently denied Stone Brewing Company’s motion for permanent injunction, motion for disgorgement of profits and motion for treble damages. Judgment was entered on September 8, 2022. Both parties filed post-trial motions, including MCBC USA’s renewed motion for judgment as a matter of law or, in the alternative, a new trial and/or remittitur and Stone Brewing Company’s motion for partial new trial of equitable issues. The court denied both parties' post-trial motions on September 25, 2023. On October 24, 2023, MCBC USA filed a notice of appeal in the 9th Circuit Court of Appeals. As of September 30, 2023 and December 31, 2022, the Company had a recorded accrued liability of $58.1 million and $56.6 million, respectively, within other liabilities on our u naudited condensed consolidated balance sheets reflecting the best estimate of probable loss in this case based on the judgment plus associated post-judgment interest. However, it is reasonably possible that the estimate of the loss could change based on the progression of the case, including the appeals process. We will continue to monitor the status of the case and will adjust the accrual in the period in which any significant change occurs which could impact the estimate of the loss for this matter. In January 2023, MCBC USA received a Notice of Violation / Cease and Desist Order (“Order”) from the Colorado Department of Public Health & Environment’s Water Quality Control Division, alleging certain violations of the Colorado Water Quality Control Act and the Colorado Discharge Permit related to our Company’s brewery and facilities in Golden, Colorado. The Order alleged MCBC USA failed to comply with permit effluent limitations, failed to properly monitor and report sampling results, and failed to adhere to the permit compliance schedule. Regulatory Contingencies In June 2019, the Ontario government adopted a bill that, if enacted, would terminate a 10-year Master Framework Agreement that was originally signed in 2015 between the previous government administration and Molson Canada 2005, a wholly owned indirect subsidiary of our Company, Labatt Brewing Company Limited, Sleeman Breweries Ltd. and Brewers Retail Inc. and dictates the terms of the beer distribution and retail systems in Ontario through 2025. The government has not proclaimed the bill as law and the impacts of the potential legislative changes are unknown at this time but could have a negative impact on the results of operations, cash flows and financial position of the Americas segment. Molson Canada 2005 and the other Master Framework Agreement signatories are prepared to vigorously defend our rights and pursue legal recourse, should the Master Framework Agreement be unilaterally terminated by the enactment of the 2019 legislation. The initial term of the Master Framework Agreement does not expire until December 31, 2025, and the Master Framework Agreement contains a provision requiring two-year advance notice of the government's intention to not renew the Master Framework Agreement. Guarantees and Indemnities We guarantee indebtedness and other obligations to banks and other third parties for some of our equity method investments and consolidated subsidiaries. As of September 30, 2023 and December 31, 2022, the unaudited condensed consolidated balance sheets include liabilities related to these guarantees of $33.4 million and $33.3 million, respectively. Separately, related to our Cervejarias Kaiser Brasil S.A. ("Kaiser") indemnities, we accrued $11.3 million, in aggregate, as of September 30, 2023. Our Kaiser liabilities are discussed in further detail within Part II.—Item 8. Financial Statements, Note 13, "Commitments and Contingencies" in our Annual Report and did not significantly change during the nine months ended September 30, 2023. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) MCBC stockholders' equity Foreign Gain (loss) on Pension and Equity method Accumulated (In millions) As of December 31, 2022 $ (875.2) $ 32.2 $ (335.1) $ (27.4) $ (1,205.5) Foreign currency translation adjustments (35.6) — — — (35.6) Reclassification of cumulative translation adjustment (1) (0.7) — — — (0.7) Gain (loss) on net investment hedges 10.7 — — — 10.7 Unrealized gain (loss) on derivative instruments — 52.2 — — 52.2 Reclassification of derivative (gain) loss to income (loss) — 1.3 — — 1.3 Reclassification of pension and other postretirement prior service (benefit) cost and net actuarial (gain) loss amortization and settlements to income (loss) — — (11.3) — (11.3) Ownership share of unconsolidated subsidiaries' other comprehensive income (loss) — — — 2.7 2.7 Tax benefit (expense) (0.3) (14.0) 2.8 (0.9) (12.4) As of September 30, 2023 $ (901.1) $ 71.7 $ (343.6) $ (25.6) $ (1,198.6) (1) As a result of the sale of our interest in Truss, the associated cumulative foreign currency translation adjustment was reclassified from AOCI. The impact of the cumulative foreign currency translation adjustment was recorded in other operating income (expense), net, as a component of the loss on sale when the entity was disposed during the third quarter of 2023. |
Other Operating Income (Expense
Other Operating Income (Expense), net | 9 Months Ended |
Sep. 30, 2023 | |
Unusual or Infrequent Items, or Both [Abstract] | |
Other Operating Income (Expense), net | Other Operating Income (Expense), net We have recorded incurred charges or realized benefits that we believe are significant to our current operating results warranting separate classification in other operating income (expense), net. Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 (In millions) Restructuring Employee-related charges (1) $ (1.6) $ 0.5 $ (1.9) $ — Asset abandonment and other restructuring costs 0.1 (0.1) 0.1 (1.2) Intangible and tangible asset impairments, excluding goodwill (2) (0.1) — (0.1) (28.6) Gains and (losses) on other disposals (3) (11.1) 4.9 (11.1) 6.9 Other operating income (expense), net $ (12.7) $ 5.3 $ (13.0) $ (22.9) (1) See the restructuring section within this footnote for a summary of our restructuring activities. (2) During the three months ended March 31, 2022, we identified a triggering event related to the Truss joint venture asset group within our Americas segment and recognized an impairment loss of $28.6 million, of which $12.1 million was attributable to the noncontrolling interest. The asset group was measured at fair value primarily using a market approach with Level 3 inputs. (3) During the three months ended September 30, 2023, we sold our controlling interest in Truss and recognized a loss of $11.1 million. See Note 3, "Investments" for further detail. Restructuring Activities Our restructuring activities include strategic exit activities such as the disposal or wind down of certain brewery locations. We continually evaluate our cost structure and seek opportunities for efficiencies and cost savings as part of ongoing and new initiatives. As such, we may incur additional restructuring related charges or adjustments to previously recorded charges in the future, however, we are unable to estimate the amount of charges at this time. The accrued restructuring balances as of September 30, 2023 represent expected future cash payments required to satisfy our remaining obligations, the majority of which we expect to be paid in the next 12 months. Americas EMEA&APAC Total (In millions) As of December 31, 2022 $ 3.6 $ 6.4 $ 10.0 Charges incurred and changes in estimates — 1.9 1.9 Payments made (2.3) (5.2) (7.5) Foreign currency and other adjustments 0.1 — 0.1 As of September 30, 2023 $ 1.4 $ 3.1 $ 4.5 Americas EMEA&APAC Total (In millions) As of December 31, 2021 $ 10.9 $ 1.5 $ 12.4 Payments made (5.4) (0.6) (6.0) Foreign currency and other adjustments (0.4) (0.2) (0.6) As of September 30, 2022 $ 5.1 $ 0.7 $ 5.8 |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting Our reporting segments are based on the key geographic regions in which we operate and include the Americas and EMEA&APAC segments. Our Americas segment operates in the U.S., Canada and various countries in the Caribbean, Latin and South America and our EMEA&APAC segment operates in Bulgaria, Croatia, Czech Republic, Hungary, Montenegro, the Republic of Ireland, Romania, Serbia, the U.K., various other European countries and certain countries within the Middle East, Africa and Asia Pacific. We also have certain activity that is not allocated to our segments, which has been reflected as “Unallocated” below. Specifically, "Unallocated" activity primarily includes financing-related costs such as interest expense and income, foreign exchange gains and losses on intercompany balances and realized and unrealized changes in fair value on instruments not designated in hedging relationships related to financing and other treasury-related activities and the unrealized changes in fair value on our commodity swaps not designated in hedging relationships recorded within cost of goods sold, which are later reclassified when realized to the segment in which the underlying exposure resides. Additionally, only the service cost component of net periodic pension and OPEB cost is reported within each operating segment and all other components remain unallocated. Summarized Financial Information No single customer accounted for more than 10% of our consolidated net sales for the three and nine months ended September 30, 2023 and September 30, 2022. Consolidated net sales represent sales to third-party external customers less excise taxes. Inter-segment transactions impacting net sales and income (loss) before income taxes eliminate upon consolidation and are primarily related to the Americas segment royalties received from, and sales to the EMEA&APAC segment. The following tables present net sales and income (loss) before income taxes by segment: Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 (In millions) Americas $ 2,633.4 $ 2,376.6 $ 7,194.1 $ 6,580.2 EMEA&APAC 670.4 562.6 1,729.5 1,502.0 Inter-segment net sales eliminations (5.4) (4.0) (12.3) (10.7) Consolidated net sales $ 3,298.4 $ 2,935.2 $ 8,911.3 $ 8,071.5 Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 (In millions) Americas $ 483.5 $ 377.0 $ 1,204.2 $ 812.1 EMEA&APAC 67.5 46.4 106.3 48.6 Unallocated (7.0) (150.4) (223.5) (359.1) Consolidated income (loss) before income taxes $ 544.0 $ 273.0 $ 1,087.0 $ 501.6 The following table presents total assets by segment: As of September 30, 2023 December 31, 2022 (In millions) Americas $ 22,812.5 $ 22,242.7 EMEA&APAC 3,755.9 3,625.6 Consolidated total assets $ 26,568.4 $ 25,868.3 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ 430.7 | $ 216.4 | $ 845.6 | $ 415.2 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Segments | Our reporting segments include Americas and EMEA&APAC. Our Americas segment operates in the U.S., Canada and various countries in the Caribbean, Latin and South America, and our EMEA&APAC segment operates in Bulgaria, Croatia, Czech Republic, Hungary, Montenegro, the Republic of Ireland, Romania, Serbia, the U.K., various other European countries and certain countries within the Middle East, Africa and Asia Pacific. |
Basis of Accounting | The accompanying unaudited condensed consolidated financial statements reflect all adjustments which are necessary for a fair statement of the financial position, results of operations and cash flows for the periods presented in accordance with U.S. GAAP. Such unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. |
New Accounting Pronouncements Recently Adopted | New Accounting Pronouncements Recently Adopted In March 2020, the FASB issued authoritative guidance which provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The amendments apply only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform and was effective for all entities upon issuance on March 12, 2020 and remains effective through December 31, 2024. The guidance permits a company to elect certain optional expedients and exceptions when affected by the changes in reference rate reform. We have adopted this guidance and elected to apply certain optional expedients related to our derivative instruments with maturity dates extending beyond the discontinuance date of LIBOR. Specifically, in May 2023, we amended our 2026 forward starting interest rate swaps to replace LIBOR with SOFR and applied the optional expedients to account for the transition. None of the changes made as a result of reference rate reform had a material impact on our financial statements. In September 2022, the FASB issued authoritative guidance intended to provide consistent and transparent disclosures for a buyer in a supplier finance program by requiring disclosures of key program terms, the amount of obligations that have been confirmed as valid with the finance provider that are deemed outstanding as of the end of the period, a description of the financial line item in which this unpaid balance resides and a rollforward of the obligations including the amount of obligations confirmed and paid. We adopted this guidance, with the exception of the rollforward disclosure requirement, in our quarterly report for the three months ended March 31, 2023. See Note 1, "Basis of Presentation and Summary of Significant Accounting Policies" for additional information on our supplier finance program. The rollforward disclosure requirement is effective for us in our annual report for the year ending December 31, 2024 and is required to be applied prospectively. Other than the items noted above, there have been no new accounting pronouncements not yet effective or adopted in the current year that we believe have a significant impact, or potential significant impact, on our unaudited condensed consolidated financial statements. |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Share Repurchase Program | The following table presents the shares repurchased under the share repurchase program, excluding excise taxes, for the three and nine months ended September 30, 2023 and September 30, 2022: Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Shares repurchased 505,000 230,000 980,000 740,000 Weighted average price, including brokerage commissions $ 67.67 $ 54.50 $ 62.10 $ 52.36 Aggregate value (in millions) $ 34.2 $ 12.6 $ 60.9 $ 38.8 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedules of Consolidated Investments | The following summarizes the assets and liabilities of our consolidated VIEs (including noncontrolling interests): As of September 30, 2023 December 31, 2022 Total Assets Total Liabilities Total Assets Total Liabilities (In millions) RMMC/RMBC $ 250.3 $ 20.4 $ 228.2 $ 21.2 Other $ 5.2 $ 3.0 $ 43.3 $ 16.1 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | As of September 30, 2023 December 31, 2022 (In millions) Finished goods $ 296.3 $ 269.1 Work in process 100.9 71.9 Raw materials 294.7 290.4 Packaging materials 160.7 161.5 Inventories, net $ 852.6 $ 792.9 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of changes in goodwill | The changes in the gross carrying value of goodwill and accumulated impairment losses are presented in the table below by segment. Americas EMEA&APAC (1) Consolidated (In millions) Gross carrying value of goodwill $ 6,790.4 $ 1,387.6 $ 8,178.0 Accumulated impairment losses (1,498.5) (1,387.6) (2,886.1) Balance as of December 31, 2022 $ 5,291.9 $ — $ 5,291.9 Acquisition (2) 29.3 — 29.3 Foreign currency translation, net (0.4) — (0.4) Gross carrying value of goodwill 6,818.2 1,384.7 8,202.9 Accumulated impairment losses (1,497.4) (1,384.7) (2,882.1) Balance as of September 30, 2023 $ 5,320.8 $ — $ 5,320.8 (1) The EMEA&APAC goodwill balance was fully impaired during the year ended December 31, 2020. Subsequent changes in the gross carrying value of goodwill and accumulated impairment loss balances are due to fluctuations in foreign currency exchange rates, which are presented net in the table above. (2) Goodwill acquired in the Americas was related to the Blue Run acquisition as discussed above in Note 1, "Basis of Presentation and Summary of Significant Accounting Policies" . The goodwill acquired is not deductible for tax purposes. |
Schedule of finite-lived intangible assets | The following table presents details of our intangible assets, other than goodwill, as of September 30, 2023: Useful life Gross Accumulated Net (Years) (In millions) Intangible assets subject to amortization Brands 10 - 50 $ 4,934.9 $ (1,561.1) $ 3,373.8 License agreements and distribution rights 10 - 20 201.9 (113.5) 88.4 Other 5 - 40 84.6 (25.2) 59.4 Intangible assets not subject to amortization Brands Indefinite 8,137.9 — 8,137.9 Distribution networks Indefinite 745.1 — 745.1 Other Indefinite 307.6 — 307.6 Total $ 14,412.0 $ (1,699.8) $ 12,712.2 The following table presents details of our intangible assets, other than goodwill, as of December 31, 2022: Useful life Gross Accumulated Net (Years) (In millions) Intangible assets subject to amortization Brands 10 - 50 $ 4,861.1 $ (1,416.7) $ 3,444.4 License agreements and distribution rights 15 - 20 200.0 (108.0) 92.0 Other 5 - 40 88.8 (27.7) 61.1 Intangible assets not subject to amortization Brands Indefinite 8,148.6 — 8,148.6 Distribution networks Indefinite 746.4 — 746.4 Other Indefinite 307.6 — 307.6 Total $ 14,352.5 $ (1,552.4) $ 12,800.1 |
Schedule of indefinite-lived intangible assets | The following table presents details of our intangible assets, other than goodwill, as of September 30, 2023: Useful life Gross Accumulated Net (Years) (In millions) Intangible assets subject to amortization Brands 10 - 50 $ 4,934.9 $ (1,561.1) $ 3,373.8 License agreements and distribution rights 10 - 20 201.9 (113.5) 88.4 Other 5 - 40 84.6 (25.2) 59.4 Intangible assets not subject to amortization Brands Indefinite 8,137.9 — 8,137.9 Distribution networks Indefinite 745.1 — 745.1 Other Indefinite 307.6 — 307.6 Total $ 14,412.0 $ (1,699.8) $ 12,712.2 The following table presents details of our intangible assets, other than goodwill, as of December 31, 2022: Useful life Gross Accumulated Net (Years) (In millions) Intangible assets subject to amortization Brands 10 - 50 $ 4,861.1 $ (1,416.7) $ 3,444.4 License agreements and distribution rights 15 - 20 200.0 (108.0) 92.0 Other 5 - 40 88.8 (27.7) 61.1 Intangible assets not subject to amortization Brands Indefinite 8,148.6 — 8,148.6 Distribution networks Indefinite 746.4 — 746.4 Other Indefinite 307.6 — 307.6 Total $ 14,352.5 $ (1,552.4) $ 12,800.1 |
Schedule of future amortization expense | Based on foreign exchange rates as of September 30, 2023, the estimated future amortization expense of intangible assets is as follows: Fiscal year Amount (In millions) 2023 - remaining $ 52.4 2024 $ 208.4 2025 $ 208.4 2026 $ 189.9 2027 $ 125.5 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Supplemental Balance Sheet Lease Information | Supplemental balance sheet information related to leases as of September 30, 2023 and December 31, 2022 was as follows: As of September 30, 2023 December 31, 2022 Balance Sheet Classification (In millions) Operating Leases Operating lease right-of-use assets Other assets $ 199.8 $ 132.7 Current operating lease liabilities Accounts payable and other current liabilities $ 48.1 $ 44.7 Non-current operating lease liabilities Other liabilities 162.0 99.3 Total operating lease liabilities $ 210.1 $ 144.0 Finance Leases Finance lease right-of-use assets Properties, net $ 45.8 $ 50.2 Current finance lease liabilities Current portion of long-term debt and short-term borrowings $ 5.0 $ 5.3 Non-current finance lease liabilities Long-term debt 47.7 56.2 Total finance lease liabilities $ 52.7 $ 61.5 |
Supplemental Cash Flow Lease Information | Supplemental cash flow information related to leases for the nine months ended September 30, 2023 and September 30, 2022 was as follows: Nine Months Ended September 30, 2023 September 30, 2022 (In millions) Cash paid for amounts included in the measurements of lease liabilities Operating cash flows from operating leases $ 43.2 $ 38.9 Operating cash flows from finance leases $ 2.8 $ 2.7 Financing cash flows from finance leases $ 3.7 $ 3.0 Supplemental non-cash information on right-of-use assets obtained in exchange for new lease liabilities Operating leases $ 104.1 $ 40.4 Finance leases $ 0.8 $ 3.7 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt Obligations | Debt Obligations As of September 30, 2023 December 31, 2022 (In millions) Long-term debt CAD 500 million 2.84% notes due July 2023 (1) $ — $ 368.9 EUR 800 million 1.25% notes due July 2024 845.8 856.4 CAD 500 million 3.44% notes due July 2026 368.3 368.9 $2.0 billion 3.0% notes due July 2026 2,000.0 2,000.0 $1.1 billion 5.0% notes due May 2042 1,100.0 1,100.0 $1.8 billion 4.2% notes due July 2046 1,800.0 1,800.0 Finance leases 52.7 61.5 Other 23.2 25.4 Less: unamortized debt discounts and debt issuance costs (36.5) (39.7) Total long-term debt (including current portion) 6,153.5 6,541.4 Less: current portion of long-term debt (852.4) (376.2) Total long-term debt $ 5,301.1 $ 6,165.2 Short-term borrowings (2) 26.4 20.9 Current portion of long-term debt 852.4 376.2 Current portion of long-term debt and short-term borrowings $ 878.8 $ 397.1 (1) We repaid our CAD 500 million 2.84% notes upon maturity on July 15, 2023 using cash on hand. (2) Our short-term borrowings include bank overdrafts, borrowings on our overdraft facilities and other items. As of September 30, 2023, we had $21.4 million in bank overdrafts and $121.1 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $99.7 million. As of December 31, 2022, we had $15.9 million in bank overdrafts and $49.7 million in bank cash related to our cross-border, cross-currency cash pool for a net positive position of $33.8 million. |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Assets and Liabilities at Fair Value | The table below summarizes our derivative assets and liabilities that were measured at fair value as of September 30, 2023 and December 31, 2022. Fair value measurements as of September 30, 2023 As of September 30, 2023 Quoted prices in Significant other Significant (In millions) Forward starting interest rate swaps $ 91.9 $ — $ 91.9 $ — Foreign currency forwards 5.0 — 5.0 — Commodity swaps and options (12.9) — (12.9) — Total $ 84.0 $ — $ 84.0 $ — Fair value measurements as of December 31, 2022 As of December 31, 2022 Quoted prices in Significant other Significant (In millions) Forward starting interest rate swaps $ 40.0 $ — $ 40.0 $ — Foreign currency forwards 7.6 — 7.6 — Commodity swaps and options 69.0 — 69.0 — Total $ 116.6 $ — $ 116.6 $ — |
Fair Value of Derivative Instruments in the Condensed Consolidated Balance Sheets | Fair Value of Derivative Instruments in the Unaudited Condensed Consolidated Balance Sheets (in millions): As of September 30, 2023 Derivative Assets Derivative Liabilities Notional amount Balance sheet location Fair value Balance sheet location Fair value Derivatives designated as hedging instruments Forward starting interest rate swaps $ 1,000.0 Other non-current assets $ 91.9 Other liabilities $ — Foreign currency forwards $ 215.5 Other current assets 3.9 Accounts payable and other current liabilities — Other non-current assets 1.1 Other liabilities — Total derivatives designated as hedging instruments $ 96.9 $ — Derivatives not designated as hedging instruments Commodity swaps (1) $ 608.4 Other current assets $ 24.1 Accounts payable and other current liabilities $ (37.3) Other non-current assets 5.8 Other liabilities (5.5) Total derivatives not designated as hedging instruments $ 29.9 $ (42.8) As of December 31, 2022 Derivative Assets Derivative Liabilities Notional amount Balance sheet location Fair value Balance sheet location Fair value Derivatives designated as hedging instruments Forward starting interest rate swaps $ 1,000.0 Other non-current assets $ 40.0 Other liabilities $ — Foreign currency forwards $ 176.6 Other current assets 6.2 Accounts payable and other current liabilities (0.1) Other non-current assets 1.6 Other liabilities (0.1) Total derivatives designated as hedging instruments $ 47.8 $ (0.2) Derivatives not designated as hedging instruments Commodity swaps (1) $ 525.2 Other current assets $ 86.1 Accounts payable and other current liabilities $ (14.1) Other non-current assets 7.4 Other liabilities (10.4) Commodity options (1) $ 19.7 Other current assets 0.8 Accounts payable and other current liabilities (0.8) Total derivatives not designated as hedging instruments $ 94.3 $ (25.3) |
The Effect of Derivative Instruments on the Condensed Consolidated Statements of Operations | The Pretax Effect of Cash Flow Hedge Accounting on Other Comprehensive Income (Loss), Accumulated Other Comprehensive Income (Loss) and Income (Loss) (in millions): Derivatives in cash flow hedge relationships Amount of gain Location of gain (loss) Amount of gain Three Months Ended September 30, 2023 Forward starting interest rate swaps $ 62.6 Interest income (expense), net $ (0.8) Foreign currency forwards 5.1 Cost of goods sold 1.1 Other non-operating income (expense), net (0.3) Total $ 67.7 $ — Three Months Ended September 30, 2022 Forward starting interest rate swaps $ 28.4 Interest income (expense), net $ (1.0) Foreign currency forwards 10.9 Cost of goods sold 0.5 Other non-operating income (expense), net (0.2) Total $ 39.3 $ (0.7) Derivatives in cash flow hedge relationships Amount of gain Location of gain (loss) Amount of gain Nine Months Ended September 30, 2023 Forward starting interest rate swaps $ 51.9 Interest income (expense), net $ (4.3) Foreign currency forwards 0.3 Cost of goods sold 3.8 Other non-operating income (expense), net (0.8) Total $ 52.2 $ (1.3) Nine Months Ended September 30, 2022 Forward starting interest rate swaps $ 196.2 Interest income (expense), net $ (13.3) Foreign currency forwards 14.6 Cost of goods sold 0.2 Other non-operating income (expense), net (0.1) Total $ 210.8 $ (13.2) The Pretax Effect of Net Investment Hedge Accounting on Other Comprehensive Income (Loss), Accumulated Other Comprehensive Income (Loss) and Income (Loss) (in millions): Net investment hedge relationships Amount of gain Location of gain (loss) recognized in income (amount excluded from effectiveness testing) Amount of gain (loss) recognized in income (amount excluded from effectiveness testing) (1) Three Months Ended September 30, 2023 EUR 800 million notes due 2024 27.0 Other non-operating income (expense), net — Total $ 27.0 $ — Three Months Ended September 30, 2022 EUR 800 million notes due 2024 54.5 Other non-operating income (expense), net — Total $ 54.5 $ — Net investment hedge relationships Amount of gain Location of gain (loss) recognized in income (amount excluded from effectiveness testing) Amount of gain (loss) recognized in income (amount excluded from effectiveness testing) (1) Nine Months Ended September 30, 2023 EUR 800 million notes due 2024 10.7 Other non-operating income (expense), net — Total $ 10.7 $ — Nine Months Ended September 30, 2022 EUR 800 million notes due 2024 125.4 Other non-operating income (expense), net — Total $ 125.4 $ — (1) Represents amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and period amortization is recorded in other comprehensive income. |
Derivatives Not Designated as Hedging Instruments | The Effect of Derivatives Not Designated as Hedging Instruments on the Unaudited Condensed Consolidated Statements of Operations (in millions): Derivatives not in hedging relationships Location of gain (loss) recognized in Amount of gain (loss) recognized in Three Months Ended September 30, 2023 Commodity swaps Cost of goods sold 35.6 Foreign currency forwards Other non-operating income (expense), net 0.8 Total $ 36.4 Three Months Ended September 30, 2022 Commodity swaps Cost of goods sold (42.2) Total $ (42.2) Derivatives not in hedging relationships Location of gain (loss) recognized in Amount of gain (loss) recognized in Nine Months Ended September 30, 2023 Commodity swaps Cost of goods sold (44.0) Foreign currency forwards Other non-operating income (expense), net 2.7 Total $ (41.3) Nine Months Ended September 30, 2022 Commodity swaps Cost of goods sold 33.0 Total $ 33.0 |
Income Tax (Tables)
Income Tax (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate | Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Effective tax rate 21 % 20 % 22 % 20 % |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | MCBC stockholders' equity Foreign Gain (loss) on Pension and Equity method Accumulated (In millions) As of December 31, 2022 $ (875.2) $ 32.2 $ (335.1) $ (27.4) $ (1,205.5) Foreign currency translation adjustments (35.6) — — — (35.6) Reclassification of cumulative translation adjustment (1) (0.7) — — — (0.7) Gain (loss) on net investment hedges 10.7 — — — 10.7 Unrealized gain (loss) on derivative instruments — 52.2 — — 52.2 Reclassification of derivative (gain) loss to income (loss) — 1.3 — — 1.3 Reclassification of pension and other postretirement prior service (benefit) cost and net actuarial (gain) loss amortization and settlements to income (loss) — — (11.3) — (11.3) Ownership share of unconsolidated subsidiaries' other comprehensive income (loss) — — — 2.7 2.7 Tax benefit (expense) (0.3) (14.0) 2.8 (0.9) (12.4) As of September 30, 2023 $ (901.1) $ 71.7 $ (343.6) $ (25.6) $ (1,198.6) (1) As a result of the sale of our interest in Truss, the associated cumulative foreign currency translation adjustment was reclassified from AOCI. The impact of the cumulative foreign currency translation adjustment was recorded in other operating income (expense), net, as a component of the loss on sale when the entity was disposed during the third quarter of 2023. |
Other Operating Income (Expen_2
Other Operating Income (Expense), net (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Unusual or Infrequent Items, or Both [Abstract] | |
Schedule of Other Operating Income (Expense) | We have recorded incurred charges or realized benefits that we believe are significant to our current operating results warranting separate classification in other operating income (expense), net. Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 (In millions) Restructuring Employee-related charges (1) $ (1.6) $ 0.5 $ (1.9) $ — Asset abandonment and other restructuring costs 0.1 (0.1) 0.1 (1.2) Intangible and tangible asset impairments, excluding goodwill (2) (0.1) — (0.1) (28.6) Gains and (losses) on other disposals (3) (11.1) 4.9 (11.1) 6.9 Other operating income (expense), net $ (12.7) $ 5.3 $ (13.0) $ (22.9) (1) See the restructuring section within this footnote for a summary of our restructuring activities. (2) During the three months ended March 31, 2022, we identified a triggering event related to the Truss joint venture asset group within our Americas segment and recognized an impairment loss of $28.6 million, of which $12.1 million was attributable to the noncontrolling interest. The asset group was measured at fair value primarily using a market approach with Level 3 inputs. (3) During the three months ended September 30, 2023, we sold our controlling interest in Truss and recognized a loss of $11.1 million. See Note 3, "Investments" |
Change in the restructuring accrual | The accrued restructuring balances as of September 30, 2023 represent expected future cash payments required to satisfy our remaining obligations, the majority of which we expect to be paid in the next 12 months. Americas EMEA&APAC Total (In millions) As of December 31, 2022 $ 3.6 $ 6.4 $ 10.0 Charges incurred and changes in estimates — 1.9 1.9 Payments made (2.3) (5.2) (7.5) Foreign currency and other adjustments 0.1 — 0.1 As of September 30, 2023 $ 1.4 $ 3.1 $ 4.5 Americas EMEA&APAC Total (In millions) As of December 31, 2021 $ 10.9 $ 1.5 $ 12.4 Payments made (5.4) (0.6) (6.0) Foreign currency and other adjustments (0.4) (0.2) (0.6) As of September 30, 2022 $ 5.1 $ 0.7 $ 5.8 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Net sales by segment | The following tables present net sales and income (loss) before income taxes by segment: Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 (In millions) Americas $ 2,633.4 $ 2,376.6 $ 7,194.1 $ 6,580.2 EMEA&APAC 670.4 562.6 1,729.5 1,502.0 Inter-segment net sales eliminations (5.4) (4.0) (12.3) (10.7) Consolidated net sales $ 3,298.4 $ 2,935.2 $ 8,911.3 $ 8,071.5 |
Income (loss) before income taxes by segment | Three Months Ended Nine Months Ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 (In millions) Americas $ 483.5 $ 377.0 $ 1,204.2 $ 812.1 EMEA&APAC 67.5 46.4 106.3 48.6 Unallocated (7.0) (150.4) (223.5) (359.1) Consolidated income (loss) before income taxes $ 544.0 $ 273.0 $ 1,087.0 $ 501.6 |
Total assets by segment | The following table presents total assets by segment: As of September 30, 2023 December 31, 2022 (In millions) Americas $ 22,812.5 $ 22,242.7 EMEA&APAC 3,755.9 3,625.6 Consolidated total assets $ 26,568.4 $ 25,868.3 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies - Anti-Dilutive Securities (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Anti-dilutive securities excluded from the computation of diluted EPS (in shares) | 0.3 | 0.8 | 0.6 | 0.9 |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies - Dividends (Details) | 3 Months Ended | 9 Months Ended | ||||||
Jul. 13, 2023 $ / shares | Jul. 13, 2023 $ / shares | Sep. 30, 2022 $ / shares | Sep. 30, 2022 $ / shares | Sep. 30, 2023 $ / shares | Sep. 30, 2023 $ / shares | Sep. 30, 2022 $ / shares | Sep. 30, 2022 $ / shares | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||
Dividends declared (in dollars per share) | $ 0.41 | $ 0.38 | $ 1.23 | $ 1.14 | ||||
Dividends paid (in dollars per share) | $ 0.53 | $ 0.49 | $ 1.63 | $ 1.45 |
Basis of Presentation and Sum_6
Basis of Presentation and Summary of Significant Accounting Policies - Share Repurchase Program (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 29, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||
Stock repurchase program, authorized amount | $ 2,000 | $ 200 | ||||
Program term | 5 years | |||||
Shares repurchased (in shares) | 505 | 230 | 980 | 740 | ||
Weighted average price (in dollars per share) | $ 67.67 | $ 54.50 | $ 62.10 | $ 52.36 | ||
Aggregate value (in millions) | $ 34.2 | $ 12.6 | $ 60.9 | $ 38.8 |
Basis of Presentation and Sum_7
Basis of Presentation and Summary of Significant Accounting Policies - Non-Cash Activity (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Mar. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Capital expenditures incurred but not yet paid | $ 168.6 | $ 149.8 | ||
Stone Brewing Company v.s. MCBC | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Loss contingency accrual | 58.1 | $ 56.6 | $ 56 | |
Litigation interest | $ 1.5 |
Basis of Presentation and Sum_8
Basis of Presentation and Summary of Significant Accounting Policies - Share-Based Compensation (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
RSU, PSU and DSU Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 13.8 | $ 8.8 | $ 34.1 | $ 25.7 |
Basis of Presentation and Sum_9
Basis of Presentation and Summary of Significant Accounting Policies - Supplier Financing (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding supplier financing obligation | $ 145.7 | $ 135.2 |
Termination period | 30 days | |
Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Payment terms | 60 days | |
Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Payment terms | 120 days |
Basis of Presentation and Su_10
Basis of Presentation and Summary of Significant Accounting Policies - Acquisition (Details) - Blue Run Spirits, Inc. $ in Millions | Aug. 07, 2023 USD ($) |
Business Acquisition [Line Items] | |
Interest acquired | 75% |
Purchase price | $ 78 |
Cash paid | 65 |
Definite-lived brand intangible assets acquired | $ 88 |
Definite-lived intangible asset useful life | 15 years |
Investments - Narrative (Detail
Investments - Narrative (Details) $ in Millions | 9 Months Ended | ||
Aug. 03, 2023 USD ($) | Sep. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Variable Interest Entity | |||
Sale of ownership percentage | 0.575 | ||
Loss on disposal of business | $ 11.1 | ||
Guarantor liability | $ 33.4 | $ 33.3 | |
Options to purchase additional shares, percentage increase | 0.50 | ||
Trading period | 90 days | ||
BRI & BDL | |||
Variable Interest Entity | |||
Guarantor liability | $ 32.9 | $ 33.3 | |
ZOA Energy LLC | |||
Variable Interest Entity | |||
Ownership interest | 40% |
Investments - Variable Interest
Investments - Variable Interest Entity (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Variable Interest Entity | ||
Total Assets | $ 26,568.4 | $ 25,868.3 |
Total Liabilities | 13,080.4 | 12,953.1 |
RMMC/RMBC | ||
Variable Interest Entity | ||
Total Assets | 250.3 | 228.2 |
Total Liabilities | 20.4 | 21.2 |
Other | ||
Variable Interest Entity | ||
Total Assets | 5.2 | 43.3 |
Total Liabilities | $ 3 | $ 16.1 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 296.3 | $ 269.1 |
Work in process | 100.9 | 71.9 |
Raw materials | 294.7 | 290.4 |
Packaging materials | 160.7 | 161.5 |
Inventories, net | $ 852.6 | $ 792.9 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Changes in Goodwill (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Goodwill [Roll Forward] | ||
Gross carrying value of goodwill, beginning balance | $ 8,178 | |
Accumulated impairment losses | (2,882.1) | $ (2,886.1) |
Balance, beginning of the year | 5,291.9 | |
Acquisition (2) | 29.3 | |
Foreign currency translation, net | (0.4) | |
Gross carrying value of goodwill, ending balance | 8,202.9 | |
Balance, ending of the year | 5,320.8 | |
Americas | ||
Goodwill [Roll Forward] | ||
Gross carrying value of goodwill, beginning balance | 6,790.4 | |
Accumulated impairment losses | (1,497.4) | (1,498.5) |
Balance, beginning of the year | 5,291.9 | |
Acquisition (2) | 29.3 | |
Foreign currency translation, net | (0.4) | |
Gross carrying value of goodwill, ending balance | 6,818.2 | |
Balance, ending of the year | 5,320.8 | |
EMEA&APAC | ||
Goodwill [Roll Forward] | ||
Gross carrying value of goodwill, beginning balance | 1,387.6 | |
Accumulated impairment losses | (1,384.7) | $ (1,387.6) |
Balance, beginning of the year | 0 | |
Acquisition (2) | 0 | |
Foreign currency translation, net | 0 | |
Gross carrying value of goodwill, ending balance | 1,384.7 | |
Balance, ending of the year | $ 0 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Intangible assets subject to amortization: | ||
Accumulated amortization | $ (1,699.8) | $ (1,552.4) |
Total | ||
Gross | 14,412 | 14,352.5 |
Accumulated amortization | (1,699.8) | (1,552.4) |
Net | 12,712.2 | 12,800.1 |
Brands | ||
Intangible assets subject to amortization: | ||
Gross | 4,934.9 | 4,861.1 |
Accumulated amortization | (1,561.1) | (1,416.7) |
Net | 3,373.8 | 3,444.4 |
Total | ||
Accumulated amortization | (1,561.1) | (1,416.7) |
License agreements and distribution rights | ||
Intangible assets subject to amortization: | ||
Gross | 201.9 | 200 |
Accumulated amortization | (113.5) | (108) |
Net | 88.4 | 92 |
Total | ||
Accumulated amortization | (113.5) | (108) |
Other | ||
Intangible assets subject to amortization: | ||
Gross | 84.6 | 88.8 |
Accumulated amortization | (25.2) | (27.7) |
Net | 59.4 | 61.1 |
Total | ||
Accumulated amortization | $ (25.2) | $ (27.7) |
Minimum | Brands | ||
Intangible assets subject to amortization: | ||
Useful life | 10 years | 10 years |
Minimum | License agreements and distribution rights | ||
Intangible assets subject to amortization: | ||
Useful life | 10 years | 15 years |
Minimum | Other | ||
Intangible assets subject to amortization: | ||
Useful life | 5 years | 5 years |
Maximum | Brands | ||
Intangible assets subject to amortization: | ||
Useful life | 50 years | 50 years |
Maximum | License agreements and distribution rights | ||
Intangible assets subject to amortization: | ||
Useful life | 20 years | 20 years |
Maximum | Other | ||
Intangible assets subject to amortization: | ||
Useful life | 40 years | 40 years |
Brands | ||
Intangible assets not subject to amortization: | ||
Gross | $ 8,137.9 | $ 8,148.6 |
Distribution networks | ||
Intangible assets not subject to amortization: | ||
Gross | 745.1 | 746.4 |
Other | ||
Intangible assets not subject to amortization: | ||
Gross | $ 307.6 | $ 307.6 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Amortization Expense (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Estimated amortization expense of finite-lived intangible assets | |
2023 - remaining | $ 52.4 |
2024 | 208.4 |
2025 | 208.4 |
2026 | 189.9 |
2027 | $ 125.5 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Oct. 01, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||||
Amortization expense of intangible assets | $ 52.4 | $ 51.8 | $ 154.9 | $ 157.3 | |
Fair value in excess of carrying value threshold | 15% |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Lease Information (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Operating Leases | ||
Operating lease right-of-use assets | $ 199.8 | $ 132.7 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets |
Current operating lease liabilities | $ 48.1 | $ 44.7 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accounts payable and other current liabilities | Accounts payable and other current liabilities |
Non-current operating lease liabilities | $ 162 | $ 99.3 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other liabilities | Other liabilities |
Total operating lease liabilities | $ 210.1 | $ 144 |
Finance Leases | ||
Finance lease right-of-use assets | $ 45.8 | $ 50.2 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Properties, net | Properties, net |
Current finance lease liabilities | $ 5 | $ 5.3 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Current portion of long-term debt and short-term borrowings | Current portion of long-term debt and short-term borrowings |
Non-current finance lease liabilities | $ 47.7 | $ 56.2 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term debt | Long-term debt |
Total finance lease liabilities | $ 52.7 | $ 61.5 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Lease Information (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash paid for amounts included in the measurements of lease liabilities | ||
Operating cash flows from operating leases | $ 43.2 | $ 38.9 |
Operating cash flows from finance leases | 2.8 | 2.7 |
Financing cash flows from finance leases | 3.7 | 3 |
Supplemental non-cash information on right-of-use assets obtained in exchange for new lease liabilities | ||
Operating leases | 104.1 | 40.4 |
Finance leases | $ 0.8 | $ 3.7 |
Debt - Schedule (Details)
Debt - Schedule (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Finance leases | $ 52.7 | $ 61.5 |
Less: unamortized debt discounts and debt issuance costs | (36.5) | (39.7) |
Total long-term debt (including current portion) | 6,153.5 | 6,541.4 |
Current portion of long-term debt | 852.4 | 376.2 |
Total long-term debt | 5,301.1 | 6,165.2 |
Short-term borrowings | 26.4 | 20.9 |
Current portion of long-term debt and short-term borrowings | 878.8 | 397.1 |
Senior notes | CAD 500 million 2.84% notes due July 2023(1) | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | 0 | 368.9 |
Senior notes | EUR 800 million 1.25% notes due July 2024 | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | 845.8 | 856.4 |
Senior notes | CAD 500 million 3.44% notes due July 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | 368.3 | 368.9 |
Senior notes | $2.0 billion 3.0% notes due July 2026 | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | 2,000 | 2,000 |
Senior notes | $1.1 billion 5.0% notes due May 2042 | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | 1,100 | 1,100 |
Senior notes | $1.8 billion 4.2% notes due July 2046 | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | 1,800 | 1,800 |
Other | ||
Debt Instrument [Line Items] | ||
Long-term debt, carrying amount | $ 23.2 | $ 25.4 |
Debt - Schedule (Parenthetical)
Debt - Schedule (Parenthetical) (Details) | Sep. 30, 2023 EUR (€) | Sep. 30, 2023 CAD ($) | Sep. 30, 2023 USD ($) | Jun. 30, 2023 CAD ($) |
CAD 500 million 2.84% notes due July 2023(1) | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 500,000,000 | |||
Debt Instrument, interest rate | 2.84% | |||
EUR 800 million 1.25% notes due July 2024 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | € | € 800,000,000 | |||
Debt Instrument, interest rate | 1.25% | 1.25% | 1.25% | |
CAD 500 million 3.44% notes due July 2026 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 500,000,000 | |||
Debt Instrument, interest rate | 3.44% | 3.44% | 3.44% | |
$2.0 billion 3.0% notes due July 2026 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 2,000,000,000 | |||
Debt Instrument, interest rate | 3% | 3% | 3% | |
$1.1 billion 5.0% notes due May 2042 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 1,100,000,000 | |||
Debt Instrument, interest rate | 5% | 5% | 5% | |
$1.8 billion 4.2% notes due July 2046 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 1,800,000,000 | |||
Debt Instrument, interest rate | 4.20% | 4.20% | 4.20% |
Debt - Narrative (Details)
Debt - Narrative (Details) | 3 Months Ended | 9 Months Ended | ||||
Jun. 30, 2023 USD ($) | Sep. 30, 2023 USD ($) | Sep. 28, 2023 USD ($) | Jun. 26, 2023 USD ($) | Jun. 25, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Debt Instrument [Line Items] | ||||||
Long-term debt, fair value | $ 5,400,000,000 | $ 5,900,000,000 | ||||
Commercial paper | ||||||
Debt Instrument [Line Items] | ||||||
Commercial paper borrowings | 0 | 0 | ||||
Revolving credit facility | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, maximum borrowing capacity | $ 2,000,000,000 | $ 1,500,000,000 | ||||
Debt issuance costs | $ 5,200,000 | |||||
Revolving credit facility | Standby Letters of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, maximum borrowing capacity | 150,000,000 | |||||
Revolving credit facility | Line of credit | ||||||
Debt Instrument [Line Items] | ||||||
Commercial paper borrowings | $ 0 | 0 | ||||
Revolving credit facility | Line of credit | Quarter Ending March 31, 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Quarterly leverage ratio, further reduction | 4 | |||||
Revolving credit facility | Commercial paper | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, maximum borrowing capacity | $ 2,000,000,000 | |||||
EMEA&APAC | ||||||
Debt Instrument [Line Items] | ||||||
Overdraft facility | $ 21,400,000 | 15,900,000 | ||||
Bank cash | 121,100,000 | 49,700,000 | ||||
Bank cash, net of overdrafts | 99,700,000 | 33,800,000 | ||||
USD, CAD and GBP Overdraft Facility | ||||||
Debt Instrument [Line Items] | ||||||
Short-term debt | $ 0 | $ 0 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities - Narrative (Details) $ in Millions, $ in Millions | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Jun. 30, 2023 CAD ($) | Jun. 30, 2023 USD ($) | Apr. 30, 2022 USD ($) | |
Schedule of Trading Securities and Other Trading Assets | ||||
Cash flow hedge gain, recorded in AOCI to be reclassed within twelve months | $ 1 | |||
Reclassification term | 12 months | |||
Maximum term of time in cash flow hedge | 3 years | |||
Foreign currency forwards | Not designated as hedging instruments | ||||
Schedule of Trading Securities and Other Trading Assets | ||||
Foreign exchange forward contracts | $ 260 | $ 195 | ||
$500 million 3.5% notes due 2022 | ||||
Schedule of Trading Securities and Other Trading Assets | ||||
Debt instrument, face amount | $ 500 | |||
Debt Instrument, interest rate | 3.50% | |||
CAD 500 million 2.84% notes due July 2023(1) | ||||
Schedule of Trading Securities and Other Trading Assets | ||||
Debt instrument, face amount | $ 500 | |||
Debt Instrument, interest rate | 2.84% | 2.84% |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities - Derivative Fair Value (Details) - Fair value, recurring - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | $ 84 | $ 116.6 |
Forward starting interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 91.9 | 40 |
Foreign currency forwards | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 5 | 7.6 |
Commodity swaps and options | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | (12.9) | 69 |
Quoted prices in active markets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Quoted prices in active markets (Level 1) | Forward starting interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Quoted prices in active markets (Level 1) | Foreign currency forwards | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Quoted prices in active markets (Level 1) | Commodity swaps and options | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Significant other observable inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 84 | 116.6 |
Significant other observable inputs (Level 2) | Forward starting interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 91.9 | 40 |
Significant other observable inputs (Level 2) | Foreign currency forwards | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 5 | 7.6 |
Significant other observable inputs (Level 2) | Commodity swaps and options | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | (12.9) | 69 |
Significant unobservable inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Significant unobservable inputs (Level 3) | Forward starting interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Significant unobservable inputs (Level 3) | Foreign currency forwards | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | 0 | 0 |
Significant unobservable inputs (Level 3) | Commodity swaps and options | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivatives, fair value, net | $ 0 | $ 0 |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities - Fair Value Balance Sheet (Details) $ in Millions, $ in Millions | Sep. 30, 2023 USD ($) | Jun. 30, 2023 CAD ($) | Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Derivatives designated as hedging instruments | ||||
Derivative asset, fair value, designated as hedging instrument | $ 96.9 | $ 47.8 | ||
Derivative liability, fair value, designated as hedging instrument | 0 | (0.2) | ||
Derivatives not designated as hedging instruments | ||||
Derivative asset, not designated as hedging instrument, fair value | 29.9 | 94.3 | ||
Derivative liability, not designated as hedging instrument, fair value | (42.8) | (25.3) | ||
Forward starting interest rate swaps | Designated as hedging instruments | Cash flow hedges | ||||
Derivatives designated as hedging instruments | ||||
Notional amount | 1,000 | 1,000 | ||
Derivatives not designated as hedging instruments | ||||
Notional amount | 1,000 | 1,000 | ||
Foreign currency forwards | Designated as hedging instruments | Cash flow hedges | ||||
Derivatives designated as hedging instruments | ||||
Notional amount | 215.5 | 176.6 | ||
Derivatives not designated as hedging instruments | ||||
Notional amount | 215.5 | 176.6 | ||
Foreign currency forwards | Not designated as hedging instruments | ||||
Derivatives designated as hedging instruments | ||||
Notional amount | $ 260 | $ 195 | ||
Derivatives not designated as hedging instruments | ||||
Notional amount | $ 260 | $ 195 | ||
Commodity swaps | Not designated as hedging instruments | ||||
Derivatives designated as hedging instruments | ||||
Notional amount | 608.4 | 525.2 | ||
Derivatives not designated as hedging instruments | ||||
Notional amount | 608.4 | 525.2 | ||
Commodity options | Not designated as hedging instruments | ||||
Derivatives designated as hedging instruments | ||||
Notional amount | 19.7 | |||
Derivatives not designated as hedging instruments | ||||
Notional amount | 19.7 | |||
Other non-current assets | Forward starting interest rate swaps | ||||
Derivatives designated as hedging instruments | ||||
Derivative asset, fair value, designated as hedging instrument | 91.9 | 40 | ||
Other non-current assets | Foreign currency forwards | ||||
Derivatives designated as hedging instruments | ||||
Derivative asset, fair value, designated as hedging instrument | 1.1 | 1.6 | ||
Other non-current assets | Commodity swaps | ||||
Derivatives not designated as hedging instruments | ||||
Derivative asset, not designated as hedging instrument, fair value | 5.8 | 7.4 | ||
Other current assets | Foreign currency forwards | ||||
Derivatives designated as hedging instruments | ||||
Derivative asset, fair value, designated as hedging instrument | 3.9 | 6.2 | ||
Other current assets | Commodity swaps | ||||
Derivatives not designated as hedging instruments | ||||
Derivative asset, not designated as hedging instrument, fair value | 24.1 | 86.1 | ||
Other current assets | Commodity options | ||||
Derivatives not designated as hedging instruments | ||||
Derivative asset, not designated as hedging instrument, fair value | 0.8 | |||
Other liabilities | Forward starting interest rate swaps | ||||
Derivatives designated as hedging instruments | ||||
Derivative liability, fair value, designated as hedging instrument | 0 | 0 | ||
Other liabilities | Foreign currency forwards | ||||
Derivatives designated as hedging instruments | ||||
Derivative liability, fair value, designated as hedging instrument | 0 | (0.1) | ||
Other liabilities | Commodity swaps | ||||
Derivatives not designated as hedging instruments | ||||
Derivative liability, not designated as hedging instrument, fair value | (5.5) | (10.4) | ||
Accounts payable and other current liabilities | Foreign currency forwards | ||||
Derivatives designated as hedging instruments | ||||
Derivative liability, fair value, designated as hedging instrument | 0 | (0.1) | ||
Accounts payable and other current liabilities | Commodity swaps | ||||
Derivatives not designated as hedging instruments | ||||
Derivative liability, not designated as hedging instrument, fair value | $ (37.3) | (14.1) | ||
Accounts payable and other current liabilities | Commodity options | ||||
Derivatives not designated as hedging instruments | ||||
Derivative liability, not designated as hedging instrument, fair value | $ (0.8) |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities - Effect of Fair Value and Cash Flow Hedge Accounting (Details) - Cash flow hedges - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in OCI on derivatives | $ 67.7 | $ 39.3 | $ 52.2 | $ 210.8 |
Amount of gain (loss) recognized from AOCI into income on derivative | 0 | (0.7) | (1.3) | (13.2) |
Forward starting interest rate swap | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in OCI on derivatives | 62.6 | 28.4 | 51.9 | 196.2 |
Forward starting interest rate swap | Interest income (expense), net | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized from AOCI into income on derivative | (0.8) | (1) | (4.3) | (13.3) |
Foreign currency forwards | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized in OCI on derivatives | 5.1 | 10.9 | 0.3 | 14.6 |
Foreign currency forwards | Cost of goods sold | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized from AOCI into income on derivative | 1.1 | 0.5 | 3.8 | 0.2 |
Foreign currency forwards | Other non-operating income (expense), net | ||||
Derivative [Line Items] | ||||
Amount of gain (loss) recognized from AOCI into income on derivative | $ (0.3) | $ (0.2) | $ (0.8) | $ (0.1) |
Derivative Instruments and He_7
Derivative Instruments and Hedging Activities - Cash Flow Hedges (Details) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 EUR (€) | |
Net investment hedging | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Gain (loss) on net investment hedges | $ 27 | $ 54.5 | $ 10.7 | $ 125.4 | |
Amount of gain (loss) recognized in income on derivative (amount excluded from effectiveness testing) | 0 | 0 | 0 | 0 | |
EUR 800 million 1.25% notes due July 2024 | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Debt instrument, face amount | € | € 800,000,000 | ||||
EUR 800 million 1.25% notes due July 2024 | Senior notes | Net investment hedging | Other non-operating income (expense), net | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Gain (loss) on net investment hedges | 27 | 54.5 | 10.7 | 125.4 | |
Amount of gain (loss) recognized in income on derivative (amount excluded from effectiveness testing) | $ 0 | $ 0 | $ 0 | $ 0 |
Derivative Instruments and He_8
Derivative Instruments and Hedging Activities - Other Derivatives (Details) - Not designated as hedging instruments - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Gain (Loss) on Derivative Instruments: | ||||
Amount of gain (loss) recognized in income on derivative | $ 36.4 | $ (42.2) | $ (41.3) | $ 33 |
Commodity swaps | Cost of goods sold | ||||
Gain (Loss) on Derivative Instruments: | ||||
Amount of gain (loss) recognized in income on derivative | 35.6 | $ (42.2) | (44) | $ 33 |
Foreign currency forwards | Other non-operating income (expense), net | ||||
Gain (Loss) on Derivative Instruments: | ||||
Amount of gain (loss) recognized in income on derivative | $ 0.8 | $ 2.7 |
Income Tax - Schedule of Effect
Income Tax - Schedule of Effective Tax Rate (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rate (as a percent) | 21% | 20% | 22% | 20% |
Income Tax - Narrative (Details
Income Tax - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Tax expense (benefit) | $ (15.5) | $ 5.9 | $ (7.6) | $ 2.7 |
Commitments and Contingencies -
Commitments and Contingencies - Loss Contingency (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Mar. 07, 2022 | Sep. 30, 2023 | Dec. 31, 2022 | Mar. 31, 2022 | |
Loss Contingencies [Line Items] | ||||
Accrual for litigation, other Disputes and environmental loss contingencies | $ 70.4 | $ 77 | ||
Master Framework Agreement period | 10 years | |||
Guarantor liability | $ 33.4 | 33.3 | ||
Stone Brewing Company v.s. MCBC | ||||
Loss Contingencies [Line Items] | ||||
Loss contingency accrual | 58.1 | $ 56.6 | $ 56 | |
Pending litigation | Stone Brewing Company v.s. MCBC | ||||
Loss Contingencies [Line Items] | ||||
Damages awarded | $ 56 | |||
Kaiser Tax, Civil and Labor Indemnity Reserve | ||||
Loss Contingencies [Line Items] | ||||
Loss contingency accrual | $ 11.3 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Rollforward (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
Beginning balance | $ 12,915.2 |
Ending balance | 13,459.8 |
Foreign currency translation adjustments | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
Beginning balance | (875.2) |
Reclassification of AOCI, current period, before tax | (0.7) |
Tax benefit (expense) | (0.3) |
Ending balance | (901.1) |
Accumulated foreign currency adjustment, excluding net investment hedging, attributable to parent | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
OCI before reclassifications before tax | (35.6) |
Accumulated foreign currency adjustment, net investment hedging, attributable to parent | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
OCI before reclassifications before tax | 10.7 |
AOCI foreign currency translation adjustments | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
OCI before reclassifications before tax | (35.6) |
Gain (loss) on derivative instruments | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
Beginning balance | 32.2 |
OCI before reclassifications before tax | 52.2 |
Reclassification of AOCI, current period, before tax | 1.3 |
Tax benefit (expense) | (14) |
Ending balance | 71.7 |
Pension and postretirement benefit adjustments | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
Beginning balance | (335.1) |
Reclassification of AOCI, current period, before tax | (11.3) |
Tax benefit (expense) | 2.8 |
Ending balance | (343.6) |
Equity method investments | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
Beginning balance | (27.4) |
OCI before reclassifications before tax | 2.7 |
Tax benefit (expense) | (0.9) |
Ending balance | (25.6) |
Accumulated other comprehensive income (loss) | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |
Beginning balance | (1,205.5) |
Tax benefit (expense) | (12.4) |
Ending balance | $ (1,198.6) |
Other Operating Income (Expen_3
Other Operating Income (Expense), net - Schedule of Other Operating Income (Expense) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Aug. 03, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||||||
Other operating income (expense), net | $ (12.7) | $ 5.3 | $ (13) | $ (22.9) | ||
Loss on disposal of business | $ 11.1 | |||||
Employee-related charges | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other operating income (expense), net | (1.6) | 0.5 | (1.9) | 0 | ||
Asset abandonment and other restructuring costs | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other operating income (expense), net | 0.1 | (0.1) | 0.1 | (1.2) | ||
Intangible and tangible asset impairments, excluding goodwill | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other operating income (expense), net | (0.1) | 0 | (0.1) | (28.6) | ||
Intangible and tangible asset impairments, excluding goodwill | Americas | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Impairment loss | $ 28.6 | |||||
Special items, noncontrolling interest | $ 12.1 | |||||
Gains and (losses) on other disposals(3) | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Other operating income (expense), net | $ (11.1) | $ 4.9 | $ (11.1) | $ 6.9 |
Other Operating Income (Expen_4
Other Operating Income (Expense), net - Change in the restructuring accrual (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||
Payment of severance obligations, term | 12 months | |
Employee severance | ||
Changes in restructuring accruals [Roll Forward] | ||
Beginning balance of restructuring accruals | $ 10 | $ 12.4 |
Charges incurred and changes in estimates | 1.9 | |
Payments made | (7.5) | (6) |
Foreign currency and other adjustments | 0.1 | (0.6) |
Ending balance of restructuring accruals | 4.5 | 5.8 |
Employee severance | Americas | ||
Changes in restructuring accruals [Roll Forward] | ||
Beginning balance of restructuring accruals | 3.6 | 10.9 |
Charges incurred and changes in estimates | 0 | |
Payments made | (2.3) | (5.4) |
Foreign currency and other adjustments | 0.1 | (0.4) |
Ending balance of restructuring accruals | 1.4 | 5.1 |
Employee severance | EMEA&APAC | ||
Changes in restructuring accruals [Roll Forward] | ||
Beginning balance of restructuring accruals | 6.4 | 1.5 |
Charges incurred and changes in estimates | 1.9 | |
Payments made | (5.2) | (0.6) |
Foreign currency and other adjustments | 0 | (0.2) |
Ending balance of restructuring accruals | $ 3.1 | $ 0.7 |
Segment Reporting - Net Sales (
Segment Reporting - Net Sales (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Consolidated net sales | $ 3,298.4 | $ 2,935.2 | $ 8,911.3 | $ 8,071.5 |
Inter-segment net sales eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Consolidated net sales | (5.4) | (4) | (12.3) | (10.7) |
Americas | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Consolidated net sales | 2,633.4 | 2,376.6 | 7,194.1 | 6,580.2 |
EMEA&APAC | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Consolidated net sales | $ 670.4 | $ 562.6 | $ 1,729.5 | $ 1,502 |
Segment Reporting - Income (Los
Segment Reporting - Income (Loss) Before Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Income (loss) before income taxes | $ 544 | $ 273 | $ 1,087 | $ 501.6 |
Unallocated | ||||
Segment Reporting Information [Line Items] | ||||
Income (loss) before income taxes | (7) | (150.4) | (223.5) | (359.1) |
Americas | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Income (loss) before income taxes | 483.5 | 377 | 1,204.2 | 812.1 |
EMEA&APAC | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Income (loss) before income taxes | $ 67.5 | $ 46.4 | $ 106.3 | $ 48.6 |
Segment Reporting - Total Asset
Segment Reporting - Total Assets (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 26,568.4 | $ 25,868.3 |
Americas | ||
Segment Reporting Information [Line Items] | ||
Total assets | 22,812.5 | 22,242.7 |
EMEA&APAC | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 3,755.9 | $ 3,625.6 |