Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 03, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-4879 | ||
Entity Registrant Name | Diebold Nixdorf, Incorporated | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 34-0183970 | ||
Entity Address, Address Line One | 350 Orchard Avenue NE | ||
Entity Address, City or Town | North Canton | ||
Entity Address, State or Province | OH | ||
Entity Address, Postal Zip Code | 44720-2556 | ||
City Area Code | 330 | ||
Local Phone Number | 490-4000 | ||
Title of 12(b) Security | Common Stock $0.01 Par Value Per Share | ||
Trading Symbol | DBD | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 4,801,890 | ||
Entity Common Stock, Shares Outstanding | 37,566,678 | ||
Documents Incorporated by Reference | Diebold Nixdorf, Incorporated's Proxy Statement for the 2024 Annual Meeting of Stockholders are incorporated by reference into Part III of this Form 10-K. | ||
Entity Central Index Key | 0000028823 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Name | KPMG LLP |
Auditor Firm ID | 185 |
Auditor Location | Cleveland, OH |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 550.2 | $ 307.4 |
Restricted cash | 42.1 | 11.7 |
Short-term investments | 13.4 | 24.6 |
Trade receivables, less allowances for doubtful accounts of $3.6 and $34.5, respectively | 721.8 | 612.2 |
Inventories | 589.8 | 588.1 |
Prepaid expenses | 44 | 50.5 |
Current assets held for sale | 0 | 7.9 |
Other current assets | 192.6 | 168.5 |
Total current assets | 2,153.9 | 1,770.9 |
Securities and other investments | 6.5 | 7.6 |
Property, plant and equipment, net | 159 | 120.7 |
Deferred income taxes | 71.4 | 0 |
Goodwill | 616.7 | 702.3 |
Intangible assets, net | 891.3 | 257.6 |
Right-of-use operating lease assets | 98.7 | 108.5 |
Other assets | 164.5 | 97.4 |
Total assets | 4,162 | 3,065 |
Current liabilities | ||
Notes payable | 0.3 | 24 |
Accounts payable | 529 | 611.6 |
Deferred revenue | 376.2 | 453.2 |
Payroll and other benefits liabilities | 160.1 | 107.9 |
Current liabilities held for sale | 0 | 6.8 |
Operating lease liabilities | 39.6 | 39 |
Other current liabilities | 315.8 | 362.4 |
Total current liabilities | 1,421 | 1,604.9 |
Long-term debt | 1,252.4 | 2,585.8 |
Pensions, post-retirement and other benefits | 112.6 | 40.6 |
Long-term operating lease liabilities | 65.1 | 76.7 |
Deferred income taxes | 204.9 | 96.6 |
Other liabilities | 26.8 | 31.5 |
Total liabilities | 3,082.8 | 4,436.1 |
Diebold Nixdorf, Incorporated shareholders' equity | ||
Preferred stock, value, issued | 0 | 0 |
Common stock, value, issued | 0.4 | 119.8 |
Additional paid-in-capital | 1,038.7 | 831.5 |
Retained earnings (accumulated deficit) | 17.1 | (1,406.7) |
Predecessor treasury shares, at cost (16,676,269 shares) | 0 | (585.6) |
Accumulated other comprehensive loss | 7.6 | (360) |
Equity warrants | 0 | 20.1 |
Total Diebold Nixdorf, Incorporated shareholders' equity | 1,063.8 | (1,380.9) |
Noncontrolling interests | 15.4 | 9.8 |
Total equity | 1,079.2 | (1,371.1) |
Total liabilities and equity | 4,162 | 3,065 |
Customer relationships, net | ||
Current assets | ||
Intangible assets, net | 543 | 213.6 |
Other intangible assets, net | ||
Current assets | ||
Intangible assets, net | $ 348.3 | $ 44 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets | ||
Trade receivables, allowance | $ 3.6 | $ 34.5 |
Diebold Nixdorf, Incorporated shareholders' equity | ||
Preferred shares, shares authorized (in shares) | 2,000,000 | 1,000,000 |
Preferred shares, shares issued (in shares) | 0 | 0 |
Common shares, par value (in dollars per share) | $ 0.01 | $ 1.25 |
Common shares, shares authorized (in shares) | 45,000,000 | 125,000,000 |
Common shares, shares issued (in shares) | 37,566,678 | 95,779,719 |
Common shares, shares outstanding (in shares) | 37,566,678 | 79,103,450 |
Treasury shares (in shares) | 16,676,269 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financial designation, successor and predecessor | Successor | |||
Net sales | ||||
Total net sales | $ 1,628.6 | $ 2,131.9 | $ 3,460.7 | $ 3,905.2 |
Cost of sales | ||||
Total cost of sales | 1,275.6 | 1,611.9 | 2,703.4 | 2,861.8 |
Gross profit | 353 | 520 | 757.3 | 1,043.4 |
Selling and administrative expense | 226 | 458.7 | 741.6 | 775.6 |
Research, development and engineering expense | 34.4 | 62.3 | 120.7 | 126.3 |
Impairment of assets | 1.2 | 3.3 | 111.8 | 1.3 |
(Gain) loss on sale of assets, net | (1) | 1.2 | (5.1) | 3.1 |
Total operating expense | 260.6 | 525.5 | 969 | 906.3 |
Operating profit (loss) | 92.4 | (5.5) | (211.7) | 137.1 |
Other income (expense) | ||||
Interest income | 6.3 | 6.7 | 10 | 6.1 |
Interest expense | (68.7) | (178) | (199.2) | (195.3) |
Foreign exchange loss, net | (12.2) | (1.2) | (7.8) | (2) |
Reorganization items, net | (17.1) | 1,614.1 | 0 | 0 |
Miscellaneous, net | (0.8) | 12.3 | 2.2 | 3.4 |
Loss on refinancing | 0 | 0 | (32.1) | 0 |
(Loss) income before taxes | (0.1) | 1,448.4 | (438.6) | (50.7) |
Income tax expense (benefit) | (14.7) | 90.4 | 149.2 | 27.7 |
Equity in earnings (loss) of unconsolidated subsidiaries, net | 4.5 | (0.5) | 2.2 | 0.3 |
Net income (loss) | 19.1 | 1,357.5 | (585.6) | (78.1) |
Net income (loss) income attributable to noncontrolling interests | 1.3 | (0.8) | (4.2) | 0.7 |
Net income (loss) attributable to Diebold Nixdorf, Incorporated | $ 17.8 | $ 1,358.3 | $ (581.4) | $ (78.8) |
Basic weighted-average shares outstanding (in shares) | 37.6 | 79.7 | 79 | 78.3 |
Diluted weighted-average shares outstanding (in shares) | 37.6 | 81.4 | 79 | 78.3 |
Net income (loss) attributable to Diebold Nixdorf, Incorporated | ||||
Basic earnings (loss) per share (in dollars per share) | $ 0.47 | $ 17.04 | $ (7.36) | $ (1.01) |
Diluted earnings (loss) per share (in dollars per share) | $ 0.47 | $ 16.69 | $ (7.36) | $ (1.01) |
Services | ||||
Net sales | ||||
Total net sales | $ 858.4 | $ 1,295 | $ 2,098.9 | $ 2,303.6 |
Cost of sales | ||||
Total cost of sales | 658.2 | 922.4 | 1,480.8 | 1,577.3 |
Products | ||||
Net sales | ||||
Total net sales | 770.2 | 836.9 | 1,361.8 | 1,601.6 |
Cost of sales | ||||
Total cost of sales | $ 617.4 | $ 689.5 | $ 1,222.6 | $ 1,284.5 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net income (loss) | $ 19.1 | $ 1,357.5 | $ (585.6) | $ (78.1) |
Other comprehensive income (loss), net of tax: | ||||
Translation adjustment and foreign currency hedges | 14.4 | 21 | (35.3) | (53.6) |
Pension and other post-retirement benefits: | ||||
Prior service credit (cost) recognized during the period (net of tax of $(0.2) in the Successor Period and $0.2, $— and $— in the Predecessor Periods, respectively) | 0.4 | (0.2) | 2.4 | 0 |
Net actuarial gains (losses) recognized during the period (net of tax of $2.6 in the Successor Period and $(4.9), $— and $23.2 in the Predecessor Periods, respectively) | (6.5) | 4.2 | 38.5 | 76 |
Net actuarial gains (losses) occurring during the period (net of tax of $— in the Successor Period and $1.1, $— and $2.0 in the Predecessor Periods, respectively) | 0 | (1) | 2.3 | 7.5 |
Net actuarial gains (losses) recognized due to settlement (net of tax of $— in Successor Period and $1.1, $— and $(0.4) in the Predecessor Periods, respectively) | 0.1 | (0.9) | 10.2 | (0.7) |
Acquired benefit plans and other (net of tax of $— in Successor Period and $—, $— and $— in the Predecessor Periods, respectively) | 0 | 0 | 0 | 0.1 |
Currency impact (net of tax of $0.1 in the Successor Period and $(1.3), $— and $(0.4) in the Predecessor Periods, respectively) | (0.1) | 1.1 | (1.4) | (0.6) |
Total pension and other postretirement benefits, net of tax | (6.1) | 3.2 | 52 | 82.3 |
Other | (0.4) | 0 | 2.8 | (0.9) |
Other comprehensive income (loss), net of tax | 7.8 | 32.3 | 24.4 | 35 |
Comprehensive income (loss) | 26.9 | 1,389.8 | (561.2) | (43.1) |
Less: comprehensive income (loss) attributable to noncontrolling interests | 1.5 | (8.5) | 1.7 | 1.3 |
Comprehensive income (loss) attributable to Diebold Nixdorf, Incorporated | 25.4 | 1,398.3 | (562.9) | (44.4) |
Foreign exchange forward contracts | ||||
Interest rate hedges: | ||||
Total hedges, net of tax | (0.1) | 4.7 | 0 | 0.7 |
Interest rate swap | ||||
Interest rate hedges: | ||||
Net income (loss) recognized in other comprehensive income (net of tax of $— in the Successor Period and $—, $0.7 and $3.4 in the Predecessor Periods, respectively) | 0 | 3.4 | 5.5 | 8.6 |
Less: reclassification adjustments for amounts recognized in net income (loss) (net of tax of $— in the Successor Period and $—, $0.1 and $0.8 in the Predecessor Periods, respectively) | 0 | 0 | 0.6 | 2.1 |
Total hedges, net of tax | $ 0 | $ 3.4 | $ 4.9 | $ 6.5 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Translation adjustment and foreign currency hedges, tax | $ 0 | $ 0 | $ (3) | $ (6.6) |
Prior service credit (cost) recognized during the year, tax | (0.2) | 0.2 | 0 | 0 |
Net actuarial gains (loss) recognized during the year, tax | 2.6 | (4.9) | 0 | 23.2 |
Net actuarial (gains) losses occurring during the year, tax | 0 | 1.1 | 0 | 2 |
Net actuarial (gains) losses recognized due to settlement, tax | 0 | 1.1 | 0 | (0.4) |
Acquired benefit plans and other, tax | 0 | 0 | 0 | 0 |
Currency impact, tax | 0.1 | (1.3) | 0 | (0.4) |
Foreign exchange forward contracts | ||||
Foreign currency hedges, tax | 0 | 0 | 0 | 0 |
Interest rate swap | ||||
Net income (loss) recognized in other comprehensive income, tax | 0 | 0 | 0.7 | 3.4 |
Reclassification adjustments for amounts recognized in net income (loss), tax | $ 0 | $ 0 | $ 0.1 | $ 0.8 |
CONSOLIDATED STATEMENTS OF EQUI
CONSOLIDATED STATEMENTS OF EQUITY - USD ($) shares in Millions, $ in Millions | Total | Total Diebold Nixdorf, Incorporated Shareholders' Equity | Common Shares | Additional Capital | Retained Earnings | Treasury Shares | Accumulated Other Comprehensive Income (Loss) | Equity Warrants | Non-controlling Interests | |
Balance (shares) at Dec. 31, 2020 | 93.5 | |||||||||
Balance at Dec. 31, 2020 | $ (831.7) | $ (827.1) | $ 116.9 | [1] | $ 787.9 | $ (742.3) | $ (576.7) | $ (412.9) | $ 0 | $ (4.6) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | (78.1) | (78.8) | (78.8) | 0.7 | ||||||
Other comprehensive income | 35 | 34.4 | 34.4 | 0.6 | ||||||
Share-based compensation issued (in shares) | 1.1 | |||||||||
Share-based compensation issued | 0.1 | 0.1 | $ 1.4 | [1] | (1.3) | |||||
Share-based compensation expense | 13.8 | 13.8 | 13.8 | |||||||
Treasury shares | (5.4) | (5.4) | (5.4) | |||||||
Reclassification to redeemable noncontrolling interest | 31.9 | 19.2 | 19.2 | 12.7 | ||||||
Distribution noncontrolling interest holders, net | (2.6) | (1.3) | (1.3) | (1.3) | ||||||
Balance (shares) at Dec. 31, 2021 | 94.6 | |||||||||
Balance at Dec. 31, 2021 | (837) | (845.1) | $ 118.3 | [1] | 819.6 | (822.4) | (582.1) | (378.5) | 0 | 8.1 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | (585.6) | (581.4) | (581.4) | (4.2) | ||||||
Other comprehensive income | 24.4 | 18.5 | 18.5 | 5.9 | ||||||
Share-based compensation issued (in shares) | 1.2 | |||||||||
Share-based compensation issued | 0 | 0 | $ 1.5 | [1] | (1.5) | |||||
Share-based compensation expense | 13.4 | 13.4 | 13.4 | |||||||
Treasury shares | (3.5) | (3.5) | (3.5) | |||||||
Distribution noncontrolling interest holders, net | (2.9) | (2.9) | (2.9) | |||||||
Equity warrants | 20.1 | 20.1 | 20.1 | |||||||
Balance (shares) at Dec. 31, 2022 | 95.8 | |||||||||
Balance at Dec. 31, 2022 | (1,371.1) | (1,380.9) | $ 119.8 | [1] | 831.5 | (1,406.7) | (585.6) | (360) | 20.1 | 9.8 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | 1,357.5 | 1,358.3 | 1,358.3 | (0.8) | ||||||
Other comprehensive income | 32.3 | 40 | 40 | (7.7) | ||||||
Share-based compensation issued (in shares) | 1.2 | |||||||||
Share-based compensation issued | (0.1) | (0.1) | $ 1.4 | [1] | (1.5) | |||||
Share-based compensation expense | 2.4 | 2.4 | 2.4 | |||||||
Treasury shares | (0.8) | (0.8) | (0.8) | |||||||
Acceleration of Predecessor equity awards | 2.8 | 2.8 | 2.8 | |||||||
Elimination of Predecessor common shares, additional capital, retained earnings, treasury shares and warrants (in shares) | (97) | |||||||||
Elimination of Predecessor common shares, additional capital, retained earnings, treasury shares and warrants | (341.7) | (341.7) | $ (121.2) | [1] | (835.2) | 48.4 | 586.4 | (20.1) | ||
Elimination of accumulated other comprehensive income (loss) | 320 | 320 | 320 | |||||||
Change in value of non-controlling interests | 12.6 | 0 | 12.6 | |||||||
Issuance of Successor common stock (in shares) | 37.6 | |||||||||
Issuance of Successor common stock | 1,039 | 1,039 | $ 0.4 | [1] | 1,038.6 | |||||
Balance (shares) at Aug. 12, 2023 | 37.6 | |||||||||
Balance at Aug. 12, 2023 | 1,052.9 | 1,039 | $ 0.4 | [1] | 1,038.6 | 0 | 0 | 0 | 0 | 13.9 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | 19.1 | 17.8 | 17.8 | 1.3 | ||||||
Other comprehensive income | 7.8 | 7.6 | 7.6 | 0.2 | ||||||
Share-based compensation expense | 0.1 | 0.1 | 0.1 | |||||||
Distribution noncontrolling interest holders, net | (0.7) | (0.7) | (0.7) | |||||||
Balance (shares) at Dec. 31, 2023 | 37.6 | |||||||||
Balance at Dec. 31, 2023 | $ 1,079.2 | $ 1,063.8 | $ 0.4 | [1] | $ 1,038.7 | $ 17.1 | $ 0 | $ 7.6 | $ 0 | $ 15.4 |
[1]Successor Common Stock par value is $0.01, and the Predecessor Common Stock par value is $1.25. |
CONSOLIDATED STATEMENTS OF EQ_2
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares shares in Millions | 7 Months Ended | 12 Months Ended | |
Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Treasury shares | 0.3 | 0.4 | 0.4 |
Common shares, par value (in dollars per share) | $ 1.25 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flow from operating activities | ||||
Net income (loss) | $ 19.1 | $ 1,357.5 | $ (585.6) | $ (78.1) |
Adjustments to reconcile net loss to cash provided (used) by operating activities: | ||||
Depreciation and amortization | 59 | 35.5 | 56.4 | 70.9 |
Amortization of Wincor Nixdorf purchase accounting intangible assets | 0 | 41.8 | 69.6 | 78.2 |
Amortization of deferred financing costs into interest expense | 0.9 | 21.8 | 15.5 | 17.3 |
Reorganization items (non-cash) | 0 | (1,747.6) | 0 | 0 |
Reorganization items (debt make whole premium) | 0 | 91 | 0 | 0 |
Share-based compensation | 0.1 | 5.1 | 13.4 | 13.8 |
Net pension settlements | 0 | 0 | 10.1 | 0 |
Other | 0 | 0 | 3.1 | 0 |
Loss (gain) on sale of assets, net | (1) | 1.2 | (5.1) | 3.1 |
Impairment of assets | 1.2 | 3.3 | 111.8 | 1.3 |
Deferred income taxes | (43.2) | 79.8 | 92.9 | (12.6) |
Changes in certain assets and liabilities | ||||
Trade receivables | (101.6) | 9.9 | (49.4) | 16.4 |
Inventories | 150.8 | (98.1) | (74.5) | (84.8) |
Sales tax and net value added tax | 31.9 | (38.1) | 17.5 | (15.2) |
Income taxes | 16.3 | (26) | 2 | (5.3) |
Accounts payable | 75 | (140.4) | (66.5) | 241.4 |
Deferred revenue | (43.2) | (51) | 140.6 | (9.1) |
Accrued salaries, wages and commissions | (1) | 33 | (72.5) | (19.4) |
Restructuring accrual | (3.8) | (30.2) | 9.4 | (25.4) |
Accrued interest | 3.2 | 20.9 | (52.5) | 1.7 |
Warranty liability | 0.8 | (3.4) | (7.3) | 0.3 |
Pension and other post-retirement benefits | 1.9 | 2 | (19.5) | (13) |
Certain other assets and liabilities | (4) | 12.6 | 2.7 | (58.2) |
Net cash provided (used) by operating activities | 162.4 | (419.4) | (387.9) | 123.3 |
Cash flow from investing activities | ||||
Proceeds from divestitures, net of cash divested | 0 | 0 | 10.5 | 1.1 |
Proceeds from maturities of investments | 129 | 153.2 | 414.1 | 287.7 |
Payments for purchases of investments | (129.5) | (141) | (401.3) | (288.4) |
Proceeds from sale of assets | 0 | 0 | 6 | 1.7 |
Capital expenditures | (9.8) | (15.1) | (24.4) | (20.2) |
Capitalized software development | (9.8) | (13.1) | (28.7) | (31.1) |
Net cash provided (used) by investing activities | (20.1) | (16) | (23.8) | (49.2) |
Cash flow from financing activities | ||||
Debt issuance costs | 0 | (5.1) | (15.7) | 0 |
Debt prepayment costs | 0 | 0 | 0 | 0 |
Revolving credit facility borrowings, net | 0 | 0 | 121 | 0.9 |
Repayment of ABL credit agreement | 0 | (188.3) | 0 | 0 |
Receipt of DIP financing | 0 | 1,250 | 0 | 0 |
Borrowings - FILO | 0 | 58.9 | 0 | 0 |
Repayments - FILO | 0 | (58.9) | 0 | 0 |
Repayment of superpriority term loan | 0 | (400.6) | 0 | 0 |
Other debt borrowings | 5 | 4.4 | 386.1 | 11.2 |
Other debt repayments | (6.7) | (2.5) | (131) | (19.4) |
Debt make whole premium | 0 | (91) | 0 | 0 |
(Distributions to) / Contributions from noncontrolling interest holders | 0 | 0 | (2.8) | 11.4 |
Other | (2.3) | (3.4) | (7.8) | (7.7) |
Net cash provided (used) by financing activities | (4) | 563.5 | 349.8 | (3.6) |
Effect of exchange rate changes on cash and cash equivalents | 1.1 | 2.9 | (8.2) | (5.7) |
Change in cash, cash equivalents and restricted cash | 139.4 | 131 | (70.1) | 64.8 |
Add: Cash included in assets held for sale at beginning of period | 0.7 | 2.8 | 3.1 | 2.7 |
Less: Cash included in assets held for sale at end of period | 0 | 0.7 | 2.8 | 3.1 |
Cash, cash equivalents and restricted cash at the beginning of the period | 452.2 | 319.1 | 388.9 | 324.5 |
Cash, cash equivalents and restricted cash at the end of the period | 592.3 | 452.2 | 319.1 | 388.9 |
Cash paid for | ||||
Income taxes | 21.4 | 25.2 | 33.1 | 42.3 |
Interest | $ 52.7 | $ 74.7 | $ 231.6 | $ 175.1 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Bankruptcy Accounting and Fresh Start Accounting. The consolidated financial statements of Diebold Nixdorf, Incorporated and its wholly- and majority-owned subsidiaries (collectively, the Company) included herein have been prepared using the going concern basis of accounting and in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic No. 852 – Reorganizations (ASC 852). See Note 2 and Note 3 for further detail. In accordance with ASC 852, we applied fresh start accounting (Fresh Start Accounting) upon emergence from the Restructuring Proceedings (as defined in Note 2), at which point we became a new entity for financial reporting because (i) the holders of the then existing common shares of the Predecessor received less than 50% of the new shares of common stock of the Successor outstanding upon emergence and (ii) the reorganization value of the Company’s assets immediately prior to confirmation of the Plans (defined in Note 2) was less than the total of all post-petition liabilities and allowed claims. Upon adoption of Fresh Start Accounting as reflected in Note 3 – Fresh Start Accounting, the reorganization value derived from the enterprise value associated with the Plans was allocated to the Company’s identifiable tangible and intangible assets and liabilities based on their fair values (except for deferred income taxes), with the remaining excess value allocated to goodwill in accordance with ASC 805 – Business Combinations. Deferred income tax amounts were determined in accordance with ASC 740 – Income Taxes. References to “Predecessor” relate to the consolidated balance sheets as of December 31, 2022, and consolidated statements of operations for the twelve months ended December 31, 2022 and 2021, and for the period from January 1, 2023 through and including the adjustments from the application of Fresh Start Accounting on August 11, 2023 (Predecessor Period). References to “Successor” relate to the consolidated balance sheet of the reorganized Company as of December 31, 2023 and consolidated statements of operations for the period from August 12, 2023 through December 31, 2023 (Successor Period) and are not comparable to the consolidated financial statements of the Predecessor as indicated by the “black line” division in the financial statements and footnote tables, which emphasizes the lack of comparability between amounts presented. In addition, Note 3 – Fresh Start Accounting provides a summary of the consolidated balance sheets as of August 11, 2023 in the first column, and then presents adjustments to reflect the Plans and fresh start impacts to derive the opening Successor consolidated balance sheets as of August 12, 2023. The Company’s financial results for future periods following the application of Fresh Start Accounting will be different from historical trends and the differences may be material. Principles of Consolidation. The consolidated financial statements include the accounts of the Company. All significant intercompany accounts and transactions have been eliminated, including common control transfers among subsidiaries of the Company. Use of Estimates in Preparation of Consolidated Financial Statements. The preparation of the accompanying consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions about future events. These estimates and the underlying assumptions affect the amounts of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenues and expenses. Such estimates include revenue recognition, inventories, goodwill, intangible assets, other long-lived assets, legal contingencies, guarantee obligations and assumptions used in the calculation of income taxes, pension and other post-retirement benefits and customer incentives, among others. These estimates and assumptions are based on management’s best estimates and judgment. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors. Management monitors the economic condition and other factors and will adjust such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. Reclassifications. The Company has reclassified the presentation of certain prior-year information to conform to the current presentation. International Operations. The financial statements of the Company’s international operations are measured using local currencies as their functional currencies, with the exception of financial results from Argentina, Singapore, El Salvador, and Switzerland, which have a functional currency other than local currency. These operations used either United States dollar (USD) or euro as their functional currency depending on the concentration of USD or euro transactions and distinct financial information. The Company translates the assets and liabilities of its non-U.S. subsidiaries at the exchange rates in effect at year end and the results of operations at the average rate throughout the year. The translation adjustments are recorded directly as a separate component of shareholders’ equity, while transaction gains (losses) are included in net income (loss). Acquisitions and Divestitures. Acquisitions are accounted for using the purchase method of accounting. This method requires the Company to record assets and liabilities of the business acquired at their estimated fair market values as of the acquisition date. Any excess cost of the acquisition over the fair value of the net assets acquired is recorded as goodwill. The Company generally uses valuation specialists to perform appraisals and assist in the determination of the fair values of the assets acquired and liabilities assumed. These valuations require management to make estimates and assumptions that are critical in determining the fair values of the assets and liabilities. For all divestitures, the Company considers assets to be held for sale when management approves and commits to a formal plan to actively market the assets for sale at a price reasonable in relation to their estimated fair value, the assets are available for immediate sale in their present condition, an active program to locate a buyer and other actions required to complete the sale have been initiated, the sale of the assets is probable and expected to be completed within one year (or, if it is expected that others will impose conditions on the sale of the assets that will extend the period required to complete the sale, that a firm purchase commitment is probable within one year) and it is unlikely that significant changes will be made to the plan. Upon designation as held for sale, the Company records the assets at the lower of their carrying value or their estimated fair value, reduced for the cost to dispose of the assets, and ceases to record depreciation expense on the assets. Assets and liabilities are reclassified as held for sale in the period the held for sale criteria are met. As of December 31, 2023, the Company had no current assets and liabilities held for sale. As of December 31, 2022, the Company had $7.9 and $6.8 of current assets and liabilities held for sale, respectively, primarily related to non-core businesses in Europe. Revenue Recognition. Refer to Note 23 of the consolidated financial statements. Cost of Sales. Cost of sales for services primarily consists of fuel, parts and labor and benefits costs related to installation of products and service maintenance contracts, including call center costs as well as costs for service parts repair centers. Cost of sales for products is primarily comprised of direct materials and supplies consumed in the manufacturing and distribution of products, as well as related labor, depreciation expense and direct overhead expense necessary to acquire and convert the purchased materials and supplies into finished products. Cost of sales for products also includes the cost to distribute products to customers, inbound freight costs, internal transfer costs, warehousing costs and other shipping and handling activity. Property, plant and equipment and long-lived assets. Property, plant and equipment and long-lived assets are recorded at historical cost, including interest where applicable. As of August 11, 2023, as a result of Fresh Start Accounting, we have adjusted our property, plant and equipment, balances and remaining useful lives, to fair value. See Note 3 for additional information. Impairment of property, plant and equipment and long-lived assets is recognized when events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. If the expected future undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized at that time to reduce the asset to the lower of its fair value or its net book value. Depreciation and Amortization. Depreciation of property, plant and equipment is computed using the straight-line method based on the estimated useful life for each asset class. Amortization of leasehold improvements is based upon the shorter of original terms of the lease or life of the improvement. Repairs and maintenance are expensed as incurred. Generally, amortization of the Company’s other long-term assets, such as intangible assets and capitalized software development, is computed using the straight-line method over the life of the asset. Fully depreciated assets are retained until disposal. Upon disposal, assets and related accumulated depreciation or amortization are removed from the accounts and the net amount, less proceeds from disposal, is charged or credited to operations. Advertising Costs. Advertising costs are expensed as incurred and were $3.5, $4.6, $8.5 and $7.1 for the Successor Period from August 12, 2023 to December 31, 2023, the Predecessor Period from January 1, 2023 to August 11, 2023, and the years ended 2022 and 2021, respectively. Research, Development and Engineering. Research, development and engineering costs are expensed as incurred and were $34.4, $62.3, $120.7 and $126.3 for the Successor Period from August 12, 2023 to December 31, 2023, the Predecessor Period from January 1, 2023 to August 11, 2023, and the years ended December 31, 2022 and 2021, respectively. This excludes certain software development costs of $9.8, $13.1 $28.7, and $31.1 in for the period from August 12, 2023 to December 31, 2023, the period from January 1, 2023 to August 11, 2023, and the years ended December 31, 2022 and 2021, respectively, which are capitalized after technological feasibility of the software is established. Shipping and Handling Costs. The Company recognizes shipping and handling fees billed when products are shipped or delivered to a customer and includes such amounts in net sales. Third-party freight payments are recorded in cost of sales. Taxes on Income. Deferred taxes are provided on an asset and liability method, whereby deferred tax assets are recognized for deductible temporary differences, operating loss carry-forwards and tax credits. Deferred tax liabilities are recognized for taxable temporary differences and undistributed earnings in certain tax jurisdictions. Deferred tax assets are reduced by a valuation allowance when, based on available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Determination of a valuation allowance involves estimates regarding the timing and amount of the reversal of taxable temporary differences, expected future taxable income and the impact of tax planning strategies. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company regularly assesses its position with regard to tax exposures and records liabilities for these uncertain tax positions and related interest and penalties, if any, when the tax benefit is not more likely than not realizable. The Company has recorded an accrual that reflects the recognition and measurement process for the financial statement recognition and measurement of a tax position taken or expected to be taken on a tax return. Additional future income tax expense or benefit may be recognized once the positions are effectively settled. Sales Tax. The Company collects sales taxes from customers and accounts for sales taxes on a net basis. Cash, Cash Equivalents and Restricted Cash. The Company considers highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents. The Company had $42.1 and $11.7 of restricted cash at December 31, 2023 and 2022, respectively. Refer to Note 22 for further information on restricted cash. Financial Instruments. The carrying amount of cash and cash equivalents, short-term investments, trade receivables and accounts payable approximated their fair value because of the relatively short maturity of these instruments. The Company’s risk-management strategy allows for derivative financial instruments such as forwards to hedge certain foreign currency exposures and interest rate swaps to manage interest rate risk. The intent is to offset gains and losses that occur on the underlying exposures, with gains and losses on the derivative contracts hedging these exposures. The Company does not enter into derivatives for trading purposes. The Company recognizes all derivatives on the balance sheet at fair value. Changes in the fair values of derivatives that are not designated as hedges are recognized in earnings. If the derivative is designated and qualifies as a hedge, depending on the nature of the hedge, changes in the fair value of the derivatives are either offset against the change in the hedged assets or liabilities through earnings or recognized in other comprehensive income until the hedged item is recognized in earnings. Fair Value. The Company measures its financial assets and liabilities using one or more of the following three valuation techniques: Valuation technique Description Market approach Prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. Cost approach Amount that would be required to replace the service capacity of an asset (replacement cost). Income approach Techniques to convert future amounts to a single present amount based upon market expectations. The hierarchy that prioritizes the inputs to valuation techniques used to measure fair value is divided into three levels: Fair value level Description Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities. Fair value of investments categorized as level 1 are determined based on period end closing prices in active markets. Mutual funds are valued at their net asset value (NAV) on the last day of the period. Level 2 Unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active or inputs, other than quoted prices in active markets, that are observable either directly or indirectly. Fair value of investments categorized as level 2 are determined based on the latest available ask price or latest trade price if listed. The fair value of unlisted securities is established by fund managers using the latest reported information for comparable securities and financial analysis. If the manager believes the fund is not capable of immediately realizing the fair value otherwise determined, the manager has the discretion to determine an appropriate value. Common collective trusts are valued at NAV on the last day of the period. Level 3 Unobservable inputs for which there is little or no market data. Net asset value Fair value of investments categorized as NAV represent the plan’s interest in private equity, hedge and property funds. The fair value for these assets is determined based on the NAV as reported by the underlying investment managers. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company uses the end of the period when determining the timing of transfers between levels. Short-Term Investments The Company has investments in certificates of deposit that are recorded at cost, which approximates fair value. Assets Held in Rabbi Trusts / Deferred Compensation The fair value of the assets held in rabbi trusts (refer to Note 9 of the consolidated financial statements) is derived from investments in a mix of money market, fixed income and equity funds. The related deferred compensation liability is also recorded at fair value. Foreign Exchange Contracts The valuation of foreign exchange forward and option contracts is determined using valuation techniques, including option models tailored for currency derivatives. These contracts are valued using the market approach based on observable market inputs. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including spot rates, foreign currency forward rates, the interest rate curve of the domestic currency, and foreign currency volatility for the given currency pair. Forward Contracts A substantial portion of the Company’s operations and revenues are international. As a result, changes in foreign exchange rates can create substantial foreign exchange gains and losses from the revaluation of non-functional currency monetary assets and liabilities. Interest Rate Swaps The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Refer to Note 21 of the consolidated financial statements for further details of assets and liabilities subject to fair value measurement. Trade Receivables. The Company records the lifetime expected loss on uncollectible trade receivables based on historical loss experience as a percentage of sales and makes adjustments as necessary based on current trends. The Company will also record periodic adjustments for specific customer circumstances and changes in the aging of accounts receivable balances. After all efforts at collection have been unsuccessful, the account is deemed uncollectible and is written off. The following table summarizes the Company’s allowances for doubtful accounts: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Beginning balance $ — $ 34.5 $ 35.3 $ 37.5 Charged to costs and expenses 8.0 16.6 14.0 9.8 Charged to other accounts (1) (0.2) (0.3) (0.1) — Deductions (2) (4.2) (14.7) (14.7) (12.0) Fresh Start adjustment — (36.1) — — Ending balance $ 3.6 $ — $ 34.5 $ 35.3 (1) Includes net effects of foreign currency translation (2) Uncollectible accounts written-off, net of recoveries. Financing Receivables. The Company records the lifetime expected loss on uncollectible notes and finance lease receivables (collectively, financing receivables) on a customer-by-customer basis and evaluates specific customer circumstances, aging of invoices, credit risk changes, payment patterns and historical loss experience with consideration given to current trends. After all efforts at collection have been unsuccessful, the account is deemed uncollectible and is written off. Inventories. The Company primarily values inventories using average or standard costing utilizing lower of cost or net realizable value. The standard costs approximate costs determined on a first in, first out basis. The Company identifies and writes down its excess and obsolete inventories to net realizable value based on usage forecasts, order volume and inventory aging. With the development of new products, the Company also rationalizes its product offerings and will write-down discontinued products to the lower of cost or net realizable value. Deferred Revenue. Deferred revenue is recorded for any services billed to customers and not yet recognizable if the contract period has commenced or for the amount collected from customers in advance of the contract period commencing. In addition, deferred revenue is recorded for products and other deliverables that are billed to and collected from customers prior to revenue being recognizable. Goodwill. Goodwill in the Successor Period is the excess of the reorganization value of assets over the fair value of identifiable tangible and intangible assets (refer to Note 3 of the consolidated financial statements). Goodwill in the Predecessor Period is the cost in excess of the net assets of acquired businesses (refer to Note 10 of the consolidated financial statements). The Company tests all existing goodwill at least annually for impairment on a reporting unit basis. The annual goodwill impairment test was performed as of October 1 for all periods presented. The Company tests for interim impairment between annual tests if an event occurs or circumstances change that would more likely than not reduce the carrying value of a reporting unit below its reported amount. Each year, the Company may elect to perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. In evaluating whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, the Company considers the following events and circumstances, among others, if applicable: (a) macroeconomic conditions such as general economic conditions, limitations on accessing capital or other developments in equity and credit markets; (b) industry and market considerations such as competition, multiples or metrics and changes in the market for the Company's products and services or regulatory and political environments; (c) cost factors such as raw materials, labor or other costs; (d) overall financial performance such as cash flows, actual and planned revenue and earnings compared with actual and projected results of relevant prior periods; (e) other relevant events such as changes in key personnel, strategy or customers; (f) changes in the composition of a reporting unit's assets or expected sales of all or a portion of a reporting unit; and (g) any sustained decrease in share price. If the Company's qualitative assessment indicates that it is more likely than not that the fair value of a reporting unit is less than its carrying value, or if management elects to perform a quantitative assessment of goodwill, an impairment test is used to identify potential goodwill impairment and measure the amount of any impairment loss to be recognized. The Company compares the fair value of each reporting unit with its carrying value and recognizes an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The fair value of the reporting units is determined based upon a combination of the income and market approach in valuation methodology. The income approach uses discounted estimated future cash flows, whereas the market approach or guideline public company method utilizes market data of similar publicly traded companies. The fair value of the reporting unit is defined as the price that would be received to sell the net assets or transfer the net liabilities in an orderly transaction between market participants at the assessment date. The techniques used in the Company's quantitative assessment incorporate a number of assumptions that the Company believes to be reasonable and to reflect market conditions forecast at the assessment date. Assumptions in estimating future cash flows are subject to a high degree of judgment. The Company makes all efforts to forecast future cash flows as accurately as possible with the information available at the time the forecast is made. To this end, the Company evaluates the appropriateness of its assumptions as well as its overall forecasts by comparing projected results of upcoming years with actual results of preceding years and validating that differences therein are reasonable. Assumptions, which include Level 3 inputs, relate to revenue growth, material and operating costs, and discount rate. Changes in assumptions and estimates after the assessment date may lead to an outcome where impairment charges would be required in future periods. Specifically, actual results may vary from the Company’s forecasts and such variations may be material and unfavorable, thereby triggering the need for future impairment tests where the conclusions may differ in reflection of prevailing market conditions. Contingencies. Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. As additional information becomes available, any potential liability related to these matters is assessed and the estimates are revised, if necessary. Legal costs incurred in connection with loss contingencies are expensed as incurred. Pensions and Other Post-retirement Benefits. Annual net periodic expense and benefit liabilities under the Company’s defined benefit plans are determined on an actuarial basis. Assumptions used in the actuarial calculations have a significant impact on plan obligations and expense. The Company periodically reviews actual experience compared with the more significant assumptions used and make adjustments to the assumptions, if warranted. The healthcare trend rates are reviewed based upon the results of actual claims experience. The discount rate is determined by analyzing the average return of high-quality (i.e., AA-rated) fixed-income investments and the year-over-year comparison of certain widely used benchmark indices as of the measurement date. The expected long-term rate of return on plan assets is determined using the plans’ current asset allocation and their expected rates of return based on a geometric averaging over 20 years. The rate of compensation increase assumptions reflects the Company’s long-term actual experience and future and near-term outlook. Pension benefits are funded through deposits with trustees or directly by the plan administrator. Other post-retirement benefits are not funded and the Company’s policy is to pay these benefits as they become due. The Company recognizes the funded status of each of its plans in the consolidated balance sheets. Amortization of unrecognized net gain or loss resulting from experience different from that assumed and from changes in assumptions (excluding asset gains and losses not yet reflected in market-related value) is included as a component of net periodic benefit cost for a year if, as of the beginning of the year, that unrecognized net gain or loss exceeds five percent of the greater of the projected benefit obligation or the market-related value of plan assets. If amortization is required, the amortization is that excess divided by the average remaining service period of participating employees expected to receive benefits under the plan. The Company records a curtailment when an event occurs that significantly reduces the expected years of future service or eliminates the accrual of defined benefits for the future services of a significant number of employees. A curtailment gain is recorded when the employees who are entitled to the benefits terminate their employment; a curtailment loss is recorded when it becomes probable a loss will occur. Upon a settlement, the Company recognizes the proportionate amount of the unamortized gains and losses if the cost of all settlements during the year exceeds the interest component of net periodic cost for the affected plan. Noncontrolling Interests. Noncontrolling interests represent the portion of profit or loss, net assets and comprehensive income that is not allocable to the Company. Noncontrolling interests with redemption features, such as put rights, that are not solely within the Company’s control are considered redeemable noncontrolling interests. Redeemable noncontrolling interests are presented outside of equity on the Company's consolidated balance sheets. The balance of redeemable noncontrolling interests is reported at the greater of its carrying value or its maximum redemption value at each reporting date. Related Party Transactions. The Company has certain strategic alliances that are not consolidated. The Company's strategic alliances are not significant subsidiaries and are accounted for under the equity method of investments. The Company owns 48.1 percent of Inspur (Suzhou) Financial Information Technology Co., Ltd (Inspur JV) and 49.0 percent of Aisino-Wincor Retail & Banking Systems (Shanghai) Co., Ltd (Aisino JV) as of December 31, 2023. The Company engages in transactions with these entities in the ordinary course of business. As of December 31, 2023, the Company had accounts receivable and accounts payable balances with these affiliates of $13.0 and $24.2, respectively, which is included in trade receivables, less allowances for doubtful accounts and accounts payable, respectively, on the consolidated balance sheets. Recently Adopted Accounting Guidance In August 2018, the FASB issued guidance on a company's accounting for implementation fees paid in a cloud computing service contract arrangement that addresses which implementation costs to capitalize as an asset and which costs to expense. Capitalized implementation fees are to be expensed over the term of the cloud computing arrangement, and the expense is required to be recognized in the same line item in the income statement as the associated hosting service expenses. The entity is also required to present the capitalized implementation fees on the balance sheet in the same line item as it would present a prepayment for hosting service fees associated with the cloud computing arrangement. Cash payments for cloud computing arrangements (CCA) implementation costs are classified as cash outflows from operating activities. The effects of the adoption of the ASUs listed below did not significantly impact the Company's financial statements: Standards Adopted Description Effective ASU 2022-04 Liabilities-Supplier Finance Programs This Accounting Standard Update (ASU) improves the transparency of financial reporting by adding requirements for disclosures related supplier finance programs. The adoption of this ASU did not have a significant impact on the Company's consolidated financial statements. January 1, 2023 Recently Issued Accounting Guidance The following ASUs were recently issued by the FASB, which could significantly impact the Company's financial statements: Standards Pending Adoption Description Effective/Adoption Date Anticipated Impact ASU 2020-04 Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting The standard provides optional expedients and exceptions for applying GAAP to contracts, hedges and other transaction that will be impacted by reference rate reform. March 12, 2020 through December 31, 2024 The Company is currently assessing the impact this ASU will have on its consolidated financial statements. The ASU allows for early adoption in any year end after issuance of the update. ASU 2022-06 Reference Rate Reform (Topic 848) - Deferral of the Sunset Date of Topic 848 The standard defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024. December 31, 2024 The Company does not expect this ASU will have a significant impact on its consolidated financial statements. ASU 2023-09 Income Taxes (Topic 740) - Improvements to Income Tax Disclosures The standard improves the transparency of financial reporting by adding requirements for disclosures related to effective tax rate reconciliation, as well as information on income taxes paid. December 31, 2025 The Company is curren |
CHAPTER 11 CASES AND DUTCH SCHE
CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS | 12 Months Ended |
Dec. 31, 2023 | |
Reorganizations [Abstract] | |
CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS | CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS Voluntary Reorganization On June 1, 2023, the Company and certain of its U.S. and Canadian subsidiaries (collectively, the Debtors) filed voluntary petitions in the U.S. Bankruptcy Court for the Southern District of Texas (the U.S. Bankruptcy Court) seeking relief under chapter 11 of title 11 of the U.S. Code (the U.S. Bankruptcy Code). The cases were jointly administered under the caption In re: Diebold Holding Company, LLC, et al. (Case No. 23-90602) (the Chapter 11 Cases). Additionally, on June 1, 2023, Diebold Nixdorf Dutch Holding B.V. (Diebold Dutch) filed a scheme of arrangement relating to certain of the Company’s other subsidiaries (the Dutch Scheme Parties) and commenced voluntary proceedings (the Dutch Scheme Proceedings and, together with the Chapter 11 Cases, the Restructuring Proceedings) under the Dutch Act on Confirmation of Extrajudicial Plans (Wet homologatie onderhands akkoord) in the District Court of Amsterdam (the Dutch Court). In addition, on June 12, 2023, Diebold Dutch filed a voluntary petition for relief under chapter 15 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court seeking recognition of the Dutch Scheme Proceedings as a foreign main proceedings and related relief (the Chapter 15 Proceedings). On July 13, 2023, the U.S. Bankruptcy Court entered an order (the Confirmation Order) confirming the Debtors’ Second Amended Joint Prepackaged Chapter 11 Plan of Reorganization (the U.S. Plan). On August 2, 2023, the Dutch Court entered an order (the WHOA Sanction Order) sanctioning the Netherlands WHOA Plan of Diebold Dutch and the Dutch Scheme Companies (the WHOA Plan) in the Dutch Scheme Proceedings. On August 7, 2023, the U.S. Bankruptcy Court entered an order in the Chapter 15 Proceedings recognizing the WHOA Plan and the WHOA Sanction Order. On August 11, 2023 (the Effective Date or Fresh Start Reporting Date), the U.S. Plan and WHOA Plan (together, the Plans) became effective in accordance with their terms and the Debtors and the Dutch Scheme Parties emerged from the Chapter 11 Cases and the Dutch Scheme Proceedings. Following filing the notice of the Effective Date with the U.S. Bankruptcy Court, the Chapter 15 Proceedings were closed. The following is a summary of the material provisions of the U.S. Plan, as confirmed by the U.S. Bankruptcy Court pursuant to the Confirmation Order, and the WHOA Plan (as applicable), as sanctioned by the Dutch Court, and are qualified in its entirety by reference to the full text of the Plans (including the Plan Supplement). Capitalized terms used but not defined in the following "Treatment of Claims" section have the meanings set forth in the U.S. Plan. Treatment of Claims The following is a high-level summary of the treatment of claims and interests under the Plans (as applicable), which is qualified in its entirety by the terms of the Plans (as applicable): • Holders of Other Secured Claims . Each holder of allowed Other Secured Claims received, at the Company’s option: (a) payment in full in cash; (b) the collateral securing its secured claim; (c) reinstatement of its secured claim; or (d) such other treatment rendering its secured claim unimpaired in accordance with section 1124 of the U.S. Bankruptcy Code. • Holders of Other Priority Claims . Each holder of allowed Other Priority Claims received, at the Company’s option: (a) payment in full in cash; or (b) such other treatment rendering its other priority claim unimpaired in accordance with section 1124 of the U.S. Bankruptcy Code. • Holders of ABL Facility Claims . Prior to the Effective Date, allowed ABL Facility Claims were paid in full and any letters of credit were cash collateralized. • Holders of Superpriority Term Loan Claims . Prior to the Effective Date, allowed Superpriority Term Loan Claims were paid in full. • Holders of First Lien Claims . On the Effective Date, each holder of allowed First Lien Claims received its pro rata share of 98% of the reorganized Company’s new common equity interests (the New Common Stock) available for distribution to certain creditors under the Plans, which is subject to dilution on account of (a) the issuance of the New Common Stock (the Additional New Common Stock) as premiums in consideration for commitments with respect to the Debtors’ $1,250.0 debtor-in-possession term loan credit facility (the DIP Facility) and (b) a new management incentive plan implemented in connection with the Chapter 11 Cases pursuant to which 6% of the number of shares of New Common Stock issued pursuant to the U.S. Plan on a fully diluted basis (the MIP Shares) were reserved for issuance to management as determined by the reorganized Company’s new Board of Directors. • Holders of Second Lien Notes Claims . On the Effective Date, each holder of allowed Second Lien Notes Claims received its pro rata share of 2% of the New Common Stock available for distribution to creditors under the Plans, which is subject to dilution on account of (a) the issuance of certain of the Additional New Common Stock and (b) the MIP Shares. • Holders of 2024 Stub Unsecured Notes Claims . On the Effective Date, each holder of allowed 2024 Stub Unsecured Notes Claims received its pro rata share of an amount of a $3.5 cash distribution, which provided such holder with the same percentage recovery on its allowed 2024 Stub Unsecured Notes Claim that a holder of an allowed Second Lien Notes Claim received in respect of its allowed Second Lien Notes Claim (as diluted on account of the Additional New Common Stock, as applicable) under the U.S. Plan based upon the midpoint of the equity value of the New Common Stock as set forth in the Disclosure Statement approved in the Chapter 11 Cases (the Disclosure Statement). • Holders of General Unsecured Claims . On the Effective Date, each allowed General Unsecured Claim was reinstated and paid in the ordinary course of business in accordance with the terms and conditions of the particular transaction or agreement giving rise to such allowed general unsecured claim. • Holders of Section 510(b) Claims . On the Effective Date, claims subject to section 510(b) of the U.S. Bankruptcy Code were either extinguished, cancelled and discharged, and holders thereof received no distributions from the Debtors in respect of their claims. • DNI Equity Holders . Each holder of an equity interest in Diebold Nixdorf, Incorporated had such interest extinguished, cancelled and discharged without any distribution. The Exit Credit Agreement On the Effective Date, the Company, as borrower, entered into a new credit agreement (the Exit Credit Agreement) governing its $1,250.0 senior secured loan credit facility (the Exit Facility) along with certain financial institutions party thereto, as lenders, GLAS USA LLC, as administrative agent, and GLAS Americas LLC, as collateral agent. Concurrently with the closing of the Exit Facility, the Company’s existing $1,250.0 senior secured superpriority debtor-in-possession term loan credit facility (the DIP Facility) was terminated and the loans outstanding under the DIP Facility were converted into loans outstanding under the Exit Facility (the Conversion), and the liens and guarantees, including all guarantees and liens granted by certain subsidiaries of the Company that are organized in the United States and in certain foreign jurisdictions, granted under the DIP Facility were automatically terminated and released. In connection with the Conversion, the entire $1,250.0 under the Exit Facility was deemed drawn on the Effective Date. The Company may repay the loans under the Exit Facility at any time; provided that certain repayments of the loans made on or prior to February 11, 2025 with the proceeds of certain types of indebtedness must be accompanied by a premium of either 1.00% or 5.00% of the principal amount of the loans repaid. The amount of the premium is based on the type of indebtedness incurred to repay the loans. Amounts borrowed and repaid under the Exit Facility may not be reborrowed. The Exit Facility will mature on August 11, 2028. The obligations of the Company under the Exit Facility are guaranteed by certain subsidiaries of the Company that are organized in the United States (the Guarantors). The Exit Facility and related guarantees are secured by perfected senior security interests and liens on substantially all assets of the Company and each Guarantor. Loans under the Exit Facility bear interest at an adjusted secured overnight financing rate with a one-month tenor rate plus 7.50% per annum or an adjusted base rate plus 6.50% per annum. The Exit Facility includes conditions precedent, representations and warranties, affirmative and negative covenants and events of default that are customary for financings of this type and size. Registration Rights Agreement On the Effective Date, the Company entered into a registration rights agreement (the Registration Rights Agreement) with certain parties (together with any person or entity that becomes a party to the Registration Rights Agreement, the Holders) that received shares of the New Common Stock on the Effective Date as provided in the Plans. The Registration Rights Agreement provides Holders with registration rights for the Holders’ Registrable Securities (as defined in the Registration Rights Agreement). Pursuant to the Registration Rights Agreement, the Company was required to file a Resale Shelf Registration Statement (as defined in the Registration Rights Agreement) with respect to the Registrable Securities within 90 calendar days of the Effective Date. The Company filed the Resale Shelf Registration Statement on November 9, 2023 and it was declared effective by the Securities and Exchange Commission on November 20, 2023. Subject to certain exceptions, the Company is required to use commercially reasonable efforts maintain the effectiveness of any such registration statement until the date on which all Registrable Securities registered thereunder are no longer Registrable Securities. In addition, specified Holders have the right to demand that the Company effect the registration of any or all of the Registrable Securities (a Demand Registration) and/or effectuate the distribution of any or all of their Registrable Securities by means of an underwritten shelf takedown offering. The Company is not obligated to effect more than five Demand Registrations or more than four underwritten shelf takedown offerings and it need not comply with such a request unless the aggregate gross proceeds from such a sale will exceed specified thresholds and other conditions are met. The Company will not be obligated to effect an underwritten shelf takedown within 180 days after the consummation of a previous underwritten shelf takedown or Demand Registration. Holders also have customary piggyback registration rights, subject to the limitations set forth in the Registration Rights Agreement. These registration rights are subject to certain conditions and limitations, including the right of the underwriters to limit the number of shares to be included in a registration statement and the Company’s right to delay or withdraw a registration statement under certain circumstances. The Company will generally pay all registration expenses in connection with its obligations under the Registration Rights Agreement, regardless of whether a registration statement is filed or becomes effective. The registration rights granted in the Registration Rights Agreement are subject to customary indemnification and contribution provisions, as well as customary restrictions such as blackout periods. Share-Based Compensation As discussed above, on the Effective Date, the then existing common shares of the Predecessor were canceled and the New Common Stock was issued. Accordingly, the existing share-based compensation awards issued pursuant to the 2017 Equity and Performance Incentive Plan were also canceled, which resulted in the recognition of any previously unamortized expense related to the canceled awards on the date of cancellation. Management Incentive Plan Pursuant to the U.S. Plan, the reorganized Company adopted a new management incentive plan (the MIP). The U.S. Plan contemplates that 6% of the New Common Stock, on a fully diluted basis, is reserved for issuance in connection with the MIP. See Note 5 for further detail regarding share-based compensation and equity. Conversion to Delaware Corporation Pursuant to the U.S. Plan as and part of the Restructuring Proceedings, the Company was reincorporated as a Delaware corporation. Going Concern Assessment The Company's consolidated financial statements included herein have been prepared using the going concern basis of accounting, which contemplates continuity of operations, realization of assets, and satisfaction of liabilities in the normal course of business. As discussed above, commencing June 1, 2023, the Debtors and the Dutch Scheme Parties were operating as debtors in possession under the supervision and jurisdiction of the U.S. Bankruptcy Court and the Dutch Court until the Effective Date, when the U.S. Plan and the WHOA Plan became effective in accordance with their terms and the Debtors and Dutch Scheme Parties emerged from the Chapter 11 Cases and Dutch Scheme Proceedings. Prior to and during the pendency of the Chapter 11 Cases and Dutch Scheme Proceedings, the Company’s ability to continue as a going concern was subject to a high degree of risk and uncertainty until the Plans were confirmed and became effective. As a result of the U.S. Plan and the WHOA Plan becoming effective on the Effective Date, the Company believes that it has the ability to meet its obligations for at least one year from the date of the issuance of this Form 10-K and that there is no longer substantial doubt about the Company’s ability to continue as a going concern. Liabilities Subject to Compromise During the pendency of the Chapter 11 Cases and Dutch Scheme Proceedings, prepetition liabilities of the Debtors and Dutch Scheme Parties subject to compromise under the Restructuring Proceedings were distinguished from liabilities that were not expected to be compromised and post-petition liabilities in our condensed consolidated balance sheets. Liabilities subject to compromise were recorded at the amounts expected to be allowed by the U.S. Bankruptcy Court. See Note 3 for a listing of liabilities subject to compromise immediately prior to the effectiveness of the Plans. The contractual interest expense on Debt that was classified as subject to compromise was in excess of recorded interest expense by $67.5 for the period January 1, 2023 through August 11, 2023, respectively. This excess contractual interest was not recorded as interest expense on the Predecessor's Condensed Consolidated Statements of Operations, as we had discontinued accruing interest on this debt and discontinued making interest payments beginning on June 1, 2023 in connection with filing of the plans. See Note 13 for further detail regarding Debt subject to compromise. Reorganization Items, Net The income, expenses, gains and losses directly and incrementally resulting from the Chapter 11 Cases and Dutch Scheme Proceedings are separately reported as Reorganization items, net in our consolidated statement of operations. Reorganization items, net consisted of the following: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Gain on settlement of liabilities subject to compromise (non-cash) $ — $ 1,570.5 Fresh start valuation adjustments (non-cash) — 686.7 Professional fees (cash) (17.1) (38.7) Unamortized debt issuance costs (non-cash) — (124.6) DIP premium (non-cash) — (384.4) Debt make-whole premium (cash) — (91.0) Lease rejection damage claim (cash) — (3.8) Other (non-cash) — (0.6) Total Reorganization items, net $ (17.1) $ 1,614.1 Cash paid for Reorganization items, net was $36.9 and $107.2 for the Successor Period from August 12, 2023 through December 31, 2023 and the Predecessor Period of January 1, 2023 through August 11, 2023, respectively. Fresh Start Accounting As discussed in Note 1, upon emergence from the Chapter 11 Cases and Dutch Scheme Proceedings, the Company qualified for and adopted Fresh Start Accounting, which resulted in the Company becoming a new entity for financial reporting purposes (the Successor). The reorganization value derived from the range of enterprise values associated with the Plans was allocated to the Company’s identifiable tangible and intangible assets and liabilities based on their fair values (except for deferred income taxes) with the remaining excess value allocated to goodwill. As a result of the adoption of Fresh Start Accounting and the effects of the implementation of the Plans, the Company’s consolidated financial statements of the Successor are not comparable to its consolidated financial statements of the Predecessor. Reorganization Value The Successor determined a value to be assigned to the equity of the emerging entity as of the date of adoption of Fresh Start Accounting. The Disclosure Statement approved in the Chapter 11 Cases (the Disclosure Statement) included a range of enterprise values between $2,150.0 and $2,450.0. The Company engaged third-party valuation advisors to assist in determining a point estimate of enterprise value within the range and the allocation of enterprise value to the assets and liabilities for financial reporting purposes based on management’s latest outlook as of the Effective Date. The Company deemed it appropriate to use an enterprise value of $2,150.0 for financial reporting. The following table reconciles the enterprise value to the estimated fair value of the Successor common stock as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Fair value of Exit Facility (1,250.0) Less: Net pension, post-retirement and other benefits liability (39.3) Less: Other debt (13.9) Less: Noncontrolling interests (13.9) Fair Value of Successor Equity $ 1,039.0 The following table reconciles the enterprise value to the reorganization value of the Successor’s assets to be allocated to the Company’s individual assets as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Net pension, post-retirement and other benefits liability (39.3) Plus: Fair value of non-debt current liabilities 1,398.3 Plus: Fair value of non-debt, non-current liabilities 225.0 Plus: Deferred income taxes, non-current 238.5 Reorganization Value of Successor's Assets to be Allocated $ 4,178.6 The discounted cash flow (DCF) method, a form of the income approach, was relied upon to validate the selected enterprise value of the Company within the range established within the Disclosure Statement, as well as to allocate the resulting consolidated enterprise value between the Company’s two reporting units. The DCF method is a multiple period discounting model in which the value of an entity is determined based on the present value of its expected future economic benefits. For purposes of our analysis, we used free cash flow, defined as the earnings available for distribution to an entity’s investors after consideration of the cash reinvestment required to support the Company’s continued operations and future growth. Conceptually, free cash flow as defined above is the amount that could be paid to investors without impairing an entity’s current or future operations. The expected cash flows for the period from August 12, 2023 through December 31, 2023 and for the years ending December 31, 2024 through 2028 were based on the financial projections and assumptions utilized as an input to determining the range of enterprise values in the Disclosure Statement. The expected cash flows beyond this period were based on long-term profitability and growth expectations. A terminal value was included, based on the cash flows of the final year of the discrete forecast period. Discount rates of 19.0% and 19.0% were estimated for the Company’s Banking and Retail reporting units, respectively, based on an after-tax weighted average cost of capital (WACC) reflecting the rate of return that would be expected by a market participant. The WACC also takes into consideration a company specific risk premium reflecting the risk associated with the financial projections used to estimate future cash flows. These discount rates were also compared to the consolidated internal rate of return (IRR) of 18.9% to assess reasonableness. The IRR is the rate of return that equates the present value of the expected consolidated cash flows to the enterprise value relied upon within the range established in the Disclosure Statement. The enterprise value and corresponding equity value are dependent upon achieving the future financial results set forth in our projections. All estimates, assumptions, valuations and financial projections, including the fair value adjustments, the enterprise value and equity value projections, are inherently subject to uncertainties and the resolution of contingencies beyond our control. Accordingly, there cannot be assurance that the estimates, assumptions, valuations or financial projections will be realized, and actual results could vary materially. Valuation Process The Company estimated the fair values of the Company’s principal assets, including inventory, property, plant, and equipment, and intangible assets as well as the Company’s lease liabilities and the Exit Facility. Inventory The replacement value of the Company’s raw materials inventory was considered as its fair value. The comparative sales method was employed to estimate the fair value of the Company’s work-in-process and finished goods inventory. The comparative sales method utilizes the expected selling price of the inventory items as the base inventory value amount. This amount is then adjusted downward for costs and expenses associated with the time and effort that would be required to dispose of the inventory and a reasonable profit. Property, plant, and equipment Personal Property Personal property consisted of machinery, tools, equipment, furniture and fixtures, leasehold improvements, computer and equipment, and construction in progress. The cost approach was primarily utilized for the Company's personal property. This approach considers the amount required to construct or purchase a new asset of equal utility at current prices, with adjustments in value for physical deterioration, and functional and economic obsolescence. Physical deterioration is an adjustment made in the cost approach to reflect the real operating age of an asset with regard to wear and tear, decay and deterioration that is not prevented by maintenance. Functional obsolescence is the loss in value or usefulness of an asset caused by inefficiencies or inadequacies of the asset, as compared to a more efficient or less costly replacement asset with newer technology. Economic obsolescence is the loss in value or usefulness of an asset due to factors external to the asset, such as the economics of the industry, reduced demand, increased competition or similar factors. Land and Building Improvements The valuation of land, land improvements, buildings and building improvements was performed using either the cost, income capitalization or sales comparison approach, depending on the nature of the asset. The cost approach was utilized for the Company’s owned industrial facilities. The income capitalization approach was used to value the Company’s interests in an industrial complex. The income capitalization approach measures the value of a property by calculating the present value of the future economic benefits associated with the property. The sales comparison approach was used for certain owned vacant land and relies upon recent sales or similar offerings to arrive at a probable selling price. Intangible Assets Tradenames and Trademarks and Technology / Know-How Assets The relief from royalty method was relied upon to value the trade names and trademarks and technology / know-how assets. The relief from royalty analysis is comprised of two major steps: (i) a determination of an appropriate royalty rate, and (ii) the subsequent application of the royalty rate to projected revenue. In determining an appropriate royalty rate, the Company considered comparable license agreements, an excess earnings analysis to determine aggregate intangible asset earnings, and other qualitative factors. The key assumptions used to estimate the fair value of the Company’s trade names and trademarks and technology/ know-how assets included forecasted revenues, the royalty rate, the tax rate and the discount rate. The relief from royalty method was relied upon for these valuations. The relief from royalty method measures the benefit of owning an intangible asset as the “relief” from the royalty expense that would otherwise be incurred by licensing the asset from a third party. It assumes that if the Company did not own the intangible asset, then it would be willing to pay a royalty for its use. This method is most commonly used for readily transferable intangible assets that have licensing appeal, such as intellectual property. Customer Relationship and Backlog Assets The customer relationships and backlog assets were valued using the multi-period excess earnings method, a variation of the income approach. For the customer relationship assets, revenues attributable to customer assets were determined and an attrition rate based on historical customer trends was applied to estimate the expected decline anticipated from the existing customer population. The cash flows attributable to the customer relationships and backlog assets were also determined by applying appropriate costs and contributory asset charges then adjusted using a discount rate that is commensurate with the risk inherent in the customer-related intangible assets. The key assumptions used to estimate the fair value of the customer-related assets included forecasted revenues, attrition rates, profit margins, contributory asset charges, the tax rate and the discount rate. Joint ventures To estimate the value of the joint ventures, the DCF method was employed to determine the enterprise value of these entities. Adjustments for cash and cash equivalents and interest-bearing debt were made to enterprise value to calculate each entity’s equity value. The application of a discount for lack of control was also considered. Lastly, the concluded equity value was adjusted for the Company’s ownership interest. Lease liabilities and right of use assets Lease liabilities were estimated as the present value of the remaining lease payments. The Company estimated an incremental borrowing rate and used it as the discount rate in the analysis. Right of use asset values were estimated by adjusting the lease liability estimates with estimates of off-market value of leases. Off-market (or above/below market) value was estimated as the present value of the differential between contract rates and market rates over the remaining term of a lease. Exit Facility To estimate the value of the Exit Facility, a DCF method was employed. The fair value of the Exit Facility was estimated by analyzing the expected cash flows and discounting such cash flows at a rate of return that reflects the time value of money and credit risk of the Company. The credit risk of the Company was determined via a synthetic credit rating analysis, and the concluded discount rate was determined by analyzing comparable corporate debt instruments and their observed market yields. Noncontrolling interests To estimate the value of the non-controlling interests, the DCF method was employed to determine the enterprise value of these entities. Adjustments for cash and cash equivalents and interest-bearing debt were made to enterprise value to calculate each entities’ equity value. The application of a discount for lack of control was also considered. Lastly, the concluded equity value was adjusted for the non-controlling interest’s ownership position. Consolidated Balance Sheet The adjustments included in the following fresh start condensed consolidated balance sheet reflect the effects of the transactions contemplated by the Plans and executed by the Company on the Fresh Start Reporting Date (reflected in the column “Reorganization Adjustments”), and fair value and other required accounting adjustments resulting from the adoption of Fresh Start Accounting (reflected in the column “Fresh Start Accounting Adjustments”). The explanatory notes provide additional information and significant assumptions with regard to the adjustments recorded and the methods used to determine the fair values. Predecessor Reorganization Adjustments (1) Fresh Start Accounting Adjustments Successor August 11, 2023 August 12, 2023 ASSETS Current assets Cash and cash equivalents $ 404.9 $ (13.5) (2) $ — $ 391.4 Restricted cash 60.8 — — 60.8 Short-term investments 13.9 — — 13.9 Trade receivables, less allowances for doubtful accounts 623.9 — — 623.9 Inventories 712.8 — 32.8 (17) 745.6 Prepaid expenses 49.1 (3.5) (3) — 45.6 Current assets held for sale 9.9 — — 9.9 Other current assets 247.8 — — 247.8 Total current assets 2,123.1 (17.0) 32.8 2,138.9 Securities and other investments 7.0 — — 7.0 Property, plant, and equipment, net of accumulated depreciation and amortization 120.3 — 46.2 (18) 166.5 Deferred income taxes — 70.3 (4) (10.8) (19) 59.5 Goodwill 714.3 — (93.3) (20) 621.0 Customer relationships, net 176.1 — 378.2 (21) 554.3 Other intangible assets, net 45.1 — 320.0 (22) 365.1 Other assets 256.8 — 9.5 (23) 266.3 Total assets $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 LIABILITIES AND EQUITY Current liabilities Notes payable $ 1,254.9 $ (1,250.0) (5) $ — $ 4.9 Accounts payable 461.0 — — 461.0 Deferred revenue 421.0 — — 421.0 Payroll and other benefits liabilities 159.2 (0.1) (6) — 159.1 Current liabilities held for sale 10.2 — 0.7 (24) 10.9 DIP facility premium 384.4 (384.4) (7) — — Other current liabilities 343.3 5.5 (8) 1.5 (25) 350.3 Total current liabilities 3,034.0 (1,629.0) 2.2 1,407.2 Long-term debt 4.2 1,248.7 (9) 0.8 (26) 1,253.7 Pensions, post-retirement and other benefits 102.3 — (0.3) (27) 102.0 Deferred income taxes 85.8 (26.4) (4) 179.1 (19) 238.5 Other liabilities 120.3 — 4.0 (28) 124.3 Liabilities subject to compromise 2,232.4 (2,232.4) (10) — — Total liabilities $ 5,579.0 (2,639.1) 185.8 3,125.7 Equity Diebold Nixdorf, Incorporated shareholders' equity Predecessor common shares 121.2 (121.2) (11) — — Successor common stock — 0.4 (12) — 0.4 Paid-in capital; predecessor 832.3 (442.3) (13) (390.0) (29) — Paid-in capital; successor — 1,038.6 (14) — 1,038.6 Retained earnings (accumulated deficit) (2,204.8) 1,659.4 (15) 545.4 (29) — Treasury shares, at cost (586.4) 586.4 (13) — — Accumulated other comprehensive income (loss) (320.0) (8.8) (16) 328.8 (29) — Equity warrants 20.1 (20.1) (13) — — Total Diebold Nixdorf, Incorporated shareholders' equity (deficit) (2,137.6) 2,692.4 484.2 1,039.0 Noncontrolling interests 1.3 — 12.6 (30) 13.9 Total equity (deficit) (2,136.3) 2,692.4 496.8 1,052.9 Total liabilities and equity (deficit) $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 Reorganization Adjustments (1) Represent amounts recorded as of the Fresh Start Reporting Date for the implementation of the Plans, including, among other items, settlement of the Predecessor's liabilities subject to compromise, distributions of cash, conversion of the DIP Facility to the Exit Facility, and the issuance of the Successor common stock. (2) Changes in cash and cash equivalents include the following: Payment of interest on the DIP Facility $ (1.8) Payment to holders of the 2024 Stub Unsecured Notes Claims (3.5) Payment of lease rejection damages (3.8) Payment of professional fees (4.4) Net change in cash and cash equivalents $ (13.5) (3) Reflects the elimination of prepaid directors and officers insurance policies related to the Predecessor. (4) Change in deferred tax assets and liabilities as a result of release of valuation allowance, partially offset by reduction of estimated tax attributes due to cancellation of debt. (5) Represents the conversion of the DIP Facility to the Exit Facility and the reclassification of debt from current liabilities to non-current liabilities, based on the maturity of the debt. (6) Reflects the acceleration and cancellation of unvested Predecessor stock compensation awards. (7) Represents the issuance of Successor comm |
FRESH START ACCOUNTING
FRESH START ACCOUNTING | 12 Months Ended |
Dec. 31, 2023 | |
Reorganizations [Abstract] | |
FRESH START ACCOUNTING | CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS Voluntary Reorganization On June 1, 2023, the Company and certain of its U.S. and Canadian subsidiaries (collectively, the Debtors) filed voluntary petitions in the U.S. Bankruptcy Court for the Southern District of Texas (the U.S. Bankruptcy Court) seeking relief under chapter 11 of title 11 of the U.S. Code (the U.S. Bankruptcy Code). The cases were jointly administered under the caption In re: Diebold Holding Company, LLC, et al. (Case No. 23-90602) (the Chapter 11 Cases). Additionally, on June 1, 2023, Diebold Nixdorf Dutch Holding B.V. (Diebold Dutch) filed a scheme of arrangement relating to certain of the Company’s other subsidiaries (the Dutch Scheme Parties) and commenced voluntary proceedings (the Dutch Scheme Proceedings and, together with the Chapter 11 Cases, the Restructuring Proceedings) under the Dutch Act on Confirmation of Extrajudicial Plans (Wet homologatie onderhands akkoord) in the District Court of Amsterdam (the Dutch Court). In addition, on June 12, 2023, Diebold Dutch filed a voluntary petition for relief under chapter 15 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court seeking recognition of the Dutch Scheme Proceedings as a foreign main proceedings and related relief (the Chapter 15 Proceedings). On July 13, 2023, the U.S. Bankruptcy Court entered an order (the Confirmation Order) confirming the Debtors’ Second Amended Joint Prepackaged Chapter 11 Plan of Reorganization (the U.S. Plan). On August 2, 2023, the Dutch Court entered an order (the WHOA Sanction Order) sanctioning the Netherlands WHOA Plan of Diebold Dutch and the Dutch Scheme Companies (the WHOA Plan) in the Dutch Scheme Proceedings. On August 7, 2023, the U.S. Bankruptcy Court entered an order in the Chapter 15 Proceedings recognizing the WHOA Plan and the WHOA Sanction Order. On August 11, 2023 (the Effective Date or Fresh Start Reporting Date), the U.S. Plan and WHOA Plan (together, the Plans) became effective in accordance with their terms and the Debtors and the Dutch Scheme Parties emerged from the Chapter 11 Cases and the Dutch Scheme Proceedings. Following filing the notice of the Effective Date with the U.S. Bankruptcy Court, the Chapter 15 Proceedings were closed. The following is a summary of the material provisions of the U.S. Plan, as confirmed by the U.S. Bankruptcy Court pursuant to the Confirmation Order, and the WHOA Plan (as applicable), as sanctioned by the Dutch Court, and are qualified in its entirety by reference to the full text of the Plans (including the Plan Supplement). Capitalized terms used but not defined in the following "Treatment of Claims" section have the meanings set forth in the U.S. Plan. Treatment of Claims The following is a high-level summary of the treatment of claims and interests under the Plans (as applicable), which is qualified in its entirety by the terms of the Plans (as applicable): • Holders of Other Secured Claims . Each holder of allowed Other Secured Claims received, at the Company’s option: (a) payment in full in cash; (b) the collateral securing its secured claim; (c) reinstatement of its secured claim; or (d) such other treatment rendering its secured claim unimpaired in accordance with section 1124 of the U.S. Bankruptcy Code. • Holders of Other Priority Claims . Each holder of allowed Other Priority Claims received, at the Company’s option: (a) payment in full in cash; or (b) such other treatment rendering its other priority claim unimpaired in accordance with section 1124 of the U.S. Bankruptcy Code. • Holders of ABL Facility Claims . Prior to the Effective Date, allowed ABL Facility Claims were paid in full and any letters of credit were cash collateralized. • Holders of Superpriority Term Loan Claims . Prior to the Effective Date, allowed Superpriority Term Loan Claims were paid in full. • Holders of First Lien Claims . On the Effective Date, each holder of allowed First Lien Claims received its pro rata share of 98% of the reorganized Company’s new common equity interests (the New Common Stock) available for distribution to certain creditors under the Plans, which is subject to dilution on account of (a) the issuance of the New Common Stock (the Additional New Common Stock) as premiums in consideration for commitments with respect to the Debtors’ $1,250.0 debtor-in-possession term loan credit facility (the DIP Facility) and (b) a new management incentive plan implemented in connection with the Chapter 11 Cases pursuant to which 6% of the number of shares of New Common Stock issued pursuant to the U.S. Plan on a fully diluted basis (the MIP Shares) were reserved for issuance to management as determined by the reorganized Company’s new Board of Directors. • Holders of Second Lien Notes Claims . On the Effective Date, each holder of allowed Second Lien Notes Claims received its pro rata share of 2% of the New Common Stock available for distribution to creditors under the Plans, which is subject to dilution on account of (a) the issuance of certain of the Additional New Common Stock and (b) the MIP Shares. • Holders of 2024 Stub Unsecured Notes Claims . On the Effective Date, each holder of allowed 2024 Stub Unsecured Notes Claims received its pro rata share of an amount of a $3.5 cash distribution, which provided such holder with the same percentage recovery on its allowed 2024 Stub Unsecured Notes Claim that a holder of an allowed Second Lien Notes Claim received in respect of its allowed Second Lien Notes Claim (as diluted on account of the Additional New Common Stock, as applicable) under the U.S. Plan based upon the midpoint of the equity value of the New Common Stock as set forth in the Disclosure Statement approved in the Chapter 11 Cases (the Disclosure Statement). • Holders of General Unsecured Claims . On the Effective Date, each allowed General Unsecured Claim was reinstated and paid in the ordinary course of business in accordance with the terms and conditions of the particular transaction or agreement giving rise to such allowed general unsecured claim. • Holders of Section 510(b) Claims . On the Effective Date, claims subject to section 510(b) of the U.S. Bankruptcy Code were either extinguished, cancelled and discharged, and holders thereof received no distributions from the Debtors in respect of their claims. • DNI Equity Holders . Each holder of an equity interest in Diebold Nixdorf, Incorporated had such interest extinguished, cancelled and discharged without any distribution. The Exit Credit Agreement On the Effective Date, the Company, as borrower, entered into a new credit agreement (the Exit Credit Agreement) governing its $1,250.0 senior secured loan credit facility (the Exit Facility) along with certain financial institutions party thereto, as lenders, GLAS USA LLC, as administrative agent, and GLAS Americas LLC, as collateral agent. Concurrently with the closing of the Exit Facility, the Company’s existing $1,250.0 senior secured superpriority debtor-in-possession term loan credit facility (the DIP Facility) was terminated and the loans outstanding under the DIP Facility were converted into loans outstanding under the Exit Facility (the Conversion), and the liens and guarantees, including all guarantees and liens granted by certain subsidiaries of the Company that are organized in the United States and in certain foreign jurisdictions, granted under the DIP Facility were automatically terminated and released. In connection with the Conversion, the entire $1,250.0 under the Exit Facility was deemed drawn on the Effective Date. The Company may repay the loans under the Exit Facility at any time; provided that certain repayments of the loans made on or prior to February 11, 2025 with the proceeds of certain types of indebtedness must be accompanied by a premium of either 1.00% or 5.00% of the principal amount of the loans repaid. The amount of the premium is based on the type of indebtedness incurred to repay the loans. Amounts borrowed and repaid under the Exit Facility may not be reborrowed. The Exit Facility will mature on August 11, 2028. The obligations of the Company under the Exit Facility are guaranteed by certain subsidiaries of the Company that are organized in the United States (the Guarantors). The Exit Facility and related guarantees are secured by perfected senior security interests and liens on substantially all assets of the Company and each Guarantor. Loans under the Exit Facility bear interest at an adjusted secured overnight financing rate with a one-month tenor rate plus 7.50% per annum or an adjusted base rate plus 6.50% per annum. The Exit Facility includes conditions precedent, representations and warranties, affirmative and negative covenants and events of default that are customary for financings of this type and size. Registration Rights Agreement On the Effective Date, the Company entered into a registration rights agreement (the Registration Rights Agreement) with certain parties (together with any person or entity that becomes a party to the Registration Rights Agreement, the Holders) that received shares of the New Common Stock on the Effective Date as provided in the Plans. The Registration Rights Agreement provides Holders with registration rights for the Holders’ Registrable Securities (as defined in the Registration Rights Agreement). Pursuant to the Registration Rights Agreement, the Company was required to file a Resale Shelf Registration Statement (as defined in the Registration Rights Agreement) with respect to the Registrable Securities within 90 calendar days of the Effective Date. The Company filed the Resale Shelf Registration Statement on November 9, 2023 and it was declared effective by the Securities and Exchange Commission on November 20, 2023. Subject to certain exceptions, the Company is required to use commercially reasonable efforts maintain the effectiveness of any such registration statement until the date on which all Registrable Securities registered thereunder are no longer Registrable Securities. In addition, specified Holders have the right to demand that the Company effect the registration of any or all of the Registrable Securities (a Demand Registration) and/or effectuate the distribution of any or all of their Registrable Securities by means of an underwritten shelf takedown offering. The Company is not obligated to effect more than five Demand Registrations or more than four underwritten shelf takedown offerings and it need not comply with such a request unless the aggregate gross proceeds from such a sale will exceed specified thresholds and other conditions are met. The Company will not be obligated to effect an underwritten shelf takedown within 180 days after the consummation of a previous underwritten shelf takedown or Demand Registration. Holders also have customary piggyback registration rights, subject to the limitations set forth in the Registration Rights Agreement. These registration rights are subject to certain conditions and limitations, including the right of the underwriters to limit the number of shares to be included in a registration statement and the Company’s right to delay or withdraw a registration statement under certain circumstances. The Company will generally pay all registration expenses in connection with its obligations under the Registration Rights Agreement, regardless of whether a registration statement is filed or becomes effective. The registration rights granted in the Registration Rights Agreement are subject to customary indemnification and contribution provisions, as well as customary restrictions such as blackout periods. Share-Based Compensation As discussed above, on the Effective Date, the then existing common shares of the Predecessor were canceled and the New Common Stock was issued. Accordingly, the existing share-based compensation awards issued pursuant to the 2017 Equity and Performance Incentive Plan were also canceled, which resulted in the recognition of any previously unamortized expense related to the canceled awards on the date of cancellation. Management Incentive Plan Pursuant to the U.S. Plan, the reorganized Company adopted a new management incentive plan (the MIP). The U.S. Plan contemplates that 6% of the New Common Stock, on a fully diluted basis, is reserved for issuance in connection with the MIP. See Note 5 for further detail regarding share-based compensation and equity. Conversion to Delaware Corporation Pursuant to the U.S. Plan as and part of the Restructuring Proceedings, the Company was reincorporated as a Delaware corporation. Going Concern Assessment The Company's consolidated financial statements included herein have been prepared using the going concern basis of accounting, which contemplates continuity of operations, realization of assets, and satisfaction of liabilities in the normal course of business. As discussed above, commencing June 1, 2023, the Debtors and the Dutch Scheme Parties were operating as debtors in possession under the supervision and jurisdiction of the U.S. Bankruptcy Court and the Dutch Court until the Effective Date, when the U.S. Plan and the WHOA Plan became effective in accordance with their terms and the Debtors and Dutch Scheme Parties emerged from the Chapter 11 Cases and Dutch Scheme Proceedings. Prior to and during the pendency of the Chapter 11 Cases and Dutch Scheme Proceedings, the Company’s ability to continue as a going concern was subject to a high degree of risk and uncertainty until the Plans were confirmed and became effective. As a result of the U.S. Plan and the WHOA Plan becoming effective on the Effective Date, the Company believes that it has the ability to meet its obligations for at least one year from the date of the issuance of this Form 10-K and that there is no longer substantial doubt about the Company’s ability to continue as a going concern. Liabilities Subject to Compromise During the pendency of the Chapter 11 Cases and Dutch Scheme Proceedings, prepetition liabilities of the Debtors and Dutch Scheme Parties subject to compromise under the Restructuring Proceedings were distinguished from liabilities that were not expected to be compromised and post-petition liabilities in our condensed consolidated balance sheets. Liabilities subject to compromise were recorded at the amounts expected to be allowed by the U.S. Bankruptcy Court. See Note 3 for a listing of liabilities subject to compromise immediately prior to the effectiveness of the Plans. The contractual interest expense on Debt that was classified as subject to compromise was in excess of recorded interest expense by $67.5 for the period January 1, 2023 through August 11, 2023, respectively. This excess contractual interest was not recorded as interest expense on the Predecessor's Condensed Consolidated Statements of Operations, as we had discontinued accruing interest on this debt and discontinued making interest payments beginning on June 1, 2023 in connection with filing of the plans. See Note 13 for further detail regarding Debt subject to compromise. Reorganization Items, Net The income, expenses, gains and losses directly and incrementally resulting from the Chapter 11 Cases and Dutch Scheme Proceedings are separately reported as Reorganization items, net in our consolidated statement of operations. Reorganization items, net consisted of the following: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Gain on settlement of liabilities subject to compromise (non-cash) $ — $ 1,570.5 Fresh start valuation adjustments (non-cash) — 686.7 Professional fees (cash) (17.1) (38.7) Unamortized debt issuance costs (non-cash) — (124.6) DIP premium (non-cash) — (384.4) Debt make-whole premium (cash) — (91.0) Lease rejection damage claim (cash) — (3.8) Other (non-cash) — (0.6) Total Reorganization items, net $ (17.1) $ 1,614.1 Cash paid for Reorganization items, net was $36.9 and $107.2 for the Successor Period from August 12, 2023 through December 31, 2023 and the Predecessor Period of January 1, 2023 through August 11, 2023, respectively. Fresh Start Accounting As discussed in Note 1, upon emergence from the Chapter 11 Cases and Dutch Scheme Proceedings, the Company qualified for and adopted Fresh Start Accounting, which resulted in the Company becoming a new entity for financial reporting purposes (the Successor). The reorganization value derived from the range of enterprise values associated with the Plans was allocated to the Company’s identifiable tangible and intangible assets and liabilities based on their fair values (except for deferred income taxes) with the remaining excess value allocated to goodwill. As a result of the adoption of Fresh Start Accounting and the effects of the implementation of the Plans, the Company’s consolidated financial statements of the Successor are not comparable to its consolidated financial statements of the Predecessor. Reorganization Value The Successor determined a value to be assigned to the equity of the emerging entity as of the date of adoption of Fresh Start Accounting. The Disclosure Statement approved in the Chapter 11 Cases (the Disclosure Statement) included a range of enterprise values between $2,150.0 and $2,450.0. The Company engaged third-party valuation advisors to assist in determining a point estimate of enterprise value within the range and the allocation of enterprise value to the assets and liabilities for financial reporting purposes based on management’s latest outlook as of the Effective Date. The Company deemed it appropriate to use an enterprise value of $2,150.0 for financial reporting. The following table reconciles the enterprise value to the estimated fair value of the Successor common stock as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Fair value of Exit Facility (1,250.0) Less: Net pension, post-retirement and other benefits liability (39.3) Less: Other debt (13.9) Less: Noncontrolling interests (13.9) Fair Value of Successor Equity $ 1,039.0 The following table reconciles the enterprise value to the reorganization value of the Successor’s assets to be allocated to the Company’s individual assets as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Net pension, post-retirement and other benefits liability (39.3) Plus: Fair value of non-debt current liabilities 1,398.3 Plus: Fair value of non-debt, non-current liabilities 225.0 Plus: Deferred income taxes, non-current 238.5 Reorganization Value of Successor's Assets to be Allocated $ 4,178.6 The discounted cash flow (DCF) method, a form of the income approach, was relied upon to validate the selected enterprise value of the Company within the range established within the Disclosure Statement, as well as to allocate the resulting consolidated enterprise value between the Company’s two reporting units. The DCF method is a multiple period discounting model in which the value of an entity is determined based on the present value of its expected future economic benefits. For purposes of our analysis, we used free cash flow, defined as the earnings available for distribution to an entity’s investors after consideration of the cash reinvestment required to support the Company’s continued operations and future growth. Conceptually, free cash flow as defined above is the amount that could be paid to investors without impairing an entity’s current or future operations. The expected cash flows for the period from August 12, 2023 through December 31, 2023 and for the years ending December 31, 2024 through 2028 were based on the financial projections and assumptions utilized as an input to determining the range of enterprise values in the Disclosure Statement. The expected cash flows beyond this period were based on long-term profitability and growth expectations. A terminal value was included, based on the cash flows of the final year of the discrete forecast period. Discount rates of 19.0% and 19.0% were estimated for the Company’s Banking and Retail reporting units, respectively, based on an after-tax weighted average cost of capital (WACC) reflecting the rate of return that would be expected by a market participant. The WACC also takes into consideration a company specific risk premium reflecting the risk associated with the financial projections used to estimate future cash flows. These discount rates were also compared to the consolidated internal rate of return (IRR) of 18.9% to assess reasonableness. The IRR is the rate of return that equates the present value of the expected consolidated cash flows to the enterprise value relied upon within the range established in the Disclosure Statement. The enterprise value and corresponding equity value are dependent upon achieving the future financial results set forth in our projections. All estimates, assumptions, valuations and financial projections, including the fair value adjustments, the enterprise value and equity value projections, are inherently subject to uncertainties and the resolution of contingencies beyond our control. Accordingly, there cannot be assurance that the estimates, assumptions, valuations or financial projections will be realized, and actual results could vary materially. Valuation Process The Company estimated the fair values of the Company’s principal assets, including inventory, property, plant, and equipment, and intangible assets as well as the Company’s lease liabilities and the Exit Facility. Inventory The replacement value of the Company’s raw materials inventory was considered as its fair value. The comparative sales method was employed to estimate the fair value of the Company’s work-in-process and finished goods inventory. The comparative sales method utilizes the expected selling price of the inventory items as the base inventory value amount. This amount is then adjusted downward for costs and expenses associated with the time and effort that would be required to dispose of the inventory and a reasonable profit. Property, plant, and equipment Personal Property Personal property consisted of machinery, tools, equipment, furniture and fixtures, leasehold improvements, computer and equipment, and construction in progress. The cost approach was primarily utilized for the Company's personal property. This approach considers the amount required to construct or purchase a new asset of equal utility at current prices, with adjustments in value for physical deterioration, and functional and economic obsolescence. Physical deterioration is an adjustment made in the cost approach to reflect the real operating age of an asset with regard to wear and tear, decay and deterioration that is not prevented by maintenance. Functional obsolescence is the loss in value or usefulness of an asset caused by inefficiencies or inadequacies of the asset, as compared to a more efficient or less costly replacement asset with newer technology. Economic obsolescence is the loss in value or usefulness of an asset due to factors external to the asset, such as the economics of the industry, reduced demand, increased competition or similar factors. Land and Building Improvements The valuation of land, land improvements, buildings and building improvements was performed using either the cost, income capitalization or sales comparison approach, depending on the nature of the asset. The cost approach was utilized for the Company’s owned industrial facilities. The income capitalization approach was used to value the Company’s interests in an industrial complex. The income capitalization approach measures the value of a property by calculating the present value of the future economic benefits associated with the property. The sales comparison approach was used for certain owned vacant land and relies upon recent sales or similar offerings to arrive at a probable selling price. Intangible Assets Tradenames and Trademarks and Technology / Know-How Assets The relief from royalty method was relied upon to value the trade names and trademarks and technology / know-how assets. The relief from royalty analysis is comprised of two major steps: (i) a determination of an appropriate royalty rate, and (ii) the subsequent application of the royalty rate to projected revenue. In determining an appropriate royalty rate, the Company considered comparable license agreements, an excess earnings analysis to determine aggregate intangible asset earnings, and other qualitative factors. The key assumptions used to estimate the fair value of the Company’s trade names and trademarks and technology/ know-how assets included forecasted revenues, the royalty rate, the tax rate and the discount rate. The relief from royalty method was relied upon for these valuations. The relief from royalty method measures the benefit of owning an intangible asset as the “relief” from the royalty expense that would otherwise be incurred by licensing the asset from a third party. It assumes that if the Company did not own the intangible asset, then it would be willing to pay a royalty for its use. This method is most commonly used for readily transferable intangible assets that have licensing appeal, such as intellectual property. Customer Relationship and Backlog Assets The customer relationships and backlog assets were valued using the multi-period excess earnings method, a variation of the income approach. For the customer relationship assets, revenues attributable to customer assets were determined and an attrition rate based on historical customer trends was applied to estimate the expected decline anticipated from the existing customer population. The cash flows attributable to the customer relationships and backlog assets were also determined by applying appropriate costs and contributory asset charges then adjusted using a discount rate that is commensurate with the risk inherent in the customer-related intangible assets. The key assumptions used to estimate the fair value of the customer-related assets included forecasted revenues, attrition rates, profit margins, contributory asset charges, the tax rate and the discount rate. Joint ventures To estimate the value of the joint ventures, the DCF method was employed to determine the enterprise value of these entities. Adjustments for cash and cash equivalents and interest-bearing debt were made to enterprise value to calculate each entity’s equity value. The application of a discount for lack of control was also considered. Lastly, the concluded equity value was adjusted for the Company’s ownership interest. Lease liabilities and right of use assets Lease liabilities were estimated as the present value of the remaining lease payments. The Company estimated an incremental borrowing rate and used it as the discount rate in the analysis. Right of use asset values were estimated by adjusting the lease liability estimates with estimates of off-market value of leases. Off-market (or above/below market) value was estimated as the present value of the differential between contract rates and market rates over the remaining term of a lease. Exit Facility To estimate the value of the Exit Facility, a DCF method was employed. The fair value of the Exit Facility was estimated by analyzing the expected cash flows and discounting such cash flows at a rate of return that reflects the time value of money and credit risk of the Company. The credit risk of the Company was determined via a synthetic credit rating analysis, and the concluded discount rate was determined by analyzing comparable corporate debt instruments and their observed market yields. Noncontrolling interests To estimate the value of the non-controlling interests, the DCF method was employed to determine the enterprise value of these entities. Adjustments for cash and cash equivalents and interest-bearing debt were made to enterprise value to calculate each entities’ equity value. The application of a discount for lack of control was also considered. Lastly, the concluded equity value was adjusted for the non-controlling interest’s ownership position. Consolidated Balance Sheet The adjustments included in the following fresh start condensed consolidated balance sheet reflect the effects of the transactions contemplated by the Plans and executed by the Company on the Fresh Start Reporting Date (reflected in the column “Reorganization Adjustments”), and fair value and other required accounting adjustments resulting from the adoption of Fresh Start Accounting (reflected in the column “Fresh Start Accounting Adjustments”). The explanatory notes provide additional information and significant assumptions with regard to the adjustments recorded and the methods used to determine the fair values. Predecessor Reorganization Adjustments (1) Fresh Start Accounting Adjustments Successor August 11, 2023 August 12, 2023 ASSETS Current assets Cash and cash equivalents $ 404.9 $ (13.5) (2) $ — $ 391.4 Restricted cash 60.8 — — 60.8 Short-term investments 13.9 — — 13.9 Trade receivables, less allowances for doubtful accounts 623.9 — — 623.9 Inventories 712.8 — 32.8 (17) 745.6 Prepaid expenses 49.1 (3.5) (3) — 45.6 Current assets held for sale 9.9 — — 9.9 Other current assets 247.8 — — 247.8 Total current assets 2,123.1 (17.0) 32.8 2,138.9 Securities and other investments 7.0 — — 7.0 Property, plant, and equipment, net of accumulated depreciation and amortization 120.3 — 46.2 (18) 166.5 Deferred income taxes — 70.3 (4) (10.8) (19) 59.5 Goodwill 714.3 — (93.3) (20) 621.0 Customer relationships, net 176.1 — 378.2 (21) 554.3 Other intangible assets, net 45.1 — 320.0 (22) 365.1 Other assets 256.8 — 9.5 (23) 266.3 Total assets $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 LIABILITIES AND EQUITY Current liabilities Notes payable $ 1,254.9 $ (1,250.0) (5) $ — $ 4.9 Accounts payable 461.0 — — 461.0 Deferred revenue 421.0 — — 421.0 Payroll and other benefits liabilities 159.2 (0.1) (6) — 159.1 Current liabilities held for sale 10.2 — 0.7 (24) 10.9 DIP facility premium 384.4 (384.4) (7) — — Other current liabilities 343.3 5.5 (8) 1.5 (25) 350.3 Total current liabilities 3,034.0 (1,629.0) 2.2 1,407.2 Long-term debt 4.2 1,248.7 (9) 0.8 (26) 1,253.7 Pensions, post-retirement and other benefits 102.3 — (0.3) (27) 102.0 Deferred income taxes 85.8 (26.4) (4) 179.1 (19) 238.5 Other liabilities 120.3 — 4.0 (28) 124.3 Liabilities subject to compromise 2,232.4 (2,232.4) (10) — — Total liabilities $ 5,579.0 (2,639.1) 185.8 3,125.7 Equity Diebold Nixdorf, Incorporated shareholders' equity Predecessor common shares 121.2 (121.2) (11) — — Successor common stock — 0.4 (12) — 0.4 Paid-in capital; predecessor 832.3 (442.3) (13) (390.0) (29) — Paid-in capital; successor — 1,038.6 (14) — 1,038.6 Retained earnings (accumulated deficit) (2,204.8) 1,659.4 (15) 545.4 (29) — Treasury shares, at cost (586.4) 586.4 (13) — — Accumulated other comprehensive income (loss) (320.0) (8.8) (16) 328.8 (29) — Equity warrants 20.1 (20.1) (13) — — Total Diebold Nixdorf, Incorporated shareholders' equity (deficit) (2,137.6) 2,692.4 484.2 1,039.0 Noncontrolling interests 1.3 — 12.6 (30) 13.9 Total equity (deficit) (2,136.3) 2,692.4 496.8 1,052.9 Total liabilities and equity (deficit) $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 Reorganization Adjustments (1) Represent amounts recorded as of the Fresh Start Reporting Date for the implementation of the Plans, including, among other items, settlement of the Predecessor's liabilities subject to compromise, distributions of cash, conversion of the DIP Facility to the Exit Facility, and the issuance of the Successor common stock. (2) Changes in cash and cash equivalents include the following: Payment of interest on the DIP Facility $ (1.8) Payment to holders of the 2024 Stub Unsecured Notes Claims (3.5) Payment of lease rejection damages (3.8) Payment of professional fees (4.4) Net change in cash and cash equivalents $ (13.5) (3) Reflects the elimination of prepaid directors and officers insurance policies related to the Predecessor. (4) Change in deferred tax assets and liabilities as a result of release of valuation allowance, partially offset by reduction of estimated tax attributes due to cancellation of debt. (5) Represents the conversion of the DIP Facility to the Exit Facility and the reclassification of debt from current liabilities to non-current liabilities, based on the maturity of the debt. (6) Reflects the acceleration and cancellation of unvested Predecessor stock compensation awards. (7) Represents the issuance of Successor comm |
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE | EARNINGS (LOSS) PER SHARE Basic earnings (loss) per share is based on the weighted-average number of common stock outstanding. Diluted earnings (loss) per share includes the dilutive effect of potential shares of common stock outstanding. Under the two-class method of computing earnings (loss) per share, non-vested share-based payment awards that contain rights to receive non-forfeitable dividends are considered participating securities. During the Predecessor Periods, the Company’s participating securities include restricted stock units (RSUs), director deferred shares and shares that were vested but deferred by employees. There were no vested participating securities in the Successor Period. The Company calculated basic and diluted earnings (loss) per share under both the treasury stock method and the two-class method. For the Successor Period from August 12, 2023 through December 31, 2023 and the Predecessor Periods of January 1, 2023 through August 11, 2023 and the years ended December 31, 2022 and 2021, there were no differences in the earnings (loss) per share amounts calculated using the two methods. Accordingly, the treasury stock method is disclosed below; however, because the Company is in a net loss position in the years ended December 31, 2022 and 2021, dilutive shares are excluded from the shares used in the computation of diluted loss per share. The following table represents amounts used in computing earnings (loss) per share and the effect on the weighted-average number of shares of dilutive potential common stock for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Numerator Income (loss) used in basic and diluted loss per share Net income (loss) $ 19.1 $ 1,357.5 $ (585.6) $ (78.1) Net income (loss) income attributable to noncontrolling interests 1.3 (0.8) (4.2) 0.7 Net income (loss) attributable to Diebold Nixdorf, Incorporated $ 17.8 $ 1,358.3 $ (581.4) $ (78.8) Denominator Weighted-average number of shares of common stock used in basic earnings (loss) per share (1) 37.6 79.7 79.0 78.3 Effect of dilutive shares (1) — 1.7 — — Weighted-average number of shares used in diluted earnings (loss) per share 37.6 81.4 79.0 78.3 Net income (loss) per share attributable to Diebold Nixdorf, Incorporated Basic and diluted income (loss) per share $ 0.47 $ 17.04 $ (7.36) $ (1.01) Diluted earnings income (loss) per share $ 0.47 $ 16.69 $ (7.36) $ (1.01) Anti-dilutive shares Anti-dilutive shares not used in calculating diluted weighted-average shares — 2.1 4.2 3.9 (1) Shares of 1.5 and 1.2 for the years ended December 31, 2022 and 2021, respectively, are excluded from the computation of diluted earnings (loss) per share because the effects are anti-dilutive, irrespective of the net loss position. |
SHARE-BASED COMPENSATION AND EQ
SHARE-BASED COMPENSATION AND EQUITY | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
SHARE-BASED COMPENSATION AND EQUITY | SHARE-BASED COMPENSATION AND EQUITY Dividends . In May 2018, the Company announced the decision of its Board of Directors to reallocate future dividend funds towards debt reduction and other capital resource needs. Accordingly, the Company has not paid a dividend since 2018. Share-Based Compensation Cost . The Company recognizes costs resulting from all share-based payment transactions based on the fair value of the award as of the grant date. Awards are valued at fair value and compensation cost is recognized on a straight-line basis over the requisite periods of each award. To cover the exercise and/or vesting of its share-based payments, the Company uses a combination of new shares from its authorized, unissued share pool and its treasury shares. As discussed above, on the Effective Date, the then existing common shares of the Predecessor were canceled and the New Common Stock was issued. Accordingly, the existing share-based compensation awards issued pursuant to the 2017 Equity and Performance Incentive Plan were also canceled, which resulted in the recognition of any previously unamortized expense related to the canceled awards on the date of cancellation. Pursuant to the U.S. Plan, the reorganized Company adopted a new management incentive plan. The number of shares of common stock that may be issued pursuant to the 2023 Equity and Incentive Plan (the 2023 Plan) was 2.4, of which 1.5 shares were available for issuance at December 31, 2023. The following table summarizes the components of the Company’s employee and non-employee directors share-based compensation programs recognized as selling and administrative expense for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Stock options Pre-tax compensation expense $ 0.1 $ — $ 0.3 $ 1.5 Tax benefit — — — (0.4) Stock option expense, net of tax $ 0.1 $ — $ 0.3 $ 1.1 RSU's Pre-tax compensation expense $ — $ 2.3 $ 13.6 $ 8.7 Acceleration of Predecessor awards — 2.7 — — Tax benefit — (1.2) (1.6) (2.2) RSU expense, net of tax $ — $ 3.8 $ 12.0 $ 6.5 Performance shares Pre-tax compensation expense $ — $ 0.1 $ (0.5) $ 3.6 Tax benefit — — — (1.0) Performance share expense, net of tax $ — $ 0.1 $ (0.5) $ 2.6 Total share-based compensation Pre-tax compensation expense $ 0.1 $ 2.4 $ 13.4 $ 13.8 Acceleration of Predecessor awards — 2.7 — — Tax benefit — (1.2) (1.6) (3.6) Total share-based compensation, net of tax $ 0.1 $ 3.9 $ 11.8 $ 10.2 The following table summarizes information related to unrecognized share-based compensation costs as of December 31, 2023 (Successor): Unrecognized Weighted-Average Period (years) Stock options $ 8.4 2.2 RSUs 8.1 2.2 $ 16.5 SHARE-BASED COMPENSATION AWARDS Stock options, RSUs and performance shares were issued to officers and other management employees under the Company’s Amended and Restated 1991 Equity and Performance Incentive Plan (as amended and restated as of February 12, 2014) (the 1991 Plan) and the 2017 Plan in the Predecessor Period, and under the Company's 2023 Plan in the Successor Period. Certain awards have accelerated vesting clauses upon retirement, which results in either immediate or accelerated expense. Stock Options During the Successor Period in 2023, stock options were granted to non-employee directors that vest after a period of one year to four years and have a term of five years from the issuance date, and have an exercise price of $30.00. No stock options were granted in 2022 or 2021. The estimated fair value of the options granted was calculated using a Black-Scholes option pricing model using the following assumptions: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Expected life (in years) 3.75 0 0 0 Weighted-average volatility 65 % — % — % — % Risk-free interest rate 3.94 % — % — % — % Expected dividend yield — % — % — % — % The Company uses historical data to estimate the expected life within the valuation model. Expected volatility is based on historical volatility of the price of guideline public companies shares over the expected life of the equity instrument. The risk-free rate of interest is based on U.S. Treasury Constant Maturity yields over the expected life of the equity instrument. The expected dividend yield is based on actual dividends paid per share and the price of the Company’s common stock. Options outstanding and exercisable as of December 31, 2023 and changes during the year ended were as follows: Number of Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (1) (per share) (in years) Outstanding at January 1, 2023 (Predecessor) 1.5 $ 16.81 Expired or forfeited (0.2) $ 3.71 Elimination of Predecessor awards (1.3) $ 3.68 Outstanding at August 12, 2023 (Successor) — $ — Granted 0.6 $ 30.00 Outstanding at December 31, 2023 (Successor) 0.6 $ 30.00 5 $ — Options exercisable at December 31, 2023 — $ — 0 $ — (1) The aggregate intrinsic value represents the total pre-tax intrinsic value (the difference between the Company’s closing share price on the last trading day of the year in 2023 and the exercise price, multiplied by the number of “in-the-money” options) that would have been received by the option holders had all option holders exercised their options on December 31, 2023. The amount of aggregate intrinsic value will change based on the fair market value of the Company’s common stock. The aggregate intrinsic value of options exercised was minimal for the years ended December 31, 2023, 2022 and 2021. The weighted-average, grant-date fair value of stock options granted for the year ended December 31, 2023 was $4.73. Restricted Stock Units Each RSU provides for the issuance of one share of common stock of the Company at no cost to the holder and are granted to both employees and non-employee directors. RSUs either cliff vest after one year or vest per annum over a three Non-vested RSUs outstanding as of December 31, 2023 and changes during the year ended were as follows: Number of Weighted-Average Non-vested at January 1, 2023 (Predecessor) 2.2 $ 7.53 Forfeited (0.2) $ 7.96 Vested (1.1) $ 7.30 Elimination of Predecessor awards (0.9) $ 7.73 Non-vested at August 12, 2023 (Successor) — $ — Granted 0.3 $ 29.00 Non-vested at December 31, 2023 (Successor) 0.3 $ 29.00 The weighted-average grant-date fair value of RSUs granted for the years ended December 31, 2022 and 2021 was $6.57 and $13.71, respectively. The weighted-average grant-date fair value of RSUs granted during the Successor Period of August 12, 2023 to December 31, 2023 was $29.00. The total fair value of RSUs vested during the period from January 1, 2023 to August 11, 2023, and the years ended December 31, 2022 and 2021 was $8.2, $11.0 and $10.3, respectively. Performance Shares Performance shares are granted to employees and vest based on the achievement of certain performance objectives, as determined by the Board of Directors. Each performance share earned entitles the holder to one share of common stock of the Company. The Company's performance shares include performance objectives that are assessed after a period of four years as well as performance objectives that are assessed annually over a period of four years. No shares are vested unless certain performance threshold objectives are met. Non-vested performance shares outstanding as of December 31, 2023 and changes during the year ended were as follows: Number of Weighted-Average Non-vested at January 1, 2023 (Predecessor) (1) 1.4 $ 0.30 Forfeited (0.3) $ 0.35 Vested — $ — Granted — $ — Elimination of Predecessor awards (1.1) $ 0.32 Non-vested at August 12, 2023 (Successor) — $ — Granted — $ — Non-vested at December 31, 2023 (Successor) — $ — (1) Non-vested performance shares are based on a maximum potential payout. Actual shares vested at the end of the performance period may be less than the maximum potential payout level depending on achievement of the performance objectives, as determined by the Board of Directors. The weighted-average grant-date fair value of performance shares granted for the years ended December 31, 2022 and 2021 was $7.28 and $13.73, respectively. No performance shares were granted in the period from January 1, 2023 to August 11, 2023 or the period from August 12, 2023 to December 31, 2023. The total fair value of performance shares vested during the year ended December 31, 2022 was $2.0. Liability Awards In addition to the equity awards described above, the Company has certain performance and service based awards that will be settled in cash and are accounted for as liabilities. The total compensation expense for these awards was $1.8, $3.8, $(4.7) and $7.1 for the period from August 12, 2023 to December 31, 2023, the period from January 1, 2023 to August 11, 2023 and the years ended December 31, 2022 and 2021, respectively. These awards vest ratably over a three-year period. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The following table presents components of (loss) income from operations before taxes: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Domestic $ (62.7) $ 792.7 $ (413.2) $ (168.3) Foreign 62.6 655.7 (25.4) 117.6 Total $ (0.1) $ 1,448.4 $ (438.6) $ (50.7) The following table presents the components of income tax expense (benefit): Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Current U.S. federal $ (1.5) $ (3.7) $ 8.5 $ 3.5 Foreign 33.0 14.4 43.3 38.2 State and local (0.4) — 4.0 (1.2) Total current 31.1 10.7 55.8 40.5 Deferred U.S. federal (27.1) 29.5 62.5 (1.7) Foreign (11.7) 42.0 22.4 (11.4) State and local (7.0) 8.2 8.5 0.3 Total deferred (45.8) 79.7 93.4 (12.8) Income tax expense (benefit) $ (14.7) $ 90.4 $ 149.2 $ 27.7 Income tax expense (benefit) attributable to loss from operations before taxes differed from the amounts computed by applying the U.S. federal income tax rate of 21 percent to pre-tax loss from operations. The following table presents these differences: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Statutory tax benefit $ — $ 304.2 $ (92.1) $ (10.6) State and local taxes (net of federal tax benefit) (5.1) 8.4 (17.6) (0.6) Brazil non-taxable incentive (3.3) (0.6) (4.6) (4.3) Valuation allowances 0.2 (193.1) 209.8 33.8 Goodwill impairment — — 9.3 — Foreign tax rate differential 1.5 47.3 (4.6) 2.2 Tax on unremitted foreign earnings 1.5 6.8 4.2 0.7 Change to uncertain tax positions — (1.8) 1.8 (9.2) U.S. taxed foreign income (9.2) 23.6 17.1 6.9 Non-deductible (non-taxable) items 16.2 65.8 15.5 0.7 Reorganization/Fresh Start reporting (21.5) (170.9) — — Prior year deferred true up 1.0 (6.1) — — Return to provision (1.2) 8.4 3.3 (0.8) Withholding tax and other taxes 5.1 0.6 5.4 8.7 Other 0.1 (2.2) 1.7 0.2 Income tax expense (benefit) $ (14.7) $ 90.4 $ 149.2 $ 27.7 The effective tax rate for the period from August 12, 2023 through December 31, 2023 was 14700.0 percent. Significant differences from the U.S. federal statutory rate included non-deductible expenses, U.S. tax on foreign income, withholding taxes, and impact of the reorganization, all of which have a significant impact on the effective tax rate due to the minimal pre-tax income. The effective tax rate from January 1 to August 11, 2023 was 6.2 percent. The effective tax rate differed compared to the U.S. federal statutory rate for the tax impacts of reorganization and fresh-start adjustments, including adjustments to the Company's valuation allowance and permanent differences. The effective tax rate for 2022 was (34.0) percent. Tax expense items contributing to the difference from the U.S. federal income tax rate included valuation allowances, U.S. tax on foreign income, non-deductible expenses, goodwill impairments, withholding taxes, changes to uncertain tax position accruals and other items. These items were partially offset by benefits of utilization of U.S. foreign tax credits, nontaxable incentives, and foreign rate differential. The effective tax rate for 2021 was (54.6) percent. Tax expense items contributing to the differences from the U.S. federal income tax rate included valuation allowances related to certain foreign and U.S. tax attributes for which realization does not meet the more likely than not criteria, U.S. tax on foreign income, withholding taxes, non-deductible expenses and other items. These items were partially offset by benefits related to settling certain open tax years in Germany and the U.S. and other changes to uncertain tax position accruals, non-taxable incentives, and other items. The Company recognizes the benefit of tax positions taken or expected to be taken in its tax returns in the consolidated financial statements when it is more likely than not that the position will be sustained upon examination by authorities. Recognized tax positions are measured at the largest amount of benefit that is more likely than not of being realized upon settlement. Details of the unrecognized tax benefits are as follows: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Balance at beginning of the period $ 52.7 $ 52.1 $ 55.1 $ 36.8 Increases (decreases) related to prior year tax positions, net — 0.6 (1.7) 42.1 Increases related to current year tax positions — — — — Settlements — — (0.7) (23.3) Reductions due to lapse of applicable statute of limitations (0.1) — (0.6) (0.5) Balance the end of the period $ 52.6 $ 52.7 $ 52.1 $ 55.1 Of the Company's $52.6 unrecognized tax benefits, if recognized, $12.6 would affect the Company's effective tax rate. The remaining $40.0 relates to a prior year tax return position, which if recognized, would be offset by changes in valuation allowances and have no effect on the Company's effective tax rate. The Company classifies interest expense and penalties related to the underpayment of income taxes in the consolidated financial statements as income tax expense. As of December 31, 2023 and 2022, accrued interest and penalties related to unrecognized tax benefits totaled $1.4 and $1.3, respectively. Within the next 12 months, no material changes to our unrecognized tax benefits are expected for currently reserved positions. Tax years prior to 2018 are closed by statute for U.S. federal tax purposes. The Company is subject to tax examination in various U.S. state jurisdictions for tax years 2012 to the present. In addition, the Company is subject to a German tax audit for tax years 2018-2020, and other various foreign jurisdictions for tax years 2013 to the present. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company's deferred tax assets and liabilities at December 31 are as follows: Successor Predecessor 2023 2022 Deferred tax assets Accrued expenses $ 96.8 $ 51.9 Warranty accrual 7.5 12.3 Deferred compensation — 3.0 Allowances for doubtful accounts 2.0 5.0 Inventories 22.6 18.5 Deferred revenue 31.3 28.1 Pensions, post-retirement and other benefits 50.7 48.6 Deferred finance charges — 108.3 Tax credits 7.3 — Net operating loss carryforwards 127.9 179.4 Capital loss carryforwards 1.2 1.3 State deferred taxes 6.3 28.0 Lease liability 21.8 28.9 Other 28.5 22.8 403.9 536.1 Valuation allowances (233.6) (468.3) Net deferred tax assets $ 170.3 $ 67.8 Deferred tax liabilities Property, plant and equipment, net $ 33.5 $ 10.3 Goodwill and intangible assets 203.9 88.2 Undistributed earnings 43.4 34.4 Right-of-use assets 22.7 31.5 Other 0.3 — Net deferred tax liabilities 303.8 164.4 Net deferred tax (liability) asset $ (133.5) $ (96.6) Deferred income taxes reported in the consolidated balance sheets as of December 31 are as follows: Successor Predecessor 2023 2022 Deferred income taxes - assets $ 71.4 $ — Deferred income taxes - liabilities (204.9) (96.6) Net deferred tax (liabilities) assets $ (133.5) $ (96.6) As of December 31, 2023, the Company had domestic and international net operating loss (NOL) carryforwards of $483.3, resulting in an NOL deferred tax asset of $129.1. Of these NOL carryforwards, $133.9 expire at various times between 2023 and 2043 and $349.4 does not expire. The Company recorded a valuation allowance to reflect the estimated amount of certain U.S., foreign and state deferred tax assets that, more likely than not, will not be realized. The net change in total valuation allowance for the years ended December 31, 2023 and 2022 was a decrease of $234.7 and an increase $206.5, respectively. The 2023 valuation allowance decrease was driven primarily by the Company's emergence from Restructuring Proceedings and Fresh Start Accounting. Of the total 2023 net decrease of $234.7, the Company recorded $245.3 to tax expense, approximately ($10.6) was recorded to shareholder’s equity. For the years ended December 31, 2023 and 2022, provisions were made for foreign withholding taxes and estimated foreign income taxes which may be incurred upon the remittance of certain undistributed earnings in foreign subsidiaries and foreign unconsolidated affiliates. Provisions have not been made for income taxes on $532.3 of undistributed earnings at December 31, 2023 in foreign subsidiaries and corporate joint ventures that were deemed permanently reinvested. Determination of the amount of unrecognized deferred income tax liabilities on these earnings is not practicable because such liability, if any, depends on certain circumstances existing if and when remittance occurs. A deferred tax liability will be recognized if and when the Company no longer plans to permanently reinvest these undistributed earnings. The Company’s undistributed earnings in foreign subsidiaries that are deemed permanently reinvested decreased compared to the prior-year amount and was primarily impacted by current year income. |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Major classes of inventories at December 31 are summarized as follows: Successor Predecessor 2023 2022 Raw materials and work in process $ 174.0 $ 200.6 Finished goods 242.0 229.4 Total product inventories 416.0 430.0 Service parts 173.8 158.1 Total inventories $ 589.8 $ 588.1 |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | PROPERTY, PLANT AND EQUIPMENT The following is a summary of property, plant and equipment, at cost less accumulated depreciation and amortization as of December 31: Successor Predecessor Estimated Useful Life 2023 2022 Land and land improvements (1) $ 21.6 $ 10.0 Buildings and building improvements 15-30 48.0 68.3 Machinery, tools and equipment 3-12 34.8 81.8 Leasehold improvements (2) 10 6.6 17.2 Computer equipment 3-5 17.1 101.1 Computer software 5-10 6.1 127.8 Furniture and fixtures 5-8 18.0 54.6 Tooling 5 11.7 134.7 Construction in progress 9.4 4.6 Total property plant and equipment, at cost $ 173.3 $ 600.1 Less accumulated depreciation and amortization 14.3 479.4 Total property plant and equipment, net $ 159.0 $ 120.7 (1) Estimated useful life for land and land improvements is perpetual and 15 years, respectively. (2) The estimated useful life for leasehold improvements is the lesser of 10 years or the term of the lease. Depreciation expense is computed on a straight-line basis over the estimated useful lives of the related assets. Depreciation expense was as follows: Successor Predecessor Period from Period from Year ended 08/12/2023 - 12/31/2023 01/01/2023 - 08/11/2023 2022 Depreciation expense $ 16.2 $ 18.3 $ 29.8 |
INVESTMENTS
INVESTMENTS | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS | INVESTMENTS The Company’s investments, primarily in Brazil, consist of certificates of deposit that are recorded at fair value based upon quoted market prices. Changes in fair value are recognized in interest income, determined using the specific identification method, and were minimal. There were no gains from the sale of securities or proceeds from the sale of securities prior to the maturity date for the year ended December 31, 2023. The Company has deferred compensation plans that enable certain employees to defer receipt of a portion of their cash, 401(k) or share-based compensation and enable non-employee directors to defer receipt of director fees at the participants’ discretion. For deferred cash-based compensation, the Company established rabbi trusts (refer to Note 21 of the consolidated financial statements), which are recorded at fair value of the underlying securities within securities and other investments. The related deferred compensation liability is recorded at fair value within other long-term liabilities. Realized and unrealized gains and losses on marketable securities in the rabbi trusts are recognized in interest income. The Company’s investments subject to fair value measurement consist of the following: Cost Basis Unrealized Gain Fair Value As of December 31, 2023 (Successor) Short-term investments Certificates of deposit $ 13.4 $ — $ 13.4 Long-term investments Assets held in a rabbi trust $ 2.3 $ 0.6 $ 2.9 As of December 31, 2022 (Predecessor) Short-term investments Certificates of deposit $ 24.6 $ — $ 24.6 Long-term investments: Assets held in a rabbi trust $ 4.3 $ 0.1 $ 4.4 Securities and other investments also includes cash surrender value of insurance contracts of $3.6 and $3.2 as of December 31, 2023 and 2022, respectively. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS Predecessor In the second quarter of 2022, the Company reorganized its reportable segments in connection with the new and simplified operating model implemented by the recently appointed Chief Executive Officer. This organizational change is consistent with how the Chief Executive Officer, the chief operating decision maker (CODM), makes key operating decisions, allocates resources, and assesses the performance of the business. Prior to reorganization, the Company had four reporting units: Eurasia Banking, Americas Banking, EMEA Retail, and Rest of World Retail. The Company's new reporting units, determined in accordance with ASC 350, "Intangibles - goodwill and other", are the same as the operating and reportable segments, which are global Banking and global Retail. The Banking reporting unit is the summation of the legacy Eurasia Banking and Americas Banking reporting units and Retail is the summation of the legacy EMEA Retail and Rest of World Retail reporting units. The sustained decline in the Company’s stock price during the Predecessor Period and its market capitalization, in addition to substantial doubt about the Company's ability to continue as a going concern (refer to Note 2) were in combination considered a triggering event indicating that it was possible that the fair value of the reporting units could be less than their carrying amounts, including goodwill. This trigger was identified as of March 31, 2023 and the facts and circumstances continued to be present through the date the Company emerged from the Restructuring Proceedings. The Predecessor performed an interim quantitative goodwill impairment test as of March 31, 2023 using a combination of the income valuation and market approach methodologies. The determination of the fair value of the reporting units requires significant estimates and assumptions, including significant unobservable inputs. The key inputs included, but were not limited to, discount rates, terminal growth rates, market multiple data from selected guideline public companies, management’s internal forecasts which include numerous assumptions such as projected net sales, gross profit, sales mix, operating and capital expenditures and earnings before interest and taxes margins, among others. No impairment resulted from the interim quantitative goodwill impairment test. As of the interim impairment testing date of March 31, 2023, the indicated fair value was in excess of carrying value for both the Banking and Retail segments by approximately 43 percent and 34 percent, respectively. The filing of the Chapter 11 Cases and Chapter 15 Proceedings were considered a continuation of the triggering event identified at March 31, 2023 in which it was indicated that it was possible that the fair value of the reporting units could be less than their carrying amounts, including goodwill. A quantitative analysis was performed and no impairment resulted in the Predecessor Period. Successor The excess of the Successor’s reorganization value over the fair value of identified tangible and intangible assets as of the Effective Date is reported separately on the Company’s consolidated balance sheets as goodwill. Refer to Note 3 for additional information on Fresh Start Accounting Adjustments. We performed a qualitative assessment of our Banking and Retail reporting units as of October 1, 2023. As part of this analysis, we evaluated factors including, but not limited to, our market capitalization and stock price performance, macro-economic conditions, market and industry conditions, cost factors, the competitive environment, and the operational stability and overall financial performance of the reporting units. The assessment indicated that it was more likely than not that the fair value of the Banking and Retail reporting units exceeded their respective carrying values. The changes in the carrying amount of goodwill are as follows: Legacy Reporting Units New Reporting Units Eurasia Banking Americas Banking Banking Retail Total Goodwill $ 561.4 $ 440.1 $ — $ 213.0 $ 1,214.5 Accumulated impairment losses (291.7) (122.0) — (57.2) (470.9) Balance at January 1, 2022 (Predecessor) $ 269.7 $ 318.1 $ — $ 155.8 $ 743.6 Currency translation adjustment (6.3) (1.0) (18.6) (15.4) (41.3) Goodwill reassignment (555.1) (439.1) 922.2 72.0 — Goodwill $ — $ — $ 903.6 $ 269.6 $ 1,173.2 Accumulated impairment reassignment 291.7 122.0 (413.7) — — Accumulated impairment losses — — (413.7) (57.2) (470.9) Balance at December 31, 2022 (Predecessor) $ — $ — $ 489.9 $ 212.4 $ 702.3 Currency translation adjustment — — 8.5 3.5 12.0 Fresh Start adjustment goodwill — — (440.7) (123.5) (564.2) Fresh Start adjustment accumulated impairment losses — — 413.7 57.2 470.9 Goodwill — — 471.4 149.6 621.0 Accumulated impairment losses — — — — — Balance as of August 12, 2023 (Successor) $ — $ — $ 471.4 $ 149.6 $ 621.0 Currency translation adjustment — — — (0.1) (0.1) Divestitures — — — (4.2) (4.2) Balance at December 31, 2023 (Successor) $ — $ — $ 471.4 $ 145.3 $ 616.7 Goodwill . We performed the required annual impairment tests of goodwill at October 1, 2023 on our two reporting units. We assessed qualitative factors and determined it was less likely than not that the fair value of either reporting unit was less than its carrying amount, including goodwill. Changes in certain assumptions or the Company's failure to execute on the current plan could have a significant impact to the estimated fair value of the reporting units. Intangible Assets . Intangible assets consists of net capitalized software development costs, patents, trademarks and other intangible assets. Where applicable, intangible assets are stated at cost and, if applicable, are amortized ratably over the relevant contract period or the estimated life of the assets. Fees to renew or extend the term of the Company’s intangible assets are expensed when incurred. The following summarizes information on intangible assets by major category: Successor Predecessor December 31, 2023 December 31, 2022 Weighted-average remaining useful lives Gross Accumulated Net Gross Accumulated Net Customer relationships, net 17.1 years $ 555.5 $ (12.5) $ 543.0 $ 662.3 $ (448.7) $ 213.6 Trademarks and trade names 18.0 years 118.8 (2.6) 116.2 — — — Capitalized software development 8.1 years 22.0 (1.1) 20.9 245.2 (202.7) 42.5 Technology know-how and development costs non-software 6.0 years 193.3 (12.5) 180.8 48.7 (48.7) — Other 1.5 years 40.6 (10.2) 30.4 48.7 (47.2) 1.5 Other intangible assets, net 374.7 (26.4) 348.3 342.6 (298.6) 44.0 Total $ 930.2 $ (38.9) $ 891.3 $ 1,004.9 $ (747.3) $ 257.6 Costs incurred for the development of external-use software that will be sold, leased or otherwise marketed are capitalized when technological feasibility has been established. These costs are included within other assets and are amortized on a straight-line basis over the estimated useful lives ranging from three The following table identifies the activity relating to total capitalized software development: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Beginning balance $ 13.8 $ 42.5 $ 43.2 $ 38.0 Capitalization 9.8 13.1 28.7 31.1 Amortization (1.8) (12.4) (14.1) (23.3) Impairment — — (9.8) — Other (0.9) (6.1) (5.5) (2.6) Fresh Start Accounting Adjustments — (23.3) — — Ending balance $ 20.9 $ 13.8 $ 42.5 $ 43.2 The Company's total amortization expense, excluding deferred financing costs, was $42.8, $59.0, $96.2 and $102.7 for the Successor Period from August 12, 2023 through December 31, 2023, the Predecessor Period from January 1, 2023 through August 11, 2023, and the years ended December 31, 2022 and 2021, respectively. The expected annual amortization expense is as follows: Estimated amortization 2024 $ 100.3 2025 76.8 2026 73.8 2027 73.8 2028 73.8 Thereafter 492.8 $ 891.3 |
PRODUCT WARRANTIES
PRODUCT WARRANTIES | 12 Months Ended |
Dec. 31, 2023 | |
Guarantees and Product Warranties [Abstract] | |
PRODUCT WARRANTIES | PRODUCT WARRANTIES The Company provides its customers a standard manufacturer’s warranty and records, at the time of the sale, a corresponding estimated liability for potential warranty costs. Estimated future obligations due to warranty claims are based upon historical factors such as labor rates, average repair time, travel time, number of service calls per machine and cost of replacement parts. Changes in the Company’s warranty liability balance are illustrated in the following table: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Beginning balance $ 26.6 $ 28.3 $ 36.3 Accruals 16.3 18.8 19.5 Settlements (14.6) (21.9) (26.4) Currency translation (0.3) 1.4 (1.1) Ending balance $ 28.0 $ 26.6 $ 28.3 |
RESTRUCTURING
RESTRUCTURING | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING | RESTRUCTURING In the fourth quarter of 2021, the Company completed the execution of a multi-year restructuring and transformation program called DN Now. On a cumulative basis, $218.9 of expenses were incurred through December 31, 2021. These costs consisted of $200.2 of severance charges with the remainder related to costs of personnel transitioning out of the organization, and consulting fees paid to third-party organizations who assisted with our transition to a shared service model. In the fourth quarter of 2023, the Company completed the 2022 initiative that was announced in the second quarter of 2022. The focus was to streamline operations, drive efficiencies and digitize processes. The savings realized were in line with expectations. The most significant expense of the initiative related to severance payments, while the remainder of the expenses incurred primarily relate to transitioning personnel and consultant fees in relation to the transformation process The following table summarizes the impact of the Company’s restructuring and transformation charges, excluding the aforementioned impairments, on the consolidated statements of operations for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Cost of sales - services $ (1.4) $ 5.3 $ 7.7 $ 13.0 Cost of sales - products (1.5) 0.8 13.1 2.4 Selling and administrative expense 25.4 29.4 94.4 13.1 Research, development and engineering expense 0.1 1.5 9.0 (0.3) Loss on sale of assets, net — 1.9 — — Total $ 22.6 $ 38.9 $ 124.2 $ 28.2 As of August 11, 2023, management determined that the carrying value of the restructuring accrual approximated the fair value; therefore, no fair value adjustment for Fresh Start Accounting was recorded. The following table summarizes the Company’s restructuring severance accrual balance and related activity: Balance at January 1, 2021 (Predecessor) $ 62.9 Liabilities incurred 15.4 Liabilities paid/settled (43.0) Balance at December 31, 2021 (Predecessor) $ 35.3 Liabilities incurred 62.5 Liabilities paid/settled (53.6) Balance at December 31, 2022 (Predecessor) $ 44.2 Liabilities incurred 6.8 Liabilities paid/settled (37.0) Other 0.4 Balance as of August 12, 2023 (Successor) $ 14.4 Liabilities incurred 5.3 Liabilities paid/settled (9.4) Balance at December 31, 2023 (Successor) $ 10.3 |
DEBT
DEBT | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Outstanding debt balances were as follows: Successor Predecessor December 31, 2023 December 31, 2022 Notes payable – current Lines of credit $ — $ 0.9 2023 Term Loan B Facility - USD — 12.9 2023 Term Loan B Facility - Euro — 5.1 2025 Extended Term Loan B Facility - USD — 5.3 2025 Extended Term Loan B Facility - EUR — 1.1 Other 0.3 1.7 0.3 27.0 Short-term deferred financing fees — (3.0) $ 0.3 $ 24.0 Long-term debt 2024 Senior Notes $ — $ 72.1 2025 Senior Secured Notes - USD — 2.7 2025 Senior Secured Notes - EUR — 4.7 2026 Asset Backed Loan (ABL) — 182.0 2025 Extended Term Loan B Facility - USD — 529.5 2025 Extended Term Loan B Facility - EUR — 95.5 2026 2L Notes — 333.6 2025 Exchanged Senior Secured Notes - USD — 718.1 2025 Exchanged Senior Secured Notes - EUR — 379.7 2025 Superpriority Term Loans — 400.6 Exit Facility 1,250.0 — Other 3.6 6.3 1,253.6 2,724.8 Long-term deferred financing fees (1.2) (139.0) $ 1,252.4 $ 2,585.8 DIP Facility and Exit Credit Agreement On June 5, 2023, the Company, as borrower, entered into the credit agreement governing the DIP Facility along with certain financial institutions party thereto, as lenders (the Lenders), and GLAS USA LLC, as administrative agent, and GLAS Americas LLC, as collateral agent (the DIP Credit Agreement), and the closing of the DIP Facility occurred on the same day. The DIP Facility provided for two tranches of term loans to be made on the closing date of the DIP Facility: (i) a $760.0 Term B-1 tranche and (ii) a $490.0 Term B-2 tranche. On June 5, 2023, the proceeds of the DIP Facility were used, among others, to: (i) repay in full the term loan obligations, including a make-whole premium, under the Superpriority Facility (defined below) and (ii) repay in full the ABL Facility (defined below) and cash collateralize letters of credit thereunder. The payment for the Superpriority Facility totaled $492.3 and was comprised of $401.3 of principal and interest, $20.0 of premium, and a make-whole amount of $71.0. The payment for the ABL Facility, including the FILO Tranche (defined below), and the cash collateralization of the letters of credit thereunder totaled $241.0 and was comprised of $211.2 of principal and interest and $29.8 of the cash collateralized letters of credit. The DIP Facility provided for the following premiums and fees, as further described in the DIP Credit Agreement: (i) a participation premium equal to 10.00% of New Common Stock upon reorganization (subject only to dilution on account of the MIP); (ii) a backstop premium equal to 13.50% of New Common Stock; (iii) an upfront premium equal to 7.00% of New Common Stock and (iv) an additional premium equal to 7.00% of New Common Stock. Per the terms of the agreement, the backstop premium, the upfront premium and the additional premium were considered earned on May 30, 2023, and the participation premium was earned on the closing date in respect of the DIP Facility (i.e., June 5, 2023). As of June 30, 2023, the Company estimated the value of the DIP Facility premium based upon the midpoint of the equity value contained in the Disclosure Statement associated with the U.S. Plan. As discussed in Note 3 , as of the Effective Date the Company determined the value of the common stock distributable pursuant to the Plans, based on the low end of the enterprise value for the reorganized entity, as contained in the Disclosure Statement to be $2,150.0. As a result, an adjustment to the DIP Facility premium was recorded by the Company to reflect this revised value in the final closing balance sheet of the Predecessor. The amount of this adjustment, $32.6, was recorded by the Predecessor as a reorganization item in the statement of operations. On August 11, 2023, contemporaneously with the Company’s emergence from the Restructuring Proceedings, the conversion of the aforementioned premiums and fees to New Common Stock occurred. The value of the DIP premiums that converted to equity was $384.4, as described in Note 3 . On the Effective Date (i.e., August 11, 2023), the Company, as borrower, entered into a credit agreement (the Exit Credit Agreement) governing its $1,250.0 senior secured term loan credit facility (the Exit Facility) along with the Lenders, GLAS USA LLC, as administrative agent, and GLAS Americas LLC, as collateral agent. Concurrently with the closing of the Exit Facility, the Company’s existing $1,250.0 DIP Facility was terminated and the loans outstanding under the DIP Facility were converted into loans outstanding under the Exit Facility (the Conversion), and the liens and guarantees, including all guarantees and liens granted by certain subsidiaries of the Company that are organized in the United States and in certain foreign jurisdictions, granted under the DIP Facility were automatically terminated and released. In connection with the Conversion, the entire $1,250.0 under the Exit Facility was deemed drawn on the Effective Date. The Exit Facility will mature on August 11, 2028. The Company may repay the loans under the Exit Facility at any time; provided that certain repayments of the loans made on or prior to February 11, 2025 with the proceeds of certain types of indebtedness must be accompanied by a premium of either 1.00% or 5.00% of the principal amount of the loans repaid. The amount of the premium is based on the type of indebtedness incurred to repay the loans. Amounts borrowed and repaid under the Exit Facility may not be reborrowed. The obligations of the Company under the Exit Facility are guaranteed by certain subsidiaries of the Company that are organized in the United States (the Guarantors). The Exit Facility and related guarantees are secured by perfected senior security interests and liens on substantially all assets of the Company and each Guarantor. Loans under the Exit Facility bear interest at an adjusted secured overnight financing rate with a one-month tenor rate plus 7.50 percent per annum or an adjusted base rate plus 6.50 percent per annum. The Exit Facility includes conditions precedent, representations and warranties, affirmative and negative covenants and events of default that are customary for financings of this type and size. Events of default include both credit and non-credit events such as a change of control, nonpayment of principal or interest, etc. In the event of a default, the Lenders may declare the outstanding amounts immediately due and payable. Lines of Credit The Company had various international, short-term lines of credit with borrowing limits aggregating to $8.2 and $25.9 as of December 31, 2023 and 2022, respectively. The remaining amount available under the short-term uncommitted lines at December 31, 2023 and 2022 was $8.2 and $25.0. The weighted-average interest rate on outstanding borrowings on the short-term uncommitted lines of credit as of December 2022 was 11.02 percent. Short-term uncommitted lines mature in less than one year. These lines of credit support working capital, vendor financing and foreign exchange derivatives. Restructuring Proceedings In accordance with the Plans, on the Effective Date, all of the obligations of the Company with respect to the following debt instruments were cancelled: • 8.50% Senior Notes due 2024 (the 2024 Senior Notes), issued under the Indenture, dated as of April 19, 2016, among the Company, as issuer, certain of the Debtors, as guarantors, and Computershare Trust Company, NA, as successor to U.S. Bank Trust Company, National Association, as trustee, as amended, restated, amended and restated, supplemented, waived, or otherwise modified from time to time; • 9.375% Senior Secured Notes due 2025 (the First Lien U.S. Notes, referred to above as the “2025 Senior Secured Notes-USD” and the "2025 New Senior Secured Notes – EUR"), issued under the amended and restated senior secured notes indenture, dated as of December 29, 2022, among the Company, as issuer, certain of the Debtors, as guarantors, U.S. Bank Trust Company, National Association, as trustee, and GLAS Americas LLC, as notes collateral agent, as amended, restated, amended and restated, supplemented, waived, or otherwise modified from time to time; • 9.000% Senior Secured Notes due 2025 (the First Lien Euro Notes, referred to above as the “2025 Senior Secured Notes – EUR" and the "2025 New Senior Secured Notes – EUR"), issued under the amended and restated senior secured notes indenture, dated as of December 29, 2022, among Diebold Dutch, as issuer, the Company, as guarantor, certain of the Debtors, as guarantors, U.S. Bank Trust Company, National Association, as trustee, and GLAS Americas LLC, as notes collateral agent, as amended, restated, amended and restated, supplemented, waived, or otherwise modified from time to time; • 8.50%/12.50% Senior Secured PIK Toggle Notes due 2026 (the 2L Notes and, together with the 2024 Senior Notes, the First Lien U.S. Notes and First Lien Euro Notes, the Notes), issued under the senior secured PIK toggle notes indenture, dated as of December 29, 2022, among the Company, as issuer, certain of the Debtors, as guarantors, Computershare Trust Company, NA, as successor to U.S. Bank Trust Company, National Association, as trustee, and GLAS Americas LLC, as notes collateral agent, as amended, restated, amended and restated, supplemented, waived, or otherwise modified from time to time; • Credit Agreement, dated as of November 23, 2015 (referred to above as the "2023 Term Loan B Facilities"), by and among the Company, as borrower, certain of the Debtors as guarantors, the banks, financial institutions, and other lenders party thereto and JPMorgan Chase Bank, N.A., as administrative agent, as amended, restated, amended and restated, supplemented, waived, or otherwise modified from time to time; and • Credit Agreement, dated as of December 29, 2022 (referred to above as the "2025 New Term Loan B Facilities"), by and among the Company, as borrower, certain of the Debtors, as guarantors, the banks, financial institutions, and other lenders party thereto from time to time, JPMorgan Chase Bank, N.A., as administrative agent and GLAS Americas LLC, as collateral agent, as amended, restated, amended and restated, supplemented, waived or otherwise modified from time to time. 2022 Restructuring Activities All of the following obligations of the Predecessor were cancelled when the related instruments were paid with the DIP Facility proceeds. • Superpriority Facility - On December 29, 2022, the Company and Diebold Nixdorf Holding Germany GmbH (the Superpriority Borrower) entered into a Credit Agreement (the Superpriority Credit Agreement), providing for a superpriority secured term loan facility of $400.0 (the Superpriority Facility). On the December 2022 settlement date with respect to the Superpriority Facility, the Superpriority Borrower borrowed the full $400.0 of term loans available (the Superpriority Term Loans). The Superpriority Term Loans were to mature on July 15, 2025. On June 5, 2023, proceeds from the DIP Facility were used to repay in full the term loan obligations, including a make-whole premium, under the Superpriority Credit Agreement. • ABL Revolving Credit and Guaranty Agreements - On December 29, 2022, the Company and subsidiary borrowers (together with the Company, the ABL Borrowers) entered into a Revolving Credit and Guaranty Agreement (the ABL Credit Agreement). The ABL Credit Agreement provided for an asset-based revolving credit facility (the ABL Facility) consisting of three Tranches (respectively, Tranche A, Tranche B and Tranche C) with a total commitment of up to $250.0, including a Tranche A commitment of up to $155.0, a Tranche B commitment of up to $25.0 and a Tranche C commitment of up to $70.0. On the December 2022 settlement date with respect to the ABL Revolving Credit and Guaranty Agreements, certain ABL Borrowers borrowed a total of $182.0 under the ABL Facility, consisting of $122.0 of Tranche A loans and $60.0 of Tranche C loans. The ABL Facility was to mature on July 20, 2026, subject to a springing maturity to a date that is 91 days prior to the maturity date of any indebtedness for borrowed money (other than term loans or 2024 Senior Notes that were not exchanged in connection with the December 2022 refinancing transactions) in an aggregate principal amount of more than $25.0 incurred by the Company or any of its subsidiaries. On June 5, 2023, proceeds from the DIP Facility were used to repay in full the ABL Facility and cash collateralize letters of credit thereunder. • FILO Amendment - On March 21, 2023, the Company and certain of its subsidiaries entered into an amendment and limited waiver (the FILO Amendment) to the ABL Credit Agreement. The FILO Amendment provided for an additional tranche (the FILO Tranche) of commitments under the ABL Credit Agreement consisting of a senior secured “last out” term loan facility (the FILO Facility). An additional amount of $55.0 under the FILO Facility was borrowed in full on March 21, 2023. The FILO Facility matured on June 4, 2023. On June 5, 2023, proceeds from the DIP Facility were used to repay in full the FILO Tranche. Below is a summary of financing facilities information: Interest Rate Maturity/Termination Dates Initial Term (Years) Exit Facility (i) SOFR + 7.50% August 2028 5.0 (i) SOFR with a floor of 4.0 percent |
REDEEMABLE NONCONTROLLING INTER
REDEEMABLE NONCONTROLLING INTERESTS | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
REDEEMABLE NONCONTROLLING INTERESTS | REDEEMABLE NONCONTROLLING INTERESTS Changes in redeemable noncontrolling interests were as follows: Predecessor 2021 Balance at January 1 $ 19.2 Termination of put option (19.2) Balance at December 31 $ — The Predecessor company entered into an agreement whereby its ownership percentage in a certain consolidated but non-wholly owned subsidiary in Europe was reduced by means of capital contributions from noncontrolling shareholders totaling $12.7. Following entry into the agreement, the Predecessor company maintained a controlling interest in the subsidiary. Subsequently, the put option that could have required the Predecessor company to acquire the noncontrolling shares was irrevocably waived, reducing the redeemable noncontrolling interest to zero. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 12 Months Ended |
Dec. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes in the Company’s AOCI, net of tax, by component: Translation Foreign Currency Hedges Interest Rate Hedges Pension and Other Post-Retirement Benefits Other Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2021 (Predecessor) $ (310.9) $ (1.9) $ 0.4 $ (64.6) $ (1.5) $ (378.5) Other comprehensive income (loss) before reclassifications (1) (41.2) — 5.5 0.9 2.8 (32.0) Amounts reclassified from AOCI — — (0.6) 51.1 — 50.5 Net current period other comprehensive income (loss) (41.2) — 4.9 52.0 2.8 18.5 Balance at December 31, 2022 (Predecessor) $ (352.1) $ (1.9) $ 5.3 $ (12.6) $ 1.3 $ (360.0) Other comprehensive income (loss) before reclassifications (2) 28.7 4.7 3.4 0.1 — 36.9 Amounts reclassified from AOCI — — — 3.1 — 3.1 Fresh Start Accounting Adjustments 323.4 (2.8) (8.7) 9.4 (1.3) 320.0 Net current period other comprehensive income (loss) 352.1 1.9 (5.3) 12.6 (1.3) 360.0 Balance at August 12, 2023 (Successor) $ — $ — $ — $ — $ — $ — Other comprehensive income (loss) before reclassifications (3) 14.2 (0.1) — (0.1) (0.4) 13.6 Amounts reclassified from AOCI — — — (6.0) — (6.0) Net current period other comprehensive income (loss) 14.2 (0.1) — (6.1) (0.4) 7.6 Balance at December 31, 2023 (Successor) $ 14.2 $ (0.1) $ — $ (6.1) $ (0.4) $ 7.6 (1) Other comprehensive income (loss) before reclassifications within the translation component excludes $(5.9) of translation attributable to noncontrolling interests. (2) Other comprehensive income (loss) before reclassifications within the translation component excludes $(9.7) of translation attributable to noncontrolling interests. (3) Other comprehensive income (loss) before reclassifications within the translation component excludes $(0.2) of translation attributable to noncontrolling interests. The following table summarizes the details about amounts reclassified from AOCI: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Amount Reclassified from AOCI Amount Reclassified from AOCI Amount Reclassified from AOCI Affected Line Item in the Statement of Operations Interest rate hedges (net of tax of $0.1 in the Predecessor Period) $ — $ — $ (0.6) Interest expense Pension and post-retirement benefits: Net prior service benefit (cost) amortization (net of tax of $(0.2) in the Successor Period and $0.2 and $0.0, in the Predecessor Periods, respectively) 0.4 (0.2) 2.4 (1) Net actuarial (losses) gains recognized during the year (net of tax of $2.6 in the Successor Period and $(4.9) and $0.0 in the Predecessor Periods, respectively) (6.5) 4.2 38.5 (1) Net actuarial gains (losses) recognized due to settlement (net of tax of $0.0 in the Successor Period $1.1 and $0.0 in the Predecessor Periods, respectively) 0.1 (0.9) 10.2 (1) (6.0) 3.1 51.1 Total reclassifications for the period $ (6.0) $ 3.1 $ 50.5 (1) |
DIVESTITURES
DIVESTITURES | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DIVESTITURES | DIVESTITURES Successor Divestitures During the Successor Period, the Company sold its non-core European retail business that had been classified as held for sale. Predecessor Divestitures In the first and second quarters of 2022, the Company received net proceeds of $5.8 and $4.7, respectively, from the German reverse vending business sale. The Company signed a divestiture agreement for its German reverse vending business in the fourth quarter of 2021, however the transaction had not closed as it was pending the regulatory process as of December 31, 2021. An impairment loss was recorded in 2021 related to this transaction for $1.3. In the third quarter of 2022, the Company received $3.5 in cash proceeds related to the sale of IT assets with no book value. In the fourth quarter of 2022, the Company received $2.7 in cash proceeds and recognized $1.9 of gain related to the sale of a building in Belgium. In the second quarter of 2021, the Company divested its Asia Pacific Electronic Security business, a non-core, wholly owned portion of the banking business. The sale resulted in a gain of approximately $1.0 and cash proceeds of $5.8. In the fourth quarter of 2021, the Company divested Prosystems IT GmbH, a non-core, wholly owned European ERP business which resulted in a loss on sale of $3.9 million and a net cash consideration distribution of $4.7. |
BENEFIT PLANS
BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
BENEFIT PLANS | BENEFIT PLANS Qualified Retirement Benefits. The Company has a qualified retirement plan covering certain U.S. employees that has been closed to new participants since 2003 and frozen since December 2013. The Company has a number of non-U.S. defined benefit plans covering eligible employees located predominately in Europe, the most significant of which are German plans. Benefits for these plans are based primarily on each employee's final salary, with annual adjustments for inflation. The obligations in Germany consist of employer funded pension plans and deferred compensation plans. The employer funded pension plans are based upon direct performance-related commitments in terms of defined contribution plans. Each beneficiary receives, depending on individual pay-scale grouping, contractual classification, or income level, different yearly contributions. The contribution is multiplied by an age factor appropriate to the respective pension plan and credited to the individual retirement account of the employee. The retirement accounts may be used up at retirement by either a one-time lump-sum payout or payments of up to ten years. The Company has other defined benefit plans outside the U.S., which have not been mentioned here due to materiality. Supplemental Executive Retirement Benefits. The Company has non-qualified pension plans in the U.S. to provide supplemental retirement benefits to certain officers, which have also been frozen since December 2013. Benefits are payable at retirement based upon a percentage of the participant’s compensation, as defined. Other Benefits. In addition to providing retirement benefits, the Company provides post-retirement healthcare and life insurance benefits (referred to as other benefits) for certain retired employees. Retired eligible employees in the U.S. may be entitled to these benefits based upon years of service with the Company, age at retirement and collective bargaining agreements. There are no plan assets and the Company funds the benefits as the claims are paid. The post-retirement benefit obligation was determined by application of the terms of medical and life insurance plans together with relevant actuarial assumptions and healthcare cost trend rates. The following tables set forth the change in benefit obligation, change in plan assets, and funded status for the Company’s U.S. defined benefit pension plans: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Change in benefit obligation Benefit obligation at beginning of period $ 351.5 $ 359.8 $ 584.4 Interest cost 7.6 11.9 17.3 Actuarial loss (gain) 10.1 (10.1) (133.8) Benefits paid (6.9) (10.1) (25.7) Settlements — — (82.4) Benefit obligation at end of period 362.3 351.5 359.8 Change in plan assets Fair value of plan assets at beginning of period 293.3 293.0 511.3 Actual return on plan assets 14.3 8.4 (113.8) Employer contributions 1.2 2.0 3.6 Benefits paid (6.9) (10.1) (25.7) Settlements — — (82.4) Fair value of plan assets at end of period 301.9 293.3 293.0 Funded status $ (60.4) $ (58.2) $ (66.8) The following tables set forth the change in benefit obligation, change in plan assets, and funded status for the Company's Non-U.S. defined benefit plans: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Change in benefit obligation Benefit obligation at beginning of period $ 306.4 $ 297.5 $ 420.5 Service cost 2.7 3.9 8.9 Interest cost 4.3 7.2 4.1 Actuarial loss (gain) 15.9 5.5 (80.5) Plan participant contributions 0.1 1.1 1.2 Benefits paid (2.9) (4.6) (6.5) Plan amendments (0.6) — (2.4) Curtailment — (0.1) — Settlements (2.9) (16.8) (24.6) Foreign currency impact 3.4 12.7 (22.9) Acquired benefit plans and other (0.3) — (0.3) Benefit obligation at end of period 326.1 306.4 297.5 Change in plan assets Fair value of plan assets at beginning of period $ 333.3 $ 325.3 $ 394.4 Actual return on plan assets 15.2 14.5 (27.6) Employer contributions 2.9 1.0 10.9 Plan participant contributions 0.1 1.1 1.2 Benefits paid (2.9) (4.6) (6.5) Foreign currency impact 2.9 12.8 (22.5) Settlements (2.9) (16.8) (24.6) Fair value of plan assets at end of period 348.6 333.3 325.3 Funded status $ 22.5 $ 26.9 $ 27.8 The following tables set forth the change in benefit obligation, change in plan assets, and funded status for the Company's other benefits: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Change in benefit obligation Benefit obligation at beginning of period $ 4.1 $ 4.3 $ 5.7 Interest cost 0.1 0.2 0.2 Actuarial loss (gain) 0.4 0.1 (1.2) Benefits paid (0.6) (0.6) (0.5) Foreign currency impact — 0.1 0.1 Benefit obligation at end of period 4.0 4.1 4.3 Change in plan assets Employer contributions 0.6 0.6 0.5 Benefits paid (0.6) (0.6) (0.5) Fair value of plan assets at end of period — — — Funded status $ (4.0) $ (4.1) $ (4.3) The following table sets forth the consolidated balance sheet presentation for the Company’s defined benefit pension plans and other benefits at and for the years ended December 31: Successor Predecessor 2023 2022 Pension Benefits - U.S. Plans Noncurrent assets $ — $ — Current liabilities — 3.5 Noncurrent liabilities (1) 60.4 63.3 Accumulated other comprehensive income (loss): Unrecognized net actuarial (loss) gain (2) (2.1) (77.3) Unrecognized prior service (cost) benefit (2) — — Net amount recognized $ 58.3 $ (10.5) Pension Benefits - Non-U.S. Plans Noncurrent assets $ 70.3 $ — Current liabilities 4.3 3.1 Noncurrent liabilities (1) 43.5 (30.9) Accumulated other comprehensive income (loss): Unrecognized net actuarial (loss) gain (2) (6.6) 45.4 Unrecognized prior service (cost) benefit (2) 0.6 5.9 Net amount recognized $ (28.5) $ 23.5 Other Benefits Noncurrent assets $ — $ — Current liabilities 0.4 0.5 Noncurrent liabilities (1) 3.6 3.8 Accumulated other comprehensive income (loss): Unrecognized net actuarial (loss) gain (2) (0.5) 5.6 Unrecognized prior service (cost) benefit (2) — — Net amount recognized $ 3.5 $ 9.9 (1) Included in the consolidated balance sheets in pensions, post-retirement and other benefits. (2) Represents amounts in accumulated other comprehensive income (loss) that have not yet been recognized as components of net periodic benefit cost. The following table sets forth the change in accumulated other comprehensive income (loss) for the Company’s defined benefit pension plans and other benefits: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Pension Benefits - U.S. Plans Balance at beginning of period $ — $ (77.3) $ (94.9) Net actuarial gains (losses) recognized during the period (2.1) 7.9 (1.1) Net actuarial gains (losses) occurring during the period — 0.4 4.4 Net actuarial gains (losses) recognized due to settlement — — 14.3 Fresh Start Accounting Adjustments — 69.0 — Balance at end of period $ (2.1) $ — $ (77.3) Pension Benefits - Non-U.S. Plans Balance at beginning of period $ — $ 51.3 $ 17.7 Prior service credit (cost) recognized during the period 0.6 (0.4) 2.4 Net actuarial gains (losses) recognized during the period (6.5) 1.2 38.4 Net actuarial gains (losses) occurring during the period — (2.2) (1.6) Net actuarial gains (losses) recognized due to settlement 0.1 (2.0) (4.1) Foreign currency impact (0.2) 2.2 (1.5) Fresh Start Accounting Adjustments — (50.1) — Balance at end of period $ (6.0) $ — $ 51.3 Other Benefits Balance at beginning of period $ — $ 5.6 $ 4.8 Net actuarial gains (losses) recognized during the period (0.5) — 1.2 Net actuarial gains (losses) occurring during the period — (0.3) (0.5) Foreign currency impact — 0.2 0.1 Fresh Start Accounting Adjustments — (5.5) — Balance at end of period $ (0.5) $ — $ 5.6 The following table sets forth the components of net periodic benefit cost for the Company’s defined benefit pension plans and other benefits: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Year ended December 31, 2021 Pension Benefits - U.S. Plans Interest cost $ 7.6 $ 11.9 $ 17.3 $ 15.9 Expected return on plan assets (6.0) (11.0) (21.2) (22.3) Recognized net actuarial (gain) loss — 0.4 4.4 8.9 Settlement (gain) loss — — 14.3 — Net periodic benefit cost $ 1.6 $ 1.3 $ 14.8 $ 2.5 Pension Benefits - Non-U.S. Plans Service cost $ 2.7 $ 3.9 $ 8.9 $ 9.8 Interest cost 4.3 7.2 4.1 2.9 Expected return on plan assets (5.2) (8.4) (14.5) (14.5) Amortization of prior service cost — (0.5) (0.4) (0.1) Recognized net actuarial (gain) loss — (2.2) (1.6) 0.3 Curtailment loss — (0.1) — — Settlement (gain) loss 0.1 (2.1) (4.1) (1.1) Net periodic benefit cost $ 1.9 $ (2.2) $ (7.6) $ (2.7) Other Benefits Service cost $ — $ — $ — $ 0.1 Interest cost 0.1 0.2 0.2 0.7 Recognized net actuarial (gain) loss — (0.3) (0.4) 0.2 Net periodic benefit cost $ 0.1 $ (0.1) $ (0.2) $ 1.0 The following table represents information for pension plans with an accumulated benefit obligation in excess of plan assets at December 31: Successor Predecessor 2023 2022 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans Projected benefit obligation $ 362.3 $ 216.2 $ 359.8 $ 189.2 Accumulated benefit obligation $ 362.3 $ 203.6 $ 359.8 $ 181.6 Fair value of plan assets $ 301.9 $ 63.7 $ 293.0 $ 51.7 The following table represents the weighted-average assumptions used to determine benefit obligations: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Pension Benefits - U.S. Plans Discount rate 5.52% 5.69% 5.59% Rate of compensation increase N/A N/A N/A Pension Benefits - Non-U.S. Plans Discount rate 4.87% 4.76% 4.92% Rate of compensation increase 4.25% 3.88% 3.88% Other Benefits Discount rate 6.97% 6.83% 6.84% Rate of compensation increase N/A N/A N/A The following table represents the weighted-average assumptions used to determine periodic benefit cost: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Pension Benefits - U.S. Plans Discount rate 5.69% 5.59% 2.99% Expected long-term return on plan assets 5.25% 5.25% 5.25% Rate of compensation increase N/A N/A N/A Pension Benefits - Non-U.S. Plans Discount rate 4.76% 4.92% 2.39% Expected long-term return on plan assets 3.75% 3.75% 3.30% Rate of compensation increase 3.91% 3.88% 3.89% Other Benefits Discount rate 6.83% 6.84% 4.22% Expected long-term return on plan assets N/A N/A N/A Rate of compensation increase N/A N/A N/A The discount rate is determined by analyzing the average return of high-quality (i.e., AA-rated) fixed-income investments and the year-over-year comparison of certain widely used benchmark indices as of the measurement date. The expected long-term rate of return on plan assets is primarily determined using the plan’s current asset allocation and its expected rates of return. The Company also considers information provided by its investment consultant, a survey of other companies using a December 31 measurement date and the Company’s historical asset performance in determining the expected long-term rate of return. The rate of compensation increase assumptions reflects the Company’s long-term actual experience and future and near-term outlook. During 2021, the Society of Actuaries released new mortality tables (Pri-2012) and projection scales resulting from recent studies measuring mortality rates for various groups of individuals. As of December 31, 2023, the Company used the Pri-2012 mortality tables and the MP-2021 mortality projection scales. The Pri-2012 mortality tables were also used in 2022. The following table represents assumed healthcare cost trend rates: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Healthcare cost trend rate assumed for next year 5.6% 5.7% 6.0% Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 4.2% 4.2% 4.0% Year that rate reaches ultimate trend rate 2046 2046 2046 The healthcare trend rates for the postemployment benefits plans in the U.S. are reviewed based upon the results of actual claims experience. The Company used initial healthcare cost trends of 5.6 percent, 5.7 percent and 6.0 percent in the period from August 12, 2023 to December 31, 2023, the period from January 1, 2023 to August 11, 2023 and the year ended December 31, 2022, respectively, with an ultimate trend rate of 4.2 percent reached in 2046. Assumed healthcare cost trend rates have a modest effect on the amounts reported for the healthcare plans. A one-percentage-point change in assumed healthcare cost trend rates results in a minimal impact to total service and interest cost and post-retirement benefit obligation. The Company has a pension investment policy in the U.S. designed to achieve an adequate funded status based on expected benefit payouts and to establish an asset allocation that will meet or exceed the return assumption while maintaining a prudent level of risk. The plans' target asset allocation adjusts based on the plan's funded status. As the funded status improves or declines, the debt security target allocation will increase and decrease, respectively. The Company utilizes the services of an outside consultant in performing asset / liability modeling, setting appropriate asset allocation targets along with selecting and monitoring professional investment managers. The U.S. plan assets are invested in equity and fixed income securities, alternative assets and cash. Within the equities asset class, the investment policy provides for investments in a broad range of publicly-traded securities including both domestic and international stocks diversified by value, growth and cap size. Within the fixed income asset class, the investment policy provides for investments in a broad range of publicly-traded debt securities with a substantial portion allocated to a long duration strategy in order to partially offset interest rate risk relative to the plans’ liabilities. The alternative asset class includes investments in diversified strategies with a stable and proven track record and low correlation to the U.S. stock market. Several plans outside of the U.S. are also invested in various assets, under various investment policies in compliance with local funding regulations. The following table summarizes the Company’s target allocation for these asset classes in 2024, which are readjusted at least quarterly within a defined range for the U.S., and the Company’s actual pension plan asset allocation as of December 31, 2023 and 2022: U.S. Plans Non-U.S. Plans Target Actual Target Actual 2024 2023 2022 2024 2023 2022 Equity securities 41% 39% 43% 51% 51% 52% Debt securities 50% 51% 48% 29% 29% 26% Real estate 4% 5% 7% 8% 8% 8% Other 5% 5% 2% 12% 12% 14% Total 100% 100% 100% 100% 100% 100% The following table summarizes the fair value categorized into a three level hierarchy, as discussed in Note 1 of the consolidated financial statements, based upon the assumptions (inputs) of the Company’s plan assets as of December 31, 2023: U.S. Plans Non-U.S. Plans Fair Value Level 1 Level 2 NAV Fair Value Level 1 Level 2 NAV Cash and short-term investments $ 2.5 $ 2.5 $ — $ — $ 11.5 $ 10.7 $ — $ 0.8 Mutual funds 1.0 1.0 — — — — — — Equity securities International developed markets — — — — 178.7 178.7 — — Fixed income securities International corporate bonds — — — — 56.3 56.3 — — Fixed and index funds — — — — 43.9 43.9 — — Common collective trusts Real estate (a) 15.2 — — 15.2 26.3 — 13.1 13.2 Other (b) 269.6 — — 269.6 18.8 — — 18.8 Alternative investments Private equity funds (c) 13.6 — — 13.6 — — — — Other alternative investments (d) — — — — 13.1 0.2 — 12.9 Fair value of plan assets at end of year $ 301.9 $ 3.5 $ — $ 298.4 $ 348.6 $ 289.8 $ 13.1 $ 45.7 The following table summarizes the fair value of the Company’s plan assets as of December 31, 2022: U.S. Plans Non-U.S. Plans Fair Value Level 1 Level 2 NAV Fair Value Level 1 Level 2 NAV Cash and short-term investments $ 1.8 $ 1.8 $ — $ — $ 12.1 $ 11.4 $ — $ 0.7 Mutual funds 0.8 0.8 — — — — — — Equity securities International developed markets — — — — 170.4 167.5 — 2.9 Fixed income securities International corporate bonds — — — — 59.6 50.1 — 9.5 Fixed and index funds — — — — 23.7 14.2 — 9.5 Common collective trusts Real estate (a) 20.1 — — 20.1 25.5 — 14.5 11.0 Other (b) 263.1 — — 263.1 16.8 — — 16.8 Alternative investments Private equity funds (c) 7.2 — — 7.2 — — — — Other alternative investments (d) — — — — 17.2 0.3 — 16.9 Fair value of plan assets at end of year $ 293.0 $ 2.6 $ — $ 290.4 $ 325.3 $ 243.5 $ 14.5 $ 67.3 In 2023 and 2022, the fair value of investments categorized as level 3 represent the plan's interest in private equity, hedge and property funds. The fair value for these assets is determined based on the NAV as reported by the underlying investment managers. (a) Real estate common collective trust. The objective of the real estate common collective trust (CCT) is to achieve long-term returns through investments in a broadly diversified portfolio of improved properties with stabilized occupancies. As of December 31, 2023, investments in this CCT, for U.S. plans, included approximately 21 percent office, 32 percent residential, 10 percent retail and 38 percent industrial, cash and other. As of December 31, 2022, investments in this CCT, for U.S. plans, included approximately 22 percent office, 27 percent residential, 10 percent retail and 41 percent industrial, cash and other. Investments in the real estate CCT can be redeemed once per quarter subject to available cash, with a 30-day notice. (b) Other common collective trusts. At December 31, 2023, approximately 53 percent of the other CCTs are invested in fixed income securities including 36 percent in corporate bonds and 64 percent in U.S. Treasury and other. Approximately 19 percent of the other CCTs at December 31, 2023 are invested in Russell 1000 Fund large cap index funds, 16 percent in International Funds, and approximately 12 percent in funds, including emerging markets, real assets, and other funds. At December 31, 2022, approximately 53 percent of the other CCTs are invested in fixed-income securities, including approximately 36 percent in corporate bonds and 64 percent in U.S. Treasury and other. Approximately 19 percent of the other CCTs at December 31, 2022 are invested in Russell 1000 Fund large cap index funds, 16 percent in International Funds, and approximately 12 percent in funds, including emerging markets, real assets, and other funds. Investments in all common collective trust securities can be redeemed daily. (c) Private equity funds. The objective of the private equity funds is to achieve long-term returns through investments in a diversified portfolio of private equity limited partnerships that offer a variety of investment strategies, targeting low volatility and low correlation to traditional asset classes. As of December 31, 2023 and 2022, investments in these private equity funds include approximately 42 percent and 26 percent, respectively, in buyout private equity funds that usually invest in mature companies with established business plans, approximately 31 percent and 17 percent, respectively, in special situations private equity and debt funds that focus on niche investment strategies and approximately 27 percent and 24 percent respectively, in venture private equity funds that invest in early development or expansion of business. Investments in the private equity fund can be redeemed only with written consent from the general partner, which may or may not be granted. At December 31, 2023 and 2022 the Company had unfunded commitments of underlying funds $1.6 and $1.6, respectively. (d) Other alternative investments. The Company’s plan assets include a combination of insurance contracts, multi-strategy investment funds and company-owned real estate. The fair value for these assets is determined based on the NAV as reported by the underlying investment manager, insurance companies and the trustees of the CTA. The following table represents the amortization amounts expected to be recognized during 2024: U.S. Pension Benefits Non-U.S. Pension Benefits Other Benefits Amount of net prior service credit $ — $ (0.1) $ — Amount of net loss (gain) $ — $ — $ — The Company contributed $8.3 to its retirement and other benefit plans, including contributions to the nonqualified plan and benefits paid from company assets. In 2023, the Company received a reimbursement of $22.8 from the CTA assets to the Company for benefits paid directly from company assets during the year ended December 31, 2023. The Company expects to contribute approximately $0.5 to its other post-retirement benefit plan and expects to contribute approximately $28.4 to its retirement plans, including the nonqualified plan, as well as benefits payments directly from the Company during the year ending December 31, 2024. The Company anticipates reimbursement of approximately $20 for certain benefits paid from its trustee in 2023. The following benefit payments, which reflect expected future service, are expected to be paid: U.S. Pension Benefits Non-U.S. Pension Benefits Other Benefits Other Benefits 2024 $ 23.1 $ 25.4 $ 0.5 $ 0.5 2025 $ 24.1 $ 20.2 $ 0.5 $ 0.5 2026 $ 24.9 $ 20.8 $ 0.5 $ 0.5 2027 $ 25.8 $ 22.3 $ 0.5 $ 0.4 2028 $ 26.2 $ 24.5 $ 0.4 $ 0.4 2029-2033 $ 133.9 $ 111.9 $ 1.8 $ 1.7 Retirement Savings Plan. The Company offers employee 401(k) savings plans (Savings Plans) to encourage eligible employees to save on a regular basis by payroll deductions. The Company match is determined by the Board of Directors and evaluated at least annually. Total Company match was $2.4, $4.0, $7.0 and $7.4 for the period from August 12, 2023 to December 31, 2023, the period from January 1, 2023 to August 11, 2023 and the years ended December 31, 2022 and 2021, respectively. The Company's basic match is 50 percent on the first 6 percent of a participant's qualified contributions, subject to IRS limits. |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
LEASES | LEASES The Company utilizes lease agreements to meet its operating needs. These leases support global staff via the use of office space, warehouses, vehicles and IT equipment. The Company utilizes both operating and finance leases in its portfolio of leased assets, however, the majority of these leases are classified as operating. A significant portion of the volume of the lease portfolio is in fleet vehicles and IT office equipment; however, real estate leases constitute a majority of the value of the right-of-use (ROU) assets. Lease agreements are utilized worldwide, with the largest location concentration in the United States, Germany and India. The Company made the following elections related to the January 1, 2019 adoption of ASU No. 2016-02, Leases: ● The Company elected the package of practical expedients permitted under the transition guidance within the new standard, which allowed the Company to carry forward its ASC 840 assessment regarding definition of a lease, lease classification and initial direct costs. ● The practical expedient related to land easements is not applicable as the Company currently does not utilize any easements. ● The Company declined the hindsight practical expedient to determine the lease term and ROU asset impairment for existing leases. The decision to decline the hindsight practical expedient resulted in relying on assessments made under ASC 840 during transition and re-assessing under ASC 842 going forward. ● The Company declined the short-term lease exception, therefore recognizing all leases in the ROU asset and lease liability balances. Consistent with ASC 842 requirements, leases that are one month or less are not included in the balance. ● The Company elected to not separate non-lease components from lease components and, instead, to account for each separate lease component and the non-lease components associated with it as a single lease component, recognized on the balance sheet. This election has been made for all classes of underlying assets. ● The Company elected to use a grouping/portfolio approach on applying discount rates to leases at transition, for certain groups of leases where it was determined that using this approach would not differ materially from a lease-by-lease approach. The Company's lease population has initial lease terms ranging from less than one year to approximately fifteen years. Some leases include one or more options to renew, with renewal terms that can extend the lease term from six months to 15 years. The Company assesses these renewal/extension options using a threshold of reasonably certain, which is a high threshold and, therefore, the majority of its lease terms for accounting purposes do not include renewal periods. For leases where the Company is reasonably certain to renew, those optional periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. Some of the vehicle and IT equipment leases also include options to purchase the leased asset, typically at end of term at fair market value. Some of the Company's leases include options to terminate the lease early. This allows the contract parties to terminate their obligations under the lease contract, sometimes in return for an agreed upon financial consideration. The terms and conditions of the termination options vary by contract, and for those leases where the Company is reasonably certain to use these options, the term and payments recognized in the measurement of ROU assets and lease liabilities has been updated accordingly. Additionally, there are several open-ended lease arrangements where the Company controls the option to continue or terminate the arrangement at any time after the first year. For these arrangements, the Company has analyzed a mix of historical use and future economic incentives to determine the reasonable expected holding period. This term is used for measurement of ROU assets and lease liabilities. The following table summarizes the weighted-average remaining lease terms and discount rates related to the Company's lease population: Successor Predecessor December 31, 2023 December 31, 2022 Weighted-average remaining lease terms (in years) Operating leases 4.8 5.8 Finance leases 2.5 3.1 Weighted-average discount rate Operating leases 8.3% 15.4% Finance leases 6.6% 11.9% Certain lease agreements include payments based on a variety of global indexes or rates. These payment amounts have been projected using the index or rate as of lease commencement or the transition date and measured in ROU assets and lease liabilities. Other leases contain variable payments that are based on actual usage of the underlying assets and, therefore, are not measured in assets or liabilities as the variable payments are not based on an index or a rate. For real estate leases, these payments are most often tied to non-committed maintenance or utilities charges, and for equipment leases, to actual output or hours in operation. These amounts typically become known when the invoice is received, which is when expense is recognized. In rare circumstances, the Company's lease agreements may contain residual value guarantees. The Company's lease agreements do not contain any restrictions or covenants, such as those relating to dividends or incurring additional financial obligations. As of December 31, 2023, the Company did not have any material leases that have not yet commenced but that create significant rights and obligations. The Company determines whether an arrangement is or includes a lease at contract inception. All contracts containing the right to use an underlying asset are reviewed to confirm that the contract meets the definition of a lease. ROU assets and liabilities are recognized at commencement date and initially measured based on the present value of lease payments over the defined lease term. As most leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. In order to apply the incremental borrowing rate, a rate table was developed to assign the appropriate rate to each lease based on lease term and currency of payments. For leases with large numbers of underlying assets, a portfolio approach with a collateralized rate was utilized. Assets were grouped based on similar lease terms and economic environments in a manner whereby the Company reasonably expects that the application does not differ materially from a lease-by-lease approach. The following table summarizes the components of lease expense for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Lease expense Operating lease expense $ 25.3 $ 41.9 $ 75.7 $ 87.3 Finance lease expense Amortization of ROU lease assets $ 1.9 $ 2.4 $ 4.1 $ 2.9 Interest on lease liabilities $ 0.2 $ 0.5 $ 0.7 $ 0.9 Variable lease expense $ 4.1 $ 5.2 $ 10.1 $ 7.8 The following table summarizes the maturities of lease liabilities: Operating Finance 2024 $ 46.6 $ 4.1 2025 30.0 1.9 2026 17.6 1.1 2027 10.3 0.6 2028 5.1 0.2 Thereafter 15.7 — Total 125.3 7.9 Less: Present value discount (20.6) (0.6) Lease liability $ 104.7 $ 7.3 The following table summarizes the cash flow information related to leases: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating - operating cash flows $ 30.1 $ 43.3 $ 76.2 $ 87.3 Finance - financing cash flows $ 2.2 $ 2.5 $ 4.3 $ 2.3 Finance - operating cash flows $ 0.2 $ 0.5 $ 0.7 $ 0.4 ROU lease assets obtained in the exchange for lease liabilities: Operating leases $ 6.7 $ 19.2 $ 28.1 $ 57.4 Finance leases $ 0.6 $ 0.6 $ 7.4 $ 4.5 The following table summarizes the balance sheet information related to leases: Successor Predecessor December 31, 2023 December 31, 2022 Assets Operating $ 98.7 $ 108.5 Finance 6.9 10.3 Total leased assets $ 105.6 $ 118.8 Current liabilities Operating $ 39.6 $ 39.0 Finance 3.7 4.1 Noncurrent liabilities Operating 65.1 76.7 Finance 3.6 5.7 Total lease liabilities $ 112.0 $ 125.5 other assets other current liabilities long-term debt |
LEASES | LEASES The Company utilizes lease agreements to meet its operating needs. These leases support global staff via the use of office space, warehouses, vehicles and IT equipment. The Company utilizes both operating and finance leases in its portfolio of leased assets, however, the majority of these leases are classified as operating. A significant portion of the volume of the lease portfolio is in fleet vehicles and IT office equipment; however, real estate leases constitute a majority of the value of the right-of-use (ROU) assets. Lease agreements are utilized worldwide, with the largest location concentration in the United States, Germany and India. The Company made the following elections related to the January 1, 2019 adoption of ASU No. 2016-02, Leases: ● The Company elected the package of practical expedients permitted under the transition guidance within the new standard, which allowed the Company to carry forward its ASC 840 assessment regarding definition of a lease, lease classification and initial direct costs. ● The practical expedient related to land easements is not applicable as the Company currently does not utilize any easements. ● The Company declined the hindsight practical expedient to determine the lease term and ROU asset impairment for existing leases. The decision to decline the hindsight practical expedient resulted in relying on assessments made under ASC 840 during transition and re-assessing under ASC 842 going forward. ● The Company declined the short-term lease exception, therefore recognizing all leases in the ROU asset and lease liability balances. Consistent with ASC 842 requirements, leases that are one month or less are not included in the balance. ● The Company elected to not separate non-lease components from lease components and, instead, to account for each separate lease component and the non-lease components associated with it as a single lease component, recognized on the balance sheet. This election has been made for all classes of underlying assets. ● The Company elected to use a grouping/portfolio approach on applying discount rates to leases at transition, for certain groups of leases where it was determined that using this approach would not differ materially from a lease-by-lease approach. The Company's lease population has initial lease terms ranging from less than one year to approximately fifteen years. Some leases include one or more options to renew, with renewal terms that can extend the lease term from six months to 15 years. The Company assesses these renewal/extension options using a threshold of reasonably certain, which is a high threshold and, therefore, the majority of its lease terms for accounting purposes do not include renewal periods. For leases where the Company is reasonably certain to renew, those optional periods are included within the lease term and, therefore, the measurement of the ROU asset and lease liability. Some of the vehicle and IT equipment leases also include options to purchase the leased asset, typically at end of term at fair market value. Some of the Company's leases include options to terminate the lease early. This allows the contract parties to terminate their obligations under the lease contract, sometimes in return for an agreed upon financial consideration. The terms and conditions of the termination options vary by contract, and for those leases where the Company is reasonably certain to use these options, the term and payments recognized in the measurement of ROU assets and lease liabilities has been updated accordingly. Additionally, there are several open-ended lease arrangements where the Company controls the option to continue or terminate the arrangement at any time after the first year. For these arrangements, the Company has analyzed a mix of historical use and future economic incentives to determine the reasonable expected holding period. This term is used for measurement of ROU assets and lease liabilities. The following table summarizes the weighted-average remaining lease terms and discount rates related to the Company's lease population: Successor Predecessor December 31, 2023 December 31, 2022 Weighted-average remaining lease terms (in years) Operating leases 4.8 5.8 Finance leases 2.5 3.1 Weighted-average discount rate Operating leases 8.3% 15.4% Finance leases 6.6% 11.9% Certain lease agreements include payments based on a variety of global indexes or rates. These payment amounts have been projected using the index or rate as of lease commencement or the transition date and measured in ROU assets and lease liabilities. Other leases contain variable payments that are based on actual usage of the underlying assets and, therefore, are not measured in assets or liabilities as the variable payments are not based on an index or a rate. For real estate leases, these payments are most often tied to non-committed maintenance or utilities charges, and for equipment leases, to actual output or hours in operation. These amounts typically become known when the invoice is received, which is when expense is recognized. In rare circumstances, the Company's lease agreements may contain residual value guarantees. The Company's lease agreements do not contain any restrictions or covenants, such as those relating to dividends or incurring additional financial obligations. As of December 31, 2023, the Company did not have any material leases that have not yet commenced but that create significant rights and obligations. The Company determines whether an arrangement is or includes a lease at contract inception. All contracts containing the right to use an underlying asset are reviewed to confirm that the contract meets the definition of a lease. ROU assets and liabilities are recognized at commencement date and initially measured based on the present value of lease payments over the defined lease term. As most leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. In order to apply the incremental borrowing rate, a rate table was developed to assign the appropriate rate to each lease based on lease term and currency of payments. For leases with large numbers of underlying assets, a portfolio approach with a collateralized rate was utilized. Assets were grouped based on similar lease terms and economic environments in a manner whereby the Company reasonably expects that the application does not differ materially from a lease-by-lease approach. The following table summarizes the components of lease expense for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Lease expense Operating lease expense $ 25.3 $ 41.9 $ 75.7 $ 87.3 Finance lease expense Amortization of ROU lease assets $ 1.9 $ 2.4 $ 4.1 $ 2.9 Interest on lease liabilities $ 0.2 $ 0.5 $ 0.7 $ 0.9 Variable lease expense $ 4.1 $ 5.2 $ 10.1 $ 7.8 The following table summarizes the maturities of lease liabilities: Operating Finance 2024 $ 46.6 $ 4.1 2025 30.0 1.9 2026 17.6 1.1 2027 10.3 0.6 2028 5.1 0.2 Thereafter 15.7 — Total 125.3 7.9 Less: Present value discount (20.6) (0.6) Lease liability $ 104.7 $ 7.3 The following table summarizes the cash flow information related to leases: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating - operating cash flows $ 30.1 $ 43.3 $ 76.2 $ 87.3 Finance - financing cash flows $ 2.2 $ 2.5 $ 4.3 $ 2.3 Finance - operating cash flows $ 0.2 $ 0.5 $ 0.7 $ 0.4 ROU lease assets obtained in the exchange for lease liabilities: Operating leases $ 6.7 $ 19.2 $ 28.1 $ 57.4 Finance leases $ 0.6 $ 0.6 $ 7.4 $ 4.5 The following table summarizes the balance sheet information related to leases: Successor Predecessor December 31, 2023 December 31, 2022 Assets Operating $ 98.7 $ 108.5 Finance 6.9 10.3 Total leased assets $ 105.6 $ 118.8 Current liabilities Operating $ 39.6 $ 39.0 Finance 3.7 4.1 Noncurrent liabilities Operating 65.1 76.7 Finance 3.6 5.7 Total lease liabilities $ 112.0 $ 125.5 other assets other current liabilities long-term debt |
FINANCE LEASE RECEIVABLES
FINANCE LEASE RECEIVABLES | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
FINANCE LEASE RECEIVABLES | FINANCE LEASE RECEIVABLES Under certain circumstances, the Company provides financing arrangements to customers that are largely classified and accounted for as sales-type leases. The Company records interest income and any fees or costs related to financing receivables using the effective interest method over the term of the lease. Future minimum payments due from customers under finance lease receivables as of December 31, 2023 are as follows: 2024 $ 7.9 2025 4.6 2026 4.1 2027 3.1 2028 2.8 Thereafter 1.9 $ 24.4 The following table presents the components of finance lease receivables as of December 31: Successor Predecessor 2023 2022 Gross minimum lease receivable $ 24.4 $ 28.1 Allowance for credit losses (0.2) (0.2) Estimated unguaranteed residual values — 0.1 24.2 28.0 Less: Unearned interest income (0.9) (1.5) Unearned residuals — — (0.9) (1.5) Total $ 23.3 $ 26.5 The Company's combined allowance for finance receivables and notes receivables was minimal for the years ended December 31, 2023 and 2022, respectively. As of December 31, 2023, finance leases and notes receivables individually evaluated for impairment were $23.5 and $0.5, respectively, with no provision recorded. As of December 31, 2022, finance leases and notes receivables individually evaluated for impairment were $26.7 and $0.5, respectively, with no provision recorded. As of December 31, 2023 and 2022, the recorded investment in past-due financing receivables was minimal and no recorded investment in finance receivables was past due 90 days or more and still accruing interest. The following table presents finance lease receivables sold by the Company for the years ended December 31: Successor Predecessor 2023 2022 2021 Finance lease receivables sold $ — $ 1.6 $ 1.9 |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES The Company is exposed to certain risks arising from both its business operations and economic conditions and manages certain economic risks, including interest rate and foreign exchange rate risk, through the use of derivative financial instruments. The Company's interest rate derivatives are used to manage interest expense on variable interest rate borrowings. The following table summarizes the gain (loss) recognized on derivative instruments: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, Derivative instrument Classification on consolidated statement of operations 2022 2021 Interest rate swaps and non-designated hedges Interest expense $ — $ (0.5) $ (4.4) $ (8.4) Foreign exchange forward contracts and cash flow hedges Net sales — — (0.1) — Foreign exchange forward contracts and cash flow hedges Cost of sales — — (0.5) 0.1 Foreign exchange forward contracts and cash flow hedges Foreign exchange gain (loss), net (0.4) — — (4.6) Total $ (0.4) $ (0.5) $ (5.0) $ (12.9) FOREIGN EXCHANGE Non-Designated Hedges. A substantial portion of the Company’s operations and revenues are international. As a result, changes in foreign exchange rates can create substantial foreign exchange gains and losses from the revaluation of non-functional currency monetary assets and liabilities. The Company’s policy allows the use of foreign exchange forward contracts with maturities of up to 24 months to mitigate the impact of currency fluctuations on those foreign currency asset and liability balances. The Company elected not to apply hedge accounting to its foreign exchange forward contracts. Thus, spot-based gains/losses offset revaluation gains/losses within foreign exchange loss, net and forward-based gains/losses represent interest expense or income. INTEREST RATE Cash Flow Hedges. The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. Amounts reported in AOCI related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. The Company estimates that a minimal amount will be reclassified as a decrease to interest expense over the next year. The Company does not use derivatives for trading or speculative purposes and currently does not have any additional derivatives that are not designated as hedges. |
FAIR VALUE OF ASSETS AND LIABIL
FAIR VALUE OF ASSETS AND LIABILITIES | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF ASSETS AND LIABILITIES | FAIR VALUE OF ASSETS AND LIABILITIES Assets and Liabilities Recorded at Fair Value Assets and liabilities subject to fair value measurement by fair value level and recorded at fair value are as follows: Successor Predecessor Classification on consolidated balance sheets December 31, 2023 December 31, 2022 Fair Value Level 1 Level 2 Fair Value Level 1 Level 2 Assets Certificates of deposit Short-term investments $ 13.4 $ 13.4 $ — $ 24.6 $ 24.6 $ — Assets held in rabbi trusts Securities and other investments 2.9 2.9 — 4.4 4.4 — Total $ 16.3 $ 16.3 $ — $ 29.0 $ 29.0 $ — Liabilities Foreign exchange forward contracts Other current liabilities $ 0.4 $ — $ 0.4 $ — $ — $ — Deferred compensation Other liabilities 2.9 2.9 — 4.4 4.4 — Total $ 3.3 $ 2.9 $ 0.4 $ 4.4 $ 4.4 $ — The Company uses the end of the period when determining the timing of transfers between levels. During each of the years ended December 31, 2023 and 2022, there were no transfers between levels. The remaining debt had a carrying value of $1,253.9 and fair value of $1,285.5 at December 31, 2023, and a carrying value of $2,557.6 and fair value of $1,819.7 at December 31, 2022. Refer to Note 13 of the consolidated financial statements for further details surrounding long-term debt as of December 31, 2023 compared to December 31, 2022, and Note 3 for further detail regarding Fresh Start Accounting Adjustments related to the Company's debt. Additionally, the Company remeasures certain assets to fair value, using Level 3 measurements, as a result of the occurrence of triggering events. There was no significant assets or liabilities that were remeasured at fair value on a non-recurring basis during the periods presented. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Contractual Obligations At December 31, 2023, the Company's purchase commitments due within one year were minimal for materials and services through contract manufacturing agreements at negotiated prices. The amounts purchased under these obligations were minimal in 2023. The Company guarantees a fixed cost of certain products used in production to its strategic partners. Variations in the products costs are absorbed by the Company. Indirect Tax Contingencies The Company accrues non-income-tax liabilities for indirect tax matters when management believes that a loss is probable and the amounts can be reasonably estimated, while contingent gains are recognized only when realized. In the event any losses are sustained in excess of accruals, they are charged against income. In evaluating indirect tax matters, management takes into consideration factors such as historical experience with matters of similar nature, specific facts and circumstances, and the likelihood of prevailing. Management evaluates and updates accruals as matters progress over time. It is reasonably possible that some of the matters for which accruals have not been established could be decided unfavorably to the Company and could require recognizing future expenditures. Also, statutes of limitations could expire without the Company paying the taxes for matters for which accruals have been established, which could result in the recognition of future gains upon reversal of these accruals at that time. At December 31, 2023, the Company was a party to several routine indirect tax claims from various taxing authorities globally that were incurred in the normal course of business, which neither individually nor in the aggregate are considered material by management in relation to the Company’s financial position or results of operations. In management’s opinion, the consolidated financial statements would not be materially affected by the outcome of these indirect tax claims and/or proceedings or asserted claims. A loss contingency is reasonably possible if it has a more than remote but less than probable chance of occurring. Although management believes the Company has valid defenses with respect to its indirect tax positions, it is reasonably possible that a loss could occur in excess of the estimated accrual. The Company estimated the aggregate risk at December 31, 2023 to be up to $93.3 for its material indirect tax matters. The aggregate risk related to indirect taxes is adjusted as the applicable statutes of limitations expire. Legal Contingencies At December 31, 2023, the Company was a party to several lawsuits that were incurred in the normal course of business, which neither individually nor in the aggregate were considered material by management in relation to the Company’s financial position or results of operations. In management’s opinion, the Company's consolidated financial statements would not be materially affected by the outcome of these legal proceedings, commitments or asserted claims. In addition to these normal course of business litigation matters, the Successor company continues to be a party to the proceedings that began in the Predecessor Period described below: Diebold Nixdorf Holding Germany GmbH, formerly Diebold Nixdorf Holding Germany Inc. & Co. KGaA (Diebold KGaA), is a party to two separate appraisal proceedings (Spruchverfahren) in connection with the purchase of all shares in its former listed subsidiary, Diebold Nixdorf AG. The first appraisal proceeding, which relates to the Domination and Profit/Loss Transfer Agreement (DPLTA) entered into by Diebold KGaA and former Diebold Nixdorf AG, which became effective on February 17, 2017, is pending at the Higher Regional Court (Oberlandesgericht) of Düsseldorf (Germany) as the court of appeal. The DPLTA appraisal proceeding was filed by minority shareholders of Diebold Nixdorf AG challenging the adequacy of both the cash exit compensation of €55.02 per Diebold Nixdorf AG share (of which 6.9 shares were then outstanding) and the annual recurring compensation of €2.82 per Diebold Nixdorf AG share offered in connection with the DPLTA. The second appraisal proceeding relates to the cash merger squeeze-out of minority shareholders of Diebold Nixdorf AG in 2019 and is currently pending at the same Chamber for Commercial Matters (Kammer für Handelssachen) at the District Court (Landgericht) of Dortmund (Germany) that was originally competent for the DPLTA appraisal proceedings. The squeeze-out appraisal proceeding was filed by former minority shareholders of Diebold Nixdorf AG challenging the adequacy of both the cash exit compensation of €54.80 per Diebold Nixdorf AG share (of which 1.4 shares were then outstanding) in connection with the merger squeeze-out. In both appraisal proceedings, a court ruling would apply to all Diebold Nixdorf AG shares outstanding at the time when the DPLTA or the merger squeeze-out, respectively, became effective. Any cash compensation received by former Diebold Nixdorf AG shareholders in connection with the merger squeeze-out would be netted with any higher cash compensation such shareholder may still claim in connection with the DPLTA appraisal proceeding. The District Court of Dortmund dismissed in 2022 all claims to increase the cash compensation and the annual recurring compensation in the DPLTA appraisal proceeding and rejected in 2023 all claims to increase the cash compensation in the merger squeeze-out appraisal proceeding. These first instance decisions, however, are not final as some of the plaintiffs filed appeals in both, the DPLTA appraisal proceeding and the squeeze-out appraisal proceeding. The Company believes that the compensation offered in connection with the DPLTA and the merger squeeze-out was in both cases fair and that the decisions of the District Court of Dortmund in the DPLTA and merger squeeze-out appraisal proceedings validate its position. German courts often adjudicate increases of the cash compensation to plaintiffs in varying amounts in connection with German appraisal proceedings. Therefore, the Company cannot rule out that a court may increase the cash compensation in these appraisal proceedings. The Company, however, is convinced that its defense in both appraisal proceedings is supported by strong sets of facts and the Company will continue to vigorously defend itself in these matters. Bank Guarantees, Standby Letters of Credit, and Surety Bonds In the ordinary course of business, the Company may issue performance guarantees on behalf of its subsidiaries to certain customers and other parties. Some of those guarantees may be backed by standby letters of credit, surety bonds, or similar instruments. In general, under the guarantees, the Company would be obligated to perform, or cause performance, over the term of the underlying contract in the event of an unexcused, uncured breach by its subsidiary, or some other specified triggering event, in each case as defined by the applicable guarantee. At December 31, 2023, the maximum future contractual obligations relative to these various guarantees totaled $117.1, of which $23.0 represented standby letters of credit to insurance providers, and no associated liability was recorded. At December 31, 2022, the maximum future payment obligations relative to these various guarantees totaled $173.2, of which $24.0 represented standby letters of credit to insurance providers, and no associated liability was recorded. Restricted Cash The following table provides a reconciliation of Cash, cash equivalents and Short-term and Long-term restricted cash reporting within the Company's consolidated balance sheets and in the consolidated statements of cash flows: Successor Predecessor December 31, 2023 December 31, 2022 Cash and cash equivalents $ 550.2 $ 307.4 Professional fee escrow 0.2 — Bank collateral guarantees 32.5 2.6 Pension collateral guarantees 9.4 9.1 Restricted cash and cash equivalents 42.1 11.7 Total cash, cash equivalents, and restricted cash $ 592.3 $ 319.1 The balances primarily relate to cash held in escrow for the purpose of paying certain professional fees as a result of the Restructuring Proceedings as described in Note 2 and collateralized letters of credit supporting corporate insurance. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 12 Months Ended |
Dec. 31, 2023 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
REVENUE RECOGNITION | REVENUE RECOGNITION Revenue is measured based on consideration specified in a contract with a customer and excludes amounts collected on behalf of third parties. The amount of consideration can vary depending on discounts, rebates, refunds, credits, price concessions, incentives, performance bonuses, penalties, or other similar items contained in the contract with the customer of which generally these variable consideration components represents minimal amount of net sales. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. The Company's payment terms vary depending on the individual contracts and are generally fixed fee. The Company recognizes advance payments and billings in excess of revenue recognized as deferred revenue. In certain contracts where services are provided prior to billing, the Company recognizes a contract asset within trade receivables and other current assets. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and that are collected by the Company from a customer are excluded from revenue. The Company recognizes shipping and handling fees billed when products are shipped or delivered to a customer and includes such amounts in net sales. Although infrequent, shipping and handling associated with outbound freight after control over a product has transferred to a customer is not a separate performance obligation, rather it is accounted for as a fulfillment cost. Third-party freight payments are recorded in cost of sales. The Company includes warranties in connection with certain contracts with customers, which are not considered to be separate performance obligations. The Company provides its customers a manufacturer’s warranty, and records, at the time of the sale, a corresponding estimated liability for potential warranty costs. For additional information on product warranty refer to Note 11 of the consolidated financial statements. The Company also has extended warranty and service contracts available for its customers, which are recognized as separate performance obligations. Revenue is recognized on these contracts ratably as the Company has a stand-ready obligation to provide services when or as needed by the customer. This input method is the most accurate assessment of progress toward completion the Company can apply. Nature of goods and services Product revenue is recognized at the point in time that the customer obtains control of the product, which could be upon delivery or upon completion of installation services, depending on contract terms. The Company’s software licenses are functional in nature (the IP has significant stand-alone functionality); as such, the revenue recognition of distinct software license sales is at the point in time that the customer obtains control of the rights granted by the license. Professional services integrate the commercial solution with the customer's existing infrastructure and helps define the optimal user experience, improve business processes, refine existing staffing models and deploy technology to meet branch and store automation objectives. Revenue from professional services are recognized over time, because the customer simultaneously receives and consumes the benefits of the Company’s performance as the services are performed or when the Company’s performance creates an asset with no alternative use and the Company has an enforceable right to payment for performance completed to date. Generally, revenue will be recognized using an input measure, typically costs incurred. The typical contract length for service is generally one year and is billed and paid in advance except for installations, among others. Services may be sold separately or in bundled packages. For bundled packages, the Company accounts for individual services separately if they are distinct. A distinct service is separately identifiable from other items in the bundled package if a customer can benefit from it on its own or with other resources that are readily available to the customer. The consideration (including any discounts) is allocated between separate services or distinct obligations in a bundle based on their stand-alone selling prices. The stand-alone selling prices are determined based on the prices at which the Company separately sells the products or services. For items that are not sold separately, the Company estimates stand-alone selling prices using the cost plus expected margin approach. Revenue on service contracts is recognized ratably over time, generally using an input measure, as the customer simultaneously receives and consumes the benefits of the Company’s performance as the services are performed. In some circumstances, when global service supply chain services are not included in a term contract and rather billed as they occur, revenue on these billed work services are recognized at a point in time as transfer of control occurs. The following is a description of principal solutions offered within the Company's two main customer segments that generate the Company's revenue. Banking Products. Products for banking customers consist of cash recyclers and dispensers, intelligent deposit terminals, teller automation tools and kiosk technologies, as well as physical security solutions. The Company provides its banking customers front-end applications for consumer connection points and back-end platforms that manage channel transactions, operations and integration and facilitate omnichannel transactions, endpoint monitoring, remote asset management, customer marketing, merchandise management and analytics. These offerings include highly configurable, API enabled software that automates legacy banking transactions across channels. Services. The Company provides its banking customers product-related services which include proactive monitoring, rapid resolution of incidents through remote service capabilities or an on-site visit and professional services. First and second line maintenance, preventive maintenance and on-demand services keep the distributed assets of the Company's customers up and running through a standardized incident management process. Managed services and outsourcing consists of the end-to-end business processes, solution management, upgrades and transaction processing. The Company also provides a full array of cash management services, which optimizes the availability and cost of physical currency across the enterprise through efficient forecasting, inventory and replenishment processes. Retail Products. The retail product portfolio includes modular, integrated and mobile POS and SCO terminals that meet evolving automation and omnichannel requirements of consumers. Supplementing the POS system is a broad range of peripherals, including printers, scales and mobile scanners, as well as the cash management portfolio which offers a wide range of banknote and coin processing systems. Also in the portfolio, the Company provides SCO terminals and ordering kiosks which facilitate an efficient and user-friendly purchasing experience. The Company’s hybrid product line can alternate from an attended operator to self-checkout with the press of a button as traffic conditions warrant throughout the business day. The Company's platform software is installed within retail data centers to facilitate omnichannel transactions, endpoint monitoring, remote asset management, customer marketing, merchandise management and analytics. Services. The Company provides its retail customers product-related services which include on-demand services and professional services. Diebold Nixdorf AllConnect Services for retailers include maintenance and availability services to continuously improve retail self-service fleet availability and performance. These include: total implementation services to support both current and new store concepts; managed mobility services to centralize asset management and ensure effective, tailored mobile capability; monitoring and advanced analytics providing operational insights to support new growth opportunities; and store life-cycle management to proactively monitors store IT endpoints and enable improved management of internal and external suppliers and delivery organizations. Refer to Note 25 of the consolidated financial statements for additional information regarding the Company's reportable operating segments, disaggregation of net sales by segments and product solutions, net sales by geographical region and disaggregation by timing of revenue recognition. Timing of revenue recognition A performance obligation is a contractual promise to transfer a distinct good or service to the customer. A contract's transaction price is allocated to each distinct performance obligation and is recognized as revenue when (point in time) or as (over time) the performance obligation is satisfied. The following table represents the percentage of revenue recognized either at a point in time or over time as of December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Timing of revenue recognition Products transferred at a point in time 47% 39% 39% Products and services transferred over time 53% 61% 61% Net sales 100% 100% 100% Contract balances The following table provides information about receivables and deferred revenue, which represent contract liabilities from contracts with customers: Contract balance information Trade Receivables Contract liabilities Balance at January 1, 2023 (Predecessor) $ 612.2 $ 453.2 Balance at December 31, 2023 (Successor) $ 721.8 $ 376.2 Contract balance information Trade Receivables Contract liabilities Balance at January 1, 2022 (Predecessor) $ 595.2 $ 322.4 Balance at December 31, 2022 (Predecessor) $ 612.2 $ 453.2 Contract assets are minimal for the periods presented. The amount of revenue recognized in 2023 and 2022 from performance obligations satisfied (or partially satisfied) in previous periods, mainly due to the changes in the estimate of variable consideration and contract modifications was de minimis. As of January 1, 2023 (Predecessor), the Company had $453.2 of unrecognized deferred revenue constituting the remaining performance obligations that are either unsatisfied or partially unsatisfied. During the period from the period from August 12, 2023 through December 31, 2023 and January 1, 2023 through August 11, 2023, the Company recognized revenue of $151.9 and $223.4, respectively, related to the Company's deferred revenue balance at start of those periods. Contract assets are the rights to consideration in exchange for goods or services that the Company has transferred to a customer when that right is conditional on something other than the passage of time. Contract assets of the Company primarily relate to the Company's rights to consideration for goods shipped and services provided but not contractually billable at the reporting date. The contract assets are reclassified into the receivables balance when the rights to receive payment become unconditional. Contract liabilities are recorded for any services billed to customers and not yet recognizable if the contract period has commenced or for the amount collected from customers in advance of the contract period commencing. In addition, contract liabilities are recorded as advanced payments for products and other deliverables that are billed to and collected from customers prior to revenue being recognizable. Transaction price and variable consideration The transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer, excluding amounts collected on behalf of third parties. This consideration can include fixed and variable amounts and is determined at contract inception and updated each reporting period for any changes in circumstances. The transaction price also considers variable consideration, time value of money and the measurement of any non-cash consideration, all of which are estimated at contract inception and updated at each reporting date for any changes in circumstances. Once the variable consideration is identified, the Company estimates the amount of the variable consideration to include in the transaction price by using one of two methods, expected value (probability weighted methodology) or most likely amount (when there are only two possible outcomes). The Company chooses the method expected to better predict the amount of consideration to which it will be entitled and applies the method consistently to similar contracts. Generally, the Company applies the expected value method when assessing variable consideration including returns and refunds. The Company also applies the ‘as invoiced’ practical expedient in ASC paragraph 606-10-55-18 related to performance obligations satisfied over time, which permits the Company to recognize revenue in the amount to which it has a right to invoice the customer if that amount corresponds directly with the value to the customer of the Company’s performance completed to date. Service revenues that are recognized ratably are primarily contracts that include first and second line maintenance. Service revenues that are recognized using input measures include primarily preventative maintenance. The ‘as invoiced’ practical expedient relates to the on-demand service revenue which is generally not under contract. Transaction price allocated to the remaining performance obligations As of December 31, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $1,400. The Company generally expects to recognize revenue on the remaining performance obligations over the next twelve Cost to obtain and cost to fulfill a contract The Company has minimal cost to obtain or fulfill contracts for customers for the periods presented. The Company pays commissions to the sales force based on multiple factors including but not limited to order entry, revenue recognition and portfolio growth. These incremental commission fees paid to the sales force meet the criteria to be considered a cost to obtain a contract, as they are directly attributable to a contract, incremental and management expects the fees are recoverable. The Company applies the practical expedient and recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Company otherwise would have recognized is one year or less. The costs that are not capitalized are included in cost of sales. The costs related to contracts with greater than a one-year term are immaterial and continue to be recognized in cost of sales. |
CLOUD IMPLEMENTATION
CLOUD IMPLEMENTATION | 12 Months Ended |
Dec. 31, 2023 | |
Research and Development [Abstract] | |
CLOUD IMPLEMENTATION | CLOUD IMPLEMENTATION At December 31, 2021, the Company had capitalized $50.7 of cloud implementation costs, of which $38.4 was impaired At December 31, 2023 and 2022, the Company had a net book value of capitalized cloud implementation costs of $18.5 and $19.0, respectively. This relates to a combination of the distribution subsidiary ERP and corporate tools to support business operations. Refer to Note 3 for further information on Fresh Start Accounting Adjustments. Amortization of cloud implementation fees are expensed over the term of the cloud computing arrangement, and the expense is required to be recognized in the same line item in the income statement as the associated hosting service expenses. Amortization of cloud implementation fees were as follows: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Amortization of cloud implementation fees $ 2.9 $ 2.0 $ 2.5 $ 0.8 |
SEGMENT INFORMATION
SEGMENT INFORMATION | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION During the second quarter of 2022, the Company appointed a new Chief Executive Officer, who is also the CODM, and announced an organizational simplification initiative. In connection with those events, the Company's reportable segments are no longer Americas Banking, Eurasia Banking and Retail, and instead the reportable operating segments are the following: Banking and Retail. Under the simplified organization and related restructuring discussed in Note 10 of the consolidated financial statements, the Company does not have regionally focused direct reports to the CODM, and the CODM analyzes Banking and Retail on a global basis and not based on regional profitability metrics. The Company's reportable segment information below directly aligns with how the CODM regularly reviews results to make decisions, allocate resources, and assess performance. The new Banking segment's sales and cost of sales are the summation of the legacy Americas Banking and Eurasia Banking's sales and cost of sales. The Company will consider its operating structure and the information subject to regular review. Segment operating profit (loss) as disclosed herein is consistent with the segment profit or loss measure used by the CODM and does not include corporate charges, amortization of acquired intangible assets, asset impairment, restructuring and transformation charges, the results of the formerly held-for-sale European retail business, or other non-routine, unusual or infrequently occurring items, as the CODM does not regularly review and use such financial measures to make decisions, allocate resources and assess performance. Segment revenue represents revenues from sales to external customers. Segment operating profit is defined as revenues less expenses directly attributable to the segments. The Company does not allocate to its segments certain operating expenses which are managed at the headquarters level; that are not used in the management of the segments, not segment-specific, and impractical to allocate. In some cases the allocation of corporate charges has changed from the legacy structure to the new structure, but prior periods have been recast to conform to the new presentation. Segment operating profit reconciles to consolidated income (loss) before income taxes by deducting items that are not attributed to the segments and which are managed independently of segment results. Assets are not allocated to segments, and thus are not included in the assessment of segment performance, and consequently, we do not disclose total assets and depreciation and amortization expense by reportable operating segment. The following tables represent information regarding the Company’s segment information and provides a reconciliation between segment operating profit and the consolidated income (loss) before income taxes: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Net sales summary by segment Banking $ 1,157.6 $ 1,511.0 $ 2,422.4 $ 2,711.1 Retail 469.3 610.0 1,018.2 1,194.1 Held for sale non-core European retail business (7) 1.7 10.9 20.1 — Total Revenue $ 1,628.6 $ 2,131.9 $ 3,460.7 $ 3,905.2 Segment operating profit Banking $ 182.1 $ 211.6 $ 310.8 $ 440.6 Retail 68.9 86.2 134.0 164.6 Total segment operating profit $ 251.0 $ 297.8 $ 444.8 $ 605.2 Corporate charges not allocated to segments (1) $ (123.4) $ (159.8) $ (247.3) $ (272.5) Impairment of assets (2) (1.2) (3.3) (111.8) (1.3) Amortization of Wincor Nixdorf purchase accounting intangible assets (3) — (41.8) (69.6) (78.2) Restructuring and transformation expenses (4) (23.1) (38.4) (124.2) (98.9) Refinancing related costs (5) (5.1) (44.7) (32.0) — Net non-routine expense (6) (4.8) (7.4) (42.6) (17.2) Held for sale non-core European retail business (7) (1.0) (7.9) (29.0) — (158.6) (303.3) (656.5) (468.1) Operating profit (loss) 92.4 (5.5) (211.7) 137.1 Other (expense) income (92.5) 1,453.9 (226.9) (187.8) (Loss) income before taxes $ (0.1) $ 1,448.4 $ (438.6) $ (50.7) (1) Corporate charges not allocated to segments include headquarter-based costs associated with procurement, human resources, compensation and benefits, finance and accounting, global development/engineering, global strategy/mergers and acquisitions, global IT, tax, treasury and legal. (2) Impairments in 2023 primarily relate to the write-down of right-of-use assets and related leasehold improvements for facilities identified for closure and impairment of discontinued internally developed software. Charges were taken in the first quarter of 2022 related to the North American ERP and certain assets in Ukraine, Russia, and Belarus; in the second quarter of 2022 related to facility closures; in the third quarter 2022 related to German capitalized software; and in the fourth quarter of 2022 related to assets at the held for sale non-core European retail business. (3) The amortization of purchase accounting intangible assets is not included in the segment results used by the CODM to make decisions, allocate resources or assess performance. (4) Refer to Note 12 of the consolidated financial statements for further information. Consistent with the historical reportable segment structure, restructuring and transformation costs are not assigned to the segments, and are separately analyzed by the CODM. (5) Refinancing related costs are fees earned by our advisors and the advisors of our potential lenders that do not qualify for capitalization. (6) Net non-routine expense consists of items that the Company has determined are non-routine in nature and not allocated to the reportable operating segments as they are not included in the measure used by the CODM to make decisions, allocate resources and assess performance. (7) Held for sale non-core European retail business represents the revenue and operating profit, excluding impairment which is captured separately, of a business that had been classified as held for sale for all the Predecessor Periods presented, but which was removed in 2022 from the retail segment's information used by the CODM to make decisions, assess performance and allocate resources, and was individually analyzed. This change and timing thereof aligns with the build-out of a data center that makes the entity capable of operating autonomously and is consistent with material provided in connection with our refinancing effort which are exclusive of this entity. This business was sold during the Successor Period. The following table presents information regarding the Company’s segment net sales by service and product solution: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Banking Services $ 626.9 $ 954.3 $ 1,548.1 $ 1,681.2 Products 530.7 556.7 874.3 1,029.9 Total Banking $ 1,157.6 $ 1,511.0 $ 2,422.4 $ 2,711.1 Retail Services $ 230.4 $ 335.2 $ 540.9 $ 622.4 Products 238.9 274.8 477.3 571.7 Total Retail $ 469.3 $ 610.0 $ 1,018.2 $ 1,194.1 Held for sale non-core European retail business (7) Services $ 1.1 $ 5.5 $ 9.9 $ — Products 0.6 5.4 10.2 — 1.7 10.9 20.1 — Total Revenue $ 1,628.6 $ 2,131.9 $ 3,460.7 $ 3,905.2 The Company had no customers that accounted for more than 10 percent of total net sales in 2023, 2022 and 2021. Below is a summary of net sales by point of origin: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Americas United States $ 404.1 $ 583.9 $ 861.4 $ 893.1 Other Americas 290.0 380.9 600.0 530.1 Total Americas Revenue 694.1 964.8 1,461.4 1,423.2 EMEA Germany 248.2 283.9 522.8 768.2 Other EMEA 553.2 714.2 1,173.2 1,356.3 Total EMEA Revenue 801.4 998.1 1,696.0 2,124.5 APAC Total APAC Revenue 133.1 169.0 303.3 357.5 Total Revenue $ 1,628.6 $ 2,131.9 $ 3,460.7 $ 3,905.2 Below is a summary of property, plant and equipment, net and right-of-use operating lease assets by geographical location as of December 31: Successor Predecessor 2023 2022 Property, plant and equipment, net United States $ 29.7 $ 24.4 Germany 86.5 80.5 Other international 42.8 15.8 Total property, plant and equipment, net $ 159.0 $ 120.7 Right-of-use operating lease assets United States $ 30.9 $ 34.9 Germany 10.1 7.4 Other international 57.7 66.2 Total right-of-use operating lease assets $ 98.7 $ 108.5 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS On February 13, 2024, the Company, as borrower, entered into a credit agreement (the Revolving Credit Agreement) with certain financial institutions party thereto, as lenders, and PNC Bank, National Association, as administrative agent and collateral agent. The Revolving Credit Agreement provides for a superior-priority senior secured revolving credit facility (the Credit Facility) in an aggregate principal amount of $200.0, which includes a $50.0 letter of credit sub-limit and a $20.0 swing loan sub-limit. Borrowings under the Credit Facility may be used by the Company for (i) the Repayment (as defined below) and (ii) general corporate purposes and working capital. As of the effective date of the Revolving Credit Agreement, the Credit Facility is fully drawn. Concurrently with the closing of the Credit Facility, the Company prepaid $200.0 (the Repayment) of outstanding principal of its senior secured term loans under the Exit Credit Agreement, by and among the Company, certain financial institutions party thereto, as lenders, GLAS USA LLC, as administrative agent, and GLAS Americas LLC, as collateral agent. The Repayment pays down a portion of the borrowings outstanding under the Exit Facility. The Credit Facility will mature on February 13, 2027. The obligations of the Company under the Credit Facility are guaranteed by certain subsidiaries of the Company that are organized in the United States (the Guarantors). The Credit Facility and related guarantees are secured by perfected super-priority senior security interests and liens on substantially all assets of the Company and each Guarantor. Loans under the Credit Facility bear interest at an adjusted secured overnight financing rate plus 4.00 percent per annum or an adjusted base rate plus 3.00 percent per annum. The Credit Facility includes conditions precedent, representations and warranties, affirmative and negative covenants and events of default that are customary for financings of this type and size. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ 17.8 | $ 1,358.3 | $ (581.4) | $ (78.8) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 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 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation. The consolidated financial statements include the accounts of the Company. All significant intercompany accounts and transactions have been eliminated, including common control transfers among subsidiaries of the Company. |
Use of Estimates in Preparation of Consolidated Financial Statements | Use of Estimates in Preparation of Consolidated Financial Statements. The preparation of the accompanying consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions about future events. These estimates and the underlying assumptions affect the amounts of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenues and expenses. Such estimates include revenue recognition, inventories, goodwill, intangible assets, other long-lived assets, legal contingencies, guarantee obligations and assumptions used in the calculation of income taxes, pension and other post-retirement benefits and customer incentives, among others. These estimates and assumptions are based on management’s best estimates and judgment. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors. Management monitors the economic condition and other factors and will adjust such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. |
Reclassifications | Reclassifications. |
International Operations | International Operations. The financial statements of the Company’s international operations are measured using local currencies as their functional currencies, with the exception of financial results from Argentina, Singapore, El Salvador, and Switzerland, which have a functional currency other than local currency. These operations used either United States dollar (USD) or euro as their functional currency depending on the concentration of USD or euro transactions and distinct financial information. The Company translates the assets and liabilities of its non-U.S. subsidiaries at the exchange rates in effect at year end and the results of operations at the average rate throughout the year. The translation adjustments are recorded directly as a separate component of shareholders’ equity, while transaction gains (losses) are included in net income (loss). |
Acquisitions | Acquisitions are accounted for using the purchase method of accounting. This method requires the Company to record assets and liabilities of the business acquired at their estimated fair market values as of the acquisition date. Any excess cost of the acquisition over the fair value of the net assets acquired is recorded as goodwill. The Company generally uses valuation specialists to perform appraisals and assist in the determination of the fair values of the assets acquired and liabilities assumed. These valuations require management to make estimates and assumptions that are critical in determining the fair values of the assets and liabilities. |
Divestitures | For all divestitures, the Company considers assets to be held for sale when management approves and commits to a formal plan to actively market the assets for sale at a price reasonable in relation to their estimated fair value, the assets are available for immediate sale in their present condition, an active program to locate a buyer and other actions required to complete the sale have been initiated, the sale of the assets is probable and expected to be completed within one year (or, if it is expected that others will impose conditions on the sale of the assets that will extend the period required to complete the sale, that a firm purchase commitment is probable within one year) and it is unlikely that significant changes will be made to the plan. Upon designation as held for sale, the Company records the assets at the lower of their carrying value or their estimated fair value, reduced for the cost to dispose of the assets, and ceases to record depreciation expense on the assets. Assets and liabilities are reclassified as held for sale in the period the held for sale criteria are met. |
Cost of Sales | Cost of Sales. Cost of sales for services primarily consists of fuel, parts and labor and benefits costs related to installation of products and service maintenance contracts, including call center costs as well as costs for service parts repair centers. Cost of sales for products is primarily comprised of direct materials and supplies consumed in the manufacturing and distribution of products, as well as related labor, depreciation expense and direct overhead expense necessary to acquire and convert the purchased materials and supplies into finished products. Cost of sales for products also includes the cost to distribute products to customers, inbound freight costs, internal transfer costs, warehousing costs and other shipping and handling activity. |
Property, plant and equipment and long-lived assets | Property, plant and equipment and long-lived assets. Property, plant and equipment and long-lived assets are recorded at historical cost, including interest where applicable. As of August 11, 2023, as a result of Fresh Start Accounting, we have adjusted our property, plant and equipment, balances and remaining useful lives, to fair value. See Note 3 for additional information. Impairment of property, plant and equipment and long-lived assets is recognized when events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. If the expected future undiscounted cash flows are less than the carrying amount of the asset, an impairment loss is recognized at that time to reduce the asset to the lower of its fair value or its net book value. |
Depreciation and Amortization | Depreciation and Amortization. Depreciation of property, plant and equipment is computed using the straight-line method based on the estimated useful life for each asset class. Amortization of leasehold improvements is based upon the shorter of original terms of the lease or life of the improvement. Repairs and maintenance are expensed as incurred. Generally, amortization of the Company’s other long-term assets, such as intangible assets and capitalized software development, is computed using the straight-line method over the life of the asset. Fully depreciated assets are retained until disposal. Upon disposal, assets and related accumulated depreciation or amortization are removed from the accounts and the net amount, less proceeds from disposal, is charged or credited to operations. |
Advertising Costs | Advertising Costs. |
Research, Development and Engineering | Research, Development and Engineering. |
Shipping and Handling Costs | Shipping and Handling Costs. The Company recognizes shipping and handling fees billed when products are shipped or delivered to a customer and includes such amounts in net sales. Third-party freight payments are recorded in cost of sales. |
Taxes on Income | Taxes on Income. Deferred taxes are provided on an asset and liability method, whereby deferred tax assets are recognized for deductible temporary differences, operating loss carry-forwards and tax credits. Deferred tax liabilities are recognized for taxable temporary differences and undistributed earnings in certain tax jurisdictions. Deferred tax assets are reduced by a valuation allowance when, based on available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Determination of a valuation allowance involves estimates regarding the timing and amount of the reversal of taxable temporary differences, expected future taxable income and the impact of tax planning strategies. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. The Company regularly assesses its position with regard to tax exposures and records liabilities for these uncertain tax positions and related interest and penalties, if any, when the tax benefit is not more likely than not realizable. The Company has recorded an accrual that reflects the recognition and measurement process for the financial statement recognition and measurement of a tax position taken or expected to be taken on a tax return. Additional future income tax expense or benefit may be recognized once the positions are effectively settled. |
Sales Tax | Sales Tax. The Company collects sales taxes from customers and accounts for sales taxes on a net basis. |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash. |
Derivatives | The Company’s risk-management strategy allows for derivative financial instruments such as forwards to hedge certain foreign currency exposures and interest rate swaps to manage interest rate risk. The intent is to offset gains and losses that occur on the underlying exposures, with gains and losses on the derivative contracts hedging these exposures. The Company does not enter into derivatives for trading purposes. The Company recognizes all derivatives on the balance sheet at fair value. Changes in the fair values of derivatives that are not designated as hedges are recognized in earnings. If the derivative is designated and qualifies as a hedge, depending on the nature of the hedge, changes in the fair value of the derivatives are either offset against the change in the hedged assets or liabilities through earnings or recognized in other comprehensive income until the hedged item is recognized in earnings. |
Fair Value | Fair Value. The Company measures its financial assets and liabilities using one or more of the following three valuation techniques: Valuation technique Description Market approach Prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. Cost approach Amount that would be required to replace the service capacity of an asset (replacement cost). Income approach Techniques to convert future amounts to a single present amount based upon market expectations. The hierarchy that prioritizes the inputs to valuation techniques used to measure fair value is divided into three levels: Fair value level Description Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities. Fair value of investments categorized as level 1 are determined based on period end closing prices in active markets. Mutual funds are valued at their net asset value (NAV) on the last day of the period. Level 2 Unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active or inputs, other than quoted prices in active markets, that are observable either directly or indirectly. Fair value of investments categorized as level 2 are determined based on the latest available ask price or latest trade price if listed. The fair value of unlisted securities is established by fund managers using the latest reported information for comparable securities and financial analysis. If the manager believes the fund is not capable of immediately realizing the fair value otherwise determined, the manager has the discretion to determine an appropriate value. Common collective trusts are valued at NAV on the last day of the period. Level 3 Unobservable inputs for which there is little or no market data. Net asset value Fair value of investments categorized as NAV represent the plan’s interest in private equity, hedge and property funds. The fair value for these assets is determined based on the NAV as reported by the underlying investment managers. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company uses the end of the period when determining the timing of transfers between levels. Short-Term Investments The Company has investments in certificates of deposit that are recorded at cost, which approximates fair value. Assets Held in Rabbi Trusts / Deferred Compensation The fair value of the assets held in rabbi trusts (refer to Note 9 of the consolidated financial statements) is derived from investments in a mix of money market, fixed income and equity funds. The related deferred compensation liability is also recorded at fair value. Foreign Exchange Contracts The valuation of foreign exchange forward and option contracts is determined using valuation techniques, including option models tailored for currency derivatives. These contracts are valued using the market approach based on observable market inputs. This analysis reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including spot rates, foreign currency forward rates, the interest rate curve of the domestic currency, and foreign currency volatility for the given currency pair. Forward Contracts A substantial portion of the Company’s operations and revenues are international. As a result, changes in foreign exchange rates can create substantial foreign exchange gains and losses from the revaluation of non-functional currency monetary assets and liabilities. Interest Rate Swaps The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. |
Trade Receivables | Trade Receivables. The Company records the lifetime expected loss on uncollectible trade receivables based on historical loss experience as a percentage of sales and makes adjustments as necessary based on current trends. The Company will also record periodic adjustments for specific customer circumstances and changes in the aging of accounts receivable balances. After all efforts at collection have been unsuccessful, the account is deemed uncollectible and is written off. |
Financing Receivables | Financing Receivables. |
Inventories | Inventories. The Company primarily values inventories using average or standard costing utilizing lower of cost or net realizable value. The standard costs approximate costs determined on a first in, first out basis. The Company identifies and writes down its excess and obsolete inventories to net realizable value based on usage forecasts, order volume and inventory aging. With the development of new products, the Company also rationalizes its product offerings and will write-down discontinued products to the lower of cost or net realizable value. |
Deferred Revenue | Deferred Revenue. Deferred revenue is recorded for any services billed to customers and not yet recognizable if the contract period has commenced or for the amount collected from customers in advance of the contract period commencing. In addition, deferred revenue is recorded for products and other deliverables that are billed to and collected from customers prior to revenue being recognizable. |
Goodwill | Goodwill. Goodwill in the Successor Period is the excess of the reorganization value of assets over the fair value of identifiable tangible and intangible assets (refer to Note 3 of the consolidated financial statements). Goodwill in the Predecessor Period is the cost in excess of the net assets of acquired businesses (refer to Note 10 of the consolidated financial statements). The Company tests all existing goodwill at least annually for impairment on a reporting unit basis. The annual goodwill impairment test was performed as of October 1 for all periods presented. The Company tests for interim impairment between annual tests if an event occurs or circumstances change that would more likely than not reduce the carrying value of a reporting unit below its reported amount. Each year, the Company may elect to perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. In evaluating whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, the Company considers the following events and circumstances, among others, if applicable: (a) macroeconomic conditions such as general economic conditions, limitations on accessing capital or other developments in equity and credit markets; (b) industry and market considerations such as competition, multiples or metrics and changes in the market for the Company's products and services or regulatory and political environments; (c) cost factors such as raw materials, labor or other costs; (d) overall financial performance such as cash flows, actual and planned revenue and earnings compared with actual and projected results of relevant prior periods; (e) other relevant events such as changes in key personnel, strategy or customers; (f) changes in the composition of a reporting unit's assets or expected sales of all or a portion of a reporting unit; and (g) any sustained decrease in share price. If the Company's qualitative assessment indicates that it is more likely than not that the fair value of a reporting unit is less than its carrying value, or if management elects to perform a quantitative assessment of goodwill, an impairment test is used to identify potential goodwill impairment and measure the amount of any impairment loss to be recognized. The Company compares the fair value of each reporting unit with its carrying value and recognizes an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The fair value of the reporting units is determined based upon a combination of the income and market approach in valuation methodology. The income approach uses discounted estimated future cash flows, whereas the market approach or guideline public company method utilizes market data of similar publicly traded companies. The fair value of the reporting unit is defined as the price that would be received to sell the net assets or transfer the net liabilities in an orderly transaction between market participants at the assessment date. The techniques used in the Company's quantitative assessment incorporate a number of assumptions that the Company believes to be reasonable and to reflect market conditions forecast at the assessment date. Assumptions in estimating future cash flows are subject to a high degree of judgment. The Company makes all efforts to forecast future cash flows as accurately as possible with the information available at the time the forecast is made. To this end, the Company evaluates the appropriateness of its assumptions as well as its overall forecasts by comparing projected results of upcoming years with actual results of preceding years and validating that differences therein are reasonable. Assumptions, which include Level 3 inputs, relate to revenue growth, material and operating costs, and discount rate. Changes in assumptions and estimates after the assessment date may lead to an outcome where impairment charges would be required in future periods. Specifically, actual results may vary from the Company’s forecasts and such variations may be material and unfavorable, thereby triggering the need for future impairment tests where the conclusions may differ in reflection of prevailing market conditions. |
Contingencies | Contingencies. Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. As additional information becomes available, any potential liability related to these matters is assessed and the estimates are revised, if necessary. Legal costs incurred in connection with loss contingencies are expensed as incurred. |
Pension and Other Post-retirement Benefits | Pensions and Other Post-retirement Benefits. Annual net periodic expense and benefit liabilities under the Company’s defined benefit plans are determined on an actuarial basis. Assumptions used in the actuarial calculations have a significant impact on plan obligations and expense. The Company periodically reviews actual experience compared with the more significant assumptions used and make adjustments to the assumptions, if warranted. The healthcare trend rates are reviewed based upon the results of actual claims experience. The discount rate is determined by analyzing the average return of high-quality (i.e., AA-rated) fixed-income investments and the year-over-year comparison of certain widely used benchmark indices as of the measurement date. The expected long-term rate of return on plan assets is determined using the plans’ current asset allocation and their expected rates of return based on a geometric averaging over 20 years. The rate of compensation increase assumptions reflects the Company’s long-term actual experience and future and near-term outlook. Pension benefits are funded through deposits with trustees or directly by the plan administrator. Other post-retirement benefits are not funded and the Company’s policy is to pay these benefits as they become due. The Company recognizes the funded status of each of its plans in the consolidated balance sheets. Amortization of unrecognized net gain or loss resulting from experience different from that assumed and from changes in assumptions (excluding asset gains and losses not yet reflected in market-related value) is included as a component of net periodic benefit cost for a year if, as of the beginning of the year, that unrecognized net gain or loss exceeds five percent of the greater of the projected benefit obligation or the market-related value of plan assets. If amortization is required, the amortization is that excess divided by the average remaining service period of participating employees expected to receive benefits under the plan. |
Noncontrolling Interests | Noncontrolling Interests. Noncontrolling interests represent the portion of profit or loss, net assets and comprehensive income that is not allocable to the Company. Noncontrolling interests with redemption features, such as put rights, that are not solely within the Company’s control are considered redeemable noncontrolling interests. Redeemable noncontrolling interests are presented outside of equity on the Company's consolidated balance sheets. The balance of redeemable noncontrolling interests is reported at the greater of its carrying value or its maximum redemption value at each reporting date. |
Related Party Transactions | Related Party Transactions. |
Recently Adopted and Issued Accounting Guidance | Recently Adopted Accounting Guidance In August 2018, the FASB issued guidance on a company's accounting for implementation fees paid in a cloud computing service contract arrangement that addresses which implementation costs to capitalize as an asset and which costs to expense. Capitalized implementation fees are to be expensed over the term of the cloud computing arrangement, and the expense is required to be recognized in the same line item in the income statement as the associated hosting service expenses. The entity is also required to present the capitalized implementation fees on the balance sheet in the same line item as it would present a prepayment for hosting service fees associated with the cloud computing arrangement. Cash payments for cloud computing arrangements (CCA) implementation costs are classified as cash outflows from operating activities. The effects of the adoption of the ASUs listed below did not significantly impact the Company's financial statements: Standards Adopted Description Effective ASU 2022-04 Liabilities-Supplier Finance Programs This Accounting Standard Update (ASU) improves the transparency of financial reporting by adding requirements for disclosures related supplier finance programs. The adoption of this ASU did not have a significant impact on the Company's consolidated financial statements. January 1, 2023 Recently Issued Accounting Guidance The following ASUs were recently issued by the FASB, which could significantly impact the Company's financial statements: Standards Pending Adoption Description Effective/Adoption Date Anticipated Impact ASU 2020-04 Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting The standard provides optional expedients and exceptions for applying GAAP to contracts, hedges and other transaction that will be impacted by reference rate reform. March 12, 2020 through December 31, 2024 The Company is currently assessing the impact this ASU will have on its consolidated financial statements. The ASU allows for early adoption in any year end after issuance of the update. ASU 2022-06 Reference Rate Reform (Topic 848) - Deferral of the Sunset Date of Topic 848 The standard defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024. December 31, 2024 The Company does not expect this ASU will have a significant impact on its consolidated financial statements. ASU 2023-09 Income Taxes (Topic 740) - Improvements to Income Tax Disclosures The standard improves the transparency of financial reporting by adding requirements for disclosures related to effective tax rate reconciliation, as well as information on income taxes paid. December 31, 2025 The Company is currently assessing the impact this ASU will have on its consolidated financial statements. The ASU allows for early adoption in any year end after issuance of the update. |
Share-Based Compensation Cost | The Company recognizes costs resulting from all share-based payment transactions based on the fair value of the award as of the grant date. Awards are valued at fair value and compensation cost is recognized on a straight-line basis over the requisite periods of each award. To cover the exercise and/or vesting of its share-based payments, the Company uses a combination of new shares from its authorized, unissued share pool and its treasury shares. As discussed above, on the Effective Date, the then existing common shares of the Predecessor were canceled and the New Common Stock was issued. Accordingly, the existing share-based compensation awards issued pursuant to the 2017 Equity and Performance Incentive Plan were also canceled, which resulted in the recognition of any previously unamortized expense related to the canceled awards on the date of cancellation. |
Revenue | Revenue is measured based on consideration specified in a contract with a customer and excludes amounts collected on behalf of third parties. The amount of consideration can vary depending on discounts, rebates, refunds, credits, price concessions, incentives, performance bonuses, penalties, or other similar items contained in the contract with the customer of which generally these variable consideration components represents minimal amount of net sales. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. The Company's payment terms vary depending on the individual contracts and are generally fixed fee. The Company recognizes advance payments and billings in excess of revenue recognized as deferred revenue. In certain contracts where services are provided prior to billing, the Company recognizes a contract asset within trade receivables and other current assets. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and that are collected by the Company from a customer are excluded from revenue. The Company recognizes shipping and handling fees billed when products are shipped or delivered to a customer and includes such amounts in net sales. Although infrequent, shipping and handling associated with outbound freight after control over a product has transferred to a customer is not a separate performance obligation, rather it is accounted for as a fulfillment cost. Third-party freight payments are recorded in cost of sales. The Company includes warranties in connection with certain contracts with customers, which are not considered to be separate performance obligations. The Company provides its customers a manufacturer’s warranty, and records, at the time of the sale, a corresponding estimated liability for potential warranty costs. For additional information on product warranty refer to Note 11 of the consolidated financial statements. The Company also has extended warranty and service contracts available for its customers, which are recognized as separate performance obligations. Revenue is recognized on these contracts ratably as the Company has a stand-ready obligation to provide services when or as needed by the customer. This input method is the most accurate assessment of progress toward completion the Company can apply. Nature of goods and services Product revenue is recognized at the point in time that the customer obtains control of the product, which could be upon delivery or upon completion of installation services, depending on contract terms. The Company’s software licenses are functional in nature (the IP has significant stand-alone functionality); as such, the revenue recognition of distinct software license sales is at the point in time that the customer obtains control of the rights granted by the license. Professional services integrate the commercial solution with the customer's existing infrastructure and helps define the optimal user experience, improve business processes, refine existing staffing models and deploy technology to meet branch and store automation objectives. Revenue from professional services are recognized over time, because the customer simultaneously receives and consumes the benefits of the Company’s performance as the services are performed or when the Company’s performance creates an asset with no alternative use and the Company has an enforceable right to payment for performance completed to date. Generally, revenue will be recognized using an input measure, typically costs incurred. The typical contract length for service is generally one year and is billed and paid in advance except for installations, among others. Services may be sold separately or in bundled packages. For bundled packages, the Company accounts for individual services separately if they are distinct. A distinct service is separately identifiable from other items in the bundled package if a customer can benefit from it on its own or with other resources that are readily available to the customer. The consideration (including any discounts) is allocated between separate services or distinct obligations in a bundle based on their stand-alone selling prices. The stand-alone selling prices are determined based on the prices at which the Company separately sells the products or services. For items that are not sold separately, the Company estimates stand-alone selling prices using the cost plus expected margin approach. Revenue on service contracts is recognized ratably over time, generally using an input measure, as the customer simultaneously receives and consumes the benefits of the Company’s performance as the services are performed. In some circumstances, when global service supply chain services are not included in a term contract and rather billed as they occur, revenue on these billed work services are recognized at a point in time as transfer of control occurs. The following is a description of principal solutions offered within the Company's two main customer segments that generate the Company's revenue. Banking Products. Products for banking customers consist of cash recyclers and dispensers, intelligent deposit terminals, teller automation tools and kiosk technologies, as well as physical security solutions. The Company provides its banking customers front-end applications for consumer connection points and back-end platforms that manage channel transactions, operations and integration and facilitate omnichannel transactions, endpoint monitoring, remote asset management, customer marketing, merchandise management and analytics. These offerings include highly configurable, API enabled software that automates legacy banking transactions across channels. Services. The Company provides its banking customers product-related services which include proactive monitoring, rapid resolution of incidents through remote service capabilities or an on-site visit and professional services. First and second line maintenance, preventive maintenance and on-demand services keep the distributed assets of the Company's customers up and running through a standardized incident management process. Managed services and outsourcing consists of the end-to-end business processes, solution management, upgrades and transaction processing. The Company also provides a full array of cash management services, which optimizes the availability and cost of physical currency across the enterprise through efficient forecasting, inventory and replenishment processes. Retail Products. The retail product portfolio includes modular, integrated and mobile POS and SCO terminals that meet evolving automation and omnichannel requirements of consumers. Supplementing the POS system is a broad range of peripherals, including printers, scales and mobile scanners, as well as the cash management portfolio which offers a wide range of banknote and coin processing systems. Also in the portfolio, the Company provides SCO terminals and ordering kiosks which facilitate an efficient and user-friendly purchasing experience. The Company’s hybrid product line can alternate from an attended operator to self-checkout with the press of a button as traffic conditions warrant throughout the business day. The Company's platform software is installed within retail data centers to facilitate omnichannel transactions, endpoint monitoring, remote asset management, customer marketing, merchandise management and analytics. Services. The Company provides its retail customers product-related services which include on-demand services and professional services. Diebold Nixdorf AllConnect Services for retailers include maintenance and availability services to continuously improve retail self-service fleet availability and performance. These include: total implementation services to support both current and new store concepts; managed mobility services to centralize asset management and ensure effective, tailored mobile capability; monitoring and advanced analytics providing operational insights to support new growth opportunities; and store life-cycle management to proactively monitors store IT endpoints and enable improved management of internal and external suppliers and delivery organizations. Refer to Note 25 of the consolidated financial statements for additional information regarding the Company's reportable operating segments, disaggregation of net sales by segments and product solutions, net sales by geographical region and disaggregation by timing of revenue recognition. Timing of revenue recognition Contract assets are the rights to consideration in exchange for goods or services that the Company has transferred to a customer when that right is conditional on something other than the passage of time. Contract assets of the Company primarily relate to the Company's rights to consideration for goods shipped and services provided but not contractually billable at the reporting date. The contract assets are reclassified into the receivables balance when the rights to receive payment become unconditional. Contract liabilities are recorded for any services billed to customers and not yet recognizable if the contract period has commenced or for the amount collected from customers in advance of the contract period commencing. In addition, contract liabilities are recorded as advanced payments for products and other deliverables that are billed to and collected from customers prior to revenue being recognizable. Transaction price and variable consideration The transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer, excluding amounts collected on behalf of third parties. This consideration can include fixed and variable amounts and is determined at contract inception and updated each reporting period for any changes in circumstances. The transaction price also considers variable consideration, time value of money and the measurement of any non-cash consideration, all of which are estimated at contract inception and updated at each reporting date for any changes in circumstances. Once the variable consideration is identified, the Company estimates the amount of the variable consideration to include in the transaction price by using one of two methods, expected value (probability weighted methodology) or most likely amount (when there are only two possible outcomes). The Company chooses the method expected to better predict the amount of consideration to which it will be entitled and applies the method consistently to similar contracts. Generally, the Company applies the expected value method when assessing variable consideration including returns and refunds. The Company also applies the ‘as invoiced’ practical expedient in ASC paragraph 606-10-55-18 related to performance obligations satisfied over time, which permits the Company to recognize revenue in the amount to which it has a right to invoice the customer if that amount corresponds directly with the value to the customer of the Company’s performance completed to date. Service revenues that are recognized ratably are primarily contracts that include first and second line maintenance. Service revenues that are recognized using input measures include primarily preventative maintenance. The ‘as invoiced’ practical expedient relates to the on-demand service revenue which is generally not under contract. Transaction price allocated to the remaining performance obligations As of December 31, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $1,400. The Company generally expects to recognize revenue on the remaining performance obligations over the next twelve Cost to obtain and cost to fulfill a contract The Company has minimal cost to obtain or fulfill contracts for customers for the periods presented. The Company pays commissions to the sales force based on multiple factors including but not limited to order entry, revenue recognition and portfolio growth. These incremental commission fees paid to the sales force meet the criteria to be considered a cost to obtain a contract, as they are directly attributable to a contract, incremental and management expects the fees are recoverable. The Company applies the practical expedient and recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Company otherwise would have recognized is one year or less. The costs that are not capitalized are included in cost of sales. The costs related to contracts with greater than a one-year term are immaterial and continue to be recognized in cost of sales. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Fair Value, Valuation Techniques | The Company measures its financial assets and liabilities using one or more of the following three valuation techniques: Valuation technique Description Market approach Prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. Cost approach Amount that would be required to replace the service capacity of an asset (replacement cost). Income approach Techniques to convert future amounts to a single present amount based upon market expectations. The hierarchy that prioritizes the inputs to valuation techniques used to measure fair value is divided into three levels: Fair value level Description Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities. Fair value of investments categorized as level 1 are determined based on period end closing prices in active markets. Mutual funds are valued at their net asset value (NAV) on the last day of the period. Level 2 Unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active or inputs, other than quoted prices in active markets, that are observable either directly or indirectly. Fair value of investments categorized as level 2 are determined based on the latest available ask price or latest trade price if listed. The fair value of unlisted securities is established by fund managers using the latest reported information for comparable securities and financial analysis. If the manager believes the fund is not capable of immediately realizing the fair value otherwise determined, the manager has the discretion to determine an appropriate value. Common collective trusts are valued at NAV on the last day of the period. Level 3 Unobservable inputs for which there is little or no market data. Net asset value Fair value of investments categorized as NAV represent the plan’s interest in private equity, hedge and property funds. The fair value for these assets is determined based on the NAV as reported by the underlying investment managers. |
Schedule of Allowances for Doubtful Accounts | The following table summarizes the Company’s allowances for doubtful accounts: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Beginning balance $ — $ 34.5 $ 35.3 $ 37.5 Charged to costs and expenses 8.0 16.6 14.0 9.8 Charged to other accounts (1) (0.2) (0.3) (0.1) — Deductions (2) (4.2) (14.7) (14.7) (12.0) Fresh Start adjustment — (36.1) — — Ending balance $ 3.6 $ — $ 34.5 $ 35.3 (1) Includes net effects of foreign currency translation (2) Uncollectible accounts written-off, net of recoveries. |
Effects of the Adoption of ASUs | The effects of the adoption of the ASUs listed below did not significantly impact the Company's financial statements: Standards Adopted Description Effective ASU 2022-04 Liabilities-Supplier Finance Programs This Accounting Standard Update (ASU) improves the transparency of financial reporting by adding requirements for disclosures related supplier finance programs. The adoption of this ASU did not have a significant impact on the Company's consolidated financial statements. January 1, 2023 Recently Issued Accounting Guidance The following ASUs were recently issued by the FASB, which could significantly impact the Company's financial statements: Standards Pending Adoption Description Effective/Adoption Date Anticipated Impact ASU 2020-04 Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting The standard provides optional expedients and exceptions for applying GAAP to contracts, hedges and other transaction that will be impacted by reference rate reform. March 12, 2020 through December 31, 2024 The Company is currently assessing the impact this ASU will have on its consolidated financial statements. The ASU allows for early adoption in any year end after issuance of the update. ASU 2022-06 Reference Rate Reform (Topic 848) - Deferral of the Sunset Date of Topic 848 The standard defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024. December 31, 2024 The Company does not expect this ASU will have a significant impact on its consolidated financial statements. ASU 2023-09 Income Taxes (Topic 740) - Improvements to Income Tax Disclosures The standard improves the transparency of financial reporting by adding requirements for disclosures related to effective tax rate reconciliation, as well as information on income taxes paid. December 31, 2025 The Company is currently assessing the impact this ASU will have on its consolidated financial statements. The ASU allows for early adoption in any year end after issuance of the update. |
CHAPTER 11 CASES AND DUTCH SC_2
CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Reorganizations [Abstract] | |
Schedule of Reorganization Items, Net | Reorganization items, net consisted of the following: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Gain on settlement of liabilities subject to compromise (non-cash) $ — $ 1,570.5 Fresh start valuation adjustments (non-cash) — 686.7 Professional fees (cash) (17.1) (38.7) Unamortized debt issuance costs (non-cash) — (124.6) DIP premium (non-cash) — (384.4) Debt make-whole premium (cash) — (91.0) Lease rejection damage claim (cash) — (3.8) Other (non-cash) — (0.6) Total Reorganization items, net $ (17.1) $ 1,614.1 The following table reconciles the enterprise value to the estimated fair value of the Successor common stock as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Fair value of Exit Facility (1,250.0) Less: Net pension, post-retirement and other benefits liability (39.3) Less: Other debt (13.9) Less: Noncontrolling interests (13.9) Fair Value of Successor Equity $ 1,039.0 The following table reconciles the enterprise value to the reorganization value of the Successor’s assets to be allocated to the Company’s individual assets as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Net pension, post-retirement and other benefits liability (39.3) Plus: Fair value of non-debt current liabilities 1,398.3 Plus: Fair value of non-debt, non-current liabilities 225.0 Plus: Deferred income taxes, non-current 238.5 Reorganization Value of Successor's Assets to be Allocated $ 4,178.6 The adjustments included in the following fresh start condensed consolidated balance sheet reflect the effects of the transactions contemplated by the Plans and executed by the Company on the Fresh Start Reporting Date (reflected in the column “Reorganization Adjustments”), and fair value and other required accounting adjustments resulting from the adoption of Fresh Start Accounting (reflected in the column “Fresh Start Accounting Adjustments”). The explanatory notes provide additional information and significant assumptions with regard to the adjustments recorded and the methods used to determine the fair values. Predecessor Reorganization Adjustments (1) Fresh Start Accounting Adjustments Successor August 11, 2023 August 12, 2023 ASSETS Current assets Cash and cash equivalents $ 404.9 $ (13.5) (2) $ — $ 391.4 Restricted cash 60.8 — — 60.8 Short-term investments 13.9 — — 13.9 Trade receivables, less allowances for doubtful accounts 623.9 — — 623.9 Inventories 712.8 — 32.8 (17) 745.6 Prepaid expenses 49.1 (3.5) (3) — 45.6 Current assets held for sale 9.9 — — 9.9 Other current assets 247.8 — — 247.8 Total current assets 2,123.1 (17.0) 32.8 2,138.9 Securities and other investments 7.0 — — 7.0 Property, plant, and equipment, net of accumulated depreciation and amortization 120.3 — 46.2 (18) 166.5 Deferred income taxes — 70.3 (4) (10.8) (19) 59.5 Goodwill 714.3 — (93.3) (20) 621.0 Customer relationships, net 176.1 — 378.2 (21) 554.3 Other intangible assets, net 45.1 — 320.0 (22) 365.1 Other assets 256.8 — 9.5 (23) 266.3 Total assets $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 LIABILITIES AND EQUITY Current liabilities Notes payable $ 1,254.9 $ (1,250.0) (5) $ — $ 4.9 Accounts payable 461.0 — — 461.0 Deferred revenue 421.0 — — 421.0 Payroll and other benefits liabilities 159.2 (0.1) (6) — 159.1 Current liabilities held for sale 10.2 — 0.7 (24) 10.9 DIP facility premium 384.4 (384.4) (7) — — Other current liabilities 343.3 5.5 (8) 1.5 (25) 350.3 Total current liabilities 3,034.0 (1,629.0) 2.2 1,407.2 Long-term debt 4.2 1,248.7 (9) 0.8 (26) 1,253.7 Pensions, post-retirement and other benefits 102.3 — (0.3) (27) 102.0 Deferred income taxes 85.8 (26.4) (4) 179.1 (19) 238.5 Other liabilities 120.3 — 4.0 (28) 124.3 Liabilities subject to compromise 2,232.4 (2,232.4) (10) — — Total liabilities $ 5,579.0 (2,639.1) 185.8 3,125.7 Equity Diebold Nixdorf, Incorporated shareholders' equity Predecessor common shares 121.2 (121.2) (11) — — Successor common stock — 0.4 (12) — 0.4 Paid-in capital; predecessor 832.3 (442.3) (13) (390.0) (29) — Paid-in capital; successor — 1,038.6 (14) — 1,038.6 Retained earnings (accumulated deficit) (2,204.8) 1,659.4 (15) 545.4 (29) — Treasury shares, at cost (586.4) 586.4 (13) — — Accumulated other comprehensive income (loss) (320.0) (8.8) (16) 328.8 (29) — Equity warrants 20.1 (20.1) (13) — — Total Diebold Nixdorf, Incorporated shareholders' equity (deficit) (2,137.6) 2,692.4 484.2 1,039.0 Noncontrolling interests 1.3 — 12.6 (30) 13.9 Total equity (deficit) (2,136.3) 2,692.4 496.8 1,052.9 Total liabilities and equity (deficit) $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 Reorganization Adjustments (1) Represent amounts recorded as of the Fresh Start Reporting Date for the implementation of the Plans, including, among other items, settlement of the Predecessor's liabilities subject to compromise, distributions of cash, conversion of the DIP Facility to the Exit Facility, and the issuance of the Successor common stock. (2) Changes in cash and cash equivalents include the following: Payment of interest on the DIP Facility $ (1.8) Payment to holders of the 2024 Stub Unsecured Notes Claims (3.5) Payment of lease rejection damages (3.8) Payment of professional fees (4.4) Net change in cash and cash equivalents $ (13.5) (3) Reflects the elimination of prepaid directors and officers insurance policies related to the Predecessor. (4) Change in deferred tax assets and liabilities as a result of release of valuation allowance, partially offset by reduction of estimated tax attributes due to cancellation of debt. (5) Represents the conversion of the DIP Facility to the Exit Facility and the reclassification of debt from current liabilities to non-current liabilities, based on the maturity of the debt. (6) Reflects the acceleration and cancellation of unvested Predecessor stock compensation awards. (7) Represents the issuance of Successor common stock to the settle the DIP Facility premiums. (8) Changes in other current liabilities includes the following: Accrual of professional fees $ 6.3 Accrual of German transfer tax 5.0 Accrual of deferred financing fees 1.3 Cancellation of unvested Predecessor stock compensation awards (0.9) Payment of interest on the DIP Facility (1.8) Payment of professional fees (4.4) Net change in other current liabilities $ 5.5 (9) Represents the conversion of the DIP Facility to the Exit Facility and the reclassification of debt from current liabilities to non-current liabilities ($1,250.0) and recording of deferred financing fees ($1.3), based on the maturity of the debt. (10) Liabilities Subject to Compromise were settled in accordance with the Plans and the resulting gain was determined as follows: Debt subject to compromise $ 2,160.5 Accrued interest on debt subject to compromise 68.1 Lease liability 3.8 Total liabilities subject to compromise $ 2,232.4 Less: Distribution of common stock to holders of First Lien Claims and Second Lien Notes Claims (654.6) Less: Payment to holders of the 2024 Stub Unsecured Notes Claims (3.5) Less: Payment of lease rejection damages (3.8) Gain on Settlement of Liabilities Subject to Compromise $ 1,570.5 (11) Represents the cancellation of Predecessor common shares at par value. (12) Reflects the par value of Successor common stock issued to holders of the First Lien Claims and Second Lien Notes Claims ($0.3) and the DIP Facility premiums ($0.1), pursuant to the Plans. (13) Change in Predecessor paid-in-capital reflect the following: Cancellation of Predecessor common shares at par value $ 121.2 Cancellation of Predecessor equity warrants 20.1 Acceleration of the vesting of Predecessor equity awards upon the Effective Date 2.8 Cancellation of Predecessor treasury stock, at cost (586.4) Change in Predecessor paid-in-capital $ (442.3) (14) Represents paid in capital associated with the issuance of Successor common stock to holders of First Lien Claims and Second Lien Notes Claims ($654.3) and the DIP Facility premiums ($384.3), pursuant to the Plans. (15) Net change in accumulated deficit includes the following: Gain on Settlement of Liabilities Subject to Compromise $ 1,570.5 Net deferred tax impacts on the effectiveness of the Plans 96.7 Elimination of unvested Predecessor stock compensation awards (liability classified) 0.8 Accrual of professional fees (6.3) Elimination of prepaid directors and officers insurance policies related to the Predecessor (3.5) Acceleration of the vesting of Predecessor equity awards upon the Effective Date (2.6) Elimination of accumulated other comprehensive income related to interest rate swaps 8.8 Accrual of German transfer tax (5.0) Net change in accumulated deficit $ 1,659.4 (16) Represents the elimination of accumulated other comprehensive income related to interest rate swaps. Fresh Start Accounting Adjustments Amounts presented for "Predecessor Historical Value" represents the carrying value of the asset/liability prior to the implementation of the Plans. (17) Reflects adjustments to inventory at its estimated fair value due to the adoptions of Fresh Start Accounting. Successor Fair Value Predecessor Historical Value Raw materials and work in process, net $ 226.4 $ 232.7 Finished goods, net 347.3 308.2 Total product inventories 573.7 540.9 Service parts 171.9 171.9 Total inventories $ 745.6 $ 712.8 (18) Changes in property, plant and equipment reflects the fair value adjustment due to the adoption of Fresh Start Accounting. The following table summarizes the components of property, plant, and equipment: Successor Fair Value Predecessor Historical Value Land and land improvements $ 21.5 $ 10.4 Buildings and building improvements 42.3 70.5 Leasehold improvements 6.1 17.4 Computer equipment 16.1 105.1 Computer software 5.9 128.7 Furniture and fixtures 17.3 55.9 Tooling 11.1 137.5 Machinery, tools and equipment 32.4 83.4 Construction in progress 13.8 12.2 Total property, plant and equipment, at cost 166.5 621.1 Less accumulated depreciation and amortization — (500.8) Total property, plant, and equipment, net $ 166.5 $ 120.3 (19) Adjustments to deferred income taxes for changes in financial reporting basis of assets and liabilities as a result of the adoption of Fresh Start Accounting. (20) Reflects adjustment to goodwill for the excess of the reorganization value of assets over the fair value of identifiable tangible and intangible assets. (21) Changes in customer relationships reflects the fair value adjustment due to the adoption of Fresh Start Accounting. (22) Changes in other intangible assets reflects the fair value adjustment due to the adoption of Fresh Start Accounting. The following table summarizes the components of other intangible assets: Successor Fair Value Predecessor Historical Value Capitalized software development 13.8 260.4 Development costs non-software 32.2 50.4 Tradenames and trademarks 118.6 — Technology know-how 160.8 — Other intangibles 39.7 51.8 Other intangible assets, at cost 365.1 362.6 Less accumulated amortization — (317.5) Total intangibles, net $ 365.1 $ 45.1 (23) Changes in other assets reflects fair value adjustments from implementation of Fresh Start Accounting. The following table summarizes the components of other assets: Successor Fair Value Predecessor Historical Value Cloud projects, at cost 19.9 25.6 Less accumulated depreciation and amortization — (5.3) Cloud projects, net 19.9 20.3 Right-of-use operating lease assets 102.2 89.6 Right-of-use finance lease assets 8.7 7.9 Joint ventures 30.3 33.7 Pensions, post-retirement and other benefits 71.3 71.4 Other assets 33.9 33.9 Total other assets $ 266.3 $ 256.8 (24) Reflects changes in the fair value of current liabilities held for sale due to the adoption of Fresh Start Accounting. (25) Reflects changes in the fair value of operating lease liabilities ($0.8 increase) and finance lease liability ($0.7 increase) due to the adoption of Fresh Start Accounting. (26) Reflects changes in the finance lease liabilities ($0.8 increase) due to the adoption of Fresh Start Accounting. (27) Reflects the remeasurement adjustment to pensions, post-retirement benefits, and other benefits driven by changes in actuarial assumptions. (28) Reflects changes in the fair value of operating lease liabilities ($6.2 increase) and other liabilities ($2.2 decrease) due to the adoption of Fresh Start Accounting. (29) Reflects the cumulative impact of Fresh Start Accounting Adjustments discussed above and below and the elimination of Predecessor capital in excess of par value and Predecessor accumulated deficit. Customer relationships, net 378.2 Other intangible assets 320.0 Other assets fair value adjustments 9.5 Property, plant and equipment 46.2 Inventories 32.8 Current Liabilities (2.2) Long-term debt (0.8) Pensions, post-retirement and other benefits 0.3 Other long-term liabilities (4.0) Goodwill (93.3) Fresh start valuation gain $ 686.7 Deferred income taxes (189.9) Fresh start valuation adjustment for noncontrolling interest (12.6) Elimination of Predecessor paid-in-capital 390.0 Elimination of Predecessor other comprehensive loss (328.8) Net Change in Accumulated Deficit $ 545.4 (30) Reflects the fair value adjustment to noncontrolling interests in certain consolidated subsidiaries. |
FRESH START ACCOUNTING (Tables)
FRESH START ACCOUNTING (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Reorganizations [Abstract] | |
Schedule of Reorganization Items, Net | Reorganization items, net consisted of the following: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Gain on settlement of liabilities subject to compromise (non-cash) $ — $ 1,570.5 Fresh start valuation adjustments (non-cash) — 686.7 Professional fees (cash) (17.1) (38.7) Unamortized debt issuance costs (non-cash) — (124.6) DIP premium (non-cash) — (384.4) Debt make-whole premium (cash) — (91.0) Lease rejection damage claim (cash) — (3.8) Other (non-cash) — (0.6) Total Reorganization items, net $ (17.1) $ 1,614.1 The following table reconciles the enterprise value to the estimated fair value of the Successor common stock as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Fair value of Exit Facility (1,250.0) Less: Net pension, post-retirement and other benefits liability (39.3) Less: Other debt (13.9) Less: Noncontrolling interests (13.9) Fair Value of Successor Equity $ 1,039.0 The following table reconciles the enterprise value to the reorganization value of the Successor’s assets to be allocated to the Company’s individual assets as of the Fresh Start Reporting Date: Enterprise value $ 2,150.0 Plus: Excess cash available for operations 206.1 Less: Net pension, post-retirement and other benefits liability (39.3) Plus: Fair value of non-debt current liabilities 1,398.3 Plus: Fair value of non-debt, non-current liabilities 225.0 Plus: Deferred income taxes, non-current 238.5 Reorganization Value of Successor's Assets to be Allocated $ 4,178.6 The adjustments included in the following fresh start condensed consolidated balance sheet reflect the effects of the transactions contemplated by the Plans and executed by the Company on the Fresh Start Reporting Date (reflected in the column “Reorganization Adjustments”), and fair value and other required accounting adjustments resulting from the adoption of Fresh Start Accounting (reflected in the column “Fresh Start Accounting Adjustments”). The explanatory notes provide additional information and significant assumptions with regard to the adjustments recorded and the methods used to determine the fair values. Predecessor Reorganization Adjustments (1) Fresh Start Accounting Adjustments Successor August 11, 2023 August 12, 2023 ASSETS Current assets Cash and cash equivalents $ 404.9 $ (13.5) (2) $ — $ 391.4 Restricted cash 60.8 — — 60.8 Short-term investments 13.9 — — 13.9 Trade receivables, less allowances for doubtful accounts 623.9 — — 623.9 Inventories 712.8 — 32.8 (17) 745.6 Prepaid expenses 49.1 (3.5) (3) — 45.6 Current assets held for sale 9.9 — — 9.9 Other current assets 247.8 — — 247.8 Total current assets 2,123.1 (17.0) 32.8 2,138.9 Securities and other investments 7.0 — — 7.0 Property, plant, and equipment, net of accumulated depreciation and amortization 120.3 — 46.2 (18) 166.5 Deferred income taxes — 70.3 (4) (10.8) (19) 59.5 Goodwill 714.3 — (93.3) (20) 621.0 Customer relationships, net 176.1 — 378.2 (21) 554.3 Other intangible assets, net 45.1 — 320.0 (22) 365.1 Other assets 256.8 — 9.5 (23) 266.3 Total assets $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 LIABILITIES AND EQUITY Current liabilities Notes payable $ 1,254.9 $ (1,250.0) (5) $ — $ 4.9 Accounts payable 461.0 — — 461.0 Deferred revenue 421.0 — — 421.0 Payroll and other benefits liabilities 159.2 (0.1) (6) — 159.1 Current liabilities held for sale 10.2 — 0.7 (24) 10.9 DIP facility premium 384.4 (384.4) (7) — — Other current liabilities 343.3 5.5 (8) 1.5 (25) 350.3 Total current liabilities 3,034.0 (1,629.0) 2.2 1,407.2 Long-term debt 4.2 1,248.7 (9) 0.8 (26) 1,253.7 Pensions, post-retirement and other benefits 102.3 — (0.3) (27) 102.0 Deferred income taxes 85.8 (26.4) (4) 179.1 (19) 238.5 Other liabilities 120.3 — 4.0 (28) 124.3 Liabilities subject to compromise 2,232.4 (2,232.4) (10) — — Total liabilities $ 5,579.0 (2,639.1) 185.8 3,125.7 Equity Diebold Nixdorf, Incorporated shareholders' equity Predecessor common shares 121.2 (121.2) (11) — — Successor common stock — 0.4 (12) — 0.4 Paid-in capital; predecessor 832.3 (442.3) (13) (390.0) (29) — Paid-in capital; successor — 1,038.6 (14) — 1,038.6 Retained earnings (accumulated deficit) (2,204.8) 1,659.4 (15) 545.4 (29) — Treasury shares, at cost (586.4) 586.4 (13) — — Accumulated other comprehensive income (loss) (320.0) (8.8) (16) 328.8 (29) — Equity warrants 20.1 (20.1) (13) — — Total Diebold Nixdorf, Incorporated shareholders' equity (deficit) (2,137.6) 2,692.4 484.2 1,039.0 Noncontrolling interests 1.3 — 12.6 (30) 13.9 Total equity (deficit) (2,136.3) 2,692.4 496.8 1,052.9 Total liabilities and equity (deficit) $ 3,442.7 $ 53.3 $ 682.6 $ 4,178.6 Reorganization Adjustments (1) Represent amounts recorded as of the Fresh Start Reporting Date for the implementation of the Plans, including, among other items, settlement of the Predecessor's liabilities subject to compromise, distributions of cash, conversion of the DIP Facility to the Exit Facility, and the issuance of the Successor common stock. (2) Changes in cash and cash equivalents include the following: Payment of interest on the DIP Facility $ (1.8) Payment to holders of the 2024 Stub Unsecured Notes Claims (3.5) Payment of lease rejection damages (3.8) Payment of professional fees (4.4) Net change in cash and cash equivalents $ (13.5) (3) Reflects the elimination of prepaid directors and officers insurance policies related to the Predecessor. (4) Change in deferred tax assets and liabilities as a result of release of valuation allowance, partially offset by reduction of estimated tax attributes due to cancellation of debt. (5) Represents the conversion of the DIP Facility to the Exit Facility and the reclassification of debt from current liabilities to non-current liabilities, based on the maturity of the debt. (6) Reflects the acceleration and cancellation of unvested Predecessor stock compensation awards. (7) Represents the issuance of Successor common stock to the settle the DIP Facility premiums. (8) Changes in other current liabilities includes the following: Accrual of professional fees $ 6.3 Accrual of German transfer tax 5.0 Accrual of deferred financing fees 1.3 Cancellation of unvested Predecessor stock compensation awards (0.9) Payment of interest on the DIP Facility (1.8) Payment of professional fees (4.4) Net change in other current liabilities $ 5.5 (9) Represents the conversion of the DIP Facility to the Exit Facility and the reclassification of debt from current liabilities to non-current liabilities ($1,250.0) and recording of deferred financing fees ($1.3), based on the maturity of the debt. (10) Liabilities Subject to Compromise were settled in accordance with the Plans and the resulting gain was determined as follows: Debt subject to compromise $ 2,160.5 Accrued interest on debt subject to compromise 68.1 Lease liability 3.8 Total liabilities subject to compromise $ 2,232.4 Less: Distribution of common stock to holders of First Lien Claims and Second Lien Notes Claims (654.6) Less: Payment to holders of the 2024 Stub Unsecured Notes Claims (3.5) Less: Payment of lease rejection damages (3.8) Gain on Settlement of Liabilities Subject to Compromise $ 1,570.5 (11) Represents the cancellation of Predecessor common shares at par value. (12) Reflects the par value of Successor common stock issued to holders of the First Lien Claims and Second Lien Notes Claims ($0.3) and the DIP Facility premiums ($0.1), pursuant to the Plans. (13) Change in Predecessor paid-in-capital reflect the following: Cancellation of Predecessor common shares at par value $ 121.2 Cancellation of Predecessor equity warrants 20.1 Acceleration of the vesting of Predecessor equity awards upon the Effective Date 2.8 Cancellation of Predecessor treasury stock, at cost (586.4) Change in Predecessor paid-in-capital $ (442.3) (14) Represents paid in capital associated with the issuance of Successor common stock to holders of First Lien Claims and Second Lien Notes Claims ($654.3) and the DIP Facility premiums ($384.3), pursuant to the Plans. (15) Net change in accumulated deficit includes the following: Gain on Settlement of Liabilities Subject to Compromise $ 1,570.5 Net deferred tax impacts on the effectiveness of the Plans 96.7 Elimination of unvested Predecessor stock compensation awards (liability classified) 0.8 Accrual of professional fees (6.3) Elimination of prepaid directors and officers insurance policies related to the Predecessor (3.5) Acceleration of the vesting of Predecessor equity awards upon the Effective Date (2.6) Elimination of accumulated other comprehensive income related to interest rate swaps 8.8 Accrual of German transfer tax (5.0) Net change in accumulated deficit $ 1,659.4 (16) Represents the elimination of accumulated other comprehensive income related to interest rate swaps. Fresh Start Accounting Adjustments Amounts presented for "Predecessor Historical Value" represents the carrying value of the asset/liability prior to the implementation of the Plans. (17) Reflects adjustments to inventory at its estimated fair value due to the adoptions of Fresh Start Accounting. Successor Fair Value Predecessor Historical Value Raw materials and work in process, net $ 226.4 $ 232.7 Finished goods, net 347.3 308.2 Total product inventories 573.7 540.9 Service parts 171.9 171.9 Total inventories $ 745.6 $ 712.8 (18) Changes in property, plant and equipment reflects the fair value adjustment due to the adoption of Fresh Start Accounting. The following table summarizes the components of property, plant, and equipment: Successor Fair Value Predecessor Historical Value Land and land improvements $ 21.5 $ 10.4 Buildings and building improvements 42.3 70.5 Leasehold improvements 6.1 17.4 Computer equipment 16.1 105.1 Computer software 5.9 128.7 Furniture and fixtures 17.3 55.9 Tooling 11.1 137.5 Machinery, tools and equipment 32.4 83.4 Construction in progress 13.8 12.2 Total property, plant and equipment, at cost 166.5 621.1 Less accumulated depreciation and amortization — (500.8) Total property, plant, and equipment, net $ 166.5 $ 120.3 (19) Adjustments to deferred income taxes for changes in financial reporting basis of assets and liabilities as a result of the adoption of Fresh Start Accounting. (20) Reflects adjustment to goodwill for the excess of the reorganization value of assets over the fair value of identifiable tangible and intangible assets. (21) Changes in customer relationships reflects the fair value adjustment due to the adoption of Fresh Start Accounting. (22) Changes in other intangible assets reflects the fair value adjustment due to the adoption of Fresh Start Accounting. The following table summarizes the components of other intangible assets: Successor Fair Value Predecessor Historical Value Capitalized software development 13.8 260.4 Development costs non-software 32.2 50.4 Tradenames and trademarks 118.6 — Technology know-how 160.8 — Other intangibles 39.7 51.8 Other intangible assets, at cost 365.1 362.6 Less accumulated amortization — (317.5) Total intangibles, net $ 365.1 $ 45.1 (23) Changes in other assets reflects fair value adjustments from implementation of Fresh Start Accounting. The following table summarizes the components of other assets: Successor Fair Value Predecessor Historical Value Cloud projects, at cost 19.9 25.6 Less accumulated depreciation and amortization — (5.3) Cloud projects, net 19.9 20.3 Right-of-use operating lease assets 102.2 89.6 Right-of-use finance lease assets 8.7 7.9 Joint ventures 30.3 33.7 Pensions, post-retirement and other benefits 71.3 71.4 Other assets 33.9 33.9 Total other assets $ 266.3 $ 256.8 (24) Reflects changes in the fair value of current liabilities held for sale due to the adoption of Fresh Start Accounting. (25) Reflects changes in the fair value of operating lease liabilities ($0.8 increase) and finance lease liability ($0.7 increase) due to the adoption of Fresh Start Accounting. (26) Reflects changes in the finance lease liabilities ($0.8 increase) due to the adoption of Fresh Start Accounting. (27) Reflects the remeasurement adjustment to pensions, post-retirement benefits, and other benefits driven by changes in actuarial assumptions. (28) Reflects changes in the fair value of operating lease liabilities ($6.2 increase) and other liabilities ($2.2 decrease) due to the adoption of Fresh Start Accounting. (29) Reflects the cumulative impact of Fresh Start Accounting Adjustments discussed above and below and the elimination of Predecessor capital in excess of par value and Predecessor accumulated deficit. Customer relationships, net 378.2 Other intangible assets 320.0 Other assets fair value adjustments 9.5 Property, plant and equipment 46.2 Inventories 32.8 Current Liabilities (2.2) Long-term debt (0.8) Pensions, post-retirement and other benefits 0.3 Other long-term liabilities (4.0) Goodwill (93.3) Fresh start valuation gain $ 686.7 Deferred income taxes (189.9) Fresh start valuation adjustment for noncontrolling interest (12.6) Elimination of Predecessor paid-in-capital 390.0 Elimination of Predecessor other comprehensive loss (328.8) Net Change in Accumulated Deficit $ 545.4 (30) Reflects the fair value adjustment to noncontrolling interests in certain consolidated subsidiaries. |
EARNINGS (LOSS) PER SHARE (Tabl
EARNINGS (LOSS) PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Computing Earnings (Loss) Per Share and the Effect on the Weighted-Average Number of Shares of Dilutive Potential Common Shares | The following table represents amounts used in computing earnings (loss) per share and the effect on the weighted-average number of shares of dilutive potential common stock for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Numerator Income (loss) used in basic and diluted loss per share Net income (loss) $ 19.1 $ 1,357.5 $ (585.6) $ (78.1) Net income (loss) income attributable to noncontrolling interests 1.3 (0.8) (4.2) 0.7 Net income (loss) attributable to Diebold Nixdorf, Incorporated $ 17.8 $ 1,358.3 $ (581.4) $ (78.8) Denominator Weighted-average number of shares of common stock used in basic earnings (loss) per share (1) 37.6 79.7 79.0 78.3 Effect of dilutive shares (1) — 1.7 — — Weighted-average number of shares used in diluted earnings (loss) per share 37.6 81.4 79.0 78.3 Net income (loss) per share attributable to Diebold Nixdorf, Incorporated Basic and diluted income (loss) per share $ 0.47 $ 17.04 $ (7.36) $ (1.01) Diluted earnings income (loss) per share $ 0.47 $ 16.69 $ (7.36) $ (1.01) Anti-dilutive shares Anti-dilutive shares not used in calculating diluted weighted-average shares — 2.1 4.2 3.9 (1) Shares of 1.5 and 1.2 for the years ended December 31, 2022 and 2021, respectively, are excluded from the computation of diluted earnings (loss) per share because the effects are anti-dilutive, irrespective of the net loss position. |
SHARE-BASED COMPENSATION AND _2
SHARE-BASED COMPENSATION AND EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan | The following table summarizes the components of the Company’s employee and non-employee directors share-based compensation programs recognized as selling and administrative expense for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Stock options Pre-tax compensation expense $ 0.1 $ — $ 0.3 $ 1.5 Tax benefit — — — (0.4) Stock option expense, net of tax $ 0.1 $ — $ 0.3 $ 1.1 RSU's Pre-tax compensation expense $ — $ 2.3 $ 13.6 $ 8.7 Acceleration of Predecessor awards — 2.7 — — Tax benefit — (1.2) (1.6) (2.2) RSU expense, net of tax $ — $ 3.8 $ 12.0 $ 6.5 Performance shares Pre-tax compensation expense $ — $ 0.1 $ (0.5) $ 3.6 Tax benefit — — — (1.0) Performance share expense, net of tax $ — $ 0.1 $ (0.5) $ 2.6 Total share-based compensation Pre-tax compensation expense $ 0.1 $ 2.4 $ 13.4 $ 13.8 Acceleration of Predecessor awards — 2.7 — — Tax benefit — (1.2) (1.6) (3.6) Total share-based compensation, net of tax $ 0.1 $ 3.9 $ 11.8 $ 10.2 |
Schedule of Unrecognized Compensation Cost, Nonvested Awards | The following table summarizes information related to unrecognized share-based compensation costs as of December 31, 2023 (Successor): Unrecognized Weighted-Average Period (years) Stock options $ 8.4 2.2 RSUs 8.1 2.2 $ 16.5 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The estimated fair value of the options granted was calculated using a Black-Scholes option pricing model using the following assumptions: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Expected life (in years) 3.75 0 0 0 Weighted-average volatility 65 % — % — % — % Risk-free interest rate 3.94 % — % — % — % Expected dividend yield — % — % — % — % |
Options outstanding and exercisable under the Company's 1991 Equity and Performance Incentive Plan | Options outstanding and exercisable as of December 31, 2023 and changes during the year ended were as follows: Number of Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (1) (per share) (in years) Outstanding at January 1, 2023 (Predecessor) 1.5 $ 16.81 Expired or forfeited (0.2) $ 3.71 Elimination of Predecessor awards (1.3) $ 3.68 Outstanding at August 12, 2023 (Successor) — $ — Granted 0.6 $ 30.00 Outstanding at December 31, 2023 (Successor) 0.6 $ 30.00 5 $ — Options exercisable at December 31, 2023 — $ — 0 $ — (1) The aggregate intrinsic value represents the total pre-tax intrinsic value (the difference between the Company’s closing share price on the last trading day of the year in 2023 and the exercise price, multiplied by the number of “in-the-money” options) that would have been received by the option holders had all option holders exercised their options on December 31, 2023. The amount of aggregate intrinsic value will change based on the fair market value of the Company’s common stock. |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | Non-vested RSUs outstanding as of December 31, 2023 and changes during the year ended were as follows: Number of Weighted-Average Non-vested at January 1, 2023 (Predecessor) 2.2 $ 7.53 Forfeited (0.2) $ 7.96 Vested (1.1) $ 7.30 Elimination of Predecessor awards (0.9) $ 7.73 Non-vested at August 12, 2023 (Successor) — $ — Granted 0.3 $ 29.00 Non-vested at December 31, 2023 (Successor) 0.3 $ 29.00 |
Schedule of Nonvested Performance-based Units Activity | Non-vested performance shares outstanding as of December 31, 2023 and changes during the year ended were as follows: Number of Weighted-Average Non-vested at January 1, 2023 (Predecessor) (1) 1.4 $ 0.30 Forfeited (0.3) $ 0.35 Vested — $ — Granted — $ — Elimination of Predecessor awards (1.1) $ 0.32 Non-vested at August 12, 2023 (Successor) — $ — Granted — $ — Non-vested at December 31, 2023 (Successor) — $ — (1) Non-vested performance shares are based on a maximum potential payout. Actual shares vested at the end of the performance period may be less than the maximum potential payout level depending on achievement of the performance objectives, as determined by the Board of Directors. |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Loss From Operations Before Taxes | The following table presents components of (loss) income from operations before taxes: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Domestic $ (62.7) $ 792.7 $ (413.2) $ (168.3) Foreign 62.6 655.7 (25.4) 117.6 Total $ (0.1) $ 1,448.4 $ (438.6) $ (50.7) |
Schedule of Income Tax Expense (Benefit) | The following table presents the components of income tax expense (benefit): Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Current U.S. federal $ (1.5) $ (3.7) $ 8.5 $ 3.5 Foreign 33.0 14.4 43.3 38.2 State and local (0.4) — 4.0 (1.2) Total current 31.1 10.7 55.8 40.5 Deferred U.S. federal (27.1) 29.5 62.5 (1.7) Foreign (11.7) 42.0 22.4 (11.4) State and local (7.0) 8.2 8.5 0.3 Total deferred (45.8) 79.7 93.4 (12.8) Income tax expense (benefit) $ (14.7) $ 90.4 $ 149.2 $ 27.7 |
Schedule of Effective Income Tax Rate Reconciliation | Income tax expense (benefit) attributable to loss from operations before taxes differed from the amounts computed by applying the U.S. federal income tax rate of 21 percent to pre-tax loss from operations. The following table presents these differences: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Statutory tax benefit $ — $ 304.2 $ (92.1) $ (10.6) State and local taxes (net of federal tax benefit) (5.1) 8.4 (17.6) (0.6) Brazil non-taxable incentive (3.3) (0.6) (4.6) (4.3) Valuation allowances 0.2 (193.1) 209.8 33.8 Goodwill impairment — — 9.3 — Foreign tax rate differential 1.5 47.3 (4.6) 2.2 Tax on unremitted foreign earnings 1.5 6.8 4.2 0.7 Change to uncertain tax positions — (1.8) 1.8 (9.2) U.S. taxed foreign income (9.2) 23.6 17.1 6.9 Non-deductible (non-taxable) items 16.2 65.8 15.5 0.7 Reorganization/Fresh Start reporting (21.5) (170.9) — — Prior year deferred true up 1.0 (6.1) — — Return to provision (1.2) 8.4 3.3 (0.8) Withholding tax and other taxes 5.1 0.6 5.4 8.7 Other 0.1 (2.2) 1.7 0.2 Income tax expense (benefit) $ (14.7) $ 90.4 $ 149.2 $ 27.7 |
Summary of Income Tax Contingencies | Details of the unrecognized tax benefits are as follows: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Balance at beginning of the period $ 52.7 $ 52.1 $ 55.1 $ 36.8 Increases (decreases) related to prior year tax positions, net — 0.6 (1.7) 42.1 Increases related to current year tax positions — — — — Settlements — — (0.7) (23.3) Reductions due to lapse of applicable statute of limitations (0.1) — (0.6) (0.5) Balance the end of the period $ 52.6 $ 52.7 $ 52.1 $ 55.1 |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company's deferred tax assets and liabilities at December 31 are as follows: Successor Predecessor 2023 2022 Deferred tax assets Accrued expenses $ 96.8 $ 51.9 Warranty accrual 7.5 12.3 Deferred compensation — 3.0 Allowances for doubtful accounts 2.0 5.0 Inventories 22.6 18.5 Deferred revenue 31.3 28.1 Pensions, post-retirement and other benefits 50.7 48.6 Deferred finance charges — 108.3 Tax credits 7.3 — Net operating loss carryforwards 127.9 179.4 Capital loss carryforwards 1.2 1.3 State deferred taxes 6.3 28.0 Lease liability 21.8 28.9 Other 28.5 22.8 403.9 536.1 Valuation allowances (233.6) (468.3) Net deferred tax assets $ 170.3 $ 67.8 Deferred tax liabilities Property, plant and equipment, net $ 33.5 $ 10.3 Goodwill and intangible assets 203.9 88.2 Undistributed earnings 43.4 34.4 Right-of-use assets 22.7 31.5 Other 0.3 — Net deferred tax liabilities 303.8 164.4 Net deferred tax (liability) asset $ (133.5) $ (96.6) |
Schedule of Deferred Income Taxes by Balance Sheet Account | Deferred income taxes reported in the consolidated balance sheets as of December 31 are as follows: Successor Predecessor 2023 2022 Deferred income taxes - assets $ 71.4 $ — Deferred income taxes - liabilities (204.9) (96.6) Net deferred tax (liabilities) assets $ (133.5) $ (96.6) |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Major Classes of Inventories | Major classes of inventories at December 31 are summarized as follows: Successor Predecessor 2023 2022 Raw materials and work in process $ 174.0 $ 200.6 Finished goods 242.0 229.4 Total product inventories 416.0 430.0 Service parts 173.8 158.1 Total inventories $ 589.8 $ 588.1 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | The following is a summary of property, plant and equipment, at cost less accumulated depreciation and amortization as of December 31: Successor Predecessor Estimated Useful Life 2023 2022 Land and land improvements (1) $ 21.6 $ 10.0 Buildings and building improvements 15-30 48.0 68.3 Machinery, tools and equipment 3-12 34.8 81.8 Leasehold improvements (2) 10 6.6 17.2 Computer equipment 3-5 17.1 101.1 Computer software 5-10 6.1 127.8 Furniture and fixtures 5-8 18.0 54.6 Tooling 5 11.7 134.7 Construction in progress 9.4 4.6 Total property plant and equipment, at cost $ 173.3 $ 600.1 Less accumulated depreciation and amortization 14.3 479.4 Total property plant and equipment, net $ 159.0 $ 120.7 (1) Estimated useful life for land and land improvements is perpetual and 15 years, respectively. (2) The estimated useful life for leasehold improvements is the lesser of 10 years or the term of the lease. Depreciation expense is computed on a straight-line basis over the estimated useful lives of the related assets. Depreciation expense was as follows: Successor Predecessor Period from Period from Year ended 08/12/2023 - 12/31/2023 01/01/2023 - 08/11/2023 2022 Depreciation expense $ 16.2 $ 18.3 $ 29.8 |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investments | The Company’s investments subject to fair value measurement consist of the following: Cost Basis Unrealized Gain Fair Value As of December 31, 2023 (Successor) Short-term investments Certificates of deposit $ 13.4 $ — $ 13.4 Long-term investments Assets held in a rabbi trust $ 2.3 $ 0.6 $ 2.9 As of December 31, 2022 (Predecessor) Short-term investments Certificates of deposit $ 24.6 $ — $ 24.6 Long-term investments: Assets held in a rabbi trust $ 4.3 $ 0.1 $ 4.4 |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill are as follows: Legacy Reporting Units New Reporting Units Eurasia Banking Americas Banking Banking Retail Total Goodwill $ 561.4 $ 440.1 $ — $ 213.0 $ 1,214.5 Accumulated impairment losses (291.7) (122.0) — (57.2) (470.9) Balance at January 1, 2022 (Predecessor) $ 269.7 $ 318.1 $ — $ 155.8 $ 743.6 Currency translation adjustment (6.3) (1.0) (18.6) (15.4) (41.3) Goodwill reassignment (555.1) (439.1) 922.2 72.0 — Goodwill $ — $ — $ 903.6 $ 269.6 $ 1,173.2 Accumulated impairment reassignment 291.7 122.0 (413.7) — — Accumulated impairment losses — — (413.7) (57.2) (470.9) Balance at December 31, 2022 (Predecessor) $ — $ — $ 489.9 $ 212.4 $ 702.3 Currency translation adjustment — — 8.5 3.5 12.0 Fresh Start adjustment goodwill — — (440.7) (123.5) (564.2) Fresh Start adjustment accumulated impairment losses — — 413.7 57.2 470.9 Goodwill — — 471.4 149.6 621.0 Accumulated impairment losses — — — — — Balance as of August 12, 2023 (Successor) $ — $ — $ 471.4 $ 149.6 $ 621.0 Currency translation adjustment — — — (0.1) (0.1) Divestitures — — — (4.2) (4.2) Balance at December 31, 2023 (Successor) $ — $ — $ 471.4 $ 145.3 $ 616.7 |
Schedule of Intangible Assets | The following summarizes information on intangible assets by major category: Successor Predecessor December 31, 2023 December 31, 2022 Weighted-average remaining useful lives Gross Accumulated Net Gross Accumulated Net Customer relationships, net 17.1 years $ 555.5 $ (12.5) $ 543.0 $ 662.3 $ (448.7) $ 213.6 Trademarks and trade names 18.0 years 118.8 (2.6) 116.2 — — — Capitalized software development 8.1 years 22.0 (1.1) 20.9 245.2 (202.7) 42.5 Technology know-how and development costs non-software 6.0 years 193.3 (12.5) 180.8 48.7 (48.7) — Other 1.5 years 40.6 (10.2) 30.4 48.7 (47.2) 1.5 Other intangible assets, net 374.7 (26.4) 348.3 342.6 (298.6) 44.0 Total $ 930.2 $ (38.9) $ 891.3 $ 1,004.9 $ (747.3) $ 257.6 |
Schedule of Capitalized Software Development | The following table identifies the activity relating to total capitalized software development: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Beginning balance $ 13.8 $ 42.5 $ 43.2 $ 38.0 Capitalization 9.8 13.1 28.7 31.1 Amortization (1.8) (12.4) (14.1) (23.3) Impairment — — (9.8) — Other (0.9) (6.1) (5.5) (2.6) Fresh Start Accounting Adjustments — (23.3) — — Ending balance $ 20.9 $ 13.8 $ 42.5 $ 43.2 |
Schedule of Amortization Expense | The expected annual amortization expense is as follows: Estimated amortization 2024 $ 100.3 2025 76.8 2026 73.8 2027 73.8 2028 73.8 Thereafter 492.8 $ 891.3 |
PRODUCT WARRANTIES (Tables)
PRODUCT WARRANTIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Schedule of Changes in Warranty Liability Balance | Changes in the Company’s warranty liability balance are illustrated in the following table: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Beginning balance $ 26.6 $ 28.3 $ 36.3 Accruals 16.3 18.8 19.5 Settlements (14.6) (21.9) (26.4) Currency translation (0.3) 1.4 (1.1) Ending balance $ 28.0 $ 26.6 $ 28.3 |
RESTRUCTURING (Tables)
RESTRUCTURING (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring and Related Costs | The following table summarizes the impact of the Company’s restructuring and transformation charges, excluding the aforementioned impairments, on the consolidated statements of operations for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Cost of sales - services $ (1.4) $ 5.3 $ 7.7 $ 13.0 Cost of sales - products (1.5) 0.8 13.1 2.4 Selling and administrative expense 25.4 29.4 94.4 13.1 Research, development and engineering expense 0.1 1.5 9.0 (0.3) Loss on sale of assets, net — 1.9 — — Total $ 22.6 $ 38.9 $ 124.2 $ 28.2 |
Schedule of Restructuring Accrual Balances and Related Activity | The following table summarizes the Company’s restructuring severance accrual balance and related activity: Balance at January 1, 2021 (Predecessor) $ 62.9 Liabilities incurred 15.4 Liabilities paid/settled (43.0) Balance at December 31, 2021 (Predecessor) $ 35.3 Liabilities incurred 62.5 Liabilities paid/settled (53.6) Balance at December 31, 2022 (Predecessor) $ 44.2 Liabilities incurred 6.8 Liabilities paid/settled (37.0) Other 0.4 Balance as of August 12, 2023 (Successor) $ 14.4 Liabilities incurred 5.3 Liabilities paid/settled (9.4) Balance at December 31, 2023 (Successor) $ 10.3 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Outstanding Debt Balances | Outstanding debt balances were as follows: Successor Predecessor December 31, 2023 December 31, 2022 Notes payable – current Lines of credit $ — $ 0.9 2023 Term Loan B Facility - USD — 12.9 2023 Term Loan B Facility - Euro — 5.1 2025 Extended Term Loan B Facility - USD — 5.3 2025 Extended Term Loan B Facility - EUR — 1.1 Other 0.3 1.7 0.3 27.0 Short-term deferred financing fees — (3.0) $ 0.3 $ 24.0 Long-term debt 2024 Senior Notes $ — $ 72.1 2025 Senior Secured Notes - USD — 2.7 2025 Senior Secured Notes - EUR — 4.7 2026 Asset Backed Loan (ABL) — 182.0 2025 Extended Term Loan B Facility - USD — 529.5 2025 Extended Term Loan B Facility - EUR — 95.5 2026 2L Notes — 333.6 2025 Exchanged Senior Secured Notes - USD — 718.1 2025 Exchanged Senior Secured Notes - EUR — 379.7 2025 Superpriority Term Loans — 400.6 Exit Facility 1,250.0 — Other 3.6 6.3 1,253.6 2,724.8 Long-term deferred financing fees (1.2) (139.0) $ 1,252.4 $ 2,585.8 |
Schedule of Financing Facilities | Below is a summary of financing facilities information: Interest Rate Maturity/Termination Dates Initial Term (Years) Exit Facility (i) SOFR + 7.50% August 2028 5.0 (i) SOFR with a floor of 4.0 percent |
REDEEMABLE NONCONTROLLING INT_2
REDEEMABLE NONCONTROLLING INTERESTS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
Schedule of Redeemable Noncontrolling Interest | Changes in redeemable noncontrolling interests were as follows: Predecessor 2021 Balance at January 1 $ 19.2 Termination of put option (19.2) Balance at December 31 $ — |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the changes in the Company’s AOCI, net of tax, by component: Translation Foreign Currency Hedges Interest Rate Hedges Pension and Other Post-Retirement Benefits Other Accumulated Other Comprehensive Income (Loss) Balance at December 31, 2021 (Predecessor) $ (310.9) $ (1.9) $ 0.4 $ (64.6) $ (1.5) $ (378.5) Other comprehensive income (loss) before reclassifications (1) (41.2) — 5.5 0.9 2.8 (32.0) Amounts reclassified from AOCI — — (0.6) 51.1 — 50.5 Net current period other comprehensive income (loss) (41.2) — 4.9 52.0 2.8 18.5 Balance at December 31, 2022 (Predecessor) $ (352.1) $ (1.9) $ 5.3 $ (12.6) $ 1.3 $ (360.0) Other comprehensive income (loss) before reclassifications (2) 28.7 4.7 3.4 0.1 — 36.9 Amounts reclassified from AOCI — — — 3.1 — 3.1 Fresh Start Accounting Adjustments 323.4 (2.8) (8.7) 9.4 (1.3) 320.0 Net current period other comprehensive income (loss) 352.1 1.9 (5.3) 12.6 (1.3) 360.0 Balance at August 12, 2023 (Successor) $ — $ — $ — $ — $ — $ — Other comprehensive income (loss) before reclassifications (3) 14.2 (0.1) — (0.1) (0.4) 13.6 Amounts reclassified from AOCI — — — (6.0) — (6.0) Net current period other comprehensive income (loss) 14.2 (0.1) — (6.1) (0.4) 7.6 Balance at December 31, 2023 (Successor) $ 14.2 $ (0.1) $ — $ (6.1) $ (0.4) $ 7.6 (1) Other comprehensive income (loss) before reclassifications within the translation component excludes $(5.9) of translation attributable to noncontrolling interests. (2) Other comprehensive income (loss) before reclassifications within the translation component excludes $(9.7) of translation attributable to noncontrolling interests. (3) Other comprehensive income (loss) before reclassifications within the translation component excludes $(0.2) of translation attributable to noncontrolling interests. |
Schedule of Reclassification out of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the details about amounts reclassified from AOCI: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Amount Reclassified from AOCI Amount Reclassified from AOCI Amount Reclassified from AOCI Affected Line Item in the Statement of Operations Interest rate hedges (net of tax of $0.1 in the Predecessor Period) $ — $ — $ (0.6) Interest expense Pension and post-retirement benefits: Net prior service benefit (cost) amortization (net of tax of $(0.2) in the Successor Period and $0.2 and $0.0, in the Predecessor Periods, respectively) 0.4 (0.2) 2.4 (1) Net actuarial (losses) gains recognized during the year (net of tax of $2.6 in the Successor Period and $(4.9) and $0.0 in the Predecessor Periods, respectively) (6.5) 4.2 38.5 (1) Net actuarial gains (losses) recognized due to settlement (net of tax of $0.0 in the Successor Period $1.1 and $0.0 in the Predecessor Periods, respectively) 0.1 (0.9) 10.2 (1) (6.0) 3.1 51.1 Total reclassifications for the period $ (6.0) $ 3.1 $ 50.5 (1) |
BENEFIT PLANS (Tables)
BENEFIT PLANS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Defined Benefit Plans Disclosures | The following tables set forth the change in benefit obligation, change in plan assets, and funded status for the Company’s U.S. defined benefit pension plans: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Change in benefit obligation Benefit obligation at beginning of period $ 351.5 $ 359.8 $ 584.4 Interest cost 7.6 11.9 17.3 Actuarial loss (gain) 10.1 (10.1) (133.8) Benefits paid (6.9) (10.1) (25.7) Settlements — — (82.4) Benefit obligation at end of period 362.3 351.5 359.8 Change in plan assets Fair value of plan assets at beginning of period 293.3 293.0 511.3 Actual return on plan assets 14.3 8.4 (113.8) Employer contributions 1.2 2.0 3.6 Benefits paid (6.9) (10.1) (25.7) Settlements — — (82.4) Fair value of plan assets at end of period 301.9 293.3 293.0 Funded status $ (60.4) $ (58.2) $ (66.8) The following tables set forth the change in benefit obligation, change in plan assets, and funded status for the Company's Non-U.S. defined benefit plans: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Change in benefit obligation Benefit obligation at beginning of period $ 306.4 $ 297.5 $ 420.5 Service cost 2.7 3.9 8.9 Interest cost 4.3 7.2 4.1 Actuarial loss (gain) 15.9 5.5 (80.5) Plan participant contributions 0.1 1.1 1.2 Benefits paid (2.9) (4.6) (6.5) Plan amendments (0.6) — (2.4) Curtailment — (0.1) — Settlements (2.9) (16.8) (24.6) Foreign currency impact 3.4 12.7 (22.9) Acquired benefit plans and other (0.3) — (0.3) Benefit obligation at end of period 326.1 306.4 297.5 Change in plan assets Fair value of plan assets at beginning of period $ 333.3 $ 325.3 $ 394.4 Actual return on plan assets 15.2 14.5 (27.6) Employer contributions 2.9 1.0 10.9 Plan participant contributions 0.1 1.1 1.2 Benefits paid (2.9) (4.6) (6.5) Foreign currency impact 2.9 12.8 (22.5) Settlements (2.9) (16.8) (24.6) Fair value of plan assets at end of period 348.6 333.3 325.3 Funded status $ 22.5 $ 26.9 $ 27.8 The following tables set forth the change in benefit obligation, change in plan assets, and funded status for the Company's other benefits: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Change in benefit obligation Benefit obligation at beginning of period $ 4.1 $ 4.3 $ 5.7 Interest cost 0.1 0.2 0.2 Actuarial loss (gain) 0.4 0.1 (1.2) Benefits paid (0.6) (0.6) (0.5) Foreign currency impact — 0.1 0.1 Benefit obligation at end of period 4.0 4.1 4.3 Change in plan assets Employer contributions 0.6 0.6 0.5 Benefits paid (0.6) (0.6) (0.5) Fair value of plan assets at end of period — — — Funded status $ (4.0) $ (4.1) $ (4.3) The following table sets forth the consolidated balance sheet presentation for the Company’s defined benefit pension plans and other benefits at and for the years ended December 31: Successor Predecessor 2023 2022 Pension Benefits - U.S. Plans Noncurrent assets $ — $ — Current liabilities — 3.5 Noncurrent liabilities (1) 60.4 63.3 Accumulated other comprehensive income (loss): Unrecognized net actuarial (loss) gain (2) (2.1) (77.3) Unrecognized prior service (cost) benefit (2) — — Net amount recognized $ 58.3 $ (10.5) Pension Benefits - Non-U.S. Plans Noncurrent assets $ 70.3 $ — Current liabilities 4.3 3.1 Noncurrent liabilities (1) 43.5 (30.9) Accumulated other comprehensive income (loss): Unrecognized net actuarial (loss) gain (2) (6.6) 45.4 Unrecognized prior service (cost) benefit (2) 0.6 5.9 Net amount recognized $ (28.5) $ 23.5 Other Benefits Noncurrent assets $ — $ — Current liabilities 0.4 0.5 Noncurrent liabilities (1) 3.6 3.8 Accumulated other comprehensive income (loss): Unrecognized net actuarial (loss) gain (2) (0.5) 5.6 Unrecognized prior service (cost) benefit (2) — — Net amount recognized $ 3.5 $ 9.9 (1) Included in the consolidated balance sheets in pensions, post-retirement and other benefits. (2) Represents amounts in accumulated other comprehensive income (loss) that have not yet been recognized as components of net periodic benefit cost. The following table sets forth the change in accumulated other comprehensive income (loss) for the Company’s defined benefit pension plans and other benefits: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Pension Benefits - U.S. Plans Balance at beginning of period $ — $ (77.3) $ (94.9) Net actuarial gains (losses) recognized during the period (2.1) 7.9 (1.1) Net actuarial gains (losses) occurring during the period — 0.4 4.4 Net actuarial gains (losses) recognized due to settlement — — 14.3 Fresh Start Accounting Adjustments — 69.0 — Balance at end of period $ (2.1) $ — $ (77.3) Pension Benefits - Non-U.S. Plans Balance at beginning of period $ — $ 51.3 $ 17.7 Prior service credit (cost) recognized during the period 0.6 (0.4) 2.4 Net actuarial gains (losses) recognized during the period (6.5) 1.2 38.4 Net actuarial gains (losses) occurring during the period — (2.2) (1.6) Net actuarial gains (losses) recognized due to settlement 0.1 (2.0) (4.1) Foreign currency impact (0.2) 2.2 (1.5) Fresh Start Accounting Adjustments — (50.1) — Balance at end of period $ (6.0) $ — $ 51.3 Other Benefits Balance at beginning of period $ — $ 5.6 $ 4.8 Net actuarial gains (losses) recognized during the period (0.5) — 1.2 Net actuarial gains (losses) occurring during the period — (0.3) (0.5) Foreign currency impact — 0.2 0.1 Fresh Start Accounting Adjustments — (5.5) — Balance at end of period $ (0.5) $ — $ 5.6 The following table sets forth the components of net periodic benefit cost for the Company’s defined benefit pension plans and other benefits: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Year ended December 31, 2021 Pension Benefits - U.S. Plans Interest cost $ 7.6 $ 11.9 $ 17.3 $ 15.9 Expected return on plan assets (6.0) (11.0) (21.2) (22.3) Recognized net actuarial (gain) loss — 0.4 4.4 8.9 Settlement (gain) loss — — 14.3 — Net periodic benefit cost $ 1.6 $ 1.3 $ 14.8 $ 2.5 Pension Benefits - Non-U.S. Plans Service cost $ 2.7 $ 3.9 $ 8.9 $ 9.8 Interest cost 4.3 7.2 4.1 2.9 Expected return on plan assets (5.2) (8.4) (14.5) (14.5) Amortization of prior service cost — (0.5) (0.4) (0.1) Recognized net actuarial (gain) loss — (2.2) (1.6) 0.3 Curtailment loss — (0.1) — — Settlement (gain) loss 0.1 (2.1) (4.1) (1.1) Net periodic benefit cost $ 1.9 $ (2.2) $ (7.6) $ (2.7) Other Benefits Service cost $ — $ — $ — $ 0.1 Interest cost 0.1 0.2 0.2 0.7 Recognized net actuarial (gain) loss — (0.3) (0.4) 0.2 Net periodic benefit cost $ 0.1 $ (0.1) $ (0.2) $ 1.0 |
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets | The following table represents information for pension plans with an accumulated benefit obligation in excess of plan assets at December 31: Successor Predecessor 2023 2022 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans Projected benefit obligation $ 362.3 $ 216.2 $ 359.8 $ 189.2 Accumulated benefit obligation $ 362.3 $ 203.6 $ 359.8 $ 181.6 Fair value of plan assets $ 301.9 $ 63.7 $ 293.0 $ 51.7 |
Schedule of Assumptions Used | The following table represents the weighted-average assumptions used to determine benefit obligations: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Pension Benefits - U.S. Plans Discount rate 5.52% 5.69% 5.59% Rate of compensation increase N/A N/A N/A Pension Benefits - Non-U.S. Plans Discount rate 4.87% 4.76% 4.92% Rate of compensation increase 4.25% 3.88% 3.88% Other Benefits Discount rate 6.97% 6.83% 6.84% Rate of compensation increase N/A N/A N/A The following table represents the weighted-average assumptions used to determine periodic benefit cost: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Pension Benefits - U.S. Plans Discount rate 5.69% 5.59% 2.99% Expected long-term return on plan assets 5.25% 5.25% 5.25% Rate of compensation increase N/A N/A N/A Pension Benefits - Non-U.S. Plans Discount rate 4.76% 4.92% 2.39% Expected long-term return on plan assets 3.75% 3.75% 3.30% Rate of compensation increase 3.91% 3.88% 3.89% Other Benefits Discount rate 6.83% 6.84% 4.22% Expected long-term return on plan assets N/A N/A N/A Rate of compensation increase N/A N/A N/A |
Schedule of Health Care Cost Trend Rates | The following table represents assumed healthcare cost trend rates: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Healthcare cost trend rate assumed for next year 5.6% 5.7% 6.0% Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 4.2% 4.2% 4.0% Year that rate reaches ultimate trend rate 2046 2046 2046 |
Schedule of Allocation of Plan Assets | The following table summarizes the Company’s target allocation for these asset classes in 2024, which are readjusted at least quarterly within a defined range for the U.S., and the Company’s actual pension plan asset allocation as of December 31, 2023 and 2022: U.S. Plans Non-U.S. Plans Target Actual Target Actual 2024 2023 2022 2024 2023 2022 Equity securities 41% 39% 43% 51% 51% 52% Debt securities 50% 51% 48% 29% 29% 26% Real estate 4% 5% 7% 8% 8% 8% Other 5% 5% 2% 12% 12% 14% Total 100% 100% 100% 100% 100% 100% The following table summarizes the fair value categorized into a three level hierarchy, as discussed in Note 1 of the consolidated financial statements, based upon the assumptions (inputs) of the Company’s plan assets as of December 31, 2023: U.S. Plans Non-U.S. Plans Fair Value Level 1 Level 2 NAV Fair Value Level 1 Level 2 NAV Cash and short-term investments $ 2.5 $ 2.5 $ — $ — $ 11.5 $ 10.7 $ — $ 0.8 Mutual funds 1.0 1.0 — — — — — — Equity securities International developed markets — — — — 178.7 178.7 — — Fixed income securities International corporate bonds — — — — 56.3 56.3 — — Fixed and index funds — — — — 43.9 43.9 — — Common collective trusts Real estate (a) 15.2 — — 15.2 26.3 — 13.1 13.2 Other (b) 269.6 — — 269.6 18.8 — — 18.8 Alternative investments Private equity funds (c) 13.6 — — 13.6 — — — — Other alternative investments (d) — — — — 13.1 0.2 — 12.9 Fair value of plan assets at end of year $ 301.9 $ 3.5 $ — $ 298.4 $ 348.6 $ 289.8 $ 13.1 $ 45.7 The following table summarizes the fair value of the Company’s plan assets as of December 31, 2022: U.S. Plans Non-U.S. Plans Fair Value Level 1 Level 2 NAV Fair Value Level 1 Level 2 NAV Cash and short-term investments $ 1.8 $ 1.8 $ — $ — $ 12.1 $ 11.4 $ — $ 0.7 Mutual funds 0.8 0.8 — — — — — — Equity securities International developed markets — — — — 170.4 167.5 — 2.9 Fixed income securities International corporate bonds — — — — 59.6 50.1 — 9.5 Fixed and index funds — — — — 23.7 14.2 — 9.5 Common collective trusts Real estate (a) 20.1 — — 20.1 25.5 — 14.5 11.0 Other (b) 263.1 — — 263.1 16.8 — — 16.8 Alternative investments Private equity funds (c) 7.2 — — 7.2 — — — — Other alternative investments (d) — — — — 17.2 0.3 — 16.9 Fair value of plan assets at end of year $ 293.0 $ 2.6 $ — $ 290.4 $ 325.3 $ 243.5 $ 14.5 $ 67.3 In 2023 and 2022, the fair value of investments categorized as level 3 represent the plan's interest in private equity, hedge and property funds. The fair value for these assets is determined based on the NAV as reported by the underlying investment managers. (a) Real estate common collective trust. The objective of the real estate common collective trust (CCT) is to achieve long-term returns through investments in a broadly diversified portfolio of improved properties with stabilized occupancies. As of December 31, 2023, investments in this CCT, for U.S. plans, included approximately 21 percent office, 32 percent residential, 10 percent retail and 38 percent industrial, cash and other. As of December 31, 2022, investments in this CCT, for U.S. plans, included approximately 22 percent office, 27 percent residential, 10 percent retail and 41 percent industrial, cash and other. Investments in the real estate CCT can be redeemed once per quarter subject to available cash, with a 30-day notice. (b) Other common collective trusts. At December 31, 2023, approximately 53 percent of the other CCTs are invested in fixed income securities including 36 percent in corporate bonds and 64 percent in U.S. Treasury and other. Approximately 19 percent of the other CCTs at December 31, 2023 are invested in Russell 1000 Fund large cap index funds, 16 percent in International Funds, and approximately 12 percent in funds, including emerging markets, real assets, and other funds. At December 31, 2022, approximately 53 percent of the other CCTs are invested in fixed-income securities, including approximately 36 percent in corporate bonds and 64 percent in U.S. Treasury and other. Approximately 19 percent of the other CCTs at December 31, 2022 are invested in Russell 1000 Fund large cap index funds, 16 percent in International Funds, and approximately 12 percent in funds, including emerging markets, real assets, and other funds. Investments in all common collective trust securities can be redeemed daily. (c) Private equity funds. The objective of the private equity funds is to achieve long-term returns through investments in a diversified portfolio of private equity limited partnerships that offer a variety of investment strategies, targeting low volatility and low correlation to traditional asset classes. As of December 31, 2023 and 2022, investments in these private equity funds include approximately 42 percent and 26 percent, respectively, in buyout private equity funds that usually invest in mature companies with established business plans, approximately 31 percent and 17 percent, respectively, in special situations private equity and debt funds that focus on niche investment strategies and approximately 27 percent and 24 percent respectively, in venture private equity funds that invest in early development or expansion of business. Investments in the private equity fund can be redeemed only with written consent from the general partner, which may or may not be granted. At December 31, 2023 and 2022 the Company had unfunded commitments of underlying funds $1.6 and $1.6, respectively. (d) Other alternative investments. The Company’s plan assets include a combination of insurance contracts, multi-strategy investment funds and company-owned real estate. The fair value for these assets is determined based on the NAV as reported by the underlying investment manager, insurance companies and the trustees of the CTA. |
Schedule of Amounts Expected To Be Recognized in Other Comprehensive Income (Loss) | The following table represents the amortization amounts expected to be recognized during 2024: U.S. Pension Benefits Non-U.S. Pension Benefits Other Benefits Amount of net prior service credit $ — $ (0.1) $ — Amount of net loss (gain) $ — $ — $ — |
Schedule of Expected Benefit Payments | The following benefit payments, which reflect expected future service, are expected to be paid: U.S. Pension Benefits Non-U.S. Pension Benefits Other Benefits Other Benefits 2024 $ 23.1 $ 25.4 $ 0.5 $ 0.5 2025 $ 24.1 $ 20.2 $ 0.5 $ 0.5 2026 $ 24.9 $ 20.8 $ 0.5 $ 0.5 2027 $ 25.8 $ 22.3 $ 0.5 $ 0.4 2028 $ 26.2 $ 24.5 $ 0.4 $ 0.4 2029-2033 $ 133.9 $ 111.9 $ 1.8 $ 1.7 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Schedule of Assets And Liabilities, Lessee | The following table summarizes the weighted-average remaining lease terms and discount rates related to the Company's lease population: Successor Predecessor December 31, 2023 December 31, 2022 Weighted-average remaining lease terms (in years) Operating leases 4.8 5.8 Finance leases 2.5 3.1 Weighted-average discount rate Operating leases 8.3% 15.4% Finance leases 6.6% 11.9% The following table summarizes the balance sheet information related to leases: Successor Predecessor December 31, 2023 December 31, 2022 Assets Operating $ 98.7 $ 108.5 Finance 6.9 10.3 Total leased assets $ 105.6 $ 118.8 Current liabilities Operating $ 39.6 $ 39.0 Finance 3.7 4.1 Noncurrent liabilities Operating 65.1 76.7 Finance 3.6 5.7 Total lease liabilities $ 112.0 $ 125.5 |
Schedule of Lease, Cost | The following table summarizes the components of lease expense for the years ended December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Lease expense Operating lease expense $ 25.3 $ 41.9 $ 75.7 $ 87.3 Finance lease expense Amortization of ROU lease assets $ 1.9 $ 2.4 $ 4.1 $ 2.9 Interest on lease liabilities $ 0.2 $ 0.5 $ 0.7 $ 0.9 Variable lease expense $ 4.1 $ 5.2 $ 10.1 $ 7.8 The following table summarizes the cash flow information related to leases: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating - operating cash flows $ 30.1 $ 43.3 $ 76.2 $ 87.3 Finance - financing cash flows $ 2.2 $ 2.5 $ 4.3 $ 2.3 Finance - operating cash flows $ 0.2 $ 0.5 $ 0.7 $ 0.4 ROU lease assets obtained in the exchange for lease liabilities: Operating leases $ 6.7 $ 19.2 $ 28.1 $ 57.4 Finance leases $ 0.6 $ 0.6 $ 7.4 $ 4.5 |
Schedule of Finance Lease, Liability, to be Paid, Maturity | The following table summarizes the maturities of lease liabilities: Operating Finance 2024 $ 46.6 $ 4.1 2025 30.0 1.9 2026 17.6 1.1 2027 10.3 0.6 2028 5.1 0.2 Thereafter 15.7 — Total 125.3 7.9 Less: Present value discount (20.6) (0.6) Lease liability $ 104.7 $ 7.3 |
Schedule of Lessee, Operating Lease, Liability, Maturity | The following table summarizes the maturities of lease liabilities: Operating Finance 2024 $ 46.6 $ 4.1 2025 30.0 1.9 2026 17.6 1.1 2027 10.3 0.6 2028 5.1 0.2 Thereafter 15.7 — Total 125.3 7.9 Less: Present value discount (20.6) (0.6) Lease liability $ 104.7 $ 7.3 |
FINANCE LEASE RECEIVABLES (Tabl
FINANCE LEASE RECEIVABLES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Schedule of Components for Finance Lease Receivables | Future minimum payments due from customers under finance lease receivables as of December 31, 2023 are as follows: 2024 $ 7.9 2025 4.6 2026 4.1 2027 3.1 2028 2.8 Thereafter 1.9 $ 24.4 |
Schedule of Financing Receivables, Minimum Payments | The following table presents the components of finance lease receivables as of December 31: Successor Predecessor 2023 2022 Gross minimum lease receivable $ 24.4 $ 28.1 Allowance for credit losses (0.2) (0.2) Estimated unguaranteed residual values — 0.1 24.2 28.0 Less: Unearned interest income (0.9) (1.5) Unearned residuals — — (0.9) (1.5) Total $ 23.3 $ 26.5 The following table presents finance lease receivables sold by the Company for the years ended December 31: Successor Predecessor 2023 2022 2021 Finance lease receivables sold $ — $ 1.6 $ 1.9 |
DERIVATIVE INSTRUMENTS AND HE_2
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Gain (Loss) Recognized on Non-Designated Derivative Instruments | The following table summarizes the gain (loss) recognized on derivative instruments: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, Derivative instrument Classification on consolidated statement of operations 2022 2021 Interest rate swaps and non-designated hedges Interest expense $ — $ (0.5) $ (4.4) $ (8.4) Foreign exchange forward contracts and cash flow hedges Net sales — — (0.1) — Foreign exchange forward contracts and cash flow hedges Cost of sales — — (0.5) 0.1 Foreign exchange forward contracts and cash flow hedges Foreign exchange gain (loss), net (0.4) — — (4.6) Total $ (0.4) $ (0.5) $ (5.0) $ (12.9) |
FAIR VALUE OF ASSETS AND LIAB_2
FAIR VALUE OF ASSETS AND LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Recorded at Fair Market Value | Assets and liabilities subject to fair value measurement by fair value level and recorded at fair value are as follows: Successor Predecessor Classification on consolidated balance sheets December 31, 2023 December 31, 2022 Fair Value Level 1 Level 2 Fair Value Level 1 Level 2 Assets Certificates of deposit Short-term investments $ 13.4 $ 13.4 $ — $ 24.6 $ 24.6 $ — Assets held in rabbi trusts Securities and other investments 2.9 2.9 — 4.4 4.4 — Total $ 16.3 $ 16.3 $ — $ 29.0 $ 29.0 $ — Liabilities Foreign exchange forward contracts Other current liabilities $ 0.4 $ — $ 0.4 $ — $ — $ — Deferred compensation Other liabilities 2.9 2.9 — 4.4 4.4 — Total $ 3.3 $ 2.9 $ 0.4 $ 4.4 $ 4.4 $ — |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Cash and Cash Equivalents | The following table provides a reconciliation of Cash, cash equivalents and Short-term and Long-term restricted cash reporting within the Company's consolidated balance sheets and in the consolidated statements of cash flows: Successor Predecessor December 31, 2023 December 31, 2022 Cash and cash equivalents $ 550.2 $ 307.4 Professional fee escrow 0.2 — Bank collateral guarantees 32.5 2.6 Pension collateral guarantees 9.4 9.1 Restricted cash and cash equivalents 42.1 11.7 Total cash, cash equivalents, and restricted cash $ 592.3 $ 319.1 |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Schedule of Disaggregation of Revenue | The following table represents the percentage of revenue recognized either at a point in time or over time as of December 31: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Year ended December 31, 2022 Timing of revenue recognition Products transferred at a point in time 47% 39% 39% Products and services transferred over time 53% 61% 61% Net sales 100% 100% 100% |
Schedule of Receivables and Deferred Revenue from Contracts with Customers | The following table provides information about receivables and deferred revenue, which represent contract liabilities from contracts with customers: Contract balance information Trade Receivables Contract liabilities Balance at January 1, 2023 (Predecessor) $ 612.2 $ 453.2 Balance at December 31, 2023 (Successor) $ 721.8 $ 376.2 Contract balance information Trade Receivables Contract liabilities Balance at January 1, 2022 (Predecessor) $ 595.2 $ 322.4 Balance at December 31, 2022 (Predecessor) $ 612.2 $ 453.2 |
CLOUD IMPLEMENTATION (Tables)
CLOUD IMPLEMENTATION (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Research and Development [Abstract] | |
Schedule of Amortization of Cloud Implementation Fees | Amortization of cloud implementation fees were as follows: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Amortization of cloud implementation fees $ 2.9 $ 2.0 $ 2.5 $ 0.8 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Information | The following tables represent information regarding the Company’s segment information and provides a reconciliation between segment operating profit and the consolidated income (loss) before income taxes: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Net sales summary by segment Banking $ 1,157.6 $ 1,511.0 $ 2,422.4 $ 2,711.1 Retail 469.3 610.0 1,018.2 1,194.1 Held for sale non-core European retail business (7) 1.7 10.9 20.1 — Total Revenue $ 1,628.6 $ 2,131.9 $ 3,460.7 $ 3,905.2 Segment operating profit Banking $ 182.1 $ 211.6 $ 310.8 $ 440.6 Retail 68.9 86.2 134.0 164.6 Total segment operating profit $ 251.0 $ 297.8 $ 444.8 $ 605.2 Corporate charges not allocated to segments (1) $ (123.4) $ (159.8) $ (247.3) $ (272.5) Impairment of assets (2) (1.2) (3.3) (111.8) (1.3) Amortization of Wincor Nixdorf purchase accounting intangible assets (3) — (41.8) (69.6) (78.2) Restructuring and transformation expenses (4) (23.1) (38.4) (124.2) (98.9) Refinancing related costs (5) (5.1) (44.7) (32.0) — Net non-routine expense (6) (4.8) (7.4) (42.6) (17.2) Held for sale non-core European retail business (7) (1.0) (7.9) (29.0) — (158.6) (303.3) (656.5) (468.1) Operating profit (loss) 92.4 (5.5) (211.7) 137.1 Other (expense) income (92.5) 1,453.9 (226.9) (187.8) (Loss) income before taxes $ (0.1) $ 1,448.4 $ (438.6) $ (50.7) (1) Corporate charges not allocated to segments include headquarter-based costs associated with procurement, human resources, compensation and benefits, finance and accounting, global development/engineering, global strategy/mergers and acquisitions, global IT, tax, treasury and legal. (2) Impairments in 2023 primarily relate to the write-down of right-of-use assets and related leasehold improvements for facilities identified for closure and impairment of discontinued internally developed software. Charges were taken in the first quarter of 2022 related to the North American ERP and certain assets in Ukraine, Russia, and Belarus; in the second quarter of 2022 related to facility closures; in the third quarter 2022 related to German capitalized software; and in the fourth quarter of 2022 related to assets at the held for sale non-core European retail business. (3) The amortization of purchase accounting intangible assets is not included in the segment results used by the CODM to make decisions, allocate resources or assess performance. (4) Refer to Note 12 of the consolidated financial statements for further information. Consistent with the historical reportable segment structure, restructuring and transformation costs are not assigned to the segments, and are separately analyzed by the CODM. (5) Refinancing related costs are fees earned by our advisors and the advisors of our potential lenders that do not qualify for capitalization. (6) Net non-routine expense consists of items that the Company has determined are non-routine in nature and not allocated to the reportable operating segments as they are not included in the measure used by the CODM to make decisions, allocate resources and assess performance. (7) Held for sale non-core European retail business represents the revenue and operating profit, excluding impairment which is captured separately, of a business that had been classified as held for sale for all the Predecessor Periods presented, but which was removed in 2022 from the retail segment's information used by the CODM to make decisions, assess performance and allocate resources, and was individually analyzed. This change and timing thereof aligns with the build-out of a data center that makes the entity capable of operating autonomously and is consistent with material provided in connection with our refinancing effort which are exclusive of this entity. This business was sold during the Successor Period. |
Segment Net Sales by Service and Product Location | The following table presents information regarding the Company’s segment net sales by service and product solution: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Banking Services $ 626.9 $ 954.3 $ 1,548.1 $ 1,681.2 Products 530.7 556.7 874.3 1,029.9 Total Banking $ 1,157.6 $ 1,511.0 $ 2,422.4 $ 2,711.1 Retail Services $ 230.4 $ 335.2 $ 540.9 $ 622.4 Products 238.9 274.8 477.3 571.7 Total Retail $ 469.3 $ 610.0 $ 1,018.2 $ 1,194.1 Held for sale non-core European retail business (7) Services $ 1.1 $ 5.5 $ 9.9 $ — Products 0.6 5.4 10.2 — 1.7 10.9 20.1 — Total Revenue $ 1,628.6 $ 2,131.9 $ 3,460.7 $ 3,905.2 |
Net Sales by Point of Origin and Property, Plant and Equipment, Net and Right-of-Use Operating Lease Assets by Geographical Location | Below is a summary of net sales by point of origin: Successor Predecessor Period from 08/12/2023 through 12/31/2023 Period from 01/01/2023 through 08/11/2023 Years ended December 31, 2022 2021 Americas United States $ 404.1 $ 583.9 $ 861.4 $ 893.1 Other Americas 290.0 380.9 600.0 530.1 Total Americas Revenue 694.1 964.8 1,461.4 1,423.2 EMEA Germany 248.2 283.9 522.8 768.2 Other EMEA 553.2 714.2 1,173.2 1,356.3 Total EMEA Revenue 801.4 998.1 1,696.0 2,124.5 APAC Total APAC Revenue 133.1 169.0 303.3 357.5 Total Revenue $ 1,628.6 $ 2,131.9 $ 3,460.7 $ 3,905.2 Below is a summary of property, plant and equipment, net and right-of-use operating lease assets by geographical location as of December 31: Successor Predecessor 2023 2022 Property, plant and equipment, net United States $ 29.7 $ 24.4 Germany 86.5 80.5 Other international 42.8 15.8 Total property, plant and equipment, net $ 159.0 $ 120.7 Right-of-use operating lease assets United States $ 30.9 $ 34.9 Germany 10.1 7.4 Other international 57.7 66.2 Total right-of-use operating lease assets $ 98.7 $ 108.5 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Summary of Significant Accounting Policies [Abstract] | |||||
Current assets held for sale | $ 0 | $ 9.9 | $ 0 | $ 7.9 | |
Current liabilities held for sale | 0 | 10.9 | 0 | 6.8 | |
Advertising costs | 3.5 | 4.6 | 8.5 | $ 7.1 | |
Research, development and engineering costs | 34.4 | 62.3 | 120.7 | 126.3 | |
Capitalization of software development costs | 9.8 | 13.1 | 28.7 | 31.1 | |
Restricted cash | 42.1 | $ 42.1 | 11.7 | ||
Defined benefit plans, expected rate of return period | 20 years | ||||
Defined benefit plans, threshold percentage for amortization of unrecognized net gain (loss) | 5% | ||||
Trade receivables | 721.8 | 623.9 | $ 721.8 | 612.2 | $ 595.2 |
Accounts payable | 529 | $ 461 | 529 | $ 611.6 | |
Related party | |||||
Summary of Significant Accounting Policies [Abstract] | |||||
Trade receivables | 13 | 13 | |||
Accounts payable | $ 24.2 | $ 24.2 | |||
Inspur JV | |||||
Summary of Significant Accounting Policies [Abstract] | |||||
Equity method investment, ownership percentage | 48.10% | 48.10% | |||
Aisino JV | |||||
Summary of Significant Accounting Policies [Abstract] | |||||
Equity method investment, ownership percentage | 49% | 49% |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Allowances for Doubtful Accounts (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | $ 0 | $ 34.5 | $ 35.3 | $ 37.5 |
Charged to costs and expenses | 8 | 16.6 | 14 | 9.8 |
Charged to other accounts | (0.2) | (0.3) | (0.1) | 0 |
Deductions | (4.2) | (14.7) | (14.7) | (12) |
Fresh Start adjustment | 0 | (36.1) | 0 | 0 |
Ending balance | $ 3.6 | $ 0 | $ 34.5 | $ 35.3 |
CHAPTER 11 CASES AND DUTCH SC_3
CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS - Narrative (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | ||
Aug. 11, 2023 | Dec. 31, 2023 | Aug. 12, 2023 | Aug. 10, 2023 | |
Reorganization, Chapter 11 [Line Items] | ||||
DIP facility | $ 0 | |||
Contractual interest in excess of recorded interest | 67.5 | |||
Cash paid for reorganization items, net | $ 36.9 | $ 107.2 | ||
Management Incentive Plan | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Percent of shares reserved | 6% | |||
Debtor-in-Possession Facility, First Lien Claims | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Pro rata rate share percentage | 98% | |||
DIP facility | $ 1,250 | $ 1,250 | ||
Debtor-in-Possession Facility, Second Lien Notes | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Pro rata rate share percentage | 2% | |||
Debtor-in-Possession Facility, 2024 Stub Unsecured Notes Claims | ||||
Reorganization, Chapter 11 [Line Items] | ||||
DIP facility | $ 3.5 | |||
Debtor-in-Possession Facility, Exit Credit Agreement | ||||
Reorganization, Chapter 11 [Line Items] | ||||
DIP facility | 1,250 | |||
Credit agreement | $ 1,250 | |||
Debtor-in-Possession Facility, Exit Credit Agreement | Secured Overnight Financing Rate (SOFR) | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Basis spread rate | 7.50% | |||
Debtor-in-Possession Facility, Exit Credit Agreement | Base rate | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Basis spread rate | 6.50% | |||
Debtor-in-Possession Facility, Exit Credit Agreement | Minimum | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Line of credit facility, prepayment fee percentage | 1% | |||
Debtor-in-Possession Facility, Exit Credit Agreement | Maximum | ||||
Reorganization, Chapter 11 [Line Items] | ||||
Line of credit facility, prepayment fee percentage | 5% |
CHAPTER 11 CASES AND DUTCH SC_4
CHAPTER 11 CASES AND DUTCH SCHEME PROCEEDINGS, ABILITY TO CONTINUE AS GOING CONCERN AND OTHER RELATED MATTERS - Schedule of Reorganization Items (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reorganizations [Abstract] | ||||
Gain on settlement of liabilities subject to compromise (non-cash) | $ 0 | $ 1,570.5 | ||
Fresh start valuation adjustments (non-cash) | 0 | 686.7 | ||
Professional fees (cash) | (17.1) | (38.7) | ||
Unamortized debt issuance costs (non-cash) | 0 | (124.6) | ||
DIP premium (non-cash) | 0 | (384.4) | ||
Debt make-whole premium (cash) | 0 | (91) | ||
Lease rejection damage claim (cash) | 0 | (3.8) | ||
Other (non-cash) | 0 | (0.6) | ||
Total Reorganization items, net | $ (17.1) | $ 1,614.1 | $ 0 | $ 0 |
FRESH START ACCOUNTING - Narrat
FRESH START ACCOUNTING - Narrative (Details) $ in Millions | 7 Months Ended | ||
Oct. 01, 2023 reporting_unit | Aug. 11, 2023 USD ($) reporting_unit | Aug. 12, 2023 reporting_unit | |
Reorganization, Chapter 11 [Line Items] | |||
Enterprise value | $ 2,150 | ||
Number of reporting units | reporting_unit | 2 | 2 | 4 |
Internal rate of return (IRR) | 18.90% | ||
Global Banking | |||
Reorganization, Chapter 11 [Line Items] | |||
Reporting unit, measurement input | 0.190 | ||
Global Retail | |||
Reorganization, Chapter 11 [Line Items] | |||
Reporting unit, measurement input | 0.190 | ||
Minimum | |||
Reorganization, Chapter 11 [Line Items] | |||
Enterprise value | $ 2,150 | ||
Maximum | |||
Reorganization, Chapter 11 [Line Items] | |||
Enterprise value | $ 2,450 |
FRESH START ACCOUNTING - Fair V
FRESH START ACCOUNTING - Fair Value of Successor Common Shares (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Aug. 11, 2023 | Dec. 31, 2022 |
Reorganizations [Abstract] | ||||
Enterprise value | $ 2,150 | |||
Plus: Excess cash available for operations | 206.1 | |||
Less: Fair value of Exit Facility | $ (1,285.5) | (1,250) | $ (1,819.7) | |
Less: Net pension, post-retirement and other benefits liability | (39.3) | |||
Less: Other debt | (13.9) | |||
Less: Noncontrolling interests | $ (15.4) | $ (13.9) | (13.9) | $ (9.8) |
Fair Value of Successor Equity | $ 1,039 |
FRESH START ACCOUNTING - Succes
FRESH START ACCOUNTING - Successor Assets To Be Allocated (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Aug. 11, 2023 | Dec. 31, 2022 |
Reorganizations [Abstract] | ||||
Enterprise value | $ 2,150 | |||
Plus: Excess cash available for operations | 206.1 | |||
Less: Net pension, post-retirement and other benefits liability | (39.3) | |||
Plus: Fair value of non-debt current liabilities | 1,398.3 | |||
Plus: Fair value of non-debt, non-current liabilities | 225 | |||
Plus: Deferred income taxes, non-current | $ 204.9 | $ 238.5 | 238.5 | $ 96.6 |
Total assets | $ 4,162 | $ 4,178.6 | $ 4,178.6 | $ 3,065 |
FRESH START ACCOUNTING - Balanc
FRESH START ACCOUNTING - Balance Sheet (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||||
Aug. 11, 2023 | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current assets | |||||||
Cash and cash equivalents | $ 550.2 | $ 391.4 | $ 550.2 | $ 307.4 | |||
Restricted cash | 60.8 | ||||||
Short-term investments | 13.4 | 13.9 | 13.4 | 24.6 | |||
Trade Receivables | 721.8 | 623.9 | 721.8 | 612.2 | $ 595.2 | ||
Inventories | 589.8 | 745.6 | 589.8 | 588.1 | |||
Prepaid expenses | 44 | 45.6 | 44 | 50.5 | |||
Current assets held for sale | 0 | 9.9 | 0 | 7.9 | |||
Other current assets | 192.6 | 247.8 | 192.6 | 168.5 | |||
Total current assets | 2,153.9 | 2,138.9 | 2,153.9 | 1,770.9 | |||
Securities and other investments | 6.5 | 7 | 6.5 | 7.6 | |||
Property, plant and equipment, net | 159 | 166.5 | 159 | 120.7 | |||
Deferred income taxes | 71.4 | 59.5 | 71.4 | 0 | |||
Goodwill | 616.7 | 621 | 616.7 | 702.3 | 743.6 | ||
Intangible assets, net | 891.3 | 891.3 | 257.6 | ||||
Other assets | 164.5 | 266.3 | 164.5 | 97.4 | |||
Total assets | $ 4,178.6 | 4,162 | 4,178.6 | 4,162 | 3,065 | ||
Current liabilities | |||||||
Notes payable | 0.3 | 4.9 | 0.3 | 24 | |||
Accounts payable | 529 | 461 | 529 | 611.6 | |||
Deferred revenue | 376.2 | 421 | 376.2 | 453.2 | 322.4 | ||
Payroll and other benefits liabilities | 160.1 | 159.1 | 160.1 | 107.9 | |||
Current liabilities held for sale | 0 | 10.9 | 0 | 6.8 | |||
DIP facility | 0 | ||||||
Other current liabilities | 315.8 | 350.3 | 315.8 | 362.4 | |||
Total current liabilities | 1,421 | 1,407.2 | 1,421 | 1,604.9 | |||
Long-term debt | 1,252.4 | 1,253.7 | 1,252.4 | 2,585.8 | |||
Pensions, post-retirement and other benefits | 112.6 | 102 | 112.6 | 40.6 | |||
Deferred income taxes | 238.5 | 204.9 | 238.5 | 204.9 | 96.6 | ||
Other liabilities | 26.8 | 124.3 | 26.8 | 31.5 | |||
Total liabilities subject to compromise | 0 | ||||||
Total liabilities | 3,082.8 | 3,125.7 | 3,082.8 | 4,436.1 | |||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Common stock, value, issued | 0.4 | 0.4 | 0.4 | 119.8 | |||
Additional paid-in-capital | 1,038.7 | 1,038.6 | 1,038.7 | 831.5 | |||
Retained earnings (accumulated deficit) | 17.1 | 0 | 17.1 | (1,406.7) | |||
Treasury shares, at cost | 0 | 0 | 0 | (585.6) | |||
Accumulated other comprehensive loss | 7.6 | 0 | 7.6 | (360) | |||
Equity warrants | 0 | 0 | 0 | 20.1 | |||
Total Diebold Nixdorf, Incorporated shareholders' equity | 1,063.8 | 1,039 | 1,063.8 | (1,380.9) | |||
Noncontrolling interests | 13.9 | 15.4 | 13.9 | 15.4 | 9.8 | ||
Total equity | 1,079.2 | 1,052.9 | 1,079.2 | (1,371.1) | (837) | $ (831.7) | |
Total liabilities and equity | 4,162 | 4,178.6 | 4,162 | 3,065 | |||
Changes in Cash and Cash Equivalents | |||||||
Net change in cash and cash equivalents | 139.4 | 131 | (70.1) | $ 64.8 | |||
Changes in Other Current Liabilities | |||||||
Debt conversion amount | 1,250 | ||||||
Unamortized debt issuance expense | 1.3 | 1.3 | |||||
Liabilities Subject to Compromise | |||||||
Lease liability | (104.7) | (104.7) | |||||
Total liabilities subject to compromise | 0 | ||||||
Change in Predecessor paid-in-Capital | |||||||
Acceleration of Predecessor equity awards | 2.8 | ||||||
Inventory, Net [Abstract] | |||||||
Raw materials and work in process, net | 226.4 | ||||||
Finished goods, net | 242 | 347.3 | 242 | 229.4 | |||
Service parts | 173.8 | 171.9 | 173.8 | 158.1 | |||
Inventories | 589.8 | 745.6 | 589.8 | 588.1 | |||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 173.3 | 166.5 | 173.3 | 600.1 | |||
Less accumulated depreciation and amortization | (14.3) | 0 | (14.3) | (479.4) | |||
Property, plant and equipment, net | 159 | 166.5 | 159 | 120.7 | |||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 365.1 | ||||||
Less accumulated amortization | (38.9) | 0 | (38.9) | (747.3) | |||
Total intangibles, net | 891.3 | 365.1 | 891.3 | ||||
Other Assets [Abstract] | |||||||
Cloud projects, at cost | 19.9 | ||||||
Less accumulated depreciation and amortization | 0 | ||||||
Cloud projects, net | 19.9 | ||||||
Right-of-use operating lease assets | 98.7 | 102.2 | 98.7 | 108.5 | |||
Right-of-use finance lease assets | 6.9 | 8.7 | 6.9 | 10.3 | |||
Joint ventures | 30.3 | ||||||
Pensions, post-retirement and other benefits | 71.3 | ||||||
Other assets | 33.9 | ||||||
Total other assets | $ 164.5 | $ 266.3 | $ 164.5 | $ 97.4 | |||
Finance lease, right-of-use assets, location | Total other assets | Total other assets | Total other assets | Total other assets | |||
Operating lease liability, current | $ 39.6 | $ 39.6 | $ 39 | ||||
Finance lease, liability, current | 3.7 | 3.7 | 4.1 | ||||
Finance lease, liability, noncurrent | 3.6 | 3.6 | 5.7 | ||||
Long-term operating lease liabilities | 65.1 | 65.1 | 76.7 | ||||
Retained Earnings (Accumulated Deficit) [Abstract] | |||||||
Long-term debt | (1,253.9) | (1,253.9) | (2,557.6) | ||||
First Lien Claims and Second Lien Notes | |||||||
Change in Predecessor paid-in-Capital | |||||||
Change in Predecessor paid-in-capital | 654.3 | 654.3 | |||||
DIP Facility | |||||||
Change in Predecessor paid-in-Capital | |||||||
Change in Predecessor paid-in-capital | 384.3 | 384.3 | |||||
Customer relationships, net | |||||||
Current assets | |||||||
Intangible assets, net | 543 | $ 554.3 | 543 | 213.6 | |||
Other intangible assets, net | |||||||
Current assets | |||||||
Intangible assets, net | 348.3 | 365.1 | 348.3 | 44 | |||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Less accumulated amortization | (26.4) | (26.4) | (298.6) | ||||
Capitalized software development | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 13.8 | ||||||
Development costs non-software | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 32.2 | ||||||
Tradenames and trademarks | |||||||
Current assets | |||||||
Intangible assets, net | 116.2 | 116.2 | 0 | ||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 118.6 | ||||||
Less accumulated amortization | (2.6) | (2.6) | 0 | ||||
Technology know-how | |||||||
Current assets | |||||||
Intangible assets, net | 180.8 | 180.8 | 0 | ||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 160.8 | ||||||
Less accumulated amortization | (12.5) | (12.5) | (48.7) | ||||
Other intangibles | |||||||
Current assets | |||||||
Intangible assets, net | 30.4 | 30.4 | 1.5 | ||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 39.7 | ||||||
Less accumulated amortization | (10.2) | (10.2) | (47.2) | ||||
Products | |||||||
Current assets | |||||||
Inventories | 573.7 | ||||||
Inventory, Net [Abstract] | |||||||
Inventories | 573.7 | ||||||
Land and land improvements | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 21.6 | 21.5 | 21.6 | 10 | |||
Buildings and building improvements | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 48 | 42.3 | 48 | 68.3 | |||
Leasehold improvements | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 6.6 | 6.1 | 6.6 | 17.2 | |||
Computer equipment | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 17.1 | 16.1 | 17.1 | 101.1 | |||
Computer software | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 5.9 | ||||||
Furniture and fixtures | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 18 | 17.3 | 18 | 54.6 | |||
Tooling | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 11.7 | 11.1 | 11.7 | 134.7 | |||
Machinery, tools and equipment | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 32.4 | ||||||
Construction in progress | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 9.4 | $ 13.8 | 9.4 | $ 4.6 | |||
Predecessor | |||||||
Current assets | |||||||
Cash and cash equivalents | 404.9 | ||||||
Restricted cash | 60.8 | ||||||
Short-term investments | 13.9 | ||||||
Trade Receivables | 623.9 | ||||||
Inventories | 712.8 | ||||||
Prepaid expenses | 49.1 | ||||||
Current assets held for sale | 9.9 | ||||||
Other current assets | 247.8 | ||||||
Total current assets | 2,123.1 | ||||||
Securities and other investments | 7 | ||||||
Property, plant and equipment, net | 120.3 | ||||||
Deferred income taxes | 0 | ||||||
Goodwill | 714.3 | ||||||
Other assets | 256.8 | ||||||
Total assets | 3,442.7 | ||||||
Current liabilities | |||||||
Notes payable | 1,254.9 | ||||||
Accounts payable | 461 | ||||||
Deferred revenue | 421 | ||||||
Payroll and other benefits liabilities | 159.2 | ||||||
Current liabilities held for sale | 10.2 | ||||||
DIP facility | 384.4 | ||||||
Other current liabilities | 343.3 | ||||||
Total current liabilities | 3,034 | ||||||
Long-term debt | 4.2 | ||||||
Pensions, post-retirement and other benefits | 102.3 | ||||||
Deferred income taxes | 85.8 | ||||||
Other liabilities | 120.3 | ||||||
Total liabilities subject to compromise | 2,232.4 | ||||||
Total liabilities | 5,579 | ||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Common stock, value, issued | 121.2 | ||||||
Additional paid-in-capital | 832.3 | ||||||
Retained earnings (accumulated deficit) | (2,204.8) | ||||||
Treasury shares, at cost | (586.4) | ||||||
Accumulated other comprehensive loss | (320) | ||||||
Equity warrants | 20.1 | ||||||
Total Diebold Nixdorf, Incorporated shareholders' equity | (2,137.6) | ||||||
Noncontrolling interests | 1.3 | ||||||
Total equity | (2,136.3) | ||||||
Total liabilities and equity | 3,442.7 | ||||||
Liabilities Subject to Compromise | |||||||
Total liabilities subject to compromise | (2,232.4) | ||||||
Inventory, Net [Abstract] | |||||||
Raw materials and work in process, net | 232.7 | ||||||
Finished goods, net | 308.2 | ||||||
Service parts | 171.9 | ||||||
Inventories | 712.8 | ||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 621.1 | ||||||
Less accumulated depreciation and amortization | (500.8) | ||||||
Property, plant and equipment, net | 120.3 | ||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 362.6 | ||||||
Less accumulated amortization | (317.5) | ||||||
Total intangibles, net | 45.1 | ||||||
Other Assets [Abstract] | |||||||
Cloud projects, at cost | 25.6 | ||||||
Less accumulated depreciation and amortization | (5.3) | ||||||
Cloud projects, net | 20.3 | ||||||
Right-of-use operating lease assets | 89.6 | ||||||
Right-of-use finance lease assets | 7.9 | ||||||
Joint ventures | 33.7 | ||||||
Pensions, post-retirement and other benefits | 71.4 | ||||||
Other assets | 33.9 | ||||||
Total other assets | 256.8 | ||||||
Predecessor | Customer relationships, net | |||||||
Current assets | |||||||
Intangible assets, net | 176.1 | ||||||
Predecessor | Other intangible assets, net | |||||||
Current assets | |||||||
Intangible assets, net | 45.1 | ||||||
Predecessor | Capitalized software development | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 260.4 | ||||||
Predecessor | Development costs non-software | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 50.4 | ||||||
Predecessor | Tradenames and trademarks | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 0 | ||||||
Predecessor | Technology know-how | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 0 | ||||||
Predecessor | Other intangibles | |||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Other intangible assets, at cost | 51.8 | ||||||
Predecessor | Products | |||||||
Current assets | |||||||
Inventories | 540.9 | ||||||
Inventory, Net [Abstract] | |||||||
Inventories | 540.9 | ||||||
Predecessor | Land and land improvements | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 10.4 | ||||||
Predecessor | Buildings and building improvements | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 70.5 | ||||||
Predecessor | Leasehold improvements | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 17.4 | ||||||
Predecessor | Computer equipment | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 105.1 | ||||||
Predecessor | Computer software | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 128.7 | ||||||
Predecessor | Furniture and fixtures | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 55.9 | ||||||
Predecessor | Tooling | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 137.5 | ||||||
Predecessor | Machinery, tools and equipment | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 83.4 | ||||||
Predecessor | Construction in progress | |||||||
Property, Plant and Equipment | |||||||
Total property, plant and equipment, at cost | 12.2 | ||||||
Reorganization Adjustments | |||||||
Current assets | |||||||
Cash and cash equivalents | (13.5) | ||||||
Restricted cash | 0 | ||||||
Short-term investments | 0 | ||||||
Trade Receivables | 0 | ||||||
Inventories | 0 | ||||||
Prepaid expenses | (3.5) | ||||||
Current assets held for sale | 0 | ||||||
Other current assets | 0 | ||||||
Total current assets | (17) | ||||||
Securities and other investments | 0 | ||||||
Property, plant and equipment, net | 0 | ||||||
Deferred income taxes | 70.3 | ||||||
Goodwill | 0 | ||||||
Other assets | 0 | ||||||
Total assets | 53.3 | ||||||
Current liabilities | |||||||
Notes payable | (1,250) | ||||||
Accounts payable | 0 | ||||||
Deferred revenue | 0 | ||||||
Payroll and other benefits liabilities | (0.1) | ||||||
Current liabilities held for sale | 0 | ||||||
DIP facility | (384.4) | ||||||
Other current liabilities | 5.5 | ||||||
Total current liabilities | (1,629) | ||||||
Long-term debt | 1,248.7 | ||||||
Pensions, post-retirement and other benefits | 0 | ||||||
Deferred income taxes | (26.4) | ||||||
Other liabilities | 0 | ||||||
Total liabilities subject to compromise | (2,232.4) | ||||||
Total liabilities | (2,639.1) | ||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Common stock, value, issued | (121.2) | ||||||
Additional paid-in-capital | (442.3) | ||||||
Retained earnings (accumulated deficit) | 1,659.4 | ||||||
Treasury shares, at cost | 586.4 | ||||||
Accumulated other comprehensive loss | (8.8) | ||||||
Equity warrants | (20.1) | ||||||
Total Diebold Nixdorf, Incorporated shareholders' equity | 2,692.4 | ||||||
Noncontrolling interests | 0 | ||||||
Total equity | 2,692.4 | ||||||
Total liabilities and equity | 53.3 | ||||||
Changes in Cash and Cash Equivalents | |||||||
Payment of interest on the DIP Facility | (1.8) | ||||||
Payment to holders of the 2024 Stub Unsecured Notes Claims | (3.5) | ||||||
Payment of lease rejection damages | (3.8) | ||||||
Payment of professional fees | (4.4) | ||||||
Net change in cash and cash equivalents | (13.5) | ||||||
Changes in Other Current Liabilities | |||||||
Accrual of professional fees | 6.3 | ||||||
Accrual of German transfer tax | 5 | ||||||
Accrual of deferred financing fees | 1.3 | ||||||
Cancellation of unvested Predecessor stock compensation awards | (0.9) | ||||||
Payment of interest on the DIP Facility | (1.8) | ||||||
Payment of professional fees | (4.4) | ||||||
Net change in other current liabilities | 5.5 | ||||||
Liabilities Subject to Compromise | |||||||
Debt subject to compromise | 2,160.5 | ||||||
Accrued interest on debt subject to compromise | 68.1 | ||||||
Lease liability | 3.8 | ||||||
Total liabilities subject to compromise | 2,232.4 | ||||||
Less: Distribution of common stock to holders of First Lien Claims and Second Lien Notes Claims | (654.6) | ||||||
Less: Payment to holders of the 2024 Stub Unsecured Notes Claims | (3.5) | ||||||
Less: Payment of lease rejection damages | (3.8) | ||||||
Gain on Settlement of Liabilities Subject to Compromise | 1,570.5 | ||||||
Change in Predecessor paid-in-Capital | |||||||
Cancellation of Predecessor common shares at par value | 121.2 | ||||||
Cancellation of Predecessor equity warrants | 20.1 | ||||||
Acceleration of Predecessor equity awards | 2.8 | ||||||
Cancellation of Predecessor treasury stock, at cost | (586.4) | ||||||
Gain on Settlement of Liabilities Subject to Compromise | 1,570.5 | ||||||
Inventory, Net [Abstract] | |||||||
Inventories | 0 | ||||||
Property, Plant and Equipment | |||||||
Property, plant and equipment, net | 0 | ||||||
Other Assets [Abstract] | |||||||
Total other assets | 0 | ||||||
Reorganization Adjustments | Customer relationships, net | |||||||
Current assets | |||||||
Intangible assets, net | 0 | ||||||
Reorganization Adjustments | Other intangible assets, net | |||||||
Current assets | |||||||
Intangible assets, net | 0 | ||||||
Net deferred tax impacts on the effectiveness of the Plans | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | 96.7 | ||||||
Elimination of unvested Predecessor stock compensation awards (liability classified) | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | 0.8 | ||||||
Accrual of professional fees | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | (6.3) | ||||||
Elimination of prepaid directors and officers insurance policies related to the Predecessor | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | (3.5) | ||||||
Acceleration of the vesting of Predecessor equity awards upon the Effective Date | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | (2.6) | ||||||
Elimination of accumulated other comprehensive income related to interest rate swaps | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | 8.8 | ||||||
Accrual of German transfer tax | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Retained earnings (accumulated deficit) | (5) | ||||||
Reorganization, Plan Effect Adjustment, First Lien Claims and Second Lien Notes Claims | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Common stock, value, issued | 0.3 | ||||||
Reorganization, Plan Effect Adjustment, DIP Facility Premiums | |||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Common stock, value, issued | 0.1 | ||||||
Fresh Start Accounting Adjustments | |||||||
Current assets | |||||||
Cash and cash equivalents | 0 | ||||||
Restricted cash | 0 | ||||||
Short-term investments | 0 | ||||||
Trade Receivables | 0 | ||||||
Inventories | 32.8 | ||||||
Prepaid expenses | 0 | ||||||
Current assets held for sale | 0 | ||||||
Other current assets | 0 | ||||||
Total current assets | 32.8 | ||||||
Securities and other investments | 0 | ||||||
Property, plant and equipment, net | 46.2 | ||||||
Deferred income taxes | (10.8) | ||||||
Goodwill | (93.3) | ||||||
Other assets | 9.5 | ||||||
Total assets | 682.6 | ||||||
Current liabilities | |||||||
Notes payable | 0 | ||||||
Accounts payable | 0 | ||||||
Deferred revenue | 0 | ||||||
Payroll and other benefits liabilities | 0 | ||||||
Current liabilities held for sale | 0.7 | ||||||
DIP facility | 0 | ||||||
Other current liabilities | 1.5 | ||||||
Total current liabilities | 2.2 | ||||||
Long-term debt | 0.8 | ||||||
Pensions, post-retirement and other benefits | (0.3) | ||||||
Deferred income taxes | 179.1 | ||||||
Other liabilities | 4 | ||||||
Total liabilities subject to compromise | 0 | ||||||
Total liabilities | 185.8 | ||||||
Diebold Nixdorf, Incorporated shareholders' equity | |||||||
Additional paid-in-capital | (390) | ||||||
Retained earnings (accumulated deficit) | 545.4 | ||||||
Treasury shares, at cost | 0 | ||||||
Accumulated other comprehensive loss | 328.8 | ||||||
Equity warrants | 0 | ||||||
Total Diebold Nixdorf, Incorporated shareholders' equity | 484.2 | ||||||
Noncontrolling interests | 12.6 | ||||||
Total equity | 496.8 | ||||||
Total liabilities and equity | 682.6 | ||||||
Liabilities Subject to Compromise | |||||||
Total liabilities subject to compromise | 0 | ||||||
Inventory, Net [Abstract] | |||||||
Inventories | 32.8 | ||||||
Property, Plant and Equipment | |||||||
Property, plant and equipment, net | 46.2 | ||||||
Finite-Lived Intangible Assets, Net [Abstract] | |||||||
Total intangibles, net | 378.2 | ||||||
Other Assets [Abstract] | |||||||
Total other assets | 9.5 | ||||||
Operating lease liability, current | 0.8 | 0.8 | |||||
Finance lease, liability, current | 0.7 | 0.7 | |||||
Finance lease, liability, noncurrent | 0.8 | 0.8 | |||||
Long-term operating lease liabilities | $ 6.2 | 6.2 | |||||
Fair value change in other liabilities | $ 2.2 | ||||||
Retained Earnings (Accumulated Deficit) [Abstract] | |||||||
Other intangible assets | 320 | ||||||
Other assets fair value adjustments | 9.5 | ||||||
Long-term debt | (0.8) | ||||||
Fresh start valuation gain | 686.7 | ||||||
Deferred income taxes | (189.9) | ||||||
Fresh Start Accounting Adjustments | Customer relationships, net | |||||||
Current assets | |||||||
Intangible assets, net | 378.2 | ||||||
Fresh Start Accounting Adjustments | Other intangible assets, net | |||||||
Current assets | |||||||
Intangible assets, net | $ 320 |
EARNINGS (LOSS) PER SHARE (Deta
EARNINGS (LOSS) PER SHARE (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income (loss) used in basic and diluted loss per share | ||||
Net income (loss) | $ 19.1 | $ 1,357.5 | $ (585.6) | $ (78.1) |
Net income (loss) income attributable to noncontrolling interests | 1.3 | (0.8) | (4.2) | 0.7 |
Net income (loss) attributable to Diebold Nixdorf, Incorporated | $ 17.8 | $ 1,358.3 | $ (581.4) | $ (78.8) |
Denominator | ||||
Weighted-average number of shares of common stock used in basic earnings (loss) per share (in shares) | 37.6 | 79.7 | 79 | 78.3 |
Effect of dilutive shares (in shares) | 0 | 1.7 | 0 | 0 |
Weighted-average number of shares used in diluted earnings (loss) per share (in shares) | 37.6 | 81.4 | 79 | 78.3 |
Net income (loss) per share attributable to Diebold Nixdorf, Incorporated | ||||
Basic and diluted income (loss) per share (in dollars per share) | $ 0.47 | $ 17.04 | $ (7.36) | $ (1.01) |
Diluted earnings income (loss) per share (in dollars per share) | $ 0.47 | $ 16.69 | $ (7.36) | $ (1.01) |
Anti-dilutive shares | ||||
Anti-dilutive shares not used in calculating diluted weighted-average shares (in shares) | 0 | 2.1 | 4.2 | 3.9 |
Incremental shares, excluded from dilutive calculation, due to resulting in operating loss (in shares) | 1.5 | 1.2 |
SHARE-BASED COMPENSATION AND _3
SHARE-BASED COMPENSATION AND EQUITY - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Shares authorized (in shares) | 2,400,000 | 2,400,000 | |||
Shares available for grant (in shares) | 1,500,000 | 1,500,000 | |||
Exercise price (in dollars per share) | $ 30 | $ 30 | |||
Stock options granted (in dollars per share) | $ 4.73 | ||||
Cash based liability awards expense | $ 1.8 | $ 3.8 | $ (4.7) | $ 7.1 | |
Stock options | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Expiration period | 5 years | ||||
Restricted Stock Units | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Number of common shares issued (in shares) | 1 | ||||
RSU's granted | $ 29 | $ 6.57 | $ 13.71 | ||
Total fair value of awards vested | $ 8.2 | $ 11 | $ 10.3 | ||
Restricted Stock Units | Share-Based Payment Arrangement, Tranche One | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 1 year | ||||
Performance shares | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 4 years | 4 years | |||
Number of common shares issued (in shares) | 1 | ||||
RSU's granted | $ 0 | $ 0 | $ 7.28 | $ 13.73 | |
Total fair value of awards vested | $ 2 | ||||
Liability awards | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 3 years | ||||
Minimum | Stock options | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 1 year | ||||
Minimum | Restricted Stock Units | Share-Based Payment Arrangement, Tranche Two | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 3 years | ||||
Maximum | Stock options | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 4 years | ||||
Maximum | Restricted Stock Units | Share-Based Payment Arrangement, Tranche Two | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Award vesting period | 4 years |
SHARE-BASED COMPENSATION AND _4
SHARE-BASED COMPENSATION AND EQUITY - Share-based Compensation Expense (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Pre-tax compensation expense | $ 0.1 | $ 2.4 | $ 13.4 | $ 13.8 |
Acceleration of Predecessor awards | 0 | 2.7 | 0 | 0 |
Tax benefit | 0 | (1.2) | (1.6) | (3.6) |
Total share-based compensation, net of tax | 0.1 | 3.9 | 11.8 | 10.2 |
Stock options | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Pre-tax compensation expense | 0.1 | 0 | 0.3 | 1.5 |
Tax benefit | 0 | 0 | 0 | (0.4) |
Total share-based compensation, net of tax | 0.1 | 0 | 0.3 | 1.1 |
RSU's | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Pre-tax compensation expense | 0 | 2.3 | 13.6 | 8.7 |
Acceleration of Predecessor awards | 0 | 2.7 | 0 | 0 |
Tax benefit | 0 | (1.2) | (1.6) | (2.2) |
Total share-based compensation, net of tax | 0 | 3.8 | 12 | 6.5 |
Performance shares | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Pre-tax compensation expense | 0 | 0.1 | (0.5) | 3.6 |
Tax benefit | 0 | 0 | 0 | (1) |
Total share-based compensation, net of tax | $ 0 | $ 0.1 | $ (0.5) | $ 2.6 |
SHARE-BASED COMPENSATION AND _5
SHARE-BASED COMPENSATION AND EQUITY - Unrecognized Compensation Costs (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Unrecognized Cost | $ 16.5 |
Stock options | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Unrecognized Cost | $ 8.4 |
Weighted-Average Period | 2 years 2 months 12 days |
Restricted Stock Units | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Unrecognized Cost | $ 8.1 |
Weighted-Average Period | 2 years 2 months 12 days |
SHARE-BASED COMPENSATION AND _6
SHARE-BASED COMPENSATION AND EQUITY - Fair Value Assumptions (Details) | 5 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Expected life (in years) | 3 years 9 months |
Weighted-average volatility | 65% |
Risk-free interest rate | 3.94% |
Expected dividend yield | 0% |
SHARE-BASED COMPENSATION AND _7
SHARE-BASED COMPENSATION AND EQUITY - Stock Option Activity (Details) $ / shares in Units, shares in Millions, $ in Millions | 5 Months Ended | 12 Months Ended |
Dec. 31, 2023 USD ($) $ / shares shares | Dec. 31, 2023 USD ($) $ / shares shares | |
Number of Shares | ||
Beginning balance (in shares) | shares | 0 | 1.5 |
Expired or forfeited (in shares) | shares | (0.2) | |
Eliminations (in shares) | shares | (1.3) | |
Granted (in shares) | shares | 0.6 | |
Ending balance (in shares) | shares | 0.6 | 0.6 |
Options exercisable (in shares) | shares | 0 | 0 |
Weighted-Average Exercise Price | ||
Beginning balance (in dollars per share) | $ / shares | $ 0 | $ 16.81 |
Expired (in dollars per share) | $ / shares | 3.71 | |
Eliminations (in dollars per share) | $ / shares | 3.68 | |
Granted (in dollars per share) | $ / shares | 30 | 30 |
Ending balance (in dollars per share) | $ / shares | 30 | 30 |
Options exercisable (in dollars per share) | $ / shares | $ 0 | $ 0 |
Weighted-Average Remaining Contractual Term | ||
Outstanding | 5 years | |
Aggregate Intrinsic Value | ||
Outstanding | $ | $ 0 | $ 0 |
Options exercisable | $ | $ 0 | $ 0 |
SHARE-BASED COMPENSATION AND _8
SHARE-BASED COMPENSATION AND EQUITY - Restricted Stock Unit Activity (Details) - Restricted Stock Units - $ / shares shares in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Number of Shares | ||||
Beginning balance (in shares) | 0 | 2.2 | ||
Forfeited (in shares) | (0.2) | |||
Vested (in shares) | (1.1) | |||
Elimination of Predecessor awards (in shares) | (0.9) | |||
Granted (in shares) | 0.3 | |||
Ending balance (in shares) | 0.3 | 0 | 2.2 | |
Weighted-Average Grant-Date Fair Value | ||||
Beginning balance (in dollars per share) | $ 0 | $ 7.53 | ||
Forfeited (in dollars per share) | 7.96 | |||
Vested (in dollars per share) | 7.30 | |||
Elimination of Predecessor awards (in dollars per share) | 7.73 | |||
Granted (in dollars per share) | 29 | $ 6.57 | $ 13.71 | |
Ending balance (in dollars per share) | $ 29 | $ 0 | $ 7.53 |
SHARE-BASED COMPENSATION AND _9
SHARE-BASED COMPENSATION AND EQUITY - Performance Shares Activity (Details) - Performance shares - $ / shares shares in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Number of Shares | ||||
Beginning balance (in shares) | 0 | 1.4 | ||
Forfeited (in shares) | (0.3) | |||
Vested (in shares) | 0 | |||
Granted (in shares) | 0 | 0 | ||
Elimination of Predecessor awards (in shares) | (1.1) | |||
Ending balance (in shares) | 0 | 0 | 1.4 | |
Weighted-Average Grant-Date Fair Value | ||||
Beginning balance (in dollars per share) | $ 0 | $ 0.30 | ||
Forfeited (in dollars per share) | 0.35 | |||
Vested (in dollars per share) | 0 | |||
Granted (in dollars per share) | 0 | 0 | $ 7.28 | $ 13.73 |
Elimination of Predecessor awards (in dollars per share) | 0.32 | |||
Ending balance (in dollars per share) | $ 0 | $ 0 | $ 0.30 |
INCOME TAXES - Loss From Operat
INCOME TAXES - Loss From Operations Before Taxes (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Domestic | $ (62.7) | $ 792.7 | $ (413.2) | $ (168.3) |
Foreign | 62.6 | 655.7 | (25.4) | 117.6 |
(Loss) income before taxes | $ (0.1) | $ 1,448.4 | $ (438.6) | $ (50.7) |
INCOME TAXES - Income Tax Expen
INCOME TAXES - Income Tax Expense (Benefit) (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current | ||||
U.S. federal | $ (1.5) | $ (3.7) | $ 8.5 | $ 3.5 |
Foreign | 33 | 14.4 | 43.3 | 38.2 |
State and local | (0.4) | 0 | 4 | (1.2) |
Total current | 31.1 | 10.7 | 55.8 | 40.5 |
Deferred | ||||
U.S. federal | (27.1) | 29.5 | 62.5 | (1.7) |
Foreign | (11.7) | 42 | 22.4 | (11.4) |
State and local | (7) | 8.2 | 8.5 | 0.3 |
Total deferred | (45.8) | 79.7 | 93.4 | (12.8) |
Income tax expense (benefit) | $ (14.7) | $ 90.4 | $ 149.2 | $ 27.7 |
INCOME TAXES - Income Tax Recon
INCOME TAXES - Income Tax Reconciliation (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||||
Federal statutory income tax rate | 21% | ||||
Statutory tax benefit | $ 0 | $ 304.2 | $ (92.1) | $ (10.6) | |
State and local taxes (net of federal tax benefit) | (5.1) | 8.4 | (17.6) | (0.6) | |
Brazil non-taxable incentive | (3.3) | (0.6) | (4.6) | (4.3) | |
Valuation allowances | 0.2 | (193.1) | 209.8 | 33.8 | |
Goodwill impairment | 0 | 0 | 9.3 | 0 | |
Foreign tax rate differential | 1.5 | 47.3 | (4.6) | 2.2 | |
Tax on unremitted foreign earnings | 1.5 | 6.8 | 4.2 | 0.7 | |
Change to uncertain tax positions | 0 | (1.8) | 1.8 | (9.2) | |
U.S. taxed foreign income | (9.2) | 23.6 | 17.1 | 6.9 | |
Non-deductible (non-taxable) items | 16.2 | 65.8 | 15.5 | 0.7 | |
Reorganization/Fresh Start reporting | (21.5) | (170.9) | 0 | 0 | |
Prior year deferred true up | 1 | (6.1) | 0 | 0 | |
Return to provision | (1.2) | 8.4 | 3.3 | (0.8) | |
Withholding tax and other taxes | 5.1 | 0.6 | 5.4 | 8.7 | |
Other | 0.1 | (2.2) | 1.7 | 0.2 | |
Income tax expense (benefit) | $ (14.7) | $ 90.4 | $ 149.2 | $ 27.7 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosures [Line Items] | ||||||
Effective income tax rate reconciliation, percent | 14,700% | 6.20% | 34% | 54.60% | ||
Unrecognized tax benefits | $ 52.6 | $ 52.7 | $ 52.6 | $ 52.1 | $ 55.1 | $ 36.8 |
Income tax penalties and interest accrued | 1.4 | 1.4 | 1.3 | |||
Operating loss carryforwards | 483.3 | 483.3 | ||||
NOL deferred tax asset | 129.1 | 129.1 | ||||
Operating loss carryforwards, set to expire | 133.9 | 133.9 | ||||
Operating loss carryforwards, no expiration | 349.4 | 349.4 | ||||
Increase (decrease), change in amount | (234.7) | 206.5 | ||||
Income tax expense (benefit) | (14.7) | $ 90.4 | $ 149.2 | $ 27.7 | ||
Deferred tax liability not recognized, amount of unrecognized deferred tax liability | 532.3 | 532.3 | ||||
U.S. Foreign And State Authority | ||||||
Income Tax Disclosures [Line Items] | ||||||
Income tax expense (benefit) | 245.3 | |||||
Income tax effects allocated directly to equity | (10.6) | |||||
Unrecognized Tax Benefit Impact on ETR | ||||||
Income Tax Disclosures [Line Items] | ||||||
Unrecognized tax benefits | 12.6 | 12.6 | ||||
Unrecognized Tax Benefit PY Offset by VA | ||||||
Income Tax Disclosures [Line Items] | ||||||
Unrecognized tax benefits | $ 40 | $ 40 |
INCOME TAXES - Unrecognized Tax
INCOME TAXES - Unrecognized Tax Benefits (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||||
Balance at beginning of the period | $ 52.7 | $ 52.1 | $ 55.1 | $ 36.8 |
Increases related to prior year tax positions, net | 0 | 0.6 | 42.1 | |
Decreases related to prior year tax positions, net | (1.7) | |||
Increases related to current year tax positions | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | (0.7) | (23.3) |
Reductions due to lapse of applicable statute of limitations | (0.1) | 0 | (0.6) | (0.5) |
Balance the end of the period | $ 52.6 | $ 52.7 | $ 52.1 | $ 55.1 |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax assets | ||
Accrued expenses | $ 96.8 | $ 51.9 |
Warranty accrual | 7.5 | 12.3 |
Deferred compensation | 0 | 3 |
Allowances for doubtful accounts | 2 | 5 |
Inventories | 22.6 | 18.5 |
Deferred revenue | 31.3 | 28.1 |
Pensions, post-retirement and other benefits | 50.7 | 48.6 |
Deferred finance charges | 0 | 108.3 |
Tax credits | 7.3 | 0 |
Net operating loss carryforwards | 127.9 | 179.4 |
Capital loss carryforwards | 1.2 | 1.3 |
State deferred taxes | 6.3 | 28 |
Lease liability | 21.8 | 28.9 |
Other | 28.5 | 22.8 |
Deferred tax assets, gross | 403.9 | 536.1 |
Valuation allowances | (233.6) | (468.3) |
Net deferred tax assets | 170.3 | 67.8 |
Deferred tax liabilities | ||
Property, plant and equipment, net | 33.5 | 10.3 |
Goodwill and intangible assets | 203.9 | 88.2 |
Undistributed earnings | 43.4 | 34.4 |
Right-of-use assets | 22.7 | 31.5 |
Other | 0.3 | 0 |
Net deferred tax liabilities | 303.8 | 164.4 |
Net deferred tax (liability) asset | $ (133.5) | $ (96.6) |
INCOME TAXES - Deferred Taxes B
INCOME TAXES - Deferred Taxes By Balance Sheet Account (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Aug. 11, 2023 | Dec. 31, 2022 |
Income Tax Disclosure [Abstract] | ||||
Deferred income taxes - assets | $ 71.4 | $ 59.5 | $ 0 | |
Deferred income taxes - liabilities | (204.9) | $ (238.5) | $ (238.5) | (96.6) |
Net deferred tax (liability) asset | $ (133.5) | $ (96.6) |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 |
Inventory [Line Items] | |||
Raw materials and work in process | $ 174 | $ 200.6 | |
Finished goods | 242 | $ 347.3 | 229.4 |
Service parts | 173.8 | 171.9 | 158.1 |
Total inventories | 589.8 | $ 745.6 | 588.1 |
Products | |||
Inventory [Line Items] | |||
Total inventories | $ 416 | $ 430 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | |
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 173.3 | $ 166.5 | $ 600.1 |
Less accumulated depreciation and amortization | 14.3 | 0 | 479.4 |
Total property plant and equipment, net | 159 | 166.5 | 120.7 |
Depreciation | $ 16.2 | 18.3 | 29.8 |
Land and land improvements | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 15 years | ||
Total property plant and equipment, at cost | $ 21.6 | 21.5 | 10 |
Buildings and building improvements | |||
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 48 | 42.3 | 68.3 |
Buildings and building improvements | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 15 years | ||
Buildings and building improvements | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 30 years | ||
Machinery, tools and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 34.8 | 81.8 | |
Machinery, tools and equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 3 years | ||
Machinery, tools and equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 12 years | ||
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 10 years | ||
Total property plant and equipment, at cost | $ 6.6 | 6.1 | 17.2 |
Computer equipment | |||
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 17.1 | 16.1 | 101.1 |
Computer equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 3 years | ||
Computer equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 5 years | ||
Computer software | |||
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 6.1 | 127.8 | |
Computer software | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 5 years | ||
Computer software | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 10 years | ||
Furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 18 | 17.3 | 54.6 |
Furniture and fixtures | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 5 years | ||
Furniture and fixtures | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 8 years | ||
Tooling | |||
Property, Plant and Equipment [Line Items] | |||
Estimated Useful Life (years) | 5 years | ||
Total property plant and equipment, at cost | $ 11.7 | 11.1 | 134.7 |
Construction in progress | |||
Property, Plant and Equipment [Line Items] | |||
Total property plant and equipment, at cost | $ 9.4 | $ 13.8 | $ 4.6 |
INVESTMENTS - Schedule of Inves
INVESTMENTS - Schedule of Investment (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Assets held in rabbi trusts | ||
Long-term investments | ||
Cost Basis | $ 2.3 | $ 4.3 |
Unrealized Gain | 0.6 | 0.1 |
Fair Value | 2.9 | 4.4 |
Certificates of deposit | ||
Short-term investments | ||
Cost Basis | 13.4 | 24.6 |
Long-term investments | ||
Unrealized Gain | 0 | 0 |
Certificates of deposit | Short-term investments | Level 1 | Fair Value, Measurements, Recurring | ||
Long-term investments | ||
Fair Value | $ 13.4 | $ 24.6 |
INVESTMENTS - Narrative (Detail
INVESTMENTS - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Related Party Transaction [Line Items] | ||||
Cash surrender value of insurance contracts | $ 3.6 | $ 3.2 | ||
Trade receivables | 721.8 | $ 623.9 | 612.2 | $ 595.2 |
Accounts payable | 529 | $ 461 | $ 611.6 | |
Related party | ||||
Related Party Transaction [Line Items] | ||||
Trade receivables | 13 | |||
Accounts payable | $ 24.2 | |||
Inspur JV | ||||
Related Party Transaction [Line Items] | ||||
Equity method investment, ownership percentage | 48.10% | |||
Aisino JV | ||||
Related Party Transaction [Line Items] | ||||
Equity method investment, ownership percentage | 49% |
GOODWILL AND INTANGIBLE ASSET_2
GOODWILL AND INTANGIBLE ASSETS - Narrative (Details) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |||
Oct. 01, 2023 reporting_unit | Aug. 11, 2023 reporting_unit | Dec. 31, 2023 USD ($) | Aug. 12, 2023 USD ($) reporting_unit | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Goodwill [Line Items] | ||||||
Number of reporting units | reporting_unit | 2 | 2 | 4 | |||
Amortization | $ | $ 42.8 | $ 59 | $ 96.2 | $ 102.7 | ||
Minimum | Capitalized software development | ||||||
Goodwill [Line Items] | ||||||
Estimated useful lives | 3 years | |||||
Maximum | Capitalized software development | ||||||
Goodwill [Line Items] | ||||||
Estimated useful lives | 5 years | |||||
Global Banking | ||||||
Goodwill [Line Items] | ||||||
Fair value in excess of carrying value, percentage | 43% | |||||
Global Retail | ||||||
Goodwill [Line Items] | ||||||
Fair value in excess of carrying value, percentage | 34% |
GOODWILL AND INTANGIBLE ASSET_3
GOODWILL AND INTANGIBLE ASSETS - Schedule of Goodwill (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill [Line Items] | ||||
Goodwill | $ 621 | $ 1,173.2 | $ 1,214.5 | |
Accumulated impairment reassignment | 0 | |||
Accumulated impairment losses | 0 | (470.9) | (470.9) | |
Goodwill [Roll Forward] | ||||
Beginning balance | $ 621 | 702.3 | 743.6 | |
Currency translation adjustment | (0.1) | 12 | (41.3) | |
Goodwill reassignment | 0 | |||
Fresh Start adjustment goodwill | (564.2) | |||
Fresh Start adjustment accumulated impairment losses | 470.9 | |||
Divestitures | (4.2) | |||
Ending balance | 616.7 | 621 | 702.3 | |
Eurasia Banking | ||||
Goodwill [Line Items] | ||||
Goodwill | 0 | 0 | 561.4 | |
Accumulated impairment reassignment | 291.7 | |||
Accumulated impairment losses | 0 | 0 | (291.7) | |
Goodwill [Roll Forward] | ||||
Beginning balance | 0 | 0 | 269.7 | |
Currency translation adjustment | 0 | 0 | (6.3) | |
Goodwill reassignment | (555.1) | |||
Fresh Start adjustment goodwill | 0 | |||
Fresh Start adjustment accumulated impairment losses | 0 | |||
Divestitures | 0 | |||
Ending balance | 0 | 0 | 0 | |
Americas Banking | ||||
Goodwill [Line Items] | ||||
Goodwill | 0 | 0 | 440.1 | |
Accumulated impairment reassignment | 122 | |||
Accumulated impairment losses | 0 | 0 | (122) | |
Goodwill [Roll Forward] | ||||
Beginning balance | 0 | 0 | 318.1 | |
Currency translation adjustment | 0 | 0 | (1) | |
Goodwill reassignment | (439.1) | |||
Fresh Start adjustment goodwill | 0 | |||
Fresh Start adjustment accumulated impairment losses | 0 | |||
Divestitures | 0 | |||
Ending balance | 0 | 0 | 0 | |
Banking | ||||
Goodwill [Line Items] | ||||
Goodwill | 471.4 | 903.6 | 0 | |
Accumulated impairment reassignment | (413.7) | |||
Accumulated impairment losses | 0 | (413.7) | 0 | |
Goodwill [Roll Forward] | ||||
Beginning balance | 471.4 | 489.9 | 0 | |
Currency translation adjustment | 0 | 8.5 | (18.6) | |
Goodwill reassignment | 922.2 | |||
Fresh Start adjustment goodwill | (440.7) | |||
Fresh Start adjustment accumulated impairment losses | 413.7 | |||
Divestitures | 0 | |||
Ending balance | 471.4 | 471.4 | 489.9 | |
Retail | ||||
Goodwill [Line Items] | ||||
Goodwill | 149.6 | 269.6 | 213 | |
Accumulated impairment reassignment | 0 | |||
Accumulated impairment losses | 0 | (57.2) | $ (57.2) | |
Goodwill [Roll Forward] | ||||
Beginning balance | 149.6 | 212.4 | 155.8 | |
Currency translation adjustment | (0.1) | 3.5 | (15.4) | |
Goodwill reassignment | 72 | |||
Fresh Start adjustment goodwill | (123.5) | |||
Fresh Start adjustment accumulated impairment losses | 57.2 | |||
Divestitures | (4.2) | |||
Ending balance | $ 145.3 | $ 149.6 | $ 212.4 |
GOODWILL AND INTANGIBLE ASSET_4
GOODWILL AND INTANGIBLE ASSETS - Schedule of Intangible Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 930.2 | $ 1,004.9 | |
Accumulated Amortization | (38.9) | $ 0 | (747.3) |
Net Carrying Amount | $ 891.3 | 257.6 | |
Customer relationships, net | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average remaining useful lives | 17 years 1 month 6 days | ||
Gross Carrying Amount | $ 555.5 | 662.3 | |
Accumulated Amortization | (12.5) | (448.7) | |
Net Carrying Amount | 543 | 213.6 | |
Other intangible assets, net | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 374.7 | 342.6 | |
Accumulated Amortization | (26.4) | (298.6) | |
Net Carrying Amount | $ 348.3 | $ 365.1 | 44 |
Tradenames and trademarks | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average remaining useful lives | 18 years | ||
Gross Carrying Amount | $ 118.8 | 0 | |
Accumulated Amortization | (2.6) | 0 | |
Net Carrying Amount | $ 116.2 | 0 | |
Capitalized software development | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average remaining useful lives | 8 years 1 month 6 days | ||
Gross Carrying Amount | $ 22 | 245.2 | |
Accumulated Amortization | (1.1) | (202.7) | |
Net Carrying Amount | $ 20.9 | 42.5 | |
Technology know-how and development costs non-software | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average remaining useful lives | 6 years | ||
Gross Carrying Amount | $ 193.3 | 48.7 | |
Accumulated Amortization | (12.5) | (48.7) | |
Net Carrying Amount | $ 180.8 | 0 | |
Other | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average remaining useful lives | 1 year 6 months | ||
Gross Carrying Amount | $ 40.6 | 48.7 | |
Accumulated Amortization | (10.2) | (47.2) | |
Net Carrying Amount | $ 30.4 | $ 1.5 |
GOODWILL AND INTANGIBLE ASSET_5
GOODWILL AND INTANGIBLE ASSETS - Schedule of Capitalized Software Development (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Movement in Capitalized Computer Software, Net [Roll Forward] | ||||
Beginning balance | $ 13.8 | $ 42.5 | $ 43.2 | $ 38 |
Capitalization | 9.8 | 13.1 | 28.7 | 31.1 |
Amortization | (1.8) | (12.4) | (14.1) | (23.3) |
Impairment | 0 | 0 | (9.8) | 0 |
Other | (0.9) | (6.1) | (5.5) | (2.6) |
Fresh Start Accounting Adjustments | 0 | (23.3) | 0 | 0 |
Ending balance | $ 20.9 | $ 13.8 | $ 42.5 | $ 43.2 |
GOODWILL AND INTANGIBLE ASSET_6
GOODWILL AND INTANGIBLE ASSETS - Schedule of Amortization Expense (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2024 | $ 100.3 | |
2025 | 76.8 | |
2026 | 73.8 | |
2027 | 73.8 | |
2028 | 73.8 | |
Thereafter | 492.8 | |
Finite-lived intangible assets, net | $ 891.3 | $ 365.1 |
PRODUCT WARRANTIES (Details)
PRODUCT WARRANTIES (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | |
Movement in Standard and Extended Product Warranty Accrual, Increase (Decrease) [Roll Forward] | |||
Beginning balance | $ 26.6 | $ 28.3 | $ 36.3 |
Accruals | 16.3 | 18.8 | 19.5 |
Settlements | (14.6) | (21.9) | (26.4) |
Currency translation | (0.3) | 1.4 | (1.1) |
Ending balance | $ 28 | $ 26.6 | $ 28.3 |
RESTRUCTURING - Narrative (Deta
RESTRUCTURING - Narrative (Details) $ in Millions | Dec. 31, 2021 USD ($) |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and transformation charges, cumulative | $ 218.9 |
Severance | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and transformation charges, cumulative | $ 200.2 |
RESTRUCTURING - Schedule of Res
RESTRUCTURING - Schedule of Restructuring and Related Costs (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||||
Total | $ 22.6 | $ 38.9 | $ 124.2 | $ 28.2 |
Cost of sales | Services | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | (1.4) | 5.3 | 7.7 | 13 |
Cost of sales | Products | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | (1.5) | 0.8 | 13.1 | 2.4 |
Selling and administrative expense | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | 25.4 | 29.4 | 94.4 | 13.1 |
Research, development and engineering expense | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | 0.1 | 1.5 | 9 | (0.3) |
Loss on sale of assets, net | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | $ 0 | $ 1.9 | $ 0 | $ 0 |
RESTRUCTURING - Schedule of R_2
RESTRUCTURING - Schedule of Restructuring Accrual Balances and Related Activity (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Reserve [Roll Forward] | ||||
Balance at beginning of period | $ 14.4 | $ 44.2 | $ 35.3 | $ 62.9 |
Liabilities incurred | 5.3 | 6.8 | 62.5 | 15.4 |
Liabilities paid/settled | (9.4) | (37) | (53.6) | (43) |
Other | 0.4 | |||
Balance at end of period | $ 10.3 | $ 14.4 | $ 44.2 | $ 35.3 |
DEBT - Schedule of Outstanding
DEBT - Schedule of Outstanding Debt Balances (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 |
Notes payable – current | |||
2023 Term Loan B Facility - USD and EUR | $ 0.3 | $ 27 | |
Other | 0.3 | 1.7 | |
Short-term deferred financing fees | 0 | (3) | |
Notes payable | 0.3 | $ 4.9 | 24 |
Long-term debt | |||
Other | 3.6 | 6.3 | |
Long-term debt excluding debt issuance costs | 1,253.6 | 2,724.8 | |
Long-term deferred financing fees | (1.2) | (139) | |
Long-term debt | 1,252.4 | $ 1,253.7 | 2,585.8 |
2024 Senior Notes | |||
Long-term debt | |||
Long-term debt | 0 | 72.1 | |
2025 Senior Secured Notes - USD | |||
Long-term debt | |||
Long-term debt | 0 | 2.7 | |
2025 Senior Secured Notes - EUR | |||
Long-term debt | |||
Long-term debt | 0 | 4.7 | |
2026 Asset Backed Loan (ABL) | |||
Long-term debt | |||
2026 Asset Backed Loan (ABL) | 0 | 182 | |
2025 Extended Term Loan B Facility - USD | |||
Long-term debt | |||
Long-term debt | 0 | 529.5 | |
2025 Extended Term Loan B Facility - EUR | |||
Long-term debt | |||
Long-term debt | 0 | 95.5 | |
2026 2L Notes | |||
Long-term debt | |||
Long-term debt | 0 | 333.6 | |
2025 Exchanged Senior Secured Notes - USD | |||
Long-term debt | |||
Long-term debt | 0 | 718.1 | |
2025 Exchanged Senior Secured Notes - EUR | |||
Long-term debt | |||
2025 Exchanged Senior Secured Notes - EUR | 0 | 379.7 | |
2025 Superpriority Term Loans | |||
Long-term debt | |||
Long-term debt | 0 | 400.6 | |
Exit Facility | |||
Long-term debt | |||
Exit Facility | 1,250 | 0 | |
Lines of credit | |||
Notes payable – current | |||
Lines of credit | 0 | 0.9 | |
2023 Term Loan B Facility - USD | |||
Notes payable – current | |||
2023 Term Loan B Facility - USD and EUR | 0 | 12.9 | |
2023 Term Loan B Facility - Euro | |||
Notes payable – current | |||
2023 Term Loan B Facility - USD and EUR | 0 | 5.1 | |
2025 Extended Term Loan B Facility - USD | |||
Notes payable – current | |||
2025 Extended Term Loan B Facility - USD and EUR | 0 | 5.3 | |
2025 Extended Term Loan B Facility - EUR | |||
Notes payable – current | |||
2025 Extended Term Loan B Facility - USD and EUR | $ 0 | $ 1.1 |
DEBT - DIP Facility and Exit Cr
DEBT - DIP Facility and Exit Credit Agreement (Details) - USD ($) | 5 Months Ended | 7 Months Ended | 12 Months Ended | |||||
Aug. 11, 2023 | Jun. 05, 2023 | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | May 30, 2023 | Dec. 29, 2022 | |
Line of Credit Facility [Line Items] | ||||||||
Repayments of lines of credit | $ 0 | $ 188,300,000 | $ 0 | $ 0 | ||||
Debt prepayment costs | 0 | 0 | $ 0 | $ 0 | ||||
Enterprise value | $ 2,150,000,000 | |||||||
DIP premium (non-cash) | 0 | 384,400,000 | ||||||
DIP premiums converted to equity | $ 0 | (124,600,000) | ||||||
DIP facility | 0 | |||||||
Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Enterprise value | 2,150,000,000 | |||||||
Maximum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Enterprise value | 2,450,000,000 | |||||||
DIP Facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debtor-in-possession financing, premium | 10% | |||||||
Debtor-in-possession financing, upfront premium | 7% | |||||||
Debtor-in-possession financing, additional premium | 7% | |||||||
DIP Facility | Minimum | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Enterprise value | 2,150,000,000 | |||||||
DIP Facility | Line of Credit | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
DIP premium (non-cash) | 32,600,000 | |||||||
DIP premiums converted to equity | $ (384,400,000) | |||||||
DIP Facility Term B 1 Tranche | Line of Credit | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Credit agreement | $ 760,000,000 | |||||||
DIP Facility Term B 2 Tranche | Line of Credit | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Credit agreement | 490,000,000 | |||||||
Debtor In Possession Term Loan Facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Debtor-in-possession financing, backstop premium | 13.50% | |||||||
Superpriority Facility | Line of Credit | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Repayments of lines of credit | 492,300,000 | |||||||
Repayments of lines of credit, principal and interest | 401,300,000 | |||||||
Repayments of lines of credit, make-whole amount | 71,000,000 | |||||||
Debt prepayment costs | 20,000,000 | |||||||
Superpriority Facility | Line of Credit | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of credit facility, maximum borrowing capacity | $ 400,000,000 | |||||||
ABL Facility | Line of Credit | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Repayments of lines of credit | 241,000,000 | |||||||
Repayments of lines of credit, principal and interest | 211,200,000 | |||||||
ABL Facility | Line of Credit | Letter of credit | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Repayments of lines of credit | $ 29,800,000 | |||||||
Exit Credit Agreement | Secured Debt | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of credit facility, maximum borrowing capacity | 1,250,000,000 | |||||||
DIP facility | 1,250,000,000 | |||||||
Amount deemed drawn | $ 1,250,000,000 | |||||||
Exit Credit Agreement | Secured Debt | Revolving credit facility | Secured Overnight Financing Rate (SOFR) | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread rate | 7.50% | |||||||
Exit Credit Agreement | Secured Debt | Revolving credit facility | Base rate | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Basis spread rate | 6.50% | |||||||
Exit Credit Agreement | Secured Debt | Minimum | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of credit facility, interest rate | 1% | |||||||
Exit Credit Agreement | Secured Debt | Maximum | Revolving credit facility | ||||||||
Line of Credit Facility [Line Items] | ||||||||
Line of credit facility, interest rate | 5% |
DEBT - Line of Credit and Restr
DEBT - Line of Credit and Restructuring Activities and General (Details) - USD ($) | 1 Months Ended | 5 Months Ended | 7 Months Ended | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Mar. 21, 2023 | Dec. 29, 2022 | Apr. 19, 2016 | |
Line of Credit Facility [Line Items] | |||||||||
Long-term debt | $ 2,557,600,000 | $ 1,253,900,000 | $ 1,253,900,000 | $ 2,557,600,000 | |||||
Interest expense | 64,700,000 | $ 148,700,000 | 187,900,000 | $ 180,000,000 | |||||
2024 Senior Notes | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate | 8.50% | ||||||||
Senior Notes Due 2025 USD | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate | 9.375% | ||||||||
Senior Notes Due 2025 EUR | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate | 9% | ||||||||
Senior Secured PIK Toggle Notes Due 2026 | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate | 8.50% | ||||||||
Senior Notes, First Lien U.S. And Euro Notes 2024 | Senior Notes | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate | 12.50% | ||||||||
Superpriority Facility | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 400,000,000 | ||||||||
Superpriority Term Loans | Term Loan Facility | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 400,000,000 | 400,000,000 | |||||||
ABL Credit Agreement | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 250,000,000 | ||||||||
ABL Credit Agreement Tranche A | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 155,000,000 | ||||||||
ABL Credit Agreement Tranche B | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 25,000,000 | ||||||||
ABL Credit Agreement Tranche C | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 70,000,000 | ||||||||
ABL Revolving Credit and Guaranty Agreements | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Long-term debt | 182,000,000 | 182,000,000 | |||||||
ABL Revolving Credit and Guaranty Agreements Tranche A loans | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Long-term debt | 122,000,000 | 122,000,000 | |||||||
ABL Revolving Credit and Guaranty Agreements Tranche C Loans | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Long-term debt | $ 60,000,000 | $ 60,000,000 | |||||||
ABL Facility | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Extended maturity | 91 days | 91 days | |||||||
Aggregate principal amount | $ 25,000,000 | ||||||||
FILO Facility | Line of Credit | Revolving credit facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 55,000,000 | ||||||||
Lines of credit | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Borrowing capacity under credit facility | 25,900,000 | 8,200,000 | 8,200,000 | $ 25,900,000 | |||||
Remaining borrowing capacity | $ 25,000,000 | $ 8,200,000 | $ 8,200,000 | $ 25,000,000 | |||||
Short-term debt, weighted average interest rate | 11.02% | 11.02% | |||||||
Line of credit facility expiration period | 1 year |
DEBT - Financing Facilities (De
DEBT - Financing Facilities (Details) - Exit Facility | 12 Months Ended |
Dec. 31, 2023 | |
Short-Term Debt [Line Items] | |
Initial Term (Years) | 5 years |
Secured Overnight Financing Rate (SOFR) | |
Short-Term Debt [Line Items] | |
Interest rate margin | 7.50% |
Floor rate percentage | 4% |
REDEEMABLE NONCONTROLLING INT_3
REDEEMABLE NONCONTROLLING INTERESTS (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Redeemable Noncontrolling Interest, Equity, Carrying Amount [Roll Forward] | |
Balance at January 1 | $ 19.2 |
Termination of put option | (19.2) |
Balance at December 31 | $ 0 |
REDEEMABLE NONCONTROLLING INT_4
REDEEMABLE NONCONTROLLING INTERESTS - Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2021 | |
Redeemable Noncontrolling Interest [Line Items] | ||
Reclassification to redeemable noncontrolling interest | $ 31,900,000 | |
Non-controlling Interests | ||
Redeemable Noncontrolling Interest [Line Items] | ||
Reclassification to redeemable noncontrolling interest | $ 12,700,000 | |
Redeemable noncontrolling interest | ||
Redeemable Noncontrolling Interest [Line Items] | ||
Reducing the redeemable noncontrolling interest | $ 0 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Changes in Company’s AOCI, Net of Tax, By Component (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | $ 1,052.9 | $ (1,371.1) | $ (837) |
Balance | 1,079.2 | 1,052.9 | (1,371.1) |
Other comprehensive (loss) income before reclassifications within the translation component, amount excluded | (9.7) | ||
Accumulated Other Comprehensive Income (Loss) | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | 0 | (360) | (378.5) |
Other comprehensive (loss) income before reclassifications | 13.6 | 36.9 | (32) |
Amounts reclassified from AOCI | (6) | 3.1 | 50.5 |
Fresh Start Accounting Adjustments | 320 | ||
Net current period other comprehensive income (loss) | 7.6 | 360 | 18.5 |
Balance | 7.6 | 0 | (360) |
Translation | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | 0 | (352.1) | (310.9) |
Other comprehensive (loss) income before reclassifications | 14.2 | 28.7 | (41.2) |
Amounts reclassified from AOCI | 0 | 0 | 0 |
Fresh Start Accounting Adjustments | 323.4 | ||
Net current period other comprehensive income (loss) | 14.2 | 352.1 | (41.2) |
Balance | 14.2 | 0 | (352.1) |
Other comprehensive (loss) income before reclassifications within the translation component, amount excluded | (0.2) | (5.9) | |
Hedges | Foreign exchange forward contracts | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | 0 | (1.9) | (1.9) |
Other comprehensive (loss) income before reclassifications | (0.1) | 4.7 | 0 |
Amounts reclassified from AOCI | 0 | 0 | 0 |
Fresh Start Accounting Adjustments | (2.8) | ||
Net current period other comprehensive income (loss) | (0.1) | 1.9 | 0 |
Balance | (0.1) | 0 | (1.9) |
Hedges | Interest rate swap | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | 0 | 5.3 | 0.4 |
Other comprehensive (loss) income before reclassifications | 0 | 3.4 | 5.5 |
Amounts reclassified from AOCI | 0 | 0 | (0.6) |
Fresh Start Accounting Adjustments | (8.7) | ||
Net current period other comprehensive income (loss) | 0 | (5.3) | 4.9 |
Balance | 0 | 0 | 5.3 |
Pension and Other Post-Retirement Benefits | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | 0 | (12.6) | (64.6) |
Other comprehensive (loss) income before reclassifications | (0.1) | 0.1 | 0.9 |
Amounts reclassified from AOCI | (6) | 3.1 | 51.1 |
Fresh Start Accounting Adjustments | 9.4 | ||
Net current period other comprehensive income (loss) | (6.1) | 12.6 | 52 |
Balance | (6.1) | 0 | (12.6) |
Other | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance | 0 | 1.3 | (1.5) |
Other comprehensive (loss) income before reclassifications | (0.4) | 0 | 2.8 |
Amounts reclassified from AOCI | 0 | 0 | 0 |
Fresh Start Accounting Adjustments | (1.3) | ||
Net current period other comprehensive income (loss) | (0.4) | (1.3) | 2.8 |
Balance | $ (0.4) | $ 0 | $ 1.3 |
ACCUMULATED OTHER COMPREHENSI_4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Reclassification Adjustment (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | $ (68.7) | $ (178) | $ (199.2) | $ (195.3) |
Miscellaneous, net | (0.8) | 12.3 | 2.2 | 3.4 |
Net income (loss) | 19.1 | 1,357.5 | (585.6) | (78.1) |
Income tax expense (benefit) | (14.7) | 90.4 | 149.2 | $ 27.7 |
Reclassifications | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net income (loss) | (6) | 3.1 | 50.5 | |
Reclassifications | Hedges | Interest rate swap | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | 0 | 0 | (0.6) | |
Income tax expense (benefit) | 0.1 | |||
Reclassifications | Pension and Other Post-Retirement Benefits | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Miscellaneous, net | (6) | 3.1 | 51.1 | |
Reclassifications | Net prior service benefit | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Miscellaneous, net | 0.4 | (0.2) | 2.4 | |
Income tax expense (benefit) | (0.2) | 0.2 | 0 | |
Reclassifications | Net actuarial gains | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Miscellaneous, net | (6.5) | 4.2 | 38.5 | |
Income tax expense (benefit) | 2.6 | (4.9) | 0 | |
Reclassifications | Net actuarial gains (losses) due to settlement | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Miscellaneous, net | 0.1 | (0.9) | 10.2 | |
Income tax expense (benefit) | $ 0 | $ 1.1 | $ 0 |
DIVESTITURES (Details)
DIVESTITURES (Details) - USD ($) $ in Millions | 3 Months Ended | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Impairment of assets | $ 1.2 | $ 3.3 | $ 111.8 | $ 1.3 | ||||||
Reverse Vending Business Divestiture (Pop) | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from divestiture of businesses | $ 5.8 | |||||||||
Impairment of assets | $ 1.3 | |||||||||
Reverse Vending Business Divestiture (Pop-Q2) | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from divestiture of businesses | $ 4.7 | |||||||||
Sale of IT Asset - IP Address | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from divestiture of businesses | $ 3.5 | |||||||||
Belgian Building Disposal - CP | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from divestiture of businesses | $ 2.7 | |||||||||
Gain (loss) on disposition of business | $ 1.9 | |||||||||
Asia Pacific Business Held for Sale | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from divestiture of businesses | $ 5.8 | |||||||||
Gain (loss) on disposition of business | $ 1 | |||||||||
Prosystems IT GmbH Divestiture | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from divestiture of businesses | $ 4.7 | |||||||||
Gain (loss) on disposition of business | $ (3.9) |
BENEFIT PLANS - Narrative (Deta
BENEFIT PLANS - Narrative (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Contribution Plan [Line Items] | |||||
Benefit payment term | 10 years | ||||
Healthcare cost trend rate assumed for next year | 5.60% | 5.70% | 5.60% | 6% | |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.20% | 4.20% | 4.20% | 4% | |
Expected future employer contributions | $ 28.4 | $ 28.4 | |||
Expected future reimbursement | 20 | $ 20 | |||
Defined contribution plan, cost | 2.4 | $ 4 | $ 7 | $ 7.4 | |
Retirement savings plan basic match | 50% | ||||
Employee Contributions First Six Percent | |||||
Defined Contribution Plan [Line Items] | |||||
Participant contribution percentage | 6% | ||||
Pension Plan | |||||
Defined Contribution Plan [Line Items] | |||||
Employer contributions | $ 8.3 | ||||
Reimbursement from CTA | 22.8 | ||||
Other Benefits | |||||
Defined Contribution Plan [Line Items] | |||||
Employer contributions | 0.6 | $ 0.6 | $ 0.5 | ||
Expected future contributions | $ 0.5 | $ 0.5 |
BENEFIT PLANS - Schedule of Def
BENEFIT PLANS - Schedule of Defined Benefit Plans Disclosures (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Amounts recognized in balance sheets | |||||
Noncurrent liabilities | $ 112.6 | $ 102 | $ 112.6 | $ 40.6 | |
Pension Benefits | |||||
Change in plan assets | |||||
Employer contributions | 8.3 | ||||
Other Benefits | |||||
Change in benefit obligation | |||||
Benefit obligation at beginning of period | 4.1 | 4.3 | 4.3 | 5.7 | |
Interest cost | 0.1 | 0.2 | 0.2 | $ 0.7 | |
Service cost | 0 | 0 | 0 | 0.1 | |
Actuarial loss (gain) | 0.4 | 0.1 | (1.2) | ||
Benefits paid | (0.6) | (0.6) | (0.5) | ||
Foreign currency impact | 0 | 0.1 | 0.1 | ||
Benefit obligation at end of period | 4 | 4.1 | 4 | 4.3 | 5.7 |
Change in plan assets | |||||
Fair value of plan assets at beginning of period | 0 | 0 | 0 | ||
Employer contributions | 0.6 | 0.6 | 0.5 | ||
Benefits paid | (0.6) | (0.6) | (0.5) | ||
Fair value of plan assets at end of period | 0 | 0 | 0 | 0 | |
Funded status | (4) | (4.1) | (4) | (4.3) | |
Amounts recognized in balance sheets | |||||
Noncurrent assets | 0 | 0 | 0 | ||
Current liabilities | 0.4 | 0.4 | 0.5 | ||
Noncurrent liabilities | 3.6 | 3.6 | 3.8 | ||
Unrecognized net actuarial (loss) gain | (0.5) | (0.5) | 5.6 | ||
Unrecognized prior service cost (benefit) | 0 | 0 | 0 | ||
Net amount recognized | 3.5 | 3.5 | 9.9 | ||
Change in accumulated other comprehensive income | |||||
Balance at beginning of period | 0 | 5.6 | 5.6 | 4.8 | |
Net actuarial gains (losses) recognized during the period | (0.5) | 0 | 1.2 | ||
Net actuarial gains (losses) occurring during the period | 0 | (0.3) | (0.5) | ||
Foreign currency impact | 0 | 0.2 | 0.1 | ||
Fresh Start Accounting Adjustments | 0 | (5.5) | 0 | ||
Balance at end of period | (0.5) | 0 | (0.5) | 5.6 | 4.8 |
U.S. Plans | Pension Benefits | |||||
Change in benefit obligation | |||||
Benefit obligation at beginning of period | 351.5 | 359.8 | 359.8 | 584.4 | |
Interest cost | 7.6 | 11.9 | 17.3 | 15.9 | |
Actuarial loss (gain) | 10.1 | (10.1) | (133.8) | ||
Benefits paid | (6.9) | (10.1) | (25.7) | ||
Settlements | 0 | 0 | (82.4) | ||
Benefit obligation at end of period | 362.3 | 351.5 | 362.3 | 359.8 | 584.4 |
Change in plan assets | |||||
Fair value of plan assets at beginning of period | 293.3 | 293 | 293 | 511.3 | |
Actual return on plan assets | 14.3 | 8.4 | (113.8) | ||
Employer contributions | 1.2 | 2 | 3.6 | ||
Benefits paid | (6.9) | (10.1) | (25.7) | ||
Settlements | 0 | 0 | (82.4) | ||
Fair value of plan assets at end of period | 301.9 | 293.3 | 301.9 | 293 | 511.3 |
Funded status | (60.4) | (58.2) | (60.4) | (66.8) | |
Amounts recognized in balance sheets | |||||
Noncurrent assets | 0 | 0 | 0 | ||
Current liabilities | 0 | 0 | 3.5 | ||
Noncurrent liabilities | 60.4 | 60.4 | 63.3 | ||
Unrecognized net actuarial (loss) gain | (2.1) | (2.1) | (77.3) | ||
Unrecognized prior service cost (benefit) | 0 | 0 | 0 | ||
Net amount recognized | 58.3 | 58.3 | (10.5) | ||
Change in accumulated other comprehensive income | |||||
Balance at beginning of period | 0 | (77.3) | (77.3) | (94.9) | |
Net actuarial gains (losses) recognized during the period | (2.1) | 7.9 | (1.1) | ||
Net actuarial gains (losses) occurring during the period | 0 | 0.4 | 4.4 | ||
Net actuarial gains (losses) recognized due to settlement | 0 | 0 | 14.3 | ||
Fresh Start Accounting Adjustments | 0 | 69 | 0 | ||
Balance at end of period | (2.1) | 0 | (2.1) | (77.3) | (94.9) |
Non-U.S. Plans | Pension Benefits | |||||
Change in benefit obligation | |||||
Benefit obligation at beginning of period | 306.4 | 297.5 | 297.5 | 420.5 | |
Interest cost | 4.3 | 7.2 | 4.1 | 2.9 | |
Service cost | 2.7 | 3.9 | 8.9 | 9.8 | |
Actuarial loss (gain) | 15.9 | 5.5 | (80.5) | ||
Plan participant contributions | 0.1 | 1.1 | 1.2 | ||
Benefits paid | (2.9) | (4.6) | (6.5) | ||
Plan amendments | (0.6) | 0 | (2.4) | ||
Curtailment | 0 | (0.1) | 0 | ||
Settlements | (2.9) | (16.8) | (24.6) | ||
Foreign currency impact | 3.4 | 12.7 | (22.9) | ||
Acquired benefit plans and other | (0.3) | 0 | (0.3) | ||
Benefit obligation at end of period | 326.1 | 306.4 | 326.1 | 297.5 | 420.5 |
Change in plan assets | |||||
Fair value of plan assets at beginning of period | 333.3 | 325.3 | 325.3 | 394.4 | |
Actual return on plan assets | 15.2 | 14.5 | (27.6) | ||
Employer contributions | 2.9 | 1 | 10.9 | ||
Plan participant contributions | 0.1 | 1.1 | 1.2 | ||
Benefits paid | (2.9) | (4.6) | (6.5) | ||
Foreign currency impact | 2.9 | 12.8 | (22.5) | ||
Settlements | (2.9) | (16.8) | (24.6) | ||
Fair value of plan assets at end of period | 348.6 | 333.3 | 348.6 | 325.3 | 394.4 |
Funded status | 22.5 | 26.9 | 22.5 | 27.8 | |
Amounts recognized in balance sheets | |||||
Noncurrent assets | 70.3 | 70.3 | 30.9 | ||
Current liabilities | 4.3 | 4.3 | 3.1 | ||
Noncurrent liabilities | 43.5 | 43.5 | |||
Unrecognized net actuarial (loss) gain | (6.6) | (6.6) | 45.4 | ||
Unrecognized prior service cost (benefit) | 0.6 | 0.6 | 5.9 | ||
Net amount recognized | (28.5) | (28.5) | 23.5 | ||
Change in accumulated other comprehensive income | |||||
Balance at beginning of period | 0 | 51.3 | 51.3 | 17.7 | |
Net actuarial gains (losses) recognized during the period | (6.5) | 1.2 | 38.4 | ||
Prior service credit (cost) recognized during the period | 0.6 | (0.4) | 2.4 | ||
Net actuarial gains (losses) occurring during the period | 0 | (2.2) | (1.6) | ||
Net actuarial gains (losses) recognized due to settlement | 0.1 | (2) | (4.1) | ||
Foreign currency impact | (0.2) | 2.2 | (1.5) | ||
Fresh Start Accounting Adjustments | 0 | (50.1) | 0 | ||
Balance at end of period | $ (6) | $ 0 | $ (6) | $ 51.3 | $ 17.7 |
BENEFIT PLANS - Schedule of Com
BENEFIT PLANS - Schedule of Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Other Benefits | ||||
Components of net periodic benefit cost | ||||
Interest cost | $ 0.1 | $ 0.2 | $ 0.2 | $ 0.7 |
Service cost | 0 | 0 | 0 | 0.1 |
Recognized net actuarial (gain) loss | 0 | (0.3) | (0.4) | 0.2 |
Net periodic benefit cost | 0.1 | (0.1) | (0.2) | 1 |
U.S. Plans | Pension Benefits | ||||
Components of net periodic benefit cost | ||||
Interest cost | 7.6 | 11.9 | 17.3 | 15.9 |
Expected return on plan assets | (6) | (11) | (21.2) | (22.3) |
Recognized net actuarial (gain) loss | 0 | 0.4 | 4.4 | 8.9 |
Settlement (gain) loss | 0 | 0 | 14.3 | 0 |
Net periodic benefit cost | 1.6 | 1.3 | 14.8 | 2.5 |
Non-U.S. Plans | Pension Benefits | ||||
Components of net periodic benefit cost | ||||
Interest cost | 4.3 | 7.2 | 4.1 | 2.9 |
Service cost | 2.7 | 3.9 | 8.9 | 9.8 |
Expected return on plan assets | (5.2) | (8.4) | (14.5) | (14.5) |
Amortization of prior service cost | 0 | (0.5) | (0.4) | (0.1) |
Recognized net actuarial (gain) loss | 0 | (2.2) | (1.6) | 0.3 |
Curtailment loss | 0 | (0.1) | 0 | 0 |
Settlement (gain) loss | 0.1 | (2.1) | (4.1) | (1.1) |
Net periodic benefit cost | $ 1.9 | $ (2.2) | $ (7.6) | $ (2.7) |
BENEFIT PLANS - Schedule of Acc
BENEFIT PLANS - Schedule of Accumulated Benefit Obligation In Excess of Plan Assets (Details) - Pension Benefits - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | $ 362.3 | $ 359.8 |
Accumulated benefit obligation | 362.3 | 359.8 |
Fair value of plan assets | 301.9 | 293 |
Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 216.2 | 189.2 |
Accumulated benefit obligation | 203.6 | 181.6 |
Fair value of plan assets | $ 63.7 | $ 51.7 |
BENEFIT PLANS - Schedule of Ass
BENEFIT PLANS - Schedule of Assumptions Used (Details) | 5 Months Ended | 7 Months Ended | 12 Months Ended |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | |
Other Benefits | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 6.97% | 6.83% | 6.84% |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 6.83% | 6.84% | 4.22% |
U.S. Plans | Pension Benefits | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 5.52% | 5.69% | 5.59% |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 5.69% | 5.59% | 2.99% |
Expected long-term return on plan assets | 5.25% | 5.25% | 5.25% |
Non-U.S. Plans | Pension Benefits | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 4.87% | 4.76% | 4.92% |
Rate of compensation increase | 4.25% | 3.88% | 3.88% |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 4.76% | 4.92% | 2.39% |
Expected long-term return on plan assets | 3.75% | 3.75% | 3.30% |
Rate of compensation increase | 3.91% | 3.88% | 3.89% |
BENEFIT PLANS - Schedule of Hea
BENEFIT PLANS - Schedule of Health Care Cost Trends (Details) | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 |
Defined Benefit Plan, Assumed Health Care Cost Trend Rates [Abstract] | |||
Healthcare cost trend rate assumed for next year | 5.60% | 5.70% | 6% |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.20% | 4.20% | 4% |
BENEFIT PLANS- Schedule of Allo
BENEFIT PLANS- Schedule of Allocation of Plan Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Real estate | Office | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 21% | 22% | ||
Real estate | Residential | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 32% | 27% | ||
Real estate | Retail | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 10% | 10% | ||
Real estate | Industrial, cash and other | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 38% | 41% | ||
Other | Fixed income securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 53% | 53% | ||
Other | Corporate bonds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 36% | 36% | ||
Other | US Treasury and other | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 64% | 64% | ||
Other | Russell 1000 Fund large cap index funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 19% | 19% | ||
Other | International funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 16% | 16% | ||
Other | Emerging markets, real assets and other funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 12% | 12% | ||
Private equity funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Unfunded commitments | $ 1.6 | $ 1.6 | ||
Private equity funds | Buyout private equity funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 42% | 26% | ||
Private equity funds | Special situations private equity and debt funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 31% | 17% | ||
Private equity funds | Venture private equity funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Actual | 27% | 24% | ||
U.S. Plans | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 100% | |||
Actual | 100% | 100% | ||
Fair value of plan assets | $ 301.9 | $ 293.3 | $ 293 | $ 511.3 |
U.S. Plans | Pension Benefits | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 3.5 | 2.6 | ||
U.S. Plans | Pension Benefits | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 298.4 | $ 290.4 | ||
U.S. Plans | Pension Benefits | Equity securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 41% | |||
Actual | 39% | 43% | ||
U.S. Plans | Pension Benefits | Debt securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 50% | |||
Actual | 51% | 48% | ||
U.S. Plans | Pension Benefits | Real estate | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 4% | |||
Actual | 5% | 7% | ||
Fair value of plan assets | $ 15.2 | $ 20.1 | ||
U.S. Plans | Pension Benefits | Real estate | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Real estate | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Real estate | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 15.2 | $ 20.1 | ||
U.S. Plans | Pension Benefits | Other | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 5% | |||
Actual | 5% | 2% | ||
U.S. Plans | Pension Benefits | Cash and short-term investments | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 2.5 | $ 1.8 | ||
U.S. Plans | Pension Benefits | Cash and short-term investments | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 2.5 | 1.8 | ||
U.S. Plans | Pension Benefits | Cash and short-term investments | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Cash and short-term investments | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Mutual funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1 | 0.8 | ||
U.S. Plans | Pension Benefits | Mutual funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 1 | 0.8 | ||
U.S. Plans | Pension Benefits | Mutual funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Mutual funds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International developed markets | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International developed markets | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International developed markets | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International developed markets | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International corporate bonds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International corporate bonds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International corporate bonds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | International corporate bonds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Fixed and index funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Fixed and index funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Fixed and index funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Fixed and index funds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Other | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 269.6 | 263.1 | ||
U.S. Plans | Pension Benefits | Other | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Other | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Other | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 269.6 | 263.1 | ||
U.S. Plans | Pension Benefits | Private equity funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 13.6 | 7.2 | ||
U.S. Plans | Pension Benefits | Private equity funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Private equity funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Private equity funds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 13.6 | 7.2 | ||
U.S. Plans | Pension Benefits | Other alternative investments | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Other alternative investments | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Other alternative investments | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
U.S. Plans | Pension Benefits | Other alternative investments | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 0 | $ 0 | ||
Non-U.S. Plans | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 100% | |||
Actual | 100% | 100% | ||
Fair value of plan assets | $ 348.6 | $ 333.3 | $ 325.3 | $ 394.4 |
Non-U.S. Plans | Pension Benefits | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 289.8 | 243.5 | ||
Non-U.S. Plans | Pension Benefits | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 13.1 | 14.5 | ||
Non-U.S. Plans | Pension Benefits | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 45.7 | $ 67.3 | ||
Non-U.S. Plans | Pension Benefits | Equity securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 51% | |||
Actual | 51% | 52% | ||
Non-U.S. Plans | Pension Benefits | Debt securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 29% | |||
Actual | 29% | 26% | ||
Non-U.S. Plans | Pension Benefits | Real estate | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 8% | |||
Actual | 8% | 8% | ||
Fair value of plan assets | $ 26.3 | $ 25.5 | ||
Non-U.S. Plans | Pension Benefits | Real estate | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Real estate | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 13.1 | 14.5 | ||
Non-U.S. Plans | Pension Benefits | Real estate | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 13.2 | $ 11 | ||
Non-U.S. Plans | Pension Benefits | Other | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Target | 12% | |||
Actual | 12% | 14% | ||
Non-U.S. Plans | Pension Benefits | Cash and short-term investments | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 11.5 | $ 12.1 | ||
Non-U.S. Plans | Pension Benefits | Cash and short-term investments | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 10.7 | 11.4 | ||
Non-U.S. Plans | Pension Benefits | Cash and short-term investments | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Cash and short-term investments | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.8 | 0.7 | ||
Non-U.S. Plans | Pension Benefits | Mutual funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Mutual funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Mutual funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Mutual funds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | International developed markets | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 178.7 | 170.4 | ||
Non-U.S. Plans | Pension Benefits | International developed markets | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 178.7 | 167.5 | ||
Non-U.S. Plans | Pension Benefits | International developed markets | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | International developed markets | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 2.9 | ||
Non-U.S. Plans | Pension Benefits | International corporate bonds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 56.3 | 59.6 | ||
Non-U.S. Plans | Pension Benefits | International corporate bonds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 56.3 | 50.1 | ||
Non-U.S. Plans | Pension Benefits | International corporate bonds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | International corporate bonds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 9.5 | ||
Non-U.S. Plans | Pension Benefits | Fixed and index funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 43.9 | 23.7 | ||
Non-U.S. Plans | Pension Benefits | Fixed and index funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 43.9 | 14.2 | ||
Non-U.S. Plans | Pension Benefits | Fixed and index funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Fixed and index funds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 9.5 | ||
Non-U.S. Plans | Pension Benefits | Other | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 18.8 | 16.8 | ||
Non-U.S. Plans | Pension Benefits | Other | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Other | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Other | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 18.8 | 16.8 | ||
Non-U.S. Plans | Pension Benefits | Private equity funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Private equity funds | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Private equity funds | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Private equity funds | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Other alternative investments | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 13.1 | 17.2 | ||
Non-U.S. Plans | Pension Benefits | Other alternative investments | Level 1 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0.2 | 0.3 | ||
Non-U.S. Plans | Pension Benefits | Other alternative investments | Level 2 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | ||
Non-U.S. Plans | Pension Benefits | Other alternative investments | NAV | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | $ 12.9 | $ 16.9 |
BENEFIT PLANS - Schedule of Amo
BENEFIT PLANS - Schedule of Amounts Expected To Be Recognized in Other Comprehensive Income (Loss) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Other Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amount of net prior service credit | $ 0 |
Amount of net loss (gain) | 0 |
U.S. Plans | Pension Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
Amount of net prior service credit | 0 |
Amount of net loss (gain) | 0 |
Non-U.S. Plans | Pension Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
Amount of net prior service credit | (0.1) |
Amount of net loss (gain) | $ 0 |
BENEFIT PLANS - Schedule of Fut
BENEFIT PLANS - Schedule of Future Benefit Payments (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Other Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amount of net loss (gain) | $ 0 |
Defined Benefit Plan, Expected Amortization, Next Fiscal Year [Abstract] | |
Expected future contributions | 0.5 |
2025, gross | 0.5 |
2026, gross | 0.5 |
2027, gross | 0.5 |
2028, gross | 0.4 |
2029-2033, gross | 1.8 |
2024, net | 0.5 |
2025, net | 0.5 |
2026, net | 0.5 |
2027, net | 0.4 |
2028, net | 0.4 |
2029-2033, net | 1.7 |
U.S. Plans | Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amount of net loss (gain) | 0 |
Defined Benefit Plan, Expected Amortization, Next Fiscal Year [Abstract] | |
2024 | 23.1 |
2025 | 24.1 |
2026 | 24.9 |
2027 | 25.8 |
2028 | 26.2 |
2029-2033 | 133.9 |
Non-U.S. Plans | Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Amount of net loss (gain) | 0 |
Defined Benefit Plan, Expected Amortization, Next Fiscal Year [Abstract] | |
2024 | 25.4 |
2025 | 20.2 |
2026 | 20.8 |
2027 | 22.3 |
2028 | 24.5 |
2029-2033 | $ 111.9 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) - renewal_option | 12 Months Ended | ||
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | |
Lessee, Lease, Description [Line Items] | |||
Number of renewal options | 1 | ||
Finance lease, right-of-use assets, location | Other assets | Other assets | Other assets |
Finance lease, liability, current, location | Other current liabilities | Other current liabilities | |
Finance lease, liability, noncurrent, location | Long-Term Debt and Lease Obligation | Long-Term Debt and Lease Obligation | |
Minimum | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease, term | 1 year | ||
Finance lease term | 1 year | ||
Finance lease, renewal term | 6 months | ||
Operating lease, renewal term | 6 months | ||
Maximum | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease, term | 15 years | ||
Finance lease term | 15 years | ||
Finance lease, renewal term | 15 years | ||
Operating lease, renewal term | 15 years |
LEASES - Schedule of Assets And
LEASES - Schedule of Assets And Liabilities, Lessee (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Weighted-average remaining lease terms (in years) | ||
Operating leases | 4 years 9 months 18 days | 5 years 9 months 18 days |
Finance leases | 2 years 6 months | 3 years 1 month 6 days |
Weighted-average discount rate | ||
Operating leases | 8.30% | 15.40% |
Finance leases | 6.60% | 11.90% |
LEASES - Schedule of Lease, Cos
LEASES - Schedule of Lease, Cost (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | ||||
Operating lease expense | $ 25.3 | $ 41.9 | $ 75.7 | $ 87.3 |
Finance lease expense | ||||
Amortization of ROU lease assets | 1.9 | 2.4 | 4.1 | 2.9 |
Interest on lease liabilities | 0.2 | 0.5 | 0.7 | 0.9 |
Variable lease expense | $ 4.1 | $ 5.2 | $ 10.1 | $ 7.8 |
LEASES - Schedule of Lease Matu
LEASES - Schedule of Lease Maturities (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Operating | |
2024 | $ 46.6 |
2025 | 30 |
2026 | 17.6 |
2027 | 10.3 |
2028 | 5.1 |
Thereafter | 15.7 |
Total | 125.3 |
Less: Present value discount | (20.6) |
Lease liability | 104.7 |
Finance | |
2024 | 4.1 |
2025 | 1.9 |
2026 | 1.1 |
2027 | 0.6 |
2028 | 0.2 |
Thereafter | 0 |
Total | 7.9 |
Less: Present value discount | (0.6) |
Lease liability | $ 7.3 |
LEASES - Schedule of Supplement
LEASES - Schedule of Supplemental Cash Flow Information Related to Leases (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||||
Operating - operating cash flows | $ 30.1 | $ 43.3 | $ 76.2 | $ 87.3 |
Finance - financing cash flows | 2.2 | 2.5 | 4.3 | 2.3 |
Finance - operating cash flows | 0.2 | 0.5 | 0.7 | 0.4 |
ROU lease assets obtained in the exchange for lease liabilities: | ||||
Operating leases | 6.7 | 19.2 | 28.1 | 57.4 |
Finance leases | $ 0.6 | $ 0.6 | $ 7.4 | $ 4.5 |
LEASES - Schedule of Suppleme_2
LEASES - Schedule of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 |
Assets | |||
Operating | $ 98.7 | $ 102.2 | $ 108.5 |
Finance | 6.9 | $ 8.7 | 10.3 |
Total leased assets | 105.6 | 118.8 | |
Current liabilities | |||
Operating | 39.6 | 39 | |
Finance | 3.7 | 4.1 | |
Noncurrent liabilities | |||
Operating | 65.1 | 76.7 | |
Finance | 3.6 | 5.7 | |
Total lease liabilities | $ 112 | $ 125.5 |
FINANCE LEASE RECEIVABLES - Fut
FINANCE LEASE RECEIVABLES - Future Minimum Payments Due (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Leases [Abstract] | |
2024 | $ 7.9 |
2025 | 4.6 |
2026 | 4.1 |
2027 | 3.1 |
2028 | 2.8 |
Thereafter | 1.9 |
Gross minimum lease receivable | $ 24.4 |
FINANCE LEASE RECEIVABLES - Com
FINANCE LEASE RECEIVABLES - Components of Finance Lease Receivables (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Gross minimum lease receivable | $ 24.4 | $ 28.1 |
Allowance for credit losses | (0.2) | (0.2) |
Estimated unguaranteed residual values | 0 | 0.1 |
Lease receivable | 24.2 | 28 |
Unearned interest income | (0.9) | (1.5) |
Unearned residuals | 0 | 0 |
Unearned interest income and unearned residuals | (0.9) | (1.5) |
Total | $ 23.3 | $ 26.5 |
FINANCE LEASE RECEIVABLES - Nar
FINANCE LEASE RECEIVABLES - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Past due period of financing receivable accruing interest | 90 days | |
Finance leases | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Financing receivable, individually evaluated for impairment | $ 23.5 | $ 26.7 |
Notes receivable | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Financing receivable, individually evaluated for impairment | $ 0.5 | $ 0.5 |
FINANCE LEASE RECEIVABLES - Fin
FINANCE LEASE RECEIVABLES - Finance Lease Receivables Sold (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Finance lease receivables sold | $ 0 | $ 1.6 | $ 1.9 |
DERIVATIVE INSTRUMENTS AND HE_3
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Schedule of Gain (Loss) Recognized on Non-Designated Derivative Instruments (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Gain (loss) recognized on non-designated derivative instruments: | ||||
Gain (loss) recognized on derivative instruments | $ (0.4) | $ (0.5) | $ (5) | $ (12.9) |
Interest rate swap | ||||
Gain (loss) recognized on non-designated derivative instruments: | ||||
Gain (loss) recognized on derivative instruments | 0 | (0.5) | (4.4) | (8.4) |
Foreign exchange forward contracts | Net sales | ||||
Gain (loss) recognized on non-designated derivative instruments: | ||||
Gain (loss) recognized on derivative instruments | 0 | 0 | (0.1) | 0 |
Foreign exchange forward contracts | Cost of sales | ||||
Gain (loss) recognized on non-designated derivative instruments: | ||||
Gain (loss) recognized on derivative instruments | 0 | 0 | (0.5) | 0.1 |
Foreign exchange forward contracts | Foreign exchange gain (loss), net | ||||
Gain (loss) recognized on non-designated derivative instruments: | ||||
Gain (loss) recognized on derivative instruments | $ (0.4) | $ 0 | $ 0 | $ (4.6) |
DERIVATIVE INSTRUMENTS AND HE_4
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Narrative (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Foreign exchange forward contracts | |
Derivative [Line Items] | |
Derivative, maturity term | 24 months |
FAIR VALUE OF ASSETS AND LIAB_3
FAIR VALUE OF ASSETS AND LIABILITIES - Schedule of Assets and Liabilities Recorded at Fair Market Value (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Liabilities | ||
Derivative liability, location | Other current liabilities | Other current liabilities |
Fair Value, Measurements, Recurring | ||
Assets | ||
Total | $ 16.3 | $ 29 |
Liabilities | ||
Total | 3.3 | 4.4 |
Fair Value, Measurements, Recurring | Level 1 | ||
Assets | ||
Total | 16.3 | 29 |
Liabilities | ||
Total | 2.9 | 4.4 |
Fair Value, Measurements, Recurring | Level 2 | ||
Assets | ||
Total | 0 | 0 |
Liabilities | ||
Total | 0.4 | 0 |
Foreign exchange forward contracts | Fair Value, Measurements, Recurring | ||
Liabilities | ||
Derivative liability | 0.4 | 0 |
Foreign exchange forward contracts | Fair Value, Measurements, Recurring | Level 1 | ||
Liabilities | ||
Derivative liability | 0 | 0 |
Foreign exchange forward contracts | Fair Value, Measurements, Recurring | Level 2 | ||
Liabilities | ||
Derivative liability | 0.4 | 0 |
Assets held in rabbi trusts | ||
Assets | ||
Investments | 2.9 | 4.4 |
Short-term investments | Certificates of deposit | Fair Value, Measurements, Recurring | ||
Assets | ||
Investments | 13.4 | 24.6 |
Short-term investments | Certificates of deposit | Fair Value, Measurements, Recurring | Level 1 | ||
Assets | ||
Investments | 13.4 | 24.6 |
Short-term investments | Certificates of deposit | Fair Value, Measurements, Recurring | Level 2 | ||
Assets | ||
Investments | 0 | 0 |
Securities and other investments | Assets held in rabbi trusts | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets held in rabbi trusts | 2.9 | 4.4 |
Securities and other investments | Assets held in rabbi trusts | Fair Value, Measurements, Recurring | Level 1 | ||
Assets | ||
Assets held in rabbi trusts | 2.9 | 4.4 |
Securities and other investments | Assets held in rabbi trusts | Fair Value, Measurements, Recurring | Level 2 | ||
Assets | ||
Assets held in rabbi trusts | 0 | 0 |
Other liabilities | Fair Value, Measurements, Recurring | ||
Liabilities | ||
Deferred compensation | 2.9 | 4.4 |
Other liabilities | Fair Value, Measurements, Recurring | Level 1 | ||
Liabilities | ||
Deferred compensation | 2.9 | 4.4 |
Other liabilities | Fair Value, Measurements, Recurring | Level 2 | ||
Liabilities | ||
Deferred compensation | $ 0 | $ 0 |
FAIR VALUE OF ASSETS AND LIAB_4
FAIR VALUE OF ASSETS AND LIABILITIES - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 11, 2023 | Dec. 31, 2022 |
Fair Value Disclosures [Abstract] | |||
Long-term debt, carrying value | $ 1,253.9 | $ 2,557.6 | |
Long-term debt, fair value | $ 1,285.5 | $ 1,250 | $ 1,819.7 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Narrative (Details) shares in Millions, $ in Millions | Feb. 17, 2017 € / shares shares | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Loss Contingencies [Line Items] | |||
Guarantor obligations, maximum exposure, undiscounted | $ 117.1 | $ 173.2 | |
Liability associated with standby letters of credit | 0 | 0 | |
Financial Standby Letter of Credit | |||
Loss Contingencies [Line Items] | |||
Guarantor obligations, maximum exposure, undiscounted | 23 | $ 24 | |
Domination and Profit and Loss Transfer Agreement | Diebold Nixdorf AG | |||
Loss Contingencies [Line Items] | |||
Business acquisition, share price (in dollars per share) | € / shares | € 55.02 | ||
Shares repurchased of redeemable noncontrolling interest (in shares) | shares | 6.9 | ||
Recurring cash compensation per share net of tax (in dollars per share) | € / shares | € 2.82 | ||
Merger Squeeze-Out | Diebold Nixdorf AG | |||
Loss Contingencies [Line Items] | |||
Business acquisition, share price (in dollars per share) | € / shares | € 54.80 | ||
Shares repurchased of redeemable noncontrolling interest (in shares) | shares | 1.4 | ||
Indirect Tax Liability | |||
Loss Contingencies [Line Items] | |||
Range of possible loss, portion not accrued | $ 93.3 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES - Schedule of Cash and Cash Equivalents (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Commitments and Contingencies Disclosure [Abstract] | |||||
Cash and cash equivalents | $ 550.2 | $ 391.4 | $ 307.4 | ||
Professional fee escrow | 0.2 | 0 | |||
Bank collateral guarantees | 32.5 | 2.6 | |||
Pension collateral guarantees | 9.4 | 9.1 | |||
Restricted cash and cash equivalents | 42.1 | 11.7 | |||
Total cash, cash equivalents, and restricted cash | $ 592.3 | $ 452.2 | $ 319.1 | $ 388.9 | $ 324.5 |
REVENUE RECOGNITION - Narrative
REVENUE RECOGNITION - Narrative (Details) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 USD ($) | Aug. 12, 2023 USD ($) | Dec. 31, 2023 USD ($) segment | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Deferred Revenue Arrangement [Line Items] | |||||
Number of main customer segments | segment | 2 | ||||
Unrecognized deferred revenue | $ 376.2 | $ 421 | $ 376.2 | $ 453.2 | $ 322.4 |
Deferred revenue, revenue recognized | 151.9 | $ 223.4 | |||
Revenue, remaining performance obligation, amount | $ 1,400 | $ 1,400 | |||
Minimum | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenue, remaining performance obligation, period for recognition | 12 months | 12 months | |||
Maximum | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenue, remaining performance obligation, period for recognition | 18 months | 18 months |
REVENUE RECOGNITION - Schedule
REVENUE RECOGNITION - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Deferred Revenue Arrangement [Line Items] | ||||
Net sales, percentage | 100% | 100% | 100% | |
Trade Receivables | $ 721.8 | $ 623.9 | $ 612.2 | $ 595.2 |
Contract liabilities | $ 376.2 | $ 421 | $ 453.2 | $ 322.4 |
Products transferred at a point in time | ||||
Deferred Revenue Arrangement [Line Items] | ||||
Net sales, percentage | 47% | 39% | 39% | |
Products and services transferred over time | ||||
Deferred Revenue Arrangement [Line Items] | ||||
Net sales, percentage | 53% | 61% | 61% |
CLOUD IMPLEMENTATION - Narrativ
CLOUD IMPLEMENTATION - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Research and Development [Abstract] | ||||
Capitalized cloud implementation costs | $ 18.5 | $ 19 | $ 50.7 | |
Impairment of cloud implementation costs | $ 38.4 | |||
Impairment of cloud implementation costs, location | Impairment of assets |
CLOUD IMPLEMENTATION - Schedule
CLOUD IMPLEMENTATION - Schedule of Amortization of Cloud Implementation Fees (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Research and Development [Abstract] | ||||
Amortization of cloud implementation fees | $ 2.9 | $ 2 | $ 2.5 | $ 0.8 |
SEGMENT INFORMATION - Schedule
SEGMENT INFORMATION - Schedule of Segment Information (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Summary of Segment Information | ||||
Total Revenue | $ 1,628.6 | $ 2,131.9 | $ 3,460.7 | $ 3,905.2 |
Operating profit (loss) | 92.4 | (5.5) | (211.7) | 137.1 |
Impairment of assets | (1.2) | (3.3) | (111.8) | (1.3) |
Amortization of Wincor Nixdorf purchase accounting intangible assets | 0 | (41.8) | (69.6) | (78.2) |
Restructuring and transformation expenses | (22.6) | (38.9) | (124.2) | (28.2) |
Other (expense) income | (92.5) | 1,453.9 | (226.9) | (187.8) |
(Loss) income before taxes | (0.1) | 1,448.4 | (438.6) | (50.7) |
Operating Segments | ||||
Summary of Segment Information | ||||
Operating profit (loss) | 251 | 297.8 | 444.8 | 605.2 |
Corporate, Non-Segment | ||||
Summary of Segment Information | ||||
Operating profit (loss) | (123.4) | (159.8) | (247.3) | (272.5) |
Segment Reconciling Items | ||||
Summary of Segment Information | ||||
Operating profit (loss) | (1) | (7.9) | (29) | 0 |
Impairment of assets | (1.2) | (3.3) | (111.8) | (1.3) |
Amortization of Wincor Nixdorf purchase accounting intangible assets | 0 | (41.8) | (69.6) | (78.2) |
Restructuring and transformation expenses | (23.1) | (38.4) | (124.2) | (98.9) |
Refinancing related costs | (5.1) | (44.7) | (32) | 0 |
Net non-routine expense | (4.8) | (7.4) | (42.6) | (17.2) |
Consolidation, Eliminations | ||||
Summary of Segment Information | ||||
Reconciliation of operating profit (loss) from segments to consolidated | (158.6) | (303.3) | (656.5) | (468.1) |
Banking | ||||
Summary of Segment Information | ||||
Total Revenue | 1,157.6 | 1,511 | 2,422.4 | 2,711.1 |
Banking | Operating Segments | ||||
Summary of Segment Information | ||||
Operating profit (loss) | 182.1 | 211.6 | 310.8 | 440.6 |
Retail | ||||
Summary of Segment Information | ||||
Total Revenue | 469.3 | 610 | 1,018.2 | 1,194.1 |
Retail | Operating Segments | ||||
Summary of Segment Information | ||||
Operating profit (loss) | 68.9 | 86.2 | 134 | 164.6 |
HFS Segment | ||||
Summary of Segment Information | ||||
Total Revenue | $ 1.7 | $ 10.9 | $ 20.1 | $ 0 |
SEGMENT INFORMATION - Schedul_2
SEGMENT INFORMATION - Schedule of Revenue from External Customers by Products and Services (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | ||||
Total Revenue | $ 1,628.6 | $ 2,131.9 | $ 3,460.7 | $ 3,905.2 |
Services | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 858.4 | 1,295 | 2,098.9 | 2,303.6 |
Products | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 770.2 | 836.9 | 1,361.8 | 1,601.6 |
Banking | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 1,157.6 | 1,511 | 2,422.4 | 2,711.1 |
Banking | Services | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 626.9 | 954.3 | 1,548.1 | 1,681.2 |
Banking | Products | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 530.7 | 556.7 | 874.3 | 1,029.9 |
Retail | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 469.3 | 610 | 1,018.2 | 1,194.1 |
Retail | Services | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 230.4 | 335.2 | 540.9 | 622.4 |
Retail | Products | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 238.9 | 274.8 | 477.3 | 571.7 |
HFS Segment | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 1.7 | 10.9 | 20.1 | 0 |
HFS Segment | Services | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | 1.1 | 5.5 | 9.9 | 0 |
HFS Segment | Products | ||||
Segment Reporting Information [Line Items] | ||||
Total Revenue | $ 0.6 | $ 5.4 | $ 10.2 | $ 0 |
SEGMENT INFORMATION - Schedul_3
SEGMENT INFORMATION - Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas (Details) - USD ($) $ in Millions | 5 Months Ended | 7 Months Ended | 12 Months Ended | |
Dec. 31, 2023 | Aug. 12, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | $ 1,628.6 | $ 2,131.9 | $ 3,460.7 | $ 3,905.2 |
Property, plant and equipment, net | 159 | 166.5 | 120.7 | |
Right-of-use operating lease assets | 98.7 | 102.2 | 108.5 | |
Americas | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 694.1 | 964.8 | 1,461.4 | 1,423.2 |
United States | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 404.1 | 583.9 | 861.4 | 893.1 |
Property, plant and equipment, net | 29.7 | 24.4 | ||
Right-of-use operating lease assets | 30.9 | 34.9 | ||
Other Americas | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 290 | 380.9 | 600 | 530.1 |
EMEA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 801.4 | 998.1 | 1,696 | 2,124.5 |
Germany | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 248.2 | 283.9 | 522.8 | 768.2 |
Property, plant and equipment, net | 86.5 | 80.5 | ||
Right-of-use operating lease assets | 10.1 | 7.4 | ||
Other EMEA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 553.2 | 714.2 | 1,173.2 | 1,356.3 |
APAC | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Revenue | 133.1 | $ 169 | 303.3 | $ 357.5 |
Other international | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Property, plant and equipment, net | 42.8 | 15.8 | ||
Right-of-use operating lease assets | $ 57.7 | $ 66.2 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) $ in Millions | Feb. 13, 2024 | Aug. 11, 2023 |
Secured Debt | Revolving credit facility | Exit Credit Agreement | ||
Subsequent Event [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 1,250 | |
Secured Debt | Revolving credit facility | Exit Credit Agreement | Secured Overnight Financing Rate (SOFR) | ||
Subsequent Event [Line Items] | ||
Basis spread rate | 7.50% | |
Secured Debt | Revolving credit facility | Exit Credit Agreement | Base rate | ||
Subsequent Event [Line Items] | ||
Basis spread rate | 6.50% | |
Subsequent Event | Line of Credit | Revolving credit facility | Revolving Credit Agreement | ||
Subsequent Event [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 200 | |
Subsequent Event | Line of Credit | Revolving credit facility | Revolving Credit Agreement | Secured Overnight Financing Rate (SOFR) | ||
Subsequent Event [Line Items] | ||
Basis spread rate | 4% | |
Subsequent Event | Line of Credit | Revolving credit facility | Revolving Credit Agreement | Base rate | ||
Subsequent Event [Line Items] | ||
Basis spread rate | 3% | |
Subsequent Event | Line of Credit | Letter of credit | Revolving Credit Agreement | ||
Subsequent Event [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 50 | |
Subsequent Event | Line of Credit | Swing loan | Revolving Credit Agreement | ||
Subsequent Event [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 20 | |
Subsequent Event | Secured Debt | Revolving credit facility | Exit Credit Agreement | ||
Subsequent Event [Line Items] | ||
Repayment of line of credit facility | $ 200 |