Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 20, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | USTR | |
Entity Registrant Name | UNITED STATIONERS INC | |
Entity Central Index Key | 355999 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 38,317,621 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $23,631 | $20,812 |
Accounts receivable, less allowance for doubtful accounts of $18,043 in 2015 and $19,725 in 2014 | 665,426 | 702,527 |
Inventories | 871,310 | 926,809 |
Assets held for sale | 15,799 | |
Other current assets | 31,226 | 30,042 |
Total current assets | 1,607,392 | 1,680,190 |
Property, plant and equipment, net | 133,640 | 138,217 |
Goodwill | 394,186 | 398,042 |
Intangible assets, net | 96,797 | 111,958 |
Other long-term assets | 49,440 | 41,810 |
Total assets | 2,281,455 | 2,370,217 |
Current liabilities: | ||
Accounts payable | 467,657 | 485,241 |
Accrued liabilities | 175,770 | 192,792 |
Liabilities held for sale | 6,956 | |
Current maturities of long-term debt | 41 | 851 |
Total current liabilities | 650,424 | 678,884 |
Deferred income taxes | 13,985 | 17,763 |
Long-term debt | 684,238 | 713,058 |
Other long-term liabilities | 104,413 | 104,394 |
Total liabilities | 1,453,060 | 1,514,099 |
Stockholders’ equity: | ||
Common stock, $0.10 par value; authorized - 100,000,000 shares, issued - 74,435,628 shares in 2015 and 2014 | 7,444 | 7,444 |
Additional paid-in capital | 413,546 | 412,291 |
Treasury stock, at cost – 36,089,975 shares in 2015 and 35,719,041 shares in 2014 | -1,057,955 | -1,042,501 |
Retained earnings | 1,532,325 | 1,541,675 |
Accumulated other comprehensive loss | -66,965 | -62,791 |
Total stockholders’ equity | 828,395 | 856,118 |
Total liabilities and stockholders’ equity | $2,281,455 | $2,370,217 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, except Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $18,043 | $19,725 |
Common stock, par value | $0.10 | $0.10 |
Common stock, authorized | 100,000,000 | 100,000,000 |
Common stock, issued | 74,435,628 | 74,435,628 |
Treasury stock, shares | 36,089,975 | 35,719,041 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement [Abstract] | ||
Net sales | $1,332,375 | $1,254,139 |
Cost of goods sold | 1,127,925 | 1,067,056 |
Gross profit | 204,450 | 187,083 |
Operating expenses: | ||
Warehousing, marketing and administrative expenses | 198,372 | 148,849 |
Operating income | 6,078 | 38,234 |
Interest expense, net | 4,839 | 3,374 |
Income before income taxes | 1,239 | 34,860 |
Income tax expense | 5,231 | 13,003 |
Net (loss) income | ($3,992) | $21,857 |
Net (loss) income per share - basic: | ($0.10) | $0.56 |
Average number of common shares outstanding - basic | 38,115 | 39,194 |
Net (loss) income per share - diluted: | ($0.10) | $0.55 |
Average number of common shares outstanding - diluted | 38,534 | 39,655 |
Dividends declared per share | $0.14 | $0.14 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net (loss) income | ($3,992) | $21,857 |
Other comprehensive (loss) income, net of tax | ||
Unrealized translation adjustment | -4,630 | -545 |
Minimum pension liability adjustments | 932 | 581 |
Unrealized interest rate swap adjustments | -476 | -159 |
Total other comprehensive loss, net of tax | -4,174 | -123 |
Comprehensive (loss) income | ($8,166) | $21,734 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash Flows From Operating Activities: | ||
Net (loss) income | ($3,992) | $21,857 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||
Depreciation and amortization | 12,223 | 9,523 |
Share-based compensation | 2,640 | 3,225 |
Gain on the disposition of property, plant and equipment | -15 | -4 |
Amortization of capitalized financing costs | 272 | 287 |
Excess tax benefits related to share-based compensation | -262 | -494 |
Asset impairment charges | 23,610 | |
Deferred income taxes | -1,858 | -2,450 |
Changes in operating assets and liabilities (net of acquisitions): | ||
Decrease (increase) in accounts receivable, net | 26,217 | -15,583 |
Decrease in inventory | 42,759 | 81,714 |
Increase in other assets | -10,126 | -1,041 |
Increase (decrease) in accounts payable | 645 | -47,191 |
Decrease in checks in-transit | -13,613 | -31,751 |
Decrease in accrued liabilities | -16,521 | -13,654 |
Increase (decrease) in other liabilities | 743 | -2,948 |
Net cash provided by operating activities | 62,722 | 1,490 |
Cash Flows From Investing Activities: | ||
Capital expenditures | -5,490 | -6,390 |
Proceeds from the disposition of property, plant and equipment | 18 | 458 |
Net cash used in investing activities | -5,472 | -5,932 |
Cash Flows From Financing Activities: | ||
Net (repayments) borrowings under revolving credit facility | -29,630 | 4,562 |
Borrowings under Receivables Securitization Program | 0 | 9,300 |
Repayment of debt | 0 | -135,000 |
Proceeds from the issuance of debt | 0 | 150,000 |
Net disbursements from share-based compensation arrangements | -875 | -1,704 |
Acquisition of treasury stock, at cost | -16,028 | -12,491 |
Payment of cash dividends | -5,396 | -5,509 |
Excess tax benefits related to share-based compensation | 262 | 494 |
Payment of debt issuance costs | -36 | -605 |
Net cash (used in) provided by financing activities | -51,703 | 9,047 |
Effect of exchange rate changes on cash and cash equivalents | -1,758 | 33 |
Transfer of cash to held for sale | -970 | |
Net change in cash and cash equivalents | 2,819 | 4,638 |
Cash and cash equivalents, beginning of period | 20,812 | 22,326 |
Cash and cash equivalents, end of period | 23,631 | 26,964 |
Other Cash Flow Information: | ||
Income tax payments, net | 3,183 | 2,236 |
Interest paid | $6,213 | $2,424 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation |
The accompanying Condensed Consolidated Financial Statements represent United Stationers Inc. (“USI”) with its wholly owned subsidiary United Stationers Supply Co. (“USSC”), and USSC’s subsidiaries (collectively, “United” or the “Company”). The Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States and include the accounts of USI and its subsidiaries. All intercompany transactions and balances have been eliminated. The Company operates in a single reportable segment as a leading distributor of business essentials. | |
During the first quarter of 2015, the Company approved a plan to change its corporate name to Essendant Inc., effective in June of 2015. See footnote 5, “Goodwill and Intangible Assets” for further disclosure. | |
The accompanying Condensed Consolidated Financial Statements are unaudited, except for the Condensed Consolidated Balance Sheet as of December 31, 2014, which was derived from the December 31, 2014 audited financial statements. The Condensed Consolidated Financial Statements have been prepared in accordance with the rules and regulations of the United States Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements, prepared in accordance with accounting principles generally accepted in the United States, have been condensed or omitted pursuant to such rules and regulations. Accordingly, the reader of this Quarterly Report on Form 10-Q should refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 for further information. | |
In the opinion of management, the accompanying unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the financial position of United at March 31, 2015 and the results of operations and cash flows for the three months ended March 31, 2015 and 2014. The results of operations for the three months ended March 31, 2015 should not necessarily be taken as indicative of the results of operations that may be expected for the entire year. | |
Inventory | |
The Company uses the last-in, first-out (“LIFO”) method for valuing approximately 75% and 74% of its total inventory as of March 31, 2015 and December 31, 2014, respectively. The remaining inventory is valued under the first-in, first-out (“FIFO”) accounting method. An actual valuation of inventory under the LIFO method can be made only at the end of each fiscal year based on the inventory levels and costs at that time. Interim LIFO calculations are based on management’s estimates of expected year-end inventory levels and costs, and are subject to the final year-end LIFO inventory valuation. Inventory valued under the FIFO and LIFO accounting methods is recorded at the lower of cost or market. If the Company had valued its entire inventory under the lower of FIFO cost or market, inventory would have been $120.9 million and $118.6 million higher than reported as of March 31, 2015 and December 31, 2014, respectively. | |
The quarterly change in the LIFO reserve as of March 31, 2015 resulted in a $2.3 million increase in cost of goods sold related to 2015 inflation. The change in the LIFO reserves as of March 31, 2014 resulted in a $0.5 million decrease in costs of goods sold which included LIFO liquidations relating to decrements in the Company’s office products and furniture pools which resulted in a $4.0 million liquidation of LIFO inventory quantities carried at lower costs in prior years as compared with the cost of purchases in the year. This liquidation was partially offset by LIFO expense of $3.5 million related to 2014 inflation. | |
New Accounting Pronouncements | |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue From Contracts With Customers, that outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The ASU is based on the principle that an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to fulfill a contract. Entities have the option of using either a full retrospective or a modified retrospective approach for the adoption of the new standard. This standard is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating the new guidance to determine the impact it will have on its consolidated financial statements. | |
Acquisitions_and_Dispositions
Acquisitions and Dispositions | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Business Combinations [Abstract] | ||||||||
Acquisitions and Dispositions | 2. Acquisitions and Dispositions | |||||||
Acquisition of CPO Commerce, Inc. | ||||||||
On May 30, 2014, USSC completed the acquisition of CPO, a leading online retailer of brand name power tools and equipment. The acquisition of CPO significantly expanded the Company’s digital resources and capabilities to support resellers as they transition to an increasingly online environment. CPO’s expertise will strengthen United’s ability to offer features like improved product content, real-time access to inventory and pricing, digital marketing and merchandising, and an enhanced digital platform to our resellers and manufacturing partners. | ||||||||
The purchase price was $37.8 million, including $5.5 million related to the estimated fair value of contingent consideration which is based upon the achievement of certain sales targets during a three-year period immediately following the acquisition date. The final payments related to the contingent consideration will be determined by actual achievement in the earn-out periods and will be between zero and $10 million. Any changes to the estimated fair value after the original purchase accounting is completed will be recorded in “warehousing, marketing and administrative expenses” in the period in which a change occurs. The Company financed the 100% stock acquisition with borrowings under the Company’s available committed bank facilities. | ||||||||
The Company has developed a preliminary estimate of the fair value of assets acquired and liabilities assumed for purposes of allocating the purchase price. This estimate is subject to change as the valuation activities are completed. The fair value of the assets and liabilities acquired were estimated using various valuation methods including estimated selling price, a market approach, and discounted cash flows using both an income and cost approach. | ||||||||
At March 31, 2015, the preliminary allocation of the purchase price is as follows (amounts in thousands): | ||||||||
Purchase price, net of cash acquired | $ | 32,225 | ||||||
Accounts receivable | $ | (2,658 | ) | |||||
Inventories | (13,051 | ) | ||||||
Other current assets | (307 | ) | ||||||
Property, plant and equipment, net | (488 | ) | ||||||
Intangible assets | (12,800 | ) | ||||||
Total assets acquired | (29,304 | ) | ||||||
Accounts payable | 17,131 | |||||||
Accrued liabilities | 2,139 | |||||||
Deferred income taxes | 3,453 | |||||||
Other long-term liabilities | 51 | |||||||
Total liabilities assumed | 22,774 | |||||||
Goodwill | $ | 25,695 | ||||||
The purchased identifiable intangible assets are as follows (amounts in thousands): | ||||||||
Total | Estimated Life | |||||||
Customer relationships | $ | 5,200 | 3 years | |||||
Trademark | 7,600 | 15 years | ||||||
Total | $ | 12,800 | ||||||
Any changes to the preliminary estimates of the fair value of assets acquired and liabilities assumed, some of which may be material, will be allocated to residual goodwill. | ||||||||
Acquisition of MEDCO | ||||||||
On October 31, 2014, USSC completed the acquisition of all of the capital stock of Liberty Bell Equipment Corp., a United States wholesaler of automotive aftermarket tools and equipment, and its affiliates (collectively, MEDCO) including G2S Equipment de Fabrication et d’Entretien ULC, a Canadian wholesaler. MEDCO advances a key pillar of the Company’s strategy, which is to diversify into higher growth and margin channels and categories. It also brings expanded categories and services to customers. | ||||||||
The purchase price was $149.9 million, including $4.7 million related to the estimated fair value of contingent consideration which is based upon the achievements of certain sales and EBITDA targets over the next three years as well as $6.0 million reserved as a payable upon completion of an eighteen month indemnification period. The final payments related to the contingent consideration will be determined by actual achievement in the earn-out periods and will be between zero and $10 million. Any changes to the estimated fair value after the original purchase accounting is completed will be recorded in “warehousing, marketing and administrative expenses” in the period in which a change occurs. This acquisition was funded through a combination of cash on hand and cash available under the Company’s committed bank facilities. | ||||||||
The Company has developed a preliminary estimate of the fair value of assets acquired and liabilities assumed for purposes of allocating the purchase price. The estimate is subject to change as the valuation activities are completed. The fair value of the assets and liabilities acquired were estimated using various valuation methods including estimated selling price, a market approach, and discounted cash flows using both an income and cost approach. | ||||||||
At March 31, 2015, the preliminary allocation of the purchase price is as follows (amounts in thousands): | ||||||||
Purchase price, net of cash acquired | $ | 145,340 | ||||||
Accounts receivable | $ | (44,815 | ) | |||||
Inventories | (54,656 | ) | ||||||
Other current assets | (1,299 | ) | ||||||
Property, plant and equipment, net | (4,408 | ) | ||||||
Deferred income tax assets | (1,101 | ) | ||||||
Other assets | (442 | ) | ||||||
Intangible assets | (44,070 | ) | ||||||
Total assets acquired | (150,791 | ) | ||||||
Accounts payable | 32,383 | |||||||
Accrued liabilities | 3,976 | |||||||
Other long-term liabilities | 52 | |||||||
Total liabilities assumed | 36,411 | |||||||
Goodwill | $ | 30,960 | ||||||
The purchased identifiable intangible assets are as follows (amounts in thousands): | ||||||||
Total | Estimated Life | |||||||
Customer relationships | $ | 40,030 | 4-15 years | |||||
Trademarks | 4,040 | 3-15 years | ||||||
Total | $ | 44,070 | ||||||
Any changes to the preliminary allocation of the purchase price, some of which may be material, will be allocated to residual goodwill. | ||||||||
Assets Held for Sale | ||||||||
On February 10, 2015, the Company approved a plan to sell its operations in Mexico as the subsidiary is not strategic to the Company’s long-term business plan. The Company plans to dispose of the entity in 2015. As of the approval date, in accordance with Accounting Standards Codification (ASC) 360-10-45-9, the Mexican subsidiary met all of the criteria to be classified as a held-for-sale asset. In accordance with ASC 350-20-40, the Company allocated a proportionate share of the goodwill balance from the office product and janitorial and breakroom supply reporting unit based on the subsidiary’s relative fair value to the reporting unit and performed an impairment test for the allocated goodwill utilizing the cost approach to value the entity. Based upon the impairment test, the $3.3 million of goodwill was determined to be fully impaired. Additionally, in conjunction with classifying the subsidiary as a held-for-sale asset disposal group, the Company revalued the disposal group to fair value using the cost-approach method less the estimated cost to sell. The carrying value, including a $10.1 million cumulative foreign currency translation adjustment, of the disposal was then compared to the fair value less the estimated cost to sell resulting in a pre-tax impairment loss of $10.1 million. The goodwill impairment of $3.3 million, the held-for-sale impairment of $10.1 million and the $0.1 million estimated cost to sell are recorded in the first quarter of 2015 within “warehousing, marketing and administrative expenses.” The Company anticipates additional financial statement impacts during the remainder of 2015 related to transaction costs, foreign exchange volatility, and operating results. | ||||||||
As of March 31, 2015, the carrying amounts, excluding intercompany accounts, of the Mexican subsidiary by major classes of assets and liabilities included in the Consolidated Balance Sheet are as follows (in thousands): | ||||||||
Amount | ||||||||
Assets held for sale: | ||||||||
Cash and cash equivalents | $ | 970 | ||||||
Accounts receivable, less allowance for doubtful accounts | 10,980 | |||||||
Inventories | 12,753 | |||||||
Other current assets | 573 | |||||||
Net property, plant equipment | 112 | |||||||
Other assets | 658 | |||||||
Held-for-sale valuation allowance | (10,247 | ) | ||||||
Total assets held for sale | $ | 15,799 | ||||||
Liabilities held for sale: | ||||||||
Accounts payable | 4,618 | |||||||
Accrued liabilities | 1,782 | |||||||
Other long-term liabilities | 556 | |||||||
Total liabilities held for sale | $ | 6,956 | ||||||
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended |
Mar. 31, 2015 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation | 3. Share-Based Compensation |
As of March 31, 2015, the Company has two active equity compensation plans. Under the Amended and Restated 2004 Long-Term Incentive Plan, award vehicles include, but are not limited to, stock options, restricted stock awards, restricted stock units (“RSUs”), and performance-based awards. Associates and non-employee directors of the Company are eligible to become participants in the plan. The Nonemployee Directors’ Deferred Stock Compensation Plan allows non-employee directors to elect to defer receipt of all or a portion of their retainer and meeting fees. | |
The Company granted 46,229 shares of restricted stock and 145,552 RSUs during the first three months of 2015. No stock options were granted during the first quarter of 2015. During the first three months of 2014, the Company granted 56,451 shares of restricted stock, 145,355 RSUs, and 5,538 stock options. |
Severance_and_Restructuring_Ch
Severance and Restructuring Charges | 3 Months Ended |
Mar. 31, 2015 | |
Restructuring And Related Activities [Abstract] | |
Severance and Restructuring Charges | 4. Severance and Restructuring Charges |
During the first quarter of 2015, the Company recorded a $6.0 million pre-tax charge relating to a workforce reduction and a $0.4 million pre-tax charge relating to facility consolidations that was included in “warehousing, marketing and administrative expenses.” Cash outflows for these actions will occur primarily in 2015 and were approximately $0.5 million in the three months ended March 31, 2015. As of March 31, 2015, the Company has accrued liabilities for these actions of $5.9 million. The Company is estimating an additional $2.6 million to be incurred in the remainder of 2015 due to facility closures related to this action for a total 2015 expense of approximately $9.0 million. | |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||||
Goodwill and Intangible Assets | 5. Goodwill and Intangible Assets | |||||||||||||||||||||||||||
The changes in the carrying amount of goodwill are noted in the following table (in thousands): | ||||||||||||||||||||||||||||
Goodwill, balance as of December 31, 2014 | $ | 398,042 | ||||||||||||||||||||||||||
Impairment | (3,319 | ) | ||||||||||||||||||||||||||
Purchase accounting adjustments | 1,034 | |||||||||||||||||||||||||||
Currency translation adjustment | (1,571 | ) | ||||||||||||||||||||||||||
Goodwill, balance as of March 31, 2015 | $ | 394,186 | ||||||||||||||||||||||||||
The following table summarizes the intangible assets of the Company by major class of intangible assets and the cost, accumulated amortization, net carrying amount, and weighted average life, if applicable (in thousands): | ||||||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||||||||||||||
Weighted | Weighted | |||||||||||||||||||||||||||
Average | Average | |||||||||||||||||||||||||||
Gross | Net | Useful | Gross | Net | Useful | |||||||||||||||||||||||
Carrying | Accumulated | Carrying | Life | Carrying | Accumulated | Carrying | Life | |||||||||||||||||||||
Amount | Amortization | Amount | (years) | Amount | Amortization | Amount | (years) | |||||||||||||||||||||
Intangible assets subject to amortization | ||||||||||||||||||||||||||||
Customer relationships and other intangibles | $ | 124,697 | $ | (43,813 | ) | $ | 80,884 | 16 | $ | 125,761 | $ | (41,123 | ) | $ | 84,638 | 16 | ||||||||||||
Non-compete agreements | 4,658 | (2,675 | ) | 1,983 | 4 | 4,672 | (2,364 | ) | 2,308 | 4 | ||||||||||||||||||
Trademarks | 13,728 | (1,398 | ) | 12,330 | 14 | 14,428 | (1,716 | ) | 12,712 | 13 | ||||||||||||||||||
Total | $ | 143,083 | $ | (47,886 | ) | $ | 95,197 | $ | 144,861 | $ | (45,203 | ) | $ | 99,658 | ||||||||||||||
Intangible assets not subject to amortization | ||||||||||||||||||||||||||||
Trademarks | 1,600 | - | 1,600 | n/a | 12,300 | - | 12,300 | n/a | ||||||||||||||||||||
Total | $ | 144,683 | $ | (47,886 | ) | $ | 96,797 | $ | 157,161 | $ | (45,203 | ) | $ | 111,958 | ||||||||||||||
During the first quarter of 2015, the Company approved a plan to change its corporate name in order to more accurately reflect its purpose and vision. The corporate names of the Company and several of its operating subsidiaries, including USSC and ORS Nasco, LLC, will change in the second quarter of the year. Accordingly, in the first quarter of 2015, the Company recorded a pre-tax non-cash impairment charge of $10.2 million to write-down the trademarks of ORS Nasco and certain OKI brands to their fair value. It was also determined that the useful lives did not extend past 2015. This impairment charge was recorded in “warehousing, marketing and administrative expenses.” The Company utilized the discounted cash flow method to determine the fair value of the intangibles based upon management’s current forecasted future revenues from the trademarks. The Company determined the useful lives of these intangibles based upon management’s timeline for rebranding. The trademarks had a total value of $1.5 million at March 31, 2015 and will be fully amortized by December 31, 2015. The Company is evaluating how it will utilize these assets in the future. | ||||||||||||||||||||||||||||
The following table summarizes the amortization expense to be incurred in 2015 and over the next four years on intangible assets (in thousands): | ||||||||||||||||||||||||||||
Year | Amount | |||||||||||||||||||||||||||
2015 | $ | 11,355 | ||||||||||||||||||||||||||
2016 | 12,785 | |||||||||||||||||||||||||||
2017 | 10,805 | |||||||||||||||||||||||||||
2018 | 7,452 | |||||||||||||||||||||||||||
2019 | 5,679 | |||||||||||||||||||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | 6. Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||
The change in Accumulated Other Comprehensive Income (Loss) (“AOCI”) by component, net of tax, for the period ended March 31, 2015 is as follows (amounts in thousands): | |||||||||||||||||
Foreign Currency Translation | Cash Flow Hedges | Defined Benefit Pension Plans | Total | ||||||||||||||
AOCI, balance as of December 31, 2014 | $ | (11,923 | ) | $ | 274 | $ | (51,142 | ) | $ | (62,791 | ) | ||||||
Other comprehensive (loss) income before reclassifications | (4,630 | ) | (702 | ) | - | (5,332 | ) | ||||||||||
Amounts reclassified from AOCI | - | 226 | 932 | 1,158 | |||||||||||||
Net other comprehensive (loss) income | (4,630 | ) | (476 | ) | 932 | (4,174 | ) | ||||||||||
AOCI, balance as of March 31, 2015 | $ | (16,553 | ) | $ | (202 | ) | $ | (50,210 | ) | $ | (66,965 | ) | |||||
The following table details the amounts reclassified out of AOCI into the income statement during the three-month period ending March 31, 2015 respectively (in thousands): | |||||||||||||||||
Amount Reclassified From AOCI | |||||||||||||||||
For the Three | |||||||||||||||||
Months Ended | |||||||||||||||||
March 31, | Affected Line Item In The Statement | ||||||||||||||||
Details About AOCI Components | 2015 | Where Net Income is Presented | |||||||||||||||
Gain on interest rate swap cash flow hedges, before tax | $ | 364 | Interest expense, net | ||||||||||||||
(138 | ) | Tax provision | |||||||||||||||
$ | 226 | Net of tax | |||||||||||||||
Amortization of defined benefit pension plan items: | |||||||||||||||||
Prior service cost and unrecognized loss | $ | 1,525 | Warehousing, marketing and administrative expenses | ||||||||||||||
(593 | ) | Tax provision | |||||||||||||||
932 | Net of tax | ||||||||||||||||
Total reclassifications for the period | $ | 1,158 | Net of tax | ||||||||||||||
Earnings_Per_Share
Earnings Per Share | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
Earnings Per Share | 7. Earnings Per Share | ||||||||
Basic earnings per share (“EPS”) is computed by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted EPS reflects the potential dilution that could occur if dilutive securities were exercised into common stock. Stock options, restricted stock, restricted stock units and deferred stock units are considered dilutive securities. For the three-month periods ending March 31, 2015 and 2014, 0.4 million and 0.5 million shares of such securities, respectively, were outstanding but were not included in the computation of diluted earnings per share because the effect would be antidilutive. The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data): | |||||||||
For the Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Numerator: | |||||||||
Net (loss) income | $ | (3,992 | ) | $ | 21,857 | ||||
Denominator: | |||||||||
Denominator for basic earnings per share - | |||||||||
weighted average shares | 38,115 | 39,194 | |||||||
Effect of dilutive securities: | |||||||||
Employee stock options and restricted units | 419 | 461 | |||||||
Denominator for diluted earnings per share - | |||||||||
Adjusted weighted average shares and the effect of dilutive | |||||||||
securities | 38,534 | 39,655 | |||||||
Net income per share: | |||||||||
Net (loss) income per share - basic | $ | (0.10 | ) | $ | 0.56 | ||||
Net (loss) income per share - diluted | $ | (0.10 | ) | $ | 0.55 | ||||
Common Stock Repurchases | |||||||||
As of December 31, 2014, the Company had Board authorization to repurchase $42.4 million of USI common stock. In February 2015, the Board of Directors authorized the Company to purchase an additional $100.0 million of common stock. During the three-month periods ended March 31, 2015 and 2014, the Company repurchased 402,679 and 331,369 shares of USI’s common stock at an aggregate cost of $16.3 million and $13.7 million, respectively. Depending on market and business conditions and other factors, the Company may continue or suspend purchasing its common stock at any time without notice. Acquired shares are included in the issued shares of the Company and treasury stock, but are not included in average shares outstanding when calculating earnings per share data. During the first three months of 2015 and 2014, the Company reissued 31,745 and 73,750 shares, respectively, of treasury stock to fulfill its obligations under its equity incentive plans. |
Debt
Debt | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Debt | 8. Debt | |||||||
USI is a holding company and, as a result, its primary sources of funds are cash generated from operating activities of its direct operating subsidiary, USSC, and from borrowings by USSC. The 2013 Credit Agreement, the 2013 Note Purchase Agreement, and the Receivables Securitization Program (each as defined in Note 9 of the Company’s Form 10-K for the year ended December 31, 2014) contain restrictions on the use of cash transferred from USSC to USI. | ||||||||
Debt consisted of the following amounts (in millions): | ||||||||
As of | As of | |||||||
March 31, 2015 | December 31, 2014 | |||||||
2013 Credit Agreement | $ | 334.2 | $ | 363 | ||||
2013 Note Purchase Agreement | 150 | 150 | ||||||
Receivables Securitization Program | 200 | 200 | ||||||
Mortgage & Capital Lease | 0.1 | 0.9 | ||||||
Total | $ | 684.3 | $ | 713.9 | ||||
As of March 31, 2015, 78.1% of the Company’s outstanding debt, excluding capital leases, is priced at variable interest rates based primarily on the applicable bank prime rate or London InterBank Offered Rate (“LIBOR”). | ||||||||
The Company had outstanding letters of credit of $11.1 million under the 2013 Credit Agreement as of March 31, 2015 and December 31, 2014. | ||||||||
Borrowings under the 2013 Credit Agreement bear interest at LIBOR for specified interest periods or at the Alternate Base Rate (as defined in the 2013 Credit Agreement), plus, in each case, a margin determined based on the Company’s permitted debt to EBITDA ratio calculated as provided in Section 6.20 of the 2013 Credit Agreement (the “Leverage Ratio”). Depending on the Company’s Leverage Ratio, the margin on LIBOR-based loans ranges from 1.00% to 2.00% and on Alternate Base Rate loans ranges from 0% to 1.00%. As of March 31, 2015, the applicable margin for LIBOR-based loans was 1.375% and for Alternate Base Rate loans was 0.375%. USSC is required to pay the lenders a fee on the unutilized portion of the commitments under the 2013 Credit Agreement at a rate per annum between 0.15% and 0.35%, depending on the Company’s Leverage Ratio. | ||||||||
As of March 31, 2015 and December 31, 2014, $380.7 million and $360.3 million, respectively, of receivables had been sold to the Investors (as defined in Note 9 of the Company’s Form 10-K for the year ended December 31, 2014). United Stationers Receivables, LLC (“USR”) had $200.0 million outstanding under the Receivables Securitization Program as of March 31, 2015 and December 31, 2014. | ||||||||
For additional information about the 2013 Credit Agreement, the 2013 Note Purchase Agreement, and the Receivables Securitization Program, see Note 9 of the Company’s Form 10-K for the year ended December 31, 2014. |
Pension_and_PostRetirement_Ben
Pension and Post-Retirement Benefit Plans | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Compensation And Retirement Disclosure [Abstract] | |||||||||
Pension and Post-Retirement Benefit Plans | 9. Pension and Post-Retirement Benefit Plans | ||||||||
The Company maintains pension plans covering union and certain non-union employees. For more information on the Company’s retirement plans, see Note 11 to the Company’s Consolidated Financial Statements in the Form 10-K for the year ended December 31, 2014. A summary of net periodic pension cost related to the Company’s pension plans for the three months ended March 31, 2015 and 2014 is as follows (dollars in thousands): | |||||||||
For the Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
Service cost - benefit earned during the period | $ | 400 | $ | 328 | |||||
Interest cost on projected benefit obligation | 2,270 | 2,243 | |||||||
Expected return on plan assets | (2,805 | ) | (2,558 | ) | |||||
Amortization of prior service cost | 75 | 45 | |||||||
Amortization of actuarial loss | 1,450 | 905 | |||||||
Net periodic pension cost | $ | 1,390 | $ | 963 | |||||
The Company made cash contributions of $2.0 million to its pension plans during each of the quarters ended March 31, 2015 and 2014. Additional contributions, if any, for 2015 have not yet been determined. As of March 31, 2015 and December 31, 2014, respectively, the Company had accrued $48.2 million and $50.3 million of pension liability within “Other Long-Term Liabilities” on the Condensed Consolidated Balance Sheets. | |||||||||
Defined Contribution Plan | |||||||||
The Company has defined contribution plans covering certain salaried associates and non-union hourly paid associates (the “Plan”). The Plan permits associates to defer a portion of their pre-tax and after-tax salary as contributions to the Plan. The Plan also provides for Company-funded discretionary contributions as well as matching associates’ salary deferral contributions, at the discretion of the Board of Directors. The Company recorded expense of $1.4 million for the Company match of employee contributions to the Plan for the three months ended March 31, 2015 and 2014. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 3 Months Ended | |||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||||||||||||||||||
Derivative Financial Instruments | 10. Derivative Financial Instruments | |||||||||||||||||
Interest rate movements create a degree of risk to the Company’s operations by affecting the amount of interest payments. Interest rate swap agreements are used to manage the Company’s exposure to interest rate changes. The Company designates its floating-to-fixed interest rate swaps as cash flow hedges of the variability of future cash flows at the inception of the swap contract to support hedge accounting. | ||||||||||||||||||
USSC has entered into various separate swap transactions to mitigate USSC’s floating rate risk on the noted aggregate notional amount of LIBOR-based interest rate risk noted in the table below. These swap transactions occurred as follows: | ||||||||||||||||||
1 | On July 18, 2012, USSC entered into a two-year forward, three-year interest rate swap transaction (the “July 2012 Swap Transaction”) with U.S. Bank National Association as the counterparty. The swap transaction became effective July 18, 2014 and has a maturity date of July 18, 2017. | |||||||||||||||||
As of March 31, 2015, approximately 21.9% ($150.0 million) of the Company’s current outstanding debt had its interest payments designated as hedged forecasted transactions. | ||||||||||||||||||
The Company’s outstanding swap transaction is accounted for as a cash flow hedge and is recorded at fair value on the Condensed Consolidated Balance Sheet as of March 31, 2015 and December 31, 2014, at the following amounts (in thousands): | ||||||||||||||||||
Notional | Fair Value Net | |||||||||||||||||
As of March 31, 2015 | Amount | Receive | Pay | Maturity Date | Liability (1) | |||||||||||||
July 2012 Swap Transaction | $ | 150,000 | Floating 1-month LIBOR | 1.05% | July 18, 2017 | $ | 982 | |||||||||||
Notional | Fair Value Net | |||||||||||||||||
As of December 31, 2014 | Amount | Receive | Pay | Maturity Date | Liability (1) | |||||||||||||
July 2012 Swap Transaction | $ | 150,000 | Floating 1-month LIBOR | 1.05% | July 18, 2017 | $ | 253 | |||||||||||
-1 | This interest rate derivative qualifies for hedge accounting, and is in a net liability position at March 31, 2015 and December 31, 2014. Therefore, the fair value of the interest rate derivative is included in the Company’s Condensed Consolidated Balance Sheets as a component of “Other long-term liabilities,” with an offsetting component in “Stockholders’ Equity” as part of “Accumulated Other Comprehensive Loss”. | |||||||||||||||||
Under the terms of the July 2012 Swap Transaction, USSC will be required to make monthly fixed rate payments to the counterparty calculated based on the notional amounts noted in the table above at a fixed rate also noted in the table above, while the counterparty will be obligated to make monthly floating rate payments to USSC based on the one-month LIBOR on the same referenced notional amount. | ||||||||||||||||||
The hedged transactions described above qualify as cash flow hedges in accordance with accounting guidance on derivative instruments. This guidance requires companies to recognize all of their derivative instruments as either assets or liabilities in the statement of financial position at fair value. The Company does not offset fair value amounts recognized for interest rate swaps executed with the same counterparty. | ||||||||||||||||||
For derivative instruments that are designated and qualify as a cash flow hedge, the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same line item associated with the forecasted transaction in the same period or periods during which the hedged transaction affects earnings. | ||||||||||||||||||
The July 2012 Swap Transaction effectively converts a portion of the Company’s future floating-rate debt to a fixed-rate basis. This swap transaction reduces the impact of interest rate changes on future interest expense. By using such derivative financial instruments, the Company exposes itself to credit risk and market risk. Credit risk is the risk that the counterparty to the interest rate swap (as noted above) will fail to perform under the terms of the agreement. The Company attempts to minimize the credit risk in these agreements by only entering into transactions with counterparties the Company determines are creditworthy. The market risk is the adverse effect on the value of a derivative financial instrument that results from a change in interest rates. | ||||||||||||||||||
The Company’s agreement with its derivative counterparty provides that if an event of default occurs on any Company debt of $25 million or more, the counterparty can terminate the swap agreement. If an event of default had occurred and the counterparty had exercised early termination right under the outstanding swap transaction as of March 31, 2015, the Company would have been required to pay the aggregate fair value net liability of $1.0 million plus accrued interest to the counterparty. | ||||||||||||||||||
The swap transaction that was in effect as of March 31, 2015 and the swap transaction that was in effect as of March 31, 2014 contained no ineffectiveness; therefore, all gains or losses on those derivative instruments were reported as a component of other comprehensive income (“OCI”) and reclassified into earnings as “interest expense” in the same period or periods during which they affected earnings. | ||||||||||||||||||
The following table depicts the effect of these derivative instruments on the statements of income and comprehensive income for the three periods ended March 31, 2015 and March 31, 2014 (in thousands). | ||||||||||||||||||
Amount of Gain (Loss) | Amount of Gain (Loss) | |||||||||||||||||
Recognized in | Reclassified | |||||||||||||||||
OCI on Derivative | from Accumulated OCI into Income | |||||||||||||||||
(Effective Portion) | (Effective Portion) | |||||||||||||||||
For the Three | For the Three | Location of Gain (Loss) | For the Three | For the Three | ||||||||||||||
Months Ended | Months Ended | Reclassified from | Months Ended | Months Ended | ||||||||||||||
March 31, | March 31, | Accumulated OCI into | March 31, | March 31, | ||||||||||||||
2015 | 2014 | Income (Effective | 2015 | 2014 | ||||||||||||||
Portion) | ||||||||||||||||||
July 2012 Swap Transaction | $ | (124 | ) | $ | (159 | ) | Interest expense, net | $ | 331 | $ | - | |||||||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Measurements | 11. Fair Value Measurements | |||||||||||||||
The Company measures certain financial assets and liabilities at fair value on a recurring basis, including interest rate swap derivatives, based on the mark-to-market position of the Company’s positions and other observable interest rates (see Note 10 “Derivative Financial Instruments”, for more information on these interest rate swaps). | ||||||||||||||||
Accounting guidance on fair value establishes a hierarchy for those instruments measured at fair value which distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). The hierarchy consists of three levels: | ||||||||||||||||
1 | Level 1—Quoted market prices in active markets for identical assets or liabilities; | |||||||||||||||
2 | Level 2—Inputs other than Level 1 inputs that are either directly or indirectly observable; and | |||||||||||||||
3 | Level 3—Unobservable inputs developed using estimates and assumptions developed by the Company which reflect those that a market participant would use. | |||||||||||||||
Determining which level to apply to an asset or liability requires significant judgment. The Company evaluates its hierarchy disclosures each quarter. The following table summarizes the financial instruments measured at fair value in the accompanying Condensed Consolidated Balance Sheets as of March 31, 2015 and December 31, 2014 (in thousands): | ||||||||||||||||
Fair Value Measurements as of March 31, 2015 | ||||||||||||||||
Quoted Market | Significant Other | Significant | ||||||||||||||
Prices in Active | Observable | Unobservable | ||||||||||||||
Markets for | Inputs | Inputs | ||||||||||||||
Identical Assets or | ||||||||||||||||
Liabilities | ||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap liability | 982 | - | 982 | - | ||||||||||||
Total | $ | 982 | $ | - | $ | 982 | $ | - | ||||||||
Fair Value Measurements as of December 31, 2014 | ||||||||||||||||
Quoted Market | Significant Other | Significant | ||||||||||||||
Prices in Active | Observable | Unobservable | ||||||||||||||
Markets for | Inputs | Inputs | ||||||||||||||
Identical Assets or | ||||||||||||||||
Liabilities | ||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap liability | 253 | - | 253 | - | ||||||||||||
Total | $ | 253 | $ | - | $ | 253 | $ | - | ||||||||
The carrying amount of accounts receivable at March 31, 2015, including $380.7 million of receivables sold under the Receivables Securitization Program, approximates fair value because of the short-term nature of this item. | ||||||||||||||||
As of March 31, 2015, the held for sale assets and liabilities detailed in Note 2 “Acquisitions and Dispositions” and the values of the impaired trademark assets detailed in Note 5 “Goodwill and Intangible Assets” were measured at fair value on a nonrecurring basis. No other assets or liabilities are measured at fair value on a nonrecurring basis. |
Other_Assets_and_Liabilities
Other Assets and Liabilities | 3 Months Ended |
Mar. 31, 2015 | |
Regulatory Assets And Liabilities Disclosure [Abstract] | |
Other Assets and Liabilities | 12. Other Assets and Liabilities |
The Company had receivables related to supplier allowances totaling $76.9 million and $124.4 million included in “Accounts receivable” in the Condensed Consolidated Balance Sheets as of March 31, 2015 and December 31, 2014, respectively. | |
Accrued customer rebates of $45.7 million and $63.2 million as of March 31, 2015 and December 31, 2014, respectively, were included in “Accrued liabilities” in the Condensed Consolidated Balance Sheets. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 13. Income Taxes |
The Company's tax provision for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items. | |
For the three months ended March 31, 2015, the Company recorded income tax expense of $5.2 million on pre-tax income of $1.2 million, for an effective tax rate of 422.2%. For the three months ended March 31, 2014, the Company recorded income tax expense of $13.0 million on pre-tax income of $34.9 million, for an effective tax rate of 37.3%. | |
The Company's U.S. statutory rate is 35.0%. The most significant factor impacting the effective tax rate for the three months ended March 31, 2015 were the discrete tax impacts of the impairment charges for financial reporting purposes related to placing a non-strategic business for sale in the quarter. There were no significant discrete items for the three months ended March 31, 2014. |
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Consolidation, Policy | The accompanying Condensed Consolidated Financial Statements represent United Stationers Inc. (“USI”) with its wholly owned subsidiary United Stationers Supply Co. (“USSC”), and USSC’s subsidiaries (collectively, “United” or the “Company”). The Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States and include the accounts of USI and its subsidiaries. All intercompany transactions and balances have been eliminated. The Company operates in a single reportable segment as a leading distributor of business essentials. |
During the first quarter of 2015, the Company approved a plan to change its corporate name to Essendant Inc., effective in June of 2015. See footnote 5, “Goodwill and Intangible Assets” for further disclosure. | |
The accompanying Condensed Consolidated Financial Statements are unaudited, except for the Condensed Consolidated Balance Sheet as of December 31, 2014, which was derived from the December 31, 2014 audited financial statements. The Condensed Consolidated Financial Statements have been prepared in accordance with the rules and regulations of the United States Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements, prepared in accordance with accounting principles generally accepted in the United States, have been condensed or omitted pursuant to such rules and regulations. Accordingly, the reader of this Quarterly Report on Form 10-Q should refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 for further information. | |
In the opinion of management, the accompanying unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the financial position of United at March 31, 2015 and the results of operations and cash flows for the three months ended March 31, 2015 and 2014. The results of operations for the three months ended March 31, 2015 should not necessarily be taken as indicative of the results of operations that may be expected for the entire year. | |
Inventory | Inventory |
The Company uses the last-in, first-out (“LIFO”) method for valuing approximately 75% and 74% of its total inventory as of March 31, 2015 and December 31, 2014, respectively. The remaining inventory is valued under the first-in, first-out (“FIFO”) accounting method. An actual valuation of inventory under the LIFO method can be made only at the end of each fiscal year based on the inventory levels and costs at that time. Interim LIFO calculations are based on management’s estimates of expected year-end inventory levels and costs, and are subject to the final year-end LIFO inventory valuation. Inventory valued under the FIFO and LIFO accounting methods is recorded at the lower of cost or market. If the Company had valued its entire inventory under the lower of FIFO cost or market, inventory would have been $120.9 million and $118.6 million higher than reported as of March 31, 2015 and December 31, 2014, respectively. | |
The quarterly change in the LIFO reserve as of March 31, 2015 resulted in a $2.3 million increase in cost of goods sold related to 2015 inflation. The change in the LIFO reserves as of March 31, 2014 resulted in a $0.5 million decrease in costs of goods sold which included LIFO liquidations relating to decrements in the Company’s office products and furniture pools which resulted in a $4.0 million liquidation of LIFO inventory quantities carried at lower costs in prior years as compared with the cost of purchases in the year. This liquidation was partially offset by LIFO expense of $3.5 million related to 2014 inflation. | |
New Accounting Pronouncements | New Accounting Pronouncements |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue From Contracts With Customers, that outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. The ASU is based on the principle that an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to fulfill a contract. Entities have the option of using either a full retrospective or a modified retrospective approach for the adoption of the new standard. This standard is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating the new guidance to determine the impact it will have on its consolidated financial statements. | |
Acquisitions_and_Dispositions_
Acquisitions and Dispositions (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Mexican subsidiary [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Carrying Amounts by Major Classes of Assets and Liabilities | As of March 31, 2015, the carrying amounts, excluding intercompany accounts, of the Mexican subsidiary by major classes of assets and liabilities included in the Consolidated Balance Sheet are as follows (in thousands): | |||||||
Amount | ||||||||
Assets held for sale: | ||||||||
Cash and cash equivalents | $ | 970 | ||||||
Accounts receivable, less allowance for doubtful accounts | 10,980 | |||||||
Inventories | 12,753 | |||||||
Other current assets | 573 | |||||||
Net property, plant equipment | 112 | |||||||
Other assets | 658 | |||||||
Held-for-sale valuation allowance | (10,247 | ) | ||||||
Total assets held for sale | $ | 15,799 | ||||||
Liabilities held for sale: | ||||||||
Accounts payable | 4,618 | |||||||
Accrued liabilities | 1,782 | |||||||
Other long-term liabilities | 556 | |||||||
Total liabilities held for sale | $ | 6,956 | ||||||
CPO Commerce, Inc [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Purchase Price Allocation | At March 31, 2015, the preliminary allocation of the purchase price is as follows (amounts in thousands): | |||||||
Purchase price, net of cash acquired | $ | 32,225 | ||||||
Accounts receivable | $ | (2,658 | ) | |||||
Inventories | (13,051 | ) | ||||||
Other current assets | (307 | ) | ||||||
Property, plant and equipment, net | (488 | ) | ||||||
Intangible assets | (12,800 | ) | ||||||
Total assets acquired | (29,304 | ) | ||||||
Accounts payable | 17,131 | |||||||
Accrued liabilities | 2,139 | |||||||
Deferred income taxes | 3,453 | |||||||
Other long-term liabilities | 51 | |||||||
Total liabilities assumed | 22,774 | |||||||
Goodwill | $ | 25,695 | ||||||
Summary of Purchased Identifiable Intangible Assets | The purchased identifiable intangible assets are as follows (amounts in thousands): | |||||||
Total | Estimated Life | |||||||
Customer relationships | $ | 5,200 | 3 years | |||||
Trademark | 7,600 | 15 years | ||||||
Total | $ | 12,800 | ||||||
MEDCO [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Purchase Price Allocation | At March 31, 2015, the preliminary allocation of the purchase price is as follows (amounts in thousands): | |||||||
Purchase price, net of cash acquired | $ | 145,340 | ||||||
Accounts receivable | $ | (44,815 | ) | |||||
Inventories | (54,656 | ) | ||||||
Other current assets | (1,299 | ) | ||||||
Property, plant and equipment, net | (4,408 | ) | ||||||
Deferred income tax assets | (1,101 | ) | ||||||
Other assets | (442 | ) | ||||||
Intangible assets | (44,070 | ) | ||||||
Total assets acquired | (150,791 | ) | ||||||
Accounts payable | 32,383 | |||||||
Accrued liabilities | 3,976 | |||||||
Other long-term liabilities | 52 | |||||||
Total liabilities assumed | 36,411 | |||||||
Goodwill | $ | 30,960 | ||||||
Summary of Purchased Identifiable Intangible Assets | The purchased identifiable intangible assets are as follows (amounts in thousands): | |||||||
Total | Estimated Life | |||||||
Customer relationships | $ | 40,030 | 4-15 years | |||||
Trademarks | 4,040 | 3-15 years | ||||||
Total | $ | 44,070 | ||||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 3 Months Ended | |||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||||
Summary of Changes in Carrying Amount of Goodwill | The changes in the carrying amount of goodwill are noted in the following table (in thousands): | |||||||||||||||||||||||||||
Goodwill, balance as of December 31, 2014 | $ | 398,042 | ||||||||||||||||||||||||||
Impairment | (3,319 | ) | ||||||||||||||||||||||||||
Purchase accounting adjustments | 1,034 | |||||||||||||||||||||||||||
Currency translation adjustment | (1,571 | ) | ||||||||||||||||||||||||||
Goodwill, balance as of March 31, 2015 | $ | 394,186 | ||||||||||||||||||||||||||
Summary of Intangible Assets of Company by Major Class | The following table summarizes the intangible assets of the Company by major class of intangible assets and the cost, accumulated amortization, net carrying amount, and weighted average life, if applicable (in thousands): | |||||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||||||||||||||
Weighted | Weighted | |||||||||||||||||||||||||||
Average | Average | |||||||||||||||||||||||||||
Gross | Net | Useful | Gross | Net | Useful | |||||||||||||||||||||||
Carrying | Accumulated | Carrying | Life | Carrying | Accumulated | Carrying | Life | |||||||||||||||||||||
Amount | Amortization | Amount | (years) | Amount | Amortization | Amount | (years) | |||||||||||||||||||||
Intangible assets subject to amortization | ||||||||||||||||||||||||||||
Customer relationships and other intangibles | $ | 124,697 | $ | (43,813 | ) | $ | 80,884 | 16 | $ | 125,761 | $ | (41,123 | ) | $ | 84,638 | 16 | ||||||||||||
Non-compete agreements | 4,658 | (2,675 | ) | 1,983 | 4 | 4,672 | (2,364 | ) | 2,308 | 4 | ||||||||||||||||||
Trademarks | 13,728 | (1,398 | ) | 12,330 | 14 | 14,428 | (1,716 | ) | 12,712 | 13 | ||||||||||||||||||
Total | $ | 143,083 | $ | (47,886 | ) | $ | 95,197 | $ | 144,861 | $ | (45,203 | ) | $ | 99,658 | ||||||||||||||
Intangible assets not subject to amortization | ||||||||||||||||||||||||||||
Trademarks | 1,600 | - | 1,600 | n/a | 12,300 | - | 12,300 | n/a | ||||||||||||||||||||
Total | $ | 144,683 | $ | (47,886 | ) | $ | 96,797 | $ | 157,161 | $ | (45,203 | ) | $ | 111,958 | ||||||||||||||
Summary of Amortization Expense to be Incurred Over Next Four Years on Intangible Assets | The following table summarizes the amortization expense to be incurred in 2015 and over the next four years on intangible assets (in thousands): | |||||||||||||||||||||||||||
Year | Amount | |||||||||||||||||||||||||||
2015 | $ | 11,355 | ||||||||||||||||||||||||||
2016 | 12,785 | |||||||||||||||||||||||||||
2017 | 10,805 | |||||||||||||||||||||||||||
2018 | 7,452 | |||||||||||||||||||||||||||
2019 | 5,679 | |||||||||||||||||||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Change in Accumulated Other Comprehensive Income (Loss) (AOCI) by Component, Net of Tax | The change in Accumulated Other Comprehensive Income (Loss) (“AOCI”) by component, net of tax, for the period ended March 31, 2015 is as follows (amounts in thousands): | ||||||||||||||||
Foreign Currency Translation | Cash Flow Hedges | Defined Benefit Pension Plans | Total | ||||||||||||||
AOCI, balance as of December 31, 2014 | $ | (11,923 | ) | $ | 274 | $ | (51,142 | ) | $ | (62,791 | ) | ||||||
Other comprehensive (loss) income before reclassifications | (4,630 | ) | (702 | ) | - | (5,332 | ) | ||||||||||
Amounts reclassified from AOCI | - | 226 | 932 | 1,158 | |||||||||||||
Net other comprehensive (loss) income | (4,630 | ) | (476 | ) | 932 | (4,174 | ) | ||||||||||
AOCI, balance as of March 31, 2015 | $ | (16,553 | ) | $ | (202 | ) | $ | (50,210 | ) | $ | (66,965 | ) | |||||
Amounts Reclassified Out of AOCI into Income Statement | The following table details the amounts reclassified out of AOCI into the income statement during the three-month period ending March 31, 2015 respectively (in thousands): | ||||||||||||||||
Amount Reclassified From AOCI | |||||||||||||||||
For the Three | |||||||||||||||||
Months Ended | |||||||||||||||||
March 31, | Affected Line Item In The Statement | ||||||||||||||||
Details About AOCI Components | 2015 | Where Net Income is Presented | |||||||||||||||
Gain on interest rate swap cash flow hedges, before tax | $ | 364 | Interest expense, net | ||||||||||||||
(138 | ) | Tax provision | |||||||||||||||
$ | 226 | Net of tax | |||||||||||||||
Amortization of defined benefit pension plan items: | |||||||||||||||||
Prior service cost and unrecognized loss | $ | 1,525 | Warehousing, marketing and administrative expenses | ||||||||||||||
(593 | ) | Tax provision | |||||||||||||||
932 | Net of tax | ||||||||||||||||
Total reclassifications for the period | $ | 1,158 | Net of tax | ||||||||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
Schedule of Computation of Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data): | ||||||||
For the Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Numerator: | |||||||||
Net (loss) income | $ | (3,992 | ) | $ | 21,857 | ||||
Denominator: | |||||||||
Denominator for basic earnings per share - | |||||||||
weighted average shares | 38,115 | 39,194 | |||||||
Effect of dilutive securities: | |||||||||
Employee stock options and restricted units | 419 | 461 | |||||||
Denominator for diluted earnings per share - | |||||||||
Adjusted weighted average shares and the effect of dilutive | |||||||||
securities | 38,534 | 39,655 | |||||||
Net income per share: | |||||||||
Net (loss) income per share - basic | $ | (0.10 | ) | $ | 0.56 | ||||
Net (loss) income per share - diluted | $ | (0.10 | ) | $ | 0.55 | ||||
Debt_Tables
Debt (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Schedule of Long-Term Debt Components | Debt consisted of the following amounts (in millions): | |||||||
As of | As of | |||||||
March 31, 2015 | December 31, 2014 | |||||||
2013 Credit Agreement | $ | 334.2 | $ | 363 | ||||
2013 Note Purchase Agreement | 150 | 150 | ||||||
Receivables Securitization Program | 200 | 200 | ||||||
Mortgage & Capital Lease | 0.1 | 0.9 | ||||||
Total | $ | 684.3 | $ | 713.9 | ||||
Pension_and_PostRetirement_Ben1
Pension and Post-Retirement Benefit Plans (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Compensation And Retirement Disclosure [Abstract] | |||||||||
Schedule of Components of Net Periodic Pension Cost | A summary of net periodic pension cost related to the Company’s pension plans for the three months ended March 31, 2015 and 2014 is as follows (dollars in thousands): | ||||||||
For the Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
Service cost - benefit earned during the period | $ | 400 | $ | 328 | |||||
Interest cost on projected benefit obligation | 2,270 | 2,243 | |||||||
Expected return on plan assets | (2,805 | ) | (2,558 | ) | |||||
Amortization of prior service cost | 75 | 45 | |||||||
Amortization of actuarial loss | 1,450 | 905 | |||||||
Net periodic pension cost | $ | 1,390 | $ | 963 | |||||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 3 Months Ended | |||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||||||||||||||||||
Schedule of Interest Rate Swap Agreements, Cash Flow Hedge | The Company’s outstanding swap transaction is accounted for as a cash flow hedge and is recorded at fair value on the Condensed Consolidated Balance Sheet as of March 31, 2015 and December 31, 2014, at the following amounts (in thousands): | |||||||||||||||||
Notional | Fair Value Net | |||||||||||||||||
As of March 31, 2015 | Amount | Receive | Pay | Maturity Date | Liability (1) | |||||||||||||
July 2012 Swap Transaction | $ | 150,000 | Floating 1-month LIBOR | 1.05% | July 18, 2017 | $ | 982 | |||||||||||
Notional | Fair Value Net | |||||||||||||||||
As of December 31, 2014 | Amount | Receive | Pay | Maturity Date | Liability (1) | |||||||||||||
July 2012 Swap Transaction | $ | 150,000 | Floating 1-month LIBOR | 1.05% | July 18, 2017 | $ | 253 | |||||||||||
-1 | This interest rate derivative qualifies for hedge accounting, and is in a net liability position at March 31, 2015 and December 31, 2014. Therefore, the fair value of the interest rate derivative is included in the Company’s Condensed Consolidated Balance Sheets as a component of “Other long-term liabilities,” with an offsetting component in “Stockholders’ Equity” as part of “Accumulated Other Comprehensive Loss”. | |||||||||||||||||
Schedule of Effect of Derivative Instruments on Income Statement | The following table depicts the effect of these derivative instruments on the statements of income and comprehensive income for the three periods ended March 31, 2015 and March 31, 2014 (in thousands). | |||||||||||||||||
Amount of Gain (Loss) | Amount of Gain (Loss) | |||||||||||||||||
Recognized in | Reclassified | |||||||||||||||||
OCI on Derivative | from Accumulated OCI into Income | |||||||||||||||||
(Effective Portion) | (Effective Portion) | |||||||||||||||||
For the Three | For the Three | Location of Gain (Loss) | For the Three | For the Three | ||||||||||||||
Months Ended | Months Ended | Reclassified from | Months Ended | Months Ended | ||||||||||||||
March 31, | March 31, | Accumulated OCI into | March 31, | March 31, | ||||||||||||||
2015 | 2014 | Income (Effective | 2015 | 2014 | ||||||||||||||
Portion) | ||||||||||||||||||
July 2012 Swap Transaction | $ | (124 | ) | $ | (159 | ) | Interest expense, net | $ | 331 | $ | - | |||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Schedule of Financial Instruments Measured at Fair Value | The following table summarizes the financial instruments measured at fair value in the accompanying Condensed Consolidated Balance Sheets as of March 31, 2015 and December 31, 2014 (in thousands): | |||||||||||||||
Fair Value Measurements as of March 31, 2015 | ||||||||||||||||
Quoted Market | Significant Other | Significant | ||||||||||||||
Prices in Active | Observable | Unobservable | ||||||||||||||
Markets for | Inputs | Inputs | ||||||||||||||
Identical Assets or | ||||||||||||||||
Liabilities | ||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap liability | 982 | - | 982 | - | ||||||||||||
Total | $ | 982 | $ | - | $ | 982 | $ | - | ||||||||
Fair Value Measurements as of December 31, 2014 | ||||||||||||||||
Quoted Market | Significant Other | Significant | ||||||||||||||
Prices in Active | Observable | Unobservable | ||||||||||||||
Markets for | Inputs | Inputs | ||||||||||||||
Identical Assets or | ||||||||||||||||
Liabilities | ||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||||||
Liabilities | ||||||||||||||||
Interest rate swap liability | 253 | - | 253 | - | ||||||||||||
Total | $ | 253 | $ | - | $ | 253 | $ | - | ||||||||
Basis_of_Presentation_Addition
Basis of Presentation - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |||
Percentage inventory valued under LIFO | 75.00% | 74.00% | |
Higher inventory if FIFO applied entirely | $120.90 | $118.60 | |
Increase (decrease) in cost of goods sold due to LIFO accounting method | 2.3 | -0.5 | |
Effect of LIFO Inventory Liquidation on Income | 4 | ||
LIFO expense related to inflation in cost of sales | $3.50 |
Acquisitions_and_Dispositions_1
Acquisitions and Dispositions - Additional Information (Detail) (USD $) | 3 Months Ended | 0 Months Ended | |
Mar. 31, 2015 | 30-May-14 | Oct. 31, 2014 | |
Business Acquisition [Line Items] | |||
Goodwill impairment | $3,319,000 | ||
Cumulative foreign currency translation adjustment, of the disposal | 10,100,000 | ||
Pre-tax impairment loss of the disposal | 10,100,000 | ||
Impairment charge | 23,610,000 | ||
Warehousing, Marketing and Administrative Expenses [Member] | |||
Business Acquisition [Line Items] | |||
Impairment charge | 10,100,000 | ||
Estimated cost to sell | 100,000 | ||
CPO Commerce, Inc [Member] | |||
Business Acquisition [Line Items] | |||
Business acquisition cash paid | 37,800,000 | ||
Business acquisition, fair value of contingent consideration | 5,500,000 | ||
Business acquisition contingent consideration payments, range minimum | 0 | ||
Business acquisition contingent consideration payments, range maximum | 10,000,000 | ||
Stock acquisition, percentage acquired | 100.00% | ||
MEDCO [Member] | |||
Business Acquisition [Line Items] | |||
Business acquisition cash paid | 149,900,000 | ||
Business acquisition, fair value of contingent consideration | 4,700,000 | ||
Business acquisition contingent consideration payments, range minimum | 0 | ||
Business acquisition contingent consideration payments, range maximum | 10,000,000 | ||
Amount reserved as a payable related to acquisition | $6,000,000 | ||
Business acquisition acquired entity indemnification payment period | 18 months |
Acquisitions_and_Dispositions_2
Acquisitions and Dispositions - Purchase Price Allocation (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Business Acquisition [Line Items] | ||
Goodwill | $394,186 | $398,042 |
CPO Commerce, Inc [Member] | ||
Business Acquisition [Line Items] | ||
Purchase price, net of cash acquired | 32,225 | |
Accounts receivable | -2,658 | |
Inventories | -13,051 | |
Other current assets | -307 | |
Property, plant and equipment, net | -488 | |
Intangible assets | -12,800 | |
Total assets acquired | -29,304 | |
Accounts payable | 17,131 | |
Accrued liabilities | 2,139 | |
Deferred income taxes | 3,453 | |
Other long-term liabilities | 51 | |
Total liabilities assumed | 22,774 | |
Goodwill | 25,695 | |
MEDCO [Member] | ||
Business Acquisition [Line Items] | ||
Purchase price, net of cash acquired | 145,340 | |
Accounts receivable | -44,815 | |
Inventories | -54,656 | |
Other current assets | -1,299 | |
Property, plant and equipment, net | -4,408 | |
Deferred income tax assets | -1,101 | |
Other assets | -442 | |
Intangible assets | -44,070 | |
Total assets acquired | -150,791 | |
Accounts payable | 32,383 | |
Accrued liabilities | 3,976 | |
Other long-term liabilities | 52 | |
Total liabilities assumed | 36,411 | |
Goodwill | $30,960 |
Acquisitions_and_Dispositions_3
Acquisitions and Dispositions - Summary of Purchased Identifiable Intangible Assets (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
CPO Commerce, Inc [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets | $12,800 |
MEDCO [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets | 44,070 |
Customer relationships [Member] | CPO Commerce, Inc [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets | 5,200 |
Finite lived intangible assets estimated life | 3 years |
Customer relationships [Member] | MEDCO [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets | 40,030 |
Customer relationships [Member] | MEDCO [Member] | Minimum [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets estimated life | 4 years |
Customer relationships [Member] | MEDCO [Member] | Maximum [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets estimated life | 15 years |
Trademarks [Member] | CPO Commerce, Inc [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets | 7,600 |
Finite lived intangible assets estimated life | 15 years |
Trademarks [Member] | MEDCO [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets | $4,040 |
Trademarks [Member] | MEDCO [Member] | Minimum [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets estimated life | 3 years |
Trademarks [Member] | MEDCO [Member] | Maximum [Member] | |
Acquired Finite Lived Intangible Assets [Line Items] | |
Finite lived intangible assets estimated life | 15 years |
Acquisitions_and_Dispositions_4
Acquisitions and Dispositions - Carrying Amounts Excluding Intercompany Accounts by Major Classes of Assets and Liabilities (Detail) (Mexican Subsidiary [Member], USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
Mexican Subsidiary [Member] | |
Assets held for sale: | |
Cash and cash equivalents | $970 |
Accounts receivable, less allowance for doubtful accounts | 10,980 |
Inventories | 12,753 |
Other current assets | 573 |
Net property, plant equipment | 112 |
Other assets | 658 |
Held-for-sale valuation allowance | -10,247 |
Total assets held for sale | 15,799 |
Liabilities held for sale: | |
Accounts payable | 4,618 |
Accrued liabilities | 1,782 |
Other long-term liabilities | 556 |
Total liabilities held for sale | $6,956 |
ShareBased_Compensation_Additi
Share-Based Compensation - Additional Information (Detail) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of share-based compensation plans | 2 | |
Restricted Stock [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Restricted stock and restricted stock units granted | 46,229 | 56,451 |
Restricted Stock Units (RSUs) [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Restricted stock and restricted stock units granted | 145,552 | 145,355 |
Stock Option [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Stock options granted | 0 | 5,538 |
Severance_and_Restructuring_Ch1
Severance and Restructuring Charges - Additional Information (Detail) (Warehousing, Marketing and Administrative Expenses [Member], USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Workforce Reduction And Facility Closure Program | |
Restructuring Cost And Reserve [Line Items] | |
Pre-tax charge | $6 |
Accrued liabilities | 5.9 |
Facility Consolidations [Member] | |
Restructuring Cost And Reserve [Line Items] | |
Pre-tax charge | 0.4 |
Severance and Restructuring Charges [Member] | Workforce Reduction And Facility Closure Program | |
Restructuring Cost And Reserve [Line Items] | |
Cash outlays associated with severance | 0.5 |
Facility Closure Cost [Member] | Workforce Reduction And Facility Closure Program | |
Restructuring Cost And Reserve [Line Items] | |
Restructuring and Related Cost, expected cost remaining | 2.6 |
Restructuring and Related Cost, expected cost | $9 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Summary of Changes in Carrying Amount of Goodwill (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill, balance as of December 31, 2014 | $398,042 |
Impairment | -3,319 |
Purchase accounting adjustments | 1,034 |
Currency translation adjustment | -1,571 |
Goodwill, balance as of March 31, 2015 | $394,186 |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets - Summary of Intangible Assets of Company by Major Class (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Finite Lived Intangible Assets [Line Items] | ||
Intangible assets subject to amortization, Gross Carrying Amount | $143,083 | $144,861 |
Intangible assets subject to amortization, Accumulated Amortization | -47,886 | -45,203 |
Intangible assets subject to amortization, Net Carrying Amount | 95,197 | 99,658 |
Intangible assets, Gross Carrying Amount | 144,683 | 157,161 |
Intangible assets, Net Carrying Amount | 96,797 | 111,958 |
Trademarks not subject to amortization [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible assets not subject to amortization, Gross Carrying Amount | 1,600 | 12,300 |
Customer relationships and other intangibles [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible assets subject to amortization, Gross Carrying Amount | 124,697 | 125,761 |
Intangible assets subject to amortization, Accumulated Amortization | -43,813 | -41,123 |
Intangible assets subject to amortization, Net Carrying Amount | 80,884 | 84,638 |
Intangible assets subject to amortization, Weighted Average Useful Life (years) | 16 years | 16 years |
Non-compete Agreements [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible assets subject to amortization, Gross Carrying Amount | 4,658 | 4,672 |
Intangible assets subject to amortization, Accumulated Amortization | -2,675 | -2,364 |
Intangible assets subject to amortization, Net Carrying Amount | 1,983 | 2,308 |
Intangible assets subject to amortization, Weighted Average Useful Life (years) | 4 years | 4 years |
Trademarks [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible assets subject to amortization, Gross Carrying Amount | 13,728 | 14,428 |
Intangible assets subject to amortization, Accumulated Amortization | -1,398 | -1,716 |
Intangible assets subject to amortization, Net Carrying Amount | $12,330 | $12,712 |
Intangible assets subject to amortization, Weighted Average Useful Life (years) | 14 years | 13 years |
Goodwill_and_Intangible_Assets4
Goodwill and Intangible Assets - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | |
Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Impairment of intangible assets | $10,200,000 | |
Intangible assets subject to amortization, Net Carrying Amount | 95,197,000 | 99,658,000 |
Impaired trademarks of ORS Nasco and certain OKI brands [Member] | ||
Indefinite Lived Intangible Assets By Major Class [Line Items] | ||
Intangible assets subject to amortization, Net Carrying Amount | $1,500,000 |
Goodwill_and_Intangible_Assets5
Goodwill and Intangible Assets - Summary of Amortization Expense to be Incurred Over Next Four Years on Intangible Assets (Detail) (USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2015 | $11,355 |
2016 | 12,785 |
2017 | 10,805 |
2018 | 7,452 |
2019 | $5,679 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) - Change in Accumulated Other Comprehensive Income (Loss) (AOCI) by Component, Net of Tax (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
AOCI, balance as of December 31, 2014 | ($62,791) | |
Other comprehensive (loss) income before reclassifications | -5,332 | |
Amounts reclassified from AOCI | 1,158 | |
Net other comprehensive (loss) income | -4,174 | -123 |
AOCI, balance as of March 31, 2015 | -66,965 | |
Foreign Currency Translation [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
AOCI, balance as of December 31, 2014 | -11,923 | |
Other comprehensive (loss) income before reclassifications | -4,630 | |
Net other comprehensive (loss) income | -4,630 | |
AOCI, balance as of March 31, 2015 | -16,553 | |
Cash Flow Hedges [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
AOCI, balance as of December 31, 2014 | 274 | |
Other comprehensive (loss) income before reclassifications | -702 | |
Amounts reclassified from AOCI | 226 | |
Net other comprehensive (loss) income | -476 | |
AOCI, balance as of March 31, 2015 | -202 | |
Defined Benefit Pension Plans [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
AOCI, balance as of December 31, 2014 | -51,142 | |
Amounts reclassified from AOCI | 932 | |
Net other comprehensive (loss) income | 932 | |
AOCI, balance as of March 31, 2015 | ($50,210) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) - Amounts Reclassified Out of AOCI into Income Statement (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Interest expense, net | ($4,839) | ($3,374) |
Warehousing, marketing and administrative expenses | -198,372 | -148,849 |
Tax provision | -5,231 | -13,003 |
Net of tax | -3,992 | 21,857 |
Amount Reclassified From AOCI [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net of tax | 1,158 | |
Amount Reclassified From AOCI [Member] | Cash Flow Hedges [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Tax provision | -138 | |
Net of tax | 226 | |
Amount Reclassified From AOCI [Member] | Defined Benefit Pension Plans [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Warehousing, marketing and administrative expenses | 1,525 | |
Tax provision | -593 | |
Net of tax | 932 | |
Amount Reclassified From AOCI [Member] | Interest Rate Swap [Member] | Cash Flow Hedges [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Interest expense, net | $364 |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) (USD $) | 3 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Feb. 28, 2015 | Dec. 31, 2014 |
Earnings Per Share [Abstract] | ||||
Antidilutive securities excluded from computation of earnings per share amount | 400,000 | 500,000 | ||
Additional authorized repurchase amount | $100 | $42.40 | ||
Number of shares repurchased | 402,679 | 331,369 | ||
Repurchase of common stock, value | $16.30 | $13.70 | ||
Treasury stock reissued, shares | 31,745 | 73,750 |
Earnings_Per_Share_Schedule_of
Earnings Per Share - Schedule of Computation of Basic and Diluted Earnings Per Share (Detail) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share [Abstract] | ||
Net (loss) income | ($3,992) | $21,857 |
Denominator for basic earnings per share - weighted average shares | 38,115 | 39,194 |
Effect of dilutive securities: Employee stock options and restricted units | 419 | 461 |
Denominator for diluted earnings per share - Adjusted weighted average shares and the effect of dilutive securities | 38,534 | 39,655 |
Net (loss) income per share - basic | ($0.10) | $0.56 |
Net (loss) income per share - diluted | ($0.10) | $0.55 |
Debt_Schedule_of_LongTerm_Debt
Debt - Schedule of Long-Term Debt Components (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Mortgage & Capital Lease | $0.10 | $0.90 |
Total | 684.3 | 713.9 |
2013 Credit Agreement [Member] | ||
Debt Instrument [Line Items] | ||
Credit Agreement | 334.2 | 363 |
2013 Note Purchase Agreement [Member] | ||
Debt Instrument [Line Items] | ||
Note Purchase Agreement | 150 | 150 |
Receivables Securitization Program [Member] | ||
Debt Instrument [Line Items] | ||
Credit Agreement | $200 | $200 |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2013 | Dec. 31, 2014 |
Debt Instrument [Line Items] | |||
Percentage of outstanding debt priced at variable interest rates | 78.10% | ||
Receivables sold to Investors | $380.70 | $360.30 | |
Receivables Securitization Program [Member] | |||
Debt Instrument [Line Items] | |||
Credit facility | 200 | 200 | |
Receivables Securitization Program [Member] | USR [Member] | |||
Debt Instrument [Line Items] | |||
Credit facility | 200 | 200 | |
2013 Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Outstanding letters of credit | $11.10 | $11.10 | |
LIBOR-based loans rates | 1.38% | ||
Alternate base rate loans rates | 0.38% | ||
2013 Credit Agreement [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
LIBOR-based loans rates | 1.00% | ||
Alternate base rate loans rates | 0.00% | ||
Percentage of lenders fee on unutilized portion borrowing facility | 0.15% | ||
2013 Credit Agreement [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
LIBOR-based loans rates | 2.00% | ||
Alternate base rate loans rates | 1.00% | ||
Percentage of lenders fee on unutilized portion borrowing facility | 0.35% |
Pension_and_PostRetirement_Ben2
Pension and Post-Retirement Benefit Plans - Summary of Net Periodic Pension Cost Related to Pension Plans (Detail) (Pension Benefits [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Pension Benefits [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefit earned during the period | $400 | $328 |
Interest cost on projected benefit obligation | 2,270 | 2,243 |
Expected return on plan assets | -2,805 | -2,558 |
Amortization of prior service cost | 75 | 45 |
Amortization of actuarial loss | 1,450 | 905 |
Net periodic pension cost | $1,390 | $963 |
Pension_and_PostRetirement_Ben3
Pension and Post-Retirement Benefit Plans - Additional Information (Detail) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Compensation And Retirement Disclosure [Abstract] | |||
Cash contribution to pension plans in next fiscal year | $2 | $2 | |
Pension plan liabilities | 48.2 | 50.3 | |
Company contributions | $1.40 | $1.40 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Derivative [Line Items] | |
Amount of debt hedged | 150 |
Outstanding debt percentage | 21.90% |
Minimum debt default amount | 25 |
Fair value | 1 |
July 2012 Swap Transaction [Member] | Interest Rate Swap [Member] | |
Derivative [Line Items] | |
Derivative contract period | 3 years |
July 2012 Swap Transaction [Member] | Forward Contracts [Member] | |
Derivative [Line Items] | |
Derivative contract period | 2 years |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Schedule of Interest Rate Swap Agreements, Cash Flow Hedge (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Derivative [Line Items] | ||
Fair Value Net Liability | $982 | $253 |
July 2012 Swap Transaction [Member] | ||
Derivative [Line Items] | ||
Notional Amount | 150,000 | 150,000 |
Receive | Floating 1-month LIBOR | Floating 1-month LIBOR |
Pay | 1.05% | 1.05% |
Maturity Date | 18-Jul-17 | 18-Jul-17 |
Fair Value Net Liability | $982 | $253 |
Derivative_Financial_Instrumen4
Derivative Financial Instruments - Schedule of Effect of Derivative Instruments on Income Statement (Detail) (July 2012 Swap Transaction [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain (Loss) Recognized in OCI on Derivative (Effective Portion) | ($124) | ($159) |
Interest expense, net [Member] | ||
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | $331 |
Fair_Value_Measurements_Schedu
Fair Value Measurements - Schedule of Financial Instruments Measured at Fair Value (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap liability | $982 | $253 |
Total | 982 | 253 |
Significant Other Observable Inputs Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap liability | 982 | 253 |
Total | $982 | $253 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Fair Value Disclosures [Abstract] | ||
Receivables sold to Investors | $380,700,000 | $360,300,000 |
Assets measured at fair value on a nonrecurring basis | 0 | |
Liabilities measured at fair value on a nonrecurring basis | $0 |
Other_Assets_and_Liabilities_A
Other Assets and Liabilities - Additional Information (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Supplier Allowances [Member] | ||
Regulatory Assets And Liabilities [Line Items] | ||
Accounts receivable | $76.90 | $124.40 |
Customer Rebates [Member] | ||
Regulatory Assets And Liabilities [Line Items] | ||
Accrued liabilities | $45.70 | $63.20 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Tax Disclosure [Abstract] | ||
Income tax expense | $5,231 | $13,003 |
Income before income taxes | $1,239 | $34,860 |
Effective income tax percent | 422.20% | 37.30% |
United States statutory income tax rate, percent | 35.00% |