Franklin Electric (FELE) 10-Q 30 Oct 20 2020 Q3 Quarterly report Financial data

COVER

COVER - $ / shares	9 Months Ended
	Sep. 30, 2020	Oct. 28, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2020
Document Transition Report	false
Entity File Number	0-362
Entity Registrant Name	FRANKLIN ELECTRIC CO., INC.
Entity Incorporation, State or Country Code	IN
Entity Tax Identification Number	35-0827455
Entity Address, Address Line One	9255 Coverdale Road
Entity Address, City or Town	Fort Wayne,
Entity Address, State or Province	IN
Entity Address, Postal Zip Code	46809
City Area Code	260
Local Phone Number	824-2900
Entity Information, Former Legal or Registered Name	Not Applicable
Title of 12(b) Security	Common Stock, $0.10 par value
Trading Symbol	FELE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Listing, Par Value Per Share	$ 0.10
Entity Common Stock, Shares Outstanding		46,202,285
Entity Central Index Key	0000038725
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Amendment Flag	false
Current Fiscal Year End Date	--12-31

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
Net sales	$ 351,190	$ 348,416	$ 926,225	$ 994,471
Cost of sales	226,893	230,793	604,489	667,624
Gross profit	124,297	117,623	321,736	326,847
Selling, general, and administrative expenses	75,472	74,500	223,409	226,581
Restructuring expense	441	404	2,189	1,735
Operating income	48,384	42,719	96,138	98,531
Interest expense	(1,130)	(2,037)	(3,496)	(6,674)
Other income/(expense), net	(463)	(250)	(1,062)	(303)
Foreign exchange income/(expense)	(140)	2,082	(84)	2,166
Income before income taxes	46,651	42,514	91,496	93,720
Income tax expense	8,076	8,439	17,327	17,706
Net income	38,575	34,075	74,169	76,014
Less: Net (income)/expense attributable to noncontrolling interests	(203)	(168)	(503)	(306)
Net income attributable to Franklin Electric Co., Inc.	$ 38,372	$ 33,907	$ 73,666	$ 75,708
Income per share:
Basic	$ 0.82	$ 0.73	$ 1.58	$ 1.62
Diluted	$ 0.82	$ 0.72	$ 1.57	$ 1.61

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement of Comprehensive Income [Abstract]
Net income	$ 38,575	$ 34,075	$ 74,169	$ 76,014
Other comprehensive income/(loss), before tax:
Foreign currency translation adjustments	3,364	(13,659)	(32,381)	(15,107)
Employee benefit plan activity	966	606	2,768	1,905
Other comprehensive income/(loss)	4,330	(13,053)	(29,613)	(13,202)
Income tax expense related to items of other comprehensive income/(loss)	(192)	(131)	(562)	(413)
Other comprehensive income/(loss), net of tax	4,138	(13,184)	(30,175)	(13,615)
Comprehensive income	42,713	20,891	43,994	62,399
Less: Comprehensive income/(loss) attributable to noncontrolling interests	237	131	564	289
Comprehensive income attributable to Franklin Electric Co., Inc.	$ 42,476	$ 20,760	$ 43,430	$ 62,110

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 114,480	$ 64,405
Receivables, less allowances of $4,472 and $3,705, respectively	171,843	173,327
Inventories:
Raw material	89,627	98,286
Work-in-process	21,607	18,392
Finished goods	178,058	183,568
Total inventories	289,292	300,246
Other current assets	26,924	29,466
Total current assets	602,539	567,444
Property, plant, and equipment, at cost:
Land and buildings	133,005	142,189
Machinery and equipment	275,875	276,541
Furniture and fixtures	45,228	43,631
Other	31,233	29,293
Property, plant, and equipment, gross	485,341	491,654
Less: Allowance for depreciation	(298,574)	(290,326)
Property, plant, and equipment, net	186,767	201,328
Right-of-use asset, net	24,716	27,621
Deferred income taxes	9,073	9,171
Intangible assets, net	120,568	131,127
Goodwill	255,580	256,059
Other assets	2,199	1,993
Total assets	1,201,442	1,194,743
Current liabilities:
Accounts payable	97,638	82,593
Accrued expenses and other current liabilities	74,417	68,444
Current lease liability	9,540	9,838
Income taxes	3,883	3,010
Current maturities of long-term debt and short-term borrowings	2,388	21,879
Total current liabilities	187,866	185,764
Long-term debt	91,938	93,141
Long-term lease liability	15,178	17,785
Income taxes payable non-current	11,965	11,965
Deferred income taxes	25,165	27,598
Employee benefit plans	36,354	38,288
Other long-term liabilities	20,785	21,769
Commitments and contingencies (see Note 14)	0	0
Redeemable noncontrolling interest	(251)	(236)
Shareholders' equity:
Common stock (65,000 shares authorized, $.10 par value) outstanding (46,201 and 46,391, respectively)	4,620	4,639
Additional capital	280,961	269,656
Retained earnings	745,434	712,460
Accumulated other comprehensive loss	(220,446)	(190,210)
Total shareholders' equity	810,569	796,545
Noncontrolling interest	1,873	2,124
Total equity	812,442	798,669
Total liabilities and equity	$ 1,201,442	$ 1,194,743

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Accounts Receivable, Allowance for Credit Loss, Current	$ 4,472	$ 3,705
Shareholders' equity:
Common shares, authorized (in shares)	65,000	65,000
Common shares, par value (in dollars per share)	$ 0.10	$ 0.10
Common shares, outstanding (in shares)	46,201	46,391

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities:
Net income	$ 74,169	$ 76,014
Adjustments to reconcile net income to net cash flows from operating activities:
Depreciation and amortization	26,917	27,705
Non-cash lease expense	8,478	7,640
Share-based compensation	8,312	7,459
Deferred income taxes	(2,089)	(298)
Loss on disposals of plant and equipment	1,383	717
Foreign exchange (income)/expense	84	(2,166)
Changes in assets and liabilities, net of acquisitions:
Receivables	(5,147)	(27,170)
Inventory	4,322	(19,841)
Accounts payable and accrued expenses	26,069	27,391
Operating leases	(8,478)	(7,637)
Income taxes	1,050	6,447
Employee benefit plans	(55)	(1,863)
Other, net	(1,307)	(4,173)
Net cash flows from operating activities	133,708	90,225
Cash flows from investing activities:
Additions to property, plant, and equipment	(15,239)	(15,591)
Proceeds from sale of property, plant, and equipment	28	866
Cash paid for acquisitions, net of cash acquired	(6,089)	(20,871)
Other, net	(74)	8
Net cash flows from investing activities	(21,374)	(35,588)
Cash flows from financing activities:
Proceeds from issuance of debt	117,435	195,321
Repayment of debt	(138,183)	(226,980)
Proceeds from issuance of common stock	3,014	2,331
Purchases of common stock	(19,091)	(10,301)
Dividends paid	(21,641)	(20,919)
Purchase of redeemable noncontrolling shares	0	(487)
Net cash flows from financing activities	(58,466)	(61,035)
Effect of exchange rate changes on cash	(3,793)	(4,970)
Net change in cash and equivalents	50,075	(11,368)
Cash and equivalents at beginning of period	64,405	59,173
Cash and equivalents at end of period	114,480	47,805
Cash paid for income taxes, net of refunds	19,130	11,990
Cash paid for interest	4,537	7,793
Non-cash items:
Additions to property, plant, and equipment, not yet paid	421	260
Right-of-Use Assets obtained in exchange for new operating lease liabilities	5,154	3,410
Payable to sellers of acquired entities	11	875
Accrued dividends payable to noncontrolling interest	$ 830	$ 0

CONDENSED CONSOLIDATED FINANCIA

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS	9 Months Ended
	Sep. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS	CONDENSED CONSOLIDATED FINANCIAL STATEMENTSThe accompanying condensed consolidated balance sheet as of December 31, 2019, which has been derived from audited financial statements, and the unaudited interim condensed consolidated financial statements as of September 30, 2020, and for the third quarters and nine months ended September 30, 2020 and September 30, 2019 have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Certain information and note disclosures normally included in annual financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to those rules and regulations.  In the opinion of management, all accounting entries and adjustments (including normal, recurring adjustments) considered necessary for a fair presentation of the financial position and the results of operations for the interim periods have been made. Operating results for the third quarter and nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2020. For further information, including a description of the critical accounting policies of Franklin Electric Co., Inc. (the "Company"), refer to the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2019.

ACCOUNTING PRONOUNCEMENTS

ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2020
Accounting Changes and Error Corrections [Abstract]
ACCOUNTING PRONOUNCEMENTS	ACCOUNTING PRONOUNCEMENTS Adoption of New Accounting Standards In January 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. ASU 2017-04 removes step two from the goodwill impairment test and instead requires an entity to recognize a goodwill impairment charge for the amount by which the goodwill carrying amount exceeds the reporting unit's fair value. The ASU is effective on a prospective basis for interim and annual periods beginning after December 15, 2019 with early adoption permitted. The Company adopted the standard effective January 1, 2020. The standard did not have a material impact on the Company's consolidated financial position, results of operations, or cash flows. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which modifies the measurement of expected credit losses on certain financial instruments, including trade receivables. ASU 2016-13 is effective for interim and annual periods beginning after December 15, 2019 with early adoption permitted. Amendments should be applied using a modified retrospective approach except for debt securities, which require a prospective transitions approach. The Company adopted the standard effective January 1, 2020. The standard did not have a material impact on the Company's consolidated financial position, results of operations, or cash flows. Accounting Standards Issued But Not Yet Adopted In August 2018, the FASB issued ASU 2018-14, Compensation-Retirement Benefits-Defined Benefit Plans-General (Topic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans, which modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments remove disclosures that no longer are considered cost beneficial, including the estimated amounts in accumulated other comprehensive income expected to be recognized as components of net periodic expense over the next fiscal year. The amendments clarify the specific requirements of disclosures, and add disclosure requirements identified as relevant, including the reasons for significant gains and losses related to change in the benefit obligation for the period. The ASU should be applied retrospectively and is effective for interim and annual periods beginning after December 15, 2020. The Company is still determining the date of adoption, but does not expect the ASU to have a material impact on the Company's consolidated financial position, results of operations, or cash flows. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which is expected to reduce cost and complexity related to accounting for income taxes. ASU 2019-12 eliminates the need for the Company to analyze whether certain exceptions apply and improves financial statement preparers' application of income tax-related guidance. ASU 2019-12 is effective for interim and annual periods beginning after December 15, 2020 with early adoption permitted. Amendments related to franchise taxes that are partially based on income should be applied on either a retrospective or modified retrospective basis. All other amendments should be applied on a prospective basis. The Company is still determining the date of adoption, but does not expect the ASU to have a material impact on the Company's consolidated financial position, results of operations, or cash flows. In August 2020, the FASB issued ASU 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity . ASU 2020-06 reduces the number of accounting models for various convertible instruments and reduces form-over-substance-based accounting conclusions for the derivatives scope exception for contracts in an entity’s own equity. The FASB also updated Earnings Per Share (“EPS”) guidance under Topic 260 by requiring an entity to

ACQUISITIONS

ACQUISITIONS	9 Months Ended
	Sep. 30, 2020
Business Combinations [Abstract]
ACQUISITIONS	ACQUISITIONS During the first quarter ended March 31, 2020, the Company acquired all of the assets of a company that manufactures line shaft turbines and other adjacent product lines for a purchase price of $5.9 million after working capital adjustments. The fair value of the assets acquired and liabilities assumed are preliminary as of September 30, 2020. In addition, the Company has not presented separate results of operations since closing or combined pro forma financial information of the Company and the acquired interest since the beginning of 2020, as the results of operations for this acquisition is immaterial. During the third quarter ended September 30, 2019, the Company acquired 100 percent of the ownership interests of First Sales, LLC for a purchase price of approximately $15.5 million after working capital adjustments. The acquisition was not material, and the fair value of the assets acquired and liabilities assumed are considered final as of September 30, 2020. Transaction costs were expensed as incurred under the guidance of FASB Accounting Standards Codification Topic 805, Business Combinations

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	FAIR VALUE MEASUREMENTS FASB ASC Topic 820, Fair Value Measurements and Disclosures , provides guidance for defining, measuring, and disclosing fair value within an established framework and hierarchy. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The standard established a fair value hierarchy which requires an entity to maximize the use of observable inputs and to minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value within the hierarchy are as follows: Level 1 – Quoted prices for identical assets and liabilities in active markets; Level 2 – Quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets; and Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. As of September 30, 2020 and December 31, 2019, the assets measured at fair value on a recurring basis were as set forth in the table below: September 30, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Level 3) Cash equivalents $ 15.7 $ 15.7 $ — $ — December 31, 2019 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash equivalents $ 4.0 $ 4.0 $ — $ — The Company's Level 1 assets consist of cash equivalents which are generally comprised of foreign bank guaranteed certificates of deposit.

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	9 Months Ended
	Sep. 30, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
FINANCIAL INSTRUMENTS	FINANCIAL INSTRUMENTSThe Company’s deferred compensation stock program is subject to variable plan accounting and, accordingly, is adjusted for changes in the Company’s stock price at the end of each reporting period. The Company has entered into share swap transaction agreements (the "swap") to mitigate the Company’s exposure to the fluctuations in the Company's stock price. The swap has not been designated as a hedge for accounting purposes and is cancellable with 30 days' written notice by either party. As of September 30, 2020, the swap had a notional value based on 280,000 shares. For the third quarter and nine months ended September 30, 2020, the swap resulted in gains of $1.8 million and $0.3 million, respectively. For the third quarter and nine months ended September 30, 2019, the swap resulted in gains of $0.0 million and $1.0 million, respectively. Gains and losses resulting from the swap were primarily offset by gains and losses on the fair value of the deferred compensation stock liability. All gains or losses and expenses related to the swap are recorded in the Company's condensed consolidated statements of income within the “Selling, general, and administrative expenses” line.

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	9 Months Ended
	Sep. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS	GOODWILL AND OTHER INTANGIBLE ASSETS The carrying amounts of the Company’s intangible assets are as follows: (In millions) September 30, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortizing intangibles: Patents $ 7.4 $ (7.2) $ 7.4 $ (7.0) Technology 7.5 (7.1) 7.5 (6.8) Customer relationships 152.1 (75.6) 155.4 (71.4) Other 3.7 (2.9) 3.8 (2.8) Total $ 170.7 $ (92.8) $ 174.1 $ (88.0) Unamortizing intangibles: Trade names 42.7 — 45.0 — Total intangibles $ 213.4 $ (92.8) $ 219.1 $ (88.0) Amortization expense related to intangible assets for the third quarters ended September 30, 2020 and September 30, 2019 was $2.4 million and $2.4 million, and for the nine months ended September 30, 2020 and September 30, 2019, $7.0 million and $7.0 million respectively. Amortization expense for each of the five succeeding years is projected as follows: (In millions) 2020 2021 2022 2023 2024 $ 9.3 $ 8.9 $ 8.7 $ 8.6 $ 8.4 The change in the carrying amount of goodwill by reportable segment for the nine months ended September 30, 2020, is as follows: (In millions) Water Systems Fueling Systems Distribution Consolidated Balance as of December 31, 2019 $ 151.0 $ 67.6 $ 37.5 $ 256.1 Acquisitions 1.4 — — 1.4 Foreign currency translation (1.8) (0.1) — (1.9) Balance as of September 30, 2020 $ 150.6 $ 67.5 $ 37.5 $ 255.6

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	9 Months Ended
	Sep. 30, 2020
Retirement Benefits [Abstract]
EMPLOYEE BENEFIT PLANS	EMPLOYEE BENEFIT PLANS Defined Benefit Plans - As of September 30, 2020, the Company maintained two domestic pension plans and three German pension plans. The Company used a December 31, 2019 measurement date for these plans. One of the Company's domestic pension plans covers one active management employee, while the other domestic plan covers all eligible employees (plan was frozen as of December 31, 2011). The two domestic and three German plans collectively comprise the 'Pension Benefits' disclosure caption. Other Benefits - The Company's other post-retirement benefit plan provides health and life insurance to domestic employees hired prior to 1992. The following table sets forth the aggregated net periodic benefit cost for all pension plans for the third quarters and nine months ended September 30, 2020 and September 30, 2019: (In millions) Pension Benefits Third Quarter Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Service cost $ 0.2 $ 0.2 $ 0.5 $ 0.6 Interest cost 1.1 1.5 3.3 4.5 Expected return on assets (1.7) (2.0) (5.1) (6.0) Amortization of: Prior service cost — — — — Actuarial loss 1.0 0.6 2.8 1.9 Settlement cost — — — — Net periodic benefit cost $ 0.6 $ 0.3 $ 1.5 $ 1.0 In the nine months ended September 30, 2020, the Company made contributions of $0.1 million to the funded plans. The amount of contributions to be made to the plans during the calendar year 2020 was finalized by September 15, 2020, based upon the funding level requirements identified and year-end valuation performed at December 31, 2019. The following table sets forth the aggregated net periodic benefit cost for the other post-retirement benefit plan for the third quarters and nine months ended September 30, 2020 and September 30, 2019: (In millions) Other Benefits Third Quarter Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Service cost $ — $ — $ — $ — Interest cost 0.1 0.1 0.2 0.3 Expected return on assets — — — — Amortization of: Prior service cost — — — — Actuarial loss — — — — Settlement cost — — — — Net periodic benefit cost $ 0.1 $ 0.1 $ 0.2 $ 0.3

INCOME TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2020
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXESThe Company’s effective tax rate from continuing operations for both of the nine month periods ended September 30, 2020 and September 30, 2019 was 18.9 percent. The effective tax rate is lower than the U.S. statutory rate of 21 percent primarily due to foreign earnings taxed at rates below the U.S. statutory rate, the recognition of the U.S. foreign-derived intangible income (FDII) provisions, and certain discrete events including excess tax benefits from share-based compensation. For the third quarter of 2020, the effective tax rate was 17.3 percent as compared to 19.8 percent for the third quarter of 2019. The decrease in the effective tax rate for the third quarter of 2020, compared with the same period in 2019, was primarily a result of additional FDII benefit mostly resulting from the reconciliation of the domestic federal return to the provision.

DEBT

DEBT	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
DEBT	DEBT Debt consisted of the following: (In millions) September 30, 2020 December 31, 2019 Tax increment financing debt 17.6 18.7 New York Life Agreement 75.0 75.0 Credit Agreement — 19.0 Financing Leases — 0.1 Foreign subsidiary debt 1.8 2.3 Less: unamortized debt issuance costs (0.1) (0.1) $ 94.3 $ 115.0 Less: current maturities (2.4) (21.9) Long-term debt $ 91.9 $ 93.1 Debt outstanding, excluding unamortized debt issuance costs, at September 30, 2020 matures as follows: (In millions) Total Year 1 Year 2 Year 3 Year 4 Year 5 More Than 5 Years Debt $ 94.4 $ 2.4 $ 1.3 $ 1.3 $ 1.4 $ 1.4 $ 86.6 Prudential Agreement The Company maintains the Third Amended and Restated Note Purchase and Private Shelf Agreement (the "Prudential Agreement"), which expires on July 30, 2021 and has an initial borrowing capacity of $250.0 million. As of September 30, 2020, the Company has $150.0 million borrowing capacity available under the Prudential Agreement. Project Bonds The Company, Allen County, Indiana and certain institutional investors maintain a Bond Purchase and Loan Agreement. Under the agreement, Allen County, Indiana issued a series of Project Bonds entitled “Taxable Economic Development Bonds, Series 2012 (Franklin Electric Co., Inc. Project)." The aggregate principal amount of the Project Bonds that were issued, authenticated, and are now outstanding thereunder was limited to $25.0 million. These Project Notes ("Tax increment financing debt") bear interest at 3.6 percent per annum. Interest and principal balance of the Project Notes are due and payable by the Company directly to the institutional investors in aggregate semi-annual installments commencing on July 10, 2013, and concluding on January 10, 2033. New York Life Agreement The Company maintains an uncommitted and unsecured private shelf agreement with NYL Investors LLC, an affiliate of New York Life, and each of the undersigned holders of Notes (the "New York Life Agreement"), with a maximum aggregate borrowing capacity of $200.0 million. On September 26, 2018, the Company issued and sold $75.0 million of fixed rate senior notes due September 26, 2025. These senior notes bear an interest rate of 4.04 percent with interest-only payments due semi-annually. The proceeds from the issuance of the notes were used to pay off existing variable interest rate indebtedness. As of September 30, 2020, there was $125.0 million remaining borrowing capacity under the New York Life Agreement. Credit Agreement The Company maintains the Third Amended and Restated Credit Agreement (the "Credit Agreement”). The Credit Agreement has a maturity date of October 28, 2021 and commitment amount of $300.0 million. The Credit Agreement provides that the Borrowers may request an increase in the aggregate commitments by up to $150.0 million (not to exceed a total commitment of $450.0 million). Under the Credit Agreement, the Borrowers are required to pay certain fees, including a facility fee of 0.100% to 0.275% (depending on the Company's leverage ratio) of the aggregate commitment, which fee is payable quarterly in arrears. Loans may be made either at (i) a Eurocurrency rate based on LIBOR plus an applicable margin of 0.75% to 1.60% (depending on the Company's leverage ratio) or (ii) an alternative base rate as defined in the Credit Agreement. As of September 30, 2020, the Company had no outstanding borrowings, $4.3 million in letters of credit outstanding, and $295.7 million of available capacity under the Credit Agreement. Covenants The Company’s credit agreements contain customary financial covenants. The Company’s most significant agreements and restrictive covenants are in the New York Life Agreement, the Project Bonds, the Prudential Agreement, and the Credit Agreement; each containing both affirmative and negative covenants. The affirmative covenants relate to financial statements, notices of material events, conduct of business, inspection of property, maintenance of insurance, compliance with laws and most favored lender obligations. The negative covenants include limitations on loans, advances and investments, and the granting of liens by the Company or its subsidiaries, as well as prohibitions on certain consolidations, mergers, sales and transfers of assets. The covenants also include financial requirements including a maximum leverage ratio of 1.00 to 3.50 and a minimum interest coverage ratio of 1.00 to 3.00. Cross default is applicable with the Prudential Agreement, the Project Bonds, the New York Life Agreement, and the Credit Agreement but only if the Company is defaulting on an obligation exceeding $10.0 million. The Company was in compliance with all financial covenants as of September 30, 2020.

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE The Company calculates basic and diluted earnings per common share using the two-class method. Under the two-class method, net earnings are allocated to each class of common stock and participating security as if all of the net earnings for the period had been distributed. The Company's participating securities consist of share-based payment awards that contain a nonforfeitable right to receive dividends and therefore are considered to participate in undistributed earnings with common shareholders. Basic earnings per common share excludes dilution and is calculated by dividing net earnings allocable to common shares by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share is calculated by dividing net earnings allocated to common shares by the weighted-average number of common shares outstanding for the period, as adjusted for the potential dilutive effect of non-participating share-based awards. The following table sets forth the computation of basic and diluted earnings per share: Third Quarter Ended Nine Months Ended (In millions, except per share amounts) September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Numerator: Net income attributable to Franklin Electric Co., Inc. $ 38.4 $ 33.9 $ 73.7 $ 75.7 Less: Earnings allocated to participating securities 0.3 0.2 0.5 0.5 Net income available to common shareholders $ 38.1 $ 33.7 $ 73.2 $ 75.2 Denominator: Basic weighted average common shares outstanding 46.2 46.4 46.2 46.3 Effect of dilutive securities: Non-participating employee stock options and performance awards 0.4 0.3 0.4 0.4 Diluted weighted average common shares outstanding 46.6 46.7 46.6 46.7 Basic earnings per share $ 0.82 $ 0.73 $ 1.58 $ 1.62 Diluted earnings per share $ 0.82 $ 0.72 $ 1.57 $ 1.61 There were 0.3 million and 0.3 million stock options outstanding for the third quarters ended September 30, 2020 and September 30, 2019, and 0.4 million and 0.3 million stock options outstanding for the nine months ended September 30, 2020 and September 30, 2019 respectively, that were excluded from the computation of diluted earnings per share, as their inclusion would be anti-dilutive.

EQUITY ROLL FORWARD

EQUITY ROLL FORWARD	9 Months Ended
	Sep. 30, 2020
Stockholders' Equity Note [Abstract]
EQUITY ROLL FORWARD	EQUITY ROLL FORWARD The schedules below set forth equity changes in the third quarters ended September 30, 2020 and September 30, 2019: (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of June 30, 2020 $ 4,618 $ 278,175 $ 715,621 $ (48,657) $ (175,893) $ 1,647 $ 775,511 $ (262) Net income 38,372 178 38,550 25 Dividends on common stock ($0.155/share) (7,195) (7,195) Common stock issued 6 1,488 1,494 Common stock repurchased (3) (1,364) (1,367) Share-based compensation (1) 1,298 1,297 Noncontrolling dividend — — Purchase of redeemable noncontrolling shares — — Currency translation adjustment 3,330 48 3,378 (14) Pension liability, net of tax 774 774 Balance as of September 30, 2020 $ 4,620 $ 280,961 $ 745,434 $ (47,883) $ (172,563) $ 1,873 $ 812,442 $ (251) (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of June 30, 2019 $ 4,632 $ 264,533 $ 673,493 $ (47,568) $ (135,902) $ 1,714 $ 760,902 $ (210) Net income 33,907 199 34,106 (31) Dividends on common stock ($0.145/share) (6,767) (6,767) Common stock issued 5 831 836 Common stock repurchased (1) (757) (758) Share-based compensation — 1,935 1,935 Noncontrolling dividend — — Purchase of redeemable noncontrolling shares — (2) Currency translation adjustment (13,622) (51) (13,673) 14 Pension liability, net of tax 475 475 Balance as of September 30, 2019 $ 4,636 $ 267,299 $ 699,876 $ (47,093) $ (149,524) $ 1,862 $ 777,056 $ (229) The schedules below set forth equity changes in the nine months ended September 30, 2020 and September 30, 2019: (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of December 31, 2019 $ 4,639 $ 269,656 $ 712,460 $ (50,089) $ (140,121) $ 2,124 $ 798,669 $ (236) Net Income 73,666 534 74,200 (31) Dividends on common stock ($0.465/share) (21,641) (21,641) Common stock issued 10 3,004 3,014 Common stock repurchased (40) (19,051) (19,091) Share-based compensation 11 8,301 8,312 Noncontrolling dividend (830) (830) Purchase of redeemable non-controlling shares — — Currency translation adjustment (32,442) 45 (32,397) 16 Pension liability, net of taxes 2,206 2,206 Balance as of September 30, 2020 $ 4,620 $ 280,961 $ 745,434 $ (47,883) $ (172,563) $ 1,873 $ 812,442 $ (251) (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of December 31, 2018 $ 4,632 $ 257,535 $ 654,724 $ (48,585) $ (134,434) $ 1,955 $ 735,827 $ 518 Net Income 75,708 620 76,328 (314) Dividends on common stock ($0.435/share) (20,277) (20,277) Common stock issued 12 2,319 2,331 Common stock repurchased (22) (10,279) (10,301) Share-based compensation 14 7,445 7,459 Noncontrolling dividend (642) (642) Purchase of redeemable non-controlling shares — (487) Currency translation adjustment (15,090) (71) (15,161) 54 Pension liability, net of taxes 1,492 1,492 Balance as of September 30, 2019 $ 4,636 $ 267,299 $ 699,876 $ (47,093) $ (149,524) $ 1,862 $ 777,056 $ (229)

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)	9 Months Ended
	Sep. 30, 2020
Equity [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)	ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) Changes in accumulated other comprehensive income/(loss) by component for the nine months ended September 30, 2020 and September 30, 2019, are summarized below: (In millions) For the nine months ended September 30, 2020: Foreign Currency Translation Adjustments Pension and Post-Retirement Plan Benefit Adjustments (2) Total Balance as of December 31, 2019 $ (140.2) $ (50.0) $ (190.2) Other comprehensive income/(loss) before reclassifications (32.4) — (32.4) Amounts reclassified from accumulated other comprehensive income/(loss) (1) — 2.2 2.2 Net other comprehensive income/(loss) (32.4) 2.2 (30.2) Balance as of September 30, 2020 $ (172.6) $ (47.8) $ (220.4) For the nine months ended September 30, 2019: Balance as of December 31, 2018 $ (134.5) $ (48.5) $ (183.0) Other comprehensive income/(loss) before reclassifications (15.1) — (15.1) Amounts reclassified from accumulated other comprehensive income/(loss) (1) — 1.5 1.5 Net other comprehensive income/(loss) (15.1) 1.5 (13.6) Balance as of September 30, 2019 $ (149.6) $ (47.0) $ (196.6) (1) This accumulated other comprehensive income/(loss) component is included in the computation of net periodic pension cost (refer to Note 7 for additional details) and is included in the "Other income/(expense), net" line of the Company's condensed consolidated statements of income. (2) Net of tax expense of $0.6 million and $0.4 million for the nine months ended September 30, 2020 and September 30, 2019, respectively. Amounts related to noncontrolling interests were not material.

SEGMENT AND GEOGRAPHIC INFORMAT

SEGMENT AND GEOGRAPHIC INFORMATION	9 Months Ended
	Sep. 30, 2020
Segment Reporting [Abstract]
SEGMENT AND GEOGRAPHIC INFORMATION	SEGMENT AND GEOGRAPHIC INFORMATION The accounting policies of the operating segments are the same as those described in Note 1 of the Company's Form 10-K. Revenue is recognized based on the invoice price at the point in time when the customer obtains control of the product, which is typically upon shipment to the customer. The Water and Fueling segments include manufacturing operations and supply certain components and finished goods, both between segments and to the Distribution segment. The Company reports these product transfers between Water and Fueling as inventory transfers as a significant number of the Company's manufacturing facilities are shared across segments for scale and efficiency purposes. The Company reports intersegment transfers from Water to Distribution as intersegment revenue at market prices to properly reflect the commercial arrangement of vendor to customer that exists between the Water and Distribution segments. Segment operating income is a key financial performance measure. Operating income by segment is based on net sales less identifiable operating expenses and allocations and includes profits recorded on sales to other segments of the Company. Financial information by reportable business segment is included in the following summary: Third Quarter Ended Nine Months Ended (In millions) September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net sales Water Systems External sales United States & Canada $ 93.4 $ 94.9 $ 245.1 $ 284.8 Latin America 30.1 30.6 82.5 90.5 Europe, Middle East & Africa 41.8 40.8 115.5 117.5 Asia Pacific 19.5 17.0 53.0 57.9 Intersegment sales United States & Canada 18.1 16.5 49.3 42.5 Total sales 202.9 199.8 545.4 593.2 Distribution External sales United States & Canada 98.0 87.0 250.5 227.4 Intersegment sales — — — — Total sales 98.0 87.0 250.5 227.4 Fueling Systems External sales United States & Canada 46.4 48.3 119.0 129.3 All other 22.0 29.8 60.6 87.1 Intersegment sales — — — — Total sales 68.4 78.1 179.6 216.4 Intersegment Eliminations/Other (18.1) (16.5) (49.3) (42.5) Consolidated $ 351.2 $ 348.4 $ 926.2 $ 994.5 Third Quarter Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Operating income/(loss) Water Systems $ 36.6 $ 28.4 $ 84.1 $ 78.5 Distribution 6.4 5.9 10.9 6.1 Fueling Systems 18.9 21.6 44.5 55.6 Intersegment Eliminations/Other (13.5) (13.2) (43.4) (41.7) Consolidated $ 48.4 $ 42.7 $ 96.1 $ 98.5 September 30, 2020 December 31, 2019 Total assets Water Systems $ 628.6 $ 658.3 Distribution 195.8 180.2 Fueling Systems 268.1 283.8 Other 108.9 72.4 Consolidated $ 1,201.4 $ 1,194.7

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES In 2011, the Company became aware of a review of alleged issues with certain underground piping connections installed in filling stations in France owned by the French Subsidiary of Exxon Mobile, Esso S.A.F. A French court ordered that a designated, subject-matter expert review 103 filling stations to determine what, if any, damages are present and the cause of those damages. The Company has participated in this investigation since 2011, along with several other third parties including equipment installers, engineering design firms who designed and provided specifications for the stations, and contract manufacturers of some of the installed equipment. The subject-matter expert has issued their preliminary report, which indicates that total damages incurred by Esso amounted to approximately 12 million euro. It is the Company’s position that its products were not the cause of any alleged damage. The Company has retained experts to demonstrate that its products did not cause the damage, and it has until January 2021 to issue its response to the expert’s preliminary report for each station. The Company cannot predict the ultimate outcome of this matter. Any exposure related to this matter is neither probable nor estimable at this time. If payments result from a resolution of this matter, depending on the amount, they could have a material effect on the Company’s results of operations. The Company is defending other various claims and legal actions which have arisen in the ordinary course of business. In the opinion of management, based on current knowledge of the facts and after discussion with counsel, these claims and legal actions can be defended or resolved without a material effect on the Company’s financial position, results of operations, and net cash flows. At September 30, 2020, the Company had $8.2 million of commitments primarily for capital expenditures and purchase of raw materials to be used in production. The Company provides warranties on most of its products. The warranty terms vary but are generally two years to five years from date of manufacture or one year to five years from date of installation. Provisions for estimated expenses related to product warranty are made at the time products are sold or when specific warranty issues are identified. These estimates are established using historical information about the nature, frequency, and average cost of warranty claims. The Company actively studies trends of warranty claims and takes actions to improve product quality and minimize warranty claims. The Company believes that the warranty reserve is appropriate; however, actual claims incurred could differ from the original estimates, requiring adjustments to the reserve. The changes in the carrying amount of the warranty accrual, as recorded in the "Accrued expenses and other current liabilities" line of the Company's condensed consolidated balance sheet for the nine months ended September 30, 2020, are as follows: (In millions) Balance as of December 31, 2019 $ 9.1 Accruals related to product warranties 6.9 Additions related to acquisitions — Reductions for payments made (6.7) Balance as of September 30, 2020 $ 9.3 The Company maintains certain warehouses, distribution centers, office space, and equipment operating leases. The Company also has lease agreements that are classified as financing. These financing leases are immaterial to the Company. The Company utilizes interest rates from lease agreements unless the lease agreement does not provide a readily determinable rate. In these instances, the Company utilizes its incremental borrowing rate based on the information available as of the adoption of ASU 2016-02 or at the inception of any new leases entered into thereafter when determining the present value of future lease payments. Some of the Company’s leases include renewal options. The Company excludes these renewal options in the expected lease term unless the Company is reasonably certain that the option will be exercised. The components of the Company’s operating lease portfolio as of the third quarter and nine months ended September 30, 2020 are as follows: Lease Cost (in millions): Third Quarter Ended Nine Months Ended Operating lease cost $ 3.1 $ 8.3 Short-term lease cost 0.3 0.5 Other Information: Weighted-average remaining lease term 3.4 years Weighted-average discount rate 3.6 % As of September 30, 2020, the Company has approximately $2.3 million of additional ROU assets related to leases that have not yet commenced, but create future lease obligations. The minimum rental payments for non-cancellable operating leases as of September 30, 2020, are as follows: (In millions) 2020 2021 2022 2023 2024 Thereafter Future Minimum Rental Payments $ 2.9 $ 9.1 $ 5.9 $ 3.9 $ 1.8 $ 2.6

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2020
Share-based Payment Arrangement [Abstract]
SHARE-BASED COMPENSATION	SHARE-BASED COMPENSATION The Franklin Electric Co., Inc. 2017 Stock Plan (the "2017 Stock Plan") is a stock-based compensation plan that provides for discretionary grants of stock options, stock awards, stock unit awards, and stock appreciation rights ("SARs") to key employees and non-employee directors. The number of shares that may be issued under the Plan is 1,400,000. Stock options and SARs reduce the number of available shares by one share for each share subject to the option or SAR, and stock awards and stock unit awards settled in shares reduce the number of available shares by 1.5 shares for every one share delivered. The Company also maintains the Franklin Electric Co., Inc. 2012 Stock Plan (the "2012 Stock Plan"), which is a stock-based compensation plan that provides for discretionary grants of stock options, stock awards, and stock unit awards to key employees and non-employee directors. The 2012 Stock Plan authorized 2,400,000 shares for issuance as follows: 2012 Stock Plan Authorized Shares Stock Options 1,680,000 Stock/Stock Unit Awards 720,000 The Company also maintains the Amended and Restated Franklin Electric Co., Inc. Stock Plan (the "2009 Stock Plan") which, as amended in 2009, provided for discretionary grants of stock options and stock awards. The 2009 Stock Plan authorized 4,400,000 shares for issuance as follows: 2009 Stock Plan Authorized Shares Stock Options 3,200,000 Stock Awards 1,200,000 All options in the 2009 Stock Plan have been awarded and no additional awards are granted out of the plan. However, there are still unvested awards and unexercised options under this plan. The Company currently issues new shares from its common stock balance to satisfy option exercises and the settlement of stock awards and stock unit awards made under the outstanding stock plans. Stock Options: The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model with a single approach and amortized using a straight-line attribution method over the option’s vesting period. The assumptions used for the Black-Scholes model to determine the fair value of options granted during the nine months ended September 30, 2020 and September 30, 2019 are as follows: September 30, 2020 September 30, 2019 Risk-free interest rate 1.39 % 2.53 % Dividend yield 1.04 % 1.05 % Volatility factor 29.45 % 29.38 % Expected term 5.5 years 5.5 years A summary of the Company’s outstanding stock option activity and related information for the nine months ended September 30, 2020 is as follows: (Shares in thousands) September 30, 2020 Stock Options Shares Weighted-Average Exercise Price Outstanding at beginning of period 1,262 $ 37.99 Granted 214 59.71 Exercised (96) 31.24 Forfeited (24) 52.58 Outstanding at end of period 1,356 $ 41.65 Expected to vest after applying forfeiture rate 1,355 $ 41.63 Vested and exercisable at end of period 905 $ 36.13 A summary of the weighted-average remaining contractual term and aggregate intrinsic value as of September 30, 2020 is as follows: Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (000's) Outstanding at end of period 5.69 years $ 23,485 Expected to vest after applying forfeiture rate 5.69 years $ 23,478 Vested and exercisable at end of period 4.33 years $ 20,558 The total intrinsic value of options exercised during the nine months ended September 30, 2020 and September 30, 2019 was $2.4 million and $3.8 million, respectively. As of September 30, 2020, there was $1.1 million of total unrecognized compensation cost related to non-vested stock options granted under the stock plans. That cost is expected to be recognized over a weighted-average period of 1.78 years. Stock/Stock Unit Awards: A summary of the Company’s restricted stock/stock unit award activity and related information for the nine months ended September 30, 2020 is as follows: (Shares in thousands) September 30, 2020 Restricted Stock/Stock Unit Awards Weighted-Average Grant- Non-vested at beginning of period 463 $ 42.36 Awarded 118 59.27 Vested (136) 34.30 Forfeited (35) 49.43 Non-vested at end of period 410 $ 49.31 As of September 30, 2020, there was $9.0 million of total unrecognized compensation cost related to non-vested restricted stock/stock unit awards granted under the stock plans. That cost is expected to be recognized over a weighted-average period of 1.33 years.

ACCOUNTING PRONOUNCEMENTS (Poli

ACCOUNTING PRONOUNCEMENTS (Policies)	9 Months Ended
	Sep. 30, 2020
Accounting Changes and Error Corrections [Abstract]
Adoption of New Accounting Standards	Adoption of New Accounting Standards In January 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. ASU 2017-04 removes step two from the goodwill impairment test and instead requires an entity to recognize a goodwill impairment charge for the amount by which the goodwill carrying amount exceeds the reporting unit's fair value. The ASU is effective on a prospective basis for interim and annual periods beginning after December 15, 2019 with early adoption permitted. The Company adopted the standard effective January 1, 2020. The standard did not have a material impact on the Company's consolidated financial position, results of operations, or cash flows. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which modifies the measurement of expected credit losses on certain financial instruments, including trade receivables. ASU 2016-13 is effective for interim and annual periods beginning after December 15, 2019 with early adoption permitted. Amendments should be applied using a modified retrospective approach except for debt securities, which require a prospective transitions approach. The Company adopted the standard effective January 1, 2020. The standard did not have a material impact on the Company's consolidated financial position, results of operations, or cash flows.
Accounting Standards Issued But Not Yet Adopted	Accounting Standards Issued But Not Yet Adopted In August 2018, the FASB issued ASU 2018-14, Compensation-Retirement Benefits-Defined Benefit Plans-General (Topic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans, which modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments remove disclosures that no longer are considered cost beneficial, including the estimated amounts in accumulated other comprehensive income expected to be recognized as components of net periodic expense over the next fiscal year. The amendments clarify the specific requirements of disclosures, and add disclosure requirements identified as relevant, including the reasons for significant gains and losses related to change in the benefit obligation for the period. The ASU should be applied retrospectively and is effective for interim and annual periods beginning after December 15, 2020. The Company is still determining the date of adoption, but does not expect the ASU to have a material impact on the Company's consolidated financial position, results of operations, or cash flows. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which is expected to reduce cost and complexity related to accounting for income taxes. ASU 2019-12 eliminates the need for the Company to analyze whether certain exceptions apply and improves financial statement preparers' application of income tax-related guidance. ASU 2019-12 is effective for interim and annual periods beginning after December 15, 2020 with early adoption permitted. Amendments related to franchise taxes that are partially based on income should be applied on either a retrospective or modified retrospective basis. All other amendments should be applied on a prospective basis. The Company is still determining the date of adoption, but does not expect the ASU to have a material impact on the Company's consolidated financial position, results of operations, or cash flows. In August 2020, the FASB issued ASU 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity . ASU 2020-06 reduces the number of accounting models for various convertible instruments and reduces form-over-substance-based accounting conclusions for the derivatives scope exception for contracts in an entity’s own equity. The FASB also updated Earnings Per Share (“EPS”) guidance under Topic 260 by requiring an entity to

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets Measured on Recurring Basis	As of September 30, 2020 and December 31, 2019, the assets measured at fair value on a recurring basis were as set forth in the table below: September 30, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Level 3) Cash equivalents $ 15.7 $ 15.7 $ — $ — December 31, 2019 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash equivalents $ 4.0 $ 4.0 $ — $ —

GOODWILL AND OTHER INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	9 Months Ended
	Sep. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets	The carrying amounts of the Company’s intangible assets are as follows: (In millions) September 30, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortizing intangibles: Patents $ 7.4 $ (7.2) $ 7.4 $ (7.0) Technology 7.5 (7.1) 7.5 (6.8) Customer relationships 152.1 (75.6) 155.4 (71.4) Other 3.7 (2.9) 3.8 (2.8) Total $ 170.7 $ (92.8) $ 174.1 $ (88.0) Unamortizing intangibles: Trade names 42.7 — 45.0 — Total intangibles $ 213.4 $ (92.8) $ 219.1 $ (88.0)
Schedule of Indefinite-Lived Intangible Assets	The carrying amounts of the Company’s intangible assets are as follows: (In millions) September 30, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Amortizing intangibles: Patents $ 7.4 $ (7.2) $ 7.4 $ (7.0) Technology 7.5 (7.1) 7.5 (6.8) Customer relationships 152.1 (75.6) 155.4 (71.4) Other 3.7 (2.9) 3.8 (2.8) Total $ 170.7 $ (92.8) $ 174.1 $ (88.0) Unamortizing intangibles: Trade names 42.7 — 45.0 — Total intangibles $ 213.4 $ (92.8) $ 219.1 $ (88.0)
Schedule of Amortization Expense	Amortization expense for each of the five succeeding years is projected as follows: (In millions) 2020 2021 2022 2023 2024 $ 9.3 $ 8.9 $ 8.7 $ 8.6 $ 8.4
Schedule of Change in the Carrying Amount of Goodwill by Reporting Segment	The change in the carrying amount of goodwill by reportable segment for the nine months ended September 30, 2020, is as follows: (In millions) Water Systems Fueling Systems Distribution Consolidated Balance as of December 31, 2019 $ 151.0 $ 67.6 $ 37.5 $ 256.1 Acquisitions 1.4 — — 1.4 Foreign currency translation (1.8) (0.1) — (1.9) Balance as of September 30, 2020 $ 150.6 $ 67.5 $ 37.5 $ 255.6

EMPLOYEE BENEFIT PLANS (Tables)

EMPLOYEE BENEFIT PLANS (Tables)	9 Months Ended
	Sep. 30, 2020
Pension Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Schedule of Aggregated Net Periodic Benefit Cost and Other Benefit Cost	The following table sets forth the aggregated net periodic benefit cost for all pension plans for the third quarters and nine months ended September 30, 2020 and September 30, 2019: (In millions) Pension Benefits Third Quarter Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Service cost $ 0.2 $ 0.2 $ 0.5 $ 0.6 Interest cost 1.1 1.5 3.3 4.5 Expected return on assets (1.7) (2.0) (5.1) (6.0) Amortization of: Prior service cost — — — — Actuarial loss 1.0 0.6 2.8 1.9 Settlement cost — — — — Net periodic benefit cost $ 0.6 $ 0.3 $ 1.5 $ 1.0
Other Benefits
Defined Benefit Plans and Other Postretirement Benefit Plans
Schedule of Aggregated Net Periodic Benefit Cost and Other Benefit Cost	The following table sets forth the aggregated net periodic benefit cost for the other post-retirement benefit plan for the third quarters and nine months ended September 30, 2020 and September 30, 2019: (In millions) Other Benefits Third Quarter Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Service cost $ — $ — $ — $ — Interest cost 0.1 0.1 0.2 0.3 Expected return on assets — — — — Amortization of: Prior service cost — — — — Actuarial loss — — — — Settlement cost — — — — Net periodic benefit cost $ 0.1 $ 0.1 $ 0.2 $ 0.3

DEBT (Tables)

DEBT (Tables)	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Schedule of Long-term Debt	Debt consisted of the following: (In millions) September 30, 2020 December 31, 2019 Tax increment financing debt 17.6 18.7 New York Life Agreement 75.0 75.0 Credit Agreement — 19.0 Financing Leases — 0.1 Foreign subsidiary debt 1.8 2.3 Less: unamortized debt issuance costs (0.1) (0.1) $ 94.3 $ 115.0 Less: current maturities (2.4) (21.9) Long-term debt $ 91.9 $ 93.1
Schedule of Long-term Debt Payments	Debt outstanding, excluding unamortized debt issuance costs, at September 30, 2020 matures as follows: (In millions) Total Year 1 Year 2 Year 3 Year 4 Year 5 More Than 5 Years Debt $ 94.4 $ 2.4 $ 1.3 $ 1.3 $ 1.4 $ 1.4 $ 86.6

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2020
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: Third Quarter Ended Nine Months Ended (In millions, except per share amounts) September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Numerator: Net income attributable to Franklin Electric Co., Inc. $ 38.4 $ 33.9 $ 73.7 $ 75.7 Less: Earnings allocated to participating securities 0.3 0.2 0.5 0.5 Net income available to common shareholders $ 38.1 $ 33.7 $ 73.2 $ 75.2 Denominator: Basic weighted average common shares outstanding 46.2 46.4 46.2 46.3 Effect of dilutive securities: Non-participating employee stock options and performance awards 0.4 0.3 0.4 0.4 Diluted weighted average common shares outstanding 46.6 46.7 46.6 46.7 Basic earnings per share $ 0.82 $ 0.73 $ 1.58 $ 1.62 Diluted earnings per share $ 0.82 $ 0.72 $ 1.57 $ 1.61

EQUITY ROLL FORWARD (Tables)

EQUITY ROLL FORWARD (Tables)	9 Months Ended
	Sep. 30, 2020
Stockholders' Equity Note [Abstract]
Schedule of Stockholders' Equity	The schedules below set forth equity changes in the third quarters ended September 30, 2020 and September 30, 2019: (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of June 30, 2020 $ 4,618 $ 278,175 $ 715,621 $ (48,657) $ (175,893) $ 1,647 $ 775,511 $ (262) Net income 38,372 178 38,550 25 Dividends on common stock ($0.155/share) (7,195) (7,195) Common stock issued 6 1,488 1,494 Common stock repurchased (3) (1,364) (1,367) Share-based compensation (1) 1,298 1,297 Noncontrolling dividend — — Purchase of redeemable noncontrolling shares — — Currency translation adjustment 3,330 48 3,378 (14) Pension liability, net of tax 774 774 Balance as of September 30, 2020 $ 4,620 $ 280,961 $ 745,434 $ (47,883) $ (172,563) $ 1,873 $ 812,442 $ (251) (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of June 30, 2019 $ 4,632 $ 264,533 $ 673,493 $ (47,568) $ (135,902) $ 1,714 $ 760,902 $ (210) Net income 33,907 199 34,106 (31) Dividends on common stock ($0.145/share) (6,767) (6,767) Common stock issued 5 831 836 Common stock repurchased (1) (757) (758) Share-based compensation — 1,935 1,935 Noncontrolling dividend — — Purchase of redeemable noncontrolling shares — (2) Currency translation adjustment (13,622) (51) (13,673) 14 Pension liability, net of tax 475 475 Balance as of September 30, 2019 $ 4,636 $ 267,299 $ 699,876 $ (47,093) $ (149,524) $ 1,862 $ 777,056 $ (229) The schedules below set forth equity changes in the nine months ended September 30, 2020 and September 30, 2019: (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of December 31, 2019 $ 4,639 $ 269,656 $ 712,460 $ (50,089) $ (140,121) $ 2,124 $ 798,669 $ (236) Net Income 73,666 534 74,200 (31) Dividends on common stock ($0.465/share) (21,641) (21,641) Common stock issued 10 3,004 3,014 Common stock repurchased (40) (19,051) (19,091) Share-based compensation 11 8,301 8,312 Noncontrolling dividend (830) (830) Purchase of redeemable non-controlling shares — — Currency translation adjustment (32,442) 45 (32,397) 16 Pension liability, net of taxes 2,206 2,206 Balance as of September 30, 2020 $ 4,620 $ 280,961 $ 745,434 $ (47,883) $ (172,563) $ 1,873 $ 812,442 $ (251) (In thousands) Common Stock Additional Paid in Capital Retained Earnings Minimum Pension Liability Cumulative Translation Adjustment Noncontrolling Interest Total Equity Redeemable Noncontrolling Interest Balance as of December 31, 2018 $ 4,632 $ 257,535 $ 654,724 $ (48,585) $ (134,434) $ 1,955 $ 735,827 $ 518 Net Income 75,708 620 76,328 (314) Dividends on common stock ($0.435/share) (20,277) (20,277) Common stock issued 12 2,319 2,331 Common stock repurchased (22) (10,279) (10,301) Share-based compensation 14 7,445 7,459 Noncontrolling dividend (642) (642) Purchase of redeemable non-controlling shares — (487) Currency translation adjustment (15,090) (71) (15,161) 54 Pension liability, net of taxes 1,492 1,492 Balance as of September 30, 2019 $ 4,636 $ 267,299 $ 699,876 $ (47,093) $ (149,524) $ 1,862 $ 777,056 $ (229)

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) (Tables)	9 Months Ended
	Sep. 30, 2020
Equity [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)	Changes in accumulated other comprehensive income/(loss) by component for the nine months ended September 30, 2020 and September 30, 2019, are summarized below: (In millions) For the nine months ended September 30, 2020: Foreign Currency Translation Adjustments Pension and Post-Retirement Plan Benefit Adjustments (2) Total Balance as of December 31, 2019 $ (140.2) $ (50.0) $ (190.2) Other comprehensive income/(loss) before reclassifications (32.4) — (32.4) Amounts reclassified from accumulated other comprehensive income/(loss) (1) — 2.2 2.2 Net other comprehensive income/(loss) (32.4) 2.2 (30.2) Balance as of September 30, 2020 $ (172.6) $ (47.8) $ (220.4) For the nine months ended September 30, 2019: Balance as of December 31, 2018 $ (134.5) $ (48.5) $ (183.0) Other comprehensive income/(loss) before reclassifications (15.1) — (15.1) Amounts reclassified from accumulated other comprehensive income/(loss) (1) — 1.5 1.5 Net other comprehensive income/(loss) (15.1) 1.5 (13.6) Balance as of September 30, 2019 $ (149.6) $ (47.0) $ (196.6) (1) This accumulated other comprehensive income/(loss) component is included in the computation of net periodic pension cost (refer to Note 7 for additional details) and is included in the "Other income/(expense), net" line of the Company's condensed consolidated statements of income. (2) Net of tax expense of $0.6 million and $0.4 million for the nine months ended September 30, 2020 and September 30, 2019, respectively.

SEGMENT AND GEOGRAPHIC INFORM_2

SEGMENT AND GEOGRAPHIC INFORMATION (Tables)	9 Months Ended
	Sep. 30, 2020
Segment Reporting [Abstract]
Schedule of Financial Information by Reportable Business Segment	Financial information by reportable business segment is included in the following summary: Third Quarter Ended Nine Months Ended (In millions) September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net sales Water Systems External sales United States & Canada $ 93.4 $ 94.9 $ 245.1 $ 284.8 Latin America 30.1 30.6 82.5 90.5 Europe, Middle East & Africa 41.8 40.8 115.5 117.5 Asia Pacific 19.5 17.0 53.0 57.9 Intersegment sales United States & Canada 18.1 16.5 49.3 42.5 Total sales 202.9 199.8 545.4 593.2 Distribution External sales United States & Canada 98.0 87.0 250.5 227.4 Intersegment sales — — — — Total sales 98.0 87.0 250.5 227.4 Fueling Systems External sales United States & Canada 46.4 48.3 119.0 129.3 All other 22.0 29.8 60.6 87.1 Intersegment sales — — — — Total sales 68.4 78.1 179.6 216.4 Intersegment Eliminations/Other (18.1) (16.5) (49.3) (42.5) Consolidated $ 351.2 $ 348.4 $ 926.2 $ 994.5 Third Quarter Ended Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Operating income/(loss) Water Systems $ 36.6 $ 28.4 $ 84.1 $ 78.5 Distribution 6.4 5.9 10.9 6.1 Fueling Systems 18.9 21.6 44.5 55.6 Intersegment Eliminations/Other (13.5) (13.2) (43.4) (41.7) Consolidated $ 48.4 $ 42.7 $ 96.1 $ 98.5 September 30, 2020 December 31, 2019 Total assets Water Systems $ 628.6 $ 658.3 Distribution 195.8 180.2 Fueling Systems 268.1 283.8 Other 108.9 72.4 Consolidated $ 1,201.4 $ 1,194.7

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	9 Months Ended
	Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Schedule of Changes in the Carrying Amount of the Warranty Accrual	The changes in the carrying amount of the warranty accrual, as recorded in the "Accrued expenses and other current liabilities" line of the Company's condensed consolidated balance sheet for the nine months ended September 30, 2020, are as follows: (In millions) Balance as of December 31, 2019 $ 9.1 Accruals related to product warranties 6.9 Additions related to acquisitions — Reductions for payments made (6.7) Balance as of September 30, 2020 $ 9.3
Lease, Cost	The components of the Company’s operating lease portfolio as of the third quarter and nine months ended September 30, 2020 are as follows: Lease Cost (in millions): Third Quarter Ended Nine Months Ended Operating lease cost $ 3.1 $ 8.3 Short-term lease cost 0.3 0.5 Other Information: Weighted-average remaining lease term 3.4 years Weighted-average discount rate 3.6 %
Lessee, Operating Lease, Liability, Maturity	The minimum rental payments for non-cancellable operating leases as of September 30, 2020, are as follows: (In millions) 2020 2021 2022 2023 2024 Thereafter Future Minimum Rental Payments $ 2.9 $ 9.1 $ 5.9 $ 3.9 $ 1.8 $ 2.6

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2020
Share-based Payment Arrangement [Abstract]
Schedule of Authorized Number of Shares	The 2012 Stock Plan authorized 2,400,000 shares for issuance as follows: 2012 Stock Plan Authorized Shares Stock Options 1,680,000 Stock/Stock Unit Awards 720,000 The Company also maintains the Amended and Restated Franklin Electric Co., Inc. Stock Plan (the "2009 Stock Plan") which, as amended in 2009, provided for discretionary grants of stock options and stock awards. The 2009 Stock Plan authorized 4,400,000 shares for issuance as follows: 2009 Stock Plan Authorized Shares Stock Options 3,200,000 Stock Awards 1,200,000
Schedule of Assumptions Used to Determine the Fair Value of Options Granted	The assumptions used for the Black-Scholes model to determine the fair value of options granted during the nine months ended September 30, 2020 and September 30, 2019 are as follows: September 30, 2020 September 30, 2019 Risk-free interest rate 1.39 % 2.53 % Dividend yield 1.04 % 1.05 % Volatility factor 29.45 % 29.38 % Expected term 5.5 years 5.5 years
Schedule of Stock Option Plans Activity	A summary of the Company’s outstanding stock option activity and related information for the nine months ended September 30, 2020 is as follows: (Shares in thousands) September 30, 2020 Stock Options Shares Weighted-Average Exercise Price Outstanding at beginning of period 1,262 $ 37.99 Granted 214 59.71 Exercised (96) 31.24 Forfeited (24) 52.58 Outstanding at end of period 1,356 $ 41.65 Expected to vest after applying forfeiture rate 1,355 $ 41.63 Vested and exercisable at end of period 905 $ 36.13
Schedule of Stock Options, Contractual Term and Aggregate Intrinsic Value	A summary of the weighted-average remaining contractual term and aggregate intrinsic value as of September 30, 2020 is as follows: Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (000's) Outstanding at end of period 5.69 years $ 23,485 Expected to vest after applying forfeiture rate 5.69 years $ 23,478 Vested and exercisable at end of period 4.33 years $ 20,558
Schedule of Restricted Stock/Stock Unit Award Activity	A summary of the Company’s restricted stock/stock unit award activity and related information for the nine months ended September 30, 2020 is as follows: (Shares in thousands) September 30, 2020 Restricted Stock/Stock Unit Awards Weighted-Average Grant- Non-vested at beginning of period 463 $ 42.36 Awarded 118 59.27 Vested (136) 34.30 Forfeited (35) 49.43 Non-vested at end of period 410 $ 49.31

ACQUISITIONS (Narrative) (Detai

ACQUISITIONS (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Mar. 31, 2020	Sep. 30, 2019	Sep. 30, 2019
Business Acquisition
Business Combination, Acquisition Related Costs		$ 0	$ 0.1
Company
Business Acquisition
Total purchase price	$ 5.9
First Sales, LLC
Business Acquisition
Business acquisition, percentage of voting interests acquired		100.00%	100.00%
Total purchase price		$ 15.5

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Total debt, carrying value	$ 94.3	$ 115
Recurring Basis
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Cash equivalents	15.7	4
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Cash equivalents	15.7	4
Recurring Basis | Significant Other Observable Inputs (Level 2)
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Cash equivalents	0	0
Recurring Basis | Significant Unobservable Inputs (Level 3)
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Cash equivalents	0	0
Carrying value
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Total debt, carrying value	94.3	115
Fair value | Significant Other Observable Inputs (Level 2)
Fair Value, Assets Measured on Recurring and Nonrecurring Basis
Total debt, fair value	$ 106.4	$ 121

FINANCIAL INSTRUMENTS (Details)

FINANCIAL INSTRUMENTS (Details) - Share swap transaction agreement - Not Designated as Hedging Instrument $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)shares	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)shares	Sep. 30, 2019USD ($)
Derivative
Derivative cancellable written notice term			30 days
Derivative notional amount (in shares) | shares	280,000		280,000
Selling, general, and administrative expenses
Derivative
Gain on derivative | $	$ 1.8	$ 0	$ 0.3	$ 1

GOODWILL AND OTHER INTANGIBLE_3

GOODWILL AND OTHER INTANGIBLE ASSETS (Intangible Assets) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Intangible Assets
Gross carrying amount, amortized intangibles	$ 170.7		$ 170.7		$ 174.1
Gross carrying amount, total intangibles	213.4		213.4		219.1
Accumulated amortization	(92.8)		(92.8)		(88)
Amortization of Intangible Assets	2.4	$ 2.4	7	$ 7
Trade Names
Intangible Assets
Gross carrying amount, unamortized intangibles	42.7		42.7		45
Patents
Intangible Assets
Gross carrying amount, amortized intangibles	7.4		7.4		7.4
Accumulated amortization	(7.2)		(7.2)		(7)
Technology
Intangible Assets
Gross carrying amount, amortized intangibles	7.5		7.5		7.5
Accumulated amortization	(7.1)		(7.1)		(6.8)
Customer Relationships
Intangible Assets
Gross carrying amount, amortized intangibles	152.1		152.1		155.4
Accumulated amortization	(75.6)		(75.6)		(71.4)
Other
Intangible Assets
Gross carrying amount, amortized intangibles	3.7		3.7		3.8
Accumulated amortization	$ (2.9)		$ (2.9)		$ (2.8)

GOODWILL AND OTHER INTANGIBLE_4

GOODWILL AND OTHER INTANGIBLE ASSETS (Future Amortization) (Details) $ in Millions	Sep. 30, 2020USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2020	$ 9.3
2021	8.9
2022	8.7
2023	8.6
2024	$ 8.4

GOODWILL AND OTHER INTANGIBLE_5

GOODWILL AND OTHER INTANGIBLE ASSETS GOODWILL AND OTHER INTANGIBLE ASSETS (Goodwill) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2020USD ($)
Goodwill
Goodwill, beginning balance	$ 256,059
Acquisitions	1,400
Foreign currency translation	(1,900)
Goodwill, ending balance	255,580
Water Systems
Goodwill
Goodwill, beginning balance	151,000
Acquisitions	1,400
Foreign currency translation	(1,800)
Goodwill, ending balance	150,600
Fueling Systems
Goodwill
Goodwill, beginning balance	67,600
Acquisitions	0
Foreign currency translation	(100)
Goodwill, ending balance	67,500
Distribution
Goodwill
Goodwill, beginning balance	37,500
Acquisitions	0
Foreign currency translation	0
Goodwill, ending balance	$ 37,500

EMPLOYEE BENEFIT PLANS (Details

EMPLOYEE BENEFIT PLANS (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)Pension_Plan	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)Pension_Plan	Sep. 30, 2019USD ($)
Net Periodic Benefit Cost and Other Benefit Cost
Company contributions			$ 0.1
United States
Net Periodic Benefit Cost and Other Benefit Cost
Number of pension plans (in ones) | Pension_Plan	2		2
Foreign
Net Periodic Benefit Cost and Other Benefit Cost
Number of pension plans (in ones) | Pension_Plan	3		3
Pension Plan
Net Periodic Benefit Cost
Service cost	$ 0.2	$ 0.2	$ 0.5	$ 0.6
Interest cost	1.1	1.5	3.3	4.5
Expected return on assets	(1.7)	(2)	(5.1)	(6)
Amortization of prior service cost	0	0	0	0
Amortization of actuarial loss	1	0.6	2.8	1.9
Settlement cost	0	0	0	0
Net periodic benefit cost	0.6	0.3	1.5	1
Other Benefits
Net Periodic Benefit Cost
Service cost	0	0	0	0
Interest cost	0.1	0.1	0.2	0.3
Expected return on assets	0	0	0	0
Amortization of prior service cost	0	0	0	0
Amortization of actuarial loss	0	0	0	0
Settlement cost	0	0	0	0
Net periodic benefit cost	$ 0.1	$ 0.1	$ 0.2	$ 0.3

INCOME TAXES (Details)

INCOME TAXES (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Tax Disclosure [Abstract]
Effective tax rate	17.30%	19.80%	18.90%	18.90%
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent			21.00%

DEBT (Schedule of Debt) (Detail

DEBT (Schedule of Debt) (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Debt Instrument
Long-term debt	$ 94,400
Financing Leases	0	$ 100
Less: unamortized debt issuance costs	(100)	(100)
Total debt and capital leases	94,300	115,000
Less: current maturities	(2,388)	(21,879)
Long-term debt	91,938	93,141
Tax increment financing debt
Debt Instrument
Long-term debt	17,600	18,700
Credit Agreement
Debt Instrument
Long-term debt	0	19,000
Foreign subsidiary debt
Debt Instrument
Long-term debt	1,800	2,300
New York Life Investors LLC
Debt Instrument
Long-term debt	$ 75,000	$ 75,000

DEBT (Debt Payments Expected to

DEBT (Debt Payments Expected to be Paid) (Details) $ in Millions	Sep. 30, 2020USD ($)
Long-term Debt, by Maturity
Debt	$ 94.4
Year 1	2.4
Year 2	1.3
Year 3	1.3
Year 4	1.4
Year 5	1.4
More than 5 years	$ 86.6

DEBT (Details)

DEBT (Details) - USD ($) $ in Millions	Oct. 28, 2016	Sep. 30, 2020	Sep. 26, 2018	Dec. 31, 2012
Line of Credit Facility
Cross default trigger, minimum		$ 10
Minimum
Line of Credit Facility
Debt instrument covenant total leverage ratio		1
Debt instrument covenant total interest ratio		1
Maximum
Line of Credit Facility
Debt instrument covenant total leverage ratio		3.50
Debt instrument covenant total interest ratio		3
Tax increment financing debt
Debt Instrument
Aggregrate principal amount of debt				$ 25
Debt instrument, interest rate		3.60%
Credit Agreement
Debt Instrument
Total borrowing capacity of facility	$ 450
Remaining borrowing capacity		$ 295.7
Line of Credit Facility
Current borrowing capacity	300
Increase amount available	$ 150
Outstanding borrowings		0
Letters of credit outstanding		4.3
Credit Agreement | Minimum
Line of Credit Facility
Facility fee (as a percentage)	0.10%
Credit Agreement | Maximum
Line of Credit Facility
Facility fee (as a percentage)	0.275%
Credit Agreement | LIBOR | Minimum
Debt Instrument
Debt instrument basis spread of variable rate	0.75%
Credit Agreement | LIBOR | Maximum
Debt Instrument
Debt instrument basis spread of variable rate	1.60%
Prudential
Debt Instrument
Total borrowing capacity of facility		250
Remaining borrowing capacity		150
New York Life Investors LLC
Debt Instrument
Total borrowing capacity of facility		200
Remaining borrowing capacity		$ 125
New York Life Investors LLC | Senior Notes
Debt Instrument
Aggregrate principal amount of debt			$ 75
Shelf Agreement, fixed interest rate			4.04%

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Numerator:
Net income attributable to Franklin Electric Co., Inc.	$ 38,372	$ 33,907	$ 73,666	$ 75,708
Less: Earnings allocated to participating securities	300	200	500	500
Net income available to common shareholders	$ 38,100	$ 33,700	$ 73,200	$ 75,200
Basic
Basic weighted average common shares outstanding	46.2	46.4	46.2	46.3
Effect of dilutive securities:
Non-participating employee stock options and performance awards	0.4	0.3	0.4	0.4
Diluted weighted average common shares outstanding	46.6	46.7	46.6	46.7
Basic	$ 0.82	$ 0.73	$ 1.58	$ 1.62
Diluted	$ 0.82	$ 0.72	$ 1.57	$ 1.61
Anti-dilutive stock options (in shares)	0.3	0.3	0.4	0.3

EQUITY ROLL FORWARD (Details)

EQUITY ROLL FORWARD (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Common Stock, Dividends, Per Share, Cash Paid	$ 0.155	$ 0.145	$ 0.465	$ 0.435
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance			$ 798,669
Net income	$ 38,575	$ 34,075	74,169	$ 76,014
Equity, ending balance	812,442		812,442
Temporary equity, beginning balance	(262)	(210)	(236)	518
Net income	25	(31)	(31)	(314)
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests	0	(2)	0	(487)
Temporary Equity, Foreign Currency Translation Adjustments	(14)	14	16	54
Temporary equity, ending balance	(251)	(229)	(251)	(229)
Common Stock
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	4,618	4,632	4,639	4,632
Stock Issued During Period, Value, New Issues	6	5	10	12
Stock Repurchased and Retired During Period, Value	(3)	(1)	(40)	(22)
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture	(1)	0	11	14
Equity, ending balance	4,620	4,636	4,620	4,636
Additional Paid in Capital
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	278,175	264,533	269,656	257,535
Stock Issued During Period, Value, New Issues	1,488	831	3,004	2,319
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture	1,298	1,935	8,301	7,445
Equity, ending balance	280,961	267,299	280,961	267,299
Retained Earnings
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	715,621	673,493	712,460	654,724
Net income	38,372	33,907	73,666	75,708
Dividends, Common Stock, Cash	(7,195)	(6,767)	(21,641)	(20,277)
Stock Repurchased and Retired During Period, Value	(1,364)	(757)	(19,051)	(10,279)
Equity, ending balance	745,434	699,876	745,434	699,876
Minimum Pension Liability
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	(48,657)	(47,568)	(50,089)	(48,585)
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax	774	475	2,206	1,492
Equity, ending balance	(47,883)	(47,093)	(47,883)	(47,093)
Cumulative Translation Adjustment
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	(175,893)	(135,902)	(140,121)	(134,434)
Currency translation adjustment	3,330	(13,622)	(32,442)	(15,090)
Equity, ending balance	(172,563)	(149,524)	(172,563)	(149,524)
Noncontrolling Interest
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	1,647	1,714	2,124	1,955
Net income	178	199	534	620
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders	0	0	(830)	(642)
Currency translation adjustment	48	(51)	45	(71)
Equity, ending balance	1,873	1,862	1,873	1,862
Total Equity
Increase (Decrease) in Stockholders' Equity
Equity, beginning balance	775,511	760,902	798,669	735,827
Net income	38,550	34,106	74,200	76,328
Dividends, Common Stock, Cash	(7,195)	(6,767)	(21,641)	(20,277)
Stock Issued During Period, Value, New Issues	1,494	836	3,014	2,331
Stock Repurchased and Retired During Period, Value	(1,367)	(758)	(19,091)	(10,301)
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture	1,297	1,935	8,312	7,459
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders	0	0	(830)	(642)
Currency translation adjustment	3,378	(13,673)	(32,397)	(15,161)
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax	774	475	2,206	1,492
Equity, ending balance	$ 812,442	$ 777,056	$ 812,442	$ 777,056

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax
Equity, beginning balance			$ 798,669
Other comprehensive income/(loss)	$ 4,138	$ (13,184)	(30,175)	$ (13,615)
Equity, ending balance	812,442		812,442
Income tax expense related to items of other comprehensive income/(loss)	192	131	562	413
Foreign Currency Translation Adjustments
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax
Equity, beginning balance			(140,200)	(134,500)
Other comprehensive income/(loss) before reclassifications			(32,400)	(15,100)
Amounts reclassified from accumulated other comprehensive income/(loss) (1)			0	0
Other comprehensive income/(loss)			(32,400)	(15,100)
Equity, ending balance	(172,600)	(149,600)	(172,600)	(149,600)
Pension and Post-Retirement Plan Benefit Adjustments
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax
Equity, beginning balance			(50,000)	(48,500)
Other comprehensive income/(loss) before reclassifications			0	0
Amounts reclassified from accumulated other comprehensive income/(loss) (1)			2,200	1,500
Other comprehensive income/(loss)			2,200	1,500
Equity, ending balance	(47,800)	(47,000)	(47,800)	(47,000)
AOCI Including Portion Attributable to Noncontrolling Interest
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax
Equity, beginning balance			(190,200)	(183,000)
Other comprehensive income/(loss) before reclassifications			(32,400)	(15,100)
Amounts reclassified from accumulated other comprehensive income/(loss) (1)			2,200	1,500
Other comprehensive income/(loss)			(30,200)	(13,600)
Equity, ending balance	$ (220,400)	$ (196,600)	$ (220,400)	$ (196,600)

SEGMENT AND GEOGRAPHIC INFORM_3

SEGMENT AND GEOGRAPHIC INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Segment Reporting Information
Net sales	$ 351,190	$ 348,416	$ 926,225	$ 994,471
Operating income/(loss)	48,384	42,719	96,138	98,531
Total assets	1,201,442		1,201,442		$ 1,194,743
Corporate And Eliminations
Segment Reporting Information
Net sales	(18,100)	(16,500)	(49,300)	(42,500)
Operating income/(loss)	(13,500)	(13,200)	(43,400)	(41,700)
Total assets	108,900		108,900		72,400
Water Systems | Operating Segments
Segment Reporting Information
Net sales	202,900	199,800	545,400	593,200
Operating income/(loss)	36,600	28,400	84,100	78,500
Total assets	628,600		628,600		658,300
Water Systems | United States & Canada
Segment Reporting Information
Net sales	93,400	94,900	245,100	284,800
Water Systems | United States & Canada | Intersegment Sales
Segment Reporting Information
Net sales	18,100	16,500	49,300	42,500
Water Systems | Latin America
Segment Reporting Information
Net sales	30,100	30,600	82,500	90,500
Water Systems | EMEA
Segment Reporting Information
Net sales	41,800	40,800	115,500	117,500
Water Systems | Asia Pacific
Segment Reporting Information
Net sales	19,500	17,000	53,000	57,900
Distribution | Operating Segments
Segment Reporting Information
Net sales	98,000	87,000	250,500	227,400
Operating income/(loss)	6,400	5,900	10,900	6,100
Total assets	195,800		195,800		180,200
Distribution | United States & Canada
Segment Reporting Information
Net sales	98,000	87,000	250,500	227,400
Distribution | United States & Canada | Intersegment Sales
Segment Reporting Information
Net sales	0	0	0	0
Fueling Systems | Operating Segments
Segment Reporting Information
Net sales	68,400	78,100	179,600	216,400
Operating income/(loss)	18,900	21,600	44,500	55,600
Total assets	268,100		268,100		$ 283,800
Fueling Systems | Intersegment Sales
Segment Reporting Information
Net sales	0	0	0	0
Fueling Systems | United States & Canada
Segment Reporting Information
Net sales	46,400	48,300	119,000	129,300
Fueling Systems | All Other
Segment Reporting Information
Net sales	$ 22,000	$ 29,800	$ 60,600	$ 87,100

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details) € in Millions, $ in Millions	9 Months Ended
	Sep. 30, 2020EUR (€)	Sep. 30, 2020USD ($)
Commitments
Purchase obligations		$ 8.2
Changes in the Carrying Amount of the Warranty Accrual
Beginning balance		9.1
Accruals related to product warranties		6.9
Additions related to acquisitions		0
Reductions for payments made		(6.7)
Ending balance		$ 9.3
Minimum
Product Warranty Liability
Standard warranty obligation term (in years)	2 years	2 years
Standard installation warranty obligation term (in years)	1 year	1 year
Maximum
Product Warranty Liability
Standard warranty obligation term (in years)	5 years	5 years
Standard installation warranty obligation term (in years)	5 years	5 years
Esso S.A.F. | Pending Litigation | Damages from Product Defects
Loss Contingencies
Loss Contingency, Damages Sought, Value | €	€ 12

OPERATING LEASES, LEASE COST (D

OPERATING LEASES, LEASE COST (Details) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2020USD ($)
OPERATING LEASES [Abstract]
Operating lease cost	$ 3.1	$ 8.3
Short-term lease cost	$ 0.3	$ 0.5
Weighted-average remaining lease term	3 years 4 months 24 days	3 years 4 months 24 days
Weighted-average discount rate	3.60%	3.60%
Lessee, Operating Lease, Lease Not Yet Commenced, ROU Asset	$ 2.3	$ 2.3

OPERATING LEASES, MATURITY ANAL

OPERATING LEASES, MATURITY ANALYSIS (Details) $ in Millions	Sep. 30, 2020USD ($)
OPERATING LEASES [Abstract]
2020	$ 2.9
2021	9.1
2022	5.9
2023	3.9
2024	1.8
Thereafter	$ 2.6

SHARE-BASED COMPENSATION (Share

SHARE-BASED COMPENSATION (Shares Authorized) (Details)	Sep. 30, 2020shares
2017 Stock Plan
Share-based Compensation
Number of shares authorized	1,400,000
Non fungible share basis	1
Fungible share basis	1.5
2012 Stock Plan
Share-based Compensation
Number of shares authorized	2,400,000
2012 Stock Plan | Stock Options
Share-based Compensation
Number of shares authorized	1,680,000
2012 Stock Plan | Stock and Stock Unit Awards
Share-based Compensation
Number of shares authorized	720,000
2009 Stock Plan
Share-based Compensation
Number of shares authorized	4,400,000
2009 Stock Plan | Stock Options
Share-based Compensation
Number of shares authorized	3,200,000
2009 Stock Plan | Stock Awards
Share-based Compensation
Number of shares authorized	1,200,000

SHARE-BASED COMPENSATION (Valua

SHARE-BASED COMPENSATION (Valuation Assumptions Used) (Details) - Stock Options	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Risk-free interest rate	1.39%	2.53%
Dividend yield	1.04%	1.05%
Volatility factor	29.45%	29.38%
Expected term	5 years 6 months	5 years 6 months

SHARE-BASED COMPENSATION (Stock

SHARE-BASED COMPENSATION (Stock Option Activity) (Details) - Stock Options - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Share-based Compensation
Intrinsic value of options exercised	$ 2,400	$ 3,800
Total unrecognized compensation cost related to nonvested share-based compensation	$ 1,100
Total unrecognized compensation cost, recognized over a weighted-average period	1 year 9 months 10 days
Stock Option Plans Activity and Related Information, Shares
Outstanding beginning of period, shares	1,262
Granted, shares	214
Exercised, shares	(96)
Forfeited, shares	(24)
Outstanding end of period, shares	1,356
Expected to vest after applying forfeiture rate, shares	1,355
Vested and exercisable end of period, shares	905
Stock Option Plans Activity and Related Information, Weighted Average Exercise Price
Outstanding beginning of period, weighted-average exercise price	$ 37.99
Granted, weighted-average exercise price	59.71
Exercised, weighted-average exercise price	31.24
Forfeited, weighted-average exercise price	52.58
Outstanding end of period, weighted-average exercise price	41.65
Expected to vest after applying forfeiture rate, weighted-average exercise price	41.63
Vested and exercisable end of period, weighted-average exercise price	$ 36.13
Summary of Weighted Average Remaining Contractual Term and Aggregate Intrinsic Value
Outstanding at end of period, weighted-average remaining contractual term	5 years 8 months 8 days
Outstanding at end of period, aggregate intrinsic value	$ 23,485
Expected to vest after applying forfeiture rate, weighted-average remaining contractual term	5 years 8 months 8 days
Expected to vest after applying forfeiture rate, aggregate intrinsic value	$ 23,478
Vested and exercisable end of period, weighted-average remaining contractual term	4 years 3 months 29 days
Vested and exercisable end of period, aggregate intrinsic value	$ 20,558

SHARE-BASED COMPENSATION (Sto_2

SHARE-BASED COMPENSATION (Stock/Stock Unit Award Activity) (Details) - Stock and Stock Unit Awards $ / shares in Units, shares in Thousands, $ in Millions	9 Months Ended
	Sep. 30, 2020USD ($)$ / sharesshares
Share-based Compensation
Total unrecognized compensation cost related to nonvested share-based compensation | $	$ 9
Total unrecognized compensation cost, recognized over a weighted-average period	1 year 3 months 29 days
Stock/Stock Unit Award Activity and Related Information, Shares
Non-vested at beginning of period, shares | shares	463
Awarded, shares | shares	118
Vested, shares | shares	(136)
Forfeited, shares | shares	(35)
Non-vested at end of period, shares | shares	410
Stock/Stock Unit Award Activity and Related Information, Weighted Average Grant Date Fair Value
Non-vested at beginning of period, weighted-average grant date fair value | $ / shares	$ 42.36
Awarded, weighted-average grant date fair value | $ / shares	59.27
Vested, weighted-average grant date fair value | $ / shares	34.30
Forfeited, weighted-average grant date fair value | $ / shares	49.43
Non-vested at the end of period, weighted-average grant date fair value | $ / shares	$ 49.31