Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jan. 31, 2018 | Feb. 26, 2018 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jan. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | GEF | |
Entity Registrant Name | GREIF INC | |
Entity Central Index Key | 43,920 | |
Current Fiscal Year End Date | --10-31 | |
Entity Filer Category | Large Accelerated Filer | |
Class A Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 25,920,750 | |
Class B Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 22,007,725 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Net sales | $ 905.7 | $ 820.9 |
Cost of products sold | 734 | 657.6 |
Gross profit | 171.7 | 163.3 |
Selling, general and administrative expenses | 103.8 | 96.6 |
Restructuring charges | 4.1 | (0.3) |
Non-cash asset impairment charges | 2.9 | 1.9 |
Gain on disposal of properties, plants and equipment, net | (4.6) | (1) |
Loss on disposal of businesses, net | 0 | 0.5 |
Operating profit | 65.5 | 65.6 |
Interest expense, net | 13.3 | 18.7 |
Pension settlement charge | 0 | 23.5 |
Other expense, net | 7.7 | 3.6 |
Income before income tax (benefit) expense, net | 44.5 | 19.8 |
Income tax (benefit) expense | (15.6) | 11.8 |
Net income | 60.1 | 8 |
Net income attributable to noncontrolling interests | (3.6) | (2.6) |
Net income attributable to Greif, Inc. | $ 56.5 | $ 5.4 |
Class A Common Stock | ||
Basic earnings per share attributable to Greif, Inc. common shareholders: | ||
Basic earnings per share attributable to Greif, Inc. common shareholders (usd per share) | $ 0.96 | $ 0.10 |
Diluted earnings per share attributable to Greif, Inc. common shareholders: | ||
Diluted earnings per share attributable to Greif, Inc. common shareholders (usd per share) | $ 0.96 | $ 0.10 |
Weighted-average number of common shares outstanding: | ||
Weighted-average number of common shares outstanding, basic (shares) | 25,845,758 | 25,787,769 |
Weighted-average number of common shares outstanding, diluted (shares) | 25,845,758 | 25,792,441 |
Cash dividends declared per common share: | ||
Cash dividends declared per common share (usd per share) | $ 0.42 | $ 0.42 |
Class B Common Stock | ||
Basic earnings per share attributable to Greif, Inc. common shareholders: | ||
Basic earnings per share attributable to Greif, Inc. common shareholders (usd per share) | 1.44 | 0.13 |
Diluted earnings per share attributable to Greif, Inc. common shareholders: | ||
Diluted earnings per share attributable to Greif, Inc. common shareholders (usd per share) | $ 1.44 | $ 0.13 |
Weighted-average number of common shares outstanding: | ||
Weighted-average number of common shares outstanding, basic (shares) | 22,000,000 | 22,000,000 |
Weighted-average number of common shares outstanding, diluted (shares) | 22,000,000 | 22,000,000 |
Cash dividends declared per common share: | ||
Cash dividends declared per common share (usd per share) | $ 0.62 | $ 0.62 |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 60.1 | $ 8 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation | 38.4 | (9.2) |
Interest rate derivative | 3.9 | 4.6 |
Minimum pension liabilities | (0.9) | 28.1 |
Other comprehensive income, net of tax | 41.4 | 23.5 |
Comprehensive income | 101.5 | 31.5 |
Comprehensive income attributable to noncontrolling interests | 4 | 0.9 |
Comprehensive income attributable to Greif, Inc. | $ 97.5 | $ 30.6 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Current assets | ||
Cash and cash equivalents | $ 94.3 | $ 142.3 |
Trade accounts receivable, less allowance of $9.1 in 2018 and $8.9 in 2017 | 448.7 | 447 |
Inventories: | ||
Raw materials | 235.6 | 192.1 |
Work-in-process | 12 | 11.5 |
Finished goods | 89.3 | 75.9 |
Assets held for sale | 1.2 | 2.2 |
Prepaid expenses | 53.1 | 35.3 |
Other current assets | 109.8 | 88.2 |
Total current assets | 1,044 | 994.5 |
Long-term assets | ||
Goodwill | 808 | 785.4 |
Other intangible assets, net of amortization | 95.9 | 98 |
Deferred tax assets | 13.6 | 10.5 |
Assets held by special purpose entities | 50.9 | 50.9 |
Pension asset | 11.8 | 10.3 |
Other long-term assets | 100.7 | 94.3 |
Total long term assets, excluding properties, plants and equipment | 1,080.9 | 1,049.4 |
Properties, plants and equipment | ||
Timber properties, net of depletion | 277.4 | 276.2 |
Land | 103.3 | 99.5 |
Buildings | 443.2 | 428.3 |
Machinery and equipment | 1,564.3 | 1,540.2 |
Capital projects in progress | 90.1 | 80.2 |
Properties, plants and equipment, gross | 2,478.3 | 2,424.4 |
Accumulated depreciation | (1,275.1) | (1,236) |
Properties, plants and equipment, net | 1,203.2 | 1,188.4 |
Total assets | 3,328.1 | 3,232.3 |
Current liabilities | ||
Accounts payable | 378.4 | 399.2 |
Accrued payroll and employee benefits | 76.8 | 111.8 |
Restructuring reserves | 4.8 | 5.2 |
Current portion of long-term debt | 15 | 15 |
Short-term borrowings | 8.1 | 14.5 |
Other current liabilities | 150.3 | 142.2 |
Total current liabilities | 633.4 | 687.9 |
Long-term liabilities | ||
Long-term debt | 1,010.8 | 937.8 |
Deferred tax liabilities | 168.3 | 217.8 |
Pension liabilities | 161.2 | 159.5 |
Postretirement benefit obligations | 12.2 | 12.6 |
Liabilities held by special purpose entities | 43.3 | 43.3 |
Contingent liabilities and environmental reserves | 8.3 | 7.1 |
Mandatorily redeemable noncontrolling interests | 8.9 | 9.2 |
Long-term income tax payable | 35.9 | 0 |
Other long-term liabilities | 85.8 | 78.1 |
Total long-term liabilities | 1,534.7 | 1,465.4 |
Commitments and contingencies (Note 12) | ||
Redeemable noncontrolling interests (Note 17) | 33.5 | 31.5 |
Equity | ||
Common stock, without par value | 149.1 | 144.2 |
Treasury stock, at cost | (135.5) | (135.6) |
Retained earnings | 1,390.5 | 1,360.5 |
Accumulated other comprehensive income (loss), net of tax: | ||
Foreign currency translation | (211.3) | (249.3) |
Interest rate derivative | 9.6 | 5.1 |
Minimum pension liabilities | (114.9) | (114) |
Total Greif, Inc. shareholders' equity | 1,087.5 | 1,010.9 |
Noncontrolling interests | 39 | 36.6 |
Total shareholders' equity | 1,126.5 | 1,047.5 |
Total liabilities and shareholders' equity | $ 3,328.1 | $ 3,232.3 |
Condensed Consolidated Balance5
Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Allowance of trade accounts receivable | $ 9.1 | $ 8.9 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 60.1 | $ 8 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Depreciation, depletion and amortization | 31.7 | 30.7 |
Non-cash asset impairment charges | 2.9 | 1.9 |
Pension settlement charge | 0 | 23.5 |
Gain on disposal of properties, plants and equipment, net | (4.6) | (1) |
Loss on disposals of businesses, net | 0 | 0.5 |
Unrealized foreign exchange loss | 2.5 | 2.1 |
Deferred income tax benefit | (65.5) | (11.3) |
Other, net | 0 | (0.6) |
Increase (decrease) in cash from changes in certain assets and liabilities: | ||
Trade accounts receivable | 8.4 | (2.3) |
Inventories | (48) | (36.8) |
Deferred purchase price on sold receivables | (22.9) | (23.1) |
Accounts payable | (25.7) | (26) |
Restructuring reserves | (0.6) | (4.1) |
Pension and postretirement benefit liabilities | (1.7) | (2.1) |
Other, net | 9.7 | (3.5) |
Net cash used in operating activities | (53.7) | (44.1) |
Cash flows from investing activities: | ||
Purchases of properties, plants, and equipment | (28) | (21.3) |
Purchases of and investments in timber properties | (2.6) | (2.1) |
Proceeds from the sale of properties, plants, equipment and other assets | 6 | 1.7 |
Proceeds from the sale of businesses | 1.4 | 0.8 |
Net cash used in investing activities | (23.2) | (20.9) |
Cash flows from financing activities: | ||
Proceeds from issuance of long-term debt | 296.5 | 359.8 |
Payments on long-term debt | (238.1) | (353.5) |
Proceeds (payments) on short-term borrowings, net | (6.2) | (10.3) |
Proceeds from trade accounts receivable credit facility | 0 | 155.3 |
Payments on trade accounts receivable credit facility | (2.8) | (53.6) |
Dividends paid to Greif, Inc. shareholders | (24.5) | (24.5) |
Dividends paid to noncontrolling interests | (0.4) | (0.5) |
Net cash provided by financing activities | 24.5 | 72.7 |
Effects of exchange rates on cash | 4.4 | (4.6) |
Net increase (decrease) in cash and cash equivalents | (48) | 3.1 |
Cash and cash equivalents at beginning of period | 142.3 | 103.7 |
Cash and cash equivalents at end of period | $ 94.3 | $ 106.8 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended |
Jan. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The condensed consolidated financial statements have been prepared in accordance with the U.S. Securities and Exchange Commission (“SEC”) instructions to Quarterly Reports on Form 10-Q and include all of the information and disclosures required by accounting principles generally accepted in the United States (“GAAP”) for interim financial reporting. The preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual amounts could differ from those estimates. The Company’s fiscal year begins on November 1 and ends on October 31 of the following year. Any references to the year 2018 or 2017 , or to any quarter of those years, relates to the fiscal year or quarter, as the case may be, ended in that year. The information filed herein reflects all adjustments that are, in the opinion of management, necessary for a fair presentation of the condensed consolidated balance sheets as of January 31, 2018 and October 31, 2017 , the condensed consolidated statements of income and comprehensive income for the three months ended January 31, 2018 and 2017 and the condensed consolidated statements of cash flows for the three months ended January 31, 2018 and 2017 of Greif, Inc. and its subsidiaries (the “Company”). The condensed consolidated financial statements include the accounts of Greif, Inc., all wholly-owned and consolidated subsidiaries and investments in limited liability companies, partnerships and joint ventures in which it has controlling influence or is the primary beneficiary. Non-majority owned entities include investments in limited liability companies, partnerships and joint ventures in which the Company does not have controlling influence and are accounted for using either the equity or cost method, as appropriate. The unaudited condensed consolidated financial statements included in the Quarterly Report on Form 10-Q (this “Form 10-Q”) should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for its fiscal year ended October 31, 2017 (the “ 2017 Form 10-K”). Newly Adopted Accounting Standards In March 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-07, "Compensation - Retirement Benefits (Topic 715)," which provides additional guidance in Accounting Standards Codification ("ASC") 715 for the presentation of net periodic benefit cost in the income statement and on the components eligible for capitalization in assets. This ASU requires the reporting of the service cost component to be in the same line item as other compensation costs arising from services rendered by the pertinent employees. Also, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations. This update also allows only the service cost component to be eligible for capitalization when applicable. The update is effective for the Company on November 1, 2018 using a retrospective approach for the presentation of the service cost component and the other components of net periodic pension cost and net periodic post-retirement benefit cost in the income statement and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic pension cost and net periodic post-retirement benefit in assets. The Company early adopted ASU 2017-07 on November 1, 2017 using a retrospective approach for each period presented. The impact of adoption for the period ended January 31, 2018 was $1.8 million of net periodic benefit costs, other than the service cost components, being recorded in the line item "Other expense, net" in the condensed consolidated statements of income. For the period ended January 31, 2017, $23.5 million of pension settlement charge previously presented within operating profit has been presented outside of operating profit in the condensed consolidated statement of income due to the retrospective adoption of this ASU. The adoption did not have a material impact on the Company's financial position, results of operations, comprehensive income, cash flows or disclosures other than the impact discussed above. In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging (Topic 815)," which amends the accounting and disclosure requirements in ASC 815, "Derivatives and Hedging." The objective of this ASU is to improve transparency and reduce the complexity of hedge accounting. This ASU eliminates the separate recognition of periodic hedge ineffectiveness for cash flow and net investment hedges. The update is effective for the Company on November 1, 2019 using a modified retrospective approach and early adoption is permitted. The Company early adopted ASU 2017-12 on November 1, 2017 using a modified retrospective approach, which resulted in a reclassification of $0.6 million loss out of “Accumulated other comprehensive income (loss), net of tax” and into “Retained Earnings” related to elimination of the cumulative ineffectiveness of cash flow hedges at the adoption date. The adoption did not have a material impact on the Company's financial position, results of operations, comprehensive income, cash flows or disclosures other than the impact discussed above. Recently Issued Accounting Standards In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition. This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The update is effective for the Company on November 1, 2018 using one of two retrospective application methods. The Company is in the process of determining the potential impact of adopting the new revenue standards including conducting internal training sessions and reviewing global revenue surveys and key revenue contracts. The Company anticipates that the impact of adoption will be limited to expanded disclosures with no material impact on its financial position, results of operations, comprehensive income or cash flows. In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)," which amends the lease accounting and disclosure requirements in ASC 840, "Leases". The objective of this update is to increase transparency and comparability among organizations recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about lease arrangements. This ASU will require the recognition of lease assets and lease liabilities for those leases classified as operating leases under previous GAAP. The update is effective for the Company on November 1, 2019 using a modified retrospective approach. The Company is in the process of determining the potential impact of adopting this guidance on its financial position, results of operations, comprehensive income, cash flows and disclosures. In August of 2016, the FASB issued ASU 2016-15, "Statement of Cash Flows (Topic 230)," which amends the classification of certain cash receipts and cash payments on the statement of cash flows. The update is effective for the Company on November 1, 2018 and early adoption is permitted, including any interim period. The update should be applied using a retrospective approach, excluding amendments for which retrospective application is impractical. The Company is in the process of determining the potential impact of adopting this guidance on its financial position, results of operations, comprehensive income, cash flows and disclosures. In October 2016, the FASB issued ASU 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory (Topic 740)," which improves the accounting for income tax consequences of intra-entity transfers of assets other than inventory. The update is effective for the Company on November 1, 2018 using a modified retrospective approach and early adoption is permitted, including any interim period. The Company is in the process of determining the potential impact of adopting this guidance on its financial position, results of operations, comprehensive income, cash flows and disclosures. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 3 Months Ended |
Jan. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | ACQUISITIONS AND DIVESTITURES For the three months ended January 31, 2018 , the Company completed no divestitures and no acquisitions. Proceeds from divestitures that were completed in fiscal year 2017 and collected during the three months ended January 31, 2018 were $0.5 million . Proceeds from divestitures that were completed in fiscal year 2015 and collected during the three months ended January 31, 2018 were $0.9 million . The Company has $2.9 million of notes receivable recorded from the sale of businesses. For the three months ended January 31, 2017 , the Company completed no divestitures and no acquisitions. The Company deconsolidated one nonstrategic business in the Flexible Products & Services segment during the first quarter of 2017, generating a loss on disposal of the business of $0.5 million . |
Sale of Non-United States Accou
Sale of Non-United States Accounts Receivable | 3 Months Ended |
Jan. 31, 2018 | |
Receivables [Abstract] | |
Sale of Non-United States Accounts Receivable | SALE OF NON-UNITED STATES ACCOUNTS RECEIVABLE On April 27, 2012, Cooperage Receivables Finance B.V. (the “Main SPV”) and Greif Coordination Center BVBA, an indirect wholly owned subsidiary of Greif, Inc. (“Seller”), entered into the Nieuw Amsterdam Receivables Purchase Agreement (the “European RPA”) with affiliates of a major international bank (the “Purchasing Bank Affiliates”). On April 18, 2017, the Main SPV and Seller amended and extended the term of the existing European RPA. Under the European RPA, as amended, the maximum amount of receivables that may be sold and outstanding under the European RPA at any time is €100.0 million ( $123.8 million as of January 31, 2018 ). Under the terms of the European RPA, the Company has the ability to loan excess cash to the Purchasing Bank Affiliates in the form of a subordinated loan receivable. Under the terms of the European RPA, the Company has agreed to sell trade receivables meeting certain eligibility requirements that the Seller had purchased from other indirect wholly-owned subsidiaries of the Company under a factoring agreement. The structure of the transactions provide for a legal true sale, on a revolving basis, of the receivables transferred from the Company's various subsidiaries to the respective Purchasing Bank Affiliates. The purchaser funds an initial purchase price of a certain percentage of eligible receivables based on a formula, with the initial purchase price approximating 75 percent to 90 percent of eligible receivables. The remaining deferred purchase price is settled upon collection of the receivables. At the balance sheet reporting dates, the Company removes from accounts receivable the amount of proceeds received from the initial purchase price since they meet the applicable criteria of ASC 860, “Transfers and Servicing,” and the Company continues to recognize the deferred purchase price in prepaid expenses and other current assets or other current liabilities. The receivables are sold on a non-recourse basis with the total funds in the servicing collection accounts pledged to the banks between settlement dates. In October 2007, Greif Singapore Pte. Ltd., an indirect wholly-owned subsidiary of Greif, Inc., entered into the Singapore Receivable Purchase Agreement (the “Singapore RPA”) with a major international bank. The maximum amount of aggregate receivables that may be financed under the Singapore RPA is 15.0 million Singapore Dollars ( $11.4 million as of January 31, 2018 ). Under the terms of the Singapore RPA, the Company has agreed to sell trade receivables in exchange for an initial purchase price of approximately 90 percent of the eligible receivables. The remaining deferred purchase price is settled upon collection of the receivables. The table below contains certain information related to the Company’s accounts receivable sales programs: Three Months Ended (in millions) 2018 2017 European RPA Gross accounts receivable sold to third party financial institution $ 163.9 $ 137.6 Cash received for accounts receivable sold under the programs 145.6 122.0 Deferred purchase price related to accounts receivable sold 18.3 15.6 Loss associated with the programs — 0.1 Expenses associated with the programs — — Singapore RPA Gross accounts receivable sold to third party financial institution $ 10.8 $ 9.9 Cash received for accounts receivable sold under the program 8.9 8.0 Deferred purchase price related to accounts receivable sold 1.9 1.9 Loss associated with the program — — Expenses associated with the program — — Total RPAs and Agreements Gross accounts receivable sold to third party financial institution $ 174.7 $ 147.5 Cash received for accounts receivable sold under the program 154.5 130.0 Deferred purchase price related to accounts receivable sold 20.2 17.5 Loss associated with the program — 0.1 Expenses associated with the program — — The table below contains certain information related to the Company’s accounts receivable sales programs and the impact it has on the condensed consolidated balance sheets: (in millions) January 31, October 31, European RPA Accounts receivable sold to and held by third party financial institution $ 119.4 $ 116.3 Deferred purchase price asset (liability) related to accounts receivable sold 18.4 (4.2 ) Singapore RPA Accounts receivable sold to and held by third party financial institution $ 6.3 $ 3.8 Deferred purchase price asset related to accounts receivable sold 0.9 0.5 Total RPAs and Agreements Accounts receivable sold to and held by third party financial institution $ 125.7 $ 120.1 Deferred purchase price asset (liability) related to accounts receivable sold 19.3 (3.7 ) The deferred purchase price related to the accounts receivable sold is reflected as prepaid expenses and other current assets or other current liabilities on the Company’s condensed consolidated balance sheets and was initially recorded at an amount which approximates its fair value due to the short-term nature of these items. The cash received initially and the deferred purchase price relate to the sale or ultimate collection of the underlying receivables and are not subject to significant other risks given their short term nature; therefore, the Company reflects all cash flows under the accounts receivable sales programs as operating cash flows on the Company’s condensed consolidated statements of cash flows. Additionally, the Company performs collections and administrative functions on the receivables sold, similar to the procedures it uses for collecting all of its receivables, including receivables that are not sold under the European RPA and the Singapore RPA. The servicing liability for these receivables is not material to the condensed consolidated financial statements. |
Assets and Liabilities Held for
Assets and Liabilities Held for Sale and Disposals of Properties, Plants and Equipment, Net | 3 Months Ended |
Jan. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Assets and Liabilities Held for Sale and Disposals of Properties, Plants and Equipment, Net | ASSETS AND LIABILITIES HELD FOR SALE AND DISPOSALS OF PROPERTIES, PLANTS AND EQUIPMENT, NET As of January 31, 2018 , there were two asset groups within the Rigid Industrial Packaging & Services segment classified as assets and liabilities held for sale. The assets held for sale are being marketed for sale, and it is the Company’s intention to complete the sales of these assets within twelve months following their initial classification as held for sale. As of October 31, 2017 , there were two asset groups in the Rigid Industrial Packaging & Services segment classified as assets and liabilities held for sale. For the three months ended January 31, 2018 , the Company recorded a gain on disposal of properties, plants and equipment, net of $4.6 million . This included disposals of assets in the Rigid Industrial Packaging & Services segment that resulted in gains of $3.4 million and special use property sales that resulted in gains of $1.2 million in the Land Management segment. For the three months ended January 31, 2017 , the Company recorded a gain on disposal of properties, plants and equipment, net of $1.0 million . This included disposals of assets in the Rigid Industrial Packaging & Services segment that resulted in gains of $0.6 million and special use property sales that resulted in gains of $0.4 million in the Land Management segment. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 3 Months Ended |
Jan. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS The following table summarizes the changes in the carrying amount of goodwill by segment for the three month period ended January 31, 2018 : (in millions) Rigid Industrial Packaging & Services Paper Packaging & Services Total Balance at October 31, 2017 $ 725.9 $ 59.5 $ 785.4 Currency translation 22.6 — 22.6 Balance at January 31, 2018 $ 748.5 $ 59.5 $ 808.0 The following table summarizes the carrying amount of net other intangible assets by class as of January 31, 2018 and October 31, 2017 : (in millions) Gross Intangible Assets Accumulated Amortization Net Intangible Assets January 31, 2018: Indefinite lived: Trademarks and patents $ 13.8 $ — $ 13.8 Definite lived: Customer relationships $ 170.0 $ 101.9 $ 68.1 Trademarks and patents 11.6 5.1 6.5 Other 24.8 17.3 7.5 Total $ 220.2 $ 124.3 $ 95.9 October 31, 2017: Indefinite lived: Trademarks and patents $ 13.4 $ — $ 13.4 Definite lived: Customer relationships $ 170.2 $ 99.7 $ 70.5 Trademarks and patents 11.6 4.9 6.7 Other 23.4 16.0 7.4 Total $ 218.6 $ 120.6 $ 98.0 Amortization expense for the three months ended January 31, 2018 and 2017 was $3.8 million and $3.8 million , respectively. Amortization expense for the next five years is expected to be $15.4 million in 2018, $15.0 million in 2019, $14.5 million in 2020, $12.8 million in 2021 and $8.9 million in 2022. Definite lived intangible assets for the periods presented are subject to amortization and are being amortized using the straight-line method over periods that are contractually, legally determined, or over the period a market participant would benefit from the asset. |
Restructuring Charges
Restructuring Charges | 3 Months Ended |
Jan. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | RESTRUCTURING CHARGES The following is a reconciliation of the beginning and ending restructuring reserve balances for the three month period ended January 31, 2018 : (in millions) Employee Separation Costs Other Costs Total Balance at October 31, 2017 $ 3.9 $ 1.3 $ 5.2 Costs incurred and charged to expense 2.8 1.3 4.1 Costs paid or otherwise settled (3.1 ) (1.4 ) (4.5 ) Balance at January 31, 2018 $ 3.6 $ 1.2 $ 4.8 The focus for restructuring activities in 2018 is to continue to rationalize operations and close underperforming assets in the Rigid Industrial Packaging & Services and Flexible Products & Services segments. During the three months ended January 31, 2018 , the Company recorded restructuring charges of $4.1 million , as compared to a benefit of $0.3 million recorded during the three months ended January 31, 2017 . The restructuring activity for the three months ended January 31, 2018 consisted of $2.8 million in employee separation costs and $1.3 million in other restructuring costs. The following is a reconciliation of the total amounts expected to be incurred from approved restructuring plans or plans that are being formulated and have not been announced as of the date of this Form 10-Q. Remaining amounts expected to be incurred are $16.1 million as of January 31, 2018 compared to $14.9 million as of October 31, 2017 . The change was due to the formulations of new plans during the period. (in millions) Total Amounts Expected to be Incurred Amounts Incurred During the three month period ended January 31, 2018 Amounts Remaining to be Incurred Rigid Industrial Packaging & Services Employee separation costs $ 17.6 $ 2.6 $ 15.0 Other restructuring costs 1.2 1.2 — 18.8 3.8 15.0 Flexible Products & Services Employee separation costs 0.5 0.2 0.3 Other restructuring costs 0.9 0.1 0.8 1.4 0.3 1.1 $ 20.2 $ 4.1 $ 16.1 |
Consolidation of Variable Inter
Consolidation of Variable Interest Entities | 3 Months Ended |
Jan. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation of Variable Interest Entities | CONSOLIDATION OF VARIABLE INTEREST ENTITIES The Company evaluates whether an entity is a variable interest entity (“VIE”) whenever reconsideration events occur and performs reassessments of all VIEs quarterly to determine if the primary beneficiary status is appropriate. The Company consolidates VIEs for which it is the primary beneficiary. If the Company is not the primary beneficiary and an ownership interest is held, the VIE is accounted for under the equity or cost methods of accounting, as appropriate. When assessing the determination of the primary beneficiary, the Company considers all relevant facts and circumstances, including: the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance; and the obligation to absorb the expected losses and/or the right to receive the expected returns of the VIE. Significant Nonstrategic Timberland Transactions In 2005, the Company sold certain timber properties to Plum Creek Timberlands, L.P. (“Plum Creek”) in a series of transactions that included the creation of two separate legal entities that are now consolidated as separate VIEs. One is an indirect subsidiary of Plum Creek (the “Buyer SPE”), and the other is STA Timber LLC, an indirect wholly owned subsidiary of the Company (“STA Timber”). As of January 31, 2018 and October 31, 2017 , consolidated assets of the Buyer SPE consisted of $50.9 million of restricted bank financial instruments which are expected to be held to maturity. For both of the three month periods ended January 31, 2018 and 2017 , Buyer SPE recorded interest income of $0.6 million . As of January 31, 2018 and October 31, 2017 , STA Timber had consolidated long-term debt of $43.3 million . For both of the three month periods ended January 31, 2018 and 2017 , STA Timber recorded interest expense of $0.6 million . The intercompany borrowing arrangement between the two VIEs is eliminated in consolidation. STA Timber is exposed to credit-related losses in the event of nonperformance by an issuer of a deed of guarantee in the transaction. Flexible Packaging Joint Venture On September 29, 2010, Greif, Inc. and one of its indirect subsidiaries formed a joint venture (referred to herein as the “Flexible Packaging JV” or “FPS VIE”) with Dabbagh Group Holding Company Limited and one of its subsidiaries, originally National Scientific Company Limited and now Gulf Refined Packaging for Industrial Packaging Company LTD. The Flexible Packaging JV owns the operations in the Flexible Products & Services segment. The Flexible Packaging JV has been consolidated into the operations of the Company as of its formation date of September 29, 2010. The Flexible Packaging JV is deemed to be a VIE since the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support. The major factors that led to the conclusion that the Company was the primary beneficiary of this VIE was that (1) the Company has the power to direct the most significant activities due to its ability to direct the operating decisions of the FPS VIE, which power is derived from the significant CEO discretion over the operations of the FPS VIE combined with the Company’s sole and exclusive right to appoint the CEO of the FPS VIE, and (2) the significant variable interest through the Company’s equity interest in the FPS VIE. All entities contributed to the Flexible Packaging JV were existing businesses acquired by one of the Company's indirect subsidiaries that were reorganized under Greif Flexibles Asset Holding B.V. and Greif Flexibles Trading Holding B.V. The following table presents the Flexible Packaging JV total net assets: (in millions) January 31, October 31, Cash and cash equivalents $ 17.1 $ 14.4 Trade accounts receivable, less allowance of $1.7 in 2018 and $2.1 in 2017 55.4 52.5 Inventories 59.3 53.3 Properties, plants and equipment, net 31.1 31.2 Other assets 25.5 25.8 Total Assets $ 188.4 $ 177.2 Accounts payable $ 34.6 $ 33.8 Other liabilities 27.8 30.2 Total Liabilities $ 62.4 $ 64.0 Net income attributable to the noncontrolling interest in the Flexible Packaging JV for the three months ended January 31, 2018 and 2017 was $1.1 million and $0.6 million , respectively. Non-United States Accounts Receivable VIE As further described in Note 3, Cooperage Receivables Finance B.V. is a party to the European RPA. Cooperage Receivables Finance B.V. is deemed to be a VIE since this entity is not able to satisfy its liabilities without the financial support from the Company. While this entity is a separate and distinct legal entity from the Company and no ownership interest in this entity is held by the Company, the Company is the primary beneficiary because it has (1) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (2) the obligation to absorb losses of the VIE that could potentially be significant to the VIE. As a result, Cooperage Receivables Finance B.V. has been consolidated into the operations of the Company. |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Jan. 31, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | LONG-TERM DEBT Long-term debt is summarized as follows: (in millions) January 31, 2018 October 31, 2017 2017 Credit Agreement $ 383.2 $ 323.8 Senior Notes due 2019 248.3 248.0 Senior Notes due 2021 246.3 230.9 Receivables Facility 147.2 150.0 Other debt 6.8 6.5 1,031.8 959.2 Less current portion 15.0 15.0 Less deferred financing costs 6.0 6.4 Long-term debt $ 1,010.8 $ 937.8 2017 Credit Agreement On November 3, 2016, the Company and certain of its international subsidiaries entered into a new senior secured credit agreement (the “2017 Credit Agreement”) with a syndicate of financial institutions. The 2017 Credit Agreement replaced in its entirety the $1.0 billion senior secured credit agreement entered into on December 19, 2012, by the Company and two of its international subsidiaries ("Prior Credit Agreement") with a syndicate of financial institutions. The total available borrowing under the 2017 Credit Agreement was $687.4 million as of January 31, 2018 , which has been reduced by $14.4 million for outstanding letters of credit, all of which was then available without violating covenants. The 2017 Credit Agreement provides for an $800.0 million revolving multicurrency credit facility expiring November 3, 2021, and a $300.0 million term loan, with quarterly principal installments that commenced on April 30, 2017, through maturity on November 3, 2021, both with an option to add an aggregate of $550.0 million to the facilities with the agreement of the lenders. The Company used the term loan on February 1, 2017, to repay the principal of the Company’s $300.0 million 6.75% Senior Notes that matured on that date. The revolving credit facility is available to fund ongoing working capital and capital expenditure needs, for general corporate purposes, and to finance acquisitions. Interest is based on either a Eurodollar rate or a base rate that resets periodically plus a calculated margin amount. The financing costs associated with the 2017 Credit Agreement totaled $5.3 million as of January 31, 2018 , and are recorded as a direct deduction from the long-term debt liability. The 2017 Credit Agreement contains certain covenants, which include financial covenants that require the Company to maintain a certain leverage ratio and an interest coverage ratio. The leverage ratio generally requires that at the end of any fiscal quarter the Company will not permit the ratio of (a) its total consolidated indebtedness, to (b) the Company's net income plus depreciation, depletion, and amortization, interest expense (including capitalized interest), and income taxes, minus certain extraordinary gains and non-recurring gains (or plus certain extraordinary losses and non-recurring losses) and plus or minus certain other items for the preceding twelve months ("adjusted EBITDA") to be greater than 4.00 to 1.00 (or 3.75 to 1.00 , during any collateral release period). The interest coverage ratio generally requires that at the end of any fiscal quarter the Company will not permit the ratio of (a) adjusted EBITDA, to (b) the consolidated interest expense to the extent paid or payable, to be less than 3.00 to 1.00 , during the applicable preceding twelve month period. As of January 31, 2018 , $383.2 million was outstanding under the 2017 Credit Agreement. The current portion of the 2017 Credit Agreement was $15.0 million and the long-term portion was $368.2 million . The weighted average interest rate on the 2017 Credit Agreement was 2.69% for the three months ended January 31, 2018 . The actual interest rate on the 2017 Credit Agreement was 2.74% as of January 31, 2018 . Senior Notes due 2019 On July 28, 2009, the Company issued $250.0 million of 7.75% Senior Notes due August 1, 2019 . Interest on these Senior Notes is payable semi-annually. The financing costs associated with the Senior Notes due 2019 totaled $0.7 million as of January 31, 2018 , and are recorded as a direct deduction from the long-term liability. Senior Notes due 2021 On July 15, 2011, Greif, Inc.’s wholly-owned subsidiary, Greif Nevada Holdings, Inc., S.C.S. issued €200.0 million of 7.375% Senior Notes due July 15, 2021 . These Senior Notes are fully and unconditionally guaranteed on a senior basis by Greif, Inc. Interest on these Senior Notes is payable semi-annually. United States Trade Accounts Receivable Credit Facility On September 27, 2017 the Company amended and restated its existing receivables facility in the United States which matured in September of 2017 to establish a $150.0 million United States Trade Accounts Receivable Credit Facility (the "Receivables Facility") with a financial institution. The Receivables Facility matures on September 26, 2018. The $147.2 million outstanding balance as of January 31, 2018 is reported in long-term debt in the condensed consolidated balance sheets because the Company intends to refinance the obligation on a long-term basis and has the intent and ability to consummate a long-term refinancing. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 3 Months Ended |
Jan. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measurements | FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS Recurring Fair Value Measurements The following table presents the fair value for those assets and (liabilities) measured on a recurring basis as of January 31, 2018 and October 31, 2017 : January 31, 2018 Fair Value Measurement (in millions) Level 1 Level 2 Level 3 Total Balance Sheet Location Interest rate derivatives $ — $ 14.2 $ — $ 14.2 Other long-term assets and other current assets Foreign exchange hedges — 0.6 — 0.6 Other current assets Foreign exchange hedges — (3.5 ) — (3.5 ) Other current liabilities Insurance annuity — — 22.0 22.0 Other long-term assets Total $ — $ 11.3 $ 22.0 $ 33.3 October 31, 2017 Fair Value Measurement (in millions) Level 1 Level 2 Level 3 Total Balance Sheet Location Interest rate derivatives $ — $ 8.9 $ — $ 8.9 Other long-term assets and other current assets Foreign exchange hedges — 0.1 — 0.1 Other current assets Foreign exchange hedges — (0.6 ) — (0.6 ) Other current liabilities Insurance annuity — — 20.7 20.7 Other long-term assets Total $ — $ 8.4 $ 20.7 $ 29.1 The carrying amounts of cash and cash equivalents, trade accounts receivable, accounts payable, current liabilities and short-term borrowings as of January 31, 2018 and October 31, 2017 approximate their fair values because of the short-term nature of these items and are not included in this table. Interest Rate Derivatives The Company has various borrowing facilities which charge interest based on the one month U.S. dollar LIBOR rate plus an interest spread. During the first quarter of 2017, the Company entered into a forward interest rate swap with a notional amount of $300.0 million . As of February 1, 2017, the Company began to receive variable rate interest payments based upon one month U.S. dollar LIBOR and in return was obligated to pay interest at a fixed rate of 1.194% . This effectively converted the borrowing rate on $300.0 million of debt from a variable rate to a fixed rate. This derivative is designated as a cash flow hedge for accounting purposes. Accordingly, the gain or loss on this derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same line item associated with the forecasted transaction and in the same period during which the hedged transaction affects earnings. For additional disclosures of the gain or loss included with other comprehensive income, see also Note 15 to the interim condensed consolidated financial statements. The assumptions used in measuring fair value of the interest rate derivative are considered level 2 inputs, which are based upon LIBOR and interest paid based upon a designated fixed rate over the life of the swap agreements. Losses reclassified to earnings under these contracts were $0.2 million and zero for the three months ended January 31, 2018 , and 2017 , respectively. A derivative gain of $2.3 million , based upon interest rates at January 31, 2018 , is expected to be reclassified from other comprehensive income (loss) to earnings in the next twelve months. Foreign Exchange Hedges The Company conducts business in various international currencies and is subject to risks associated with changing foreign exchange rates. The Company’s objective is to reduce volatility associated with foreign exchange rate changes. Accordingly, the Company enters into various contracts that change in value as foreign exchange rates change to protect the value of certain existing foreign currency assets and liabilities, commitments and anticipated foreign currency cash flows. As of January 31, 2018 , the Company had outstanding foreign currency forward contracts in the notional amount of $139.2 million ( $80.1 million as of October 31, 2017 ). Adjustments to fair value are recognized in earnings, offsetting the impact of the hedged profits. The assumptions used in measuring fair value of foreign exchange hedges are considered level 2 inputs, which were based on observable market pricing for similar instruments, principally foreign exchange futures contracts. Realized losses recorded in other expense, net under fair value contracts were $0.5 million and $1.3 million for the three months ended January 31, 2018 and 2017, respectively. The Company recognized in other expense, net an unrealized net loss of $3.1 million and $1.5 million during the three months ended January 31, 2018 and 2017 , respectively. Other Financial Instruments The fair values of the Company’s 2017 Credit Agreement and the Receivables Facility do not materially differ from carrying value as the Company’s cost of borrowing is variable and approximates current borrowing rates. The fair values of the Company’s long-term obligations are estimated based on either the quoted market prices for the same or similar issues or the current interest rates offered for the debt of the same remaining maturities, which are considered level 2 inputs in accordance with ASC Topic 820, "Fair Value Measurements and Disclosures." The following table presents the estimated fair values of the Company’s senior notes: (in millions) January 31, October 31, Senior Notes due 2019 estimated fair value $ 266.2 $ 272.0 Senior Notes due 2021 estimated fair value 298.2 281.0 Assets held by special purpose entities estimated fair value 51.7 52.5 Non-Recurring Fair Value Measurements The following table presents quantitative information about the significant unobservable inputs used to determine the fair value of the impairment of long-lived assets held and used and net assets held for sale for the three months ended January 31, 2018 and 2017 : Quantitative Information about Level 3 Fair Value Measurements (in millions) Fair Value of Impairment Valuation Technique Unobservable Input Range of Input Values January 31, 2018 Impairment of Long Lived Assets $ 2.9 Discounted Cash Flows Discounted Cash Flows N/A Total $ 2.9 January 31, 2017 Impairment of Net Assets Held for Sale $ 1.5 Broker Quote/ Indicative Bids N/A Impairment of Long Lived Assets 0.4 Sales Value Sales Value N/A Total $ 1.9 Long-Lived Assets The Company recognized asset impairment charges of $2.9 million during the three months ended January 31, 2018 and $1.9 million for the three months ended January 31, 2017. As a result of the Company measuring long-lived assets at fair value on a non-recurring basis, during the three months ended January 31, 2018, the Company recorded impairment charges related to properties, plants and equipment, net, of $1.5 million and charges related to intangible assets of $1.4 million in the Rigid Industrial Packaging & Services segment. The assumptions used in measuring fair value of long-lived assets are considered level 3 inputs, which include bids received from third parties, recent purchase offers, market comparable information and discounted cash flows based on assumptions that market participants would use. Assets and Liabilities Held for Sale During the three month period ended January 31, 2018 , one asset group was reclassified to assets and liabilities held for sale, resulting in a $0.4 million impairment to net realizable value. During the three month period ended January 31, 2017, one asset group was reclassified to assets and liabilities held for sale, resulting in $1.5 million impairment to net realizable value. The assumptions used in measuring fair value of assets and liabilities held for sale are considered level 3 inputs, which include recent purchase offers, market comparables and/or data obtained from commercial real estate brokers. |
Income Taxes
Income Taxes | 3 Months Ended |
Jan. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES Income tax expense for the quarter was computed in accordance with ASC 740-270 "Income Taxes - Interim Reporting". Under this method, losses from jurisdictions for which a valuation allowance have been provided have not been included in the amount to which the ASC 740-270 rate was applied. Income tax expense of the Company fluctuates primarily due to changes in income mix by jurisdiction, including changes in losses and income from jurisdictions for which a valuation allowance has been provided, and the impact of discrete items in the respective quarter. The income tax benefit for the three months ended January 31, 2018 was $15.6 million ; whereas, the income tax expense for the three months ended January 31, 2017 was $11.8 million . On December 22, 2017, the President of the United States signed into law the Tax Cuts and Jobs Act of 2017 (the “Tax Reform Act”). The legislation significantly changed U.S. tax law by, among other things, lowering the corporate income tax rate from 35% to 21%, effective January 1, 2018; allowing for the acceleration of expensing for certain business assets; requiring companies to pay a one-time transition tax on certain un-remitted earnings of foreign subsidiaries; and eliminating U.S. federal income tax on dividends from foreign subsidiaries. The rate change is administratively effective as of the beginning of our fiscal year, resulting in the Company using a blended statutory rate for the annual period of 23.33% . The SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Reform Act. The Company has recognized the provisional tax impacts related to deemed repatriated earnings of $35.9 million tax expense and the revaluation of deferred tax assets and liabilities of $65.0 million tax benefit, and, as a result, the net benefit included in its consolidated financial statements for the quarter ended January 31, 2018 is $29.1 million . The final impact may differ from these provisional amounts, possibly materially, due to, among other things, additional analyses, changes in interpretations and assumptions the Company has made, additional regulatory guidance that may be issued, and actions the Company may take as a result of the Tax Reform Act. |
Post Retirement Benefit Plans
Post Retirement Benefit Plans | 3 Months Ended |
Jan. 31, 2018 | |
Postemployment Benefits [Abstract] | |
Post Retirement Benefit Plans | POST RETIREMENT BENEFIT PLANS The components of net periodic pension cost include the following: Three Months Ended (in millions) 2018 2017 Service cost $ 3.3 $ 3.3 Interest cost 4.6 4.6 Expected return on plan assets (6.1 ) (7.1 ) Amortization of prior service cost and net actuarial gain 3.6 2.8 Net periodic pension costs $ 5.4 $ 3.6 The Company made $6.8 million and $3.8 million in pension contributions in the three months ended January 31, 2018 and 2017, respectively. The components of net periodic cost for post retirement benefits include the following: Three Months Ended (in millions) 2018 2017 Service cost $ — $ — Interest cost 0.1 0.1 Amortization of prior service cost and net actuarial gain (0.4 ) (0.3 ) Net periodic benefit for post retirement benefits $ (0.3 ) $ (0.2 ) The components of net periodic pension cost and net periodic cost for post retirement benefits, other than the service cost components, are included in the line item "Other expense, net" in the condensed consolidated statements of income. During the three months ended January 31, 2017 , in the United States, an annuity contract for approximately $49.2 million was purchased with defined benefit plan assets, and the pension obligation for certain retirees in the United States under that plan was irrevocably transferred from that plan to the annuity contract. Additionally, lump sum payments totaling $35.1 million were made from the defined benefit plan assets to certain participants who agreed to such payments, representing the current fair value of the participant’s respective pension benefit. The settlement items described above resulted in a decrease in the fair value of plan assets and the projected benefit obligation of $84.3 million and a non-cash pension settlement charge of $23.5 million of unrecognized net actuarial loss included in accumulated other comprehensive loss. |
Contingent Liabilities and Envi
Contingent Liabilities and Environmental Reserves | 3 Months Ended |
Jan. 31, 2018 | |
Environmental Remediation Obligations [Abstract] | |
Contingent Liabilities and Environmental Reserves | CONTINGENT LIABILITIES AND ENVIRONMENTAL RESERVES Litigation-related Liabilities The Company may become involved from time-to-time in litigation and regulatory matters incidental to its business, including governmental investigations, enforcement actions, personal injury claims, product liability, employment health and safety matters, commercial disputes, intellectual property matters, disputes regarding environmental clean-up costs, litigation in connection with acquisitions and divestitures, and other matters arising out of the normal conduct of its business. The Company intends to vigorously defend itself in such litigation. The Company does not believe that the outcome of any pending litigation will have a material adverse effect on its condensed consolidated financial statements. The Company will accrue for contingencies related to litigation and regulatory matters if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Because litigation is inherently unpredictable and unfavorable resolutions can occur, assessing contingencies is highly subjective and requires judgments about future events. The Company regularly reviews contingencies to determine whether its accruals are adequate. The amount of ultimate loss may differ from these estimates. The Company is currently involved in legal proceedings outside of the United States related to various wrongful termination lawsuits filed by former employees and benefit claims filed by some existing employees of our Flexible Products & Services segment. The lawsuits include claims for severance for employment periods prior to the Company’s ownership in the business. As of January 31, 2018 and October 31, 2017, the estimated liability recorded related to these matters were $4.0 million and $5.7 million , respectively. The estimated liability has been determined based on the number of active cases and the settlements and rulings on previous cases. It is reasonably possible the estimated liability could increase if additional cases are filed or adverse rulings are made. During 2017, three reconditioning facilities in the Milwaukee, Wisconsin area that are owned by Container Life Cycle Management LLC (“CLCM”), the Company’s U.S. reconditioning joint venture company, have been subject to investigations conducted by federal, state and local governmental agencies concerning, among other matters, potential violations of environmental laws and regulations. As a result of these investigations, the United States Environmental Protection Agency (“U.S. EPA”) and the Wisconsin Department of Natural Resources (“WDNR”) have issued notices of violations to the Company and CLCM regarding violations of certain federal and state environmental laws and regulations. The remedies being sought in these proceedings include compliance with the applicable environmental laws and regulations as being interpreted by the U.S. EPA and WDNR and monetary sanctions. The Company has cooperated with the governmental agencies in these investigations and proceedings. As of March 2, 2018, no material citations have been issued or fines assessed with respect to any of these proceedings. Since these proceedings are in their early stages, the Company is unable to predict the outcome of these proceedings or estimate a range of reasonable possible monetary sanctions or costs associated with any remedial actions that may be required or requested by the U.S. EPA or WDNR. In addition, on November 8, 2017, the Company, CLCM and other parties were named as defendants in a punitive class action lawsuit filed in Wisconsin state court concerning one of CLCM’s Milwaukee reconditioning facilities. The plaintiffs are alleging that odors from this facility have invaded their property and are interfering with the use and enjoyment of their property and causing damage to the value of their property. Plaintiffs are seeking compensatory and punitive damages, along with their legal fees. The Company and CLCM are vigorously defending themselves in this lawsuit. Since this lawsuit is at an early stage, the Company is unable to predict the outcome of this lawsuit or estimate a range of reasonably possible losses. Environmental Reserves As of January 31, 2018 and October 31, 2017 , environmental reserves were $8.3 million and $7.1 million , respectively, and were recorded on an undiscounted basis. These reserves are principally based on environmental studies and cost estimates provided by third parties, but also take into account management estimates. The estimated liabilities are reduced to reflect the anticipated participation of other potentially responsible parties in those instances where it is probable that such parties are legally responsible and financially capable of paying their respective shares of relevant costs. For sites that involve formal actions subject to joint and several liabilities, these actions have formal agreements in place to apportion the liability. As of January 31, 2018 and October 31, 2017 , environmental reserves of the Company included $4.4 million and $4.3 million , respectively, for various European drum facilities acquired from Blagden and Van Leer; $0.3 million and $0.3 million , respectively, for its various container life cycle management and recycling facilities; $1.9 million and $1.1 million , respectively, for remediation of sites no longer owned by the Company; and $1.7 million and $1.4 million , respectively, for various other facilities around the world. The Company’s exposure to adverse developments with respect to any individual site is not expected to be material. Although environmental remediation could have a material effect on results of operations if a series of adverse developments occur in a particular quarter or year, the Company believes that the chance of a series of adverse developments occurring in the same quarter or year is remote. Future information and developments will require the Company to continually reassess the expected impact of these environmental matters. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Jan. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE The Company has two classes of common stock and, as such, applies the “two-class method” of computing earnings per share (“EPS”) as prescribed in ASC 260, “Earnings Per Share.” In accordance with this guidance, earnings are allocated in the same fashion as dividends would be distributed. Under the Company’s articles of incorporation, any distribution of dividends in any year must be made in proportion of one cent a share for Class A Common Stock to one and one-half cents a share for Class B Common Stock, which results in a 40% to 60% split to Class A and B shareholders, respectively. In accordance with this, earnings are allocated first to Class A and Class B Common Stock to the extent that dividends are actually paid and the remainder is allocated assuming all of the earnings for the period have been distributed in the form of dividends. The Company calculates EPS as follows: Basic Class A EPS = 40% * Average Class A Shares Outstanding * Undistributed Net Income + Class A Dividends Per Share 40% * Average Class A Shares Outstanding + 60% * Average Class B Shares Outstanding Average Class A Shares Outstanding Diluted Class A EPS = 40% * Average Class A Shares Outstanding * Undistributed Net Income + Class A Dividends Per Share 40% * Average Class A Shares Outstanding + 60% * Average Class B Shares Outstanding Average Diluted Class A Shares Outstanding Basic Class B EPS = 60% * Average Class B Shares Outstanding * Undistributed Net Income + Class B Dividends Per Share 40% * Average Class A Shares Outstanding + 60% * Average Class B Shares Outstanding Average Class B Shares Outstanding *Diluted Class B EPS calculation is identical to Basic Class B calculation The following table provides EPS information for each period: Three Months Ended (in millions) 2018 2017 Numerator for basic and diluted EPS Net income attributable to Greif, Inc. $ 56.5 $ 5.4 Cash dividends (24.5 ) (24.5 ) Undistributed net income (loss) attributable to Greif, Inc. $ 32.0 $ (19.1 ) The Class A Common Stock has no voting rights unless four quarterly cumulative dividends upon the Class A Common Stock are in arrears. The Class B Common Stock has full voting rights. There is no cumulative voting for the election of directors. Common Stock Repurchases The Board of Directors has authorized the Company to repurchase shares of the Company's Class A Common Stock or Class B Common Stock or any combination of the foregoing. As of January 31, 2018, the remaining amount of shares that may be repurchased under this authorization was 4,703,487 . During 2017, the Stock Repurchase Committee authorized and the Company executed the repurchase of 2,000 shares of Class B Common Stock. There have been no other shares repurchased under this program from November 1, 2016 through January 31, 2018 . The following table summarizes the Company’s Class A and Class B common and treasury shares as of the specified dates: Authorized Shares Issued Shares Outstanding Shares Treasury Shares January 31, 2018 Class A Common Stock 128,000,000 42,281,920 25,916,479 16,365,441 Class B Common Stock 69,120,000 34,560,000 22,007,725 12,552,275 October 31, 2017 Class A Common Stock 128,000,000 42,281,920 25,835,281 16,446,639 Class B Common Stock 69,120,000 34,560,000 22,007,725 12,552,275 The following is a reconciliation of the shares used to calculate basic and diluted earnings per share: Three Months Ended 2018 2017 Class A Common Stock: Basic shares 25,845,758 25,787,769 Assumed conversion of restricted shares — 4,672 Diluted shares 25,845,758 25,792,441 Class B Common Stock: Basic and diluted shares 22,007,725 22,009,725 |
Equity Earnings of Unconsolidat
Equity Earnings of Unconsolidated Affiliates, Net of Tax and Net Income Attributable to Noncontrolling Interests | 3 Months Ended |
Jan. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Earnings of Unconsolidated Affiliates, Net of Tax and Net Income Attributable to Noncontrolling Interests | EQUITY EARNINGS OF UNCONSOLIDATED AFFILIATES, NET OF TAX AND NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS Equity earnings of unconsolidated affiliates, net of tax Equity earnings of unconsolidated affiliates, net of tax, were immaterial for the three months ended January 31, 2018 and 2017 . There were no dividends received from the Company's equity method affiliates for the three months ended January 31, 2018 and 2017 . Net income attributable to noncontrolling interests Net income attributable to noncontrolling interests represent the portion of earnings from the operations of the Company’s consolidated subsidiaries attributable to unrelated third party equity owners that were deducted from net income to arrive at net income attributable to the Company. Net income attributable to noncontrolling interests for the three months ended January 31, 2018 and 2017 was $3.6 million and $2.6 million , respectively. |
Equity and Comprehensive Income
Equity and Comprehensive Income (Loss) | 3 Months Ended |
Jan. 31, 2018 | |
Equity [Abstract] | |
Equity and Comprehensive Income (Loss) | EQUITY AND COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes of equity from October 31, 2017 to January 31, 2018 (Dollars in millions, shares in thousands): Capital Stock Treasury Stock Retained Earnings Accumulated Other Comprehensive Income (Loss) Greif, Inc. Equity Non controlling interests Total Equity Common Shares Amount Treasury Shares Amount As of October 31, 2017 47,843 $ 144.2 28,999 $ (135.6 ) $ 1,360.5 $ (358.2 ) $ 1,010.9 $ 36.6 $ 1,047.5 Net income 56.5 56.5 3.6 60.1 Other comprehensive income (loss): - foreign currency translation 38.0 38.0 0.4 38.4 - interest rate derivative, net of income tax expense of $2.1 million (0.6 ) 4.5 3.9 3.9 - minimum pension liability adjustment, net of immaterial income tax (0.9 ) (0.9 ) (0.9 ) Comprehensive income 97.5 101.5 Current period mark to redemption value of redeemable noncontrolling interest (1.4 ) (1.4 ) (1.4 ) Net income allocated to redeemable noncontrolling interests — (1.1 ) (1.1 ) Dividends paid to Greif, Inc. shareholders (24.5 ) (24.5 ) (24.5 ) Dividends paid to noncontrolling interests — (0.5 ) (0.5 ) Long-term incentive shares issued 82 4.9 (82 ) 0.1 5.0 5.0 As of January 31, 2018 47,925 $ 149.1 28,917 $ (135.5 ) $ 1,390.5 $ (316.6 ) $ 1,087.5 $ 39.0 $ 1,126.5 The following table summarizes the changes of equity from October 31, 2016 to January 31, 2017 (Dollars in millions, shares in thousands): Capital Stock Treasury Stock Retained Earnings Accumulated Other Comprehensive Income (Loss) Greif, Inc. Equity Non controlling interests Total Equity Common Shares Amount Treasury Shares Amount As of October 31, 2016 47,792 $ 141.4 29,050 $ (135.6 ) $ 1,340.0 $ (398.4 ) $ 947.4 $ 10.5 $ 957.9 Net income 5.4 5.4 2.6 8.0 Other comprehensive income (loss): - foreign currency translation (7.5 ) (7.5 ) (1.7 ) (9.2 ) - interest rate derivative, net of tax 4.6 4.6 4.6 - minimum pension liability adjustment, net of immaterial income tax 28.1 28.1 28.1 Comprehensive income 30.6 31.5 Current period mark to redemption value of redeemable noncontrolling interest — — — Net income allocated to redeemable noncontrolling interests — (1.0 ) (1.0 ) Other — 0.1 0.1 Dividends paid to Greif, Inc. shareholders (24.5 ) (24.5 ) (24.5 ) Dividends paid to noncontrolling interests (0.3 ) (0.3 ) Long-term incentive shares issued 29 1.5 (29 ) — 1.5 1.5 As of January 31, 2017 47,821 $ 142.9 29,021 $ (135.6 ) $ 1,320.9 $ (373.2 ) $ 955.0 $ 10.2 $ 965.2 The following table provides the rollforward of accumulated other comprehensive income (loss) for the three months ended January 31, 2018 : (in millions) Foreign Currency Translation Interest Rate Derivative Minimum Pension Liability Adjustment Accumulated Other Comprehensive Income (Loss) Balance as of October 31, 2017 $ (249.3 ) $ 5.1 $ (114.0 ) $ (358.2 ) Other Comprehensive Income (Loss) 38.0 4.5 (0.9 ) 41.6 Current-period Other Comprehensive Income (Loss) 38.0 4.5 (0.9 ) 41.6 Balance as of January 31, 2018 $ (211.3 ) $ 9.6 $ (114.9 ) $ (316.6 ) The following table provides the rollforward of accumulated other comprehensive income (loss) for the three months ended January 31, 2017 : (in millions) Foreign Currency Translation Interest Rate Derivative Minimum Pension Liability Adjustment Accumulated Other Comprehensive Income (Loss) Balance as of October 31, 2016 $ (270.2 ) $ — $ (128.2 ) $ (398.4 ) Other Comprehensive Income (Loss) (7.5 ) 4.6 28.1 25.2 Current-period Other Comprehensive Income (Loss) (7.5 ) 4.6 28.1 25.2 Balance as of January 31, 2017 $ (277.7 ) $ 4.6 $ (100.1 ) $ (373.2 ) The components of accumulated other comprehensive income (loss) above are presented net of tax, as applicable. |
Business Segment Information
Business Segment Information | 3 Months Ended |
Jan. 31, 2018 | |
Segment Reporting [Abstract] | |
Business Segment Information | BUSINESS SEGMENT INFORMATION The Company has eight operating segments, which are aggregated into four reportable business segments: Rigid Industrial Packaging & Services; Paper Packaging & Services; Flexible Products & Services; and Land Management. The Company’s reportable business segments offer different products and services. The accounting policies of the reportable business segments are substantially the same as those described in the “Basis of Presentation and Summary of Significant Accounting Policies” note in the 2017 Form 10-K. The measure of segment profitability that is used by the Company is operating profit. The following segment information is presented for the periods indicated: Three Months Ended (in millions) 2018 2017 Net sales: Rigid Industrial Packaging & Services $ 615.4 $ 561.5 Paper Packaging & Services 203.8 182.9 Flexible Products & Services 80.0 69.7 Land Management 6.5 6.8 Total net sales $ 905.7 $ 820.9 Operating profit: Rigid Industrial Packaging & Services $ 31.2 $ 42.8 Paper Packaging & Services 27.9 20.0 Flexible Products & Services 3.2 0.6 Land Management 3.2 2.2 Total operating profit $ 65.5 $ 65.6 Depreciation, depletion and amortization expense: Rigid Industrial Packaging & Services $ 20.6 $ 19.4 Paper Packaging & Services 8.3 8.3 Flexible Products & Services 1.8 1.9 Land Management 1.0 1.1 Total depreciation, depletion and amortization expense $ 31.7 $ 30.7 The following table presents net sales to external customers by geographic area: Three Months Ended (in millions) 2018 2017 Net sales: United States $ 432.7 $ 408.0 Europe, Middle East and Africa 331.3 285.9 Asia Pacific and other Americas 141.7 127.0 Total net sales $ 905.7 $ 820.9 The following table presents total assets by segment and total properties, plants and equipment, net by geographic area: (in millions) January 31, October 31, Assets: Rigid Industrial Packaging & Services $ 2,099.9 $ 1,976.7 Paper Packaging & Services 461.6 459.8 Flexible Products & Services 172.1 163.2 Land Management 347.7 345.4 Total segments 3,081.3 2,945.1 Corporate and other 246.8 287.2 Total assets $ 3,328.1 $ 3,232.3 Properties, plants and equipment, net: United States $ 728.2 $ 730.1 Europe, Middle East and Africa 337.6 322.0 Asia Pacific and other Americas 137.4 136.3 Total properties, plants and equipment, net $ 1,203.2 $ 1,188.4 |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interests | 3 Months Ended |
Jan. 31, 2018 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interests | REDEEMABLE NONCONTROLLING INTERESTS Mandatorily Redeemable Noncontrolling Interests The terms of the joint venture agreement for one joint venture within the Rigid Industrial Packaging & Services segment include mandatory redemption by the Company, in cash, of the noncontrolling interest holders’ equity at a formulaic price after the expiration of a lockout period specific to each noncontrolling interest holder. The redemption features cause the interest to be classified as a mandatorily redeemable instrument under the accounting guidance, and this interest is included at the current redemption value each period in long-term or short-term liabilities of the Company, as applicable. The impact of marking to redemption value at each period end is recorded in interest expense. The following table summarizes the change in mandatorily redeemable noncontrolling interest for the three months ended January 31, 2018 : (in millions) Mandatorily Redeemable Noncontrolling Interest Balance as of October 31, 2017 $ 9.2 Current period mark to redemption value (0.3 ) Balance as of January 31, 2018 $ 8.9 Redeemable Noncontrolling Interests Redeemable noncontrolling interests related to one joint venture within the Paper Packaging & Services segment and one joint venture within the Rigid Industrial Packaging & Services segment are held by the respective noncontrolling interest owners. The holders of these interests share in the profits and losses of these entities on a pro rata basis with the Company. However, the noncontrolling interest owners have the right to put all or a portion of those noncontrolling interests to the Company at a formulaic price after a set period of time, specific to each agreement. Redeemable noncontrolling interests are reflected in the condensed consolidated balance sheets at redemption value. The following table summarizes the change in redeemable noncontrolling interest for the three months ended January 31, 2018 : (in millions) Redeemable Noncontrolling Interest Balance as of October 31, 2017 $ 31.5 Current period mark to redemption value 1.4 Redeemable noncontrolling interest share of income and other 1.1 Dividends to redeemable noncontrolling interest and other (0.5 ) Balance as of January 31, 2018 $ 33.5 |
Basis of Presentation and Sum24
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Jan. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated financial statements have been prepared in accordance with the U.S. Securities and Exchange Commission (“SEC”) instructions to Quarterly Reports on Form 10-Q and include all of the information and disclosures required by accounting principles generally accepted in the United States (“GAAP”) for interim financial reporting. The preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual amounts could differ from those estimates. The Company’s fiscal year begins on November 1 and ends on October 31 of the following year. Any references to the year 2018 or 2017 , or to any quarter of those years, relates to the fiscal year or quarter, as the case may be, ended in that year. The information filed herein reflects all adjustments that are, in the opinion of management, necessary for a fair presentation of the condensed consolidated balance sheets as of January 31, 2018 and October 31, 2017 , the condensed consolidated statements of income and comprehensive income for the three months ended January 31, 2018 and 2017 and the condensed consolidated statements of cash flows for the three months ended January 31, 2018 and 2017 of Greif, Inc. and its subsidiaries (the “Company”). The condensed consolidated financial statements include the accounts of Greif, Inc., all wholly-owned and consolidated subsidiaries and investments in limited liability companies, partnerships and joint ventures in which it has controlling influence or is the primary beneficiary. Non-majority owned entities include investments in limited liability companies, partnerships and joint ventures in which the Company does not have controlling influence and are accounted for using either the equity or cost method, as appropriate. The unaudited condensed consolidated financial statements included in the Quarterly Report on Form 10-Q (this “Form 10-Q”) should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for its fiscal year ended October 31, 2017 (the “ 2017 Form 10-K”). |
Newly Adopted Accounting Standards and Recently Issued Accounting Standards | Newly Adopted Accounting Standards In March 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-07, "Compensation - Retirement Benefits (Topic 715)," which provides additional guidance in Accounting Standards Codification ("ASC") 715 for the presentation of net periodic benefit cost in the income statement and on the components eligible for capitalization in assets. This ASU requires the reporting of the service cost component to be in the same line item as other compensation costs arising from services rendered by the pertinent employees. Also, the other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations. This update also allows only the service cost component to be eligible for capitalization when applicable. The update is effective for the Company on November 1, 2018 using a retrospective approach for the presentation of the service cost component and the other components of net periodic pension cost and net periodic post-retirement benefit cost in the income statement and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic pension cost and net periodic post-retirement benefit in assets. The Company early adopted ASU 2017-07 on November 1, 2017 using a retrospective approach for each period presented. The impact of adoption for the period ended January 31, 2018 was $1.8 million of net periodic benefit costs, other than the service cost components, being recorded in the line item "Other expense, net" in the condensed consolidated statements of income. For the period ended January 31, 2017, $23.5 million of pension settlement charge previously presented within operating profit has been presented outside of operating profit in the condensed consolidated statement of income due to the retrospective adoption of this ASU. The adoption did not have a material impact on the Company's financial position, results of operations, comprehensive income, cash flows or disclosures other than the impact discussed above. In August 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging (Topic 815)," which amends the accounting and disclosure requirements in ASC 815, "Derivatives and Hedging." The objective of this ASU is to improve transparency and reduce the complexity of hedge accounting. This ASU eliminates the separate recognition of periodic hedge ineffectiveness for cash flow and net investment hedges. The update is effective for the Company on November 1, 2019 using a modified retrospective approach and early adoption is permitted. The Company early adopted ASU 2017-12 on November 1, 2017 using a modified retrospective approach, which resulted in a reclassification of $0.6 million loss out of “Accumulated other comprehensive income (loss), net of tax” and into “Retained Earnings” related to elimination of the cumulative ineffectiveness of cash flow hedges at the adoption date. The adoption did not have a material impact on the Company's financial position, results of operations, comprehensive income, cash flows or disclosures other than the impact discussed above. Recently Issued Accounting Standards In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),” which supersedes the revenue recognition requirements in ASC 605, Revenue Recognition. This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The update is effective for the Company on November 1, 2018 using one of two retrospective application methods. The Company is in the process of determining the potential impact of adopting the new revenue standards including conducting internal training sessions and reviewing global revenue surveys and key revenue contracts. The Company anticipates that the impact of adoption will be limited to expanded disclosures with no material impact on its financial position, results of operations, comprehensive income or cash flows. In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)," which amends the lease accounting and disclosure requirements in ASC 840, "Leases". The objective of this update is to increase transparency and comparability among organizations recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about lease arrangements. This ASU will require the recognition of lease assets and lease liabilities for those leases classified as operating leases under previous GAAP. The update is effective for the Company on November 1, 2019 using a modified retrospective approach. The Company is in the process of determining the potential impact of adopting this guidance on its financial position, results of operations, comprehensive income, cash flows and disclosures. In August of 2016, the FASB issued ASU 2016-15, "Statement of Cash Flows (Topic 230)," which amends the classification of certain cash receipts and cash payments on the statement of cash flows. The update is effective for the Company on November 1, 2018 and early adoption is permitted, including any interim period. The update should be applied using a retrospective approach, excluding amendments for which retrospective application is impractical. The Company is in the process of determining the potential impact of adopting this guidance on its financial position, results of operations, comprehensive income, cash flows and disclosures. In October 2016, the FASB issued ASU 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory (Topic 740)," which improves the accounting for income tax consequences of intra-entity transfers of assets other than inventory. The update is effective for the Company on November 1, 2018 using a modified retrospective approach and early adoption is permitted, including any interim period. The Company is in the process of determining the potential impact of adopting this guidance on its financial position, results of operations, comprehensive income, cash flows and disclosures. |
Sale of Non-United States Acc25
Sale of Non-United States Accounts Receivable (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Receivables [Abstract] | |
Company's Accounts Receivables Programs | The table below contains certain information related to the Company’s accounts receivable sales programs: Three Months Ended (in millions) 2018 2017 European RPA Gross accounts receivable sold to third party financial institution $ 163.9 $ 137.6 Cash received for accounts receivable sold under the programs 145.6 122.0 Deferred purchase price related to accounts receivable sold 18.3 15.6 Loss associated with the programs — 0.1 Expenses associated with the programs — — Singapore RPA Gross accounts receivable sold to third party financial institution $ 10.8 $ 9.9 Cash received for accounts receivable sold under the program 8.9 8.0 Deferred purchase price related to accounts receivable sold 1.9 1.9 Loss associated with the program — — Expenses associated with the program — — Total RPAs and Agreements Gross accounts receivable sold to third party financial institution $ 174.7 $ 147.5 Cash received for accounts receivable sold under the program 154.5 130.0 Deferred purchase price related to accounts receivable sold 20.2 17.5 Loss associated with the program — 0.1 Expenses associated with the program — — The table below contains certain information related to the Company’s accounts receivable sales programs and the impact it has on the condensed consolidated balance sheets: (in millions) January 31, October 31, European RPA Accounts receivable sold to and held by third party financial institution $ 119.4 $ 116.3 Deferred purchase price asset (liability) related to accounts receivable sold 18.4 (4.2 ) Singapore RPA Accounts receivable sold to and held by third party financial institution $ 6.3 $ 3.8 Deferred purchase price asset related to accounts receivable sold 0.9 0.5 Total RPAs and Agreements Accounts receivable sold to and held by third party financial institution $ 125.7 $ 120.1 Deferred purchase price asset (liability) related to accounts receivable sold 19.3 (3.7 ) |
Goodwill and Other Intangible26
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Changes in Carrying Amount of Goodwill by Segment | The following table summarizes the changes in the carrying amount of goodwill by segment for the three month period ended January 31, 2018 : (in millions) Rigid Industrial Packaging & Services Paper Packaging & Services Total Balance at October 31, 2017 $ 725.9 $ 59.5 $ 785.4 Currency translation 22.6 — 22.6 Balance at January 31, 2018 $ 748.5 $ 59.5 $ 808.0 |
Summary of Carrying Amount of Net Other Intangible Assets by Class | The following table summarizes the carrying amount of net other intangible assets by class as of January 31, 2018 and October 31, 2017 : (in millions) Gross Intangible Assets Accumulated Amortization Net Intangible Assets January 31, 2018: Indefinite lived: Trademarks and patents $ 13.8 $ — $ 13.8 Definite lived: Customer relationships $ 170.0 $ 101.9 $ 68.1 Trademarks and patents 11.6 5.1 6.5 Other 24.8 17.3 7.5 Total $ 220.2 $ 124.3 $ 95.9 October 31, 2017: Indefinite lived: Trademarks and patents $ 13.4 $ — $ 13.4 Definite lived: Customer relationships $ 170.2 $ 99.7 $ 70.5 Trademarks and patents 11.6 4.9 6.7 Other 23.4 16.0 7.4 Total $ 218.6 $ 120.6 $ 98.0 |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Reconciliation of Beginning and Ending Restructuring Reserve Balances | The following is a reconciliation of the beginning and ending restructuring reserve balances for the three month period ended January 31, 2018 : (in millions) Employee Separation Costs Other Costs Total Balance at October 31, 2017 $ 3.9 $ 1.3 $ 5.2 Costs incurred and charged to expense 2.8 1.3 4.1 Costs paid or otherwise settled (3.1 ) (1.4 ) (4.5 ) Balance at January 31, 2018 $ 3.6 $ 1.2 $ 4.8 |
Reconciliation of Total Amounts Expected to be Incurred from Open Restructuring Plans Anticipated to be Realized | The following is a reconciliation of the total amounts expected to be incurred from approved restructuring plans or plans that are being formulated and have not been announced as of the date of this Form 10-Q. Remaining amounts expected to be incurred are $16.1 million as of January 31, 2018 compared to $14.9 million as of October 31, 2017 . The change was due to the formulations of new plans during the period. (in millions) Total Amounts Expected to be Incurred Amounts Incurred During the three month period ended January 31, 2018 Amounts Remaining to be Incurred Rigid Industrial Packaging & Services Employee separation costs $ 17.6 $ 2.6 $ 15.0 Other restructuring costs 1.2 1.2 — 18.8 3.8 15.0 Flexible Products & Services Employee separation costs 0.5 0.2 0.3 Other restructuring costs 0.9 0.1 0.8 1.4 0.3 1.1 $ 20.2 $ 4.1 $ 16.1 |
Consolidation of Variable Int28
Consolidation of Variable Interest Entities (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Total Net Assets of Flexible Packaging JV | The following table presents the Flexible Packaging JV total net assets: (in millions) January 31, October 31, Cash and cash equivalents $ 17.1 $ 14.4 Trade accounts receivable, less allowance of $1.7 in 2018 and $2.1 in 2017 55.4 52.5 Inventories 59.3 53.3 Properties, plants and equipment, net 31.1 31.2 Other assets 25.5 25.8 Total Assets $ 188.4 $ 177.2 Accounts payable $ 34.6 $ 33.8 Other liabilities 27.8 30.2 Total Liabilities $ 62.4 $ 64.0 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt | Long-term debt is summarized as follows: (in millions) January 31, 2018 October 31, 2017 2017 Credit Agreement $ 383.2 $ 323.8 Senior Notes due 2019 248.3 248.0 Senior Notes due 2021 246.3 230.9 Receivables Facility 147.2 150.0 Other debt 6.8 6.5 1,031.8 959.2 Less current portion 15.0 15.0 Less deferred financing costs 6.0 6.4 Long-term debt $ 1,010.8 $ 937.8 |
Financial Instruments and Fai30
Financial Instruments and Fair Value Measurements (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Recurring Fair Value Measurements | The following table presents the fair value for those assets and (liabilities) measured on a recurring basis as of January 31, 2018 and October 31, 2017 : January 31, 2018 Fair Value Measurement (in millions) Level 1 Level 2 Level 3 Total Balance Sheet Location Interest rate derivatives $ — $ 14.2 $ — $ 14.2 Other long-term assets and other current assets Foreign exchange hedges — 0.6 — 0.6 Other current assets Foreign exchange hedges — (3.5 ) — (3.5 ) Other current liabilities Insurance annuity — — 22.0 22.0 Other long-term assets Total $ — $ 11.3 $ 22.0 $ 33.3 October 31, 2017 Fair Value Measurement (in millions) Level 1 Level 2 Level 3 Total Balance Sheet Location Interest rate derivatives $ — $ 8.9 $ — $ 8.9 Other long-term assets and other current assets Foreign exchange hedges — 0.1 — 0.1 Other current assets Foreign exchange hedges — (0.6 ) — (0.6 ) Other current liabilities Insurance annuity — — 20.7 20.7 Other long-term assets Total $ — $ 8.4 $ 20.7 $ 29.1 |
Estimated Fair Values for the Company's Senior Notes and Assets Held by Special Purpose Entities | The following table presents the estimated fair values of the Company’s senior notes: (in millions) January 31, October 31, Senior Notes due 2019 estimated fair value $ 266.2 $ 272.0 Senior Notes due 2021 estimated fair value 298.2 281.0 Assets held by special purpose entities estimated fair value 51.7 52.5 |
Summary of Quantitative about Significant Unobservable Inputs Used to Determine Fair Value of Impairment of Long-Lived Assets Held and Used and Net Assets Held for Sale | The following table presents quantitative information about the significant unobservable inputs used to determine the fair value of the impairment of long-lived assets held and used and net assets held for sale for the three months ended January 31, 2018 and 2017 : Quantitative Information about Level 3 Fair Value Measurements (in millions) Fair Value of Impairment Valuation Technique Unobservable Input Range of Input Values January 31, 2018 Impairment of Long Lived Assets $ 2.9 Discounted Cash Flows Discounted Cash Flows N/A Total $ 2.9 January 31, 2017 Impairment of Net Assets Held for Sale $ 1.5 Broker Quote/ Indicative Bids N/A Impairment of Long Lived Assets 0.4 Sales Value Sales Value N/A Total $ 1.9 |
Post Retirement Benefit Plans (
Post Retirement Benefit Plans (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Postemployment Benefits [Abstract] | |
Components of Net Periodic Pension Cost | The components of net periodic pension cost include the following: Three Months Ended (in millions) 2018 2017 Service cost $ 3.3 $ 3.3 Interest cost 4.6 4.6 Expected return on plan assets (6.1 ) (7.1 ) Amortization of prior service cost and net actuarial gain 3.6 2.8 Net periodic pension costs $ 5.4 $ 3.6 |
Components of Net Periodic Cost for Postretirement Benefits | The components of net periodic cost for post retirement benefits include the following: Three Months Ended (in millions) 2018 2017 Service cost $ — $ — Interest cost 0.1 0.1 Amortization of prior service cost and net actuarial gain (0.4 ) (0.3 ) Net periodic benefit for post retirement benefits $ (0.3 ) $ (0.2 ) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Earnings Per Share [Abstract] | |
Computation of Class Based Basic and Diluted Earnings Per Share | The Company calculates EPS as follows: Basic Class A EPS = 40% * Average Class A Shares Outstanding * Undistributed Net Income + Class A Dividends Per Share 40% * Average Class A Shares Outstanding + 60% * Average Class B Shares Outstanding Average Class A Shares Outstanding Diluted Class A EPS = 40% * Average Class A Shares Outstanding * Undistributed Net Income + Class A Dividends Per Share 40% * Average Class A Shares Outstanding + 60% * Average Class B Shares Outstanding Average Diluted Class A Shares Outstanding Basic Class B EPS = 60% * Average Class B Shares Outstanding * Undistributed Net Income + Class B Dividends Per Share 40% * Average Class A Shares Outstanding + 60% * Average Class B Shares Outstanding Average Class B Shares Outstanding *Diluted Class B EPS calculation is identical to Basic Class B calculation |
Computation of Earnings Per Share Basic and Diluted | The following table provides EPS information for each period: Three Months Ended (in millions) 2018 2017 Numerator for basic and diluted EPS Net income attributable to Greif, Inc. $ 56.5 $ 5.4 Cash dividends (24.5 ) (24.5 ) Undistributed net income (loss) attributable to Greif, Inc. $ 32.0 $ (19.1 ) |
Summarization of Company's Class A and Class B Common and Treasury Shares | The following table summarizes the Company’s Class A and Class B common and treasury shares as of the specified dates: Authorized Shares Issued Shares Outstanding Shares Treasury Shares January 31, 2018 Class A Common Stock 128,000,000 42,281,920 25,916,479 16,365,441 Class B Common Stock 69,120,000 34,560,000 22,007,725 12,552,275 October 31, 2017 Class A Common Stock 128,000,000 42,281,920 25,835,281 16,446,639 Class B Common Stock 69,120,000 34,560,000 22,007,725 12,552,275 |
Reconciliation of Shares Used to Calculate Basic and Diluted Earnings Per Share | The following is a reconciliation of the shares used to calculate basic and diluted earnings per share: Three Months Ended 2018 2017 Class A Common Stock: Basic shares 25,845,758 25,787,769 Assumed conversion of restricted shares — 4,672 Diluted shares 25,845,758 25,792,441 Class B Common Stock: Basic and diluted shares 22,007,725 22,009,725 |
Equity and Comprehensive Inco33
Equity and Comprehensive Income (Loss) (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Equity [Abstract] | |
Summary of Changes in Equity | The following table summarizes the changes of equity from October 31, 2017 to January 31, 2018 (Dollars in millions, shares in thousands): Capital Stock Treasury Stock Retained Earnings Accumulated Other Comprehensive Income (Loss) Greif, Inc. Equity Non controlling interests Total Equity Common Shares Amount Treasury Shares Amount As of October 31, 2017 47,843 $ 144.2 28,999 $ (135.6 ) $ 1,360.5 $ (358.2 ) $ 1,010.9 $ 36.6 $ 1,047.5 Net income 56.5 56.5 3.6 60.1 Other comprehensive income (loss): - foreign currency translation 38.0 38.0 0.4 38.4 - interest rate derivative, net of income tax expense of $2.1 million (0.6 ) 4.5 3.9 3.9 - minimum pension liability adjustment, net of immaterial income tax (0.9 ) (0.9 ) (0.9 ) Comprehensive income 97.5 101.5 Current period mark to redemption value of redeemable noncontrolling interest (1.4 ) (1.4 ) (1.4 ) Net income allocated to redeemable noncontrolling interests — (1.1 ) (1.1 ) Dividends paid to Greif, Inc. shareholders (24.5 ) (24.5 ) (24.5 ) Dividends paid to noncontrolling interests — (0.5 ) (0.5 ) Long-term incentive shares issued 82 4.9 (82 ) 0.1 5.0 5.0 As of January 31, 2018 47,925 $ 149.1 28,917 $ (135.5 ) $ 1,390.5 $ (316.6 ) $ 1,087.5 $ 39.0 $ 1,126.5 The following table summarizes the changes of equity from October 31, 2016 to January 31, 2017 (Dollars in millions, shares in thousands): Capital Stock Treasury Stock Retained Earnings Accumulated Other Comprehensive Income (Loss) Greif, Inc. Equity Non controlling interests Total Equity Common Shares Amount Treasury Shares Amount As of October 31, 2016 47,792 $ 141.4 29,050 $ (135.6 ) $ 1,340.0 $ (398.4 ) $ 947.4 $ 10.5 $ 957.9 Net income 5.4 5.4 2.6 8.0 Other comprehensive income (loss): - foreign currency translation (7.5 ) (7.5 ) (1.7 ) (9.2 ) - interest rate derivative, net of tax 4.6 4.6 4.6 - minimum pension liability adjustment, net of immaterial income tax 28.1 28.1 28.1 Comprehensive income 30.6 31.5 Current period mark to redemption value of redeemable noncontrolling interest — — — Net income allocated to redeemable noncontrolling interests — (1.0 ) (1.0 ) Other — 0.1 0.1 Dividends paid to Greif, Inc. shareholders (24.5 ) (24.5 ) (24.5 ) Dividends paid to noncontrolling interests (0.3 ) (0.3 ) Long-term incentive shares issued 29 1.5 (29 ) — 1.5 1.5 As of January 31, 2017 47,821 $ 142.9 29,021 $ (135.6 ) $ 1,320.9 $ (373.2 ) $ 955.0 $ 10.2 $ 965.2 |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table provides the rollforward of accumulated other comprehensive income (loss) for the three months ended January 31, 2018 : (in millions) Foreign Currency Translation Interest Rate Derivative Minimum Pension Liability Adjustment Accumulated Other Comprehensive Income (Loss) Balance as of October 31, 2017 $ (249.3 ) $ 5.1 $ (114.0 ) $ (358.2 ) Other Comprehensive Income (Loss) 38.0 4.5 (0.9 ) 41.6 Current-period Other Comprehensive Income (Loss) 38.0 4.5 (0.9 ) 41.6 Balance as of January 31, 2018 $ (211.3 ) $ 9.6 $ (114.9 ) $ (316.6 ) The following table provides the rollforward of accumulated other comprehensive income (loss) for the three months ended January 31, 2017 : (in millions) Foreign Currency Translation Interest Rate Derivative Minimum Pension Liability Adjustment Accumulated Other Comprehensive Income (Loss) Balance as of October 31, 2016 $ (270.2 ) $ — $ (128.2 ) $ (398.4 ) Other Comprehensive Income (Loss) (7.5 ) 4.6 28.1 25.2 Current-period Other Comprehensive Income (Loss) (7.5 ) 4.6 28.1 25.2 Balance as of January 31, 2017 $ (277.7 ) $ 4.6 $ (100.1 ) $ (373.2 ) |
Business Segment Information (T
Business Segment Information (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | The following segment information is presented for the periods indicated: Three Months Ended (in millions) 2018 2017 Net sales: Rigid Industrial Packaging & Services $ 615.4 $ 561.5 Paper Packaging & Services 203.8 182.9 Flexible Products & Services 80.0 69.7 Land Management 6.5 6.8 Total net sales $ 905.7 $ 820.9 Operating profit: Rigid Industrial Packaging & Services $ 31.2 $ 42.8 Paper Packaging & Services 27.9 20.0 Flexible Products & Services 3.2 0.6 Land Management 3.2 2.2 Total operating profit $ 65.5 $ 65.6 Depreciation, depletion and amortization expense: Rigid Industrial Packaging & Services $ 20.6 $ 19.4 Paper Packaging & Services 8.3 8.3 Flexible Products & Services 1.8 1.9 Land Management 1.0 1.1 Total depreciation, depletion and amortization expense $ 31.7 $ 30.7 |
Net Sales to External Customers by Geographical Area | The following table presents net sales to external customers by geographic area: Three Months Ended (in millions) 2018 2017 Net sales: United States $ 432.7 $ 408.0 Europe, Middle East and Africa 331.3 285.9 Asia Pacific and other Americas 141.7 127.0 Total net sales $ 905.7 $ 820.9 |
Properties, Plants and Equipment, Net by Geographical Area | The following table presents total assets by segment and total properties, plants and equipment, net by geographic area: (in millions) January 31, October 31, Assets: Rigid Industrial Packaging & Services $ 2,099.9 $ 1,976.7 Paper Packaging & Services 461.6 459.8 Flexible Products & Services 172.1 163.2 Land Management 347.7 345.4 Total segments 3,081.3 2,945.1 Corporate and other 246.8 287.2 Total assets $ 3,328.1 $ 3,232.3 Properties, plants and equipment, net: United States $ 728.2 $ 730.1 Europe, Middle East and Africa 337.6 322.0 Asia Pacific and other Americas 137.4 136.3 Total properties, plants and equipment, net $ 1,203.2 $ 1,188.4 |
Redeemable Noncontrolling Int35
Redeemable Noncontrolling Interests (Tables) | 3 Months Ended |
Jan. 31, 2018 | |
Noncontrolling Interest [Abstract] | |
Rollforward of Redeemable Noncontrolling Interest | The following table summarizes the change in mandatorily redeemable noncontrolling interest for the three months ended January 31, 2018 : (in millions) Mandatorily Redeemable Noncontrolling Interest Balance as of October 31, 2017 $ 9.2 Current period mark to redemption value (0.3 ) Balance as of January 31, 2018 $ 8.9 Redeemable Noncontrolling Interests Redeemable noncontrolling interests related to one joint venture within the Paper Packaging & Services segment and one joint venture within the Rigid Industrial Packaging & Services segment are held by the respective noncontrolling interest owners. The holders of these interests share in the profits and losses of these entities on a pro rata basis with the Company. However, the noncontrolling interest owners have the right to put all or a portion of those noncontrolling interests to the Company at a formulaic price after a set period of time, specific to each agreement. Redeemable noncontrolling interests are reflected in the condensed consolidated balance sheets at redemption value. The following table summarizes the change in redeemable noncontrolling interest for the three months ended January 31, 2018 : (in millions) Redeemable Noncontrolling Interest Balance as of October 31, 2017 $ 31.5 Current period mark to redemption value 1.4 Redeemable noncontrolling interest share of income and other 1.1 Dividends to redeemable noncontrolling interest and other (0.5 ) Balance as of January 31, 2018 $ 33.5 |
Basis of Presentation and Sum36
Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Jan. 31, 2018 | Jan. 31, 2017 | Oct. 31, 2017 | |
Accounting Standards Update 2017-12 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Derivative, net hedge ineffectiveness, amounts reclassified from AOCI to retained earnings | $ 0.6 | ||
Other expense, net | Accounting Standards Update 2017-07 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Pension expense | $ 1.8 | $ 23.5 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Additional Information (Detail) $ in Millions | 3 Months Ended | |
Jan. 31, 2018USD ($)Divestiturebusiness | Jan. 31, 2017USD ($)Divestiturebusiness | |
Business Acquisition [Line Items] | ||
Number of divestitures (business) | Divestiture | 0 | 0 |
Number of acquisitions (business) | business | 0 | 0 |
Deconsolidation, number of businesses, nonstrategic | business | 1 | |
Loss on disposal of businesses, net | $ 0 | $ 0.5 |
Proceeds from divestitures | 1.4 | $ 0.8 |
Notes Receivable | ||
Business Acquisition [Line Items] | ||
Consideration for divestiture | 2.9 | |
2015 Divestiture | ||
Business Acquisition [Line Items] | ||
Proceeds from divestitures | 0.9 | |
2017 Divestiture | ||
Business Acquisition [Line Items] | ||
Proceeds from divestitures | $ 0.5 |
Sale of Non-United States Acc38
Sale of Non-United States Accounts Receivable - Additional Information (Detail) - 3 months ended Jan. 31, 2018 | USD ($) | EUR (€) | SGD |
Finance Receivable Transferred To Held For Sale [Line Items] | |||
Minimum percentage of eligible receivables related with bank funds initial purchase price | 75.00% | ||
Maximum percentage of eligible receivables related with bank funds initial purchase price | 90.00% | ||
European RPA | |||
Finance Receivable Transferred To Held For Sale [Line Items] | |||
Financing receivable maximum amount under receivable purchase agreement | $ 123,800,000 | € 100,000,000 | |
Singapore RPA | |||
Finance Receivable Transferred To Held For Sale [Line Items] | |||
Financing receivable maximum amount under receivable purchase agreement | $ 11,400,000 | SGD 15,000,000 | |
Percent of eligible receivables | 90.00% |
Sale of Non-United States Acc39
Sale of Non-United States Accounts Receivable - Company's Accounts Receivables Programs (Detail) - USD ($) $ in Millions | 3 Months Ended | ||
Jan. 31, 2018 | Jan. 31, 2017 | Oct. 31, 2017 | |
European RPA | |||
Finance Receivable Transferred To Held For Sale [Line Items] | |||
Gross accounts receivable sold to third party financial institution | $ 163.9 | $ 137.6 | |
Cash received for accounts receivable sold under the programs | 145.6 | 122 | |
Deferred purchase price related to accounts receivable sold | 18.3 | 15.6 | |
Loss associated with the programs | 0 | 0.1 | |
Expenses associated with the programs | 0 | 0 | |
Accounts receivable sold to and held by third party financial institution | 119.4 | $ 116.3 | |
Deferred purchase price asset (liability) related to accounts receivable sold | 18.4 | (4.2) | |
Singapore RPA | |||
Finance Receivable Transferred To Held For Sale [Line Items] | |||
Gross accounts receivable sold to third party financial institution | 10.8 | 9.9 | |
Cash received for accounts receivable sold under the programs | 8.9 | 8 | |
Deferred purchase price related to accounts receivable sold | 1.9 | 1.9 | |
Loss associated with the programs | 0 | 0 | |
Expenses associated with the programs | 0 | 0 | |
Accounts receivable sold to and held by third party financial institution | 6.3 | 3.8 | |
Deferred purchase price asset (liability) related to accounts receivable sold | 0.9 | 0.5 | |
Total RPAs and Agreements | |||
Finance Receivable Transferred To Held For Sale [Line Items] | |||
Gross accounts receivable sold to third party financial institution | 174.7 | 147.5 | |
Cash received for accounts receivable sold under the programs | 154.5 | 130 | |
Deferred purchase price related to accounts receivable sold | 20.2 | 17.5 | |
Loss associated with the programs | 0 | 0.1 | |
Expenses associated with the programs | 0 | $ 0 | |
Accounts receivable sold to and held by third party financial institution | 125.7 | 120.1 | |
Deferred purchase price asset (liability) related to accounts receivable sold | $ 19.3 | $ (3.7) |
Assets and Liabilities Held f40
Assets and Liabilities Held for Sale and Disposals of Properties, Plants and Equipment, Net - Additional Information (Detail) $ in Millions | 3 Months Ended | ||
Jan. 31, 2018USD ($)asset_group | Jan. 31, 2017USD ($) | Oct. 31, 2017asset_group | |
Long Lived Assets Held-for-sale [Line Items] | |||
Gain (loss) on disposals of properties, plants and equipment, net | $ 4.6 | $ 1 | |
Rigid Industrial Packaging & Services | |||
Long Lived Assets Held-for-sale [Line Items] | |||
Number of assets groups with assets and liabilities held for sale (asset group) | asset_group | 2 | 2 | |
Gain (loss) on disposals of properties, plants and equipment, net | $ 3.4 | 0.6 | |
Land Management | |||
Long Lived Assets Held-for-sale [Line Items] | |||
Gain (loss) on disposals of properties, plants and equipment, net | $ 1.2 | $ 0.4 |
Goodwill and Other Intangible41
Goodwill and Other Intangible Assets - Summary of Changes in Carrying Amount of Goodwill by Segment (Detail) $ in Millions | 3 Months Ended |
Jan. 31, 2018USD ($) | |
Goodwill [Roll Forward] | |
October 31, 2017 | $ 785.4 |
Currency translation | 22.6 |
January 31, 2018 | 808 |
Rigid Industrial Packaging & Services | |
Goodwill [Roll Forward] | |
October 31, 2017 | 725.9 |
Currency translation | 22.6 |
January 31, 2018 | 748.5 |
Paper Packaging & Services | |
Goodwill [Roll Forward] | |
October 31, 2017 | 59.5 |
Currency translation | 0 |
January 31, 2018 | $ 59.5 |
Goodwill and Other Intangible42
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense | $ 3.8 | $ 3.8 |
Future amortization expense, 2018 | 15.4 | |
Future amortization expense, 2019 | 15 | |
Future amortization expense, 2020 | 14.5 | |
Future amortization expense, 2021 | 12.8 | |
Future amortization expense, 2022 | $ 8.9 |
Goodwill and Other Intangible43
Goodwill and Other Intangible Assets - Summary of Carrying Amount of Net Other Intangible Assets by Class (Detail) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | ||
Gross Intangible Assets | $ 220.2 | $ 218.6 |
Accumulated Amortization | 124.3 | 120.6 |
Net Intangible Assets | 95.9 | 98 |
Trademarks and patents | ||
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | ||
Indefinite Lived Intangible Assets | 13.8 | 13.4 |
Customer relationships | ||
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | ||
Gross Intangible Assets | 170 | 170.2 |
Accumulated Amortization | 101.9 | 99.7 |
Net Intangible Assets | 68.1 | 70.5 |
Trademarks and patents | ||
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | ||
Gross Intangible Assets | 11.6 | 11.6 |
Accumulated Amortization | 5.1 | 4.9 |
Net Intangible Assets | 6.5 | 6.7 |
Other | ||
Finite Lived And Indefinite Lived Intangible Assets [Line Items] | ||
Gross Intangible Assets | 24.8 | 23.4 |
Accumulated Amortization | 17.3 | 16 |
Net Intangible Assets | $ 7.5 | $ 7.4 |
Restructuring Charges - Reconci
Restructuring Charges - Reconciliation of Beginning and Ending Restructuring Reserve Balances (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Restructuring Reserve [Roll Forward] | ||
Beginning balance | $ 5.2 | |
Costs incurred and charged to expense | 4.1 | $ (0.3) |
Costs paid or otherwise settled | (4.5) | |
Ending balance | 4.8 | |
Employee Separation Costs | ||
Restructuring Reserve [Roll Forward] | ||
Beginning balance | 3.9 | |
Costs incurred and charged to expense | 2.8 | |
Costs paid or otherwise settled | (3.1) | |
Ending balance | 3.6 | |
Other Costs | ||
Restructuring Reserve [Roll Forward] | ||
Beginning balance | 1.3 | |
Costs incurred and charged to expense | 1.3 | |
Costs paid or otherwise settled | (1.4) | |
Ending balance | $ 1.2 |
Restructuring Charges - Additio
Restructuring Charges - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | ||
Jan. 31, 2018 | Jan. 31, 2017 | Oct. 31, 2017 | |
Restructuring and Related Costs [Line Items] | |||
Restructuring charges | $ 4.1 | $ (0.3) | |
Amounts Remaining to be Incurred | 16.1 | $ 14.9 | |
Employee Separation Costs | |||
Restructuring and Related Costs [Line Items] | |||
Restructuring charges | 2.8 | ||
Other Costs | |||
Restructuring and Related Costs [Line Items] | |||
Restructuring charges | $ 1.3 |
Restructuring Charges - Recon46
Restructuring Charges - Reconciliation of Total Amounts Expected to be Incurred from Open Restructuring Plans Anticipated to be Realized (Detail) - USD ($) $ in Millions | 3 Months Ended | ||
Jan. 31, 2018 | Jan. 31, 2017 | Oct. 31, 2017 | |
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | $ 20.2 | ||
Restructuring charges | 4.1 | $ (0.3) | |
Amounts Remaining to be Incurred | 16.1 | $ 14.9 | |
Employee Separation Costs | |||
Restructuring and Related Costs [Line Items] | |||
Restructuring charges | 2.8 | ||
Other Costs | |||
Restructuring and Related Costs [Line Items] | |||
Restructuring charges | 1.3 | ||
Rigid Industrial Packaging & Services | |||
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | 18.8 | ||
Restructuring charges | 3.8 | ||
Amounts Remaining to be Incurred | 15 | ||
Rigid Industrial Packaging & Services | Employee Separation Costs | |||
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | 17.6 | ||
Restructuring charges | 2.6 | ||
Amounts Remaining to be Incurred | 15 | ||
Rigid Industrial Packaging & Services | Other Costs | |||
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | 1.2 | ||
Restructuring charges | 1.2 | ||
Amounts Remaining to be Incurred | 0 | ||
Flexible Products & Services | |||
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | 1.4 | ||
Restructuring charges | 0.3 | ||
Amounts Remaining to be Incurred | 1.1 | ||
Flexible Products & Services | Employee Separation Costs | |||
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | 0.5 | ||
Restructuring charges | 0.2 | ||
Amounts Remaining to be Incurred | 0.3 | ||
Flexible Products & Services | Other Costs | |||
Restructuring and Related Costs [Line Items] | |||
Total Amounts Expected to be Incurred | 0.9 | ||
Restructuring charges | 0.1 | ||
Amounts Remaining to be Incurred | $ 0.8 |
Consolidation of Variable Int47
Consolidation of Variable Interest Entities - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | ||
Jan. 31, 2018 | Jan. 31, 2017 | Oct. 31, 2017 | |
Variable Interest Entity [Line Items] | |||
Restricted bank financial instruments under Buyer SPE | $ 50.9 | $ 50.9 | |
Interest income of Buyer SPE | 0.6 | $ 0.6 | |
Net income (loss) attributable to noncontrolling interests | 3.6 | 2.6 | |
Variable Interest Entity, Primary Beneficiary | |||
Variable Interest Entity [Line Items] | |||
Net income (loss) attributable to noncontrolling interests | $ 1.1 | 0.6 | |
Buyer Spe | |||
Variable Interest Entity [Line Items] | |||
Ownership interest | 0.00% | ||
STA Timber | |||
Variable Interest Entity [Line Items] | |||
Debt instrument, principal outstanding | $ 43.3 | $ 43.3 | |
Interest expense | $ 0.6 | $ 0.6 |
Consolidation of Variable Int48
Consolidation of Variable Interest Entities - Total Net Assets of Flexible Packaging JV (Detail) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 | Jan. 31, 2017 | Oct. 31, 2016 |
Variable Interest Entity [Line Items] | ||||
Cash and cash equivalents | $ 94.3 | $ 142.3 | $ 106.8 | $ 103.7 |
Trade accounts receivable, less allowance of $1.7 in 2018 and $2.1 in 2017 | 448.7 | 447 | ||
Properties, plants and equipment, net | 1,203.2 | 1,188.4 | ||
Total Assets | 50.9 | 50.9 | ||
Accounts payable | 378.4 | 399.2 | ||
Total Liabilities | 43.3 | 43.3 | ||
Allowance of trade accounts receivable | 9.1 | 8.9 | ||
Variable Interest Entity, Primary Beneficiary | ||||
Variable Interest Entity [Line Items] | ||||
Cash and cash equivalents | 17.1 | 14.4 | ||
Trade accounts receivable, less allowance of $1.7 in 2018 and $2.1 in 2017 | 55.4 | 52.5 | ||
Inventories | 59.3 | 53.3 | ||
Properties, plants and equipment, net | 31.1 | 31.2 | ||
Other assets | 25.5 | 25.8 | ||
Total Assets | 188.4 | 177.2 | ||
Accounts payable | 34.6 | 33.8 | ||
Other liabilities | 27.8 | 30.2 | ||
Total Liabilities | 62.4 | 64 | ||
Allowance of trade accounts receivable | $ 1.7 | $ 2.1 |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt (Detail) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Debt Instrument [Line Items] | ||
Long-term debt | $ 1,031.8 | $ 959.2 |
Less current portion | 15 | 15 |
Less deferred financing costs | 6 | 6.4 |
Long-term debt | 1,010.8 | 937.8 |
Senior Notes due 2019 | ||
Debt Instrument [Line Items] | ||
Less deferred financing costs | 0.7 | |
Senior Notes due 2019 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 248.3 | 248 |
Senior Notes due 2021 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt | 246.3 | 230.9 |
Other debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | 6.8 | 6.5 |
Revolving Credit Facility | 2017 Credit Agreement | ||
Debt Instrument [Line Items] | ||
Long-term debt | 383.2 | 323.8 |
Less current portion | 15 | |
Less deferred financing costs | 5.3 | |
Long-term debt | 368.2 | |
Domestic Line of Credit | Receivables Facility | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 147.2 | $ 150 |
Long-Term Debt - Credit Agreeme
Long-Term Debt - Credit Agreement Additional Information (Detail) | Nov. 03, 2016USD ($) | Jan. 31, 2018USD ($) | Oct. 31, 2017USD ($) | Dec. 19, 2012USD ($) |
Debt Instrument [Line Items] | ||||
Less deferred financing costs | $ 6,000,000 | $ 6,400,000 | ||
Long-term debt | 1,031,800,000 | 959,200,000 | ||
Current portion of long-term debt | 15,000,000 | 15,000,000 | ||
Long-term debt, excluding current maturities | $ 1,010,800,000 | 937,800,000 | ||
2017 Credit Agreement | ||||
Debt Instrument [Line Items] | ||||
Debt issued | $ 300,000,000 | |||
Optional additional borrowing capacity | $ 550,000,000 | |||
Leverage ratio, adjusted EBITDA | 4 | |||
Leverage ratio, adjusted EBITDA during collateral release period | 3.75 | |||
Interest coverage ratio, adjusted EBITDA | 3 | |||
Weighted average interest rate | 2.69% | |||
Actual interest rate | 2.74% | |||
Revolving Credit Facility | 2017 Credit Agreement | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 800,000,000 | |||
Reduction in outstanding letter of credit | $ 14,400,000 | |||
Less deferred financing costs | 5,300,000 | |||
Long-term debt | 383,200,000 | $ 323,800,000 | ||
Current portion of long-term debt | 15,000,000 | |||
Long-term debt, excluding current maturities | 368,200,000 | |||
Line of Credit | Prior Credit Agreement | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 1,000,000,000 | |||
Current borrowing available | $ 687,400,000 |
Long-Term Debt - Senior Notes A
Long-Term Debt - Senior Notes Additional Information (Detail) | Jan. 31, 2018USD ($) | Oct. 31, 2017USD ($) | Nov. 03, 2016USD ($) | Jul. 15, 2011EUR (€) | Jul. 28, 2009USD ($) | Feb. 09, 2007USD ($) |
Debt Instrument [Line Items] | ||||||
Debt issuance costs, net | $ 6,000,000 | $ 6,400,000 | ||||
2017 Credit Agreement | ||||||
Debt Instrument [Line Items] | ||||||
Debt issued | $ 300,000,000 | |||||
Senior Notes due 2017 | ||||||
Debt Instrument [Line Items] | ||||||
Debt issued | $ 300,000,000 | |||||
Interest of senior notes | 6.75% | |||||
Senior Notes due 2019 | ||||||
Debt Instrument [Line Items] | ||||||
Debt issued | $ 250,000,000 | |||||
Interest of senior notes | 7.75% | |||||
Debt issuance costs, net | $ 700,000 | |||||
Senior Notes due 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Debt issued | € | € 200,000,000 | |||||
Interest of senior notes | 7.375% |
Long-Term Debt - United States
Long-Term Debt - United States Trade Accounts Receivable Credit Facility Additional Information (Detail) - USD ($) | Jan. 31, 2018 | Oct. 31, 2017 | Sep. 27, 2017 |
Debt Instrument [Line Items] | |||
Long-term debt | $ 1,031,800,000 | $ 959,200,000 | |
Receivables Facility | Domestic Line of Credit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 150,000,000 | ||
Long-term debt | $ 147,200,000 | $ 150,000,000 |
Financial Instruments and Fai53
Financial Instruments and Fair Value Measurements - Recurring Fair Value Measurements (Detail) - Fair Value, Measurements, Recurring - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | $ 33.3 | $ 29.1 |
Level 1 | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Level 2 | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 11.3 | 8.4 |
Level 3 | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 22 | 20.7 |
Other long-term assets and other current assets | Interest rate derivatives | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 14.2 | 8.9 |
Other long-term assets and other current assets | Level 1 | Interest rate derivatives | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other long-term assets and other current assets | Level 2 | Interest rate derivatives | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 14.2 | 8.9 |
Other long-term assets and other current assets | Level 3 | Interest rate derivatives | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other current assets | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0.6 | 0.1 |
Other current assets | Level 1 | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other current assets | Level 2 | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0.6 | 0.1 |
Other current assets | Level 3 | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other current liabilities | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | (3.5) | (0.6) |
Other current liabilities | Level 1 | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other current liabilities | Level 2 | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | (3.5) | (0.6) |
Other current liabilities | Level 3 | Foreign exchange hedges | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other long-term assets | Insurance annuity | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 22 | 20.7 |
Other long-term assets | Level 1 | Insurance annuity | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other long-term assets | Level 2 | Insurance annuity | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | 0 | 0 |
Other long-term assets | Level 3 | Insurance annuity | ||
Fair Value Assets Measured On Recurring Basis [Line Items] | ||
Fair value of assets (liabilities) | $ 22 | $ 20.7 |
Financial Instruments and Fai54
Financial Instruments and Fair Value Measurements - Additional Information (Detail) | 3 Months Ended | |||
Jan. 31, 2018USD ($)asset_group | Jan. 31, 2017USD ($)asset_group | Oct. 31, 2017USD ($) | Feb. 01, 2017USD ($) | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gains (losses) recorded under fair value contracts | $ 500,000 | $ 1,300,000 | ||
Unrealized gain (loss) on foreign currency derivatives, net, before tax | 3,100,000 | 1,500,000 | ||
Recognized asset impairment charges | 2,900,000 | $ 1,900,000 | ||
Accumulated goodwill impairment loss | $ 0 | |||
Rigid Industrial Packaging & Services | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Impairment of long-lived assets held-for-use | 1,500,000 | |||
Impairment of intangible assets (excluding goodwill) | $ 1,400,000 | |||
Rigid Industrial Packaging & Services | Assets Held And Used | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Number of impaired assets held and used (asset group) | asset_group | 1 | 1 | ||
Recognized amount of additional impairment related to assets and liabilities held and used | $ 400,000 | $ 1,500,000 | ||
Interest Rate Swap | Cash Flow Hedging | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Debt issued | 300,000,000 | $ 300,000,000 | ||
Interest rate | 1.194% | |||
Loss reclassified from AOCI to income | 200,000 | 0 | ||
Gain to be reclassified within next twelve months | 2,300,000 | |||
Foreign Currency Forward Contracts | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional amount | 139,200,000 | $ 80,100,000 | ||
Fair Value, Inputs, Level 3 | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Recognized asset impairment charges | 2,900,000 | $ 1,900,000 | ||
Sales Value Valuation Technique | Fair Value, Inputs, Level 3 | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Impairment of long-lived assets held-for-use | $ 2,900,000 |
Financial Instruments And Fai55
Financial Instruments And Fair Value Measurements - Estimated Fair Values for the Company's Senior Notes and Assets Held by Special Purpose Entities (Detail) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Estimated Fair Value Of Financial Instruments [Line Items] | ||
Assets held by special purpose entities | $ 50.9 | $ 50.9 |
Estimate of Fair Value Measurement | ||
Estimated Fair Value Of Financial Instruments [Line Items] | ||
Assets held by special purpose entities | 51.7 | 52.5 |
Senior Notes due 2019 | Estimate of Fair Value Measurement | ||
Estimated Fair Value Of Financial Instruments [Line Items] | ||
Estimated fair value | 266.2 | 272 |
Senior Notes due 2021 | Estimate of Fair Value Measurement | ||
Estimated Fair Value Of Financial Instruments [Line Items] | ||
Estimated fair value | $ 298.2 | $ 281 |
Financial Instruments and Fai56
Financial Instruments and Fair Value Measurements - Summary of Quantitative about Significant Unobservable Inputs Used to Determine Fair Value of Impairment of Long-Lived Assets Held and Used (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Non-cash asset impairment charges | $ 2.9 | $ 1.9 |
Level 3 | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Non-cash asset impairment charges | 2.9 | 1.9 |
Level 3 | Broker Quote/ Indicative Bids | Land and Building | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Impairment of Net Assets Held for Sale | 1.5 | |
Level 3 | Sales Value | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Impairment of Long Lived Assets | $ 2.9 | |
Level 3 | Sales Value | Machinery and Equipment | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Impairment of Long Lived Assets | $ 0.4 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | Dec. 22, 2017 | Jan. 31, 2018 | Jan. 31, 2017 | Oct. 31, 2018 |
Income Tax [Line Items] | ||||
Income tax (benefit) expense | $ (15.6) | $ 11.8 | ||
Tax cuts and jobs act of 2017, incomplete accounting, transition tax for accumulated foreign earnings, provisional income tax expense | $ 35.9 | |||
Tax cuts and jobs act of 2017, incomplete accounting, change in tax rate, deferred tax liability, provisional income tax benefit | $ 65 | |||
Tax cuts and jobs act of 2017, expense (benefit) | $ (29.1) | |||
Forecast | ||||
Income Tax [Line Items] | ||||
Blended tax rate | 23.33% |
Post Retirement Benefit Plans -
Post Retirement Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Postemployment Benefits [Abstract] | ||
Company's pension contributions | $ 6.8 | $ 3.8 |
Annuity contract | 49.2 | |
Lump sum payments made to participants | 35.1 | |
Decrease in projected benefit obligation | 84.3 | |
Pension settlement charge | $ 0 | $ 23.5 |
Post Retirement Benefit Plans59
Post Retirement Benefit Plans - Components of Net Periodic Pension Cost (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Pension Plans, Defined Benefit | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 3.3 | $ 3.3 |
Interest cost | 4.6 | 4.6 |
Expected return on plan assets | (6.1) | (7.1) |
Amortization of prior service cost and net actuarial gain | 3.6 | 2.8 |
Net periodic costs (benefits) for pension and postretirement benefits | 5.4 | 3.6 |
Other Postretirement Benefit Plans, Defined Benefit | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | 0 | 0 |
Interest cost | 0.1 | 0.1 |
Amortization of prior service cost and net actuarial gain | (0.4) | (0.3) |
Net periodic costs (benefits) for pension and postretirement benefits | $ (0.3) | $ (0.2) |
Contingent Liabilities and En60
Contingent Liabilities and Environmental Reserves - Additional Information (Detail) $ in Millions | 12 Months Ended | |
Oct. 31, 2017USD ($)reconditioning_facilities | Jan. 31, 2018USD ($) | |
Site Contingency [Line Items] | ||
Number of reconditioning facilities subject to litigation | reconditioning_facilities | 3 | |
Environmental liability reserves | $ 7.1 | $ 8.3 |
European Drum Facilities | ||
Site Contingency [Line Items] | ||
Environmental liability reserves | 4.3 | 4.4 |
Life Cycle Management and Recycling Facilities | ||
Site Contingency [Line Items] | ||
Environmental liability reserves | 0.3 | 0.3 |
Owned by Other Company | ||
Site Contingency [Line Items] | ||
Environmental liability reserves | 1.1 | 1.9 |
Other Facilities | ||
Site Contingency [Line Items] | ||
Environmental liability reserves | 1.4 | 1.7 |
Wrongful Termination Lawsuits | Pending Litigation | ||
Site Contingency [Line Items] | ||
Estimated liability recorded for legal proceedings | $ 5.7 | $ 4 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 3 Months Ended | 12 Months Ended |
Jan. 31, 2018 | Oct. 31, 2017 | |
Class A Common Stock | ||
Class of Stock [Line Items] | ||
Percentage of shares outstanding used in two class method calculation | 40.00% | |
Voting rights | The Class A Common Stock has no voting rights unless four quarterly cumulative dividends upon the Class A Common Stock are in arrears. | |
Class B Common Stock | ||
Class of Stock [Line Items] | ||
Percentage of shares outstanding used in two class method calculation | 60.00% | |
Voting rights | The Class B Common Stock has full voting rights. | |
Board Of Director Authorized | ||
Class of Stock [Line Items] | ||
Number of shares authorized to be purchased (shares) | 4,703,487 | |
Stock Repurchase Committee Authorized | ||
Class of Stock [Line Items] | ||
Repurchase of common stock (shares) | 2,000 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Earnings Per Share Basic and Diluted (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Numerator for basic and diluted EPS | ||
Net income attributable to Greif, Inc. | $ 56.5 | $ 5.4 |
Cash dividends | 24.5 | 24.5 |
Undistributed net income (loss) attributable to Greif, Inc. | $ 32 | $ (19.1) |
Earnings Per Share - Summarizat
Earnings Per Share - Summarization of Company's Class A and Class B Common and Treasury Shares (Detail) - shares | Jan. 31, 2018 | Oct. 31, 2017 |
Class A Common Stock | ||
Class of Stock [Line Items] | ||
Authorized Shares (shares) | 128,000,000 | 128,000,000 |
Issued Shares (shares) | 42,281,920 | 42,281,920 |
Outstanding Shares (shares) | 25,916,479 | 25,835,281 |
Treasury shares (in shares) | 16,365,441 | 16,446,639 |
Class B Common Stock | ||
Class of Stock [Line Items] | ||
Authorized Shares (shares) | 69,120,000 | 69,120,000 |
Issued Shares (shares) | 34,560,000 | 34,560,000 |
Outstanding Shares (shares) | 22,007,725 | 22,007,725 |
Treasury shares (in shares) | 12,552,275 | 12,552,275 |
Earnings Per Share - Reconcilia
Earnings Per Share - Reconciliation of Shares Used to Calculate Basic and Diluted Earnings Per Share (Detail) - shares | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Class A Common Stock | ||
Class of Stock [Line Items] | ||
Basic shares (shares) | 25,845,758 | 25,787,769 |
Assumed conversion of restricted shares (shares) | 0 | 4,672 |
Diluted shares (shares) | 25,845,758 | 25,792,441 |
Class B Common Stock | ||
Class of Stock [Line Items] | ||
Basic shares (shares) | 22,000,000 | 22,000,000 |
Diluted shares (shares) | 22,000,000 | 22,000,000 |
Basic and diluted shares (shares) | 22,007,725 | 22,009,725 |
Equity Earnings of Unconsolid65
Equity Earnings of Unconsolidated Affiliates, Net of Tax and Net Income Attributable to Noncontrolling Interests - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Noncontrolling Interest [Abstract] | ||
Equity earnings (losses) | $ 0 | |
Dividends received from company's equity method affiliates | $ 0 | 0 |
Net income attributable to noncontrolling interests | $ 3,600,000 | $ 2,600,000 |
Equity and Comprehensive Inco66
Equity and Comprehensive Income (Loss) - Summary of Changes in Equity (Detail) - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | $ 1,047.5 | $ 957.9 |
Net income | 60.1 | 8 |
Other comprehensive income (loss): | ||
Foreign currency translation | 38.4 | (9.2) |
Interest rate derivative | 3.9 | 4.6 |
Minimum pension liabilities | (0.9) | 28.1 |
Comprehensive income | 101.5 | 31.5 |
Current period mark to redemption value of redeemable noncontrolling interest | (1.4) | 0 |
Net income allocated to redeemable noncontrolling interests | (1.1) | (1) |
Other | 0.1 | |
Dividends paid to Greif, Inc. shareholders | (24.5) | (24.5) |
Dividends paid to noncontrolling interests | (0.5) | (0.3) |
Long-term incentive shares issued | 5 | 1.5 |
Ending balance | 1,126.5 | 965.2 |
Other comprehensive income (loss), derivatives qualifying as hedges, tax | 2.1 | |
Other comprehensive (income) loss, pension and other postretirement benefit plans, tax | 0 | 0 |
Greif, Inc. Equity | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | 1,010.9 | 947.4 |
Net income | 56.5 | 5.4 |
Other comprehensive income (loss): | ||
Foreign currency translation | 38 | (7.5) |
Interest rate derivative | 3.9 | 4.6 |
Minimum pension liabilities | (0.9) | 28.1 |
Comprehensive income | 97.5 | 30.6 |
Current period mark to redemption value of redeemable noncontrolling interest | (1.4) | 0 |
Dividends paid to Greif, Inc. shareholders | (24.5) | (24.5) |
Long-term incentive shares issued | 5 | 1.5 |
Ending balance | $ 1,087.5 | $ 955 |
Capital Stock | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance (shares) | 47,843 | 47,792 |
Beginning balance | $ 144.2 | $ 141.4 |
Other comprehensive income (loss): | ||
Long-term incentive shares issued (shares) | (82) | (29) |
Long-term incentive shares issued | $ 4.9 | $ 1.5 |
Ending balance | $ 149.1 | $ 142.9 |
Ending balance (shares) | 47,925 | 47,821 |
Treasury Stock | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance (shares) | 28,999 | 29,050 |
Beginning balance | $ (135.6) | $ (135.6) |
Other comprehensive income (loss): | ||
Long-term incentive shares issued (shares) | (82) | (29) |
Long-term incentive shares issued | $ 0.1 | $ 0 |
Ending balance | $ (135.5) | $ (135.6) |
Ending balance (shares) | 28,917 | 29,021 |
Retained Earnings | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | $ 1,360.5 | $ 1,340 |
Net income | 56.5 | 5.4 |
Other comprehensive income (loss): | ||
Interest rate derivative | (0.6) | |
Current period mark to redemption value of redeemable noncontrolling interest | (1.4) | 0 |
Dividends paid to Greif, Inc. shareholders | (24.5) | (24.5) |
Ending balance | 1,390.5 | 1,320.9 |
Accumulated Other Comprehensive Income (Loss) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | (358.2) | (398.4) |
Other comprehensive income (loss): | ||
Foreign currency translation | 38 | (7.5) |
Interest rate derivative | 4.5 | 4.6 |
Minimum pension liabilities | (0.9) | 28.1 |
Ending balance | (316.6) | (373.2) |
Non controlling interests | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning balance | 36.6 | 10.5 |
Net income | 3.6 | 2.6 |
Other comprehensive income (loss): | ||
Foreign currency translation | 0.4 | (1.7) |
Net income allocated to redeemable noncontrolling interests | (1.1) | (1) |
Other | 0.1 | |
Dividends paid to noncontrolling interests | (0.5) | (0.3) |
Ending balance | $ 39 | $ 10.2 |
Equity and Comprehensive Inco67
Equity and Comprehensive Income (Loss) - Schedule of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | $ 1,047.5 | $ 957.9 |
Other comprehensive income, net of tax | 41.4 | 23.5 |
Ending balance | 1,126.5 | 965.2 |
Foreign Currency Translation | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (249.3) | (270.2) |
Other comprehensive income, net of tax | 38 | (7.5) |
Ending balance | (211.3) | (277.7) |
Interest Rate Derivative | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | 5.1 | 0 |
Other comprehensive income, net of tax | 4.5 | 4.6 |
Ending balance | 9.6 | 4.6 |
Minimum Pension Liability Adjustment | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (114) | (128.2) |
Other comprehensive income, net of tax | (0.9) | 28.1 |
Ending balance | (114.9) | (100.1) |
Accumulated Other Comprehensive Income (Loss) | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (358.2) | (398.4) |
Other comprehensive income, net of tax | 41.6 | 25.2 |
Ending balance | $ (316.6) | $ (373.2) |
Business Segment Information -
Business Segment Information - Additional Information (Detail) | 3 Months Ended |
Jan. 31, 2018Segment | |
Segment Reporting [Abstract] | |
Number of operating segments (segment) | 8 |
Number of reportable business segment (segment) | 4 |
Business Segment Information 69
Business Segment Information - Segment Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Net sales: | ||
Total net sales | $ 905.7 | $ 820.9 |
Operating profit (loss): | ||
Total operating profit (loss) | 65.5 | 65.6 |
Depreciation, depletion and amortization expense: | ||
Total depreciation, depletion and amortization expense | 31.7 | 30.7 |
Rigid Industrial Packaging & Services | ||
Net sales: | ||
Total net sales | 615.4 | 561.5 |
Operating profit (loss): | ||
Total operating profit (loss) | 31.2 | 42.8 |
Depreciation, depletion and amortization expense: | ||
Total depreciation, depletion and amortization expense | 20.6 | 19.4 |
Paper Packaging & Services | ||
Net sales: | ||
Total net sales | 203.8 | 182.9 |
Operating profit (loss): | ||
Total operating profit (loss) | 27.9 | 20 |
Depreciation, depletion and amortization expense: | ||
Total depreciation, depletion and amortization expense | 8.3 | 8.3 |
Flexible Products & Services | ||
Net sales: | ||
Total net sales | 80 | 69.7 |
Operating profit (loss): | ||
Total operating profit (loss) | 3.2 | 0.6 |
Depreciation, depletion and amortization expense: | ||
Total depreciation, depletion and amortization expense | 1.8 | 1.9 |
Land Management | ||
Net sales: | ||
Total net sales | 6.5 | 6.8 |
Operating profit (loss): | ||
Total operating profit (loss) | 3.2 | 2.2 |
Depreciation, depletion and amortization expense: | ||
Total depreciation, depletion and amortization expense | $ 1 | $ 1.1 |
Business Segment Information 70
Business Segment Information - Net Sales to External Customers by Geographical Area (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Net sales | ||
Total net sales | $ 905.7 | $ 820.9 |
United States | ||
Net sales | ||
Total net sales | 432.7 | 408 |
Europe, Middle East and Africa | ||
Net sales | ||
Total net sales | 331.3 | 285.9 |
Asia Pacific and other Americas | ||
Net sales | ||
Total net sales | $ 141.7 | $ 127 |
Business Segment Information 71
Business Segment Information - Properties, Plants and Equipment, Net by Geographical Area (Detail) - USD ($) $ in Millions | Jan. 31, 2018 | Oct. 31, 2017 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | $ 3,328.1 | $ 3,232.3 |
Properties, plants and equipment, net | ||
Total properties, plants and equipment, net | 1,203.2 | 1,188.4 |
United States | ||
Properties, plants and equipment, net | ||
Total properties, plants and equipment, net | 728.2 | 730.1 |
Europe, Middle East and Africa | ||
Properties, plants and equipment, net | ||
Total properties, plants and equipment, net | 337.6 | 322 |
Asia Pacific and other Americas | ||
Properties, plants and equipment, net | ||
Total properties, plants and equipment, net | 137.4 | 136.3 |
Operating Segments | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | 3,081.3 | 2,945.1 |
Operating Segments | Rigid Industrial Packaging & Services | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | 2,099.9 | 1,976.7 |
Operating Segments | Paper Packaging & Services | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | 461.6 | 459.8 |
Operating Segments | Flexible Products & Services | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | 172.1 | 163.2 |
Operating Segments | Land Management | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | 347.7 | 345.4 |
Corporate, Non-Segment | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Assets | $ 246.8 | $ 287.2 |
Redeemable Noncontrolling Int72
Redeemable Noncontrolling Interests - Rollforward of Mandatorily Redeemable Noncontrolling Interest (Details) $ in Millions | 3 Months Ended |
Jan. 31, 2018USD ($) | |
Redeemable Noncontrolling Interest, Equity [Roll Forward] | |
October 31, 2017 | $ 31.5 |
Current period mark to redemption value | (1.4) |
January 31, 2018 | 33.5 |
Container Life Cycle Management LLC | |
Redeemable Noncontrolling Interest, Equity [Roll Forward] | |
October 31, 2017 | 9.2 |
Current period mark to redemption value | 0.3 |
January 31, 2018 | $ 8.9 |
Redeemable Noncontrolling Int73
Redeemable Noncontrolling Interests - Additional Information (Detail) | 3 Months Ended |
Jan. 31, 2018joint_venture | |
Paper Packaging & Services | |
Redeemable Noncontrolling Interest [Line Items] | |
Number of joint ventures (joint venture) | 1 |
Rigid Industrial Packaging & Services | |
Redeemable Noncontrolling Interest [Line Items] | |
Number of joint ventures (joint venture) | 1 |
Redeemable Noncontrolling Int74
Redeemable Noncontrolling Interests - Rollforward of Redeemable Noncontrolling Interest (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2018 | Jan. 31, 2017 | |
Redeemable Noncontrolling Interest, Equity [Roll Forward] | ||
October 31, 2017 | $ 31.5 | |
Current period mark to redemption value | (1.4) | |
Redeemable noncontrolling interest share of income and other | 1.1 | $ 1 |
Dividends to redeemable noncontrolling interest and other | (0.5) | |
January 31, 2018 | $ 33.5 |