Document and Entity Information
Document and Entity Information | 9 Months Ended |
Aug. 31, 2015shares | |
Document Information [Line Items] | |
Entity Registrant Name | MCCORMICK & CO INC |
Entity Central Index Key | 63,754 |
Current Fiscal Year End Date | --11-30 |
Entity Filer Category | Accelerated Filer |
Document Type | 10-Q |
Document Period End Date | Aug. 31, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | Q3 |
Amendment Flag | false |
Common Stock | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 11,758,265 |
Nonvoting Common Stock | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 116,288,620 |
CONDENSED CONSOLIDATED INCOME S
CONDENSED CONSOLIDATED INCOME STATEMENT - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Statement [Abstract] | ||||
Net sales | $ 1,059.9 | $ 1,042.8 | $ 3,094.4 | $ 3,069.6 |
Cost of goods sold | 638 | 622.7 | 1,878.8 | 1,845.5 |
Gross profit | 421.9 | 420.1 | 1,215.6 | 1,224.1 |
Selling, general and administrative expense | 271.5 | 260.5 | 820.3 | 818.2 |
Special Charges | 11.7 | 2.3 | 59.1 | 2.3 |
Operating income | 138.7 | 157.3 | 336.2 | 403.6 |
Interest expense | 13.6 | 12.4 | 39.5 | 37.3 |
Other expense (income), net | 0.2 | 0.3 | 0.6 | 0.8 |
Income from consolidated operations before income taxes | 125.3 | 145.2 | 297.3 | 367.1 |
Income taxes | 37.4 | 31.1 | 71.9 | 97.3 |
Net income from consolidated operations | 87.9 | 114.1 | 225.4 | 269.8 |
Income from unconsolidated operations | 9.7 | 8.8 | 27 | 20.1 |
Net income | $ 97.6 | $ 122.9 | $ 252.4 | $ 289.9 |
Earnings per share - basic (usd per share) | $ 0.76 | $ 0.95 | $ 1.97 | $ 2.22 |
Average shares outstanding - basic (shares) | 128 | 129.6 | 128.1 | 130.3 |
Earnings per share - diluted (usd per share) | $ 0.76 | $ 0.94 | $ 1.95 | $ 2.21 |
Average shares outstanding - diluted (shares) | 129.2 | 130.6 | 129.2 | 131.3 |
Cash dividends paid per common share (usd per share) | $ 0.40 | $ 0.37 | $ 1.20 | $ 1.11 |
Common Stock, Dividends, Per Share, Declared | $ 0.40 | $ 0.37 | $ 0.80 | $ 0.74 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME [Abstract] | ||||
Net income | $ 97.6 | $ 122.9 | $ 252.4 | $ 289.9 |
Net Income (Loss) Attributable to Noncontrolling Interest | (1.9) | 0.4 | 0.5 | 2.1 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 7.3 | 4.9 | 23.1 | 12.8 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (33.9) | (43) | (184.5) | (38.9) |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, before Tax | (0.8) | 1.3 | (0.3) | 1.3 |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | (1.5) | (1.6) | (5.9) | (4.5) |
Comprehensive Income | $ 66.8 | $ 84.9 | $ 85.3 | $ 262.7 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEET - USD ($) $ in Millions | Aug. 31, 2015 | Nov. 30, 2014 | Aug. 31, 2014 |
Current Assets | |||
Cash and cash equivalents | $ 108.4 | $ 77.3 | $ 93.8 |
Trade accounts receivables, net | 422.9 | 493.6 | 476.8 |
Inventories | |||
Finished products | 333.3 | 303.2 | 327 |
Raw materials and work-in-process | 393.9 | 410.6 | 378.6 |
Total inventory | 727.2 | 713.8 | 705.6 |
Prepaid expenses and other current assets | 116 | 131.5 | 132.6 |
Total current assets | 1,374.5 | 1,416.2 | 1,408.8 |
Property, plant and equipment | 1,491.4 | 1,481.4 | 1,460.7 |
Less: accumulated depreciation | (902.3) | (878.7) | (881.9) |
Property, plant and equipment, net | 589.1 | 602.7 | 578.8 |
Goodwill | 1,802.4 | 1,722.2 | 1,769.1 |
Intangible assets, net | 376.1 | 330.8 | 336.5 |
Investments and other assets | 348.6 | 342.4 | 378.9 |
Total assets | 4,490.7 | 4,414.3 | 4,472.1 |
Current Liabilities | |||
Short-term borrowings | 481.2 | 269.6 | 352.2 |
Current portion of long-term debt | 203.6 | 1.2 | 1.2 |
Trade accounts payable | 336.1 | 372.1 | 338.8 |
Other accrued liabilities | 383.7 | 479.1 | 385.4 |
Total current liabilities | 1,404.6 | 1,122 | 1,077.6 |
Long-term debt | 807.2 | 1,014.1 | 1,014.3 |
Other long-term liabilities | 516.7 | 468.8 | 410.2 |
Total liabilities | 2,728.5 | 2,604.9 | 2,502.1 |
Shareholders' Equity | |||
Retained earnings | 1,065.1 | 982.6 | 993.6 |
Accumulated other comprehensive loss | (353.6) | (186) | (29.6) |
Non-controlling interests | 16.9 | 17.2 | 17.5 |
Total shareholders' equity | 1,762.2 | 1,809.4 | 1,970 |
Total liabilities and shareholders' equity | 4,490.7 | 4,414.3 | 4,472.1 |
Common Stock | |||
Shareholders' Equity | |||
Common stock | 380.8 | 367.2 | 363.3 |
Nonvoting Common Stock | |||
Shareholders' Equity | |||
Common stock | $ 653 | $ 628.4 | $ 625.2 |
CONDENSED CONSOLIDATED CASH FLO
CONDENSED CONSOLIDATED CASH FLOW STATEMENT - USD ($) $ in Millions | 9 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Cash flows from operating activities | ||
Net income | $ 252.4 | $ 289.9 |
Adjustments to reconcile net income to net cash flow provided by operating activities: | ||
Depreciation and amortization | 78.7 | 78.1 |
Stock-based compensation | 17 | 15.1 |
Brand name impairment included in special charges | 9.6 | 0 |
Income from unconsolidated operations | (27) | (20.1) |
Changes in operating assets and liabilities | (31.8) | (99.8) |
Dividends from unconsolidated affiliates | 17.7 | 12.6 |
Net cash flow provided by operating activities | 316.6 | 275.8 |
Cash flows from investing activities | ||
Acquisition of businesses (net of cash acquired) | 210.9 | 0 |
Capital expenditures | (70) | (78) |
Proceeds from sale of property, plant and equipment | 0.3 | 0.8 |
Net cash flow used in investing activities | (280.6) | (77.2) |
Cash flows from financing activities | ||
Short-term borrowings, net | 214.1 | 139.7 |
Long-term debt borrowings | 0.5 | 0 |
Long-term debt repayments | (1.4) | (1.4) |
Proceeds from exercised stock options | 26.1 | 19.2 |
Common stock acquired by purchase | (72.3) | (178.4) |
Dividends paid | (153.7) | (144.7) |
Net cash flow (used in) provided by financing activities | 13.3 | (165.6) |
Effect of exchange rate changes on cash and cash equivalents | (18.2) | (2.2) |
Increase in cash and cash equivalents | 31.1 | 30.8 |
Cash and cash equivalents at beginning of period | 77.3 | 63 |
Cash and cash equivalents at end of period | $ 108.4 | $ 93.8 |
Accounting Policies
Accounting Policies | 9 Months Ended |
Aug. 31, 2015 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and notes required by United States generally accepted accounting principles (U.S. GAAP) for complete financial statements. In our opinion, the accompanying condensed consolidated financial statements contain all adjustments, which are of a normal and recurring nature, necessary to present fairly the financial position and the results of operations for the interim periods presented. The results of consolidated operations for the three and nine month periods ended August 31, 2015 are not necessarily indicative of the results to be expected for the full year. Historically, our net sales, net income and cash flow from operations are lower in the first half of the fiscal year and increase in the second half. The typical increase in net sales, net income and cash flow from operations in the second half of the year is largely due to the consumer business cycle in the U.S., where customers typically purchase more products in the fourth quarter due to the Thanksgiving and Christmas holiday seasons. For further information, refer to the consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended November 30, 2014 . Accounting and Disclosure Changes In July 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2015-11 Simplifying the Measurement of Inventory (Topic 330). This guidance is intended to simplify the subsequent measurement of inventories by replacing the current lower of cost or market test with a lower of cost and net realizable value test. The guidance applies only to inventories for which cost is determined by methods other than last-in first-out and the retail inventory method. It will be effective for the first quarter of our fiscal year ending November 30, 2018, and early adoption is permitted. We have not yet determined the impact from adoption of this new accounting pronouncement on our financial statements. In May 2014, the FASB issued Accounting Standards Update No. 2014-09 Revenue from Contracts with Customers (Topic 606). This guidance is intended to improve and converge with international standards the financial reporting requirements for revenue from contracts with customers. In August 2015, the FASB issued Accounting Standards Update No. 2015-14 Revenue from Contracts with Customers (Topic 606) Deferral of the Effective Date that provided for the adoption of the new standard for fiscal years beginning after December 15, 2017. As a result, the new standard will be effective for the first quarter of our fiscal year ending November 30, 2018. Early adoption is permitted for all entities, but not before the original effective date for public business entities (i.e., annual reporting periods beginning after December 15, 2016). We have not yet determined the impact from adoption of this new accounting pronouncement on our financial statements. |
Acquisitions
Acquisitions | 9 Months Ended |
Aug. 31, 2015 | |
Business Combinations [Abstract] | |
ACQUISITIONS | ACQUISITIONS Acquisitions are part of our strategy to increase sales and profits. On March 9, 2015, we acquired 100% of the shares of Brand Aromatics, a privately held company located in the U.S. Brand Aromatics is a supplier of natural savory flavors, marinades, and broth and stock concentrates to the packaged food industry. Its addition expands the breadth of value-added products in our industrial business. The purchase price for Brand Aromatics was $62.5 million and was financed with a combination of cash and short-term borrowings. At the time of acquisition, annual sales of Brand Aromatics were approximately $30 million . As of August 31, 2015, a preliminary valuation of the acquired net assets of Brand Aromatics resulted in $5.1 million allocated to tangible net assets, $19.5 million allocated to other intangible assets and $37.9 million allocated to goodwill. Goodwill related to the Brand Aromatics acquisition, which will be deductible for tax purposes, primarily represents the intangible assets that do not qualify for separate recognition, such as expected synergies from the extension of our customer intimacy and value-added flavor solutions we provide to our industrial customers to stocks, marinades and other savory flavors, as well as from the combined operations and assembled workforces, and the future development initiatives of the assembled workforces. The preliminary valuation, based on a comparison of acquisitions of similar industrial businesses, provided average percentages of purchase prices assigned to goodwill and other identifiable intangible assets, which we used to initially value the Brand Aromatics acquisition. We expect to finalize the determination of the fair value of the acquired net assets of Brand Aromatics during the fourth quarter of 2015. Included in our industrial business segment since its acquisition, Brand Aromatics added $7.0 million and $11.8 million to sales in the three and nine months ended August 31, 2015, respectively. Due to financing, acquisition and integration costs, its operating income contribution was not significant to our overall results for those periods. On May 29, 2015, we completed the purchase of 100% of the shares of Drogheria & Alimentari (D&A), a privately held company based in Italy, and a leader of the spice and seasoning category in Italy that supplies both branded and private label products to consumers. The purchase price for D&A consisted of a cash payment of $49.0 million , net of cash acquired of $2.8 million , at the time of acquisition, subject to certain closing adjustments, and was financed with a combination of cash and short-term borrowings. In addition, the purchase agreement calls for a potential earn out payment in 2018 of up to €35 million , based upon the performance of the acquired business in 2017. This potential earn out payment had an acquisition-date fair value of $27.7 million (or approximately €25 million ), based on estimates of projected performance in 2017, which we used to estimate the contingent consideration payable in fiscal 2018 and discounted using a probability-weighted approach. At the time of the acquisition, annual sales of D&A were approximately €50 million . As of August 31, 2015, a preliminary valuation of the acquired net assets of D&A resulted in $7.2 million allocated to tangible net assets, $24.3 million allocated to other intangible assets and $45.2 million allocated to goodwill. Goodwill related to the D&A acquisition, which is not deductible for tax purposes, primarily represents the intangible assets that do not qualify for separate recognition, such as the value of leveraging our brand building expertise, our customer insights in demand from consumers for unique and authentic ethnic flavors and our supply chain capabilities, as well as expected synergies from the combined operations and assembled workforce. The preliminary valuation, based on a comparison of acquisitions of similar consumer businesses, provided average percentages of purchase prices assigned to goodwill and other intangible assets which we used to initially value the D&A acquisition. We expect to finalize the determination of the fair value of the acquired net assets of D&A during early 2016. Included in our consumer business segment since its acquisition, D&A added $15.3 million to sales in the three and nine months ended August 31, 2015. Due to financing, acquisition and integration costs, its operating income contribution was not significant to our overall results for those periods. On August 20, 2015, we completed the purchase of 100% of the shares of One World Foods, Inc., seller of Stubb's barbeque sauces ("Stubb's"), a privately held company located in Austin, Texas. Stubb's is the leading premium barbeque sauce brand in the U.S. In addition to sauces, Stubb's products include marinades, rubs and skillet sauces. Its addition will expand the breadth of value-added products in our consumer business. At the time of acquisition, annual sales of Stubb's were approximately $30 million . The purchase price for Stubb's was $99.4 million , subject to certain closing adjustments, and was financed with a combination of cash and short-term borrowings. As of August 31, 2015, a preliminary valuation of the acquired net assets of Stubb's resulted in $5.4 million allocated to tangible assets acquired (less $12.4 million allocated to liabilities assumed), $25.8 million allocated to other intangible assets and $80.6 million allocated to goodwill. Goodwill related to the Stubb's acquisition, which is not deductible for tax purposes, primarily represents the intangible assets that do not qualify for separate recognition, such as the value of leveraging our brand building expertise, our customer insights in demand from customers for unique and authentic barbeque and grilling flavors, and our supply chain capabilities, as well as expected synergies from the combined operations and assembled workforce. The preliminary valuation, based on a comparison of acquisitions of similar consumer businesses, provided average percentages of purchase prices assigned to goodwill and other identifiable intangible assets, which we used to initially value the Stubb's acquisition. We expect to finalize the determination of the fair value of the acquired net assets of Stubb's during the first half of 2016. Included in our consumer business segment since its acquisition, Stubb's contribution to sales and operating income was not significant to our overall results this period. During the three and nine months ended August 31, 2015, we recorded $0.8 million and $2.8 million , respectively, in transaction-related expenses associated with these acquisitions. |
Special Charges
Special Charges | 9 Months Ended |
Aug. 31, 2015 | |
Special Charges [Abstract] | |
Special Charges [Text Block] | SPECIAL CHARGES We continue to evaluate changes to our organization structure to enable us to reduce fixed costs, simplify or improve processes, and improve our competitiveness. In our consolidated income statement, we include a separate line item captioned “special charges” in arriving at our consolidated operating income. Special charges consist of expenses associated with certain actions undertaken by the Company to reduce fixed costs, simplify or improve processes, and improve our competitiveness and are of such significance in terms of both up-front costs and organizational/structural impact to require advance approval by our Management Committee, comprised of our senior management, including our Chairman and Chief Executive Officer. Upon presentation of any such proposed action (generally including details with respect to estimated costs, which typically consist principally of employee severance and related benefits, together with ancillary costs associated with the action that may include a non-cash component or a component which relates to inventory adjustments that are included in cost of goods sold; impacted employees or operations; expected timing; and expected savings) to the Management Committee and the Committee’s advance approval, expenses associated with the approved action are classified as special charges upon recognition and monitored on an on-going basis through completion. The following is a summary of special charges recognized in the three and nine months ended August 31, 2015 and 2014 (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Special charges included in cost of goods sold $ 3.4 $ — $ 3.4 $ — Other special charges in the income statement (including a non-cash brand impairment charge of $9.6 million for the three and nine months ended August 31, 2015) 11.7 2.3 59.1 2.3 Total special charges $ 15.1 $ 2.3 $ 62.5 $ 2.3 During the three months ended August 31, 2015, we recorded a total of $15.1 million of special charges, including $3.4 million classified in cost of goods sold. Of that amount, $13.0 million relates to a program, instituted by our Kohinoor consumer business in India and approved by our Management Committee during the third quarter, to improve the profitability of that business. The plan principally relates to the discontinuance of its non-profitable bulk-packaged and broken basmati rice product lines and other ancillary activities, while concentrating the business’s focus on both its existing consumer-packaged basmati rice product lines and the launch of consumer-packaged herbs and spices under the Kohinoor brand name. In light of the anticipated sales reduction associated with the business’s discontinuance of its bulk-packaged and broken basmati rice product lines, only partially offset by the launch of consumer-packaged herbs and spices, we determined that an impairment of the Kohinoor brand name had occurred. Using a relief from royalty method (and a discount rate reflective of the risk of the launch of consumer-packaged herbs and spices), we estimated a current fair value of the Kohinoor brand name that represented a reduction in its previous carrying value by approximately 53%, resulting in a non-cash impairment charge of $9.6 million in the third quarter of 2015. In addition as a result of the Kohinoor product line discontinuance approved in the third quarter of 2015, we recognized a $3.4 million charge in cost of goods sold, which represents a provision for the excess of the carrying value of inventories of bulk and broken basmati rice at August 31, 2015, determined on a lower of cost or market basis, over the estimated net realizable value of such inventories upon discontinuance. In addition to the special charges outlined above and recorded in the three and nine months ended August 31, 2015, the future actions approved with respect to Kohinoor's plan to improve its profitability consist of costs associated with exiting certain contractual arrangements and other costs directly related to the plan. The estimated cost of such future actions, which will be reflected in special charges upon recognition over the next three to nine months, range from approximately $2 million to $4 million . During the third quarter of 2015, we recognized an additional $2.1 million of special charges, consisting of $1.3 million related to employee severance and related costs associated with our North American effectiveness initiative and $0.8 million principally related to other exit costs related to our EMEA reorganization initiated earlier in 2015. For the nine months ended August 31, 2015, we recorded $62.5 million of special charges as indicated in the preceding table. In addition to the Kohinoor charges of $13.0 million described in the paragraph above, we have recorded special charges of $27.7 million related to employee severance and related costs, associated with our North American effectiveness initiative, and $23.7 million related to our EMEA reorganization initiated earlier in 2015. Partially offsetting these charges was a credit of $1.9 million for the 2015 reversal of reserves previously accrued as part of the EMEA reorganization plan undertaken in 2013 and 2014. Of the $15.1 million of special charges recorded in our consolidated financial statements in the third quarter of 2015, $14.7 million related to our consumer business segment and $0.4 million related to our industrial business segment. Of the $62.5 million of special charges recorded in our consolidated financial statements for the nine months ended August 31, 2015, $49.6 million related to our consumer business segment and $12.9 million related to our industrial business segment. With the exception of $3.4 million of inventory reserves at August 31, 2015, all balances associated with our special charges are included in other accrued liabilities in our consolidated balance sheet. For the three and nine months ended August 31, 2014, we recorded $2.3 million of special charges, principally related to employee severance, with $1.3 million related to our industrial business segment and $1.0 million related to our consumer business segment. In late 2013, we announced a reorganization in parts of the Europe, Middle East and Africa (EMEA) region to further improve EMEA’s profitability and process standardization while supporting its competitiveness and long-term growth. These actions included the closure of our sales and distribution operations in The Netherlands, with the transition to a third-party distributor model to continue to sell the Silvo brand, as well as actions intended to reduce selling, general and administrative activities throughout EMEA, including the centralization of shared service activity across the region into Poland. In fiscal years 2013 and 2014, we recorded a total of $27.1 million of cash and non-cash charges related to this reorganization. We expect to realize annual cost savings of approximately $10 million in 2015 related to this EMEA reorganization. The following table outlines the major components of accrual balances and activity relating to the special charges associated with the EMEA reorganization plan undertaken in 2013 and 2014 for the nine months ended August 31, 2015 (in millions): Employee severance and related benefits Other related costs Total Balance as of November 30, 2014 $ 9.3 $ 0.7 $ 10.0 Cash paid (3.0 ) (0.6 ) (3.6 ) Impact of foreign exchange (1.5 ) (0.1 ) (1.6 ) Reversal into income (special charges) (1.9 ) — (1.9 ) Balance as of August 31, 2015 $ 2.9 $ — $ 2.9 In January 2015, we offered a voluntary retirement plan, which included enhanced separation benefits but did not include supplementary pension benefits, to certain U.S. employees aged 55 years or older with at least ten years of service to the Company. Upon our receipt of notification from participants that they accepted this plan, which closed in the first quarter of 2015, we accrued special charges of $24.5 million , consisting of employee severance and related costs that will be paid in cash. Substantially all of the affected employees will leave the company in 2015, and the majority exited by the second quarter. The voluntary retirement plan is part of our ongoing North American effectiveness initiative that, upon completion, is expected to generate cost savings of approximately $10 million in 2015 and annual cost savings with a full year impact of approximately $25 million beginning in 2016. We currently estimate the total cost to implement the North American effectiveness initiative to approximate $28 million , including the cost of the voluntary early retirement plan and other actions necessary to achieve the cost savings previously described, consisting principally of severance and related benefits that will be paid in cash. The following table outlines the major components of accrual balances and activity relating to the special charges associated with our North American effectiveness initiative for the nine months ended August 31, 2015 (in millions): Employee severance and related benefits Other related costs Total Special charges $ 25.6 $ 2.1 $ 27.7 Cash paid (22.8 ) (1.5 ) (24.3 ) Balance as of August 31, 2015 $ 2.8 $ 0.6 $ 3.4 In the first quarter of 2015, we recorded a special charge of $3.9 million to undertake actions, principally consisting of severance and related costs, to change our organization structure to further reduce selling, general and administrative expenses throughout EMEA. The actions associated with this special charge are expected to be completed in 2015 and to generate annual cost savings of $3.0 million by 2016. In the second quarter of 2015, additional projects were identified in the EMEA region to further enhance organization efficiency and streamline processes in this region to support its competitiveness and long-term growth. These initiatives center on actions intended to reduce fixed costs and improve business processes, as well as continue to drive simplification across the business and supply chain. These actions include the transfer of certain additional activities to the recently established McCormick Shared Services Center in Lodz, Poland. In total, including the amounts recorded during the nine months ended August 31, 2015, the company expects to record approximately $25 million of charges related to these actions, with approximately $24 million of cash expenses and approximately $1 million of non-cash fixed asset impairment expenses. Of the approximately $24 million of cash expenditures associated with these special charges, approximately $13 million are expected to be spent in 2015 and the balance spent in 2016. Related annual cost savings are projected to be approximately $16 million by the end of 2017. The following table outlines the major components of accrual balances and activity relating to the special charges associated with the EMEA reorganization plans undertaken in 2015 for the nine months ended August 31, 2015 (in millions): Employee severance and related benefits Other related costs Total Special charges $ 21.5 $ 2.2 $ 23.7 Cash paid (3.6 ) (0.7 ) (4.3 ) Impairment of fixed assets recorded — (1.1 ) (1.1 ) Impact of foreign exchange — 0.2 0.2 Balance as of August 31, 2015 $ 17.9 $ 0.6 $ 18.5 |
Goodwill (Notes)
Goodwill (Notes) | 9 Months Ended |
Aug. 31, 2015 | |
Goodwill Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | GOODWILL The changes in the carrying amount of goodwill by segment for the nine months ended August 31, 2015 and 2014 were as follows (in millions): 2015 2014 Consumer Industrial Consumer Industrial Beginning of year $ 1,581.1 $ 141.1 $ 1,654.7 $ 143.8 Changes in purchase price allocation — — (6.1 ) — Goodwill acquired 125.8 37.9 — — Foreign currency fluctuations (80.6 ) (2.9 ) (23.5 ) 0.2 Balance as of August 31 $ 1,626.3 $ 176.1 $ 1,625.1 $ 144.0 |
Financial Instruments
Financial Instruments | 9 Months Ended |
Aug. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
FINANCIAL INSTRUMENTS | FINANCING ARRANGEMENTS AND FINANCIAL INSTRUMENTS We use derivative financial instruments to enhance our ability to manage risk, including foreign currency and interest rate exposures, which exist as part of our ongoing business operations. We do not enter into contracts for trading purposes, nor are we a party to any leveraged derivative instruments. The use of derivative financial instruments is monitored through regular communication with senior management and the use of written guidelines. In June 2015, we entered into a five -year $750 million revolving credit facility which will expire in June 2020. The pricing for this credit facility, on a fully drawn basis, is LIBOR plus 0.75% . This credit facility replaces our $600 million revolving credit facility that was due to expire in June 2016. During the nine months ended August 31, 2015, we have entered into a total of $ 100 million of forward starting interest rate swap agreements to manage our interest rate risk associated with the anticipated issuance of at least $ 100 million of fixed rate notes by December 2015. We entered into $ 50 million of these swap agreements during our second quarter of 2015 and $ 50 million of these swap agreements during our third quarter of 2015. We intend to cash settle all of these agreements upon issuance of the fixed rate notes thereby effectively locking in the fixed interest rate in effect at the time the swap agreements were initiated. The weighted average fixed rate of these agreements is 2.25% . We have designated these forward starting interest rate swap agreements, which expire on December 18, 2015, as cash flow hedges. The gain or loss on these agreements is deferred in other comprehensive income and will be amortized over the life of the fixed rate notes as a component of interest expense. As of August 31, 2015 , the maximum time frame for our foreign exchange forward contracts is 15 months. The amount of foreign exchange forward contracts greater than 12 months is not material. For all derivatives, the net amount of accumulated other comprehensive income expected to be reclassified in the next 12 months is $ 3.2 million as an increase to earnings. All derivatives are recognized at fair value in the balance sheet and recorded in either current or noncurrent other assets or other accrued liabilities or other long-term liabilities depending upon nature and maturity. The following table discloses the fair values of derivative instruments on our balance sheet (in millions): As of August 31, 2015 Asset Derivatives Liability Derivatives Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Interest rate contracts Other current assets $ 150.0 $ 3.5 Other accrued liabilities $ 50.0 $ 0.2 Foreign exchange contracts Other current assets 143.7 5.1 Other accrued liabilities 81.2 1.2 Total $ 8.6 $ 1.4 As of August 31, 2014 Asset Derivatives Liability Derivatives Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Interest rate contracts Other current assets $ 100.0 $ 7.3 Foreign exchange contracts Other current assets 105.9 1.6 Other accrued liabilities $ 104.6 $ 0.8 Total $ 8.9 $ 0.8 As of November 30, 2014 Asset Derivatives Liability Derivatives Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Interest rate contracts Other current assets $ 100.0 $ 7.4 Foreign exchange contracts Other current assets 106.3 4.9 Other accrued liabilities $ 156.4 $ 1.4 Total $ 12.3 $ 1.4 The following tables disclose the impact of derivative instruments on our other comprehensive income (OCI), accumulated other comprehensive income (AOCI) and our income statement for the three and nine month periods ended August 31, 2015 and 2014 (in millions): Fair Value Hedges - Derivative Income statement location Expense For the three months ended August 31, 2015 For the three months ended August 31, 2014 For the nine months ended August 31, 2015 For the nine months ended August 31, 2014 Interest rate contracts Interest expense $ 1.2 $ 1.3 $ 3.7 $ 3.8 Cash Flow Hedges – For the three months ended August 31, Derivative Gain or (Loss) recognized in OCI Income statement location Gain or (Loss) reclassified from AOCI 2015 2014 2015 2014 Interest rate contracts $ (0.2 ) $ — Interest expense $ — $ — Foreign exchange contracts 1.6 1.1 Cost of goods sold 2.1 (0.3 ) Total $ 1.4 $ 1.1 $ 2.1 $ (0.3 ) Cash Flow Hedges – For the nine months ended August 31, Derivative Gain or (Loss) recognized in OCI Income statement location Gain or (Loss) reclassified from AOCI 2015 2014 2015 2014 Interest rate contracts $ 0.8 $ — Interest expense $ (0.1 ) $ (0.1 ) Foreign exchange contracts 4.7 0.6 Cost of goods sold 5.4 (0.8 ) Total $ 5.5 $ 0.6 $ 5.3 $ (0.9 ) The amount of gain or loss recognized in income on the ineffective portion of derivative instruments is not material. The amounts noted in the tables above for OCI do not include any adjustments for the impact of deferred income taxes. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Aug. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS Fair value can be measured using valuation techniques, such as the market approach (comparable market prices), the income approach (present value of future income or cash flow), and the cost approach (cost to replace the service capacity of an asset or replacement cost). Accounting standards utilize a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels: • Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. • Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. • Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions. Our population of financial assets and liabilities subject to fair value measurements on a recurring basis are as follows (in millions): August 31, 2015 Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 108.4 $ 108.4 $ — $ — Insurance contracts 102.0 — 102.0 — Bonds and other long-term investments 7.8 7.8 — — Interest rate derivatives 3.5 — 3.5 — Foreign currency derivatives 5.1 — 5.1 — Total $ 226.8 $ 116.2 $ 110.6 $ — Liabilities Foreign currency derivatives $ 1.2 $ — $ 1.2 $ — Interest rate derivatives 0.2 — 0.2 — Contingent consideration related to acquisition 28.6 — — 28.6 Total $ 30.0 $ — $ 1.4 $ 28.6 August 31, 2014 Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 93.8 $ 93.8 $ — $ — Insurance contracts 103.3 — 103.3 — Bonds and other long-term investments 8.2 8.2 — — Interest rate derivatives 7.3 — 7.3 — Foreign currency derivatives 1.6 — 1.6 — Total $ 214.2 $ 102.0 $ 112.2 $ — Liabilities Foreign currency derivatives $ 0.8 $ — $ 0.8 $ — November 30, 2014 Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 77.3 $ 77.3 $ — $ — Insurance contracts 104.5 — 104.5 — Bonds and other long-term investments 8.5 8.5 — — Interest rate derivatives 7.4 — 7.4 — Foreign currency derivatives 4.9 — 4.9 — Total $ 202.6 $ 85.8 $ 116.8 $ — Liabilities Foreign currency derivatives $ 1.4 $ — $ 1.4 $ — Because of their short-term nature, the amounts reported in the balance sheet for cash and cash equivalents, receivables, short-term borrowings and trade accounts payable approximate fair value. The fair values of insurance contracts are based upon the underlying values of the securities in which they are invested and are from quoted market prices from various stock and bond exchanges for similar type assets. The fair values of bonds and other long-term investments are based on quoted market prices from various stock and bond exchanges. The fair values for interest rate and foreign currency derivatives are based on values for similar instruments using models with market based inputs. The acquisition-date fair value of the liability for contingent consideration related to our acquisition of D&A was approximately $27.7 million (see note 2) and was included in other long-term liabilities in our consolidated balance sheet. The fair value of the liability was estimated using a discounted cash flow technique with significant inputs that are not observable in the market and thus represents a Level 3 fair value measurement as defined in the FASB's Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures. The significant inputs in the Level 3 measurement not supported by market activity included our probability assessments of expected future cash flows related to our acquisition of D&A during the earn-out period, discounted considering the uncertainties associated with the obligation, and calculated in accordance with the terms of the purchase agreement. Changes in the fair value of the liability for contingent consideration, excluding the impact of foreign currency, will be recognized in income on a quarterly basis until settlement in fiscal 2018. The change in fair value of our Level 3 liabilities for the nine months ended August 31, 2015 is summarized as follows (in millions): Beginning of year Acquisition-Date Fair Value Settlements Post Acquisition Impact of foreign currency Balance as of August 31, 2015 Contingent consideration related to acquisition $ — $ 27.7 $ — $ 0.3 $ 0.6 $ 28.6 |
Employee Benefit and Retirement
Employee Benefit and Retirement Plans | 9 Months Ended |
Aug. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
EMPLOYEE BENEFIT AND RETIREMENT PLANS | EMPLOYEE BENEFIT AND RETIREMENT PLANS The following table presents the components of our pension expense of the defined benefit plans for the three months ended August 31, 2015 and 2014 (in millions): United States International 2015 2014 2015 2014 Defined benefit plans Service cost $ 5.9 $ 5.0 $ 2.1 $ 2.0 Interest costs 7.9 7.7 3.0 3.4 Expected return on plan assets (10.0 ) (9.7 ) (4.3 ) (4.7 ) Amortization of prior service costs — — — 0.1 Recognized net actuarial loss 4.2 3.0 1.5 1.2 Total pension expense $ 8.0 $ 6.0 $ 2.3 $ 2.0 The following table presents the components of our pension expense of the defined benefit plans for the nine months ended August 31, 2015 and 2014 (in millions): United States International 2015 2014 2015 2014 Defined benefit plans Service cost $ 17.7 $ 15.0 $ 6.2 $ 5.9 Interest costs 23.7 23.3 9.1 10.3 Expected return on plan assets (30.1 ) (29.1 ) (13.0 ) (14.1 ) Amortization of prior service costs — — 0.2 0.3 Recognized net actuarial loss 12.6 8.9 4.5 3.5 Total pension expense $ 23.9 $ 18.1 $ 7.0 $ 5.9 During the nine months ended August 31, 2015 and 2014 , we contributed $ 12.6 million and $ 14.0 million , respectively, to our pension plans. Total contributions to our pension plans in fiscal year 2014 were $ 16.8 million . The following table presents the components of our other postretirement benefits expense (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Other postretirement benefits Service cost $ 0.8 $ 1.0 $ 2.4 $ 2.8 Interest costs 0.9 1.0 2.7 3.1 Total other postretirement expense $ 1.7 $ 2.0 $ 5.1 $ 5.9 |
Stock-based Compensation
Stock-based Compensation | 9 Months Ended |
Aug. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION We have three types of stock-based compensation awards: restricted stock units (RSUs), stock options and company stock awarded as part of our long-term performance plan (LTPP). The following table sets forth the stock-based compensation expense recorded in selling, general and administrative (SG&A) expense (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Stock-based compensation expense $ 3.1 $ 3.0 $ 17.0 $ 15.1 Our 2015 annual grant of stock options and RSUs occurred in the second quarter, similar to the 2014 annual grant. The weighted-average grant-date fair value of an option granted in 2015 was $12.52 and in 2014 was $9.48 as calculated under a lattice pricing model. Substantially all of the options granted vest ratably over a three -year period or upon retirement. The fair values of option grants in the stated periods were computed using the following range of assumptions for our various stock compensation plans: 2015 2014 Risk-free interest rates 0.1 - 2.0% 0.1 - 2.7% Dividend yield 2.1% 2.1% Expected volatility 18.8% 15.6 - 20.1% Expected lives (in years) 7.7 5.8 The following is a summary of our stock option activity for the nine months ended August 31, 2015 and 2014 : 2015 2014 (shares in millions) Number of Shares Weighted- Average Exercise Price Number of Shares Weighted- Average Exercise Price Outstanding at beginning of period 4.8 $ 54.17 4.6 $ 47.73 Granted 0.8 76.32 1.1 71.12 Exercised (0.6 ) 42.77 (0.6 ) 35.93 Outstanding at end of the period 5.0 58.96 5.1 54.02 Exercisable at end of the period 3.3 $ 51.95 3.0 $ 45.55 As of August 31, 2015 , the intrinsic value (the difference between the exercise price and the market price) for all options outstanding was $101.8 million and for options currently exercisable was $89.9 million . The total intrinsic value of all options exercised during the nine months ended August 31, 2015 and 2014 was $19.1 million and $20.9 million , respectively. The following is a summary of our RSU activity for the nine months ended August 31, 2015 and 2014 : 2015 2014 (shares in thousands) Number of Shares Weighted- Average Grant-Date Fair Value Number of Shares Weighted- Average Grant-Date Fair Value Outstanding at beginning of period 239 $ 67.60 161 $ 60.86 Granted 135 76.06 180 71.15 Vested (84 ) 71.30 (93 ) 62.57 Forfeited (12 ) 73.03 (5 ) 69.05 Outstanding at end of period 278 $ 70.35 243 $ 67.66 The following is a summary of our LTPP activity for the nine months ended August 31, 2015 and 2014 : 2015 2014 (shares in thousands) Number of Shares Weighted- Average Grant-Date Fair Value Number of Shares Weighted- Average Grant-Date Fair Value Outstanding at beginning of period 231 $ 61.94 334 $ 51.73 Granted 96 74.02 105 69.04 Vested (65 ) 48.78 (118 ) 44.47 Forfeited (14 ) 70.92 (2 ) 44.47 Outstanding at end of period 248 $ 69.55 319 $ 60.15 |
Income Taxes
Income Taxes | 9 Months Ended |
Aug. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income tax disclosure | INCOME TAXES Income taxes for the three months ended August 31, 2015, included $1.1 million of discrete tax benefits, consisting principally of the following: (i) the reversal of unrecognized tax benefits and related interest of $0.7 million associated with the expiration of a statute of limitation in an international jurisdiction; and (ii) a $0.4 million benefit as a result of the adjustment of prior year tax accruals upon completion of the related tax return. Income taxes for the nine months ended August 31, 2015, included $18.3 million of discrete tax benefits, consisting of the amounts described above as well as an additional $17.2 million of discrete tax benefits consisting principally of the following; (i) a reversal of a previously established valuation allowance on a foreign deferred tax asset of $8.6 million due to a change in facts that favorably impacted our assessment of the likely recoverability of that deferred tax asset; (ii) the reversals of unrecognized tax benefits and related interest of $6.8 million associated with expirations of statutes of limitations in the U.S. and international jurisdictions; and (iii) the remainder principally related to recognition of a 2014 research tax credit. A new law was enacted in the first quarter 2015 that retroactively granted the credit for our 2014 tax year. Other than the reversals previously described and additions for current year tax positions, there were no significant changes to unrecognized tax benefits during the three months and nine months ended August 31, 2015. Income tax expense for the three months ended August 31, 2014 included discrete tax benefits of $6.2 million . The principal components of those discrete tax benefits recognized in the third quarter of 2014 included the following: (i) the reversal of international tax expense in the amount of $3.7 million related to fiscal 2013, initially recorded in the first quarter of 2014 as a result of a retroactive change in French tax law enacted in the first quarter of 2014, but reversed in the third quarter of 2014 when final legislative guidance on that retroactive French tax law was issued that allowed us to conclude this additional tax would no longer be required; (ii) a $1.4 million benefit as a result of the adjustment of prior year tax accruals upon completion of the related tax returns; and (iii) the reversal of previously provided reserves for uncertain tax benefits and related interest in the amount of $0.8 million , principally as a result of statute of limitation expirations. Income tax expense for the nine months ended August 31, 2014 included discrete tax benefits of $5.5 million . The principal components of those discrete tax benefits recognized in the first nine months of 2014 included the following: (i) a $5.8 million benefit related to the reversal of previously provided reserves for uncertain tax benefits and related interest recognized in connection with our settlement with respect to the French taxing authority’s audits of the 2007-2013 tax years in the first quarter of 2014; (ii) a $1.4 million benefit as a result of the adjustment of prior year tax accruals upon completion of the related tax returns; (iii) the reversal of previously provided reserves for uncertain tax benefits and related interest in the amount of $0.8 million , principally as a result of statute of limitation expirations; less (iv) international tax expense of $2.2 million related to prior year adjustments agreed as part of the previously described French tax settlement. As of August 31, 2015, we believe that the reasonably possible total amount of unrecognized tax benefits that could change in the next 12 months as a result of various statute expirations, audit closures, and/or tax settlement would not result in a change to unrecognized tax benefits that is material to our consolidated financial results. |
Earnings Per Share and Stock Is
Earnings Per Share and Stock Issuances | 9 Months Ended |
Aug. 31, 2015 | |
Earnings Per Share, Basic and Diluted [Abstract] | |
EARNINGS PER SHARE AND STOCK ISSUANCES | EARNINGS PER SHARE AND STOCK ISSUANCE The following table sets forth the reconciliation of average shares outstanding (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Average shares outstanding – basic 128.0 129.6 128.1 130.3 Effect of dilutive securities: Stock options/RSUs/LTPP 1.2 1.0 1.1 1.0 Average shares outstanding – diluted 129.2 130.6 129.2 131.3 The following table sets forth the stock options and RSUs for the three and nine months ended August 31, 2015 and 2014 which were not considered in our earnings per share calculation since they were anti-dilutive (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Anti-dilutive securities 0.5 1.9 0.5 1.5 The following table sets forth the common stock activity for the three and nine months ended August 31, 2015 and 2014 under the Company’s stock option and employee stock purchase plans and the repurchases of common stock under its stock repurchase program (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Shares issued under stock option, employee stock purchase plans and RSUs 0.2 0.1 0.6 0.7 Shares repurchased in connection with the stock repurchase program — 0.7 1.0 2.6 As of August 31, 2015 , $ 43 million remained of the $400 million share repurchase authorization that was authorized by the Board of Directors in April 2013 and all of an additional $600 million share repurchase authorization that was authorized by the Board of Directors in March 2015 remains available. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 9 Months Ended |
Aug. 31, 2015 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
COMPREHENSIVE INCOME | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table sets forth the components of accumulated other comprehensive income (loss), net of tax where applicable (in millions): August 31, 2015 August 31, 2014 November 30, 2014 Foreign currency translation adjustment $ (152.3 ) $ 126.8 $ 32.1 Unrealized gain on foreign currency exchange contracts 2.1 0.3 3.0 Fair value of interest rate swaps (excluding settled interest rate swaps) 0.5 — — Unamortized value of settled interest rate swaps 2.8 2.4 2.9 Pension and other postretirement costs (206.7 ) (159.1 ) (224.0 ) Accumulated other comprehensive loss $ (353.6 ) $ (29.6 ) $ (186.0 ) The following table sets forth the amounts reclassified from accumulated other comprehensive income (loss) and into consolidated net income for the three and nine months ended August 31, 2015 and 2014 (in millions): Three months ended August 31, Nine months ended August 31, Affected Line Items in the Condensed Consolidated Income Statement Accumulated Other Comprehensive Income (Loss) Components 2015 2014 2015 2014 Gains (losses) on cash flow hedges: Interest rate derivatives $ — $ — $ (0.1 ) $ (0.1 ) Interest expense Foreign exchange contracts 2.1 (0.3 ) 5.4 (0.8 ) Cost of goods sold Total before tax 2.1 (0.3 ) 5.3 (0.9 ) Tax effect (0.6 ) 0.1 (1.2 ) 0.3 Income taxes Net, after tax $ 1.5 $ (0.2 ) $ 4.1 $ (0.6 ) Amortization of pension and postretirement benefit adjustments: Amortization of prior service costs (1) $ — $ 0.1 $ 0.2 $ 0.3 SG&A expense/ Cost of goods sold Amortization of net actuarial losses (1) 5.7 4.2 17.1 12.4 SG&A expense/ Cost of goods sold Total before tax 5.7 4.3 17.3 12.7 Tax effect (1.9 ) (1.4 ) (5.9 ) (4.3 ) Income taxes Net, after tax $ 3.8 $ 2.9 $ 11.4 $ 8.4 (1) This accumulated other comprehensive income component is included in the computation of total pension expense (refer to note 7 for additional details). |
Business Segments
Business Segments | 9 Months Ended |
Aug. 31, 2015 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENTS | BUSINESS SEGMENTS We operate in two business segments: consumer and industrial. The consumer and industrial segments manufacture, market and distribute spices, seasoning mixes, condiments and other flavorful products throughout the world. Our consumer segment sells to retail outlets, including grocery, mass merchandise, warehouse clubs, discount and drug stores under the “McCormick” brand and a variety of brands around the world, including “Lawry’s”, “Zatarain’s”, “Simply Asia”, “Thai Kitchen”, “Ducros”, “Vahine”, “Schwartz”, “Club House”, “Kamis”, “Kohinoor” , “DaQiao”, “Drogheria & Alimentari” and "Stubb's". Our industrial segment sells to food manufacturers and the foodservice industry both directly and indirectly through distributors. In each of our segments, we produce and sell many individual products which are similar in composition and nature. With their primary attribute being flavor, we regard the products within each of our segments to be fairly homogenous. It is impracticable to segregate and identify sales and profits for individual product lines. We measure segment performance based on operating income excluding special charges as this activity is managed separately from the business segments. Although the segments are managed separately due to their distinct distribution channels and marketing strategies, manufacturing and warehousing are often integrated to maximize cost efficiencies. We do not segregate jointly utilized assets by individual segment for internal reporting, evaluating performance or allocating capital. Because of manufacturing integration for certain products within the segments, products are not sold from one segment to another but rather inventory is transferred at cost. Intersegment sales are not material. Consumer Industrial Total (in millions) Three months ended August 31, 2015 Net sales $ 630.5 $ 429.4 $ 1,059.9 Operating income excluding special charges 114.6 39.2 153.8 Income from unconsolidated operations 9.2 0.5 9.7 Three months ended August 31, 2014 Net sales $ 621.9 $ 420.9 $ 1,042.8 Operating income excluding special charges 122.1 37.5 159.6 Income from unconsolidated operations 8.1 0.7 8.8 Consumer Industrial Total (in millions) Nine months ended August 31, 2015 Net sales $ 1,850.6 $ 1,243.8 $ 3,094.4 Operating income excluding special charges 286.9 111.8 398.7 Income from unconsolidated operations 26.9 0.1 27.0 Nine months ended August 31, 2014 Net sales $ 1,852.2 $ 1,217.4 $ 3,069.6 Operating income excluding special charges 302.3 103.6 405.9 Income from unconsolidated operations 19.0 1.1 20.1 A reconciliation of operating income excluding special charges (which we use to measure segment profitability) to operating income is as follows: For the three months ended For the nine months ended (millions) August 31, 2015 August 31, 2014 August 31, 2015 August 31, 2014 Operating income $ 138.7 $ 157.3 $ 336.2 $ 403.6 Add: Special charges included in cost of goods sold 3.4 — 3.4 — Add: Other special charges (including a non-cash impairment charge in 2015) 11.7 2.3 59.1 2.3 Operating income excluding special charges $ 153.8 $ 159.6 $ 398.7 $ 405.9 |
Accounting Policies (Policies)
Accounting Policies (Policies) | 9 Months Ended |
Aug. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and notes required by United States generally accepted accounting principles (U.S. GAAP) for complete financial statements. In our opinion, the accompanying condensed consolidated financial statements contain all adjustments, which are of a normal and recurring nature, necessary to present fairly the financial position and the results of operations for the interim periods presented. The results of consolidated operations for the three and nine month periods ended August 31, 2015 are not necessarily indicative of the results to be expected for the full year. Historically, our net sales, net income and cash flow from operations are lower in the first half of the fiscal year and increase in the second half. The typical increase in net sales, net income and cash flow from operations in the second half of the year is largely due to the consumer business cycle in the U.S., where customers typically purchase more products in the fourth quarter due to the Thanksgiving and Christmas holiday seasons. For further information, refer to the consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended November 30, 2014 . |
Accounting and disclosure charges | Accounting and Disclosure Changes In July 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2015-11 Simplifying the Measurement of Inventory (Topic 330). This guidance is intended to simplify the subsequent measurement of inventories by replacing the current lower of cost or market test with a lower of cost and net realizable value test. The guidance applies only to inventories for which cost is determined by methods other than last-in first-out and the retail inventory method. It will be effective for the first quarter of our fiscal year ending November 30, 2018, and early adoption is permitted. We have not yet determined the impact from adoption of this new accounting pronouncement on our financial statements. In May 2014, the FASB issued Accounting Standards Update No. 2014-09 Revenue from Contracts with Customers (Topic 606). This guidance is intended to improve and converge with international standards the financial reporting requirements for revenue from contracts with customers. In August 2015, the FASB issued Accounting Standards Update No. 2015-14 Revenue from Contracts with Customers (Topic 606) Deferral of the Effective Date that provided for the adoption of the new standard for fiscal years beginning after December 15, 2017. As a result, the new standard will be effective for the first quarter of our fiscal year ending November 30, 2018. Early adoption is permitted for all entities, but not before the original effective date for public business entities (i.e., annual reporting periods beginning after December 15, 2016). We have not yet determined the impact from adoption of this new accounting pronouncement on our financial statements. |
Special Charges (Tables)
Special Charges (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Special Charges [Abstract] | |
Special charges rollforward [Table Text Block] | The following table outlines the major components of accrual balances and activity relating to the special charges associated with the EMEA reorganization plans undertaken in 2015 for the nine months ended August 31, 2015 (in millions): Employee severance and related benefits Other related costs Total Special charges $ 21.5 $ 2.2 $ 23.7 Cash paid (3.6 ) (0.7 ) (4.3 ) Impairment of fixed assets recorded — (1.1 ) (1.1 ) Impact of foreign exchange — 0.2 0.2 Balance as of August 31, 2015 $ 17.9 $ 0.6 $ 18.5 The following table outlines the major components of accrual balances and activity relating to the special charges associated with the EMEA reorganization plan undertaken in 2013 and 2014 for the nine months ended August 31, 2015 (in millions): Employee severance and related benefits Other related costs Total Balance as of November 30, 2014 $ 9.3 $ 0.7 $ 10.0 Cash paid (3.0 ) (0.6 ) (3.6 ) Impact of foreign exchange (1.5 ) (0.1 ) (1.6 ) Reversal into income (special charges) (1.9 ) — (1.9 ) Balance as of August 31, 2015 $ 2.9 $ — $ 2.9 The following table outlines the major components of accrual balances and activity relating to the special charges associated with our North American effectiveness initiative for the nine months ended August 31, 2015 (in millions): Employee severance and related benefits Other related costs Total Special charges $ 25.6 $ 2.1 $ 27.7 Cash paid (22.8 ) (1.5 ) (24.3 ) Balance as of August 31, 2015 $ 2.8 $ 0.6 $ 3.4 |
Special Charges Summary [Table Text Block] | The following is a summary of special charges recognized in the three and nine months ended August 31, 2015 and 2014 (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Special charges included in cost of goods sold $ 3.4 $ — $ 3.4 $ — Other special charges in the income statement (including a non-cash brand impairment charge of $9.6 million for the three and nine months ended August 31, 2015) 11.7 2.3 59.1 2.3 Total special charges $ 15.1 $ 2.3 $ 62.5 $ 2.3 |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Goodwill Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | The changes in the carrying amount of goodwill by segment for the nine months ended August 31, 2015 and 2014 were as follows (in millions): 2015 2014 Consumer Industrial Consumer Industrial Beginning of year $ 1,581.1 $ 141.1 $ 1,654.7 $ 143.8 Changes in purchase price allocation — — (6.1 ) — Goodwill acquired 125.8 37.9 — — Foreign currency fluctuations (80.6 ) (2.9 ) (23.5 ) 0.2 Balance as of August 31 $ 1,626.3 $ 176.1 $ 1,625.1 $ 144.0 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Fair values of derivative instruments on balance sheet | The following table discloses the fair values of derivative instruments on our balance sheet (in millions): As of August 31, 2015 Asset Derivatives Liability Derivatives Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Interest rate contracts Other current assets $ 150.0 $ 3.5 Other accrued liabilities $ 50.0 $ 0.2 Foreign exchange contracts Other current assets 143.7 5.1 Other accrued liabilities 81.2 1.2 Total $ 8.6 $ 1.4 As of August 31, 2014 Asset Derivatives Liability Derivatives Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Interest rate contracts Other current assets $ 100.0 $ 7.3 Foreign exchange contracts Other current assets 105.9 1.6 Other accrued liabilities $ 104.6 $ 0.8 Total $ 8.9 $ 0.8 As of November 30, 2014 Asset Derivatives Liability Derivatives Balance Sheet Location Notional Amount Fair Value Balance Sheet Location Notional Amount Fair Value Interest rate contracts Other current assets $ 100.0 $ 7.4 Foreign exchange contracts Other current assets 106.3 4.9 Other accrued liabilities $ 156.4 $ 1.4 Total $ 12.3 $ 1.4 |
Fair Value Hedging [Member] | |
Impact of fair value and cash flow hedges on other comprehensive income, accumulated other comprehensive income and income statement | The following tables disclose the impact of derivative instruments on our other comprehensive income (OCI), accumulated other comprehensive income (AOCI) and our income statement for the three and nine month periods ended August 31, 2015 and 2014 (in millions): Fair Value Hedges - Derivative Income statement location Expense For the three months ended August 31, 2015 For the three months ended August 31, 2014 For the nine months ended August 31, 2015 For the nine months ended August 31, 2014 Interest rate contracts Interest expense $ 1.2 $ 1.3 $ 3.7 $ 3.8 |
Cash Flow Hedging [Member] | |
Impact of fair value and cash flow hedges on other comprehensive income, accumulated other comprehensive income and income statement | Cash Flow Hedges – For the three months ended August 31, Derivative Gain or (Loss) recognized in OCI Income statement location Gain or (Loss) reclassified from AOCI 2015 2014 2015 2014 Interest rate contracts $ (0.2 ) $ — Interest expense $ — $ — Foreign exchange contracts 1.6 1.1 Cost of goods sold 2.1 (0.3 ) Total $ 1.4 $ 1.1 $ 2.1 $ (0.3 ) Cash Flow Hedges – For the nine months ended August 31, Derivative Gain or (Loss) recognized in OCI Income statement location Gain or (Loss) reclassified from AOCI 2015 2014 2015 2014 Interest rate contracts $ 0.8 $ — Interest expense $ (0.1 ) $ (0.1 ) Foreign exchange contracts 4.7 0.6 Cost of goods sold 5.4 (0.8 ) Total $ 5.5 $ 0.6 $ 5.3 $ (0.9 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The change in fair value of our Level 3 liabilities for the nine months ended August 31, 2015 is summarized as follows (in millions): Beginning of year Acquisition-Date Fair Value Settlements Post Acquisition Impact of foreign currency Balance as of August 31, 2015 Contingent consideration related to acquisition $ — $ 27.7 $ — $ 0.3 $ 0.6 $ 28.6 |
Assets and liabilities measured at fair value on recurring basis | Our population of financial assets and liabilities subject to fair value measurements on a recurring basis are as follows (in millions): August 31, 2015 Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 108.4 $ 108.4 $ — $ — Insurance contracts 102.0 — 102.0 — Bonds and other long-term investments 7.8 7.8 — — Interest rate derivatives 3.5 — 3.5 — Foreign currency derivatives 5.1 — 5.1 — Total $ 226.8 $ 116.2 $ 110.6 $ — Liabilities Foreign currency derivatives $ 1.2 $ — $ 1.2 $ — Interest rate derivatives 0.2 — 0.2 — Contingent consideration related to acquisition 28.6 — — 28.6 Total $ 30.0 $ — $ 1.4 $ 28.6 August 31, 2014 Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 93.8 $ 93.8 $ — $ — Insurance contracts 103.3 — 103.3 — Bonds and other long-term investments 8.2 8.2 — — Interest rate derivatives 7.3 — 7.3 — Foreign currency derivatives 1.6 — 1.6 — Total $ 214.2 $ 102.0 $ 112.2 $ — Liabilities Foreign currency derivatives $ 0.8 $ — $ 0.8 $ — November 30, 2014 Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 77.3 $ 77.3 $ — $ — Insurance contracts 104.5 — 104.5 — Bonds and other long-term investments 8.5 8.5 — — Interest rate derivatives 7.4 — 7.4 — Foreign currency derivatives 4.9 — 4.9 — Total $ 202.6 $ 85.8 $ 116.8 $ — Liabilities Foreign currency derivatives $ 1.4 $ — $ 1.4 $ — |
Employee Benefit and Retireme23
Employee Benefit and Retirement Plans (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of defined benefit plans disclosures | The following table presents the components of our pension expense of the defined benefit plans for the three months ended August 31, 2015 and 2014 (in millions): United States International 2015 2014 2015 2014 Defined benefit plans Service cost $ 5.9 $ 5.0 $ 2.1 $ 2.0 Interest costs 7.9 7.7 3.0 3.4 Expected return on plan assets (10.0 ) (9.7 ) (4.3 ) (4.7 ) Amortization of prior service costs — — — 0.1 Recognized net actuarial loss 4.2 3.0 1.5 1.2 Total pension expense $ 8.0 $ 6.0 $ 2.3 $ 2.0 The following table presents the components of our pension expense of the defined benefit plans for the nine months ended August 31, 2015 and 2014 (in millions): United States International 2015 2014 2015 2014 Defined benefit plans Service cost $ 17.7 $ 15.0 $ 6.2 $ 5.9 Interest costs 23.7 23.3 9.1 10.3 Expected return on plan assets (30.1 ) (29.1 ) (13.0 ) (14.1 ) Amortization of prior service costs — — 0.2 0.3 Recognized net actuarial loss 12.6 8.9 4.5 3.5 Total pension expense $ 23.9 $ 18.1 $ 7.0 $ 5.9 |
Schedule of costs of retirement plans | The following table presents the components of our other postretirement benefits expense (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Other postretirement benefits Service cost $ 0.8 $ 1.0 $ 2.4 $ 2.8 Interest costs 0.9 1.0 2.7 3.1 Total other postretirement expense $ 1.7 $ 2.0 $ 5.1 $ 5.9 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Share-based Compensation [Abstract] | |
Schedule of Assumptions Used [Table Text Block] | 2015 2014 Risk-free interest rates 0.1 - 2.0% 0.1 - 2.7% Dividend yield 2.1% 2.1% Expected volatility 18.8% 15.6 - 20.1% Expected lives (in years) 7.7 5.8 |
Stock Based Compensation in Selling, General and Administrative Expense | The following table sets forth the stock-based compensation expense recorded in selling, general and administrative (SG&A) expense (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Stock-based compensation expense $ 3.1 $ 3.0 $ 17.0 $ 15.1 |
Summary of Option Activity | The following is a summary of our stock option activity for the nine months ended August 31, 2015 and 2014 : 2015 2014 (shares in millions) Number of Shares Weighted- Average Exercise Price Number of Shares Weighted- Average Exercise Price Outstanding at beginning of period 4.8 $ 54.17 4.6 $ 47.73 Granted 0.8 76.32 1.1 71.12 Exercised (0.6 ) 42.77 (0.6 ) 35.93 Outstanding at end of the period 5.0 58.96 5.1 54.02 Exercisable at end of the period 3.3 $ 51.95 3.0 $ 45.55 |
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | The following is a summary of our RSU activity for the nine months ended August 31, 2015 and 2014 : 2015 2014 (shares in thousands) Number of Shares Weighted- Average Grant-Date Fair Value Number of Shares Weighted- Average Grant-Date Fair Value Outstanding at beginning of period 239 $ 67.60 161 $ 60.86 Granted 135 76.06 180 71.15 Vested (84 ) 71.30 (93 ) 62.57 Forfeited (12 ) 73.03 (5 ) 69.05 Outstanding at end of period 278 $ 70.35 243 $ 67.66 |
Schedule of Share Based Compensation, Performance Shares, Activity [Table Text Block] | The following is a summary of our LTPP activity for the nine months ended August 31, 2015 and 2014 : 2015 2014 (shares in thousands) Number of Shares Weighted- Average Grant-Date Fair Value Number of Shares Weighted- Average Grant-Date Fair Value Outstanding at beginning of period 231 $ 61.94 334 $ 51.73 Granted 96 74.02 105 69.04 Vested (65 ) 48.78 (118 ) 44.47 Forfeited (14 ) 70.92 (2 ) 44.47 Outstanding at end of period 248 $ 69.55 319 $ 60.15 |
Earnings Per Share and Stock 25
Earnings Per Share and Stock Issuances (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Earnings Per Share, Basic and Diluted [Abstract] | |
Reconciliation of average shares outstanding | The following table sets forth the reconciliation of average shares outstanding (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Average shares outstanding – basic 128.0 129.6 128.1 130.3 Effect of dilutive securities: Stock options/RSUs/LTPP 1.2 1.0 1.1 1.0 Average shares outstanding – diluted 129.2 130.6 129.2 131.3 |
Anti-dilutive securities not considered in earnings per share calculation | The following table sets forth the stock options and RSUs for the three and nine months ended August 31, 2015 and 2014 which were not considered in our earnings per share calculation since they were anti-dilutive (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Anti-dilutive securities 0.5 1.9 0.5 1.5 |
Common stock activity | The following table sets forth the common stock activity for the three and nine months ended August 31, 2015 and 2014 under the Company’s stock option and employee stock purchase plans and the repurchases of common stock under its stock repurchase program (in millions): Three months ended August 31, Nine months ended August 31, 2015 2014 2015 2014 Shares issued under stock option, employee stock purchase plans and RSUs 0.2 0.1 0.6 0.7 Shares repurchased in connection with the stock repurchase program — 0.7 1.0 2.6 |
Accumulated Other Comprehensi26
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of accumulated other comprehensive income (loss) | The following table sets forth the components of accumulated other comprehensive income (loss), net of tax where applicable (in millions): August 31, 2015 August 31, 2014 November 30, 2014 Foreign currency translation adjustment $ (152.3 ) $ 126.8 $ 32.1 Unrealized gain on foreign currency exchange contracts 2.1 0.3 3.0 Fair value of interest rate swaps (excluding settled interest rate swaps) 0.5 — — Unamortized value of settled interest rate swaps 2.8 2.4 2.9 Pension and other postretirement costs (206.7 ) (159.1 ) (224.0 ) Accumulated other comprehensive loss $ (353.6 ) $ (29.6 ) $ (186.0 ) |
Comprehensive Income (Loss) Note [Text Block] | The following table sets forth the amounts reclassified from accumulated other comprehensive income (loss) and into consolidated net income for the three and nine months ended August 31, 2015 and 2014 (in millions): Three months ended August 31, Nine months ended August 31, Affected Line Items in the Condensed Consolidated Income Statement Accumulated Other Comprehensive Income (Loss) Components 2015 2014 2015 2014 Gains (losses) on cash flow hedges: Interest rate derivatives $ — $ — $ (0.1 ) $ (0.1 ) Interest expense Foreign exchange contracts 2.1 (0.3 ) 5.4 (0.8 ) Cost of goods sold Total before tax 2.1 (0.3 ) 5.3 (0.9 ) Tax effect (0.6 ) 0.1 (1.2 ) 0.3 Income taxes Net, after tax $ 1.5 $ (0.2 ) $ 4.1 $ (0.6 ) Amortization of pension and postretirement benefit adjustments: Amortization of prior service costs (1) $ — $ 0.1 $ 0.2 $ 0.3 SG&A expense/ Cost of goods sold Amortization of net actuarial losses (1) 5.7 4.2 17.1 12.4 SG&A expense/ Cost of goods sold Total before tax 5.7 4.3 17.3 12.7 Tax effect (1.9 ) (1.4 ) (5.9 ) (4.3 ) Income taxes Net, after tax $ 3.8 $ 2.9 $ 11.4 $ 8.4 (1) This accumulated other comprehensive income component is included in the computation of total pension expense (refer to note 7 for additional details). |
Business Segments (Tables)
Business Segments (Tables) | 9 Months Ended |
Aug. 31, 2015 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | |
Reconciliation of Revenue from Segments to Consolidated [Table Text Block] | A reconciliation of operating income excluding special charges (which we use to measure segment profitability) to operating income is as follows: For the three months ended For the nine months ended (millions) August 31, 2015 August 31, 2014 August 31, 2015 August 31, 2014 Operating income $ 138.7 $ 157.3 $ 336.2 $ 403.6 Add: Special charges included in cost of goods sold 3.4 — 3.4 — Add: Other special charges (including a non-cash impairment charge in 2015) 11.7 2.3 59.1 2.3 Operating income excluding special charges $ 153.8 $ 159.6 $ 398.7 $ 405.9 |
Business segments | Consumer Industrial Total (in millions) Three months ended August 31, 2015 Net sales $ 630.5 $ 429.4 $ 1,059.9 Operating income excluding special charges 114.6 39.2 153.8 Income from unconsolidated operations 9.2 0.5 9.7 Three months ended August 31, 2014 Net sales $ 621.9 $ 420.9 $ 1,042.8 Operating income excluding special charges 122.1 37.5 159.6 Income from unconsolidated operations 8.1 0.7 8.8 Consumer Industrial Total (in millions) Nine months ended August 31, 2015 Net sales $ 1,850.6 $ 1,243.8 $ 3,094.4 Operating income excluding special charges 286.9 111.8 398.7 Income from unconsolidated operations 26.9 0.1 27.0 Nine months ended August 31, 2014 Net sales $ 1,852.2 $ 1,217.4 $ 3,069.6 Operating income excluding special charges 302.3 103.6 405.9 Income from unconsolidated operations 19.0 1.1 20.1 |
Acquisition - Additional Inform
Acquisition - Additional Information (Detail) € in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||
Aug. 31, 2015USD ($) | Aug. 31, 2015USD ($) | Feb. 28, 2015EUR (€) | Aug. 31, 2015EUR (€) | Aug. 31, 2015USD ($) | May. 31, 2015EUR (€) | May. 31, 2015USD ($) | Nov. 30, 2014USD ($) | Aug. 31, 2014USD ($) | |
Business Acquisition [Line Items] | |||||||||
Business acquisition valuation of assets allocated to goodwill | $ 1,802.4 | $ 1,722.2 | $ 1,769.1 | ||||||
Business Combination, Acquisition Related Costs | $ 0.8 | $ 2.8 | |||||||
Contingent consideration related to acquisition | 28.6 | $ 27.7 | |||||||
Brand Aromatics [Member] | |||||||||
Business Acquisition [Line Items] | |||||||||
Business Combination, Consideration Transferred | 62.5 | ||||||||
Business Acquisition, Pro Forma Revenue | 30 | ||||||||
Business acquisition valuation of assets allocated to goodwill | 37.9 | ||||||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 7 | 11.8 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Tangible Assets, Total | 5.1 | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 19.5 | ||||||||
Stubbs [Member] [Member] | |||||||||
Business Acquisition [Line Items] | |||||||||
Business Combination, Consideration Transferred | 99.4 | ||||||||
Business Acquisition, Pro Forma Revenue | 30 | ||||||||
Business acquisition valuation of assets allocated to goodwill | 80.6 | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Tangible Assets, Total | 5.4 | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | 12.4 | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 25.8 | ||||||||
D&A [Member] | |||||||||
Business Acquisition [Line Items] | |||||||||
Cash Acquired from Acquisition | 2.8 | ||||||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | € | € 35 | ||||||||
Business Acquisition, Pro Forma Revenue | € | € 50 | ||||||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 49 | ||||||||
Business acquisition valuation of assets allocated to goodwill | 45.2 | ||||||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 15.3 | ||||||||
Contingent consideration related to acquisition | € 25 | $ 27.7 | |||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Tangible Assets, Total | 7.2 | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 24.3 |
Special Charges (Details)
Special Charges (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 24 Months Ended | |||
Aug. 31, 2015 | Feb. 28, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | Nov. 30, 2014 | |
Special Charges [Line Items] | ||||||
Special Charges | $ 11.7 | $ 2.3 | $ 59.1 | $ 2.3 | ||
Special charges foreign exchange impact | (1.6) | |||||
Special charges reversal into income | 1.9 | (1.9) | ||||
Special charges liability | 2.9 | 2.9 | $ 10 | |||
Special charges cash paid | (3.6) | |||||
Consumer [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 14.7 | 49.6 | 1 | |||
Industrial [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 0.4 | 12.9 | 1.3 | |||
INDIA | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 13 | |||||
EMEA and North America [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 2.1 | |||||
North America [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 1.3 | $ 24.5 | 27.7 | |||
Expected cost savings special charges | 10 | |||||
Special charges liability | 3.4 | 3.4 | ||||
Special charges cash paid | (24.3) | |||||
EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 0.8 | $ 3.9 | 23.7 | |||
Special charges impairment | (1.1) | |||||
Special charges foreign exchange impact | 0.2 | |||||
Special charges liability | 18.5 | 18.5 | ||||
Special charges cash paid | (4.3) | |||||
EMEA 2013 [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 27.1 | |||||
Cost of Goods, Total [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 3.4 | 0 | 3.4 | 0 | ||
Selling, General and Administrative Expenses [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 11.7 | 2.3 | 59.1 | 2.3 | ||
Total plan expenses [Member] | INDIA | Minimum [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 2 | |||||
Total plan expenses [Member] | INDIA | Maximum [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 4 | |||||
Total plan expenses [Member] | North America [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 28 | |||||
Total plan expenses [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 25 | |||||
Employee Severance Charges [Member] | ||||||
Special Charges [Line Items] | ||||||
Special charges foreign exchange impact | 1.5 | |||||
Special charges liability | 2.9 | 2.9 | 9.3 | |||
Special charges cash paid | (3) | |||||
Employee Severance Charges [Member] | North America [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 25.6 | |||||
Special charges liability | 2.8 | 2.8 | ||||
Special charges cash paid | (22.8) | |||||
Employee Severance Charges [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 21.5 | |||||
Special charges foreign exchange impact | 0 | |||||
Special charges liability | 17.9 | 17.9 | ||||
Special charges cash paid | (3.6) | |||||
Other exit costs [Member] | ||||||
Special Charges [Line Items] | ||||||
Special charges foreign exchange impact | 0.1 | |||||
Special charges liability | 0 | 0 | $ 0.7 | |||
Special charges cash paid | (0.6) | |||||
Other exit costs [Member] | North America [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 2.1 | |||||
Special charges liability | 0.6 | 0.6 | ||||
Special charges cash paid | 1.5 | |||||
Other exit costs [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 2.2 | |||||
Special charges impairment | (1.1) | |||||
Special charges foreign exchange impact | 0.2 | |||||
Special charges liability | 0.6 | 0.6 | ||||
Special charges cash paid | (0.7) | |||||
Annual Cost Savings [Member] | North America [Member] | ||||||
Special Charges [Line Items] | ||||||
Expected cost savings special charges | 25 | |||||
Annual Cost Savings [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Expected cost savings special charges | 16 | |||||
Annual Cost Savings [Member] | EMEA 2013 [Member] | ||||||
Special Charges [Line Items] | ||||||
Expected cost savings special charges | 10 | |||||
2016 Annual Cost Savings [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Expected cost savings special charges | 3 | |||||
Total plan cash expenses [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 24 | |||||
Total plan noncash expenses [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | 1 | |||||
2015 cash expenditures [Member] | EMEA [Member] | ||||||
Special Charges [Line Items] | ||||||
Expected cost savings special charges | 13 | |||||
total special charges [Member] | ||||||
Special Charges [Line Items] | ||||||
Special Charges | $ 15.1 | $ 2.3 | $ 62.5 | $ 2.3 |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Aug. 31, 2015 | Aug. 31, 2014 | Nov. 30, 2014 | Nov. 30, 2013 | |
Goodwill [Line Items] | ||||
Goodwill | $ 1,802.4 | $ 1,769.1 | $ 1,722.2 | |
Consumer Segment [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill | 1,626.3 | 1,625.1 | 1,581.1 | $ 1,654.7 |
Goodwill, Purchase Accounting Adjustments | 0 | (6.1) | ||
Goodwill, Acquired During Period | 125.8 | 0 | ||
Goodwill, Translation Adjustments | (80.6) | (23.5) | ||
Industrial Segment [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill | 176.1 | 144 | $ 141.1 | $ 143.8 |
Goodwill, Purchase Accounting Adjustments | 0 | 0 | ||
Goodwill, Acquired During Period | 37.9 | 0 | ||
Goodwill, Translation Adjustments | $ (2.9) | $ 0.2 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Aug. 31, 2015 | May. 31, 2015 | Aug. 31, 2015 | |
Debt Instrument [Line Items] | |||
Debt Instrument, Anticipated Issuance, Next Twelve months | $ 100 | $ 100 | |
Derivative, Average Fixed Interest Rate | 2.25% | 2.25% | |
Maximum time frame for foreign exchange contracts, months | 15 months | ||
Amount of accumulated other comprehensive income expected to be reclassified to earnings in next 12 months | $ 3.2 | $ 3.2 | |
Current Credit Facility [Member] | Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 0.75% | ||
Line Of Credit Facility, Duration Of Agreement | 5 years | ||
Long-term Line of Credit | $ 750 | $ 600 | 750 |
Interest Rate Contract [Member] | Other Current Assets [Member] | |||
Debt Instrument [Line Items] | |||
Derivative, Notional Amount | 100 | $ 100 | |
Increase (Decrease) in Derivative Assets and Liabilities | $ 50 | $ 50 |
Financial Instruments - Fair Va
Financial Instruments - Fair Value of Derivative Instruments on Balance Sheet (Detail) - USD ($) $ in Millions | Aug. 31, 2015 | Nov. 30, 2014 | Aug. 31, 2014 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Total derivative assets, Fair Value | $ 8.6 | $ 12.3 | $ 8.9 |
Total derivative liabilities, Fair Value | 1.4 | 1.4 | 0.8 |
Interest Rate Contract [Member] | Other Current Assets [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate contracts, Fair Value | 3.5 | 7.4 | 7.3 |
Derivative Asset, Notional Amount | 150 | 100 | 100 |
Foreign Exchange Contract [Member] | Other Current Assets [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative Asset, Notional Amount | 143.7 | 106.3 | 105.9 |
Foreign Currency Fair Value Hedge Derivative at Fair Value, Net | 5.1 | 4.9 | 1.6 |
Foreign Exchange Contract [Member] | Other accrued liabilities [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Foreign Currency Fair Value Hedge Derivative at Fair Value, Net | 1.2 | 1.4 | 0.8 |
Derivative Liability, Notional Amount | $ 81.2 | $ 156.4 | $ 104.6 |
Financial Instruments - Impact
Financial Instruments - Impact of Fair Value Hedges on Other Comprehensive Income, Accumulated Other Comprehensive Income and Income Statement (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest expense | $ 13.6 | $ 12.4 | $ 39.5 | $ 37.3 |
Interest Expense [Member] | Fair Value Hedging [Member] | Interest Rate Contract [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest expense | $ 1.2 | $ 1.3 | $ 3.7 | $ 3.8 |
Financial Instruments-Impact of
Financial Instruments-Impact of Cash Flow Hedges on Other Comprehensive Income, Accumulated Other Comprehensive Income and Income Statement (Details) - Cash Flow Hedging [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) recognized in OCI | $ 1.4 | $ 1.1 | $ 5.5 | $ 0.6 |
Gain or (Loss) reclassified from AOCI | 2.1 | (0.3) | 5.3 | (0.9) |
Interest Rate Contract [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) recognized in OCI | (0.2) | 0 | 0.8 | 0 |
Interest Rate Contract [Member] | Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) reclassified from AOCI | 0 | 0 | (0.1) | (0.1) |
Foreign Exchange Contract [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) recognized in OCI | 1.6 | 1.1 | 4.7 | 0.6 |
Foreign Exchange Contract [Member] | Cost of Sales [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain or (Loss) reclassified from AOCI | $ 2.1 | $ (0.3) | $ 5.4 | $ (0.8) |
Fair Value Measurements-Assets
Fair Value Measurements-Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Millions | Aug. 31, 2015 | May. 31, 2015 | Nov. 30, 2014 | Aug. 31, 2014 |
Liabilities [Abstract] | ||||
Contingent consideration related to acquisition | $ 28.6 | $ 27.7 | ||
Recurring [Member] | ||||
Assets [Abstract] | ||||
Cash and cash equivalents | 108.4 | $ 77.3 | $ 93.8 | |
Insurance contracts | 102 | 104.5 | 103.3 | |
Bonds and other long-term investments | 7.8 | 8.5 | 8.2 | |
Interest rate derivatives | 3.5 | 7.4 | 7.3 | |
Foreign currency derivatives | 5.1 | 4.9 | 1.6 | |
Total assets | 226.8 | 202.6 | 214.2 | |
Liabilities [Abstract] | ||||
Foreign currency derivatives | 1.2 | 1.4 | 0.8 | |
Interest rate derivatives | 0.2 | |||
Contingent consideration related to acquisition | 28.6 | |||
Total liabilities | 30 | |||
Recurring [Member] | Level 1 [Member] | ||||
Assets [Abstract] | ||||
Cash and cash equivalents | 108.4 | 77.3 | 93.8 | |
Insurance contracts | 0 | 0 | 0 | |
Bonds and other long-term investments | 7.8 | 8.5 | 8.2 | |
Interest rate derivatives | 0 | 0 | 0 | |
Foreign currency derivatives | 0 | 0 | 0 | |
Total assets | 116.2 | 85.8 | 102 | |
Liabilities [Abstract] | ||||
Foreign currency derivatives | 0 | 0 | 0 | |
Interest rate derivatives | 0 | |||
Total liabilities | 0 | |||
Recurring [Member] | Level 2 [Member] | ||||
Assets [Abstract] | ||||
Cash and cash equivalents | 0 | 0 | 0 | |
Insurance contracts | 102 | 104.5 | 103.3 | |
Bonds and other long-term investments | 0 | 0 | 0 | |
Interest rate derivatives | 3.5 | 7.4 | 7.3 | |
Foreign currency derivatives | 5.1 | 4.9 | 1.6 | |
Total assets | 110.6 | 116.8 | 112.2 | |
Liabilities [Abstract] | ||||
Foreign currency derivatives | 1.2 | 1.4 | 0.8 | |
Interest rate derivatives | 0.2 | |||
Total liabilities | 1.4 | |||
Recurring [Member] | Level 3 [Member] | ||||
Assets [Abstract] | ||||
Cash and cash equivalents | 0 | 0 | 0 | |
Insurance contracts | 0 | 0 | 0 | |
Bonds and other long-term investments | 0 | 0 | 0 | |
Interest rate derivatives | 0 | 0 | 0 | |
Foreign currency derivatives | 0 | 0 | 0 | |
Total assets | 0 | 0 | 0 | |
Liabilities [Abstract] | ||||
Foreign currency derivatives | 0 | $ 0 | $ 0 | |
Interest rate derivatives | 0 | |||
Contingent consideration related to acquisition | 28.6 | |||
Total liabilities | $ 28.6 |
Fair Value Measurements Changes
Fair Value Measurements Changes in Level 3 Liabilities (Details) $ in Millions | 9 Months Ended |
Aug. 31, 2015USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Post acquisition | $ 0.3 |
Impact of foreign currency | 0.6 |
Contingent consideration related to acquisition, ending balance | $ 28.6 |
Employee Benefit And Retireme37
Employee Benefit And Retirement Plans-Additional Information (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | Nov. 30, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |||
Pension Contributions | $ 12.6 | $ 14 | $ 16.8 |
Employee Benefit And Retireme38
Employee Benefit And Retirement Plans - Components of Pension Expense of Defined benefit plans (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
United States [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 5.9 | $ 5 | $ 17.7 | $ 15 |
Interest costs | 7.9 | 7.7 | 23.7 | 23.3 |
Expected return on plan assets | (10) | (9.7) | (30.1) | (29.1) |
Amortization of prior service costs | 0 | 0 | 0 | 0 |
Recognized net actuarial loss | 4.2 | 3 | 12.6 | 8.9 |
Total pension expense | 8 | 6 | 23.9 | 18.1 |
International [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 2.1 | 2 | 6.2 | 5.9 |
Interest costs | 3 | 3.4 | 9.1 | 10.3 |
Expected return on plan assets | (4.3) | (4.7) | (13) | (14.1) |
Amortization of prior service costs | 0 | 0.1 | 0.2 | 0.3 |
Recognized net actuarial loss | 1.5 | 1.2 | 4.5 | 3.5 |
Total pension expense | $ 2.3 | $ 2 | $ 7 | $ 5.9 |
Employee Benefit and Retireme39
Employee Benefit and Retirement Plans-Components of Other Postretirement Benefit Expenses (Details) - Other postretirement benefits [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||||
Service cost | $ 0.8 | $ 1 | $ 2.4 | $ 2.8 |
Interest costs | 0.9 | 1 | 2.7 | 3.1 |
Total other postretirement expense | $ 1.7 | $ 2 | $ 5.1 | $ 5.9 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) $ in Millions | 9 Months Ended | |
Aug. 31, 2015USD ($)award_type | Aug. 31, 2014USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Stock-based Compensation Award Types | award_type | 3 | |
Intrinsic value for all options outstanding | $ 101.8 | |
Intrinsic value for exercisable options | 89.9 | |
Total Intrinsic Value of all options exercised | $ 19.1 | $ 20.9 |
Stock-Based Compensation-Sellin
Stock-Based Compensation-Selling, General and Administrative Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Share-based Compensation [Abstract] | ||||
Total stock-based compensation expense | $ 3.1 | $ 3 | $ 17 | $ 15.1 |
Stock-Based Compensation-Range
Stock-Based Compensation-Range of Assumptions for Various Stock Compensation Plans (Details) | 9 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Share-based Compensation [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 2.10% | 2.10% |
Risk-free interest rate, minimum | 0.10% | 0.10% |
Risk-free interest rate, maximum | 2.00% | 2.70% |
Expected volatility, minimum | 18.80% | 15.60% |
Expected volatility, maximum | 18.80% | 20.10% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 7 years 256 days | 5 years 292 days |
Stock-Based Compensation-Summar
Stock-Based Compensation-Summary of Stock Option Activity (Details) - $ / shares shares in Millions | 9 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 12.52 | $ 9.48 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding at end of period, Number of Shares | 5 | 5.1 |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 0.8 | 1.1 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 76.32 | $ 71.12 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding at beginning of period, Number of Shares | 4.8 | 4.6 |
Exercised, Number of Shares | 0.6 | 0.6 |
Excercisable at end of the period, Number of Shares | 3.3 | 3 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ||
Outstanding at beginning of period, Weighted-Average Exercise Price | $ 54.17 | $ 47.73 |
Exercised, Weighted-Average Exercise Price | 42.77 | 35.93 |
Outstanding at end of period, Weighted-Average Exercise Price | 58.96 | 54.02 |
Exercisable at end of the period, Weighted-Average Exercise Price | $ 51.95 | $ 45.55 |
Stock-Based Compensation-Summ44
Stock-Based Compensation-Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares shares in Thousands | 9 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Outstanding at beginning of period, Number of Shares | 239 | 161 |
Granted, Number of Shares | 135 | 180 |
Vested, Number of Shares | 84 | 93 |
Forfeited, Number of Shares | 12 | 5 |
Outstanding at end of period, Number of Shares | 278 | 243 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Outstanding at beginning of period, Weighted-Average Grant-Date Fair Value | $ 67.60 | $ 60.86 |
Granted, Weighted-Average Grant-Date Fair Value | 76.06 | 71.15 |
Vested, Weighted-Average Grant-Date Fair Value | 71.30 | 62.57 |
Forfeited, Weighted-Average Grant-Date Fair Value | 73.03 | 69.05 |
Outstanding at end of period, Weighted-Average Grant-Date Fair Value | $ 70.35 | $ 67.66 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of LTPP awards (Details) - Performance Shares [Member] - $ / shares shares in Thousands | 9 Months Ended | |
Aug. 31, 2015 | Aug. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Outstanding at beginning of period, Number of Shares | 231 | 334 |
Granted, Number of Shares | 96 | 105 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (65) | (118) |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | (14) | (2) |
Outstanding at end of period, Number of Shares | 248 | 319 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Outstanding at beginning of period, Weighted-Average Grant-Date Fair Value | $ 61.94 | $ 51.73 |
Granted, Weighted-Average Grant-Date Fair Value | 74.02 | 69.04 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 48.78 | 44.47 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 70.92 | 44.47 |
Outstanding at end of period, Weighted-Average Grant-Date Fair Value | $ 69.55 | $ 60.15 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Examination [Line Items] | ||||
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | $ 0.8 | $ 0.8 | ||
Effective Income Tax Rate Reconciliation, Tax Credit, Amount | $ 17.2 | |||
Foreign Tax Authority [Member] | ||||
Income Tax Examination [Line Items] | ||||
Decrease resulting from prior period tax positions | 5.8 | |||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ 8.6 | |||
Change related to prior year adjustments | 0.4 | 1.4 | 2.2 | |
Change in enacted tax rate | 0.7 | 3.7 | 6.8 | |
Domestic Tax Authority [Member] | ||||
Income Tax Examination [Line Items] | ||||
Change related to prior year adjustments | 1.4 | |||
Effective Income Tax Rate Reconciliation, Tax Credit, Amount | $ 1.1 | $ 6.2 | $ 18.3 | $ 5.5 |
Earnings Per Share and Stock 47
Earnings Per Share and Stock Issuances-Reconciliation of Average Shares Outstanding (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Earnings Per Share, Basic and Diluted [Abstract] | ||||
Average shares outstanding - basic (shares) | 128 | 129.6 | 128.1 | 130.3 |
Effect of dilutive securities: [Abstract] | ||||
Stock options/Restricted Stock Units (RSUs)/MTIP | 1.2 | 1 | 1.1 | 1 |
Average shares outstanding-diluted | 129.2 | 130.6 | 129.2 | 131.3 |
Earnings Per Share and Stock 48
Earnings Per Share and Stock Issuances-Antidilutive Securities not Considered in Earnings Per Share Calculation (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Earnings Per Share, Basic and Diluted [Abstract] | ||||
Anti-dilutive securities | 0.5 | 1.9 | 0.5 | 1.5 |
Earnings Per Share and Stock 49
Earnings Per Share and Stock Issuances-Common Stock Activity (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | Mar. 25, 2015 | |
Employee Stock Purchase Plan [Line Items] | |||||
Stock Repurchase Program, Authorized Amount | $ 400 | $ 400 | $ 600 | ||
Stock Options And Restricted Stock Units [Member] | |||||
Employee Stock Purchase Plan [Line Items] | |||||
Shares issued under stock option, employee stock purchase plans and RSUs | 0.2 | 0.1 | 0.6 | 0.7 | |
Share Repurchase Program [Member] | |||||
Employee Stock Purchase Plan [Line Items] | |||||
Stock Repurchased During Period, Shares | 0 | 0.7 | 1 | 2.6 |
Earnings Per Share and Stock 50
Earnings Per Share and Stock Issuances-Additional Information (Details) - USD ($) $ in Millions | Aug. 31, 2015 | Mar. 25, 2015 |
Earnings Per Share, Basic and Diluted [Abstract] | ||
Stock repurchase program, remaining authorized repurchase amount | $ 43 | |
Stock Repurchase Program, Authorized Amount | $ 400 | $ 600 |
Accumulated Other Comprehensi51
Accumulated Other Comprehensive Income-Components of Accumulated Other Comprehensive Income, Net of Tax (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | Nov. 30, 2014 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | $ 2.1 | $ (0.3) | $ 5.3 | $ (0.9) | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Tax | (0.6) | 0.1 | (1.2) | 0.3 | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 1.5 | (0.2) | 4.1 | (0.6) | ||
Other Comprehensive (Income) Loss, Amortization Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Prior Service Cost (Credit), before Tax | [1] | 0 | 0.1 | 0.2 | 0.3 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | [1] | 5.7 | 4.2 | 17.1 | 12.4 | |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax | 5.7 | 4.3 | 17.3 | 12.7 | ||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net (Gain) Loss, Tax | (1.9) | (1.4) | (5.9) | (4.3) | ||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net (Gain) Loss, Net of Tax | 3.8 | 2.9 | 11.4 | 8.4 | ||
Foreign currency translation adjustment | (152.3) | 126.8 | (152.3) | 126.8 | $ 32.1 | |
Unrealized gain (loss) on foreign currency exchange contracts | 2.1 | 0.3 | 2.1 | 0.3 | 3 | |
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | 0.5 | 0 | 0.5 | 0 | ||
Unamoritzed value of settled interest rate swaps | 2.8 | 2.4 | 2.8 | 2.4 | 2.9 | |
Pension and other postretirement costs | (206.7) | (159.1) | (206.7) | (159.1) | (224) | |
Accumulated other comprehensive income | (353.6) | (29.6) | (353.6) | (29.6) | $ (186) | |
Cash Flow Hedging [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 2.1 | (0.3) | 5.3 | (0.9) | ||
Foreign Exchange Contract [Member] | Cash Flow Hedging [Member] | Cost of Sales [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 2.1 | (0.3) | 5.4 | (0.8) | ||
Interest Rate Contract [Member] | Cash Flow Hedging [Member] | Interest Expense [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | $ 0 | $ 0 | $ (0.1) | $ (0.1) | ||
[1] | This accumulated other comprehensive income component is included in the computation of total pension expense (refer to note 7 for additional details). |
Business Segments - Additional
Business Segments - Additional Information (Detail) | 9 Months Ended |
Aug. 31, 2015segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Business Segments (Detail)
Business Segments (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2015 | Aug. 31, 2014 | Aug. 31, 2015 | Aug. 31, 2014 | |
Segment Reporting Information [Line Items] | ||||
Special Charges | $ 11.7 | $ 2.3 | $ 59.1 | $ 2.3 |
Net sales | 1,059.9 | 1,042.8 | 3,094.4 | 3,069.6 |
Income from unconsolidated operations | 9.7 | 8.8 | 27 | 20.1 |
Operating income excluding special charges | 153.8 | 159.6 | 398.7 | 405.9 |
Consumer [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Special Charges | 14.7 | 49.6 | 1 | |
Net sales | 630.5 | 621.9 | 1,850.6 | 1,852.2 |
Income from unconsolidated operations | 9.2 | 8.1 | 26.9 | 19 |
Operating income excluding special charges | 114.6 | 122.1 | 286.9 | 302.3 |
Industrial [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Special Charges | 0.4 | 12.9 | 1.3 | |
Net sales | 429.4 | 420.9 | 1,243.8 | 1,217.4 |
Income from unconsolidated operations | 0.5 | 0.7 | 0.1 | 1.1 |
Operating income excluding special charges | 39.2 | 37.5 | 111.8 | 103.6 |
Selling, General and Administrative Expenses [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Special Charges | 11.7 | 2.3 | 59.1 | 2.3 |
Cost of Goods, Total [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Special Charges | $ 3.4 | $ 0 | $ 3.4 | $ 0 |