Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Jan. 31, 2016 | Jun. 30, 2015 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | UIS | ||
Entity Registrant Name | UNISYS CORP | ||
Entity Central Index Key | 746,838 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 49,946,161 | ||
Entity Public Float | $ 994.4 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Revenue | |||||
Services | $ 2,605.6 | $ 2,785.7 | [1] | $ 2,850 | [1] |
Technology | 409.5 | 570.7 | [1] | 606.5 | [1] |
Total revenue | 3,015.1 | 3,356.4 | 3,456.5 | ||
Cost of revenue: | |||||
Services | 2,306.7 | 2,337.8 | [1] | 2,351 | [1] |
Technology | 167.5 | 240.8 | [1] | 257.1 | [1] |
Cost of Revenue, Total | 2,474.2 | 2,578.6 | 2,608.1 | ||
Selling, general and administrative expenses | 519.6 | 554.1 | 559.4 | ||
Research and development expenses | 76.4 | 68.8 | 69.5 | ||
Costs and Expenses, Total | 3,070.2 | 3,201.5 | 3,237 | ||
Operating profit (loss) | (55.1) | 154.9 | 219.5 | ||
Interest expense | 11.9 | 9.2 | 9.9 | ||
Other income (expense), net | 8.2 | (0.2) | 9.8 | ||
Income (loss) before income taxes | (58.8) | 145.5 | 219.4 | ||
Provision for income taxes | 44.4 | 86.2 | 99.3 | ||
Consolidated net income (loss) | (103.2) | 59.3 | 120.1 | ||
Net income attributable to noncontrolling interests | 6.7 | 12.6 | 11.6 | ||
Net income (loss) attributable to Unisys Corporation | (109.9) | 46.7 | 108.5 | ||
Preferred stock dividends | 2.7 | 16.2 | |||
Net income (loss) attributable to Unisys Corporation common shareholders | $ (109.9) | $ 44 | $ 92.3 | ||
Earnings (loss) per common share attributable to Unisys Corporation | |||||
Basic | $ (2.20) | $ 0.89 | $ 2.10 | ||
Diluted | $ (2.20) | $ 0.89 | $ 2.08 | ||
[1] | Changed to conform to the current-year presentation. See Note 15. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Consolidated net income (loss) | $ (103.2) | $ 59.3 | $ 120.1 |
Other comprehensive income | |||
Foreign currency translation | (100.8) | (66.3) | (40.1) |
Postretirement adjustments, net of tax of $18.1 in 2015, $(42.5) in 2014 and $14.6 in 2013 | 265.7 | (756.8) | 853.8 |
Total other comprehensive income (loss) | 164.9 | (823.1) | 813.7 |
Comprehensive income (loss) | 61.7 | (763.8) | 933.8 |
Comprehensive income (loss) attributable to noncontrolling interests | (3.5) | 30.5 | (25.1) |
Comprehensive income (loss) attributable to Unisys Corporation | $ 58.2 | $ (733.3) | $ 908.7 |
Consolidated Statements of Com4
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Postretirement adjustments, tax | $ 18.1 | $ (42.5) | $ 14.6 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets | ||
Cash and cash equivalents | $ 365.2 | $ 494.3 |
Accounts and notes receivable, net | 581.6 | 619.3 |
Inventories: | ||
Parts and finished equipment | 20.9 | 22.2 |
Work in process and materials | 22.9 | 24.5 |
Deferred income taxes | 24.1 | 16.4 |
Prepaid expenses and other current assets | 121 | 140.6 |
Total | 1,135.7 | 1,317.3 |
Properties | 876.6 | 1,059.4 |
Less - Accumulated depreciation and amortization | 722.8 | 890.7 |
Properties, net | 153.8 | 168.7 |
Outsourcing assets, net | 182 | 150.9 |
Marketable software, net | 138.5 | 144.1 |
Prepaid postretirement assets | 45.1 | 19.9 |
Deferred income taxes | 114.5 | 154.6 |
Goodwill | 177.4 | 183.9 |
Other long-term assets | 196.2 | 209.3 |
Total | 2,143.2 | 2,348.7 |
Current liabilities | ||
Notes payable | 65.8 | |
Current maturities of long-term debt | 11 | 1.8 |
Accounts payable | 219.3 | 262.5 |
Deferred revenue | 335.1 | 348.3 |
Other accrued liabilities | 339.3 | 385.1 |
Total | 970.5 | 997.7 |
Long-term debt | 235.5 | 222.2 |
Long-term postretirement liabilities | 2,111.3 | 2,369.9 |
Long-term deferred revenue | 123.3 | 119.5 |
Other long-term liabilities | $ 81.2 | $ 91.8 |
Commitments and contingencies | ||
Deficit | ||
Common stock, par value $.01 per share (100.0 million shares authorized; 52.6 million shares and 52.4 million shares issued) | $ 0.5 | $ 0.5 |
Accumulated deficit | (1,845.7) | (1,735.8) |
Treasury stock, at cost | (100.1) | (99.6) |
Paid-in capital | 4,500.9 | 4,488.3 |
Accumulated other comprehensive loss | (3,945.3) | (4,113.4) |
Total Unisys stockholders' deficit | (1,389.7) | (1,460) |
Noncontrolling interests | 11.1 | 7.6 |
Total deficit | (1,378.6) | (1,452.4) |
Total | $ 2,143.2 | $ 2,348.7 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 52,600,000 | 52,400,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities | |||
Consolidated net income (loss) | $ (103.2) | $ 59.3 | $ 120.1 |
Add (deduct) items to reconcile consolidated net income (loss) to net cash provided by operating activities: | |||
Foreign currency transaction losses | 8.4 | 7.4 | 6.5 |
Employee stock compensation | 9.4 | 10.4 | 12.5 |
Depreciation and amortization of properties | 57.5 | 52 | 46.7 |
Depreciation and amortization of outsourcing assets | 55.7 | 58.1 | 53.5 |
Amortization of marketable software | 66.9 | 58.5 | 59.4 |
Other non-cash operating activities | 4.6 | 7.8 | (0.6) |
Disposal of capital assets | 9.7 | 1.8 | 2 |
(Gain) loss on sale of businesses and assets | (0.7) | 1.5 | |
Pension contributions | (148.3) | (183.4) | (147.2) |
Pension expense | 108.7 | 73.8 | 93.5 |
Decrease in deferred income taxes, net | 1.2 | 24.8 | 29.4 |
Increase in receivables, net | (11.5) | (14.3) | (63.5) |
(Increase) decrease in inventories | (3.7) | 6.3 | (6.5) |
Decrease (increase) in other assets | 14.4 | (23.7) | (16.5) |
(Increase) decrease in accounts payable and other accrued liabilities | (61.1) | 14.4 | 1.9 |
Decrease in other liabilities | (7.5) | (31.1) | (5.3) |
Net cash provided by operating activities | 1.2 | 121.4 | 187.4 |
Cash flows from investing activities | |||
Proceeds from investments | 3,831.6 | 5,654 | 5,315.9 |
Purchases of investments | (3,806.2) | (5,640.3) | (5,325.8) |
Investment in marketable software | (62.1) | (73.6) | (64.3) |
Capital additions of properties | (49.6) | (53.3) | (47.2) |
Capital additions of outsourcing assets | (102) | (85.9) | (39.9) |
Other | 10.4 | 3.8 | (1.4) |
Net cash used for investing activities | (177.9) | (195.3) | (162.7) |
Cash flows from financing activities | |||
Proceeds from exercise of stock options | 3.7 | 3.4 | 4.9 |
Net proceeds from short-term debt | 65.8 | ||
Net proceeds from long-term debt | 31.8 | ||
Payments of long-term debt | (10.4) | ||
Financing fees | (0.3) | (0.6) | |
Common stock repurchases | (35.7) | (11.7) | |
Dividends paid on preferred stock | (4) | (16.2) | |
Net cash provided by (used for) financing activities | 90.6 | (36.9) | (23) |
Effect of exchange rate changes on cash and cash equivalents | (43) | (34.7) | (17.5) |
Decrease in cash and cash equivalents | (129.1) | (145.5) | (15.8) |
Cash and cash equivalents, beginning of year | 494.3 | 639.8 | 655.6 |
Cash and cash equivalents, end of year | $ 365.2 | $ 494.3 | $ 639.8 |
Consolidated Statements of Defi
Consolidated Statements of Deficit - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Beginning Balance | $ (1,452.4) | $ (663.9) | $ (1,588.7) |
Consolidated net income | (103.2) | 59.3 | 120.1 |
Stock-based compensation | 12.1 | 13.5 | 14.8 |
Dividends declared to preferred holders | (4) | (12.1) | |
Sale of subsidiary | 1.5 | ||
Common stock repurchases | (35.7) | (11.7) | |
Translation adjustments | (100.8) | (66.3) | (40.1) |
Postretirement plans | 265.7 | (756.8) | 853.8 |
Ending Balance | (1,378.6) | (1,452.4) | (663.9) |
Total Unisys Corporation | |||
Beginning Balance | (1,460) | (700.5) | (1,600.2) |
Consolidated net income | (109.9) | 46.7 | 108.5 |
Stock-based compensation | 12.1 | 13.5 | 14.8 |
Dividends declared to preferred holders | (4) | (12.1) | |
Common stock repurchases | (35.7) | (11.7) | |
Translation adjustments | (96) | (61) | (42.5) |
Postretirement plans | 264.1 | (719) | 842.7 |
Ending Balance | (1,389.7) | (1,460) | (700.5) |
Preferred Stock | |||
Beginning Balance | 249.7 | 249.7 | |
Preferred stock conversion | (249.7) | ||
Ending Balance | 249.7 | ||
Common Stock Par Value | |||
Beginning Balance | 0.5 | 0.4 | 0.4 |
Preferred stock conversion | 0.1 | ||
Ending Balance | 0.5 | 0.5 | 0.4 |
Accumulated Deficit | |||
Beginning Balance | (1,735.8) | (1,782.5) | (1,891) |
Consolidated net income | (109.9) | 46.7 | 108.5 |
Ending Balance | (1,845.7) | (1,735.8) | (1,782.5) |
Treasury Stock At Cost | |||
Beginning Balance | (99.6) | (62.4) | (48.8) |
Stock-based compensation | (0.5) | (1.5) | (1.9) |
Common stock repurchases | (35.7) | (11.7) | |
Ending Balance | (100.1) | (99.6) | (62.4) |
Paid-in Capital | |||
Beginning Balance | 4,488.3 | 4,227.7 | 4,223.1 |
Stock-based compensation | 12.6 | 15 | 16.7 |
Dividends declared to preferred holders | (4) | (12.1) | |
Preferred stock conversion | 249.6 | ||
Ending Balance | 4,500.9 | 4,488.3 | 4,227.7 |
Accumulated Other Comprehensive Loss | |||
Beginning Balance | (4,113.4) | (3,333.4) | (4,133.6) |
Translation adjustments | (96) | (61) | (42.5) |
Postretirement plans | 264.1 | (719) | 842.7 |
Ending Balance | (3,945.3) | (4,113.4) | (3,333.4) |
Non- controlling Interests | |||
Beginning Balance | 7.6 | 36.6 | 11.5 |
Consolidated net income | 6.7 | 12.6 | 11.6 |
Sale of subsidiary | 1.5 | ||
Translation adjustments | (4.8) | (5.3) | 2.4 |
Postretirement plans | 1.6 | (37.8) | 11.1 |
Ending Balance | $ 11.1 | $ 7.6 | $ 36.6 |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2015 | |
Summary of significant accounting policies | 1. Summary of significant accounting policies Principles of consolidation Use of estimates Cash equivalents Inventories Properties Advertising costs Shipping and handling Revenue recognition Revenue from hardware sales with standard payment terms is recognized upon the passage of title and the transfer of risk of loss. Outside the United States, the company recognizes revenue even if it retains a form of title to products delivered to customers, provided the sole purpose is to enable the company to recover the products in the event of customer payment default and the arrangement does not prohibit the customer’s use of the product in the ordinary course of business. Revenue from software licenses with standard payment terms is recognized at the inception of the initial license term and upon execution of an extension to the license term. The company also enters into multiple-element arrangements, which may include any combination of hardware, software or services. For example, a client may purchase an enterprise server that includes operating system software. In addition, the arrangement may include post-contract support for the software and a contract for post-warranty maintenance for service of the hardware. These arrangements consist of multiple deliverables, with hardware and software delivered in one reporting period and the software support and hardware maintenance services delivered across multiple reporting periods. In another example, the company may provide desktop managed services to a client on a long term multiple year basis and periodically sell hardware and software products to the client. The services are provided on a continuous basis across multiple reporting periods and the hardware and software products are delivered in one reporting period. To the extent that a deliverable in a multiple-deliverable arrangement is subject to specific guidance, that deliverable is accounted for in accordance with such specific guidance. Examples of such arrangements may include leased hardware which is subject to specific leasing guidance or software which is subject to specific software revenue recognition guidance. In these transactions, the company allocates the total revenue to be earned under the arrangement among the various elements based on a selling price hierarchy. The selling price for a deliverable is based on its vendor specific objective evidence (VSOE) if available, third party evidence (TPE) if VSOE is not available, or the best estimated selling price (ESP) if neither VSOE nor TPE is available. VSOE of selling price is based upon the normal pricing and discounting practices for those products and services when sold separately. TPE of selling price is based on evaluating largely similar and interchangeable competitor products or services in standalone sales to similarly situated customers. ESP is established considering factors such as margin objectives, discounts off of list prices, market conditions, competition and other factors. ESP represents the price at which the company would transact for the deliverable if it were sold by the company regularly on a standalone basis. As mentioned above, some of the company’s multiple-element arrangements may include leased hardware which is subject to specific leasing guidance. Revenue under these arrangements is allocated considering the relative selling prices of the lease and non-lease elements. Lease deliverables include hardware, financing, maintenance and other executory costs, while non-lease deliverables generally consist of non-maintenance services. The amount of revenue allocated to the lease deliverables begins by allocating revenue to maintenance and other executory costs plus a profit thereon. These elements are generally recognized over the term of the lease. The remaining amounts are allocated to the hardware and financing elements. The amount allocated to hardware is recognized as revenue monthly over the term of the lease for those leases which are classified as operating leases and at the inception of the lease term for those leases which are classified as sales-type leases. The amount of finance income attributable to sales-type leases is recognized on the accrual basis using the effective interest method. For multiple-element arrangements that involve the licensing, selling or leasing of software, for software and software-related elements, the allocation of revenue is based on VSOE. There may be cases in which there is VSOE of fair value of the undelivered elements but no such evidence for the delivered elements. In these cases, the residual method is used to allocate the arrangement consideration. Under the residual method, the amount of consideration allocated to the delivered elements equals the total arrangement consideration less the aggregate VSOE of fair value of the undelivered elements. For multiple-element arrangements that include products or services that (a) do not include the licensing, selling or leasing of software, or (b) contain software that is incidental to the products or services as a whole or (c) contain software components that are sold, licensed or leased with tangible products when the software components and non-software components (i.e., the hardware and software) of the tangible product function together to deliver the tangible product’s essential functionality (e.g., sales of the company’s enterprise-class servers including hardware and software), or some combination of the above, the allocation of revenue is based on the relative selling prices of each of the deliverables in the arrangement based on the selling price hierarchy, discussed above. For multiple-element arrangements that include both software and non-software deliverables, the company allocates arrangement consideration to the software group and to the non-software group based on the relative selling prices of the deliverables in the arrangement based on the selling price hierarchy discussed above. For the software group, arrangement consideration is further allocated using VSOE as described above. The company recognizes revenue on delivered elements only if: (a) any undelivered products or services are not essential to the functionality of the delivered products or services, (b) the company has an enforceable claim to receive the amount due in the event it does not deliver the undelivered products or services, (c) there is evidence of the selling price for each undelivered product or service, and (d) the revenue recognition criteria otherwise have been met for the delivered elements. Otherwise, revenue on delivered elements is recognized as the undelivered elements are delivered. The company evaluates each deliverable in an arrangement to determine whether it represents a separate unit of accounting. A delivered element constitutes a separate unit of accounting when it has standalone value and there is no customer-negotiated refund or return right for the delivered elements. If these criteria are not met, the deliverable is combined with the undelivered elements and the allocation of the arrangement consideration and revenue recognition are determined for the combined unit as a single unit. Revenue from hardware sales and software licenses with extended payment terms is recognized as payments from customers become due (assuming that all other conditions for revenue recognition have been satisfied). Revenue for operating leases is recognized on a monthly basis over the term of the lease and for sales-type leases at the inception of the lease term. Revenue from equipment and software maintenance and post-contract support is recognized on a straight-line basis as earned over the terms of the respective contracts. Cost related to such contracts is recognized as incurred. Revenue and profit under systems integration contracts are recognized either on the percentage-of-completion method of accounting using the cost-to-cost method, or when services have been performed, depending on the nature of the project. For contracts accounted for on the percentage-of-completion basis, revenue and profit recognized in any given accounting period are based on estimates of total projected contract costs. The estimates are continually reevaluated and revised, when necessary, throughout the life of a contract. Any adjustments to revenue and profit resulting from changes in estimates are accounted for in the period of the change in estimate. When estimates indicate that a loss will be incurred on a contract upon completion, a provision for the expected loss is recorded in the period in which the loss becomes evident. Revenue from time and materials service contracts and outsourcing contracts is recognized as the services are provided using either an objective measure of output or on a straight-line basis over the term of the contract. Income taxes Marketable software Internal-use software Outsourcing assets Recoverability of outsourcing assets is subject to various business risks. The company quarterly compares the carrying value of the outsourcing assets with the undiscounted future cash flows expected to be generated by the outsourcing assets to determine if there is impairment. If impaired, the outsourcing assets are reduced to an estimated fair value on a discounted cash flow basis. The company prepares its cash flow estimates based on assumptions that it believes to be reasonable but are also inherently uncertain. Actual future cash flows could differ from these estimates. Translation of foreign currency For those international subsidiaries operating in highly inflationary economies, the U.S. dollar is the functional currency, and as such, nonmonetary assets and liabilities are translated at historical exchange rates, and monetary assets and liabilities are translated at current exchange rates. Exchange gains and losses arising from translation are included in other income (expense), net. Stock-based compensation plans Retirement benefits At December 31 of each year, the company determines the fair value of its retirement benefits plan assets as well as the discount rate to be used to calculate the present value of plan liabilities. The discount rate is an estimate of the interest rate at which the retirement benefits could be effectively settled. In estimating the discount rate, the company looks to rates of return on high-quality, fixed-income investments currently available and expected to be available during the period to maturity of the retirement benefits. The company uses a portfolio of fixed-income securities, which receive at least the second-highest rating given by a recognized ratings agency. Fair value measurements Noncontrolling interest |
Earnings per common share
Earnings per common share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings per common share | 2. Earnings per common share The following table shows how the earnings (loss) per common share attributable to Unisys Corporation were computed for the three years ended December 31, 2015. Year ended December 31 (millions, except per share data) 2015 2014 2013 Basic earnings (loss) per common share computation Net income (loss) attributable to Unisys Corporation common stockholders $ (109.9 ) $ 44.0 $ 92.3 Weighted average shares (thousands) 49,905 49,280 43,899 Basic earnings (loss) per common share $ (2.20 ) $ .89 $ 2.10 Diluted earnings (loss) per common share computation Net income (loss) attributable to Unisys Corporation for diluted earnings per share $ (109.9 ) $ 44.0 $ 92.3 Weighted average shares (thousands) 49,905 49,280 43,899 Plus incremental shares from assumed conversions of employee stock plans – 304 448 Adjusted weighted average shares 49,905 49,584 44,347 Diluted earnings (loss) per common share $ (2.20 ) $ .89 $ 2.08 In 2015, 2014 and 2013, the following weighted-average number of stock options and restricted stock units were antidilutive and therefore excluded from the computation of diluted earnings per common share (in thousands): 2,915; 1,929; and 2,142, respectively. In 2014 and 2013, the following weighted-average mandatory convertible preferred stock was antidilutive and therefore excluded from the computation of diluted earnings per share (in thousands): 1,171 and 6,913, respectively. |
Cost Reduction Actions
Cost Reduction Actions | 12 Months Ended |
Dec. 31, 2015 | |
Cost Reduction Actions | 3. Cost reduction actions In 2015, in connection with organizational initiatives to create a more competitive cost structure and rebalance the company’s global skill set, the company initiated a plan to incur pretax restructuring charges currently estimated at approximately $300 million through 2017. During 2015, the company recognized pretax charges of $118.5 million in connection with this plan, principally related to a reduction in employees. The charges related to work-force reductions were $78.8 million and were comprised of: (a) a charge of $27.9 million for 700 employees in the U.S. and (b) a charge of $50.9 million for 782 employees outside the U.S. In addition, the company recorded pretax charges of $39.7 million, related to asset impairments ($20.2 million) and other expenses related to the cost reduction effort ($19.5 million). The pretax charges were recorded in the following statement of income classifications: cost of revenue – services, $52.3 million; cost of revenue – technology, $.3 million; selling, general and administrative expenses, $53.5 million; and research and development expenses, $12.4 million. A further breakdown of the individual components of these costs follows (in millions of dollars): Work-Force Reductions (in millions of dollars) Headcount Total U.S. Int’l. Charges for cost reductions 1,482 $ 78.8 $ 27.9 $ 50.9 Utilized (1,227 ) (45.3 ) (23.7 ) (21.6 ) Translation adjustments (.5 ) (.5 ) Balance at December 31, 2015 255 $ 33.0 $ 4.2 $ 28.8 Expected future utilization: 2016 255 $ 33.0 $ 4.2 $ 28.8 Beyond 2016 – – – |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill | 4. Goodwill Goodwill is reviewed annually for impairment and whenever events or circumstances occur indicating that goodwill may be impaired. The company performed its annual impairment test in the fourth quarter of 2015, which indicated that goodwill was not impaired. Changes in the carrying amount of goodwill by segment for the years ended December 31, 2015 and 2014 were as follows: (millions) Total Services Technology Balance at December 31, 2013 $ 188.7 $ 80.0 $ 108.7 Translation adjustments (4.8 ) (4.8 ) – Balance at December 31, 2014 183.9 75.2 108.7 Translation adjustments (6.5 ) (6.5 ) – Balance at December 31, 2015 $ 177.4 $ 68.7 $ 108.7 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements and Accounting Changes | 12 Months Ended |
Dec. 31, 2015 | |
Recent Accounting Pronouncements and Accounting Changes | 5. Recent accounting pronouncements and accounting changes In May of 2014 (subsequently amended in August of 2015), the Financial Accounting Standards Board (FASB) issued a new revenue recognition standard entitled “Revenue from Contracts with Customers.” The objective of the standard is to establish the principles that an entity shall apply to report useful information to users of financial statements about the nature, amount, timing, and uncertainty of revenue and cash flows from a contract with a customer. The standard is effective for annual reporting periods beginning after December 15, 2017, which for the company is January 1, 2018. Earlier application is permitted only as of annual reporting periods beginning after December 15, 2016, which for the company in January 1, 2017. The standard allows for either “full retrospective” adoption, meaning the standard is applied to all periods presented, or “modified retrospective” adoption, meaning the standard is applied only to the most current period presented in the financial statements. The company is currently assessing when and which method it will choose for adoption, and is evaluating the impact of the adoption on its consolidated results of operations and financial position. Effective January 1, 2016, the company will adopt new guidance issued by the FASB that simplifies the balance sheet classification of deferred income taxes. The new guidance requires that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. Previous guidance required an entity to separate deferred income tax liabilities and assets into current and noncurrent amounts in a classified statement of financial position. The new guidance will be applied on a retrospective basis whereby prior-period financial statements will be adjusted to reflect the application of the new guidance. |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2015 | |
Accounts Receivable | 6. Accounts receivable Accounts receivable consist principally of trade accounts receivable from customers and are generally unsecured and due within 30 to 90 days. Credit losses relating to these receivables consistently have been within management’s expectations. Expected credit losses are recorded as an allowance for doubtful accounts in the consolidated balance sheets. Estimates of expected credit losses are based primarily on the aging of the accounts receivable balances. The company records a specific reserve for individual accounts when it becomes aware of a customer’s inability to meet its financial obligations, such as in the case of bankruptcy filings or deterioration in the customer’s operating results or financial position. The collection policies and procedures of the company vary by credit class and prior payment history of customers. Revenue recognized in excess of billings on services contracts, or unbilled accounts receivable, was $93.5 million and $100.1 million at December 31, 2015 and 2014, respectively. At December 31, 2015, receivables under sales-type leases before the allowance for unearned income were collectible as follows (in millions): 2016, $34.3; 2017, $32.8; 2018, $32.4; 2019, $14.4; 2020, $3.7; and zero thereafter. Unearned income, which is deducted from accounts and notes receivable, was $10.9 million and $11.8 million at December 31, 2015 and 2014, respectively. The allowance for doubtful accounts, which is reported as a deduction from accounts and notes receivable, was $21.1 million and $30.1 million at December 31, 2015 and 2014, respectively. The provision for doubtful accounts, which is reported in selling, general and administrative expenses in the consolidated statements of income, was expense (income) of $3.0 million, $2.7 million and $(.6) million, in 2015, 2014 and 2013, respectively. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income taxes | 7. Income taxes Following is the total income before income taxes and the provision for income taxes for the three years ended December 31, 2015. Year ended December 31 (millions) 2015 2014 2013 Income (loss) before income taxes United States $ (130.6 ) $ (19.9 ) $ 28.4 Foreign 71.8 165.4 191.0 Total income (loss) before income taxes $ (58.8 ) $ 145.5 $ 219.4 Provision for income taxes Current United States $ 1.0 $ 2.1 $ 8.0 Foreign 42.2 59.4 63.0 State and local .3 1.0 (.2 ) Total 43.5 62.5 70.8 Deferred Foreign .9 23.7 28.5 Total provision for income taxes $ 44.4 $ 86.2 $ 99.3 Following is a reconciliation of the provision for income taxes at the United States statutory tax rate to the provision for income taxes as reported: Year ended December 31 (millions) 2015 2014 2013 United States statutory income tax provision (benefit) $ (20.6 ) $ 50.9 $ 76.8 Income and losses for which no provision or benefit has been recognized 69.1 35.7 13.5 Foreign rate differential and other foreign tax expense (15.9 ) (22.0 ) (23.0 ) Income tax withholdings 12.5 17.1 15.4 Permanent items (1.9) 1.1 4.0 Enacted rate changes 9.1 – 8.9 Change in uncertain tax positions 1.5 .2 4.4 Change in valuation allowances due to changes in judgment (5.4 ) 7.0 (.5 ) Income tax credits, U.S. (4.0 ) (3.9 ) – Other – .1 (.2 ) Provision for income taxes $ 44.4 $ 86.2 $ 99.3 The 2015 and 2013 provision for income taxes included $9.1 million and $11.4 million due to a reduction in the UK income tax rate. The rate reductions were enacted in the fourth quarter of 2015 and the third quarter of 2013 and reduced the rate from 20% to 18% and from 21% to 20% effective April 1, 2017 and 2015, respectively. The tax provision was principally caused by a write down of the UK company’s net deferred tax assets. The tax effects of temporary differences and carryforwards that give rise to significant portions of deferred tax assets and liabilities at December 31, 2015 and 2014 were as follows: December 31 (millions) 2015 2014 Deferred tax assets Tax loss carryforwards $ 854.5 $ 883.3 Postretirement benefits 695.7 791.3 Foreign tax credit carryforwards 263.2 245.5 Other tax credit carryforwards 86.7 88.0 Deferred revenue 65.7 60.5 Employee benefits and compensation 49.9 44.6 Purchased capitalized software 39.5 39.3 Depreciation 36.8 34.9 Warranty, bad debts and other reserves 14.1 12.8 Capitalized costs 13.0 16.3 Capitalized research and development 3.2 36.0 Other 39.7 29.5 2,162.0 2,282.0 Valuation allowance (2,024.9 ) (2,107.8 ) Total deferred tax assets $ 137.1 $ 174.2 Deferred tax liabilities Other $ 22.7 $ 37.9 Total deferred tax liabilities $ 22.7 $ 37.9 Net deferred tax assets $ 114.4 $ 136.3 At December 31, 2015, the company has U.S. Federal ($424.3 million), state and local ($194.8 million), and foreign ($235.4 million) tax loss carryforwards, the total tax effect of which is $854.5 million. These carryforwards will expire as follows (in millions): 2016, $8.2; 2017, $10.9; 2018, $7.7; 2019, $7.8; 2020, $17.4; and $802.5 thereafter. The company also has available tax credit carryforwards of approximately $349.9 million, which will expire as follows (in millions): 2016, $10.5; 2017, $48.1; 2018, $21.0; 2019, $19.7; 2020, $35.5; and $215.1 thereafter. Failure to achieve forecasted taxable income might affect the ultimate realization of the company’s net deferred tax assets. Factors that may affect the company’s ability to achieve sufficient forecasted taxable income include, but are not limited to, the following: increased competition, a decline in sales or margins, loss of market share, the impact of the economic environment, delays in product availability and technological obsolescence. Cumulative undistributed earnings of foreign subsidiaries, for which no U.S. income or foreign withholding taxes have been recorded, approximated $1,417.4 million at December 31, 2015. As the company currently intends to indefinitely reinvest all such earnings, no provision has been made for income taxes that may become payable upon distribution of such earnings, and it is not practicable to determine the amount of the related unrecognized deferred income tax liability. Cash paid for income taxes, net of refunds, during 2015, 2014 and 2013 was $59.7 million, $73.9 million and $63.8 million, respectively. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Year ended December 31 (millions) 2015 2014 2013 Balance at January 1 $ 35.0 $ 26.3 $ 29.2 Additions based on tax positions related to the current year 3.4 14.4 (2.4 ) Changes for tax positions of prior years (4.0 ) (1.4 ) (.1 ) Reductions as a result of a lapse of applicable statute of limitations (3.4 ) (1.6 ) – Settlements (.9 ) (.9 ) (.2 ) Changes due to foreign currency (2.4 ) (1.8 ) (.2 ) Balance at December 31 $ 27.7 $ 35.0 $ 26.3 The company recognizes penalties and interest accrued related to income tax liabilities in the provision for income taxes in its consolidated statements of income. At December 31, 2015 and 2014, the company had an accrual of $1.0 million and $1.6 million, respectively, for the payment of penalties and interest. At December 31, 2015, all of the company’s liability for unrecognized tax benefits, if recognized, would affect the company’s effective tax rate. Within the next 12 months, the company believes that it is reasonably possible that the amount of unrecognized tax benefits may significantly change; however, various events could cause this belief to change in the future. The company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, and various states and foreign jurisdictions. Several U.S. state and foreign income tax audits are in process. The company is under an audit in India, for which years prior to 2006 are closed. For Brazil and the United Kingdom, which are the most significant jurisdictions outside the U.S., the audit periods through 2010 are closed. All of the various ongoing income tax audits throughout the world are not expected to have a material impact on the company’s financial position. Internal Revenue Code Sections 382 and 383 provide annual limitations with respect to the ability of a corporation to utilize its net operating loss (as well as certain built-in losses) and tax credit carryforwards, respectively (Tax Attributes), against future U.S. taxable income, if the corporation experiences an “ownership change.” In general terms, an ownership change may result from transactions increasing the ownership of certain stockholders in the stock of a corporation by more than 50 percentage points over a three-year period. The company regularly monitors ownership changes (as calculated for purposes of Section 382). The company has determined that, for purposes of the rules of Section 382 described above, an ownership change occurred in February 2011. Any future transaction or transactions and the timing of such transaction or transactions could trigger additional ownership changes under Section 382. As a result of the February 2011 ownership change, utilization for certain of the company’s Tax Attributes, U.S. net operating losses and tax credits, is subject to an overall annual limitation of $70.6 million. The cumulative limitation as of December 31, 2015 is $265.7 million. This limitation will be applied first to any recognized built in losses, then to any net operating losses, and then to any other Tax Attributes. Any unused limitation may be carried over to later years. Based on presently available information and the existence of tax planning strategies, the company does not expect to incur a U.S. cash tax liability in the near term. The company maintains a full valuation allowance against the realization of all U.S. deferred tax assets as well as certain foreign deferred tax assets in excess of deferred tax liabilities. |
Properties
Properties | 12 Months Ended |
Dec. 31, 2015 | |
Properties | 8. Properties Properties comprise the following: December 31 (millions) 2015 2014 Land $ 2.8 $ 2.8 Buildings 93.1 80.1 Machinery and office equipment 586.8 644.9 Internal-use software 144.5 257.7 Rental equipment 49.4 73.9 Total properties $ 876.6 $ 1,059.4 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2015 | |
Debt | 9. Debt Long-term debt is comprised of the following: December 31 (millions) 2015 2014 6.25% senior notes due August 15, 2017 $ 210.0 $ 210.0 Capital leases 12.5 14.0 Other debt 24.0 – Total 246.5 224.0 Less – current maturities 11.0 1.8 Total long-term debt $ 235.5 $ 222.2 Long-term debt matures in 2016, 2017, 2018, 2019, 2020 and thereafter are $11.0 million, $220.6 million, $10.3 million, $1.3 million, $1.3 million and $2.0 million, respectively. Included in the above are capital lease maturities in 2016, 2017, 2018, 2019, 2020 and thereafter of $2.6 million, $2.8 million, $2.5 million, $1.3 million, $1.3 million and $2.0 million, respectively. Cash paid for interest during 2015, 2014 and 2013 was $14.4 million, $13.2 million and $12.9 million, respectively. Capitalized interest expense during 2015, 2014 and 2013 was $3.1 million, $4.0 million and $3.2 million, respectively. The amount reported in other debt represents debt secured by the sale of an account receivable. The company has a secured revolving credit facility, expiring in June 2018, which provides for loans and letters of credit up to an aggregate amount of $150 million (with a limit on letters of credit of $100 million). Borrowing limits under the credit agreement are based upon the amount of eligible U.S. accounts receivable. At December 31, 2015, the company had $65.0 million of borrowings and $11.4 million of letters of credit outstanding under the facility. At December 31, 2015, availability under the facility was $54.7 million net of letters of credit issued. Borrowings under the facility will bear interest based on short-term rates (2.2% at December 31, 2015). The credit agreement contains customary representations and warranties, including that there has been no material adverse change in the company’s business, properties, operations or financial condition. The company is required to maintain a minimum fixed charge coverage ratio if the availability under the credit facility falls below the greater of 12.5% of the lenders’ commitments under the facility and $18.75 million. The credit agreement allows the company to pay dividends on its capital stock in an amount up to $22.5 million per year unless the company is in default and to, among other things, repurchase its equity, prepay other debt, incur other debt or liens, dispose of assets and make acquisitions, loans and investments, provided the company complies with certain requirements and limitations set forth in the agreement. Events of default include non-payment, failure to comply with covenants, materially incorrect representations and warranties, change of control and default under other debt aggregating at least $50 million. The credit facility is guaranteed by Unisys Holding Corporation, Unisys NPL, Inc., Unisys AP Investment Company I and any future material domestic subsidiaries. The facility is secured by the assets of Unisys Corporation and the subsidiary guarantors, other than certain excluded assets. The company may elect to prepay or terminate the credit facility without penalty. At December 31, 2015, the company has met all covenants and conditions under its various lending agreements. The company expects to continue to meet these covenants and conditions. The company’s principal sources of liquidity are cash on hand, cash from operations and its revolving credit facility, discussed above. The company and certain international subsidiaries have access to uncommitted lines of credit from various banks. The company’s anticipated future cash expenditures include anticipated contributions to its defined benefit pension plans. The company believes that it has adequate sources of liquidity to meet its expected 2016 cash requirements. |
Other accrued liabilities
Other accrued liabilities | 12 Months Ended |
Dec. 31, 2015 | |
Other accrued liabilities | 10. Other accrued liabilities Other accrued liabilities (current) are comprised of the following: December 31 (millions) 2015 2014 Payrolls and commissions $ 102.7 $ 109.3 Accrued vacations 51.1 60.8 Cost reduction 33.0 – Taxes other than income taxes 32.7 53.8 Income taxes 32.0 58.3 Postretirement 20.7 22.6 Accrued interest 4.9 4.9 Other 62.2 75.4 Total other accrued liabilities $ 339.3 $ 385.1 |
Rental Expense and Commitments
Rental Expense and Commitments | 12 Months Ended |
Dec. 31, 2015 | |
Rental Expense and Commitments | 11. Rental expense and commitments Rental expense, less income from subleases, for 2015, 2014 and 2013 was $80.6 million, $83.7 million and $85.3 million, respectively. Income from subleases, for 2015, 2014 and 2013 was $9.1 million, $8.5 million and $7.4 million, respectively. Minimum net rental commitments under noncancelable operating leases, including idle leases, outstanding at December 31, 2015, substantially all of which relate to real properties, were as follows: 2016, $56.9 million; 2017, $50.2 million; 2018, $37.5 million; 2019, $30.8 million; 2020, $23.2 million; and $33.6 million thereafter. Such rental commitments have been reduced by minimum sublease rentals of $22.0 million, due in the future under noncancelable subleases. At December 31, 2015, the company had outstanding standby letters of credit and surety bonds totaling approximately $255 million related to performance and payment guarantees. On the basis of experience with these arrangements, the company believes that any obligations that may arise will not be material. In addition, at December 31, 2015, the company had deposits and collateral of approximately $44 million in other long-term assets, principally related to collateralized letters of credit, and to tax and labor contingencies in Brazil. |
Financial Instruments and Conce
Financial Instruments and Concentration of Credit Risks | 12 Months Ended |
Dec. 31, 2015 | |
Financial Instruments and Concentration of Credit Risks | 12. Financial instruments and concentration of credit risks Due to its foreign operations, the company is exposed to the effects of foreign currency exchange rate fluctuations on the U.S. dollar, principally related to intercompany account balances. The company uses derivative financial instruments to reduce its exposure to market risks from changes in foreign currency exchange rates on such balances. The company enters into foreign exchange forward contracts, generally having maturities of three months or less, which have not been designated as hedging instruments. At December 31, 2015 and 2014, the notional amount of these contracts was $940.1 million and $403.9 million, respectively, and the fair value of such contracts was a net loss of $4.4 million and a net gain of $5.3 million, respectively, of which a gain of $2.2 million and $6.1 million, respectively, has been recognized in “Prepaid expenses and other current assets” and a loss of $6.6 million and $.8 million, respectively, has been recognized in “Other accrued liabilities.” Changes in the fair value of these instruments was a gain of $15.6 million, a gain of $17.3 million and a loss of $7.3 million, respectively, for years ended December 31, 2015, 2014 and 2013, which has been recognized in earnings in “Other income (expense), net” in the company’s consolidated statement of income. The fair value of these forward contracts is based on quoted prices for similar but not identical financial instruments; as such, the inputs are considered Level 2 inputs. Financial instruments also include temporary cash investments and customer accounts receivable. Temporary investments are placed with creditworthy financial institutions, primarily in money market funds, time deposits and certificate of deposits which may be withdrawn at any time at the discretion of the company without penalty. At December 31, 2015 and 2014, the company’s cash equivalents principally have maturities of less than one month or can be withdrawn at any time at the discretion of the company without penalty. Due to the short maturities of these instruments, they are carried on the consolidated balance sheets at cost plus accrued interest, which approximates market value. Realized gains or losses during 2015, 2014 and 2013, as well as unrealized gains or losses at December 31, 2015 and 2014, were immaterial. Receivables are due from a large number of customers that are dispersed worldwide across many industries. At December 31, 2015 and 2014, the company had no significant concentrations of credit risk with any one customer. At December 31, 2015 and 2014, the company had approximately $99 million and $94 million, respectively, of receivables due from various U.S. federal governmental agencies. At December 31, 2015 and 2014, the carrying amount of cash and cash equivalents approximated fair value; and the carrying amount of long-term debt was less than the fair value, which is based on market prices (Level 2 inputs), of such debt by approximately $3 million and $9 million, respectively. |
Foreign Currency Translation
Foreign Currency Translation | 12 Months Ended |
Dec. 31, 2015 | |
Foreign Currency Translation | 13. Foreign currency translation In January of 2014, the Venezuelan government announced that the exchange rate to be applied to the settlement of certain transactions, including foreign investments and royalties would be changed to the SICAD I rate. As a result, the company began using this rate to remeasure its Venezuelan subsidiary’s financial statements into U.S. dollars. As the company believes that the SIMADI rate is now more representative of what it might expect to receive in a dividend transaction, the company began using the SIMADI rate effective as of September 30, 2015. During the years ended December 31, 2015, 2014 and 2013, the company recorded foreign exchange losses related to its Venezuelan subsidiary of $8.4 million, $7.4 million and $6.5 million, respectively. At December 31, 2015, the company’s operations in Venezuela had an immaterial amount of net monetary assets denominated in local currency. During the years ended December 31, 2015, 2014 and 2013, the company recognized foreign exchange gains (losses) in “Other income (expense), net” in its consolidated statements of income of $8.1 million, $(7.0) million and $10.4 million, respectively. |
Litigation and Contingencies
Litigation and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Litigation and Contingencies | 14. Litigation and contingencies There are various lawsuits, claims, investigations and proceedings that have been brought or asserted against the company, which arise in the ordinary course of business, including actions with respect to commercial and government contracts, labor and employment, employee benefits, environmental matters, intellectual property, and non-income tax and employment compensation in Brazil. The company records a provision for these matters when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Any provisions are reviewed at least quarterly and are adjusted to reflect the impact and status of settlements, rulings, advice of counsel and other information and events pertinent to a particular matter. The company believes that it has valid defenses with respect to legal matters pending against it. Based on its experience, the company also believes that the damage amounts claimed in the lawsuits disclosed below are not a meaningful indicator of the company’s potential liability. Litigation is inherently unpredictable, however, and it is possible that the company’s results of operations or cash flow could be materially affected in any particular period by the resolution of one or more of the legal matters pending against it. In April 2007, the Ministry of Justice of Belgium sued Unisys Belgium SA-NV, a Unisys subsidiary (Unisys Belgium), in the Court of First Instance of Brussels. The Belgian government had engaged the company to design and develop software for a computerized system to be used to manage the Belgian court system. The Belgian State terminated the contract and in its lawsuit has alleged that the termination was justified because Unisys Belgium failed to deliver satisfactory software in a timely manner. It claims damages of approximately 28 million Euros. Unisys Belgium filed its defense and counterclaim in April 2008, in the amount of approximately 18.5 million Euros. The company believes it has valid defenses to the claims and contends that the Belgian State’s termination of the contract was unjustified. The company’s Brazilian operations, along with those of many other companies doing business in Brazil, are involved in various litigation matters, including numerous governmental assessments related to indirect and other taxes, as well as disputes associated with former employees and contract labor. The tax-related matters pertain to value added taxes, customs, duties, sales and other non-income related tax exposures. The labor-related matters include claims related to compensation matters. The company believes that appropriate accruals have been established for such matters based on information currently available. At December 31, 2015, excluding those matters that have been assessed by management as being remote as to the likelihood of ultimately resulting in a loss, the amount related to unreserved tax-related matters, inclusive of any related interest, is estimated to be up to approximately $95 million. The company has been involved in a matter arising from the sale of its Health Information Management (HIM) business to Molina Information Systems, LLC (Molina) under a 2010 Asset Purchase Agreement (APA). The HIM business provided system solutions and services to state governments, including the state of Idaho, for administering Medicaid programs. In August 2012, Molina sued the company in Federal District Court in Delaware alleging breaches of contract, negligent misrepresentation and intentional misrepresentation with respect to the APA and the Medicaid contract with Idaho. Molina sought compensatory damages, punitive damages, lost profits, indemnification, and declaratory relief. Molina alleged losses of approximately $35 million in the complaint. In June 2013, the District Court granted the company’s motion to dismiss the complaint and allowed Molina to replead certain claims and file an amended complaint. In August 2013, Molina filed an amended complaint. The company filed a motion to dismiss the amended complaint. On September 2, 2014, the District Court granted the company’s motion to dismiss the negligent misrepresentation claim, but denied the company’s motion with respect to Molina’s intentional misrepresentation and breach of contract claims. The litigation continues on the remaining claims. On June 26, 2014, the State of Louisiana filed a Petition for Damages against, among other defendants, the company and Molina Information Systems, LLC, in the Parish of East Baton Rouge, 19th Judicial District. The State alleges that between 1989 and 2012 the defendants, each acting successively as the State’s Medicaid fiscal intermediary, utilized an incorrect reimbursement formula for the payment of pharmaceutical claims causing the State to pay excessive amounts for prescription drugs. The company believes that it has valid defenses to Louisiana’s claims and is asserting them in the pending litigation. With respect to the specific legal proceedings and claims described above, except as otherwise noted, either (i) the amount or range of possible losses in excess of amounts accrued, if any, is not reasonably estimable or (ii) the company believes that the amount or range of possible losses in excess of amounts accrued that are estimable would not be material. Litigation is inherently unpredictable and unfavorable resolutions could occur. Accordingly, it is possible that an adverse outcome from such matters could exceed the amounts accrued in an amount that could be material to the company’s financial condition, results of operations and cash flows in any particular reporting period. Notwithstanding that the ultimate results of the lawsuits, claims, investigations and proceedings that have been brought or asserted against the company are not currently determinable, the company believes that at December 31, 2015, it has adequate provisions for any such matters. |
Segment information
Segment information | 12 Months Ended |
Dec. 31, 2015 | |
Segment information | 15. Segment information Effective January 1, 2015, the company changed the grouping of certain of its classes of products and services. As a result, certain revenue (principally company technology products) previously reported in the company’s Services segment is now reported in its Technology segment. As a result, prior-periods segment revenue and cost of sales, as well as customer revenue by classes of similar products and services, have been reclassified to conform to the current-year period. The company has two business segments: Services and Technology. Revenue classifications within the Services segment are as follows: • Cloud & infrastructure services. This represents revenue from work the company performs in the data center and cloud area, technology consulting and technology-based systems integration projects, as well as global service desks and global field services. • Application services. This represents revenue from application managed services and application development, maintenance and support work. • Business processing outsourcing (BPO) services. This represents revenue from the management of clients’ specific business processes. The accounting policies of each business segment are the same as those followed by the company as a whole. Intersegment sales and transfers are priced as if the sales or transfers were to third parties. Accordingly, the Technology segment recognizes intersegment revenue and manufacturing profit on hardware and software shipments to customers under Services contracts. The Services segment, in turn, recognizes customer revenue and marketing profits on such shipments of company hardware and software to customers. The Services segment also includes the sale of hardware and software products sourced from third parties that are sold to customers through the company’s Services channels. In the company’s consolidated statements of income, the manufacturing costs of products sourced from the Technology segment and sold to Services customers are reported in cost of revenue for Services. Also included in the Technology segment’s sales and operating profit are sales of hardware and software sold to the Services segment for internal use in Services engagements. The amount of such profit included in operating income of the Technology segment for the years ended December 31, 2015, 2014 and 2013 was $9.2 million, $17.0 million and $6.0 million, respectively. The profit on these transactions is eliminated in Corporate. The company evaluates business segment performance based on operating income exclusive of pension income or expense, restructuring charges and unusual and nonrecurring items, which are included in Corporate. All other corporate and centrally incurred costs are allocated to the business segments based principally on revenue, employees, square footage or usage. No single customer accounts for more than 10% of revenue. Revenue from various agencies of the U.S. Government, which is reported in both business segments, was approximately $569 million, $529 million and $512 million in 2015, 2014 and 2013, respectively. Corporate assets are principally cash and cash equivalents, prepaid postretirement assets and deferred income taxes. The expense or income related to corporate assets is allocated to the business segments. Customer revenue by classes of similar products or services, by segment, is presented below: Year ended December 31 (millions) 2015 2014 2013 Services Cloud & infrastructure services $ 1,513.1 $ 1,704.9 $ 1,772.4 Application services 868.9 819.8 824.7 BPO services 223.6 261.0 252.9 2,605.6 2,785.7 2,850.0 Technology 409.5 570.7 606.5 Total $ 3,015.1 $ 3,356.4 $ 3,456.5 Presented below is a reconciliation of segment operating income to consolidated income (loss) before income taxes: Year ended December 31 (millions) 2015 2014 2013 Total segment operating income $ 174.9 $ 233.6 $ 307.5 Interest expense (11.9 ) (9.2 ) (9.9 ) Other income (expense), net 8.2 (.2 ) 9.8 Cost reduction charges (118.5 ) – – Corporate and eliminations (111.5 ) (78.7 ) (88.0 ) Total income (loss) before income taxes $ (58.8 ) $ 145.5 $ 219.4 Presented below is a reconciliation of total business segment assets to consolidated assets: December 31 (millions) 2015 2014 2013 Total segment assets $ 1,486.0 $ 1,533.8 $ 1,530.5 Cash and cash equivalents 365.2 494.3 639.8 Deferred income taxes 138.6 171.0 136.4 Prepaid postretirement assets 45.1 19.9 83.7 Other corporate assets 108.3 129.7 119.6 Total assets $ 2,143.2 $ 2,348.7 $ 2,510.0 A summary of the company’s operations by business segment for 2015, 2014 and 2013 is presented below: (millions) Total Corporate Services Technology 2015 Customer revenue $ 3,015.1 $ 2,605.6 $ 409.5 Intersegment $ (49.0 ) .1 48.9 Total revenue $ 3,015.1 $ (49.0 ) $ 2,605.7 $ 458.4 Operating income (loss) $ (55.1 ) $ (230.0 ) $ 61.2 $ 113.7 Depreciation and amortization 180.1 104.8 75.3 Total assets 2,143.2 657.2 1,081.7 404.3 Capital expenditures 213.7 1.9 143.3 68.5 2014 Customer revenue $ 3,356.4 $ 2,785.7 $ 570.7 Intersegment $ (58.4 ) .3 58.1 Total revenue $ 3,356.4 $ (58.4 ) $ 2,786.0 $ 628.8 Operating income $ 154.9 $ (78.7 ) $ 96.0 $ 137.6 Depreciation and amortization 168.6 103.2 65.4 Total assets 2,348.7 814.9 1,099.2 434.6 Capital expenditures 212.8 4.9 133.8 74.1 2013 Customer revenue $ 3,456.5 $ 2,850.0 $ 606.5 Intersegment $ (37.2 ) 1.7 35.5 Total revenue $ 3,456.5 $ (37.2 ) $ 2,851.7 $ 642.0 Operating income $ 219.5 $ (88.0 ) $ 138.2 $ 169.3 Depreciation and amortization 159.6 91.8 67.8 Total assets 2,510.0 979.5 1,126.7 403.8 Capital expenditures 151.4 2.9 78.8 69.7 Geographic information about the company’s revenue, which is principally based on location of the selling organization, properties and outsourcing assets, is presented below: Year ended December 31 (millions) 2015 2014 2013 Revenue United States $ 1,454.9 $ 1,378.1 $ 1,370.6 United Kingdom 375.8 435.4 414.0 Other foreign 1,184.4 1,542.9 1,671.9 Total $ 3,015.1 $ 3,356.4 $ 3,456.5 Properties, net United States $ 96.9 $ 111.9 $ 112.4 United Kingdom 18.8 22.0 24.7 Other foreign 38.1 34.8 37.6 Total $ 153.8 $ 168.7 $ 174.7 Outsourcing assets, net United States $ 119.4 $ 99.7 $ 56.2 United Kingdom 36.6 25.8 28.1 Other foreign 26.0 25.4 31.2 Total $ 182.0 $ 150.9 $ 115.5 |
Employee plans
Employee plans | 12 Months Ended |
Dec. 31, 2015 | |
Employee plans | 16. Employee plans Stock plans As of December 31, 2015, the company has granted non-qualified stock options and restricted stock units under these plans. The company recognizes compensation cost net of a forfeiture rate in selling, general and administrative expenses, and recognizes the compensation cost for only those awards expected to vest. The company estimates the forfeiture rate based on its historical experience and its expectations about future forfeitures. The company’s employee stock option grants include a provision that, if termination of employment occurs after the participant has attained age 55 and completed 5 years of service with the company, the participant shall continue to vest in each of his or her awards in accordance with the vesting schedule set forth in the applicable award agreement. Compensation expense for such awards is recognized over the period to the date the employee first becomes eligible for retirement. Time-based restricted stock unit grants for the company’s directors vest upon award and compensation expense for such awards is recognized upon grant. Options have been granted to purchase the company’s common stock at an exercise price equal to or greater than the fair market value at the date of grant, generally have a maximum duration of seven years for options issued in 2015 and five years for options issued before 2015, and become exercisable in annual installments over a three-year period following date of grant. During the years ended December 31, 2015, 2014 and 2013, the company recognized $9.4 million, $10.4 million and $12.5 million of share-based compensation expense, which is comprised of $4.7 million, $3.3 million and $3.2 million of restricted stock unit expense and $4.7 million, $7.1 million and $9.3 million of stock option expense, respectively. For stock options, the fair value is estimated at the date of grant using a Black-Scholes option pricing model. Principal assumptions used are as follows: (a) expected volatility for the company’s stock price is based on historical volatility and implied market volatility, (b) historical exercise data is used to estimate the options’ expected term, which represents the period of time that the options granted are expected to be outstanding, and (c) the risk-free interest rate is the rate on zero-coupon U.S. government issues with a remaining term equal to the expected life of the options. The company recognizes compensation expense for the fair value of stock options, which have graded vesting, on the straight-line basis over the requisite service period of the awards. The compensation expense recognized as of any date must be at least equal to the portion of the grant-date fair value that is vested at that date. The fair value of stock option awards was estimated using the Black-Scholes option pricing model with the following assumptions and weighted-average fair values as follows: Year Ended December 31 2015 2014 2013 Weighted-average fair value of grant $ 8.92 $ 11.24 $ 8.79 Risk-free interest rate 1.28 % 1.04 % .54 % Expected volatility 45.46 % 45.65 % 50.19 % Expected life of options in years 4.92 3.71 3.69 Expected dividend yield – – – A summary of stock option activity for the year ended December 31, 2015 follows (shares in thousands): Options Shares Weighted- Weighted- Average Aggregate Outstanding at December 31, 2014 2,816 $ 29.51 Granted 743 23.21 Exercised (190 ) 19.53 Forfeited and expired (646 ) 32.10 Outstanding at December 31, 2015 2,723 27.88 2.75 $ 0.0 Expected to vest at December 31, 2015 1,281 26.23 4.18 $ 0.0 Exercisable at December 31, 2015 1,398 29.51 1.36 $ 0.0 The aggregate intrinsic value represents the total pretax value of the difference between the company’s closing stock price on the last trading day of the period and the exercise price of the options, multiplied by the number of in-the-money stock options that would have been received by the option holders had all option holders exercised their options on December 31, 2015. The intrinsic value of the company’s stock options changes based on the closing price of the company’s stock. The total intrinsic value of options exercised for the years ended December 31, 2015, 2014 and 2013 was $.6 million, $4.7 million and $7.9 million, respectively. As of December 31, 2015, $4.0 million of total unrecognized compensation cost related to stock options is expected to be recognized over a weighted-average period of 1.9 years. Restricted stock unit awards may contain time-based units, performance-based units or a combination of both. Each performance-based unit will vest into zero to 2.0 shares depending on the degree to which the performance goals are met. Compensation expense resulting from these awards is recognized as expense ratably for each installment from the date of grant until the date the restrictions lapse and is based on the fair market value at the date of grant and the probability of achievement of the specific performance-related goals. A summary of restricted stock unit activity for the year ended December 31, 2015 follows (shares in thousands): Restricted Weighted-Average Outstanding at December 31, 2014 354 $ 28.81 Granted 452 22.52 Vested (87 ) 23.85 Forfeited and expired (250 ) 29.01 Outstanding at December 31, 2015 469 23.57 The fair value of restricted stock units is determined based on the trading price of the company’s common shares on the date of grant. The aggregate weighted-average grant-date fair value of restricted stock units granted during the years ended December 31, 2015, 2014 and 2013 was $10.2 million, $12.8 million and $5.3 million, respectively. As of December 31, 2015, there was $4.9 million of total unrecognized compensation cost related to outstanding restricted stock units granted under the company’s plans. That cost is expected to be recognized over a weighted-average period of 2.1 years. The aggregate weighted-average grant-date fair value of restricted stock units vested during the years ended December 31, 2015, 2014 and 2013 was $2.1 million, $3.3 million and $4.5 million, respectively. Common stock issued upon exercise of stock options or upon lapse of restrictions on restricted stock units are newly issued shares. Cash received from the exercise of stock options was $3.7 million and $3.4 million for the years ended December 31, 2015 and 2014, respectively. During 2015 and 2014, the company did not recognize any tax benefits from the exercise of stock options or upon issuance of stock upon lapse of restrictions on restricted stock units because of its tax position. Any such tax benefits resulting from tax deductions in excess of the compensation costs recognized are classified as financing cash flows. Defined contribution and compensation plans The company has defined contribution plans in certain locations outside the United States. The charge to income related to these plans was $21.4 million, $25.2 million and $26.7 million, for the years ended December 31, 2015, 2014 and 2013, respectively. The company has non-qualified compensation plans, which allow certain highly compensated employees and directors to defer the receipt of a portion of their salary, bonus and fees. Participants can earn a return on their deferred balance that is based on hypothetical investments in various investment vehicles. Changes in the market value of these investments are reflected as an adjustment to the liability with an offset to expense. As of December 31, 2015 and 2014, the liability to the participants of these plans was $12.6 million and $12.1 million, respectively. These amounts reflect the accumulated participant deferrals and earnings thereon as of that date. The company makes no contributions to the deferred compensation plans and remains contingently liable to the participants. Retirement benefits Retirement plans’ funded status and amounts recognized in the company’s consolidated balance sheets at December 31, 2015 and 2014 follow: U.S. Plans International Plans December 31 (millions) 2015 2014 2015 2014 Change in projected benefit obligation Benefit obligation at beginning of year $ 5,665.5 $ 5,158.8 $ 3,354.9 $ 3,059.2 Service cost – – 8.7 8.4 Interest cost 224.1 248.3 94.1 117.9 Plan participants’ contributions – – 2.5 3.1 Plan amendment (2.7 ) (46.3 ) (32.3 ) (1.0 ) Plan curtailment – – – (.3 ) Actuarial loss (gain) (285.0 ) 670.0 (79.5 ) 559.4 Benefits paid (370.5 ) (365.3 ) (112.8 ) (115.4 ) Foreign currency translation adjustments – – (247.8 ) (276.4 ) Benefit obligation at end of year $ 5,231.4 $ 5,665.5 $ 2,987.8 $ 3,354.9 Change in plan assets Fair value of plan assets at beginning of year $ 4,069.7 $ 4,048.0 $ 2,718.9 $ 2,681.8 Actual return on plan assets (5.6 ) 299.9 18.6 278.0 Employer contribution 65.8 87.1 82.5 96.3 Plan participants’ contributions – – 2.5 3.1 Benefits paid (370.5 ) (365.3 ) (112.8 ) (115.4 ) Foreign currency translation adjustments – – (212.9 ) (224.9 ) Fair value of plan assets at end of year $ 3,759.4 $ 4,069.7 $ 2,496.8 $ 2,718.9 Funded status at end of year $ (1,472.0 ) $ (1,595.8 ) $ (491.0 ) $ (636.0 ) Amounts recognized in the consolidated balance sheets consist of: Prepaid postretirement assets $ – $ – $ 43.8 $ 18.9 Other accrued liabilities (6.8 ) (6.9 ) (.2 ) (.2 ) Long-term postretirement liabilities (1,465.2 ) (1,588.9 ) (534.6 ) (654.7 ) Total funded status $ (1,472.0 ) $ (1,595.8 ) $ (491.0 ) $ (636.0 ) Accumulated other comprehensive loss, net of tax Net loss $ 2,816.2 $ 2,973.5 $ 1,018.6 $ 1,076.1 Prior service (credit) cost $ (44.9 ) $ (44.5 ) $ (35.8 ) $ (12.8 ) Accumulated benefit obligation $ 5,231.4 $ 5,665.5 $ 2,983.1 $ 3,349.3 Information for defined benefit retirement plans with an accumulated benefit obligation in excess of plan assets at December 31, 2015 and 2014 follows: December 31 (millions) 2015 2014 Accumulated benefit obligation $ 7,231.2 $ 8,412.6 Fair value of plan assets 5,228.6 6,167.2 Information for defined benefit retirement plans with a projected benefit obligation in excess of plan assets at December 31, 2015 and 2014 follows: December 31 (millions) 2015 2014 Projected benefit obligation $ 7,235.4 $ 8,417.9 Fair value of plan assets 5,228.6 6,167.2 Net periodic pension cost for 2015, 2014 and 2013 includes the following components: U.S. Plans International Plans Year ended December 31 (millions) 2015 2014 2013 2015 2014 2013 Service cost $ – $ – $ – $ 8.7 $ 8.4 $ 10.4 Interest cost 224.1 248.3 220.4 94.1 117.9 106.6 Expected return on plan assets (254.8 ) (287.1 ) (291.5 ) (155.4 ) (160.5 ) (141.9 ) Amortization of prior service (credit) (2.4 ) (.4 ) .7 (1.9 ) (2.1 ) (2.1 ) Recognized net actuarial loss 132.7 109.7 139.0 63.6 40.2 51.9 Curtailment gain – – – – (.6 ) – Net periodic pension cost $ 99.6 $ 70.5 $ 68.6 $ 9.1 $ 3.3 $ 24.9 Weighted-average assumptions used to determine net periodic pension cost for the years ended December 31 were as follows: Discount rate 4.09% 5.02% 4.01% 3.05% 4.15% 3.92% Rate of compensation increase N/A N/A N/A 1.68% 2.08% 2.06% Expected long-term rate of return on assets 6.80% 7.72% 8.00% 6.45% 6.45% 6.40% Weighted-average assumptions used to determine benefit obligations at December 31 were as follows: Discount rate 4.56% 4.09% 5.02% 3.30% 3.05% 4.15% Rate of compensation increase N/A N/A N/A 1.68% 1.68% 2.08% The expected pretax amortization in 2016 of net periodic pension cost is as follows: net loss, $155.7 million; and prior service credit, $(5.7) million. The amortization of these items is recorded as an element of pension expense. In 2015, pension expense included amortization of $196.3 million of net losses and $(4.3) million of prior service credit. The company’s investment policy targets and ranges for each asset category are as follows: U.S. Int’l. Asset Category Target Range Target Range Equity securities 58% 52-64% 39% 33-45% Debt securities 36% 33-39% 54% 47-61% Real estate 6% 3-9% 1% 0-3% Cash 0% 0-5% 1% 0-5% Other 0% 0% 5% 0-10% The company periodically reviews its asset allocation, taking into consideration plan liabilities, local regulatory requirements, plan payment streams and then-current capital market assumptions. The actual asset allocation for each plan is monitored at least quarterly, relative to the established policy targets and ranges. If the actual asset allocation is close to or out of any of the ranges, a review is conducted. Rebalancing will occur toward the target allocation, with due consideration given to the liquidity of the investments and transaction costs. The objectives of the company’s investment strategies are as follows: (a) to provide a total return that, over the long term, increases the ratio of plan assets to liabilities by maximizing investment return on assets, at a level of risk deemed appropriate, (b) to maximize return on assets by investing primarily in equity securities in the U.S. and for international plans by investing in appropriate asset classes, subject to the constraints of each plan design and local regulations, (c) to diversify investments within asset classes to reduce the impact of losses in single investments, and (d) for the U.S. plan to invest in compliance with the Employee Retirement Income Security Act of 1974 (ERISA), as amended and any subsequent applicable regulations and laws, and for international plans to invest in a prudent manner in compliance with local applicable regulations and laws. The company sets the expected long-term rate of return based on the expected long-term return of the various asset categories in which it invests. The company considered the current expectations for future returns and the actual historical returns of each asset class. Also, since the company’s investment policy is to actively manage certain asset classes where the potential exists to outperform the broader market, the expected returns for those asset classes were adjusted to reflect the expected additional returns. In 2016, the company expects to make cash contributions of $139.3 million to its worldwide defined benefit pension plans, which is comprised of $86.8 million primarily for non-U.S. defined benefit pension plans and $52.5 million for the company’s U.S. qualified defined benefit pension plan. As of December 31, 2015, the following benefit payments, which reflect expected future service where applicable, are expected to be paid from the defined benefit pension plans: Year ending December 31 (millions) U.S. Int’l. 2016 $ 361.8 $ 104.6 2017 362.6 105.6 2018 362.9 107.1 2019 363.5 109.3 2020 364.5 110.8 2021 - 2025 1,814.7 573.9 Other postretirement benefits December 31 (millions) 2015 2014 Change in accumulated benefit obligation Benefit obligation at beginning of year $ 150.0 $ 159.7 Service cost .6 .6 Interest cost 6.9 7.6 Plan participants’ contributions 4.2 4.6 Actuarial gain (8.0 ) (2.4 ) Federal drug subsidy 1.5 1.4 Benefits paid (21.4 ) (20.0 ) Foreign currency translation and other adjustments (2.3 ) (1.5 ) Benefit obligation at end of year $ 131.5 $ 150.0 Change in plan assets Fair value of plan assets at beginning of year $ 9.1 $ 9.2 Actual return on plan assets (.1 ) – Employer contributions 15.9 15.3 Plan participants’ contributions 4.2 4.6 Benefits paid (21.4 ) (20.0 ) Fair value of plan assets at end of year $ 7.7 $ 9.1 Funded status at end of year $ (123.8 ) $ (140.9 ) Amounts recognized in the consolidated balance sheets consist of: Prepaid postretirement assets $ 1.3 $ 1.0 Other accrued liabilities (13.7 ) (15.6 ) Long-term postretirement liabilities (111.4 ) (126.3 ) Total funded status $ (123.8 ) $ (140.9 ) Accumulated other comprehensive loss, net of tax Net loss $ 21.3 $ 32.0 Prior service cost .1 1.2 Net periodic postretirement benefit cost for 2015, 2014 and 2013, follows: Year ended December 31 (millions) 2015 2014 2013 Service cost $ .6 $ .6 $ .6 Interest cost 6.9 7.6 7.9 Expected return on assets (.4 ) (.5 ) (.5 ) Amortization of prior service cost 1.1 1.7 1.8 Recognized net actuarial loss 1.8 1.7 4.5 Net periodic benefit cost $ 10.0 $ 11.1 $ 14.3 Weighted-average assumptions used to determine net periodic postretirement benefit cost for the years ended December 31 were as follows: Discount rate 5.27 % 5.86 % 5.15 % Expected return on plan assets 5.50 % 6.75 % 6.75 % Weighted-average assumptions used to determine benefit obligation at December 31 were as follows: Discount rate 5.61 % 5.27 % 5.86 % The expected pretax amortization in 2016 of net periodic postretirement benefit cost is as follows: net loss, $1.1 million; and prior service cost, $.1 million. The company reviews its asset allocation periodically, taking into consideration plan liabilities, plan payment streams and then-current capital market assumptions. The company sets the long-term expected return on asset assumption, based principally on the long-term expected return on debt securities. These return assumptions are based on a combination of current market conditions, capital market expectations of third-party investment advisors and actual historical returns of the asset classes. In 2016, the company expects to contribute approximately $15 million to its postretirement benefit plan. Assumed health care cost trend rates at December 31 2015 2014 Health care cost trend rate assumed for next year 6.1 % 6.4 % Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 4.8 % 4.8 % Year that the rate reaches the ultimate trend rate 2023 2023 A one-percentage-point change in assumed health care cost trend rates would have the following effects (in millions of dollars): 1-Percentage- Increase 1-Percentage- Effect on service and interest cost $ .1 $ (.2 ) Effect on postretirement benefit obligation 3.4 (3.5 ) As of December 31, 2015, the following benefits are expected to be paid to or from the company’s postretirement plan: Year ending December 31 (millions) Gross Gross 2016 $ 1.1 $ 15.9 2017 1.0 15.4 2018 .9 14.7 2019 .8 14.0 2020 .7 13.1 2021 – 2025 2.0 46.2 The following provides a description of the valuation methodologies and the levels of inputs used to measure fair value, and the general classification of investments in the company’s U.S. and international defined benefit pension plans, and the company’s other postretirement benefit plan. Level 1 – These investments include cash, common stocks, real estate investment trusts, exchange traded funds, exchange traded futures, and U.S. government securities. These investments are valued using quoted prices in an active market. Payables and receivables are also included as Level 1 investments and are valued at face value. Level 2 – These investments include the following: Pooled Funds – These investments are comprised of money market funds and fixed income securities. The money market funds are valued at Net Asset Value (NAV) of shares held by the plans at year-end. NAV is a practical expedient for fair value. The NAV is based on the value of the underlying assets owned by the fund, minus its liabilities, divided by the number of units outstanding. The fixed income securities are valued based on quoted prices for identical or similar investments in markets that may not be active. Commingled Funds – These investments are comprised of debt, equity and other securities and are valued using the NAV provided by trustees of the funds. The NAV is quoted on a private market that is not active. The unit price is based on underlying investments which are traded on markets that may or may not be active. Other Fixed Income – These investments are comprised of corporate and government fixed income investments and asset and mortgage backed securities for which there are quoted prices for identical or similar investments in markets that may not be active. Derivatives – These investments include forward exchange contracts and options, which are traded on an active market, but not on an exchange; therefore, the inputs may not be readily observable. These investments also include fixed income futures and other derivative instruments. Level 3 – These investments include the following: Real Estate and Private Equity – These investments represent interests in limited partnerships which invest in privately held companies or privately held real estate or other real assets. Due to the nature of these investments, pricing inputs are not readily observable. Asset valuations are developed by the general partners that manage the partnerships. These valuations are based on property appraisals, utilization of market transactions that provide valuation information for comparable companies, discounted cash flows, and other methods. These valuations are reported quarterly and adjusted as necessary at year end based on cash flows within the most recent period. Insurance Contracts – These investments are insurance contracts which are generally invested in fixed income securities. The insurance contracts are carried at book value, are not publicly traded and are adjusted to fair value based on a market value adjustment (MVA) formula determined by the insurance provider. The MVA formula is based on unobservable inputs, which among other items take into consideration the yield earned by contributions during a specified time period, current bond yields and duration. Similar to bonds, as interest rates rise, the market value of the contracts will decrease and as interest rates decline, the market value will increase. Commingled Funds – These investments are commingled funds, which include a fund of hedge funds, and a multi-asset fund. The NAV is quoted on a private market that is not active. The unit price is based on underlying investments, which are valued based on unobservable inputs. The following table sets forth by level, within the fair value hierarchy, the plans’ assets (liabilities) at fair value at December 31, 2015. U.S. Plans International Plans December 31, 2015 (millions) Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Pension plans Equity Securities Common Stocks $ 1,686.4 $ 1,680.6 $ 5.8 $ .6 $ .6 Commingled Funds 411.9 411.9 956.1 $ 956.1 Debt Securities U.S. Govt. Securities 162.2 162.2 Other Fixed Income 974.7 974.7 248.5 248.5 Insurance Contracts 120.6 $ 120.6 Commingled Funds 905.4 905.4 Real Estate Real Estate Investment Trusts 170.7 170.7 .7 .7 Real Estate 37.6 $ 37.6 41.8 41.8 Other Derivatives .8 .3 .5 7.0 7.0 Private Equity 7.6 7.6 Commingled Funds 105.3 105.3 188.7 118.4 70.3 Pooled Funds 263.1 263.1 Cash 1.9 1.9 27.4 27.4 Receivables 77.1 77.1 Payables (139.9 ) (139.9 ) Total $ 3,759.4 $ 1,952.9 $ 1,761.3 $ 45.2 $ 2,496.8 $ 28.7 $ 2,235.4 $ 232.7 Other postretirement plans Insurance Contracts $ 7.7 $ 7.7 The following table sets forth by level, within the fair value hierarchy, the plans’ assets (liabilities) at fair value at December 31, 2014. U.S. Plans International Plans December 31, 2014 (millions) Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Pension plans Equity Securities Common Stocks $ 1,837.4 $ 1,831.6 $ 5.8 $ 1.6 $ 1.6 Commingled Funds 461.6 461.6 1,054.8 $ 1,054.8 Debt Securities U.S. and UK Govt. Securities 176.9 176.9 Other Fixed Income 1,025.3 1,025.3 330.4 330.4 Insurance Contracts 17.4 $ 17.4 135.5 $ 135.5 Commingled Funds 991.1 991.1 Real Estate Real Estate Investment Trusts 169.1 169.1 1.3 1.3 Real Estate 34.2 34.2 40.8 40.8 Other Derivatives 18.2 5.9 12.3 7.2 7.2 Private Equity 12.8 12.8 Commingled Funds 102.1 102.1 136.5 85.8 50.7 Pooled Funds 297.2 297.2 1.2 1.2 Cash (1.3 ) (1.3 ) 18.6 18.6 Receivables 77.4 77.4 Payables (158.6 ) (158.6 ) (.1 ) (.1 ) Total $ 4,069.7 $ 2,101.0 $ 1,904.3 $ 64.4 $ 2,718.9 $ 21.4 $ 2,470.5 $ 227.0 Other postretirement plans Insurance Contracts $ 7.3 $ 7.3 Pooled Funds 1.8 $ 1.8 Total $ 9.1 $ 1.8 $ 7.3 The following table sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2015. (millions) January 1, Realized gains (losses) Purchases or acquisitions Sales or Currency and gains (losses) December 31, U.S. plans Pension plan Real Estate $ 34.2 $ .1 $ (.1 ) $ 3.4 $ 37.6 Private Equity 12.8 (8.2 ) $ .2 (6.6 ) 9.4 7.6 Insurance Contracts 17.4 (.4 ) (16.6 ) (.4 ) – Total $ 64.4 $ (8.5 ) $ .2 $ (23.3 ) $ 12.4 $ 45.2 Other postretirement plans Insurance Contracts $ 7.3 $ (.1 ) $ .5 $ 7.7 International pension plans Insurance Contracts $ 135.5 $ 9.4 $ (10.9 ) $ (13.4 ) $ 120.6 Real Estate 40.8 $ .2 6.1 (5.9 ) .6 41.8 Commingled Funds 50.7 23.0 (.4 ) (3.0 ) 70.3 Total $ 227.0 $ .2 $ 38.5 $ (17.2 ) $ (15.8 ) $ 232.7 The following table sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2014. (millions) January 1, Realized gains (losses) Purchases or acquisitions Sales or Currency and gains (losses) December 31, U.S. plans Pension plan Real Estate $ 34.7 $ 4.7 $ (4.9 ) $ (.3 ) $ 34.2 Private Equity 16.5 (24.4 ) (6.7 ) 27.4 12.8 Insurance Contracts 79.5 .1 (63.0 ) .8 17.4 Total $ 130.7 $ (19.6 ) $ (74.6 ) $ 27.9 $ 64.4 Other postretirement plans Insurance Contracts $ 7.5 $ .2 $ (.4 ) $ 7.3 International pension plans Insurance Contracts $ 151.3 $ 7.0 $ (13.0 ) $ (9.8 ) $ 135.5 Real Estate 42.8 $ (.2 ) 15.3 (15.5 ) (1.6 ) 40.8 Commingled Funds 50.2 .1 1.0 (.3 ) (.3 ) 50.7 Total $ 244.3 $ (.1 ) $ 23.3 $ (28.8 ) $ (11.7 ) $ 227.0 |
Stockholders' equity
Stockholders' equity | 12 Months Ended |
Dec. 31, 2015 | |
Stockholders' equity | 17. Stockholders’ equity The company has 100 million authorized shares of common stock, par value $.01 per share, and 40 million shares of authorized preferred stock, par value $1 per share, issuable in series. At December 31, 2015, 6.0 million shares of unissued common stock of the company were reserved for stock-based incentive plans. On March 1, 2014, all of the outstanding shares of 6.25% mandatory convertible preferred stock (2,587,400 shares) were automatically converted (in accordance with its terms) into 6,912,756 shares of the company’s common stock. Because March 1, 2014 was not a business day, the mandatory conversion was effected on Monday, March 3, 2014. Accumulated other comprehensive income (loss) as of December 31, 2015, 2014 and 2013, is as follows: (millions) Total Translation Adjustments Postretirement Balance at December 31, 2012 $ (4,133.6 ) $ (634.3 ) $ (3,499.3 ) Other comprehensive income before reclassifications 985.1 (42.5 ) 1,027.6 Amounts reclassified from accumulated other comprehensive income (184.9 ) – (184.9 ) Current period other comprehensive income 800.2 (42.5) 842.7 Balance at December 31, 2013 (3,333.4 ) (676.8 ) (2,656.6 ) Other comprehensive income before reclassifications (638.8) (61.0) (577.8) Amounts reclassified from accumulated other comprehensive income (141.2 ) – (141.2 ) Current period other comprehensive income (780.0 ) (61.0 ) (719.0 ) Balance at December 31, 2014 (4,113.4 ) (737.8 ) (3,375.6 ) Other comprehensive income before reclassifications 346.2 (96.0) 442.2 Amounts reclassified from accumulated other comprehensive income (178.1 ) – (178.1 ) Current period other comprehensive income 168.1 (96.0) 264.1 Balance at December 31, 2015 $ (3,945.3 ) $ (833.8 ) $ (3,111.5 ) Amounts related to postretirement plans not reclassified in their entirety out of accumulated other comprehensive income were as follows: Year ended December 31 (millions) 2015 2014 Amortization of prior service cost* $ (3.1 ) $ (.7 ) Amortization of actuarial losses* 189.7 148.3 Curtailment gain* – (.6 ) Total before tax 186.6 147.0 Income tax benefit (8.5 ) (5.8 ) Net of tax $ 178.1 $ 141.2 * These items are included in net periodic postretirement cost (see note 16). The following table summarizes the changes in preferred stock, common stock and treasury stock during the three years ended December 31, 2015: (millions) Preferred Stock Common Stock Treasury Balance at December 31, 2012 2.6 44.3 .4 Common stock repurchases – – .6 Stock-based compensation – .8 .1 Balance at December 31, 2013 2.6 45.1 1.1 Common stock repurchases – – 1.6 Stock-based compensation – .4 – Preferred stock conversion (2.6 ) 6.9 – Balance at December 31, 2014 – 52.4 2.7 Stock-based compensation – .2 – Balance at December 31, 2015 – 52.6 2.7 |
Summary of significant accoun26
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Principles Of Consolidation | Principles of consolidation |
Use Of Estimates | Use of estimates |
Cash Equivalents | Cash equivalents |
Inventories | Inventories |
Properties | Properties |
Advertising Costs | Advertising costs |
Shipping And Handling | Shipping and handling |
Revenue Recognition | Revenue recognition Revenue from hardware sales with standard payment terms is recognized upon the passage of title and the transfer of risk of loss. Outside the United States, the company recognizes revenue even if it retains a form of title to products delivered to customers, provided the sole purpose is to enable the company to recover the products in the event of customer payment default and the arrangement does not prohibit the customer’s use of the product in the ordinary course of business. Revenue from software licenses with standard payment terms is recognized at the inception of the initial license term and upon execution of an extension to the license term. The company also enters into multiple-element arrangements, which may include any combination of hardware, software or services. For example, a client may purchase an enterprise server that includes operating system software. In addition, the arrangement may include post-contract support for the software and a contract for post-warranty maintenance for service of the hardware. These arrangements consist of multiple deliverables, with hardware and software delivered in one reporting period and the software support and hardware maintenance services delivered across multiple reporting periods. In another example, the company may provide desktop managed services to a client on a long term multiple year basis and periodically sell hardware and software products to the client. The services are provided on a continuous basis across multiple reporting periods and the hardware and software products are delivered in one reporting period. To the extent that a deliverable in a multiple-deliverable arrangement is subject to specific guidance, that deliverable is accounted for in accordance with such specific guidance. Examples of such arrangements may include leased hardware which is subject to specific leasing guidance or software which is subject to specific software revenue recognition guidance. In these transactions, the company allocates the total revenue to be earned under the arrangement among the various elements based on a selling price hierarchy. The selling price for a deliverable is based on its vendor specific objective evidence (VSOE) if available, third party evidence (TPE) if VSOE is not available, or the best estimated selling price (ESP) if neither VSOE nor TPE is available. VSOE of selling price is based upon the normal pricing and discounting practices for those products and services when sold separately. TPE of selling price is based on evaluating largely similar and interchangeable competitor products or services in standalone sales to similarly situated customers. ESP is established considering factors such as margin objectives, discounts off of list prices, market conditions, competition and other factors. ESP represents the price at which the company would transact for the deliverable if it were sold by the company regularly on a standalone basis. As mentioned above, some of the company’s multiple-element arrangements may include leased hardware which is subject to specific leasing guidance. Revenue under these arrangements is allocated considering the relative selling prices of the lease and non-lease elements. Lease deliverables include hardware, financing, maintenance and other executory costs, while non-lease deliverables generally consist of non-maintenance services. The amount of revenue allocated to the lease deliverables begins by allocating revenue to maintenance and other executory costs plus a profit thereon. These elements are generally recognized over the term of the lease. The remaining amounts are allocated to the hardware and financing elements. The amount allocated to hardware is recognized as revenue monthly over the term of the lease for those leases which are classified as operating leases and at the inception of the lease term for those leases which are classified as sales-type leases. The amount of finance income attributable to sales-type leases is recognized on the accrual basis using the effective interest method. For multiple-element arrangements that involve the licensing, selling or leasing of software, for software and software-related elements, the allocation of revenue is based on VSOE. There may be cases in which there is VSOE of fair value of the undelivered elements but no such evidence for the delivered elements. In these cases, the residual method is used to allocate the arrangement consideration. Under the residual method, the amount of consideration allocated to the delivered elements equals the total arrangement consideration less the aggregate VSOE of fair value of the undelivered elements. For multiple-element arrangements that include products or services that (a) do not include the licensing, selling or leasing of software, or (b) contain software that is incidental to the products or services as a whole or (c) contain software components that are sold, licensed or leased with tangible products when the software components and non-software components (i.e., the hardware and software) of the tangible product function together to deliver the tangible product’s essential functionality (e.g., sales of the company’s enterprise-class servers including hardware and software), or some combination of the above, the allocation of revenue is based on the relative selling prices of each of the deliverables in the arrangement based on the selling price hierarchy, discussed above. For multiple-element arrangements that include both software and non-software deliverables, the company allocates arrangement consideration to the software group and to the non-software group based on the relative selling prices of the deliverables in the arrangement based on the selling price hierarchy discussed above. For the software group, arrangement consideration is further allocated using VSOE as described above. The company recognizes revenue on delivered elements only if: (a) any undelivered products or services are not essential to the functionality of the delivered products or services, (b) the company has an enforceable claim to receive the amount due in the event it does not deliver the undelivered products or services, (c) there is evidence of the selling price for each undelivered product or service, and (d) the revenue recognition criteria otherwise have been met for the delivered elements. Otherwise, revenue on delivered elements is recognized as the undelivered elements are delivered. The company evaluates each deliverable in an arrangement to determine whether it represents a separate unit of accounting. A delivered element constitutes a separate unit of accounting when it has standalone value and there is no customer-negotiated refund or return right for the delivered elements. If these criteria are not met, the deliverable is combined with the undelivered elements and the allocation of the arrangement consideration and revenue recognition are determined for the combined unit as a single unit. Revenue from hardware sales and software licenses with extended payment terms is recognized as payments from customers become due (assuming that all other conditions for revenue recognition have been satisfied). Revenue for operating leases is recognized on a monthly basis over the term of the lease and for sales-type leases at the inception of the lease term. Revenue from equipment and software maintenance and post-contract support is recognized on a straight-line basis as earned over the terms of the respective contracts. Cost related to such contracts is recognized as incurred. Revenue and profit under systems integration contracts are recognized either on the percentage-of-completion method of accounting using the cost-to-cost method, or when services have been performed, depending on the nature of the project. For contracts accounted for on the percentage-of-completion basis, revenue and profit recognized in any given accounting period are based on estimates of total projected contract costs. The estimates are continually reevaluated and revised, when necessary, throughout the life of a contract. Any adjustments to revenue and profit resulting from changes in estimates are accounted for in the period of the change in estimate. When estimates indicate that a loss will be incurred on a contract upon completion, a provision for the expected loss is recorded in the period in which the loss becomes evident. Revenue from time and materials service contracts and outsourcing contracts is recognized as the services are provided using either an objective measure of output or on a straight-line basis over the term of the contract. |
Income Taxes | Income taxes |
Marketable Software | Marketable software |
Internal-use Software | Internal-use software |
Outsourcing Assets | Outsourcing assets Recoverability of outsourcing assets is subject to various business risks. The company quarterly compares the carrying value of the outsourcing assets with the undiscounted future cash flows expected to be generated by the outsourcing assets to determine if there is impairment. If impaired, the outsourcing assets are reduced to an estimated fair value on a discounted cash flow basis. The company prepares its cash flow estimates based on assumptions that it believes to be reasonable but are also inherently uncertain. Actual future cash flows could differ from these estimates. |
Translation Of Foreign Currency | Translation of foreign currency For those international subsidiaries operating in highly inflationary economies, the U.S. dollar is the functional currency, and as such, nonmonetary assets and liabilities are translated at historical exchange rates, and monetary assets and liabilities are translated at current exchange rates. Exchange gains and losses arising from translation are included in other income (expense), net. |
Stock-Based Compensation Plans | Stock-based compensation plans |
Retirement Benefits | Retirement benefits At December 31 of each year, the company determines the fair value of its retirement benefits plan assets as well as the discount rate to be used to calculate the present value of plan liabilities. The discount rate is an estimate of the interest rate at which the retirement benefits could be effectively settled. In estimating the discount rate, the company looks to rates of return on high-quality, fixed-income investments currently available and expected to be available during the period to maturity of the retirement benefits. The company uses a portfolio of fixed-income securities, which receive at least the second-highest rating given by a recognized ratings agency. |
Fair Value Measurements | Fair value measurements |
Noncontrolling interest | Noncontrolling interest |
Earnings per common share (Tabl
Earnings per common share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Computation of Earnings (Loss) Per Common Share Attributable to Unisys Corporation | The following table shows how the earnings (loss) per common share attributable to Unisys Corporation were computed for the three years ended December 31, 2015. Year ended December 31 (millions, except per share data) 2015 2014 2013 Basic earnings (loss) per common share computation Net income (loss) attributable to Unisys Corporation common stockholders $ (109.9 ) $ 44.0 $ 92.3 Weighted average shares (thousands) 49,905 49,280 43,899 Basic earnings (loss) per common share $ (2.20 ) $ .89 $ 2.10 Diluted earnings (loss) per common share computation Net income (loss) attributable to Unisys Corporation for diluted earnings per share $ (109.9 ) $ 44.0 $ 92.3 Weighted average shares (thousands) 49,905 49,280 43,899 Plus incremental shares from assumed conversions of employee stock plans – 304 448 Adjusted weighted average shares 49,905 49,584 44,347 Diluted earnings (loss) per common share $ (2.20 ) $ .89 $ 2.08 |
Cost Reduction Actions (Tables)
Cost Reduction Actions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Individual Components of Work Force Reduction and Idle Lease Cost | A further breakdown of the individual components of these costs follows (in millions of dollars): Work-Force Reductions (in millions of dollars) Headcount Total U.S. Int’l. Charges for cost reductions 1,482 $ 78.8 $ 27.9 $ 50.9 Utilized (1,227 ) (45.3 ) (23.7 ) (21.6 ) Translation adjustments (.5 ) (.5 ) Balance at December 31, 2015 255 $ 33.0 $ 4.2 $ 28.8 Expected future utilization: 2016 255 $ 33.0 $ 4.2 $ 28.8 Beyond 2016 – – – |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Changes in Carrying Amount of Goodwill by Segment | Changes in the carrying amount of goodwill by segment for the years ended December 31, 2015 and 2014 were as follows: (millions) Total Services Technology Balance at December 31, 2013 $ 188.7 $ 80.0 $ 108.7 Translation adjustments (4.8 ) (4.8 ) – Balance at December 31, 2014 183.9 75.2 108.7 Translation adjustments (6.5 ) (6.5 ) – Balance at December 31, 2015 $ 177.4 $ 68.7 $ 108.7 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Total Income Before Income Taxes and Provision for Income Taxes | Following is the total income before income taxes and the provision for income taxes for the three years ended December 31, 2015. Year ended December 31 (millions) 2015 2014 2013 Income (loss) before income taxes United States $ (130.6 ) $ (19.9 ) $ 28.4 Foreign 71.8 165.4 191.0 Total income (loss) before income taxes $ (58.8 ) $ 145.5 $ 219.4 Provision for income taxes Current United States $ 1.0 $ 2.1 $ 8.0 Foreign 42.2 59.4 63.0 State and local .3 1.0 (.2 ) Total 43.5 62.5 70.8 Deferred Foreign .9 23.7 28.5 Total provision for income taxes $ 44.4 $ 86.2 $ 99.3 |
Reconciliation of the Provision for Income Taxes | Following is a reconciliation of the provision for income taxes at the United States statutory tax rate to the provision for income taxes as reported: Year ended December 31 (millions) 2015 2014 2013 United States statutory income tax provision (benefit) $ (20.6 ) $ 50.9 $ 76.8 Income and losses for which no provision or benefit has been recognized 69.1 35.7 13.5 Foreign rate differential and other foreign tax expense (15.9 ) (22.0 ) (23.0 ) Income tax withholdings 12.5 17.1 15.4 Permanent items (1.9) 1.1 4.0 Enacted rate changes 9.1 – 8.9 Change in uncertain tax positions 1.5 .2 4.4 Change in valuation allowances due to changes in judgment (5.4 ) 7.0 (.5 ) Income tax credits, U.S. (4.0 ) (3.9 ) – Other – .1 (.2 ) Provision for income taxes $ 44.4 $ 86.2 $ 99.3 |
Significant Portions of Deferred Tax Assets and Liabilities | The tax effects of temporary differences and carryforwards that give rise to significant portions of deferred tax assets and liabilities at December 31, 2015 and 2014 were as follows: December 31 (millions) 2015 2014 Deferred tax assets Tax loss carryforwards $ 854.5 $ 883.3 Postretirement benefits 695.7 791.3 Foreign tax credit carryforwards 263.2 245.5 Other tax credit carryforwards 86.7 88.0 Deferred revenue 65.7 60.5 Employee benefits and compensation 49.9 44.6 Purchased capitalized software 39.5 39.3 Depreciation 36.8 34.9 Warranty, bad debts and other reserves 14.1 12.8 Capitalized costs 13.0 16.3 Capitalized research and development 3.2 36.0 Other 39.7 29.5 2,162.0 2,282.0 Valuation allowance (2,024.9 ) (2,107.8 ) Total deferred tax assets $ 137.1 $ 174.2 Deferred tax liabilities Other $ 22.7 $ 37.9 Total deferred tax liabilities $ 22.7 $ 37.9 Net deferred tax assets $ 114.4 $ 136.3 |
Reconciliation of Changes in Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Year ended December 31 (millions) 2015 2014 2013 Balance at January 1 $ 35.0 $ 26.3 $ 29.2 Additions based on tax positions related to the current year 3.4 14.4 (2.4 ) Changes for tax positions of prior years (4.0 ) (1.4 ) (.1 ) Reductions as a result of a lapse of applicable statute of limitations (3.4 ) (1.6 ) – Settlements (.9 ) (.9 ) (.2 ) Changes due to foreign currency (2.4 ) (1.8 ) (.2 ) Balance at December 31 $ 27.7 $ 35.0 $ 26.3 |
Properties (Tables)
Properties (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Components of Properties | Properties comprise the following: December 31 (millions) 2015 2014 Land $ 2.8 $ 2.8 Buildings 93.1 80.1 Machinery and office equipment 586.8 644.9 Internal-use software 144.5 257.7 Rental equipment 49.4 73.9 Total properties $ 876.6 $ 1,059.4 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Components of Long-Term Debt | Long-term debt is comprised of the following: December 31 (millions) 2015 2014 6.25% senior notes due August 15, 2017 $ 210.0 $ 210.0 Capital leases 12.5 14.0 Other debt 24.0 – Total 246.5 224.0 Less – current maturities 11.0 1.8 Total long-term debt $ 235.5 $ 222.2 |
Other accrued liabilities (Tabl
Other accrued liabilities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Other Accrued Liabilities (Current) | Other accrued liabilities (current) are comprised of the following: December 31 (millions) 2015 2014 Payrolls and commissions $ 102.7 $ 109.3 Accrued vacations 51.1 60.8 Cost reduction 33.0 – Taxes other than income taxes 32.7 53.8 Income taxes 32.0 58.3 Postretirement 20.7 22.6 Accrued interest 4.9 4.9 Other 62.2 75.4 Total other accrued liabilities $ 339.3 $ 385.1 |
Segment information (Tables)
Segment information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Customer Revenue by Classes of Similar Products or Services | Customer revenue by classes of similar products or services, by segment, is presented below: Year ended December 31 (millions) 2015 2014 2013 Services Cloud & infrastructure services $ 1,513.1 $ 1,704.9 $ 1,772.4 Application services 868.9 819.8 824.7 BPO services 223.6 261.0 252.9 2,605.6 2,785.7 2,850.0 Technology 409.5 570.7 606.5 Total $ 3,015.1 $ 3,356.4 $ 3,456.5 |
Reconciliation of Segment Operating Income to Consolidated Income (Loss) Before Income Taxes | Presented below is a reconciliation of segment operating income to consolidated income (loss) before income taxes: Year ended December 31 (millions) 2015 2014 2013 Total segment operating income $ 174.9 $ 233.6 $ 307.5 Interest expense (11.9 ) (9.2 ) (9.9 ) Other income (expense), net 8.2 (.2 ) 9.8 Cost reduction charges (118.5 ) – – Corporate and eliminations (111.5 ) (78.7 ) (88.0 ) Total income (loss) before income taxes $ (58.8 ) $ 145.5 $ 219.4 |
Reconciliation of Total Business Segment Assets to Consolidated Assets | Presented below is a reconciliation of total business segment assets to consolidated assets: December 31 (millions) 2015 2014 2013 Total segment assets $ 1,486.0 $ 1,533.8 $ 1,530.5 Cash and cash equivalents 365.2 494.3 639.8 Deferred income taxes 138.6 171.0 136.4 Prepaid postretirement assets 45.1 19.9 83.7 Other corporate assets 108.3 129.7 119.6 Total assets $ 2,143.2 $ 2,348.7 $ 2,510.0 |
Summary of Operations by Business Segment | A summary of the company’s operations by business segment for 2015, 2014 and 2013 is presented below: (millions) Total Corporate Services Technology 2015 Customer revenue $ 3,015.1 $ 2,605.6 $ 409.5 Intersegment $ (49.0 ) .1 48.9 Total revenue $ 3,015.1 $ (49.0 ) $ 2,605.7 $ 458.4 Operating income (loss) $ (55.1 ) $ (230.0 ) $ 61.2 $ 113.7 Depreciation and amortization 180.1 104.8 75.3 Total assets 2,143.2 657.2 1,081.7 404.3 Capital expenditures 213.7 1.9 143.3 68.5 2014 Customer revenue $ 3,356.4 $ 2,785.7 $ 570.7 Intersegment $ (58.4 ) .3 58.1 Total revenue $ 3,356.4 $ (58.4 ) $ 2,786.0 $ 628.8 Operating income $ 154.9 $ (78.7 ) $ 96.0 $ 137.6 Depreciation and amortization 168.6 103.2 65.4 Total assets 2,348.7 814.9 1,099.2 434.6 Capital expenditures 212.8 4.9 133.8 74.1 2013 Customer revenue $ 3,456.5 $ 2,850.0 $ 606.5 Intersegment $ (37.2 ) 1.7 35.5 Total revenue $ 3,456.5 $ (37.2 ) $ 2,851.7 $ 642.0 Operating income $ 219.5 $ (88.0 ) $ 138.2 $ 169.3 Depreciation and amortization 159.6 91.8 67.8 Total assets 2,510.0 979.5 1,126.7 403.8 Capital expenditures 151.4 2.9 78.8 69.7 |
Revenue by Geographic Segment | Geographic information about the company’s revenue, which is principally based on location of the selling organization, properties and outsourcing assets, is presented below: Year ended December 31 (millions) 2015 2014 2013 Revenue United States $ 1,454.9 $ 1,378.1 $ 1,370.6 United Kingdom 375.8 435.4 414.0 Other foreign 1,184.4 1,542.9 1,671.9 Total $ 3,015.1 $ 3,356.4 $ 3,456.5 Properties, net United States $ 96.9 $ 111.9 $ 112.4 United Kingdom 18.8 22.0 24.7 Other foreign 38.1 34.8 37.6 Total $ 153.8 $ 168.7 $ 174.7 Outsourcing assets, net United States $ 119.4 $ 99.7 $ 56.2 United Kingdom 36.6 25.8 28.1 Other foreign 26.0 25.4 31.2 Total $ 182.0 $ 150.9 $ 115.5 |
Employee plans (Tables)
Employee plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Assumptions on Stock Options | The fair value of stock option awards was estimated using the Black-Scholes option pricing model with the following assumptions and weighted-average fair values as follows: Year Ended December 31 2015 2014 2013 Weighted-average fair value of grant $ 8.92 $ 11.24 $ 8.79 Risk-free interest rate 1.28 % 1.04 % .54 % Expected volatility 45.46 % 45.65 % 50.19 % Expected life of options in years 4.92 3.71 3.69 Expected dividend yield – – – |
Summary of Stock Option Activity | A summary of stock option activity for the year ended December 31, 2015 follows (shares in thousands): Options Shares Weighted- Weighted- Average Aggregate Outstanding at December 31, 2014 2,816 $ 29.51 Granted 743 23.21 Exercised (190 ) 19.53 Forfeited and expired (646 ) 32.10 Outstanding at December 31, 2015 2,723 27.88 2.75 $ 0.0 Expected to vest at December 31, 2015 1,281 26.23 4.18 $ 0.0 Exercisable at December 31, 2015 1,398 29.51 1.36 $ 0.0 |
Summary of Restricted Stock Unit Activity | A summary of restricted stock unit activity for the year ended December 31, 2015 follows (shares in thousands): Restricted Weighted-Average Outstanding at December 31, 2014 354 $ 28.81 Granted 452 22.52 Vested (87 ) 23.85 Forfeited and expired (250 ) 29.01 Outstanding at December 31, 2015 469 23.57 |
Schedule of Accumulated Benefit Obligation in Excess of Plan Assets | Information for defined benefit retirement plans with an accumulated benefit obligation in excess of plan assets at December 31, 2015 and 2014 follows: December 31 (millions) 2015 2014 Accumulated benefit obligation $ 7,231.2 $ 8,412.6 Fair value of plan assets 5,228.6 6,167.2 |
Schedule of Projected Benefit Obligation in Excess of Plan Assets | Information for defined benefit retirement plans with a projected benefit obligation in excess of plan assets at December 31, 2015 and 2014 follows: December 31 (millions) 2015 2014 Projected benefit obligation $ 7,235.4 $ 8,417.9 Fair value of plan assets 5,228.6 6,167.2 |
Company's Investment Policy Targets and Ranges for Each Asset Category | The company’s investment policy targets and ranges for each asset category are as follows: U.S. Int’l. Asset Category Target Range Target Range Equity securities 58% 52-64% 39% 33-45% Debt securities 36% 33-39% 54% 47-61% Real estate 6% 3-9% 1% 0-3% Cash 0% 0-5% 1% 0-5% Other 0% 0% 5% 0-10% |
Assumed Health Care Cost Trend Rates | Assumed health care cost trend rates at December 31 2015 2014 Health care cost trend rate assumed for next year 6.1 % 6.4 % Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) 4.8 % 4.8 % Year that the rate reaches the ultimate trend rate 2023 2023 |
Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates | A one-percentage-point change in assumed health care cost trend rates would have the following effects (in millions of dollars): 1-Percentage- Increase 1-Percentage- Effect on service and interest cost $ .1 $ (.2 ) Effect on postretirement benefit obligation 3.4 (3.5 ) |
Schedule of Plans' Assets (Liabilities) at Fair Value | The following table sets forth by level, within the fair value hierarchy, the plans’ assets (liabilities) at fair value at December 31, 2015. U.S. Plans International Plans December 31, 2015 (millions) Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Pension plans Equity Securities Common Stocks $ 1,686.4 $ 1,680.6 $ 5.8 $ .6 $ .6 Commingled Funds 411.9 411.9 956.1 $ 956.1 Debt Securities U.S. Govt. Securities 162.2 162.2 Other Fixed Income 974.7 974.7 248.5 248.5 Insurance Contracts 120.6 $ 120.6 Commingled Funds 905.4 905.4 Real Estate Real Estate Investment Trusts 170.7 170.7 .7 .7 Real Estate 37.6 $ 37.6 41.8 41.8 Other Derivatives .8 .3 .5 7.0 7.0 Private Equity 7.6 7.6 Commingled Funds 105.3 105.3 188.7 118.4 70.3 Pooled Funds 263.1 263.1 Cash 1.9 1.9 27.4 27.4 Receivables 77.1 77.1 Payables (139.9 ) (139.9 ) Total $ 3,759.4 $ 1,952.9 $ 1,761.3 $ 45.2 $ 2,496.8 $ 28.7 $ 2,235.4 $ 232.7 Other postretirement plans Insurance Contracts $ 7.7 $ 7.7 The following table sets forth by level, within the fair value hierarchy, the plans’ assets (liabilities) at fair value at December 31, 2014. U.S. Plans International Plans December 31, 2014 (millions) Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Pension plans Equity Securities Common Stocks $ 1,837.4 $ 1,831.6 $ 5.8 $ 1.6 $ 1.6 Commingled Funds 461.6 461.6 1,054.8 $ 1,054.8 Debt Securities U.S. and UK Govt. Securities 176.9 176.9 Other Fixed Income 1,025.3 1,025.3 330.4 330.4 Insurance Contracts 17.4 $ 17.4 135.5 $ 135.5 Commingled Funds 991.1 991.1 Real Estate Real Estate Investment Trusts 169.1 169.1 1.3 1.3 Real Estate 34.2 34.2 40.8 40.8 Other Derivatives 18.2 5.9 12.3 7.2 7.2 Private Equity 12.8 12.8 Commingled Funds 102.1 102.1 136.5 85.8 50.7 Pooled Funds 297.2 297.2 1.2 1.2 Cash (1.3 ) (1.3 ) 18.6 18.6 Receivables 77.4 77.4 Payables (158.6 ) (158.6 ) (.1 ) (.1 ) Total $ 4,069.7 $ 2,101.0 $ 1,904.3 $ 64.4 $ 2,718.9 $ 21.4 $ 2,470.5 $ 227.0 Other postretirement plans Insurance Contracts $ 7.3 $ 7.3 Pooled Funds 1.8 $ 1.8 Total $ 9.1 $ 1.8 $ 7.3 |
Summary of Changes in the Fair Value of the Plans' Level 3 Assets | The following table sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2015. (millions) January 1, Realized gains (losses) Purchases or acquisitions Sales or Currency and gains (losses) December 31, U.S. plans Pension plan Real Estate $ 34.2 $ .1 $ (.1 ) $ 3.4 $ 37.6 Private Equity 12.8 (8.2 ) $ .2 (6.6 ) 9.4 7.6 Insurance Contracts 17.4 (.4 ) (16.6 ) (.4 ) – Total $ 64.4 $ (8.5 ) $ .2 $ (23.3 ) $ 12.4 $ 45.2 Other postretirement plans Insurance Contracts $ 7.3 $ (.1 ) $ .5 $ 7.7 International pension plans Insurance Contracts $ 135.5 $ 9.4 $ (10.9 ) $ (13.4 ) $ 120.6 Real Estate 40.8 $ .2 6.1 (5.9 ) .6 41.8 Commingled Funds 50.7 23.0 (.4 ) (3.0 ) 70.3 Total $ 227.0 $ .2 $ 38.5 $ (17.2 ) $ (15.8 ) $ 232.7 The following table sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2014. (millions) January 1, Realized gains (losses) Purchases or acquisitions Sales or Currency and gains (losses) December 31, U.S. plans Pension plan Real Estate $ 34.7 $ 4.7 $ (4.9 ) $ (.3 ) $ 34.2 Private Equity 16.5 (24.4 ) (6.7 ) 27.4 12.8 Insurance Contracts 79.5 .1 (63.0 ) .8 17.4 Total $ 130.7 $ (19.6 ) $ (74.6 ) $ 27.9 $ 64.4 Other postretirement plans Insurance Contracts $ 7.5 $ .2 $ (.4 ) $ 7.3 International pension plans Insurance Contracts $ 151.3 $ 7.0 $ (13.0 ) $ (9.8 ) $ 135.5 Real Estate 42.8 $ (.2 ) 15.3 (15.5 ) (1.6 ) 40.8 Commingled Funds 50.2 .1 1.0 (.3 ) (.3 ) 50.7 Total $ 244.3 $ (.1 ) $ 23.3 $ (28.8 ) $ (11.7 ) $ 227.0 |
Pension Plans | |
Funded Status of the Plan and Amounts Recognized in Consolidated Balance Sheet | Retirement plans’ funded status and amounts recognized in the company’s consolidated balance sheets at December 31, 2015 and 2014 follow: U.S. Plans International Plans December 31 (millions) 2015 2014 2015 2014 Change in projected benefit obligation Benefit obligation at beginning of year $ 5,665.5 $ 5,158.8 $ 3,354.9 $ 3,059.2 Service cost – – 8.7 8.4 Interest cost 224.1 248.3 94.1 117.9 Plan participants’ contributions – – 2.5 3.1 Plan amendment (2.7 ) (46.3 ) (32.3 ) (1.0 ) Plan curtailment – – – (.3 ) Actuarial loss (gain) (285.0 ) 670.0 (79.5 ) 559.4 Benefits paid (370.5 ) (365.3 ) (112.8 ) (115.4 ) Foreign currency translation adjustments – – (247.8 ) (276.4 ) Benefit obligation at end of year $ 5,231.4 $ 5,665.5 $ 2,987.8 $ 3,354.9 Change in plan assets Fair value of plan assets at beginning of year $ 4,069.7 $ 4,048.0 $ 2,718.9 $ 2,681.8 Actual return on plan assets (5.6 ) 299.9 18.6 278.0 Employer contribution 65.8 87.1 82.5 96.3 Plan participants’ contributions – – 2.5 3.1 Benefits paid (370.5 ) (365.3 ) (112.8 ) (115.4 ) Foreign currency translation adjustments – – (212.9 ) (224.9 ) Fair value of plan assets at end of year $ 3,759.4 $ 4,069.7 $ 2,496.8 $ 2,718.9 Funded status at end of year $ (1,472.0 ) $ (1,595.8 ) $ (491.0 ) $ (636.0 ) Amounts recognized in the consolidated balance sheets consist of: Prepaid postretirement assets $ – $ – $ 43.8 $ 18.9 Other accrued liabilities (6.8 ) (6.9 ) (.2 ) (.2 ) Long-term postretirement liabilities (1,465.2 ) (1,588.9 ) (534.6 ) (654.7 ) Total funded status $ (1,472.0 ) $ (1,595.8 ) $ (491.0 ) $ (636.0 ) Accumulated other comprehensive loss, net of tax Net loss $ 2,816.2 $ 2,973.5 $ 1,018.6 $ 1,076.1 Prior service (credit) cost $ (44.9 ) $ (44.5 ) $ (35.8 ) $ (12.8 ) Accumulated benefit obligation $ 5,231.4 $ 5,665.5 $ 2,983.1 $ 3,349.3 |
Components of Net Periodic Benefit (Income) Cost | Net periodic pension cost for 2015, 2014 and 2013 includes the following components: U.S. Plans International Plans Year ended December 31 (millions) 2015 2014 2013 2015 2014 2013 Service cost $ – $ – $ – $ 8.7 $ 8.4 $ 10.4 Interest cost 224.1 248.3 220.4 94.1 117.9 106.6 Expected return on plan assets (254.8 ) (287.1 ) (291.5 ) (155.4 ) (160.5 ) (141.9 ) Amortization of prior service (credit) (2.4 ) (.4 ) .7 (1.9 ) (2.1 ) (2.1 ) Recognized net actuarial loss 132.7 109.7 139.0 63.6 40.2 51.9 Curtailment gain – – – – (.6 ) – Net periodic pension cost $ 99.6 $ 70.5 $ 68.6 $ 9.1 $ 3.3 $ 24.9 |
Schedule of Weighted-Average Assumptions | U.S. Plans International Plans Year ended December 31 (millions) 2015 2014 2013 2015 2014 2013 Weighted-average assumptions used to determine net periodic pension cost for the years ended December 31 were as follows: Discount rate 4.09 % 5.02 % 4.01 % 3.05 % 4.15 % 3.92 % Rate of compensation increase N/A N/A N/A 1.68 % 2.08 % 2.06 % Expected long-term rate of return on assets 6.80 % 7.72 % 8.00 % 6.45 % 6.45 % 6.40 % Weighted-average assumptions used to determine benefit obligations at December 31 were as follows: Discount rate 4.56 % 4.09 % 5.02 % 3.30 % 3.05 % 4.15 % Rate of compensation increase N/A N/A N/A 1.68 % 1.68 % 2.08 % |
Expected Future Benefit Payments | As of December 31, 2015, the following benefit payments, which reflect expected future service where applicable, are expected to be paid from the defined benefit pension plans: Year ending December 31 (millions) U.S. Int’l. 2016 $ 361.8 $ 104.6 2017 362.6 105.6 2018 362.9 107.1 2019 363.5 109.3 2020 364.5 110.8 2021 - 2025 1,814.7 573.9 |
Other Postretirement Benefit Plans | |
Funded Status of the Plan and Amounts Recognized in Consolidated Balance Sheet | Other postretirement benefits December 31 (millions) 2015 2014 Change in accumulated benefit obligation Benefit obligation at beginning of year $ 150.0 $ 159.7 Service cost .6 .6 Interest cost 6.9 7.6 Plan participants’ contributions 4.2 4.6 Actuarial gain (8.0 ) (2.4 ) Federal drug subsidy 1.5 1.4 Benefits paid (21.4 ) (20.0 ) Foreign currency translation and other adjustments (2.3 ) (1.5 ) Benefit obligation at end of year $ 131.5 $ 150.0 Change in plan assets Fair value of plan assets at beginning of year $ 9.1 $ 9.2 Actual return on plan assets (.1 ) – Employer contributions 15.9 15.3 Plan participants’ contributions 4.2 4.6 Benefits paid (21.4 ) (20.0 ) Fair value of plan assets at end of year $ 7.7 $ 9.1 Funded status at end of year $ (123.8 ) $ (140.9 ) Amounts recognized in the consolidated balance sheets consist of: Prepaid postretirement assets $ 1.3 $ 1.0 Other accrued liabilities (13.7 ) (15.6 ) Long-term postretirement liabilities (111.4 ) (126.3 ) Total funded status $ (123.8 ) $ (140.9 ) Accumulated other comprehensive loss, net of tax Net loss $ 21.3 $ 32.0 Prior service cost .1 1.2 |
Components of Net Periodic Benefit (Income) Cost | Net periodic postretirement benefit cost for 2015, 2014 and 2013, follows: Year ended December 31 (millions) 2015 2014 2013 Service cost $ .6 $ .6 $ .6 Interest cost 6.9 7.6 7.9 Expected return on assets (.4 ) (.5 ) (.5 ) Amortization of prior service cost 1.1 1.7 1.8 Recognized net actuarial loss 1.8 1.7 4.5 Net periodic benefit cost $ 10.0 $ 11.1 $ 14.3 |
Schedule of Weighted-Average Assumptions | Weighted-average assumptions used to determine net periodic postretirement benefit cost for the years ended December 31 were as follows: Discount rate 5.27 % 5.86 % 5.15 % Expected return on plan assets 5.50 % 6.75 % 6.75 % Weighted-average assumptions used to determine benefit obligation at December 31 were as follows: Discount rate 5.61 % 5.27 % 5.86 % |
Expected Future Benefit Payments | As of December 31, 2015, the following benefits are expected to be paid to or from the company’s postretirement plan: Year ending December 31 (millions) Gross Gross 2016 $ 1.1 $ 15.9 2017 1.0 15.4 2018 .9 14.7 2019 .8 14.0 2020 .7 13.1 2021 – 2025 2.0 46.2 |
Stockholders' equity (Tables)
Stockholders' equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) | Accumulated other comprehensive income (loss) as of December 31, 2015, 2014 and 2013, is as follows: (millions) Total Translation Adjustments Postretirement Balance at December 31, 2012 $ (4,133.6 ) $ (634.3 ) $ (3,499.3 ) Other comprehensive income before reclassifications 985.1 (42.5 ) 1,027.6 Amounts reclassified from accumulated other comprehensive income (184.9 ) – (184.9 ) Current period other comprehensive income 800.2 (42.5) 842.7 Balance at December 31, 2013 (3,333.4 ) (676.8 ) (2,656.6 ) Other comprehensive income before reclassifications (638.8) (61.0) (577.8) Amounts reclassified from accumulated other comprehensive income (141.2 ) – (141.2 ) Current period other comprehensive income (780.0 ) (61.0 ) (719.0 ) Balance at December 31, 2014 (4,113.4 ) (737.8 ) (3,375.6 ) Other comprehensive income before reclassifications 346.2 (96.0) 442.2 Amounts reclassified from accumulated other comprehensive income (178.1 ) – (178.1 ) Current period other comprehensive income 168.1 (96.0) 264.1 Balance at December 31, 2015 $ (3,945.3 ) $ (833.8 ) $ (3,111.5 ) |
Amounts Related to Postretirement Plans Not Reclassified in Entirety out of Accumulated Other Comprehensive Income | Amounts related to postretirement plans not reclassified in their entirety out of accumulated other comprehensive income were as follows: Year ended December 31 (millions) 2015 2014 Amortization of prior service cost* $ (3.1 ) $ (.7 ) Amortization of actuarial losses* 189.7 148.3 Curtailment gain* – (.6 ) Total before tax 186.6 147.0 Income tax benefit (8.5 ) (5.8 ) Net of tax $ 178.1 $ 141.2 * These items are included in net periodic postretirement cost (see note 16). |
Changes in Preferred Stock, Common Stock and Treasury Stock | The following table summarizes the changes in preferred stock, common stock and treasury stock during the three years ended December 31, 2015: (millions) Preferred Stock Common Stock Treasury Balance at December 31, 2012 2.6 44.3 .4 Common stock repurchases – – .6 Stock-based compensation – .8 .1 Balance at December 31, 2013 2.6 45.1 1.1 Common stock repurchases – – 1.6 Stock-based compensation – .4 – Preferred stock conversion (2.6 ) 6.9 – Balance at December 31, 2014 – 52.4 2.7 Stock-based compensation – .2 – Balance at December 31, 2015 – 52.6 2.7 |
Summary Of Significant Accoun37
Summary Of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Summary Of Significant Accounting Policies [Line Items] | |||
Advertising costs incurred | $ 4.9 | $ 8 | $ 2.5 |
Maximum estimated revenue-producing lives of computer software products from the date of release | 3 years | ||
Defined Benefit Plan, Plan Assets at Fair Value, Valuation Inputs | Four | ||
Intelligent Processing Solutions Ltd. | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of Ownership interest | 51.00% | ||
Building | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 20 years | ||
Building | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 50 years | ||
Machinery and Office Equipment | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 4 years | ||
Machinery and Office Equipment | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 7 years | ||
Rental Equipment | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 4 years | ||
Internal-Use Software | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 3 years | ||
Internal-Use Software | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful lives | 10 years |
Computation of Earnings (Loss)
Computation of Earnings (Loss) Per Common Share Attributable to Unisys Corporation (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Basic earnings (loss) per common share computation | |||
Net income (loss) attributable to Unisys Corporation common stockholders | $ (109.9) | $ 44 | $ 92.3 |
Weighted average shares | 49,905 | 49,280 | 43,899 |
Basic earnings (loss) per common share | $ (2.20) | $ 0.89 | $ 2.10 |
Diluted earnings (loss) per common share computation | |||
Net income (loss) attributable to Unisys Corporation for diluted earnings per share | $ (109.9) | $ 44 | $ 92.3 |
Weighted average shares | 49,905 | 49,280 | 43,899 |
Plus incremental shares from assumed conversions of employee stock plans | 304 | 448 | |
Adjusted weighted average shares | 49,905 | 49,584 | 44,347 |
Diluted earnings (loss) per common share | $ (2.20) | $ 0.89 | $ 2.08 |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Detail) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Convertible preferred stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities | 1,171 | 6,913 | |
Stock options and restricted stock units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities | 2,915 | 1,929 | 2,142 |
Cost Reduction Actions - Additi
Cost Reduction Actions - Additional Information (Detail) $ in Millions | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2015USD ($)Employee | |
Restructuring Cost and Reserve [Line Items] | ||
Estimated pretax restructuring charge | $ 118.5 | |
Work-force reduction charges | 78.8 | |
Asset impairments and other expenses related to the cost reduction effort | 39.7 | |
Asset impairment Charges | 20.2 | |
Other expenses related to the cost reduction effort | 19.5 | |
United States | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance costs | $ 27.9 | |
Number of employees | Employee | 700 | |
Non-US | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance costs | $ 50.9 | |
Number of employees | Employee | 782 | |
Scenario, Forecast | ||
Restructuring Cost and Reserve [Line Items] | ||
Estimated pretax restructuring charge | $ 300 | |
Cost of Revenue | Services | ||
Restructuring Cost and Reserve [Line Items] | ||
Estimated pretax restructuring charge | $ 52.3 | |
Cost of Revenue | Technology | ||
Restructuring Cost and Reserve [Line Items] | ||
Estimated pretax restructuring charge | 0.3 | |
Selling, general and administrative expenses | ||
Restructuring Cost and Reserve [Line Items] | ||
Estimated pretax restructuring charge | 53.5 | |
Research and development expenses | ||
Restructuring Cost and Reserve [Line Items] | ||
Estimated pretax restructuring charge | $ 12.4 |
Individual Components of Work F
Individual Components of Work Force Reduction and Idle Lease Cost (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($)Employee | |
Restructuring Cost and Reserve [Line Items] | |
Headcount | Employee | 255 |
Charges for cost reductions | $ 78.8 |
Utilized | (45.3) |
Translation adjustments | (0.5) |
Balance at December 31, 2015 | $ 33 |
2,016 | |
Restructuring Cost and Reserve [Line Items] | |
Headcount | Employee | 255 |
Expected future utilization | $ 33 |
Workforce Reductions | United States | |
Restructuring Cost and Reserve [Line Items] | |
Charges for cost reductions | 27.9 |
Utilized | (23.7) |
Balance at December 31, 2015 | 4.2 |
Workforce Reductions | Non-US | |
Restructuring Cost and Reserve [Line Items] | |
Charges for cost reductions | 50.9 |
Utilized | (21.6) |
Translation adjustments | (0.5) |
Balance at December 31, 2015 | 28.8 |
Workforce Reductions | 2016 | United States | |
Restructuring Cost and Reserve [Line Items] | |
Expected future utilization | 4.2 |
Workforce Reductions | 2016 | Non-US | |
Restructuring Cost and Reserve [Line Items] | |
Expected future utilization | $ 28.8 |
Charges for cost reductions | |
Restructuring Cost and Reserve [Line Items] | |
Headcount | Employee | 1,482 |
Amount Fully Utilized | |
Restructuring Cost and Reserve [Line Items] | |
Headcount | Employee | (1,227) |
Changes in Carrying Amount of G
Changes in Carrying Amount of Goodwill by Segment (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill [Line Items] | ||
Balance at beginning of year | $ 183.9 | $ 188.7 |
Translation adjustments | (6.5) | (4.8) |
Balance at end of year | 177.4 | 183.9 |
Services | ||
Goodwill [Line Items] | ||
Balance at beginning of year | 75.2 | 80 |
Translation adjustments | (6.5) | (4.8) |
Balance at end of year | 68.7 | 75.2 |
Technology | ||
Goodwill [Line Items] | ||
Balance at beginning of year | 108.7 | 108.7 |
Balance at end of year | $ 108.7 | $ 108.7 |
Accounts Receivable - Additiona
Accounts Receivable - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Revenue recognized in excess of billings on services contracts or unbilled accounts receivable | $ 93.5 | $ 100.1 | |
Leases Receivable, 2016 | 34.3 | ||
Leases Receivable, 2017 | 32.8 | ||
Leases Receivable, 2018 | 32.4 | ||
Leases Receivable, 2019 | 14.4 | ||
Leases Receivable, 2020 | 3.7 | ||
Leases Receivable, thereafter | 0 | ||
Unearned income deducted from accounts and notes receivable | 10.9 | 11.8 | |
Allowance for doubtful accounts | 21.1 | 30.1 | |
Provision expense (income) for doubtful accounts reported in selling, general and administrative expenses | $ 3 | $ 2.7 | $ (0.6) |
Total Income Before Income Taxe
Total Income Before Income Taxes and Provision for Income Taxes (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income (loss) before income taxes | |||
Income (loss) before income taxes, United States | $ (130.6) | $ (19.9) | $ 28.4 |
Income (loss) before income taxes, Foreign | 71.8 | 165.4 | 191 |
Income (loss) before income taxes | (58.8) | 145.5 | 219.4 |
Provision for income taxes, Current, United States | 1 | 2.1 | 8 |
Provision for income taxes, Current, Foreign | 42.2 | 59.4 | 63 |
Provision for income taxes, Current, State and local | 0.3 | 1 | (0.2) |
Provision for income taxes, Current, Total | 43.5 | 62.5 | 70.8 |
Provision for income taxes, Deferred , Foreign | 0.9 | 23.7 | 28.5 |
Provision for income taxes | $ 44.4 | $ 86.2 | $ 99.3 |
Reconciliation of Provision for
Reconciliation of Provision for Income Taxes (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Reconciliation of Provision of Income Taxes [Line Items] | |||
United States statutory income tax provision (benefit) | $ (20.6) | $ 50.9 | $ 76.8 |
Income and losses for which no provision or benefit has been recognized | 69.1 | 35.7 | 13.5 |
Foreign rate differential and other foreign tax expense | (15.9) | (22) | (23) |
Income tax withholdings | 12.5 | 17.1 | 15.4 |
Permanent items | (1.9) | 1.1 | 4 |
Enacted rate changes | 9.1 | 8.9 | |
Change in uncertain tax positions | 1.5 | 0.2 | 4.4 |
Change in valuation allowances due to changes in judgment | (5.4) | 7 | (0.5) |
Income tax credits, U.S. | (4) | (3.9) | |
Other | 0.1 | (0.2) | |
Provision for income taxes | $ 44.4 | $ 86.2 | $ 99.3 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | Apr. 01, 2017 | Apr. 01, 2015 | Dec. 31, 2015 | Sep. 30, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Tax Credit Carryforward [Line Items] | |||||||
Rate change in the company's income tax provision | $ 9.1 | $ 8.9 | |||||
U.S. Federal tax loss carryforwards | $ 424.3 | 424.3 | |||||
State and local tax loss carryforwards | 194.8 | 194.8 | |||||
Foreign tax loss carryforwards | 235.4 | 235.4 | |||||
Total tax loss carryforwards | 854.5 | 854.5 | $ 883.3 | ||||
Tax credit carryforwards | 349.9 | 349.9 | |||||
Cumulative undistributed earnings of foreign subsidiaries | 1,417.4 | 1,417.4 | |||||
Cash paid, net of refunds | 59.7 | 73.9 | 63.8 | ||||
Penalties and interest accrued related to income tax liabilities | 1 | 1 | $ 1.6 | ||||
Utilization of tax attributes, annual limitation | 70.6 | 70.6 | |||||
Utilization of tax attributes, cumulative limitation | 265.7 | 265.7 | |||||
2,016 | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax loss carryforwards, set to expire | 8.2 | 8.2 | |||||
Tax credit carryforwards, set to expire | 10.5 | 10.5 | |||||
2,017 | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax loss carryforwards, set to expire | 10.9 | 10.9 | |||||
Tax credit carryforwards, set to expire | 48.1 | 48.1 | |||||
2,018 | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax loss carryforwards, set to expire | 7.7 | 7.7 | |||||
Tax credit carryforwards, set to expire | 21 | 21 | |||||
2,019 | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax loss carryforwards, set to expire | 7.8 | 7.8 | |||||
Tax credit carryforwards, set to expire | 19.7 | 19.7 | |||||
2,020 | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax loss carryforwards, set to expire | 17.4 | 17.4 | |||||
Tax credit carryforwards, set to expire | 35.5 | 35.5 | |||||
Thereafter | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax loss carryforwards, set to expire | 802.5 | 802.5 | |||||
Tax credit carryforwards, set to expire | $ 215.1 | 215.1 | |||||
United Kingdom | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Rate change in the company's income tax provision | $ 9.1 | $ 11.4 | |||||
Corporate tax rate | 20.00% | 20.00% | 18.00% | ||||
Tax audit for the years | 2,010 | ||||||
India | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax audit for the years | 2,006 | ||||||
Brazil | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Tax audit for the years | 2,010 | ||||||
Scenario, Forecast | United Kingdom | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Corporate tax rate | 21.00% | ||||||
Minimum | |||||||
Tax Credit Carryforward [Line Items] | |||||||
Expected change in ownership percentage | 50.00% |
Significant Portions of Deferre
Significant Portions of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets | ||
Tax loss carryforwards | $ 854.5 | $ 883.3 |
Postretirement benefits | 695.7 | 791.3 |
Foreign tax credit carryforwards | 263.2 | 245.5 |
Other tax credit carryforwards | 86.7 | 88 |
Deferred revenue | 65.7 | 60.5 |
Employee benefits and compensation | 49.9 | 44.6 |
Purchased capitalized software | 39.5 | 39.3 |
Depreciation | 36.8 | 34.9 |
Warranty, bad debts and other reserves | 14.1 | 12.8 |
Capitalized costs | 13 | 16.3 |
Capitalized research and development | 3.2 | 36 |
Other | 39.7 | 29.5 |
Deferred Tax Assets, Gross, Total | 2,162 | 2,282 |
Valuation allowance | (2,024.9) | (2,107.8) |
Total deferred tax assets | 137.1 | 174.2 |
Other | 22.7 | 37.9 |
Total deferred tax liabilities | 22.7 | 37.9 |
Net deferred tax assets | $ 114.4 | $ 136.3 |
Reconciliation Of Changes in Un
Reconciliation Of Changes in Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Contingency [Line Items] | |||
Balance at January 1 | $ 35 | $ 26.3 | $ 29.2 |
Additions based on tax positions related to the current year | 3.4 | 14.4 | (2.4) |
Changes for tax positions of prior years | (4) | (1.4) | (0.1) |
Reductions as a result of a lapse of applicable statute of limitations | (3.4) | (1.6) | |
Settlements | (0.9) | (0.9) | (0.2) |
Changes due to foreign currency | (2.4) | (1.8) | (0.2) |
Balance at December 31 | $ 27.7 | $ 35 | $ 26.3 |
Components Of Properties (Detai
Components Of Properties (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Total properties | $ 876.6 | $ 1,059.4 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Total properties | 2.8 | 2.8 |
Building | ||
Property, Plant and Equipment [Line Items] | ||
Total properties | 93.1 | 80.1 |
Machinery and Office Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total properties | 586.8 | 644.9 |
Internal-Use Software | ||
Property, Plant and Equipment [Line Items] | ||
Total properties | 144.5 | 257.7 |
Rental Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total properties | $ 49.4 | $ 73.9 |
Components Of Long-Term Debt (D
Components Of Long-Term Debt (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Capital leases | $ 12.5 | $ 14 |
Other debt | 24 | |
Total | 246.5 | 224 |
Less - current maturities | 11 | 1.8 |
Total long-term debt | 235.5 | 222.2 |
Total | 246.5 | 224 |
6.25% Senior Notes Due August 15, 2017 | ||
Debt Instrument [Line Items] | ||
Senior notes | $ 210 | $ 210 |
Components Of Long-Term Debt (P
Components Of Long-Term Debt (Parenthetical) (Detail) - 6.25% Senior Notes Due August 15, 2017 | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | ||
Senior notes, maturity year | Aug. 15, 2017 | Aug. 15, 2017 |
Interest rate of the debt instruments | 6.25% | 6.25% |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Debt Instrument [Line Items] | |||
Long-term debt, due in 2016 | $ 11,000,000 | ||
Long-term debt, due in 2017 | 220,600,000 | ||
Long-term debt, due in 2018 | 10,300,000 | ||
Long-term debt, due in 2019 | 1,300,000 | ||
Long-term debt, due in 2020 | 1,300,000 | ||
Long-term debt, thereafter | 2,000,000 | ||
Capital leases, due in 2016 | 2,600,000 | ||
Capital leases, due in 2017 | 2,800,000 | ||
Capital leases, due in 2018 | 2,500,000 | ||
Capital leases, due in 2019 | 1,300,000 | ||
Capital leases, due in 2020 | 1,300,000 | ||
Capital leases, thereafter | 2,000,000 | ||
Cash paid for interest | 14,400,000 | $ 13,200,000 | $ 12,900,000 |
Capitalized interest expense | 3,100,000 | $ 4,000,000 | $ 3,200,000 |
Maximum borrowing capacity under the credit agreement | 150,000,000 | ||
Letters of credit outstanding | 11,400,000 | ||
Availability under the facility | 54,700,000 | ||
Aggregate other debt default amount to violate covenant, minimum | $ 50,000,000 | ||
Covenant conditions of the credit facility | The company is required to maintain a minimum fixed charge coverage ratio if the availability under the credit facility falls below the greater of 12.5% of the lenders’ commitments under the facility and $18.75 million. The credit agreement allows the company to pay dividends on its capital stock in an amount up to $22.5 million per year unless the company is in default and to, among other things, repurchase its equity, prepay other debt, incur other debt or liens, dispose of assets and make acquisitions, loans and investments, provided the company complies with certain requirements and limitations set forth in the agreement. | ||
Credit Facility, interest rate | 2.20% | ||
Maximum | |||
Debt Instrument [Line Items] | |||
Availability under the facility | $ 18,750,000 | ||
Percentage of lenders' commitments under facility | 12.50% | ||
Dividends on capital stock | $ 22,500,000 | ||
Letter of Credit | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity under the credit agreement | 100,000,000 | ||
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Borrowings outstanding | $ 65,000,000 |
Other Accrued Liabilities (Deta
Other Accrued Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Accrued Liabilities [Line Items] | ||
Payrolls and commissions | $ 102.7 | $ 109.3 |
Accrued vacations | 51.1 | 60.8 |
Cost reduction | 33 | |
Taxes other than income taxes | 32.7 | 53.8 |
Income taxes | 32 | 58.3 |
Postretirement | 20.7 | 22.6 |
Accrued interest | 4.9 | 4.9 |
Other | 62.2 | 75.4 |
Total other accrued liabilities | $ 339.3 | $ 385.1 |
Rental Expense and Commitments
Rental Expense and Commitments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Commitment And Contingencies [Line Items] | |||
Net rental expense | $ 80.6 | $ 83.7 | $ 85.3 |
Income from subleases | 9.1 | $ 8.5 | $ 7.4 |
Minimum net rental commitments under noncancelable operating leases in 2016 | 56.9 | ||
Minimum net rental commitments under noncancelable operating leases in 2017 | 50.2 | ||
Minimum net rental commitments under noncancelable operating leases in 2018 | 37.5 | ||
Minimum net rental commitments under noncancelable operating leases in 2019 | 30.8 | ||
Minimum net rental commitments under noncancelable operating leases in 2020 | 23.2 | ||
Minimum net rental commitments under noncancelable operating leases, thereafter | 33.6 | ||
Future minimum sublease rentals | 22 | ||
Standby letters of credit and surety bonds outstanding | 255 | ||
Deposits and collateralized assets | $ 44 |
Financial Instruments and Con55
Financial Instruments and Concentration of Credit Risks - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Counterparty Credit Concentration Risk [Line Items] | |||
Maturity period limit of foreign currency exchange instruments (in months) | 3 months | ||
Net fair value gain (loss) on foreign exchange forward contracts | $ (4.4) | $ 5.3 | |
Receivables due from U.S. federal governmental agencies | 99 | 94 | |
Difference between carrying amount and fair value of long-term debt | 3 | 9 | |
Other income (expense), net | |||
Counterparty Credit Concentration Risk [Line Items] | |||
Gain (loss) on foreign exchange forward contracts | 15.6 | 17.3 | $ (7.3) |
Prepaid Expenses and Other Current Assets | |||
Counterparty Credit Concentration Risk [Line Items] | |||
Net fair value gain (loss) on foreign exchange forward contracts | 2.2 | 6.1 | |
Other Accrued Liabilities | |||
Counterparty Credit Concentration Risk [Line Items] | |||
Net fair value gain (loss) on foreign exchange forward contracts | (6.6) | (0.8) | |
Foreign Exchange Contract | |||
Counterparty Credit Concentration Risk [Line Items] | |||
Notional amount of foreign exchange forward contracts not designated as hedging instruments | $ 940.1 | $ 403.9 |
Foreign Currency Translation -
Foreign Currency Translation - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Foreign Currency Translation [Line Items] | |||
Foreign exchange losses | $ 8.4 | $ 7.4 | $ 6.5 |
Gain (loss) recognized on foreign exchange | $ 8.1 | $ (7) | $ 10.4 |
Litigation and Contingencies -
Litigation and Contingencies - Additional Information (Detail) € in Millions, $ in Millions | 1 Months Ended | |||
Aug. 31, 2012USD ($) | Apr. 30, 2007EUR (€) | Dec. 31, 2015USD ($) | Apr. 30, 2008EUR (€) | |
Loss Contingencies [Line Items] | ||||
Unreserved tax-related matters, inclusive of interest | $ | $ 95 | |||
Ministry Of Justice Of Belgium | ||||
Loss Contingencies [Line Items] | ||||
Loss contingency, damages sought value | € | € 28 | |||
Counterclaim against termination of contract | € | € 18.5 | |||
Health Information Management (HIM) | ||||
Loss Contingencies [Line Items] | ||||
Loss contingency, damages sought value | $ | $ 35 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015USD ($)SegmentCustomer | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of operating business segments | Segment | 2 | ||
Operating profit (loss) | $ (55.1) | $ 154.9 | $ 219.5 |
Number of Customers Accounted for more than 10% of revenue | Customer | 0 | ||
Revenues | $ 3,015.1 | 3,356.4 | 3,456.5 |
Various Agencies Of U.S. Government | |||
Segment Reporting Information [Line Items] | |||
Revenues | 569 | 529 | 512 |
Other Technology | Segment Reconciling Items | |||
Segment Reporting Information [Line Items] | |||
Operating profit (loss) | $ 9.2 | $ 17 | $ 6 |
Customer Revenue by Classes of
Customer Revenue by Classes of Similar Products or Services (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenue from External Customer [Line Items] | |||
Revenues | $ 3,015.1 | $ 3,356.4 | $ 3,456.5 |
Services | |||
Revenue from External Customer [Line Items] | |||
Revenues | 2,605.6 | 2,785.7 | 2,850 |
Technology | |||
Revenue from External Customer [Line Items] | |||
Revenues | 409.5 | 570.7 | 606.5 |
Cloud & Infrastructure Services | Services | |||
Revenue from External Customer [Line Items] | |||
Revenues | 1,513.1 | 1,704.9 | 1,772.4 |
Application Services | Services | |||
Revenue from External Customer [Line Items] | |||
Revenues | 868.9 | 819.8 | 824.7 |
Business Processing Outsourcing Services | Services | |||
Revenue from External Customer [Line Items] | |||
Revenues | $ 223.6 | $ 261 | $ 252.9 |
Reconciliation of Segment Opera
Reconciliation of Segment Operating Income to Consolidated Income (Loss) Before Income Taxes (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Operating profit (loss) | $ (55.1) | $ 154.9 | $ 219.5 |
Interest expense | (11.9) | (9.2) | (9.9) |
Other income (expense), net | 8.2 | (0.2) | 9.8 |
Cost reduction charges | (118.5) | ||
Income (loss) before income taxes | (58.8) | 145.5 | 219.4 |
Operating Segments | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Operating profit (loss) | 174.9 | 233.6 | 307.5 |
Corporate and eliminations | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Operating profit (loss) | $ (111.5) | $ (78.7) | $ (88) |
Reconciliation of Total Busines
Reconciliation of Total Business Segment Assets to Consolidated Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | $ 365.2 | $ 494.3 | $ 639.8 | $ 655.6 |
Deferred income taxes | 137.1 | 174.2 | ||
Prepaid postretirement assets | 45.1 | 19.9 | 83.7 | |
Other corporate assets | 108.3 | 129.7 | 119.6 | |
Assets | 2,143.2 | 2,348.7 | 2,510 | |
Operating Segments | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Deferred income taxes | 138.6 | 171 | 136.4 | |
Assets | $ 1,486 | $ 1,533.8 | $ 1,530.5 |
Summary of Operations by Segmen
Summary of Operations by Segment (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Revenue | $ 3,015.1 | $ 3,356.4 | $ 3,456.5 |
Operating income | (55.1) | 154.9 | 219.5 |
Depreciation and amortization | 180.1 | 168.6 | 159.6 |
Total assets | 2,143.2 | 2,348.7 | 2,510 |
Capital expenditures | 213.7 | 212.8 | 151.4 |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue | 3,015.1 | 3,356.4 | 3,456.5 |
Operating income | 174.9 | 233.6 | 307.5 |
Total assets | 1,486 | 1,533.8 | 1,530.5 |
Corporate | |||
Segment Reporting Information [Line Items] | |||
Operating income | (230) | (78.7) | (88) |
Total assets | 657.2 | 814.9 | 979.5 |
Capital expenditures | 1.9 | 4.9 | 2.9 |
Corporate | Intersegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Revenue | (49) | (58.4) | (37.2) |
Corporate | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue | (49) | (58.4) | (37.2) |
Services | |||
Segment Reporting Information [Line Items] | |||
Revenue | 2,605.6 | 2,785.7 | 2,850 |
Operating income | 61.2 | 96 | 138.2 |
Depreciation and amortization | 104.8 | 103.2 | 91.8 |
Total assets | 1,081.7 | 1,099.2 | 1,126.7 |
Capital expenditures | 143.3 | 133.8 | 78.8 |
Services | Intersegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Revenue | 0.1 | 0.3 | 1.7 |
Services | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue | 2,605.7 | 2,786 | 2,851.7 |
Technology | |||
Segment Reporting Information [Line Items] | |||
Revenue | 409.5 | 570.7 | 606.5 |
Operating income | 113.7 | 137.6 | 169.3 |
Depreciation and amortization | 75.3 | 65.4 | 67.8 |
Total assets | 404.3 | 434.6 | 403.8 |
Capital expenditures | 68.5 | 74.1 | 69.7 |
Technology | Intersegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Revenue | 48.9 | 58.1 | 35.5 |
Technology | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue | $ 458.4 | $ 628.8 | $ 642 |
Revenue, Properties and Outsour
Revenue, Properties and Outsourcing Assets by Geographic Segment (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues | $ 3,015.1 | $ 3,356.4 | $ 3,456.5 |
Properties, net | 153.8 | 168.7 | 174.7 |
Outsourcing assets, net | 182 | 150.9 | 115.5 |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues | 1,454.9 | 1,378.1 | 1,370.6 |
Properties, net | 96.9 | 111.9 | 112.4 |
Outsourcing assets, net | 119.4 | 99.7 | 56.2 |
United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues | 375.8 | 435.4 | 414 |
Properties, net | 18.8 | 22 | 24.7 |
Outsourcing assets, net | 36.6 | 25.8 | 28.1 |
Other International | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues | 1,184.4 | 1,542.9 | 1,671.9 |
Properties, net | 38.1 | 34.8 | 37.6 |
Outsourcing assets, net | $ 26 | $ 25.4 | $ 31.2 |
Employee Plans - Additional Inf
Employee Plans - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of unissued common stock available for grant under the plans | 2,300,000 | ||
Age requirement for vesting provision, minimum | 55 years | ||
Completion of service period (in years) for stock awards | 5 years | ||
Maximum contractual term of options granted (in years) | 7 years | 5 years | |
Option vesting period (in years) | 3 years | ||
Share-based compensation expense | $ 9.4 | $ 10.4 | $ 12.5 |
Proceeds from exercise of stock options | 3.7 | 3.4 | 4.9 |
Deferred compensation Liability | 12.6 | 12.1 | |
Recognized net actuarial loss | (196.3) | ||
Amortization of prior service (credit) | (4.3) | ||
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | 4.7 | 7.1 | 9.3 |
Total intrinsic value of options exercised | 0.6 | 4.7 | 7.9 |
Total unrecognized compensation cost | $ 4 | ||
Unrecognized compensation cost, Weighted-average recognition period | 1 year 10 months 24 days | ||
Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 4.7 | 3.3 | 3.2 |
Total unrecognized compensation cost | $ 4.9 | ||
Unrecognized compensation cost, Weighted-average recognition period | 2 years 1 month 6 days | ||
Aggregate weighted-average grant-date fair value of units granted | $ 10.2 | 12.8 | 5.3 |
Aggregate weighted-average grant-date fair value of units vested | $ 2.1 | 3.3 | 4.5 |
Performance-Based Unit | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares which will vest after achievement of goals | 0 | ||
Performance-Based Unit | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares which will vest after achievement of goals | 2 | ||
Other Postretirement Benefit Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected pretax amortization of net loss in 2016 | $ (1.1) | ||
Expected pretax amortization of prior service cost in 2016 | 0.1 | ||
Recognized net actuarial loss | (1.8) | (1.7) | (4.5) |
Amortization of prior service (credit) | 1.1 | 1.7 | 1.8 |
Estimated cash contributions by the company in 2016 | $ 15 | ||
Pension Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Matching contribution by the company as percentage of participants' contribution | 50.00% | ||
Percentage of eligible pay contributed by participants that will be matched | 6.00% | ||
Cost recognized for contribution plans | $ 9.9 | 10.6 | 11.8 |
Expected pretax amortization of net loss in 2016 | (155.7) | ||
Expected pretax amortization of prior service cost in 2016 | (5.7) | ||
Estimated cash contributions by the company in 2016 | 139.3 | ||
International Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Cost recognized for contribution plans | 21.4 | 25.2 | 26.7 |
Recognized net actuarial loss | (63.6) | (40.2) | (51.9) |
Amortization of prior service (credit) | (1.9) | (2.1) | (2.1) |
Estimated cash contributions by the company in 2016 | 86.8 | ||
U.S. Plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Recognized net actuarial loss | (132.7) | (109.7) | (139) |
Amortization of prior service (credit) | (2.4) | $ (0.4) | $ 0.7 |
Estimated cash contributions by the company in 2016 | $ 52.5 |
Fair Value Assumptions on Stock
Fair Value Assumptions on Stock Option (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share based Compensation Arrangement by Share based Payment Award, Fair Value Assumptions, Method Used [Line Items] | |||
Weighted-average fair value of grant | $ 8.92 | $ 11.24 | $ 8.79 |
Risk-free interest rate | 1.28% | 1.04% | 0.54% |
Expected volatility | 45.46% | 45.65% | 50.19% |
Expected life of options in years | 4 years 11 months 1 day | 3 years 8 months 16 days | 3 years 8 months 9 days |
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Summary of Stock Option Activit
Summary of Stock Option Activity (Detail) - Employee Stock Option $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($)$ / sharesshares | |
Shares | |
Outstanding at December 31, 2014 | shares | 2,816 |
Granted | shares | 743 |
Exercised | shares | (190) |
Forfeited and expired | shares | (646) |
Outstanding at December 31, 2015 | shares | 2,723 |
Expected to vest at December 31, 2015 | shares | 1,281 |
Exercisable at December 31, 2015 | shares | 1,398 |
Weighted-Average Exercise Price | |
Outstanding at December 31, 2014 | $ / shares | $ 29.51 |
Granted | $ / shares | 23.21 |
Exercised | $ / shares | 19.53 |
Forfeited and expired | $ / shares | 32.10 |
Outstanding at December 31, 2015 | $ / shares | 27.88 |
Expected to vest at December 31, 2015 | $ / shares | 26.23 |
Exercisable at December 31, 2015 | $ / shares | $ 29.51 |
Weighted-Average Remaining Contractual Term (years) | |
Outstanding at December 31, 2015 | 2 years 9 months |
Expected to vest at December 31, 2015 | 4 years 2 months 5 days |
Exercisable at December 31, 2015 | 1 year 4 months 10 days |
Aggregate Intrinsic Value | |
Outstanding at December 31, 2015 | $ | $ 0 |
Expected to vest at December 31, 2015 | $ | 0 |
Exercisable at December 31, 2015 | $ | $ 0 |
Summary of Restricted Stock Uni
Summary of Restricted Stock Unit Activity (Detail) - Restricted Stock Units shares in Thousands | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Restricted Stock Units | |
Outstanding at December 31, 2014 | shares | 354 |
Granted | shares | 452 |
Vested | shares | (87) |
Forfeited and expired | shares | (250) |
Outstanding at December 31, 2015 | shares | 469 |
Weighted-Average Grant-Date Fair Value | |
Outstanding at December 31, 2014 | $ / shares | $ 28.81 |
Granted | $ / shares | 22.52 |
Vested | $ / shares | 23.85 |
Forfeited and expired | $ / shares | 29.01 |
Outstanding at December 31, 2015 | $ / shares | $ 23.57 |
Funded Status of the Plan and A
Funded Status of the Plan and Amounts Recognized in Consolidated Balance Sheet (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Prepaid postretirement assets | $ 45.1 | $ 19.9 | $ 83.7 |
Other accrued liabilities | (20.7) | (22.6) | |
Long-term postretirement liabilities | (2,111.3) | (2,369.9) | |
U.S. Plans | |||
Change in accumulated benefit obligation | |||
Benefit obligation at beginning of year | 5,665.5 | 5,158.8 | |
Interest cost | 224.1 | 248.3 | 220.4 |
Plan amendment | (2.7) | (46.3) | |
Actuarial gain | (285) | 670 | |
Benefits paid | (370.5) | (365.3) | |
Benefit obligation at end of year | 5,231.4 | 5,665.5 | 5,158.8 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 4,069.7 | 4,048 | |
Actual return on plan assets | (5.6) | 299.9 | |
Employer contribution | 65.8 | 87.1 | |
Benefits paid | (370.5) | (365.3) | |
Fair value of plan assets at end of year | 3,759.4 | 4,069.7 | 4,048 |
Funded status at end of year | (1,472) | (1,595.8) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Other accrued liabilities | (6.8) | (6.9) | |
Long-term postretirement liabilities | (1,465.2) | (1,588.9) | |
Total funded status | (1,472) | (1,595.8) | |
Accumulated other comprehensive loss, net of tax | |||
Net loss | 2,816.2 | 2,973.5 | |
Prior service (credit) cost | (44.9) | (44.5) | |
Accumulated benefit obligation | 5,231.4 | 5,665.5 | |
International Plans | |||
Change in accumulated benefit obligation | |||
Benefit obligation at beginning of year | 3,354.9 | 3,059.2 | |
Service cost | 8.7 | 8.4 | 10.4 |
Interest cost | 94.1 | 117.9 | 106.6 |
Plan participants' contributions | 2.5 | 3.1 | |
Plan amendment | (32.3) | (1) | |
Plan curtailment | (0.3) | ||
Actuarial gain | (79.5) | 559.4 | |
Benefits paid | (112.8) | (115.4) | |
Foreign currency translation adjustments | (247.8) | (276.4) | |
Benefit obligation at end of year | 2,987.8 | 3,354.9 | 3,059.2 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 2,718.9 | 2,681.8 | |
Actual return on plan assets | 18.6 | 278 | |
Employer contribution | 82.5 | 96.3 | |
Plan participants' contributions | 2.5 | 3.1 | |
Benefits paid | (112.8) | (115.4) | |
Foreign currency translation adjustments | (212.9) | (224.9) | |
Fair value of plan assets at end of year | 2,496.8 | 2,718.9 | 2,681.8 |
Funded status at end of year | (491) | (636) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Prepaid postretirement assets | 43.8 | 18.9 | |
Other accrued liabilities | (0.2) | (0.2) | |
Long-term postretirement liabilities | (534.6) | (654.7) | |
Total funded status | (491) | (636) | |
Accumulated other comprehensive loss, net of tax | |||
Net loss | 1,018.6 | 1,076.1 | |
Prior service (credit) cost | (35.8) | (12.8) | |
Accumulated benefit obligation | 2,983.1 | 3,349.3 | |
Other Postretirement Benefit Plans | |||
Change in accumulated benefit obligation | |||
Benefit obligation at beginning of year | 150 | 159.7 | |
Service cost | 0.6 | 0.6 | 0.6 |
Interest cost | 6.9 | 7.6 | 7.9 |
Plan participants' contributions | 4.2 | 4.6 | |
Actuarial gain | (8) | (2.4) | |
Federal drug subsidy | 1.5 | 1.4 | |
Benefits paid | (21.4) | (20) | |
Foreign currency translation adjustments | (2.3) | (1.5) | |
Benefit obligation at end of year | 131.5 | 150 | 159.7 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 9.1 | 9.2 | |
Actual return on plan assets | (0.1) | ||
Employer contribution | 15.9 | 15.3 | |
Plan participants' contributions | 4.2 | 4.6 | |
Benefits paid | (21.4) | (20) | |
Fair value of plan assets at end of year | 7.7 | 9.1 | $ 9.2 |
Funded status at end of year | (123.8) | (140.9) | |
Amounts recognized in the consolidated balance sheets consist of: | |||
Prepaid postretirement assets | 1.3 | 1 | |
Other accrued liabilities | (13.7) | (15.6) | |
Long-term postretirement liabilities | (111.4) | (126.3) | |
Total funded status | (123.8) | (140.9) | |
Accumulated other comprehensive loss, net of tax | |||
Net loss | 21.3 | 32 | |
Prior service (credit) cost | $ 0.1 | $ 1.2 |
Schedule of Accumulated and Pro
Schedule of Accumulated and Projected Benefit Obligation in Excess of Plan Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Pension Plans with Accumulated and Projected Benefit Obligations in Excess of Plan Assets [Line Items] | ||
Accumulated benefit obligation | $ 7,231.2 | $ 8,412.6 |
Fair value of plan assets | 5,228.6 | 6,167.2 |
Projected benefit obligation | 7,235.4 | 8,417.9 |
Fair value of plan assets | $ 5,228.6 | $ 6,167.2 |
Components of Net Periodic Bene
Components of Net Periodic Benefit Expense (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Amortization of prior service (credit) | $ (4.3) | ||
Recognized net actuarial loss | 196.3 | ||
U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 224.1 | $ 248.3 | $ 220.4 |
Expected return on assets | (254.8) | (287.1) | (291.5) |
Amortization of prior service (credit) | (2.4) | (0.4) | 0.7 |
Recognized net actuarial loss | 132.7 | 109.7 | 139 |
Net periodic benefit cost | 99.6 | 70.5 | 68.6 |
International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 8.7 | 8.4 | 10.4 |
Interest cost | 94.1 | 117.9 | 106.6 |
Expected return on assets | (155.4) | (160.5) | (141.9) |
Amortization of prior service (credit) | (1.9) | (2.1) | (2.1) |
Recognized net actuarial loss | 63.6 | 40.2 | 51.9 |
Curtailment gain | (0.6) | ||
Net periodic benefit cost | 9.1 | 3.3 | 24.9 |
Other Postretirement Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 0.6 | 0.6 | 0.6 |
Interest cost | 6.9 | 7.6 | 7.9 |
Expected return on assets | (0.4) | (0.5) | (0.5) |
Amortization of prior service (credit) | 1.1 | 1.7 | 1.8 |
Recognized net actuarial loss | 1.8 | 1.7 | 4.5 |
Net periodic benefit cost | $ 10 | $ 11.1 | $ 14.3 |
Schedule of Weighted-Average As
Schedule of Weighted-Average Assumptions (Detail) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
U.S. Plans | |||
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | |||
Discount rate, net periodic benefit cost | 4.09% | 5.02% | 4.01% |
Expected long-term rate of return on assets, net periodic benefit cost | 6.80% | 7.72% | 8.00% |
Discount rate, benefit obligations | 4.56% | 4.09% | 5.02% |
International Plans | |||
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | |||
Discount rate, net periodic benefit cost | 3.05% | 4.15% | 3.92% |
Rate of compensation increase, net periodic benefit cost | 1.68% | 2.08% | 2.06% |
Expected long-term rate of return on assets, net periodic benefit cost | 6.45% | 6.45% | 6.40% |
Discount rate, benefit obligations | 3.30% | 3.05% | 4.15% |
Rate of compensation increase, benefit obligations | 1.68% | 1.68% | 2.08% |
Other Postretirement Benefit Plans | |||
Schedule of Net Periodic Benefit Costs Weighted Average Assumptions [Line Items] | |||
Discount rate, net periodic benefit cost | 5.27% | 5.86% | 5.15% |
Expected long-term rate of return on assets, net periodic benefit cost | 5.50% | 6.75% | 6.75% |
Discount rate, benefit obligations | 5.61% | 5.27% | 5.86% |
Company's Investment Policy Tar
Company's Investment Policy Targets and Ranges for Each Asset Category (Detail) | 12 Months Ended |
Dec. 31, 2015 | |
U.S. Plans | Equity Securities | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 58.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 52.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 64.00% |
U.S. Plans | Debt Securities | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 36.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 33.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 39.00% |
U.S. Plans | Real Estate | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 6.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 3.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 9.00% |
U.S. Plans | Cash | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 0.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 0.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 5.00% |
U.S. Plans | Other | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 0.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 0.00% |
International Plans | Equity Securities | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 39.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 33.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 45.00% |
International Plans | Debt Securities | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 54.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 47.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 61.00% |
International Plans | Real Estate | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 1.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 0.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 3.00% |
International Plans | Cash | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 1.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 0.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 5.00% |
International Plans | Other | |
Schedule of Defined Benefit Plan Asset Allocation Targets [Line Items] | |
Defined benefit plan target allocation percentage of assets | 5.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Minimum | 0.00% |
Defined Benefit Plan Target Plan Asset Allocations Range Maximum | 10.00% |
Expected Future Benefit Payment
Expected Future Benefit Payments (Detail) $ in Millions | Dec. 31, 2015USD ($) |
U.S. Plans | |
Schedule of Pension Expected Future Benefit Payments [Line Items] | |
Expected future benefit payments, 2016 | $ 361.8 |
Expected future benefit payments, 2017 | 362.6 |
Expected future benefit payments, 2018 | 362.9 |
Expected future benefit payments, 2019 | 363.5 |
Expected future benefit payments, 2020 | 364.5 |
Expected future benefit payments, 2021 - 2025 | 1,814.7 |
International Plans | |
Schedule of Pension Expected Future Benefit Payments [Line Items] | |
Expected future benefit payments, 2016 | 104.6 |
Expected future benefit payments, 2017 | 105.6 |
Expected future benefit payments, 2018 | 107.1 |
Expected future benefit payments, 2019 | 109.3 |
Expected future benefit payments, 2020 | 110.8 |
Expected future benefit payments, 2021 - 2025 | 573.9 |
Other Postretirement Benefit Plans | |
Schedule of Pension Expected Future Benefit Payments [Line Items] | |
Expected future benefit payments, 2016 | 15.9 |
Expected future benefit payments, 2017 | 15.4 |
Expected future benefit payments, 2018 | 14.7 |
Expected future benefit payments, 2019 | 14 |
Expected future benefit payments, 2020 | 13.1 |
Expected future benefit payments, 2021 - 2025 | 46.2 |
Gross Medicare Part D Receipts, 2016 | 1.1 |
Gross Medicare Part D Receipts, 2017 | 1 |
Gross Medicare Part D Receipts, 2018 | 0.9 |
Gross Medicare Part D Receipts, 2019 | 0.8 |
Gross Medicare Part D Receipts, 2020 | 0.7 |
Gross Medicare Part D Receipts, 2021 - 2025 | $ 2 |
Assumed Health Care Cost Trend
Assumed Health Care Cost Trend Rates (Detail) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Other Postretirement Benefits Expected Benefit Payments[Line Items] | ||
Health care cost trend rate assumed for next year | 6.10% | 6.40% |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.80% | 4.80% |
Year that the rate reaches the ultimate trend rate | 2,023 | 2,023 |
Effect of One-Percentage-Point
Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Assumed Health Care Cost Trend Rates, Effect of One Percentage Point Change [Line Items] | |
Effect on service and interest cost, 1-Percentage-Point Increase | $ 0.1 |
Effect on postretirement benefit obligation, 1-Percentage-Point Increase | 3.4 |
Effect on service and interest cost, 1-Percentage-Point Decrease | (0.2) |
Effect on postretirement benefit obligation, 1-Percentage-Point Decrease | $ (3.5) |
Schedule of Plans' Assets (Liab
Schedule of Plans' Assets (Liabilities) at Fair Value (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Postretirement Benefit Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | $ 9.1 | |
Other Postretirement Benefit Plans | Insurance Contracts | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | $ 7.7 | 7.3 |
Other Postretirement Benefit Plans | Pooled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.8 | |
U.S. Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 3,759.4 | 4,069.7 |
U.S. Plans | Equity Securities | Common Stock | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1,686.4 | 1,837.4 |
U.S. Plans | Equity Securities | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 411.9 | 461.6 |
U.S. Plans | Debt Securities | US And UK Government Securities | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 176.9 | |
U.S. Plans | Debt Securities | Other Fixed Income | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 974.7 | 1,025.3 |
U.S. Plans | Debt Securities | Insurance Contracts | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 17.4 | |
U.S. Plans | Debt Securities | U S Government Securities | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 162.2 | |
U.S. Plans | Real Estate | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 37.6 | 34.2 |
U.S. Plans | Real Estate | Real Estate Investments Trust | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 170.7 | 169.1 |
U.S. Plans | Other | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 105.3 | 102.1 |
U.S. Plans | Other | Derivative | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.8 | 18.2 |
U.S. Plans | Other | Private Equity | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 7.6 | 12.8 |
U.S. Plans | Pooled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 263.1 | 297.2 |
U.S. Plans | Cash | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.9 | (1.3) |
U.S. Plans | Receivables | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 77.1 | 77.4 |
U.S. Plans | Payables | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | (139.9) | (158.6) |
International Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 2,496.8 | 2,718.9 |
International Plans | Equity Securities | Common Stock | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.6 | 1.6 |
International Plans | Equity Securities | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 956.1 | 1,054.8 |
International Plans | Debt Securities | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 905.4 | 991.1 |
International Plans | Debt Securities | Other Fixed Income | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 248.5 | 330.4 |
International Plans | Debt Securities | Insurance Contracts | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 120.6 | 135.5 |
International Plans | Real Estate | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 41.8 | 40.8 |
International Plans | Real Estate | Real Estate Investments Trust | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.7 | 1.3 |
International Plans | Other | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 188.7 | 136.5 |
International Plans | Other | Derivative | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 7 | 7.2 |
International Plans | Pooled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.2 | |
International Plans | Cash | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 27.4 | 18.6 |
International Plans | Payables | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | (0.1) | |
Fair Value, Inputs, Level 1 | U.S. Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1,952.9 | 2,101 |
Fair Value, Inputs, Level 1 | U.S. Plans | Equity Securities | Common Stock | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1,680.6 | 1,831.6 |
Fair Value, Inputs, Level 1 | U.S. Plans | Debt Securities | US And UK Government Securities | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 176.9 | |
Fair Value, Inputs, Level 1 | U.S. Plans | Debt Securities | U S Government Securities | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 162.2 | |
Fair Value, Inputs, Level 1 | U.S. Plans | Real Estate | Real Estate Investments Trust | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 170.7 | 169.1 |
Fair Value, Inputs, Level 1 | U.S. Plans | Other | Derivative | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.3 | 5.9 |
Fair Value, Inputs, Level 1 | U.S. Plans | Cash | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.9 | (1.3) |
Fair Value, Inputs, Level 1 | U.S. Plans | Receivables | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 77.1 | 77.4 |
Fair Value, Inputs, Level 1 | U.S. Plans | Payables | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | (139.9) | (158.6) |
Fair Value, Inputs, Level 1 | International Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 28.7 | 21.4 |
Fair Value, Inputs, Level 1 | International Plans | Equity Securities | Common Stock | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.6 | 1.6 |
Fair Value, Inputs, Level 1 | International Plans | Real Estate | Real Estate Investments Trust | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.7 | 1.3 |
Fair Value, Inputs, Level 1 | International Plans | Cash | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 27.4 | 18.6 |
Fair Value, Inputs, Level 1 | International Plans | Payables | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | (0.1) | |
Fair Value, Inputs, Level 2 | Other Postretirement Benefit Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.8 | |
Fair Value, Inputs, Level 2 | Other Postretirement Benefit Plans | Pooled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.8 | |
Fair Value, Inputs, Level 2 | U.S. Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1,761.3 | 1,904.3 |
Fair Value, Inputs, Level 2 | U.S. Plans | Equity Securities | Common Stock | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 5.8 | 5.8 |
Fair Value, Inputs, Level 2 | U.S. Plans | Equity Securities | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 411.9 | 461.6 |
Fair Value, Inputs, Level 2 | U.S. Plans | Debt Securities | Other Fixed Income | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 974.7 | 1,025.3 |
Fair Value, Inputs, Level 2 | U.S. Plans | Other | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 105.3 | 102.1 |
Fair Value, Inputs, Level 2 | U.S. Plans | Other | Derivative | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 0.5 | 12.3 |
Fair Value, Inputs, Level 2 | U.S. Plans | Pooled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 263.1 | 297.2 |
Fair Value, Inputs, Level 2 | International Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 2,235.4 | 2,470.5 |
Fair Value, Inputs, Level 2 | International Plans | Equity Securities | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 956.1 | 1,054.8 |
Fair Value, Inputs, Level 2 | International Plans | Debt Securities | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 905.4 | 991.1 |
Fair Value, Inputs, Level 2 | International Plans | Debt Securities | Other Fixed Income | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 248.5 | 330.4 |
Fair Value, Inputs, Level 2 | International Plans | Other | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 118.4 | 85.8 |
Fair Value, Inputs, Level 2 | International Plans | Other | Derivative | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 7 | 7.2 |
Fair Value, Inputs, Level 2 | International Plans | Pooled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 1.2 | |
Fair Value, Inputs, Level 3 | Other Postretirement Benefit Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 7.3 | |
Fair Value, Inputs, Level 3 | Other Postretirement Benefit Plans | Insurance Contracts | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 7.7 | 7.3 |
Fair Value, Inputs, Level 3 | U.S. Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 45.2 | 64.4 |
Fair Value, Inputs, Level 3 | U.S. Plans | Debt Securities | Insurance Contracts | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 17.4 | |
Fair Value, Inputs, Level 3 | U.S. Plans | Real Estate | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 37.6 | 34.2 |
Fair Value, Inputs, Level 3 | U.S. Plans | Other | Private Equity | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 7.6 | 12.8 |
Fair Value, Inputs, Level 3 | International Plans | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 232.7 | 227 |
Fair Value, Inputs, Level 3 | International Plans | Debt Securities | Insurance Contracts | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 120.6 | 135.5 |
Fair Value, Inputs, Level 3 | International Plans | Real Estate | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | 41.8 | 40.8 |
Fair Value, Inputs, Level 3 | International Plans | Other | Commingled Funds | ||
Fair Value Hierarchy Of Plan Assets By Category [Line Items] | ||
Fair value of plan assets total | $ 70.3 | $ 50.7 |
Summary of Changes in Fair Valu
Summary of Changes in Fair Value of Plans' Level 3 Assets (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
U.S. Plans | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | $ 4,069.7 | $ 4,048 |
Fair value of plan assets at end of year | 3,759.4 | 4,069.7 |
Other Postretirement Benefit Plans | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 9.1 | 9.2 |
Fair value of plan assets at end of year | 7.7 | 9.1 |
International Plans | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 2,718.9 | 2,681.8 |
Fair value of plan assets at end of year | 2,496.8 | 2,718.9 |
Fair Value, Inputs, Level 3 | U.S. Plans | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 64.4 | 130.7 |
Realized gains (losses) | (8.5) | (19.6) |
Purchases or acquisitions | 0.2 | |
Sales or dispositions | (23.3) | (74.6) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | 12.4 | 27.9 |
Fair value of plan assets at end of year | 45.2 | 64.4 |
Fair Value, Inputs, Level 3 | U.S. Plans | Real Estate | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 34.2 | 34.7 |
Realized gains (losses) | 0.1 | 4.7 |
Sales or dispositions | (0.1) | (4.9) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | 3.4 | (0.3) |
Fair value of plan assets at end of year | 37.6 | 34.2 |
Fair Value, Inputs, Level 3 | U.S. Plans | Private Equity | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 12.8 | 16.5 |
Realized gains (losses) | (8.2) | (24.4) |
Purchases or acquisitions | 0.2 | |
Sales or dispositions | (6.6) | (6.7) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | 9.4 | 27.4 |
Fair value of plan assets at end of year | 7.6 | 12.8 |
Fair Value, Inputs, Level 3 | U.S. Plans | Insurance Contracts | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 17.4 | 79.5 |
Realized gains (losses) | (0.4) | 0.1 |
Sales or dispositions | (16.6) | (63) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | (0.4) | 0.8 |
Fair value of plan assets at end of year | 17.4 | |
Fair Value, Inputs, Level 3 | Other Postretirement Benefit Plans | Insurance Contracts | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 7.3 | 7.5 |
Realized gains (losses) | (0.1) | |
Purchases or acquisitions | 0.5 | 0.2 |
Sales or dispositions | (0.4) | |
Fair value of plan assets at end of year | 7.7 | 7.3 |
Fair Value, Inputs, Level 3 | International Plans | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 227 | 244.3 |
Realized gains (losses) | 0.2 | (0.1) |
Purchases or acquisitions | 38.5 | 23.3 |
Sales or dispositions | (17.2) | (28.8) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | (15.8) | (11.7) |
Fair value of plan assets at end of year | 232.7 | 227 |
Fair Value, Inputs, Level 3 | International Plans | Real Estate | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 40.8 | 42.8 |
Realized gains (losses) | 0.2 | (0.2) |
Purchases or acquisitions | 6.1 | 15.3 |
Sales or dispositions | (5.9) | (15.5) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | 0.6 | (1.6) |
Fair value of plan assets at end of year | 41.8 | 40.8 |
Fair Value, Inputs, Level 3 | International Plans | Commingled Funds | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 50.7 | 50.2 |
Realized gains (losses) | 0.1 | |
Purchases or acquisitions | 23 | 1 |
Sales or dispositions | (0.4) | (0.3) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | (3) | (0.3) |
Fair value of plan assets at end of year | 70.3 | 50.7 |
Fair Value, Inputs, Level 3 | International Plans | Insurance Contracts | ||
Changes In Level 3 Assets And Liabilities Measured At Fair Value On Recurring Basis [Line Items] | ||
Fair value of plan assets at beginning of year | 135.5 | 151.3 |
Purchases or acquisitions | 9.4 | 7 |
Sales or dispositions | (10.9) | (13) |
Currency and unrealized gains (losses) relating to instruments still held at end of year | (13.4) | (9.8) |
Fair value of plan assets at end of year | $ 120.6 | $ 135.5 |
Stockholder's Equity - Addition
Stockholder's Equity - Additional Information (Detail) - $ / shares | Mar. 01, 2014 | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule Of Stockholders Equity [Line Items] | |||
Common stock, shares authorized | 100,000,000 | 100,000,000 | |
Common stock, par value | $ 0.01 | $ 0.01 | |
Preferred stock, shares authorized | 40,000,000 | ||
Preferred stock, par value | $ 1 | ||
Unissued common stock reserved for stock - based incentive plans and convertible preferred stock issuance | 6,000,000 | ||
Sale of preferred stock | 2,587,400 | ||
Convertible preferred stock dividend, rate | 6.25% | ||
Conversion rate of preferred stock | 6,912,756 | ||
Convertible preferred stock, conversion date | Mar. 3, 2014 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | $ (4,113.4) | $ (3,333.4) | $ (4,133.6) |
Other comprehensive income before reclassifications | 346.2 | (638.8) | 985.1 |
Amounts reclassified from accumulated other comprehensive income | (178.1) | (141.2) | (184.9) |
Current period other comprehensive income | 168.1 | (780) | 800.2 |
Ending balance | (3,945.3) | (4,113.4) | (3,333.4) |
Translation Adjustments | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | (737.8) | (676.8) | (634.3) |
Other comprehensive income before reclassifications | (96) | (61) | (42.5) |
Current period other comprehensive income | (96) | (61) | (42.5) |
Ending balance | (833.8) | (737.8) | (676.8) |
Postretirement Plans | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | (3,375.6) | (2,656.6) | (3,499.3) |
Other comprehensive income before reclassifications | 442.2 | (577.8) | 1,027.6 |
Amounts reclassified from accumulated other comprehensive income | (178.1) | (141.2) | (184.9) |
Current period other comprehensive income | 264.1 | (719) | 842.7 |
Ending balance | $ (3,111.5) | $ (3,375.6) | $ (2,656.6) |
Amounts Related to Postretireme
Amounts Related to Postretirement Plans Not Reclassified in Entirely out of Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Amortization of prior service cost | [1] | $ (3.1) | $ (0.7) |
Amortization of actuarial losses | [1] | 189.7 | 148.3 |
Curtailment gain | [1] | (0.6) | |
Total before tax | 186.6 | 147 | |
Income tax benefit | (8.5) | (5.8) | |
Net of tax | $ 178.1 | $ 141.2 | |
[1] | These items are included in net periodic postretirement cost (see note 16). |
Changes in Preferred Stock, Com
Changes in Preferred Stock, Common Stock and Treasury Stock (Detail) - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Preferred Stock | |||
Stock Option Activity And Changes [Line Items] | |||
Beginning Balance | 2.6 | 2.6 | |
Preferred stock conversion | (2.6) | ||
Ending Balance | 2.6 | ||
Common Stock | |||
Stock Option Activity And Changes [Line Items] | |||
Beginning Balance | 52.4 | 45.1 | 44.3 |
Stock-based compensation | 0.2 | 0.4 | 0.8 |
Preferred stock conversion | 6.9 | ||
Ending Balance | 52.6 | 52.4 | 45.1 |
Treasury Stock | |||
Stock Option Activity And Changes [Line Items] | |||
Beginning Balance | 2.7 | 1.1 | 0.4 |
Common stock repurchases | 1.6 | 0.6 | |
Stock-based compensation | 0.1 | ||
Ending Balance | 2.7 | 2.7 | 1.1 |